Blackstone Buys Largest Apartment Complex in NYC for $5.3B
Blackstone is purchasing New York's biggest apartment complex for $5.3B (with a $225M tax break from the city), and will keep almost half of the 11,000 units affordable for 20 years.
Nine years ago, Tishman Speyer and BlackRock bought the complex Stuyvesant Town-Peter Cooper Village for a record-breaking $5.4B. But they defaulted on the mortgage in 2010 and ultimately walked away from the 80-acre property. Lenders took over, but formal ownership had been uncertain until now.
The purchase is made through Blackstone's first fund for core-plus assets, which holds assets for much longer than traditional funds.
This multifamily move validates what Blackstone head of real estate Jon Gray said earlier this month about being bullish on the NYC and Miami markets. [Bloomberg]