Blackstone to invest in China's real estate market

August 23 Morning News, according to foreign media reports, the United States private equity group Blackstone and one of Hong Kong's largest property developers Eagle June Group reached an agreement to build more than 1000 new apartments in mainland China and the construction of more than 400 hotel rooms.　　According to the FT, Blackstone has agreed to fund the Eagle Group's residential development project in Dalian, Liaoning, building more than 1000 new apartments in the coastal city, and plans to build more than 400 hotel rooms in stages. In its latest performance report, Eagle said it would invite investors to join the Dalian project in the form of a joint venture.　　The project can be developed with a gross area of 3 million square feet and will be launched this year.　　Blackstone, which has invested in too many Chinese companies, has said that China's rapid economic growth and low valuations mean high returns, while wage inflation and urbanisation underpin investment values. In the opinion of market commentators, the deal is in line with Blackstone's strategy of investing in emerging markets – a group that has been particularly interested in China and India over the past year.