Real Estate
Blackstone’s BREIT Gains 2%, Failing to Let Managers Reap Profit
- High borrowing costs are still weighing on investors
- BREIT executives say recovery is underway but not ‘V-shaped’
Blackstone headquarters in New York.
Photographer: Angus Mordant/BloombergThis article is for subscribers only.
One of the world’s most-watched real estate funds is presenting a reality check: The property market rebound that investors have been betting on is slow-going.
Blackstone Inc.’s major fund for wealthy investors gained 1.95% in 2024, the second year the Blackstone Real Estate Income Trust failed to deliver returns that would allow its managers to reap profits. The firm can only share in carried interest if BREIT delivers at least 5% in a year.