Blackstone’s $59 Billion Property Trust Hit by Starwood Fallout

Property trusts have come under heightened pressure as real estate values have plunged.

Photographer: Alex Kraus/Bloomberg
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A $59 billion Blackstone Inc. property trust is contending with the fallout from a rival’s decision to enforce stricter limits on investors.

Repurchase requests by investors in Blackstone Real Estate Income Trust ticked up in May, according to a shareholder letter Monday, after rival Starwood Real Estate Income Trust tightened limits. Starwood’s decision further chilled investor sentiment about a real estate sector hammered by rising rates.