Blackstone surpasses Brookfield as world’s biggest real estate manager

Private equity firm has $160B worth of property under management

TRD LOS ANGELES /
May.May 31, 2017 02:30 PM
Blackstone’s Jonathan Gray and Brookfield’s Brian Kingston

From TRD New York: Blackstone is once again the world’s largest real estate manager after overtaking Brookfield Property Partners last year.

Blackstone’s real estate assets grew 6 percent in 2016 to $160 billion, the Financial Times reported. Brookfield slipped to the second spot with $158 billion in assets, an increase of 2.6 percent.

PGIM, the investment arm of Prudential, took the third-place spot with $130 billion, and TH Real Estate, the property arm of Chicago-based asset manager Nuveen Investments, was the fourth-largest with $103 billion in assets.

Property managers raised $137 billion in new capital last year, down a tick from the record $139 billion raised in 2015, according to data from Inrev, a European association that represents investors in non-listed real estate companies.

Brookfield created the world’s largest global property fund last year, raising $9 billion from more than 100 institutional investors.

Fund managers have raised more than $560 billion in new capital since the beginning of 2012, and all that money has pushed real estate prices higher. Inrev research director Henri Vuong said “deploying capital is becoming more challenging for managers” considering how much money has been raised over the past few years.

Blackstone’s Jonathan Gray, however, said large capital flows from institutional investors would not necessarily lead to a real estate bubble.

“We are not seeing the same excesses that we saw in the pre-crisis years,” he said. [FT]Rich Bockmann

(To view Blackstone properties, click here. To view Brookfield properties, click here)


Related Articles

arrow_forward_ios
Long Beach area and San Fernando Valley attract biggest industrial sales in 2019

Here are LA County’s biggest industrial sales of 2019

Hollywood & Highland

Here are LA County’s biggest retail sales of 2019

From left: Howard Schwimmer and Michael S. Frankel, with 1601 W. Mission Boulevard and 2757 E. Del Amo Boulevard (Credit: Google Maps)

Rexford Industrial adds to LA portfolio with $100M in acquisitions

Andrew McDonald and At Mateo in the Arts District

Cushman’s West Coast chief talks expansion, DTLA market, the death of the starving baby broker & more

3339 Exposition Blvd. and Asher Luzzatto

Luzzatto Co. assembling creative office hub in West Adams

Jason Illoulian and the Cemex plant

Faring makes $30M assemblage play on WeHo/LA border

From left: Nuveen CEO Vijay Advani, Graymark founder/CEO Brian Hecktman

Graymark, Nuveen pay $97M for El Segundo creative office

La Mirada industrial building

Clarion pays $77M for La Mirada industrial project

arrow_forward_ios
Loading...