Blackstone Completes Acquisition of Majority Stake in the Largest Logistics Park in China’s Greater Bay Area
HONG KONG, January 20, 2021 – Blackstone (NYSE: BX) today announced that Blackstone Real Estate’s opportunistic funds have completed the previously announced acquisition of a majority stake in the Greater Bay Area’s largest urban logistics park for US$1.1 billion from R&F Group. Blackstone will have a 70% stake while R&F Properties Co., Ltd., a subsidiary of R&F Group, will retain a 30% stake. The transaction significantly expands Blackstone’s China logistics portfolio by approximately one-third to 53 million square feet across 23 Chinese cities.
Cliff Chen, a Blackstone Real Estate Managing Director based in Shanghai, said: “We are thrilled to continue our strategy of acquiring high quality logistics assets in China’s key distribution hubs and cater to ongoing tenant demand, driven by e-commerce tailwinds and emerging opportunities in the Greater Bay Area. This area, which connects 11 major cities including Shenzhen, Macau, and Hong Kong, is one of China’s biggest logistics markets and a rapidly developing trade, finance, and technology and innovation hub. We look forward to further developing the park by constructing additional cold storage facilities tailored for food and pharmaceutical industries as well as institutional-quality warehouses.”
Tenants of the logistics park include some of China’s most reputable corporations in various sectors such as third-party logistics (SF Express, YTO Express), e-commerce (Tmall, JD.com), pharmaceuticals (Sinopharm, CR Pharma), and telecommunications (China Mobile, China Telecom). The logistics park is located 15 kilometers from Guangzhou International Airport, a key transportation hub within the Greater Bay Area.
About Blackstone Real Estate
Blackstone is a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has $174 billion of investor capital under management. Blackstone is one of the largest property owners in the world, owning and operating assets across every major geography and sector, including logistics, multifamily and single-family housing, office, hospitality and retail. Our opportunistic funds seek to acquire undermanaged, well-located assets across the world. Blackstone’s Core+ strategy invests in substantially stabilized real estate globally through regional open-ended funds focused on high-quality assets and Blackstone Real Estate Income Trust, Inc. (BREIT), a non-listed REIT that invests in U.S. income-generating assets. Blackstone Real Estate also operates one of the leading global real estate debt businesses, providing comprehensive financing solutions across the capital structure and risk spectrum, including management of Blackstone Mortgage Trust (NYSE: BXMT).
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