Roosevelt Hotel’s fate remains unclear despite – Business News
On Feb. 17, two days earlier than information broke of an “agreement” for the US General Services Administration to crew up with the Pakistani authorities to redevelop the Roosevelt Hotel, Pakistan’s Muhammad Ali, an advisor to Prime Minister Shehbaz Sharif, had this to say on Pakistani information station AAJ:
The Roosevelt “will be privatized through a joint-venture or redevelopment model rather than a direct sale,” Ali mentioned. He envisioned a “joint venture” the place Pakistan would “contribute the land while a private partner would inject around $1 billion” into a skyscraper project to exchange the empty, 100-year lodge that’s technically owned by Pakistan International Airlines.
But of course, the JV thought has solely been kicking round for 5 years. And in any occasion, how can the GSA — a federal paperwork that owns and manages buildings for federal workers — presumably kick-start Pakistan’s confused marketing campaign to money in on the Roosevelt, which it urgently must help pay $7 billion it owes to the International Monetary Fund?
The Roosevelt Hotel was initially set to be redeveloped in a deal with the US and Pakistani authorities. Brian Zak/NY Post
The questions concerning the Roosevelt, which instructions one of Manhattan’s choicest development websites on Madison Avenue between East forty fourth and forty fifth streets, had real estate insiders scratching their heads.
The announcement Thursday appeared to catch Washington flat-footed. The White House referred inquiries to the GSA, which acquired back to The Post Friday morning with a assertion that did zero to clarify precisely what the company may accomplish for the Pakistanis that a succession of brokerages, banks and advisors couldn’t.
“This agreement embodies the Trump Administration’s dedication to diplomacy and our nation’s economic prosperity,” mentioned GSA Administrator Edward C. Forst. “GSA looks forward to working with the government of Pakistan on this project.”
Thanks for nothing, guys! A GSA source instructed us on background that the “memorandum of understanding” merely “establishes a structured, time-bound framework for joint evaluation of the technical, commercial, and economic parameters of cooperation, reflecting a shared commitment to transparent, disciplined, and mutually beneficial progress.”
And, given the Roosevelt’s prime location and “the complexity of New York zoning and municipal processes, institutional coordination aims to reduce execution risk, enhance regulatory clarity, and maximize transaction value.”
Got it?
In different phrases, the Roosevelt website’s future remains as murky as ever.
The Pakistani house owners have led Roosevelt-watchers on a merry chase ever because the pandemic pressured the closing of the Roosevelt in 2020.
Prime Minister Shehbaz Sharif’s advisor introduced the lodge “will be privatized through a joint-venture.” REUTERS
In February 2024, we first reported that PIA had tapped distinguished brokerage JLL to market the Roosevelt website to builders and traders.
In April 2025, when the 1,000 room lodge was nonetheless occupied by migrants, Bloomberg reported a company known as Burkhan World Investments pitched the Pakistan authorities on a deal to accomplice in a three way partnership to redevelop the property in a scheme the place PIA would retain 50% possession.
Two months later, Realty Check reported that the investment company by no means approached anybody at PIA concerning the thought, however submitted it solely to a state privatization committee. Nothing more got here of it.
Although Tishman Speyer, SL Green and Related Companies have been mentioned to have expressed curiosity, JLL and PIA went their separate methods final summer time for causes by no means made totally clear.
The inside of the Roosevelt Hotel Stephen Yang
Meanwhile, Pakistani “sources” instructed journalists that the Roosevelt could be renovated and reopened as a lodge — an concept that drew hoots from insiders who mentioned it will take a minimum of a 12 months to make the lodge liveable again.
Next, in November, Saudi Arabia-based each day Arab News reported that with JLL out of the image, PIA was “weighing proposals from seven potential groups” to advise on the lodge and facilitate any deal. Realty Check subsequent reported the seemingly alternative of a consortium could be led by Morgan Stanley and embody CBRE.
Nothing got here of that, both.
Then got here final week’s imprecise announcement of US-Pakistani cooperation. President Trump’s particular envoy Steven Witkoff, a veteran of Big Apple real estate wars, brokered the deal.
Surely he is aware of one thing we don’t?
