Oct. 1, 2015, 3:17 PM
- There's a disconnect and that creates opportunities for us," says Blackstone (BX -0.9%) global real estate chief Jon Gray, speaking about the gaping hole between the net asset values and stock prices for much of the REIT sector.
- Blackstone, of course, stepped right into that gap last month with an agreement to buy Strategic Hotels (NYSE:BEE) for $6B. The P-E giant also is reportedly sniffing around BioMed Realty Trust (BMR +1.4%).
- The iShares Dow Jones U.S. Real Estate ETF (NYSEARCA:IYR) is off about 15% since its 2015 peak in late January. How about the gap in Blackstone? It's stock is lower by about 30% since Memorial Day.
- Previously: Frustrated Schwarzman argues higher valuation for Blackstone (Sept. 4)
- ETFs: IYR, VNQ, DRN, URE, RQI, SCHH, ICF, SRS, RWR, RNP, JRS, KBWY, RFI, NRO, DRV, RIT, REK, RIF, FRI, FTY, PSR, DRA, FREL, WREI, IARAX
The Funds principal objective is to provide high income and, secondarily, capital appreciation through investing mainly in REITs. Under normal market conditions, the Fund will invest: at least 40%, but no more than 60%, of its total assets in common stock
Industry: Closed-End Fund - Equity
Country: United States
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