This article is from the Australian Property Journal archive
GIANT investment company Blackstone Group has told investors it has raised $US1.5 billion for its first Asian property fund, which can buy up $4 billion worth of assets in Australia and China.
Blackstone said the fund will focus primarily in Australia and China, as well as Japan and India.
The New York-based opportunistic investment company is already very active in Australia. It is currently conducting due diligence over Lend Lease’s Australian Prime Property Fund Retail’s $400 million Greensborough Plaza in Melbourne.
And earlier this year, had a look at buying GPT’s share in the $756 million Erina Fair shopping centre on the New South Wales Central Coast.
Last year Blackstone bought Sydney’s Top Ryde shopping centre for just $340 million — well below the $720 million it cost to build. Blackstone bought the bargain property from receivers Joseph Hayes and Jason Preston from McGrathNicol, on behalf of a syndicate of five banks. The centre was placed in the hands of receivers in February 2011 after property magnate John Beville and his company Bellevista went into administration owing $900 million.
The Top Ryde centre was purchased by Blackstone’s $US13.3 billion Real Estate Partners VII, which last year set the record by completing the largest ever capital raising by a private real estate fund, raising $13.3 billion.
Blackstone had also conducted due diligence over Australand’s $3 billion plus commercial and industrial portfolio but reportedly abandoned its bid shortly after GPT walked away.
Blackstone has also bought Dexus Property Group’s non-core United States industrial property portfolio for $US770 million, spent $US9 billion for Centro’s US assets and $806.6 million to privatise Valad Property Group.
Property Review
