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Pakistan Moves to Redevelop Roosevelt Hotel via Joint Venture
Pakistan approves JV model for iconic Roosevelt Hotel NYC—rules out sale. Govt eyes $1bn+ valuation in 6–9 months under IMF-backed privatisation push.
ND
by News Desk
2025-07-10
Pakistan Moves to Redevelop Roosevelt Hotel via Joint Venture

Pakistan has taken a major step toward monetising one of its most iconic foreign assets — the Roosevelt Hotel in New York — by approving a joint venture (JV) model for its redevelopment. The decision is part of a broader $7 billion IMF-backed privatisation programme.

In a cabinet meeting on Tuesday, the government ruled out an outright sale of the century-old hotel and instead opted for an equity partnership approach aimed at maximising long-term value. Located in Manhattan near landmarks like Times Square, Grand Central Terminal, and Fifth Avenue, the property is considered among the most valuable real estate holdings in the city.

🔹 Strategic Redevelopment Plan

According to a senior official who spoke on condition of anonymity, the Roosevelt Hotel — shut since 2020 due to mounting losses — will be redeveloped for mixed residential and commercial use. The official added:

“It is among the best pieces of land in NY real estate… The process begins immediately and is expected to be completed in the next six to nine months.”

The 42,000-square-foot hotel — boasting over 1,000 rooms — was briefly used as a migrant shelter following its closure. The government now aims to unlock more than $1 billion in value through the JV.

The deal will be managed by global real estate giant Jones Lang LaSalle (JLL), and the initial payment of $100 million from the new partner is expected by June 2026, the official said.

🔹 Government to Retain Ownership Stake

The joint venture will not result in the hotel’s full divestment. Rather, the Pakistan government and Pakistan International Airlines (PIA) — which owns the hotel via its investment arm — will retain partial ownership.

However, the exact size of the equity stake being offered to partners has not been disclosed. Neither the Privatisation Ministry, PIA, nor JLL responded to requests for official comment.

🔹 Broader Privatisation Context

The Roosevelt deal comes as Pakistan accelerates privatisation reforms under the IMF’s guidance. This week, the government also shortlisted four parties to bid for a stake in debt-laden PIA.

The Roosevelt redevelopment is expected to span 4–5 years, according to initial estimates.

“Interest level is extremely high,” the official confirmed, pointing to the property's prime location and market potential.
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PIA

PakistanEconomy

Privatisation

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