New York-based Blackstone Group announced Tuesday plans to purchase 66 residential apartment complexes in San Diego for more than $1 billion in one of the largest real estate deals in county history.
The private equity firm is purchasing about 5,800 apartment units from the estate of deceased real estate mogul and philanthropist Conrad Prebys, according to the San Diego Union-Tribune.
The sale solidifies Blackstone’s position as one of the largest real estate holders in San Diego. The group already owns $4.5 billion in county assets including Legoland and the Hotel del Coronado, the Union-Tribune reported.
A representative from the Conrad Prebys Foundation told the Union-Tribune money from the deal will be used for charitable grants primarily in San Diego.
In February, KPBS reported concerns from elected officials and advocates over losing critical affordable housing upon learning the foundation was looking to sell.
Blackstone told the Union-Tribune it plans to keep most units affordable for residents who make 80 percent or less of the area median income.
The transaction, which includes Los Angeles-based investment firm TruAmerica, is expected to close in a matter of weeks, according to the Union-Tribune.