New York City has entered into a controversial lease agreement to rent the Roosevelt Hotel, a property owned by the Pakistani government, for $220 million over three years. This hotel, which has been closed since 2020 due to low occupancy and renovation needs, is now being used to house undocumented immigrants.

The deal has sparked significant backlash, particularly from Republican figures like Vivek Ramaswamy, who described it as "nuts." He criticized the arrangement on social media, stating that NYC taxpayers are effectively funding a foreign government to shelter illegal migrants in the U.S.. Ramaswamy's comments followed a post by author John LeFevre, who highlighted that this lease is part of a broader $1.1 billion bailout package from the International Monetary Fund (IMF) intended to help Pakistan avoid defaulting on its international debt.

Ramaswamy's outrage reflects broader concerns about public spending and immigration policy in the U.S., especially as he and Tesla CEO Elon Musk have been tasked by President-elect Donald Trump to lead a new Department of Government Efficiency, aimed at reducing wasteful expenditures in government. The Roosevelt Hotel, named after former U.S. President Theodore Roosevelt, has 1,250 rooms and is expected to generate significant revenue for Pakistan during the lease period.