Blackstone Group LP is reportedly arranging to borrow up to $1.35 billion to refinance 21 U.S. office properties.
Bloomberg News, citing three unnamed sources, reports that MetLife and New York Life Insurance Co. will underwrite a two-year senior mortgage worth approximately $850 million, with three one-year extensions. Government of Singapore Investment Corp. will reportedly offer a mezzanine loan of $450 million to $500 million.
The properties being refinanced are mostly located in California and were acquired by Blackstone as part of its 2006 purchase of CarrAmerica Realty Corp. and its role in a joint venture's purchase of Trizec Properties Inc. in 2006. The properties cover a total of 5.7 million square feet, and the refinancing is expected to be completed next month.
Blackstone did not publicly comment on the news report.
