February 18, 2020
MGM Resorts International, MGM Growth Properties (MGP) and Blackstone Real Estate Income Trust (BREIT) closed on their previously announced transaction for a joint venture of MGP and BREIT to acquire the Las Vegas real estate assets of the MGM Grand and Mandalay Bay for $4.6 billion.
The acquisition was announced in mid-January. BREIT previously closed on its acquisition of another MGM Resorts property in Vegas, the Bellagio, for $4.25 billion.
As part of the JV agreement on the MGM Grand and Mandalay Bay, BREIT has purchased approximately 4.9 million MGP Class A shares at $30.67 per share.
In addition, MGM Resorts has entered into a long-term triple net master lease for both properties, and will continue to manage, operate and be responsible for all aspects of the properties on a day-to-day basis, with the JV owning the properties and receiving rent payments.
For comments, questions or concerns, please contact Paul Bubny