Sorry to correct you "Historical Accuracy", but the article states: For his 1933 novel, Hilton used the concept of Shambhala as the basis for his “lost” valley of Shangri-La, an isolated mountain community that was a storehouse of cultural wisdom.
This would indicate that Shangri-La IS indeed fictional. The place they are referring to is Shambala, the inspiration for the fictional paradise od Shangri-La.
Shambhala!!! Wasn't that what the shaman in the Temple of Doom shouted as he tore that guys heart out?? OH, no wait!! It was Kah-Li-MAH!!! Sorry, thoughts of Shangri-La being discovered took me into Indiana Jones daydream land.
This would indicate that Shangri-La IS indeed fictional. The place they are referring to is Shambala, the inspiration for the fictional paradise od Shangri-La.