Blackstone is expanding its presence in Canadian real estate, opening a Toronto office to take further advantage of a hot global market, according to a recent company statement. The New York-based asset manager already owns $10.8 billion in Canadian real estate assets, and in the past 4 years, Blackstone has spent more than $3.18 billion to scoop up warehouses and industrial real estate in the country.
The firm employs 3,550 people across Canada and owns 450 properties there, primarily in logistics. The company has also recently begun buying some office buildings close to residential real estate in Toronto and Montreal. Blackstone also recently invested in Toronto-based Tricon Residential Inc., which owns and manages more than 30,000 single-family rentals and multifamily units in the U.S. and Canada.
The global boom in e-commerce has led to a warehouse shortage in Canada, causing industrial rents to skyrocket and soaring housing costs for rentals have made Canadian apartments a stable property investment. Experts are predicting neither Canada’s warehouse nor housing shortages will slow down anytime soon, which could be a win for big corporate landlords like Blackstone and others in the Canadian market.
Janice Lin will lead Blackstone’s Toronto office, joining the asset manager from housing operator Revera, where she was chief investment officer. Blackstone said Lin “will help drive Blackstone Real Estate’s Canadian footprint as it continues to invest across all asset classes, focusing on its long-term presence in the country.” The company said Canada’s population growth is the highest among G7 nations and is nearly double that of the U.S., so Blackstone likely won’t be the only real estate firm to further expand its presence in the Canadian market.