Blackstone to buy Caiola resi portfolio for $700M

Jon Gray, in partnership with Stephen Siegel's Fairstead, doubles down on rentals with 25 Manhattan buildings

TRD New York /
Jul.July 22, 2015 04:47 PM

In one of its biggest New York City residential deals yet, the Blackstone Group is buying 25 Manhattan apartment buildings from the Caiola family for $700 million.

The buildings include around 1,000 apartments and are clustered in Chelsea and on the Upper East Side. Blackstone’s minority partner on the deal is Fairstead Capital, Bloomberg reported, referring to an unnamed source.

Fairstead is a family office co-founded by Stephen Siegel, chair of global brokerage at CBRE.

In January, The Real Deal reported that Joseph Sitt’s Thor Equities was in contract to buy the portfolio for nearly $800 million. It wasn’t immediately clear whether Thor was involved in this latest transaction, or whether the January deal fell through. Representatives for Thor couldn’t be reached for comment.

The purchase is in line with Blackstone’s U.S. strategy, which has focused heavily on buying rental buildings in the wake of the 2007 mortgage crisis and a resulting decline in homeownership. The firm’s Invitation Homes division owns 48,000 single-family rental homes across the country, making it the largest owner of such assets.

Blackstone has been an active player in New York’s real estate market in 2015. Just last month, the fund manager bought the mall and parking garage Sky View Parc in Flushing for $400 million. [Bloomberg News] — Konrad Putzier


Related Articles

arrow_forward_ios

Here’s a look at Blackstone’s industrial plays after its record-breaking portfolio purchase

From left: Jonathan Gray and Steve Schwarzman with Stuyvesant Town

Behind Blackstone’s “capital strike”

Joe Sitt and 1725 Shore Parkway in Bensonhurst (Credit: Google Maps)

Thor sells Bensonhurst big-box store for $75M

October Issue is Live

The Real Deal‘s October issue is now available to subscribers!

Blackstone buys Colony Capital’s warehouse portfolio for $6B

Here’s why landlords don’t hate California’s rent control bill

545 Madison Avenue and Thor Equities CEO Joe Sitt (Credit: Google Maps)

Thor Equities on the verge of losing another building in Manhattan

65 East 55th Street and EQ Office CEO Lisa Picard (Credit: Park Avenue Tower and VTS)

Blackstone looks to sell Park Ave Tower for more than $800M

arrow_forward_ios