NEW YORK | 45 East 45th St (Roosevelt Hotel) | FT | FLOORS

[Busy Bee]

What could possibly go wrong?

[NYguy]

https://arynews.tv/pia-privatization-imf-approves-pakistans-demands/

…..The funds from the sale of the Roosevelt Hotel will be used to settle liabilities, and the IMF has approved the use of these proceeds to clear the PIA Holding Company’s debts.

For the Roosevelt Hotel, a joint venture is estimated to generate up to 1 billion dollars in sales within six months.

Prime minister has been briefed on the sales tax exemption, elimination of equity losses, and the joint venture sale of Roosevelt Hotel.

https://pakobserver.net/imf-accepts-sales-tax-exemptions-other-demands-for-pia-privatization/

A joint venture, he said, is expected to be set up within six months to sell the Roosevelt Hotel, with an estimated sale value of nearly one billion dollars.

[ssh]

Originally Posted by NYguy

https://arynews.tv/pia-privatization-imf-approves-pakistans-demands/






https://pakobserver.net/imf-accepts-sales-tax-exemptions-other-demands-for-pia-privatization/

$1b?! Is that breaking any records for something that is, let's face it, a tear down redevelopment site? That's insane. SL Green would really need to go big with this for it to be financially viable.

[NYguy]

Originally Posted by ssh

$1b?! Is that breaking any records for something that is, let's face it, a tear down redevelopment site? That's insane. SL Green would really need to go big with this for it to be financially viable.

That’s a large amount to pay, especially considering it’s not a sell outright. And that doesn’t include the price of added development rights, and contributions to the public fund. I suppose both sides would share in those expenses, but who knows.

[Busy Bee]

Yeah that's bonkers

[NYguy]

I still don't quite get it, but there must be some indication that developers are will to pay that price, and things are already afoot in that regard. SL Green at least hinted on acquiring a major development site next year, and that aligns perfectly with this.


https://www.ptbp.pk/imf-agrees-to-conditions-for-pia-privatization/#google_vignette

Use of Roosevelt Hotel Sale Proceeds

The government has planned to utilize the proceeds from the sale of the Roosevelt Hotel, a PIA asset located in New York, to clear debts associated with PIA’s holding company. A joint venture for the hotel is estimated to generate up to $1 billion within six months, providing a significant financial boost to address PIA’s liabilities.

[ChiND]

As Brian Moynihan suggests, there is going to be a new Gilded Age on Wall Street (absent unforeseen catastrophes (e.g., pandemic)); therefore, the demand for new, premium office space and for luxury condos should soar in the next few years.

https://www.bloomberg.com/news/articles/...homepage-americas&embedded-checkout=true

[ChiND]

According to Rudin, Amazon seeks a big block of space on the east side.

https://www.cnbc.com/video/2024/12/16/fa...greatly-exaggerated-says-bill-rudin.html

[Mulan]

I suspect that a supertall will emerge here in a few years' time.

[mrnyc]

just for reference neighbor one vanderbilt construction cost was $3.31B.

not exactly sure what sl green paid to aquire the site, but i read $300M for four buildings, plus 150 leases. that took a decade to wrangle 2001-2011.

[NYguy]

https://www.thenews.com.pk/print/1270615-privatisation-of-pia-back-on-track-na-panel-told


By Our Correspondent
January 10, 2025

The National Assembly’s Standing Committee on Privatization was informed on Thursday that the privatization process for Pakistan International Airlines (PIA) has resumed, while recommendations for the sale of the Roosevelt Hotel in New York have been finalized.

Regarding the Roosevelt Hotel, the committee was informed that a subcommittee has prepared new recommendations for its privatization. The next steps will be taken after approval from the Cabinet Committee on Privatization (CCoP).

He added that revenue from the hotel’s privatization is expected to be lower than a joint venture but could still generate significant income. “The final decision will rest with the government,” he clarified.

The secretary noted that a joint venture approach would delay the privatization process, whereas a direct sale could expedite proceedings.

[ssh]

Originally Posted by NYguy

https://www.thenews.com.pk/print/1270615-privatisation-of-pia-back-on-track-na-panel-told


By Our Correspondent
January 10, 2025

All the top developers in the city would be frothing at the mouth for a chance to redevelop this site. I think that JP Morgan Analyst was on to something with the SL Green prediction, as they know what the market is like most considering their 100% occupancy at One Vanderbilt.

$1b sale price followed by a 1,775' mixed-use tower

[chris08876]

Yeah they should think big. Timing it with some lease expirations. It'll fill up if its a large version of 1 Vandy.

[Busy Bee]

Theodore Roosevelt. Born 1858, died 1919.

Hmm.... 1,858.... 1,919....

Either of those numbers seem perfectly.fine to me...

[NYguy]

I think how high this tower rises depends on exactly what is being built here. Previously, the plan was for a mixed-use office, hotel, residential, and retail building. If SL Green is the developer, they might want to follow on the heels of Vanderbilt with another office tower. Given that they would have the same exact zoning (30 FAR), another office tower wouldn't necessarily be as tall or taller than Vanderbilt. 270 Park Avenue, which was only allowed to build to a 23 FAR, would have included an extra 560,000 zsf (compared to the 1.9 zsf it has now) if it got the same zoning. But that's the uneven zoning that was given to Midtown East.

[NYguy]

https://humenglish.com/business/pakistan...-amid-uncertainty-over-foreign-interest/

Pakistan considers privatising Roosevelt Hotel in NY amid uncertainty over foreign interest


Jan 13, 2025

A deputy minister-led committee in Pakistan has suggested privatising the Roosevelt Hotel in New York through open bidding after Saudi Arabia failed to express formal interest in acquiring the property owned by Pakistan International Airlines (PIA).

According to the Express Tribune, the committee, led by Minister of State for Finance Ali Pervaiz Malik, has proposed that the hotel be sold via competitive bidding. However, the committee has left the decision on whether to outright sell the hotel, develop it as a joint venture, or lease it for 99 years to the Privatisation Commission.

According to sources from the Privatisation Commission, the committee has recommended that the hotel be privatised through competitive bidding after being informed that no foreign government had made a formal offer to acquire the hotel under a government-to-government arrangement. This lack of foreign interest highlights the challenges Pakistan faces in attracting significant investments from abroad.

The Roosevelt Hotel, considered among the top 1% of the most expensive properties in the world, has been offered twice to Saudi Arabia, with no progress made. The Privatisation Commission had previously hired Jones Lang LaSalle Americas as a financial advisor for the privatisation transaction at a cost of Rs2.1 billion.

The committee also assessed potential commercial risks to the hotel, including the risk of being declared a heritage site, which could have restricted its use and development. The Foreign Office and the outgoing US Ambassador Donald Blome lobbied to resolve this issue, but the committee was cautioned about potential risks stemming from the policy direction of the incoming US administration.

https://tribune.com.pk/story/2521568/sell-roosevelt-via-open-bidding

’Sell Roosevelt via open bidding'
Committee makes recommendation as Saudi Arabia declines interest


Shahbaz Rana
January 12, 2025

According to Privatisation Commission sources, the Ali Committee has now recommended to the CCOP that the Roosevelt Hotel be privatised through competitive bidding.

This decision came after the Privatisation Commission informed the committee that no formal offer had been made by any nation to acquire the hotel under a government-to-government arrangement, said the sources.

…. The Privatisation Commission revealed that Pakistan had twice offered the Roosevelt Hotel to Saudi Arabia, first in October and again in November 2024. While meetings were held with Saudi officials, no progress was made.

In August last year, the Privatisation Commission board had recommended exploring the hotel's privatisation under a government-to-government mode while keeping all three proposed transaction structure options—outright sale, joint venture, or a 99-year lease— on the table negotiations.

[NYguy]

Hotel set to close again.



https://www.cbsnews.com/newyork/news/nyc-roosevelt-hotel-migrant-shelter-closing/

NYC's Roosevelt Hotel migrant shelter set to close


By Katie Houlis
February 24, 2025



https://pix11.com/news/morning/roosevelt...-migrant-arrival-center-nyc-mayor-adams/

The Roosevelt Hotel will close its doors by June, according to Adams. More shelters will shut down within the next three to four months, officials said.

This is not a thread for political commentary, so don’t waste posts.

[NYguy]

https://www.crainsnewyork.com/politics-p...r-closure-opens-midtown-development-site

Roosevelt Hotel shelter closure opens up big development site


NICK GARBER
February 24, 2025

The Roosevelt Hotel closure, perhaps more than any other, has implications for the real estate industry. For over a year, the broker JLL has been marketing the building for sale on Pakistan’s behalf, likely as a tear-down to accommodate a future office tower.

That future buyer may well be SLGreen, which is on the hunt for a large-scale development site, a JPMorgan analyst noted in December. The Roosevelt Hotel has “essentially been a placeholder for a major office tower for many years,” analyst Anthony Paolone said.

[Crawford]

Awesome news. I hope SL Green builds a massive landmark supertall.

[ssh]

SL Green know the One Vanderbilt formula works, so they obviously won't stray away from it. Expect taller than 1,401'.