Blackstone is buying a US medical REIT in an $8bn (鈧�7.1bn) deal.
The company said it agreed to buy BioMed Realty Trust for its Real Estate Partners VIII fund.
BioMed鈥檚 tenants include life science and biotech companies.
The $8bn transaction, approved by BioMed鈥檚 board members, is expected to close early next year.
Nadeem Meghji, co-head of US real estate acquisitions at Blackstone, said BioMed owned an 鈥渆xceptional collection of office buildings catering to life science tenants鈥� in Boston-Cambridge, San Francisco, San Diego and Seattle.
The company holds an 18.8m sq ft portfolio.
鈥淲e believe in the long-term fundamentals of this sector, particularly in locations with top-tier educational and research institutions,鈥� Meghji said.
Alan Gold, chairman, president and chief executive at BioMed Realty, said demand for high-quality, institutional real estate to support the unprecedented growth of the life science industry was at 鈥渉istoric levels鈥�.
鈥淒emand is outpacing supply in all of our core innovation districts,鈥� he said.
鈥淭丑别 public markets are not adequately valuing our assets and proven business model. Entering into this transaction with Blackstone fulfills our board of directors鈥� mission to maximise stockholder value.鈥�
