The federal government is preparing to dispatch senior officials to the United States later this month as part of its push to privatise the Roosevelt Hotel, a landmark property in New York owned by Pakistan International Airlines (PIA).
According to official documents, a delegation from the Privatisation Commission — including the Prime Minister’s Advisor on Privatisation and the Commission’s Secretary — is awaiting Prime Minister Shehbaz Sharif’s formal approval to travel from August 20 to 24. The mission’s focus will not be to court investors directly, but rather to hire financial consultants who can steer the privatisation process.
New approach: hunting for advisors abroad
The trip, estimated to cost around Rs3 million, marks a departure from the government’s usual practice of reaching out to prospective buyers. Instead, the team will hold discussions with several top global firms, including CitiBank, CBRE, and Savills, to secure advisory services.
This unusual step follows the abrupt exit of the last financial advisor, who stepped down last month over a conflict of interest. That firm had been awarded a contract worth Rs2.2 billion, half of which had already been paid. The company has since agreed to refund the amount.
Meanwhile, the government has already invited fresh expressions of interest through local and international advertisements, with a deadline set for September 2.
Transaction structure already in place
Officials stress that much of the groundwork has been completed. The cabinet has already cleared a transaction framework built around a joint venture model. Under this structure, the Roosevelt’s land and 32-storey building will serve as Pakistan’s primary contribution, without any further cash injections from the state.
The model is designed to give Pakistan multiple exit strategies while minimising long-term financial liabilities. Though described as a high-risk option, government advisors believe the joint venture route could ultimately yield the highest returns for the country.
Why it matters
The Roosevelt Hotel, located in Manhattan, has long been viewed as a prized yet politically sensitive asset. Successive governments have debated its fate, often torn between fears of undervaluation and the lure of unlocking much-needed revenue. With the privatisation process restarting under new advisors, Islamabad appears keen to reassure stakeholders that the deal will be structured to safeguard national interests while attracting international partners.
