Blackstone (NYSE:BX) announced that funds managed by Blackstone Real Estate have secured A$1.45 billion (US$930 million) for a sustainability-linked loan (“SLL”), representing the largest of its kind to date in Australia’s industrial sector1 and a continuation of its efforts to build high-quality, energy efficient logistics portfolios around the world. This marks Blackstone’s first sustainability-linked financing in Asia Pacific and broadens Blackstone Real Estate’s pool of addressable debt capital.
Chris Tynan, Head of Real Estate Australia, Blackstone, said: “We’re proud to be at the forefront of the industrial sector in Australia, where we’ve built a high-quality portfolio of more than 140 logistics assets and executed some of the country’s largest transactions in the sector. Blackstone has been a committed investor in Australia for the past decade, supporting local businesses, communities, and economy. This is an important step towards supporting Blackstone’s belief in sustainability as a value creator.”
Blackstone is one of the largest owners of logistics around the world, with a portfolio spanning 1.1 billion square feet across major geographies including the United States, Canada, United Kingdom, India, Greater China, Japan, and Australia.
Eric Duchon, Global Head of Environmental, Social and Governance (ESG), Blackstone Real Estate, said: “Blackstone’s scale – especially in the logistics sector – enables us to make a difference in the businesses we invest in. We’re thrilled to secure our first third-party verified SLL in the region, which we believe will improve the performance of our assets, the overall experience for our occupiers, and drive long-term value for our investors.”
MUFG Bank acted as Sole Sustainability Coordinator and joined Morgan Stanley, National Australia Bank and United Overseas Bank as Mandated Lead Arrangers, Underwriters and Bookrunners for the transaction.
1 Based on publicly available information from Bloomberg
About Blackstone Real Estate
Blackstone is a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has US$333 billion of investor capital under management. Blackstone is the largest owner of commercial real estate globally, owning and operating assets across every major geography and sector, including logistics, residential, office, hospitality and retail. Our opportunistic funds seek to acquire undermanaged, well-located assets across the world. Blackstone’s Core+ business invests in substantially stabilized real estate assets globally, through both institutional strategies and strategies tailored for income-focused individual investors including Blackstone Real Estate Income Trust, Inc. (BREIT), a U.S. non-listed REIT, and Blackstone’s European yield-oriented strategy. Blackstone Real Estate also operates one of the leading global real estate debt businesses, providing comprehensive financing solutions across the capital structure and risk spectrum, including management of Blackstone Mortgage Trust (NYSE: BXMT).