Blackstone Opts to Sweeten Deal as REITs Upend Playbook

  • Firm offered seller financing on student housing deal
  • Others are infusing REITs with cash, limiting withdrawals
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When Blackstone Inc. put a portfolio of student dorms up for sale, it worked behind the scenes to make the deal even more attractive.

First, the firm dangled the option for buyers to take over $800 million in debt that had already been negotiated at low rates. And after bids came in, Blackstone stepped up as a provider of below-market financing, bringing the total package to about $1 billion.