Deal will be the largest-ever private real estate transaction globally
SINGAPORE & NEW YORK--(BUSINESS WIRE)--Jun. 2, 2019--
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
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.
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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Dafna Tapiero / Laurel Strategies
Meredith Balenske / GLP
Tel: (202) 776-7776
Jennifer Friedman / Blackstone
Tel: (212) 583-5122