Blackstone is limiting withdrawals from its $69B real estate investment fund after a surge of redemption requests from investors seeking to cash out breached the REIT's quarterly repurchase limit.
The stampede of investors seeking to liquefy their assets at one of the largest global private equity investment funds is an ominous sign that economic headwinds are building in commercial property markets.
As a nontraded REIT, Blackstone Real Estate Income Trust has thresholds on how much money investors can take out to avoid forced selling. In a letter to investors on Thursday, BREIT said redemption requests have exceeded the 2% of the net asset value monthly limit and the 5% quarterly threshold.
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