WASHINGTON: Pakistan and the United States on Thursday signed a memo­­randum of understanding (MoU) to launch a structured framework for cooperation on the future of the Roosevelt Hotel in New York, marking a key development in Islamabad’s efforts to secure maximum value for the landmark property under its privatisation strategy.

The agreement was finalised in Washington and executed by US General Services Administration (GSA) Administrator Edward C. Forst and Finance Minister Muhammad Aurangzeb. Prime Minister Shehbaz Sharif and US Special Envoy Steve Witkoff witnessed the signing.

According to a statement issued by the Pakistan Embassy, the initiative provides for joint evaluation of the “technical, commercial, and economic parameters” of the project and sets out a time-bound mechanism for moving forward.

The statement described the move as part of a broader effort to deepen economic engagement between the two countries and to introduce an institutional framework for handling what it called a complex, high-value transaction.

Govt aims to maximise value of iconic Manhattan property

“It 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,” the press release said.

Officials noted that the Roosevelt Hotel — owned by Pakistan International Airlines’ investment arm — sits on a prime Manhattan site, where zoning rules and municipal procedures make large-scale redevelopment particularly complicated.

“Given the Roosevelt Hotel’s prime Manhattan location and the complexity of New York zoning and municipal processes, institutional coordination aims to reduce execution risk, enhance regulatory clarity, and maximise transaction value,” the statement added.

The government has been exploring options for the property for several years as part of a wider plan to divest loss-making state assets and generate fiscal space. The latest arrangement signals a shift towards a more structured, government-to-government facilitative role in navigating regulatory and commercial hurdles in the United States.

While the MoU does not constitute a final transaction, officials said it creates a formal mechanism for due diligence, feasibility assessments and coordination with relevant regulatory bodies in New York.

Published in Dawn, February 20th, 2026