Khawaja Saad Rafique, Minister for Railways and Aviation, affirmed on Sunday that Pakistan International Airlines’ prized Roosevelt Hotel has been leased to New York City Administration for three years. During a press conference in Lahore, Rafique mentioned an agreement with the city administration to provide the Pakistani government with $220 million in revenue. This decision follows the hotel’s closure in 2020 due to the COVID-19 pandemic.
Rafique further mentioned concerns about the hotel’s future, specifically referencing ‘landmarking,’ which could impact its value. He also mentioned the agreement’s impact on employment, with 77 employees remaining in the hotel and others being terminated. No Civil Aviation Authority employees will be employed at the hotel.
The Roosevelt Hotel, acquired by PIA in 1979 and established in 1924, holds historical significance and resides in Manhattan’s affluent downtown area. It closed its doors permanently in 2020 after enduring substantial financial losses.
Additionally, Rafique announced the decision to outsource operations of Pakistan’s three major international airports – Karachi, Islamabad, and Lahore – to an international firm. He clarified that outsourcing did not imply selling these airports and mentioned an agreement with the International Financing Corporation. This decision aims to address the deficiency in basic facilities at these airports and enhance the services provided.
Rafique also mentioned ongoing plans to elevate Suhrawardi Khan Airport to international status. Lastly, he stressed the need for operational improvements in Pakistan International Airlines, given its current state.”
