Blackstone REIT Still Draining - Part 13

From time to time, we look in at our pension and endowment investment in the Blackstone Real Estate Investment Trust (BREIT) which is still experiencing a slow-motion run. As blog readers will know, UC put in $4.5 billion of pension and endowment money as a kind of bailout in exchange for a "guaranteed" high return of 11.25% back in late 2022.

As of January 2024, BREIT was still draining and rationing payouts to investors who wanted to get their money out:

The nation’s largest nontraded REIT has fulfilled 88% of requests from investors looking to cash out their shares. Blackstone Real Estate Investment Trust said the repurchase payout is at its highest percentage since proration began and essentially clears all requests, which have fallen nearly 80% since peaking in January 2023. Of the $1.3B worth of requests received in January, BREIT is fulfilling about $1.1B, executives wrote in a Feb. 1 letter to shareholders. The move implies the tide may be turning for BREIT, which recorded its worst year for annual returns in 2023... 

Full story at https://www.bisnow.com/national/news/commercial-real-estate/breit-fulfills-88-of-13b-january-repurchase-requests-122673.

Note: See also "Another trough coming in 2024 for boom-and-bust non-traded REITs"

https://www.investmentnews.com/investing/features/another-trough-coming-in-2024-for-boom-and-bust-non-traded-reits-248545.