US asset management giant Blackstone raised a record $26.5 bn (€24 bn) of capital for its real estate strategy in 2015, and invested $21.5 bn over the year.
US asset management giant Blackstone raised a record $26.5 bn (€24 bn) of capital for its real estate strategy in 2015, and invested $21.5 bn over the year.
The investment pace accelerated to $7.8 bn in the fourth quarter, capitalising on public market dislocation with four public-to-private transactions closed or committed in 2015.
Fundraising in the last quarter of the year included $1.3 bn for initial closing of the group's third mezzanine debt fund and $2.4 bn for the core+ funds. In total, the group's core+ strategy reached $11 bn in assets under management two years after launching the business.
The business' carrying value was up 4.5% in Q4 while opportunistic funds’ carrying value was up 1.6% during the quarter as operating fundamentals offset declines in public investment values.
Blackstone said its real estate assets under management grew by 16% year-over-year to $93.9 bn while Fee-Earning AUM surged by 28% year-over-year to $67.3 bn as capital raised across the platform more than offset record realization activity.
Blackstone has currently $23.5 bn in dry powder for real estate.
