Now the private equity firm has spotted the next big opportunity as the virus-induced recession crushes the working poor, that is, betting on mobile-home parks.
The alternative asset manager has made a drastic shift in investment focus in the last 12 months. This time last year, Blackstone was bidding on a portfolio of luxury hotels - now they're in talks to purchase up to 40 mobile-home parks from Summit Communities for $550 million, according to Bloomberg, who spoke with several people with direct knowledge.
Sources said Blackstone could make the purchase through a vehicle known as Blackstone Real Estate Income Trust (BREIT). If the private equity firm purchases the portfolio, many of the properties will undergo upgrades.
"Though our investments in this asset class are very limited, we are proud to partner with a best in class operator and plan to invest significant capital into these communities – which are largely occupied by seasonal residents and retirees – to create high-quality housing in places where people want to live," Blackstone said in a statement.