Blackstone secures $1.1B refi on Sun Belt multifamily portfolio

CMBS loan led by Wells Fargo, BofA, SocGen will refinance 13 properties comprising 5,450 apartments

National /
Nov.November 11, 2021 04:30 PM
Blackstone secures $1.1B refi on Sun Belt multifamily portfolio

Blackstone CEO/Chairman Stephen Schwarzman (Getty, Photo Illustration by Priyanka Modi)

Blackstone’s real estate investing arm is following up its record third quarter with a massive refinancing package.

Blackstone Real Estate Income Trust nabbed close to $1.1 billion in debt to refinance a 13-property multifamily portfolio, spanning 5,450 apartments across nine markets, most of which are in the Sun Belt.

The two-year, interest-only and floating-rate commercial mortgage-backed securities loan was originated by Wells Fargo, Bank of America and Société Générale, the Commercial Observer reported.

The loan is set to mature in October 2023, although there are three one-year extension options available, according to the Observer.

The portfolio includes market-rate units in garden-style communities and mid- to high-rise apartment buildings. Four of the properties are in Florida, three in Georgia, two in Texas and one each in Colorado, Nevada, California and Ohio.

S&P Global Ratings reports that the occupancy rate of the portfolio had risen to 96 percent as of September, up from 91 percent last year. The average monthly rent across the portfolio is $1,578, slightly below average for the properties’ submarkets, according to the Observer, which cited a report from S&P Global Ratings.

Blackstone is coming off the best third quarter in its 36-year history, fueled in no small part by the performance of its real estate holdings. The firm’s real estate investments swelled to $230 billion in the third quarter, appreciating 36 percent year-over-year and bringing in distributable earnings of $2.6 billion.

Overall, the firm’s earnings more than doubled year-over-year to $1.28 per share, blowing away the average estimate of $0.91 per share.

Private-label CMBS issuance rose to over $100 billion for the first three quarters of 2021, putting it on pace to beat the record $115 billion set in 2019, according to a report by Trepp.

[CO] — Holden Walter-Warner





    Related Articles

    arrow_forward_ios
    Sergio Pino of Century Homebuilders Group and the church (Century Homebuilders, Facebook via St. James Evangelical Lutheran Church - MIAMI FL)
    On holy ground: Sergio Pino’s Century Homebuilders plans apartments, school on Coral Gables church site
    On holy ground: Sergio Pino’s Century Homebuilders plans apartments, school on Coral Gables church site
    Developer Thomas Conway and the Little River location (Google Maps, Qualcon)
    Thomas Conway’s Qualcon eyes mixed-income apartment project in Little River Opportunity Zone
    Thomas Conway’s Qualcon eyes mixed-income apartment project in Little River Opportunity Zone
    Terranova scores $55M refi of Miracle Mile portfolio in Coral Gables
    Terranova scores $55M refi of Miracle Mile portfolio in Coral Gables
    Terranova scores $55M refi of Miracle Mile portfolio in Coral Gables
    Ivanhoé Cambridge's Nathalie Palladitcheff and Greystar's Bob Faith with the InTown Apartments at 1900 Southwest 8th Street, Miami (Ivanhoé Cambridge, Greystar, InTown Apts.)
    Ivanhoé Cambridge picks up Little Havana apartment complex for $105M
    Ivanhoé Cambridge picks up Little Havana apartment complex for $105M
    AMLI Residential Chairman and CEO Gregory Mutz with the site (Google Maps, AMLI)
    AMLI Residential bets $31M on another Midtown Miami development site
    AMLI Residential bets $31M on another Midtown Miami development site
    The Oakwood Apartments at 2425 Second Avenue North in Lake Worth Beach (Google Maps)
    New Jersey firm buys Oakwood Apartments in Lake Worth Beach for $35M
    New Jersey firm buys Oakwood Apartments in Lake Worth Beach for $35M
    Qatari owner of St. Regis Bal Harbour pays off Reuben Brothers with $188M refi
    Qatari owner of St. Regis Bal Harbour to pay off Reuben Brothers with $188M refi
    Qatari owner of St. Regis Bal Harbour to pay off Reuben Brothers with $188M refi
    Trammell Crow CEO Kenneth Valach and the site for the development (Google Maps, Trammell Crow)
    Trammell Crow Residential wraps up $10M deal for Miramar multifamily dev site
    Trammell Crow Residential wraps up $10M deal for Miramar multifamily dev site
    arrow_forward_ios

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

    Loading...