Blackstone to Buy U.S. Logistics Assets from GLP for $18.7 Billion
June 02 2019 - 9:00PM
Business Wire
Deal will be the largest-ever private real
estate transaction globally
GLP and Blackstone today announced that they have entered into
an agreement for Blackstone to acquire assets from three of GLP’s
U.S. funds for a purchase price of $18.7 billion. This overall
transaction totals 179 million square feet of urban, infill
logistics assets, nearly doubling the size of Blackstone’s existing
U.S. industrial footprint. Blackstone Real Estate’s global
opportunistic BREP strategy will acquire 115 million square feet
for $13.4 billion and its income-oriented non-listed REIT,
Blackstone Real Estate Income Trust (BREIT), will acquire 64
million square feet for $5.3 billion.
Ken Caplan, Global Co-Head of Blackstone Real Estate, commented:
“Logistics is our highest conviction global investment theme today,
and we look forward to building on our existing portfolio to meet
the growing e-commerce demand. Our global scale and ability to
leverage differentiated investment strategies allowed us to provide
a one-stop solution for GLP’s high quality portfolio.”
Alan Yang, Chief Investment Officer of GLP, said: “GLP was able
to leverage our deep operating expertise and global insights in the
logistics sector within four years to build and grow an exceptional
portfolio. We are proud of the business our team built and are
confident it will continue to flourish under Blackstone’s
leadership. We are looking forward to expanding our footprint in
the United States to continue to seize key opportunities in the
U.S. market.”
Frank Cohen, Chairman and CEO of BREIT, said: “These properties
are a complementary addition to our stabilized commercial real
estate portfolio, which is oriented toward our highest conviction
themes, such as logistics.”
Established in Singapore, GLP is a global investment manager
with $64 billion assets under management in real estate and private
equity funds. Its real estate fund platform is one of the largest
in the world, spanning 785 million square feet. GLP entered the
U.S. real estate market in 2015 and through a series of major
acquisitions became the second-largest owner of logistics real
estate assets in the country by aggregating high-quality, modern
logistics assets across 36 major markets. GLP will remain invested
in the U.S. across real estate, technology, and credit and is
committed long-term to the U.S. market.
Blackstone’s real estate business has approximately $140 billion
in investor capital under management. It operates around the globe
with investments and people in North America, Europe, Asia and
Latin America. Blackstone is one of the leading owners of logistics
properties today with assets in North America, Europe and Asia. In
the U.S., Blackstone built and sold Indcor and successfully
replicated this strategy with Logicor in Europe. Inclusive of this
transaction, Blackstone has acquired over 930 million square feet
of logistics globally since 2010.
Kirkland & Ellis served as legal counsel to GLP and Eastdil
Secured LLC, Citigroup Global Markets Inc. and Goldman Sachs &
Co. LLC served as financial advisors to GLP. BofA Merrill Lynch,
Barclays, Deutsche Bank, J.P. Morgan and Morgan Stanley & Co.
LLC served as financial advisors to Blackstone. Citigroup Global
Markets Inc., Eastdil Secured LLC and Goldman Sachs & Co. LLC
served as Blackstone’s financing advisor. Simpson Thacher &
Bartlett served as legal counsel to Blackstone.
About GLP
GLP is a leading global investment manager specializing in
logistics and related technology investments, with $64 billion of
assets under management in real estate and private equity funds
around the world. The Company’s real estate fund platform is one of
the largest in the world, spanning 73 million square meters (785
million square feet). In 2019, GLP was recognized by Private Equity
Real Estate (PERE) as Global Firm of the Year and Logistics
Investor of the Year.
About Blackstone Real Estate
Blackstone is a global leader in real estate investing.
Blackstone’s real estate business was founded in 1991 and has
approximately $140 billion in investor capital under management.
Blackstone’s real estate portfolio includes hotel, office, retail,
industrial and residential properties in the US, Europe, and Asia.
Blackstone real estate also operates Blackstone Real Estate Income
Trust (BREIT), a leading perpetual-life, monthly NAV REIT that
seeks to invest in stabilized, income-generating U.S. commercial
real estate across the key property types, including multifamily,
industrial, retail and hotel assets, and to a lesser extent in real
estate-related securities.
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version on businesswire.com: https://www.businesswire.com/news/home/20190602005094/en/
GLP Press:Dafna Tapiero / Laurel
Strategiesglp@laurelstrategies.com
Meredith Balenske / GLPmbalenske@glprop.com
Tel: (202) 776-7776
Blackstone Press:Jennifer Friedman /
BlackstoneJennifer.Friedman@blackstone.com
Tel: (212) 583-5122
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