ISLAMABAD: The financial advisor for the privatisation of the Roosevelt Hotel in New York has resigned, forcing the Privatisation Commission to look for a new firm.

A leading global real estate services firm, Jones Lang LaSalle (JLL), acting as financial adviser for the hotel`s privatisation, has cited a `potential conflict of interest` for its decision.

JLL, which had recommended the joint venture model for the Roosevelt, a 1,015-room historic hotel in Midtown Manhattan, has conveyed its decision to the Privatisation Commission.

Announcing the resignation, the Privatisation Commission said on Thursday it was initiating the process to hire a new financial adviser on a fasttrack basis to ensure that the privatisation of Roosevelt Hotel proceeds `in a transparent and competitive manner`.

JLL has cited `heightened interest` in the hotel from many of its own clients and cancellation of its lease agreement with New York City as reasons for the decision to withdraw from the assignment.

JLL said these issues had put the company in a `compromising position` and it was resigning `to avoid any perceived or actual conflict of interest`.

JLL was appointed as financial adviser in January 2024 to advise the government on the privatisation of the hotel.

The company has already conducted due diligence on the property and submitted transaction structure reports, analysing a range of options in line with international best practices.

Business at the hotel was suspended in 2020 following financial losses incurred during the Covid-19 pandemic.

-Amin Ahmed