America's Largest Landlord Just Got Even Bigger: Blackstone Buys 12,000 Sunbelt Apartments For $5.8 Billion

America's Largest Landlord Just Got Even Bigger: Blackstone Buys 12,000 Sunbelt Apartments For $5.8 Billion
Sky high ☝️ by Malcolm Shadrach is licensed under unsplash.com
Wall Street won't rest until it become the biggest - and perhaps only - landlord in the US.

On Wednesday, Blackstone cemented its position as America's largest residential and commercial landlord by buying apartment owner Preferred Apartment Communities in a deal valued at $5.8 billion, demonstrating the unstoppable investor demand for multifamily - i.e., rental - properties in Sunbelt states.

According to the WSJ, Blackstone will pay for $25 a share in cash for the Atlanta-based real estate investment trust, according to a statement Wednesday. That represents a premium of roughly 39% over the closing price on Feb. 9, the day before Bloomberg News reported the REIT was exploring options including a sale.

The company is being acquired by Blackstone’s nontraded REIT, Blackstone Real Estate Income Trust Inc. The deal also includes two office properties, according to the statement.

The deal includes more than 40 rental apartment properties including 12,000 units in states including Florida, Tennessee and Georgia. Preferred Apartment also owns 54 grocery-anchored shopping centers anchored by grocery stores. About 70% of the deal’s value is in its rental apartments.
Sky high ☝️ by Malcolm Shadrach is licensed under unsplash.com