Blackstone sells Bellagio stake to Realty Income Corp. in post-COVID rebound
Realty Income Corp. (O) said Friday it will invest $950 million as part of its acquisition of a 22% stake in the Bellagio Las Vegas from Blackstone Inc.'s (BX) Blackstone Real Estate Income Trust Inc. unit (BREIT). Realty Income agreed to invest about $300 million of common equity to acquire a 22% indirect interest in the property. BREIT will continue to hold a 73.1% indirect interest, and MGM Resorts International (MGM) will keep a 5% interest in the property. Realty Income will also invest $650 million to acquire a yield-bearing preferred equity interest in the joint venture with BREIT to own the property. The latest deal values the Bellagio at $5.1 billion, up from $4.25 billion when it bought the property in 2019 from MGM Resorts International (MGM) in a sale-leaseback deal, according to a Wall Street Journal report. The deal marks a recovery and rebound in the travel business and Las Vegas as a destination in the past three years. Blackstone stock is up 33.5% in 2023, compared to a 14% increase by the S&P 500 .
-Steve Gelsi
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
08-25-23 0810ET
Copyright (c) 2023 Dow Jones & Company, Inc.-
After Earnings, Is Nike Stock a Buy, a Sell, or Fairly Valued?
-
Worst-Performing Stock ETFs of the Quarter
-
Top-Performing Stock ETFs of the Quarter
-
Q2 In Review and Q3 2024 Market Outlook
-
5 Stocks to Buy for 3Q 2024
-
Best- and Worst-Performing Stocks of Q2 2024
-
13 Charts On the Market’s Q2 Turnaround
-
10 Top-Performing Dividend Stocks of Q2 2024
-
33 Undervalued Stocks
-
Utilities: Can the Stocks Keep the Rally Going?
-
Basic Materials: Following Index Decline, We See Many Long-Term Opportunities
-
Healthcare: Valuations Look Attractive In Most Industries
-
Financial Services: Amid Uncertainties, We See the Most Value In Banks and Credit Services
-
Consumer Cyclicals: Even With Anxiety Over Spending, We See Attractive Valuations
-
Real Estate: Interest Rate Movements Drive Performance
-
Technology: Strength Continues, With Software Presenting the Best Buying Opportunities