In the latest episode of the NAREIT Podcast, David Auerbach, institutional trader with Esposito Securities, discussed the biggest stories in the REIT market in 2015, including the growth of privatizations. He predicted more deals are to come.
Blackstone to Buy BioMed Realty in $8 Billion Transaction
BioMed Realty Trust, Inc. (NYSE: BMR) said Oct. 8 that private equity firm Blackstone Group L.P. has agreed to acquire the life sciences office and lab space REIT in an all-cash transaction valued at $ 8 billion.
Blackstone’s real estate arm, Blackstone Real Estate Partners VIII, will pay $ 23.75 for each outstanding BioMed common share. This represents a premium of about 24 percent above the closing stock price on Sept. 22, the last date before speculation began about a potential sale of the company.
Blackstone to Purchase Strategic Hotels for $6 Billion
Strategic Hotels & Resorts, Inc. (NYSE: BEE) said Sept. 8 that private equity firm Blackstone Group LP has agreed to purchase the REIT for approximately $ 6 billion.
Blackstone agreed to pay $ 14.25 in cash for each Strategic share. That represents a premium of approximately 13 percent above the intra-day trading price on July 23, when a news report pointed to a potential transaction. The acquisition includes Strategic subsidiary Strategic Hotels Funding LLC as well as all of the firm’s outstanding debt.
Blackstone Deals Highlight “Vibrant” Real Estate Market, According to Analysts
Private equity firm Blackstone announced two major real estate deals on April 10, underscoring the current vibrancy of the market, according to analysts.
DDR, Blackstone in Joint Venture to Buy Shopping Center Assets from ARCP
DDR Corp. (NYSE: DDR) and an affiliate of Blackstone Real Estate Partners VII said June 12 they have formed a third joint venture that will acquire 76 shopping centers currently owned by American Realty Capital Properties, Inc. (NASDAQ: ARCP) for approximately $ 2 billion.
Gray Says Blackstone Bullish on Asia and South America
On the opening day of REITWeek 2014, Jonathan Gray, global head of real estate at private-equity firm Blackstone, sat down with Public Storage (NYSE: PSA) chairman and CEO Ronald Havner, Jr. for a wide-ranging discussion of commercial real estate topics. Gray’s remarks covered prospects for different geographic markets and property segments, as well as the overall investment landscape.