New York – March 31, 2011 – Blackstone Real Estate Debt Strategies (“BREDS”), the real estate debt investment business of The Blackstone Group (NYSE: BX), today announced the final closing of its most recent debt strategies fund, Blackstone Real Estate Special Situations Fund II (“Fund”) on February 1, 2011.
Together with previously announced commitments, this closing brings total commitments in BREDS funds to $3.5 billion. BSSF II will provide urgently needed debt capital to the commercial real estate industry as it begins its recovery. Recent transactions include providing mezzanine loans that facilitated RLJ Development’s acquisition of the Doubletree Metropolitan Hotel, Savanna Partners’ acquisition and recapitalization of 1375 Broadway (both in Manhattan), mezzanine financing for Republic Properties Corporation’s recapitalization of their 25 Massachusetts Avenue office building in Washington, DC, as well as enabling the refinancing of the Four Seasons Austin and Miami Airport Corporate Center.
Michael Nash, Senior Managing Director of The Blackstone Group and Chief Investment Officer of BREDS, said, “As real estate markets begin their recovery, Blackstone is uniquely positioned to meet an increasing demand for debt capital to recapitalize legacy assets and acquire new assets.”
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