Realty Income Corporation (NYSE:O) signed a definitive agreement to acquire 21.9% stake in Bellagio BREIT Venture from Blackstone Real Estate Income Trust, Inc. for approximately $950 million.

Realty Income Corporation (NYSE:O) signed a definitive agreement to acquire 21.9% stake in Bellagio Real Estate Assets from Blackstone Real Estate Income Trust, Inc. for approximately $950 million on August 25, 2023. Upon closing, Realty Income will invest approximately $300 million of common equity in the joint venture, subject to certain adjustments, to acquire a 21.9% indirect interest in the property, BREIT will retain a 73.1% indirect interest, and MGM Resorts International will retain a 5.0% interest in the property. Realty Income will also invest $650 million to acquire a yield-bearing preferred equity interest in the joint venture.

The transaction is expected to close in the fourth quarter of 2023 and is subject to customary closing conditions. PJT Partners Inc. (NYSE:PJT), Citigroup Global Markets Inc., J.P. Morgan Securities LLC, SG Americas Securities, LLC, Desjardins Capital Markets, Mizuho Securities USA LLC acted as financial advisor and Erik Quarfordt, Anthony D. King, and Nancy L. Mehlman of Simpson Thacher & Bartlett LLP acted as legal advisor to Blackstone Real Estate Income Trust, Inc.