Blackstone Group has agreed to purchase Home Partners of America, which procure and rent single-family homes in a $6 billion deal.
The US housing sector is in great demand, boosted by an economic recovery, ultra-low interest rates, and consistent demand for bigger homes from people working remotely because of the pandemic.
Holding over 17,000 houses in the US, Home Partner rents out to tenants who have an option to buy them eventually.
According to the companies, they expect the deal to be closed by the third quarter.
Co LLC and Goldman Sachs were the financial advisers to Home Partners, while Sidley Austin LLP and Fried, Frank, Harris, Shriver & Jacobson LLP acted as legal counsel.
Wells Fargo Securities and BofA Securities were financial advisers to Blackstone, whereas Bartlett LLP and Simpson Thatcher were its legal counsel.
Jacob Werner, Blackstone real estate senior managing director, said that the fundamental basis of the Home Partners platform is to provide tenants with the chance to live in their chosen home with the option to purchase it.
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