Blackstone RE affiliates to buy Bluerock; NYC tower secures $911M loan

TOP NEWS IN REAL ESTATE

* Blackstone Real Estate affiliates are buying multifamily real estate investment trust Bluerock Residential Growth REIT Inc. in an all-cash transaction valued at $3.6 billion, Dow Jones Newswires reported. The deal includes 30 multifamily properties with 11,000 units as well as a loan book secured by 24 multifamily assets.

* L&L Holding secured a $911.4 million loan to finish the construction of its office tower at 425 Park Ave. in New York City, The Real Deal reported. Blackstone Real Estate Debt Strategies led the debt package, which will retire the building's original construction loan, according to the report.

The 47-story office tower will feature 670,000 square feet, and the anchor tenant will be asset management firm Citadel, which will occupy 330,000 square feet across 16 floors. Other tenants include Wafra Capital Partners, Hellman & Friedman LLC and Medical Properties Trust Inc.

➤ ESG REITake: Commitments to ESG and net-zero goals grew in 2021

U.S. REITs increased their commitments to environmental, social and governance and net-zero goals in 2021, but the pace of adoption differs between companies.

➤ Path to net-zero: Plenty of 'E', but less 'S' or 'G' in tech, telecom

The vast majority of large tech, media and telecom firms in North America and Europe have set net-zero targets of some kind. But some of the biggest firms also struggle with social and governance issues, complicating their overall ESG scores.

OFFICE

* Riverside Investment & Development Co., Convexity Properties LLC and Canyon Partners Real Estate LLC teamed up to build a 30-story class A office tower in the West Denver central business district submarket. Canyon made an $80 million preferred equity investment in the 1900 Lawrence project, which secured a senior construction loan from Bank OZK. The building will feature over 700,000 square feet of office space and 10,000 square feet of retail space. The project is slated to complete in early 2024.

RETAIL

* CIM Real Estate Finance Trust Inc. is selling $1.3 billion worth of retail properties to American Finance Trust Inc. The assets span 9.5 million square feet across 81 properties. American Finance, meanwhile, is selling three noncore office assets leased to pharmaceutical company Sanofi for $261 million.

* Stiles Corp. and Lubert Adler Real Estate Funds sold a fully leased super-regional shopping center development in Miami to AEW Capital Management LP, which acquired the property on behalf of a separate account client. Shops at Beacon Lakes sits on 33.82 acres at 1700-1970 NW 117th Place and features 417,248 square feet of space. The buyer secured a $43.5 million financing from PGIM Real Estate for the purchase.

HEALTHCARE

* KKR & Co. Inc.'s KKR Real Estate Select Trust Inc. platform acquired an approximately 400,000-square-foot portfolio of core medical office buildings and ambulatory surgery centers assembled by Montecito Medical and FCA Partners. The properties are located in seven Sun Belt states. Montecito Medical will retain its interest in the portfolio.

* Acadia Healthcare Co. Inc. acquired three nonoperational Chicago facilities, including one adult hospital, one children's hospital and an outpatient facility. Acadia funded the transaction with cash on hand.

RESIDENTIAL

* Nationwide average monthly rents were up 20.5% year over year and 6.8% month over month in November, according to new report from Redfin. The figures mark the highest annual and monthly growth rates in at least two years, based on Redfin's database.

HOTELS

* Host Hotels & Resorts Inc. sold the 305-room W Hollywood in Hollywood, Calif., for approximately $197 million and acquired the 173-room The Alida, Savannah boutique hotel in Savannah, Ga., for approximately $103 million in cash.

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