Web Report
The Roosevelt Hotel, a Pakistani possession in the heart of Manhattan, announced on Thursday it would shut its doors on guests permanently on Oct 31.
“Due to the current economic impacts, after almost 100 years of welcoming guests to The Grand Dame of New York, The Roosevelt Hotel, is regretfully closing its doors permanently as of Oct 31, 2020,” the announcement said.
The Roosevelt Hotel in a message on its website mentioned that it’s working to find ways or other alternatives for future reservations for its guests.
The hotel in a statement posted on its website mentioned that the hotel had been honoured to serve alongside its staff and to be a part of its many guests’ and clients’ lives and celebrations. It added that the property in New York had graced in the past 90 years.
The Pakistan Embassy in New York is redirecting all questions about the hotel to PIA – the owner of the Roosevelt Hotel. The Pakistan embassy spokesman said that they have not been informed.
Diplomatic sources, however, explained that the PIA still owned the property as the building had not been sold.
An expert said that The Roosevelt Hotel is being like other hotels properties in the area because the COVID-19 pandemic, which has almost ruined the hotel industry in the area.
It is believed that the value of the hotel building is still more than one billion dollars. A source revealed that the Pakistan government now has two options, either sell the hotel or convert it into a condominium. Many other Manhattan hotels hit by Covid-19 are working on this formula.
Earlier in July 2020, it was decided by the Cabinet Committee on Privatisation (CCoP) that instead of privitising the property, it should be run with a joint venture.
The CCoP directed the Privatisation Commission to hire the services of a financial adviser to start the process for the transaction, as proposed by an accounting firm, Deloitte, in July 2019.
The chartered accountancy firm advised that the hotel may be converted and redevelop it into a mixed-used property for the highest and best use by joining hands with potential investors.
The Roosevelt Hotel was developed by Niagara Falls businessman Frank A. Dudley and it was opened on Sept 23, 1924. The hotel was operated by the United Hotels Company.
