BREIT Reports 0.13% Increased Total NAV, Good Positioning for ‘Recovery Phase’

Blackstone Real Estate Income Trust Inc., a publicly registered non-traded real estate investment trust sponsored by private equity giant The Blackstone Group (NYSE: BX), had a total aggregate NAV of approximately $55.3 billion as of Oct. 31, 2024, an increase of 0.13% month-over-month.

When Blackstone Real Estate Income Trust, or BREIT, reported its third quarter results the previous month, it highlighted its performance and positioning as “the real estate market enters its recovery phase.” According to BREIT, it delivered a +2.4% Class I return year-to-date and a +9.8% Class I annualized net return since inception, approximately 50% higher than publicly traded REITs and around three times the return of private real estate.

“While our third quarter performance was flat,” the company stated, “BREIT’s net return would have been +2.3% before the impact of our fixed rate debt hedges, which is reflective of strengthening real estate value. … At Blackstone, we began investing in data centers before the rise of AI, started acquiring warehouses in 2010 in the early days of the shift to e-commerce, and rotated out of office before the drop off in secular demand. Today, these same proprietary insights which have powered our performance are telling us to get off the sidelines and that now is the time for private real estate.”

The transaction price for each class of common stock for subscriptions accepted as of Dec. 1, 2024 (and repurchases as of Nov. 30, 2024) is as follows:

Class S shares had a NAV per share of $13.9646, compared to $13.9310 per share the previous month, an approximately 0.24% increase.

Class I shares had a NAV per share of $13.9736, compared to $13.9395 per share the previous month, an approximately 0.25% increase.

Class T shares had a NAV per share of $13.7385, compared to $13.7059 per share the previous month, a 0.24% increase.

Class D shares had a NAV per share of $13.6457, compared to $13.6141 per share the previous month, a 0.23% increase.

Class C shares had a NAV per share of $15.1811, compared to $15.0850 per share the previous month, a 0.64% increase.

The REIT estimated that 90% to 100% of distributions for the year ended Dec. 31, 2024, will be characterized as return of capital for federal income tax purposes.

BREIT is currently offering on a continuous basis up to $60 billion in shares of common stock, consisting of up to $48 billion in shares in its primary offering and up to $12 billion in shares pursuant to its distribution reinvestment plan. As of Nov. 15, BREIT had issued and sold in the offering nearly 879.6 million shares of its common stock in the primary offering for total proceeds of $13 billion and approximately 190.3 million shares of its common stock pursuant to its distribution reinvestment plan for a total value of $2.8 billion. As of the end of October, it had 3.96 billion outstanding shares.

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