Alvista Terrace - Colton, CA
November 23, 2015
Press Release: Phoenix Realty Group and Blackstone Acquire $570 Million Multifamily Portfolio
NEW YORK – Nov. 23, 2015 – Phoenix Realty Group (“PRG”), a national real estate owner, operator and fund manager headquartered in New York City, announced the acquisition of a 16-property, 3,800-unit multifamily portfolio with Blackstone Real Estate Partners VIII, an affiliate of Blackstone. Valued at approximately $570 million, the properties are located in the Los Angeles Metro, San Diego, Denver and southern Florida markets.
“We are thrilled with this significant achievement in PRG’s evolution, and we’re looking forward to continued expansion of our portfolio,” said PRG CEO Michael Fried. “This partnership with Blackstone is a testament to our team’s talents and capabilities in reimagining, repositioning and improving operations of Class B multifamily assets.”
The portfolio assets were acquired from two closed-end private equity funds managed by PRG. Those funds had reached the end of their intended investment period, and the portfolio was marketed for sale.
“Our core investment strategy focuses on acquiring multifamily properties to which we can bring institutional operating and management practices and better serve renter populations in key urban and suburban locations,” said Keith Rosenthal, president of PRG. “This transaction represented a prime opportunity for us to continue a compelling value added business plan in attractive, higher barrier-to-entry markets.”
“We are pleased to acquire a critical mass of assets in markets which we consider to be among the strongest in the country given supply-demand fundamentals. We look forward to our partnership with the team at PRG,” said Qahir Madhany, a Principal at Blackstone.
About Phoenix Realty Group
Phoenix Realty Group is a national real estate owner and operator providing capital and expertise for the development and operation of rental and for-sale residential properties, low-income tax-credit housing, and mixed-use and commercial projects in urban areas across the United States. PRG currently manages $1.5 billion in assets and 11,000 apartment units across the nation. PRG principals have invested in more than 1,000 multifamily properties representing approximately 130,000 apartment units and $12 billion in real estate over 30+ years.
About Blackstone Real Estate
Blackstone is a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has approximately $93 billion in investor capital under management. Blackstone’s real estate portfolio includes hotel, office, retail, industrial and residential properties in the US, Europe, Asia and Latin America. Major holdings include Hilton Worldwide, Invitation Homes (single family homes), Logicor (pan-European logistics), SCP (Chinese shopping malls), and prime office buildings in the world’s major cities. Blackstone real estate also operates one of the leading real estate finance platforms, including management of the publicly traded Blackstone Mortgage Trust.