KARACHI: Pakistan is seeking a valuation of at least $1 billion for the iconic Roosevelt Hotel in New York City and is preparing to offer a minority stake in the prime Manhattan property as it searches for a redevelopment partner, according to a senior government official.
The Roosevelt Hotel, named after U.S. President Theodore Roosevelt, was acquired by Pakistan in 2000 and is considered one of the country’s most valuable foreign assets. Located in midtown Manhattan near landmarks such as Grand Central Terminal, Times Square, and Fifth Avenue, the 42,000 square-foot property has remained closed since 2020 due to mounting losses and briefly operated as a migrant shelter.
As part of Pakistan’s broader $7 billion IMF-backed privatisation programme, the government on Tuesday approved a transaction structure for the Roosevelt Hotel, opting for a joint venture model instead of a full sale. The aim, officials said, is to retain long-term value while unlocking redevelopment potential.
Although no base price has been officially determined, the unnamed senior official said Pakistan is targeting a valuation of over $1 billion and expects a strong response due to the location's premium value in the New York real estate market.
Jones Lang LaSalle (JLL), a global real estate advisory firm, will oversee the transaction process, which is expected to be completed within six to nine months. The official noted that the redevelopment is likely to take four to five years and could include a mix of residential and commercial office space.
Pakistan International Airlines (PIA), which owns the hotel through its investment arm, and the Privatisation Ministry have yet to comment publicly on the matter.
In June, the government announced it anticipates an initial $100 million investment from the joint venture by mid-2026. The same week, authorities also approved four bidders for a stake in the heavily indebted national carrier, PIA.
"The interest level is extremely high," the official added, highlighting growing investor appetite for prime Manhattan properties.
