Deals
Blackstone Sees End of Property’s ‘Great Run’ as Returns Fade
- Investors should brace for lower returns: Blackstone executive
- GIC: Elevated prices limit its global real-estate investment
Boxes stand during construction at the Salesforce Tower in San Francisco, California, U.S., on Monday, April 3, 2017. The Salesforce Tower, officially the tallest occupiable building west of Chicago, is 61 stories high and is expected to be completed in 2017.
Photographer: Michael Short/BloombergThis article is for subscribers only.
Blackstone Group LP, the world’s biggest private equity fund, told investors to dial back their expectations for property returns as the “great run” of the past five years becomes harder to replicate.
Investors should “calibrate” their expectations,” Chris Heady, Asia Pacific chairman and head of Asian real estate, told a conference in Singapore on Tuesday. “They’re probably going to be lower over the next five years.”