Blackstone Real Estate Announces Sale of a Logistics Portfolio in Japan, Representing One of the Largest Logistics Portfolio Transactions in the Country
TOKYO, April 28, 2023 – Blackstone (NYSE: BX) today announced the sale of a portfolio of six logistics assets located across Japan to GIC for more than US$800 million. The transaction, comprising 4 million square feet of warehouses, is one of the largest logistics portfolio transactions ever reported in Japan, and reinforces Blackstone’s commitment to delivering for investors globally including in Japan, one of the fastest growing markets for the firm where it has expanded its presence significantly over the years.
Daisuke Kitta, Head of Real Estate Japan, said: “This transaction is a reflection of how we continue to deliver for our investors in any environment by focusing on the right sectors. Logistics is one of Blackstone’s highest conviction investment themes, making up more than 40% of our global Real Estate portfolio. We were one of the earlier investors and have since built world-class platforms, driven by our confidence in the sector’s continued growth. Japan remains a key market for Blackstone – today, we have a dedicated team on the ground, focused on building our portfolio and bringing innovative opportunities to a wider group of investors.”
Taro Squires, a Managing Director in Real Estate Japan, said: “We are proud of the work we have done for our investors and tenants, bringing in our global operational expertise and asset management capabilities to position these properties for long-term success.”
Blackstone is one of the world’s largest investors in logistics. Its marquee transactions include the sale of the Milestone Australian logistics portfolio in the largest private real estate transaction in the country at the time and the recapitalization of the Mileway European logistics portfolio in the largest private real estate transaction ever globally, at the time of announcement. In Asia, it has built significant portfolios in India, Greater China, and Australia.
Goh Chin Kiong, Deputy Chief Investment Officer, Real Estate, GIC, said: “This acquisition represents an attractive opportunity for GIC to further expand our exposure to logistics assets. This portfolio provides stable and diversified income streams with attractive growth potential, which is well-aligned with GIC’s long-term investment horizon and approach. It is a good addition to our Japan portfolio as we continue to focus in tailwind sectors such as hospitality and logistics.”
The transaction is a continuation of Blackstone’s successful track record in Japan, where it has been a dedicated investor for the last 16 years, building a diversified portfolio across hotels, offices, data centers, residential, retail, and mixed-use assets. Last year, it had its record year in Japan real estate, with successful investments and sales valued at more than US$2 billion. In recent years, it has expanded its offerings to reach individual investors, introducing strategies in private real estate and private credit and enabling access to Blackstone’s investment platforms to individual investors for the first time.
About Blackstone Real Estate
Blackstone is a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has US $332 billion of investor capital under management. Blackstone is the largest owner of commercial real estate globally, owning and operating assets across every major geography and sector, including logistics, residential, office, hospitality and retail. Our opportunistic funds seek to acquire undermanaged, well-located assets across the world. Blackstone’s Core+ business invests in substantially stabilized real estate assets globally, through both institutional strategies and strategies tailored for income-focused individual investors including Blackstone Real Estate Income Trust, Inc. (BREIT), a U.S. non-listed REIT, and Blackstone’s European yield-oriented strategy. 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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