Pakistan is evaluating options for the Roosevelt Hotel in New York City, including the possibility of demolishing the building, as part of its efforts to meet obligations under the $7 billion International Monetary Fund (IMF) loan agreement, Bloomberg reported.
The century-old property in midtown Manhattan, named after former US president Theodore Roosevelt, is one of Pakistan’s most valuable foreign assets, acquired in 2000. The hotel, which has over 1,000 rooms, was closed in 2020 due to mounting losses and has briefly operated as a migrant shelter.
In July, the government approved a “transaction structure for the Roosevelt Hotel,” opting against an outright sale and favouring a joint venture model to maximise long-term value. Muhammad Ali, adviser to the prime minister on privatisation, told Bloomberg that one of the options under consideration is razing the hotel to build a skyscraper.
“The government is keen on a joint venture where Pakistan will contribute the land and the partner will bring in the equity,” Ali said.
“The other option is to retain the hotel if it makes economic sense. We will have clarity in the next few months after finalising the JV partner and conducting market sounding.”
The federal government is also working to restructure or privatise state-owned enterprises, in line with IMF commitments. Bloomberg reported that Pakistan International Airlines (PIA) could be the first asset to be sold, with interested buyers among the country’s largest business groups.
Ali estimated that around $500 million in investment would be needed to turn the airline around. PIA posted a pre-tax profit in the first half of 2025, the first such result in roughly two decades.
For the Roosevelt Hotel, Pakistan is in the process of appointing advisers to manage the transaction. Bids have been received from seven groups, including Citigroup Inc, CBRE Group Inc, and Savills PLC, with the government expected to finalise the adviser later this month. Bloomberg noted the hotel has been referred to as “the new Ellis Island” due to its historical role as a migrant intake point.
