Blackstone Real Estate Income Trust, a publicly registered non-traded REIT sponsored by private equity giant The Blackstone Group (NYSE: BX), updated the monthly net asset values for its Class S, Class I, Class D and Class T shares of common stock, as of August 31, 2022.
Class S shares had an NAV per share of $15.09, compared to $15.00 the previous month. The total return for Class S shares in August 2022 was 0.9% (not annualized).
Class I shares had an NAV per share of $15.09, compared to $15.00 the previous month. The total return for Class I shares was 1.0%.
Class T shares had an NAV per share of $14.87, compared to $14.78 the previous month. The total return for Class T shares was 0.9%.
Class D shares had an NAV per share of $14.78, compared to $14.69 the previous month. The total return was 1.0%.
“We believe BREIT remains well positioned in the current environment, with 78% of its portfolio in the rental housing and industrial sectors. Fundamentals in these two sectors remain strong and are supported by secular growth tailwinds. Higher mortgage rates and elevated build costs are fueling demand for rental housing, and e-commerce growth and the realignment of supply chains continue to drive demand for warehouses. In addition, we believe BREIT has embedded rent growth potential in its multifamily and industrial portfolios due to below market in-place rents. Specifically, multifamily and industrial rents in BREIT’s markets are approximately 12% and 34% above BREIT’s portfolio rents, respectively,” the company said in an SEC filing.
Last month, the REIT purchased all outstanding shares of American Campus Communities, a publicly traded REIT and the largest owner, manager and developer of student housing communities in the United States, for approximately $13 billion.
Investments in real estate increased from $105.6 billion in July to $119.1 billion in August, while investments in real estate debt decreased slightly from $10.4 billion to $10.0 billion. Investments in unconsolidated entities increased from $10.2 billion in July to $10.4 billion in August.
Cash and cash equivalents decreased from $3.5 billion to $2.8 billion. Restricted cash decreased from $2.2 billion in July to $1.8 billion in August, and other assets increased from $3.2 billion to $4.3 billion, month-over-month.
Mortgage notes, term loans and revolving credit facilities increased from ($53.5 billion) in July to ($64.8 billion) in August. Secured financings on investments in real estate debt decreased from ($5.2 billion) to ($5.1 billion).
Subscriptions received in advance increased from ($1.0 billion) in July to ($801.6 million) in August, and other liabilities decreased from ($3.7 billion) to ($3.4 billion). The company had 4.63 billion shares outstanding as of August 31, 2022, compared to nearly 4.58 billion the previous month.
Blackstone Real Estate Income Trust’s initial offering launched in August 2016 and has raised approximately $60 billion in three public offerings as of June 2022. The current offering has raised $6.6 billion, and as of August 31, 2022, its aggregate NAV was $69.8 billion.