Blackstone is in early talks to buy billions in real estate from Anbang

Private equity firm could buy back Waldorf Astoria, Essex House, Intercontinental Miami

New York /
Feb.February 12, 2018 09:30 AM

Jonathan Gray and the Waldorf Astoria

The Blackstone Group may soon have a chance to buy back the Waldorf Astoria from Anbang Insurance Group, according to a new report.

The private equity firm has held initial talks about bidding for Anbang’s assets in a sale overseen by the Chinese government, Bloomberg reported.

Those assets include the Waldorf, which Blackstone sold to Anbang for $1.95 billion in 2016, and the 16 properties in the Strategic Hotels and Resorts portfolio, which Anbang bought for $6.5 billion. That portfolio also includes the Essex House and the Intercontinental Miami.

Blackstone’s talks are in the early stage, and the company could decide not to bid on any of the assets, a source told Bloomberg.

Anbang closed the Waldorf in the spring as it got started on a planned $2 billion condominium conversion of some of the iconic hotel’s 1,000 rooms.

Blackstone was one of the biggest benefactors of Anbang’s spending spree, having sold at least $9.5 billion worth of assets to the insurer. But the Chinese government has cracked down on overseas spending. And after Anbang Chairman Wu Xiaohui was detained by authorities in June, a team including China’s insurance regulator went to Anbang to oversee the company’s operations ensure its stability, people familiar with the matter told Bloomberg.

The Chinese government is also looking to broker the sale of Anbang.

Chinese companies that made big acquisitions over the past few years are now beginning to try to sell their properties off. HNA Group is looking to sell $4 billion worth of U.S. properties, including 245 Park Avenue, which it bought just last year for $2.21 billion. [Bloomberg]Rich Bockmann


Related Articles

arrow_forward_ios
Floor & Decor CEO Thomas Taylor and 4 Henry St in Commack (Floor & Decor and Google Maps)
Floor & Decor moving into site of shuttered Target in Commack
Floor & Decor moving into site of shuttered Target in Commack
Mayor Steven Fulop (Getty, iStock)
Jersey City to provide up to $10K more rent relief per tenant
Jersey City to provide up to $10K more rent relief per tenant
Atlas Hospitality Managing Member Raj Guru and Vinod Chand with 711 Seventh Avenue (Atlas, Google Maps)
Atlas plans 401-room hotel at 711 Seventh Avenue
Atlas plans 401-room hotel at 711 Seventh Avenue
Social Construct's co-founders Ben Huh and Michael Yarne (iStock)
Proptech startup Social Construct shutting down
Proptech startup Social Construct shutting down
AEW Global CEO Jeff Furber (left), North America CEO Jonathan Martin and 60 Charlton Street (AEW, APF Properties)
AEW purchases boutique Soho office building for $86.2M
AEW purchases boutique Soho office building for $86.2M
CBRE's Emma Giamartino and Bob Sulentic (CBRE, iStock)
Flush with cash, CBRE is ready to spend
Flush with cash, CBRE is ready to spend
GCP CEO Alan Yang (Getty, GCP)
GLP raises $2.3B for logistics property fund
GLP raises $2.3B for logistics property fund
Alphabet CEO Sundar Pichai and Twitter CEO Jack Dorsey (Getty)
Twitter, Google latest big companies to delay office returns
Twitter, Google latest big companies to delay office returns
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...