Blackstone Closes $13.3B Real Estate Fund

The Blackstone Group has closed its newest real estate fund, Blackstone Real Estate Partners VII, with $13.3 billion, the firm announced Wednesday. Nearly 35% of the funds capital has already been committed to various deals, the firm said.

Blackstone today announced that it has closed its latest global real estate fund, Blackstone Real Estate Partners VII (BREP VII). The fund raised $13.3 billion over the past 13 months from more than 250 investors globally. The largest category of investor in the fund is U.S. public pension plans, funding the retirements of state and local employees. Approximately 35% of the fund’s capital has already been committed or invested in a wide variety of asset classes and geographies.

Commenting on the closing, Jonathan D. Gray, the global head of Blackstone’s real estate business, said, “We are extremely appreciative to our investors for their strong support of BREP VII. We believe the current environment provides a highly attractive opportunity to generate favorable returns for them. In addition, we think that the experience and global reach of our team uniquely positions us to capitalize on this opportunity.”

Blackstone’s real estate unit manages more than $50B in equity as of the end of the third quarter. BREP VII is the largest opportunistic real estate fund ever raised.

About Blackstone Blackstone is one of the world’s leading investment and advisory firms. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, the companies we advise and the broader global economy. We do this through the commitment of our extraordinary people and flexible capital. Our alternative asset management businesses include the management of private equity funds, real estate funds, hedge fund solutions, credit-oriented funds and closed-end funds. The Blackstone Group also provides various financial advisory services, including financial and strategic advisory, restructuring and reorganization advisory and fund placement services.