Real Estate Debt Strategies

Real Estate

Debt Strategies

Blackstone Real Estate Debt Strategies (BREDS) was started in 2008 in response to the dislocation in the global real estate and credit markets. Recognizing there was an opportunity as banks retreated from providing real estate debt, BREDS focuses on providing liquidity to new borrowers, banks with legacy commercial real estate exposure as well as liquid real estate debt investments. Today, BREDS is a market leading provider of debt investment opportunities with over $7 billion of assets under management.

Our investment strategies are based on institutional-quality real estate, prudent use of leverage and a concentrated/value-based investing framework. Primary areas of investment include:

Mezzanine Debt

Investing in mezzanine debt that yields attractive risk-adjusted returns.

Recapitalizations

Recapitalization opportunities involving highly valued assets financed with excessive leverage that require restructuring or recapitalization.

Legacy Debt Investments

With Lenders looking to reduce debt positions we expect to invest in legacy debt instruments on a discounted basis.

Listed Equity and Debt Securities

Investments in public debt securities based on fundamental value-oriented research.

Preferred Equity

Investments in preferred equity investments associated with the acquisition, development and recapitalization of real estate opportunities.