Blackstone’s BREIT Meets 100% of Redemption Requests
Blackstone met 100% of redemption requests in February from its $60 billion Real Estate Investment Trust (BREIT) for the first time in more than a year.
BREIT received $961 million in repurchase requests, which was below the 2% of NAV monthly limit, 26% lower than last month and down 82% from the January 2023 peak of $5.3 billion, according to a notice to shareholders.
”BREIT has now provided full liquidity to all investors seeking it. BREIT’s semi-liquid structure worked as intended — offering investors the potential for higher net returns in exchange for a measure of liquidity,” the firm said.
Founded in 2017, BREIT was formed to provide wealthy individuals access to Blackstone’s private real estate investments, which have had more than $15 billion withdrawn from the fund since redemptions began.
Blackstone took several initiatives to stabilize the fund amid the liquidity shortage. A major one was a $4.5 billion investment from the University of California. Furthermore, the fund sold off significant property assets, including hotels and a stake in the Bellagio.
