Islamabad, June 27, 2025: The Government of Pakistan has set a base price of $100 million for the iconic Roosevelt Hotel in New York City, a prime property owned by the Pakistan International Airlines Investment Limited (PIAIL), a subsidiary of PIA.
The decision is a key step in the privatization process as the country seeks to leverage state-owned assets to improve fiscal stability and attract foreign investment.
Located at a strategic spot in midtown Manhattan, the Roosevelt Hotel has long been considered a crown jewel in PIA’s international asset portfolio. The hotel was closed in 2020 due to financial losses but bounced back in 2023 when it was leased to New York City authorities to accommodate migrants, generating $220 million in revenue in just one year.
According to officials, the $100 million is merely a base price. The final valuation is expected to increase significantly depending on the structure of the privatization deal. A Joint Venture (JV) model is also under consideration, which could potentially multiply Pakistan’s returns by allowing strategic private investment without full divestment of ownership.
“The final transaction structure will determine how much value we can unlock. A joint venture could bring long-term profits while ensuring Pakistan retains a stake in this high-value asset,” said an official close to the development.
The Privatisation Commission has already shortlisted financial advisors to facilitate the valuation, marketing, and transaction execution. Industry analysts believe the Roosevelt Hotel, given its location and historical significance, could attract global hospitality chains or real estate developers aiming to rebrand or redevelop the site.
The renewed focus on the Roosevelt Hotel comes as Pakistan intensifies efforts to restructure and privatize loss-making state-owned enterprises. The PIA is already on the privatization list, and its international assets are being evaluated for monetization to support the national treasury.
The move is part of broader economic reforms being undertaken with the support of the International Monetary Fund (IMF) and other global financial institutions. Monetizing such international assets offers the dual benefit of reducing fiscal pressure while signaling investor-friendly policies to the global market.
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With the Roosevelt Hotel deal underway, all eyes are on how Pakistan will structure this high-profile transaction and whether it will trigger a new wave of foreign investment in the country’s strategic assets abroad.
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