Singaporean logistics property specialist GLP Pte Ltd, which entered the US market only in 2015, sold assets from 3 of its US funds to Blackstone Inc in June for $US18.7 billion.
Blackstone said the GLP acquisition had doubled the size of its US industrial footprint, and the resulting global fund was the biggest single real estate investment fund ever.
The overall GLP transaction totalled 16.6 million m² of urban infill logistics assets.
Blackstone allocated 10.7 million m² to its opportunistic Blackstone Real Estate Partners for $US13.4 billion, and 5.95 million m² to its income-oriented unlisted Blackstone Real Estate Income Trust for $US5.3 billion.
The American fund manager has since added over $US7 billion of assets to the opportunistic fund, and last week spun it out to investors as the Blackstone Real Estate Partners IX fund, with a total $US20.5 billion of assets in it.
GLP was listed in Singapore in 2010 and has $US64 billion assets under management in real estate and private equity funds. Through a series of major acquisitions, it became the second largest owner of logistics real estate assets in the US, and remains invested in there in real estate, technology & credit.
Meanwhile, Blackstone is also not standing still. It has 2 regional opportunistic funds open to investors, the €7.9 billion BREP Europe V and the $US7.2 billion BREP Asia II.
Blackstone’s assets under management rose 24% in the 12 months to June, to a record $US545 billion, including $US154 billion in real estate.
According to a report from Hong Kong agency Mingtiandi last week, Blackstone is also negotiating to buy an Indian office portfolio and also intends to establish its first logistics investment in India.
2 June 2019: Blackstone to buy US logistics assets from GLP for $US18.7 billion
Mingtiandi, 12 September 2019: Blackstone buys out India office portfolio for 44b rupees, checks out warehouse deal
Attribution: Blackstone, GLP, Mingtiandi.