Blackstone has posted rises in revenue and earnings from its real estate division for Q1 compared with the same period last year, amid “strong” results for the quarter.
Distributable earnings in the real estate arm were up by 15% to $616.4bn (£494.9bn) in Q1, compared with the previous year.
Realisations from its real estate sales nearly doubled to $30.3bn in the first quarter, compared with $10.2bn in Q1 2023.
The revenue that the private equity firm earned from the real estate arm was up 20% to $902m, compared with Q1 last year.
The firm posted a 2.3% rise in total assets under management within its real estate portfolio to $339.3bn, amounting to just over a third of the firm’s overall $1tn AUM.
Fee-earning AUM from the real estate arm grew to $301.6m, from $287.5m.
Opportunistic real estate funds were mostly flat at 0.3% in Q1, but fell by 5.6% during the past year.
The core-plus property strategies were up by 1.2% during the quarter, but were marked down by 1.5% for the year.
Inflows across the asset manager totalled just over $34bn. The real estate arm recorded nearly $8.1bn of inflows, and almost $45bn in the past 12 months.
Around $63.8bn of dry powder was allocated to real estate, out of its $191.2bn total.
Stephen Schwarzman, chairman and chief executive, said that “accelerating momentum” in its private credit and private wealth businesses were behind the firm’s overall “strong first-quarter results”.
“We are seeing a strengthening transaction environment and attractive opportunities to deploy capital,” he said.
“We are well positioned to navigate today’s dynamic market landscape, with a portfolio concentrated in compelling sectors and nearly $200bn of dry powder available to invest.”
Photo © Taidgh Barron/ZUMA Press Wire/Shutterstock
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