Roosevelt Hotel Set for High-Rise Transformation
Pakistan and the United States have officially initiated a strategic economic collaboration to redevelop the historic Roosevelt Hotel in New York City, according to Pakistan’s Finance Division. The initiative is aimed at maximizing the financial value of one of Pakistan’s most significant international assets while aligning with the government’s broader privatization strategy.
Located in Manhattan near Grand Central Terminal and Times Square, the century-old property is owned by the Pakistani state through Pakistan International Airlines. The hotel has remained closed since 2020 due to operational losses, and successive administrations have explored options including leasing, selling, or redevelopment as part of ongoing state-owned enterprise reforms connected to IMF programs.
A Memorandum of Understanding (MoU) was signed in Washington between Pakistan’s Finance Minister Muhammad Aurangzeb and U.S. General Services Administration Administrator Edward C. Forst. The signing ceremony was witnessed by Prime Minister Shehbaz Sharif and U.S. Special Envoy Steve Witkoff.
The agreement establishes a structured and time-bound framework for evaluating technical, commercial, and economic aspects of the redevelopment. Officials emphasized that coordinated institutional support will help address the complexities of New York’s zoning and regulatory requirements, reduce execution risks, and enhance overall transaction value.
Pakistan aims to transform the site into a major high-rise development through a joint venture model that could involve up to $5 billion in combined equity and debt financing. Authorities previously decided against an outright sale after feasibility studies indicated the location could support a significantly larger building, potentially rising to around 60 stories.
The initiative is expected not only to unlock substantial economic value but also to strengthen long-term economic cooperation between Pakistan and the United States.
Shahnawaz Yaqub Bhatti
Investment Consultant and CEO at Imlaak
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