PIA leases out Roosevelt Hotel in New York
Agreement includes an 18-month guarantee provided by US firm.
KARACHI: Pakistan International Airlines (PIA) has decided to lease out Roosevelt Hotel to New York City Health and Hospitals Corporation management.
In a statement on Monday, the PIA management said Roosevelt Hotel will be operated by the New York city local corporation for a period of three years.
Under the agreement, the US firm will provide residential facilities to ‘housing migrants’ in the hotel.
Additionally, the agreement includes an 18-month guarantee provided by the corporation to PIA Investment Management.
Furthermore, a settlement agreement has been reached between the New York City Health & Hospital Corporation and the New York Hotel and Gaming Trade Councils (the employees’ union) of the Roosevelt Hotel.
In a letter to stockholders at the Pakistan Stock Exchange (PSX), PIA management has informed them that following the new agreement, the Roosevelt Hotel has resumed its operations. The PSX had recently sought a response from the PIA administration regarding the status of the Roosevelt Hotel.
Last month, the Economic Coordination Committee (ECC) of the Cabinet approved the recommendations of the Ministry of Aviation to form a committee to negotiate with the New York City government and Roosevelt Hotel Union for the re-opening of the hotel.
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