Blackstone to buy Canada’s WPT Industrial REIT for $1.86 billion

Industry:    2021-08-10

Blackstone has agreed to buy WPT Industrial Real Estate Investment Trust for about $1.86 billion, as it looks to capitalize on the e-commerce-driven boom in demand for logistics properties.

The deal announced on Monday values Canada-based WPT Industrial, the owner of more than 100 logistics properties across 19 U.S. states, at $22 per unit. That represents a premium of 17% to its last close.

“Logistics remains one of our highest conviction themes as the sector continues to benefit from strong tailwinds driven by e-commerce,” Blackstone senior managing director David Levine said in a statement.

The acquisition, which will be executed through Blackstone’s real estate income trust, is valued at $3.1 billion including debt. It includes a break-up fee of $73.8 million in case WPT Industrial enters into a superior deal.

Morgan Stanley and Desjardins Capital Markets served as advisers to WPT Industrial, while Eastdil Secured advised Blackstone.

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