Pakistan International Airlines is preparing to shed its crown jewels. The PIA Holding Company still owns 36 properties after selling 11 assets. Among them: the Roosevelt Hotel in New York and the Scribe Hotel in Paris. According to Privatization Commission documents, new owners will likely sell these PIA foreign assets to clear the airline’s massive debt.
The portfolio spans Pakistan, the US, and France. But overseas properties matter most. The Roosevelt Hotel sits on prime Manhattan real estate. The Scribe occupies prestigious Paris real estate near the Louvre. Together, they could generate billions to service PIA’s crushing financial burden.
Seven properties were transferred to the PIA Holding Company recently through official notification. These included an Islamabad plot, a Karachi sports complex, and a football ground. However, the remaining PIA foreign assets represent the real value. Sales offices, warehouses, farmland, and a housing colony complete the portfolio.
The Privatization Commission stated plainly that property sales could settle mounting liabilities. Therefore, liquidating non-core assets represents the obvious path forward. New owners will inherit both the properties and the pressure to monetize them.
The government expects to complete the sale of its remaining 25 percent stake this fiscal year, generating around Rs. 45 billion. However, this amount barely covers PIA’s total debt obligations. Moreover, additional asset sales will prove necessary as restructuring accelerates.
PIA’s financial crisis reflects decades of mismanagement. The airline has bled money despite government subsidies. Privatization was meant to fix this. Yet even new ownership cannot escape years of accumulated losses.
Foreign real estate represents PIA’s most liquid assets outside Pakistan. The Roosevelt and Scribe hotels generated steady rental income historically. Selling them terminates that revenue. However, the one-time cash injection addresses immediate crises. Therefore, expect hotel sales announcements within months of the ownership transition.
Finally, these iconic properties will soon belong to international investors focused on maximizing returns.
