Blackstone and Apollo's Real Estate Investments: A Comparative Analysis

Overview

Blackstone and Apollo Global Management are two of the largest and most successful private equity firms in the world. While private equity is their largest category of investments, both Blackstone and Apollo also have hundreds of billions of dollars in holdings in real estate.

Blackstone's Real Estate Portfolio

Blackstone is the world's largest real estate investor. As of June 2021, the firm had $273 billion of real estate assets under management. Blackstone's real estate portfolio includes a wide range of property types, including office buildings, apartments, warehouses, and hotels. The firm also has a significant investment in real estate debt.

Apollo's Real Estate Portfolio

Apollo is also a major player in the real estate market. As of March 2021, the firm had $110 billion of real estate assets under management. Apollo's real estate portfolio includes a mix of property types, with a focus on office buildings and apartments. The firm also has a significant investment in real estate debt.

Investment Strategies

Blackstone and Apollo have different investment strategies when it comes to real estate. Blackstone typically takes a more active approach, buying properties that it believes are undervalued and then investing in them to improve their value. Apollo, on the other hand, takes a more passive approach, investing in properties that are already generating cash flow.

Performance

Both Blackstone and Apollo have a strong track record of performance in real estate. Blackstone's real estate portfolio has generated an average annual return of 15% since 2011. Apollo's real estate portfolio has generated an average annual return of 12% since 2011.

Outlook

The outlook for real estate is positive. Blackstone and Apollo are both bullish on the asset class, and they expect to continue to invest heavily in real estate in the years to come.

Conclusion

Blackstone and Apollo are two of the most successful real estate investors in the world. Both firms have a strong track record of performance, and they are both bullish on the outlook for real estate. Investors looking for exposure to the real estate market should consider investing in Blackstone or Apollo.