ISLAMABAD: Pakistan’s defense minister Khawaja Asif said on Wednesday the government was working on structuring a transaction for the Roosevelt Hotel in New York, a day after a leading Pakistani consortium bought a majority stake in Pakistan International Airlines, as Islamabad presses ahead with efforts to offload loss-making state assets.

Asif’s comments came after the Arif Habib Group acquired 75 percent of PIA for Rs 135 billion ($482 million), marking the government’s first major privatization deal in years and reviving focus on the future of other high-value state-owned assets, including the Roosevelt Hotel, which is owned by PIA through its investment arm.

The hotel, a century-old Manhattan property located near Grand Central Terminal, Times Square and Fifth Avenue, is considered one of Pakistan’s most valuable overseas assets, though it was closed in 2020 due to heavy losses. Asked about the future of the property following the PIA privatization, Asif told Geo TV it was still a work in progress.

“The shape of the transaction is being made,” he said, adding that a previous offer of around $375 million had not materialized.

Pakistan’s privatization plans for the Roosevelt have faced repeated delays.

Earlier this year, Muhammad Ali, adviser to the prime minister on privatization, said the government was examining multiple options after Bloomberg reported plans for its demolition.

Ali said there were various options on the table, including continuing hotel operations or entering a joint venture in which Pakistan would contribute the land while a partner brings in equity.

The government also said it wanted to complete the Roosevelt Hotel’s privatization this year, though the plan does not seem close to completion.