Pakistan is seeking a valuation of at least $1 billion for its prized Roosevelt Hotel in Manhattan and is ready to sell a minority stake as it hunts for a redevelopment partner, according to a senior government official quoted by Reuters on Thursday.

The Roosevelt Hotel, a 42,000-square-foot landmark in the heart of New York City, is regarded as one of Pakistan’s most valuable overseas assets. The property was acquired in 2000 and has long been the subject of debate over its future.

As part of its $7 billion IMF-backed privatization drive, Pakistan’s Cabinet Committee on Privatization (CCOP) this week approved a transaction structure for the Roosevelt Hotel, following recommendations from the Privatization Commission Board. After weighing three options—an outright sale, a joint venture with multiple options, and a long-term lease—the government has opted for a joint venture model. This approach is designed to maximize long-term value, offer flexibility and multiple exit strategies, and minimize future fiscal risks.

Pakistan intends to retain an ownership stake through an equity partnership, though officials have not disclosed the exact size of the stake that may be offered to potential partners.

The real estate services giant Jones Lang LaSalle (JLL) will oversee the process, with the government targeting a valuation north of $1 billion. The redevelopment plan envisions transforming the property into a mixed-use site, combining residential and office spaces. The project is expected to take four to five years to complete, and officials report “extremely high” interest from potential investors.

In a recent update, the government announced it expects to receive an initial payment of $100 million from the joint venture by June 2026.