Another $1B for Commercial Real Estate

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Includes: BX, VNO, VNQ
by: The Good News Economist

According to reports in the online version of the Wall Street Journal, one of the largest real-estate investment trusts in the US is seeking to raise $1 billion to invest in commercial properties.

Vornado Realty Trust (NYSE:VNO), one of the biggest real-estate investment trusts in the U.S., says, it would seek "high quality assets at distressed prices."

Vornado is already a major commercial landlord in East Coast markets, most notably New York and Washington DC.

The reports come less than a week after Blackstone Group (NYSE:BX) said it had finished raising $4.3 billion, for its Blackstone Real Estate Partners Europe III fund. (“BREP Europe III”)

That placement will aim to exploit the real estate recovery by "taking advantage of the inevitable recapitalization of the property sector" according to Blackstone.