November 13, 2015
Blackstone Group LP is purchasing $3 billion of property fund stakes from the California Public Employees’ Retirement System (CalPERS).
A Blackstone division will purchase CalPERS’ shares in 43 real estate funds that invest in properties around the world. CalPERS is making the move to lessen its costs and reduce its asset managers. The pension plan suffered a 37 percent loss on its real estate portfolio in 2010.
CalPERS currently has $27.1 billion in real estate holdings, and is now focusing on apartments, industrial parks, offices and retail space.