Blackstone Advisory Partners L.P.
,
Dealer Manager / Member FINRA
Blackstone Real Estate
Income Trust (BREIT)
December 2018
Bringing Institutional Real Estate to Income-Focused Investors*
$
13.9B 474 94%
Total Asset Value** Number of Properties Occupancy**
Annualized Distribution Rate†
Class I 5.86%
Class D 5.66%
Class S 4.97%
Class T 5.07%
All figures as of December 31, 2018 unless otherwise noted. This is neither an offer to sell nor a solicitation of an offer to buy the securities
described herein, and must be read in conjunction with the prospectus in order to understand fully all of the implications and risks of the
offering to which this sales and advertising literature relates. A copy of the prospectus must be made available to you in connection with this
offering, and is available at www.breit.com.
* Distributions are not guaranteed and may be sourced from non-income items.
** Other than Total Asset Value and Net Asset Value, all information set forth herein reflects real estate property investments only and does not include
investments in debt securities. Occupancy is weighted by the total value of all real estate properties, excluding hospitality investments.
†
Reflects the current month’s distribution annualized and divided by the prior month’s net asset value, which is inclusive of all fees and expenses.
100% of these distributions were funded from cash flows from operations.
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Diversified Portfolio Concentrated in High Growth U.S. Markets*
Property Type Metrics
51%
Multifamily**
39K
Units**
37%
Industrial
51M
Square Feet
11%
Hospitality
4K
Keys
1%
Retail
3
Grocery-Anchored
Shopping Centers
* Data is as of December 31, 2018. A diversified portfolio does not eliminate risk or indicate a higher level of returns.
** Multifamily includes other types of rental housing such as manufactured and student housing. Multifamily units include manufactured housing sites and student hous-
ing beds.
The selected images of certain BREIT investments above are provided for illustrative purposes only, are not representative of all BREIT investments of a given property
type and are not representative of BREIT’s entire portfolio.
Sponsored by One of the World’s Largest Commercial Real Estate Investors
Blackstone Advisory Partners L.P.,
Dealer Manager / Member FINRA
$
120B
Blackstone Real Estate Investor Capital Under Management
†
†
as of September 30, 2018
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Portfolio Highlights
Total Asset Value1 $13.9 Billion By Geography3 By Asset Allocation3
9%
Net Asset Value (NAV) $4.8 Billion 17%
15%
41%
Number of Properties 474
35% 83%
Leverage Ratio2 57%
Inception Date January 2017 South West Real Estate
East Midwest Debt Securities
Performance Summary4
MONTHLY YTD ITD 5
Growth of $10,000 Investment6
Class I -0.10% 8.33% 9.94% $12,000
12000
Class D (No Sales Load) -0.12% 7.93% 10.23%
Class D (With Sales Load)* -1.60% 6.34% 9.19%
$11,500
Class S (No Sales Load) -0.17% 7.56% 9.08% 11500
Class S (With Sales Load)* -3.55% 3.92% 7.08%
Class T (No Sales Load) -0.17% 7.37% 9.25%
$11,000
11000
Class T (With Sales Load)* -3.55% 3.74% 6.80%
* Assumes payment of the full upfront sales charge at initial subscription (1.5% for Class D
shares; 3.5% for Class S and Class T shares).
Past performance is historical and not a guarantee of future results. $10,500
10500
Monthly NAV
CLASS I CLASS D CLASS S CLASS T $10,000
10000
Jan
Jan Mar Apr May JunJul
Feb‘17 Jul ‘17
Aug Sep Oct Nov Jan ‘18 Feb Mar Apr May
Dec Jan JulJun
‘18Jul Aug Sep Oct
DecNov‘18
Dec
NAV per share $10.80 $10.68 $10.82 $10.63
CLASS I CLASS D CLASS S CLASS T
Data is as of December 31, 2018. Past performance does not guarantee future results. Financial data is estimated and unaudited.
1. Total asset value is measured as the gross asset value of real estate assets (based on fair value) plus the total fair value of real estate-related securities as well as the
addition of any other assets (including cash or any other cash equivalents).
2. Leverage is measured on gross real estate assets (calculated using the greater of fair market value and cost of gross real estate assets, including equity in our securities
portfolio), inclusive of property-level and entity-level debt net of cash, but excluding debt on our securities portfolio. The leverage ratio would be higher if debt on our
securities portfolio was taken into account.
3. Geography weighting is measured as the total asset value of each category against the total asset value of all real estate properties. Asset Allocation is measured as the
total asset value of each category against the total asset value of invested assets which includes both real estate properties and real estate debt securities. Totals may
not sum due to rounding.
4. Returns shown reflect the percent change in the NAV per share from the beginning of the applicable period, plus the amount of any distribution per share declared
in the period. All returns shown assume reinvestment of distributions pursuant to BREIT’s distribution reinvestment plan, are derived from unaudited
financial information and are net of all BREIT expenses, including general and administrative expenses, transaction related expenses, management fees,
performance participation allocation, and share class specific fees, but exclude the impact of early repurchase deductions on the repurchase of shares
that have been outstanding for less than one year. Past performance is historical and not a guarantee of future results. Class T, Class S and Class D shares
listed as (With Sales Load) reflect the returns after the maximum up-front selling commission and dealer manager fees. Class T, Class S and Class D shares listed as (No
Sales Load) exclude up-front selling commissions and dealer manager fees. The inception dates for the Class I, S, D and T shares are January 1, 2017, January 1, 2017,
May 1, 2017, and June 1, 2017, respectively. The returns have been prepared using unaudited data and valuations of the underlying investments in BREIT’s
portfolio, which are estimates of fair value and form the basis for BREIT’s NAV. Valuations based upon unaudited reports from the underlying
investments may be subject to later adjustments, may not correspond to realized value and may not accurately reflect the price at which assets could be
liquidated. For more information, please see Share Class-specific Fees on page 4.
5. Inception to date (“ITD”) returns for BREIT are annualized. Returns are annualized by multiplying the ITD return by twelve months, divided by the number of months
outstanding for the applicable share class. Please see footnote 4 above for the inception date of each class.
6. Past performance is historical and not a guarantee of future results. Performance returns reflect reinvested distributions and changes in the NAV per share. For
Class S and T shares, the maximum amount of up-front fees paid for an investment of $10,000 is $350. For Class D shares, the maximum amount of up-front fees paid
for an investment of $10,000 is $150. There are no up-front fees for purchases of Class I shares.
This is neither an offer to sell nor a solicitation of an offer to buy the securities described herein, and must be read in conjunction with the prospectus in order to understand
fully all of the implications and risks of the offering to which this sales and advertising literature relates. A copy of the prospectus must be made available to you in
connection with this offering, and is available at www.breit.com.
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Share Class-Specific Fees
CLASS I CLASS D CLASS S CLASS T
Through fee-based (wrap) programs, Through transactional/brokerage accounts
Availability registered investment advisors, and other
institutional and fiduciary accounts
UPFRONT
Selling commissions1 None Up to 1.5% Up to 3.5% Up to 3.0%
Dealer manager fee1 None None None 0.50%
0.65% financial
ONGOING
Stockholder servicing
fees1 (per annum, None 0.25% 0.85% advisor
payable monthly) 0.20% dealer
Advisor fees
Management fee 1.25% per annum of NAV, payable monthly
Performance
participation allocation 12.5% of the annual total return, subject to a 5% annual hurdle amount and a high water mark
1. Select broker-dealers may have different suitability standards, may not offer all share classes, and/or may offer BREIT at a higher minimum initial investment.
With respect to Class T shares, the amounts of upfront selling commissions and dealer manager fees may vary at select broker-dealers, provided that the sum will not
exceed 3.5% of the transaction price. The financial advisor and dealer stockholder servicing fee for Class T shares may also vary at select broker-dealers, provided that
the sum of such fees will always equal 0.85% per annum of the aggregate NAV of such shares.
SUMMARY OF RISK FACTORS
Blackstone Real Estate Income Trust, Inc. (“BREIT”) is a non-traded REIT that seeks to invest in stabilized commercial real estate properties diversified by sector with a focus
on providing current income. This investment involves a high degree of risk. You should purchase these securities only if you can afford the complete loss of your investment. You
should read the prospectus carefully for a description of the risks associated with an investment in Blackstone Real Estate Income Trust. Some of these risks include but are not
limited to the following:
• Since there is no public trading market for shares of our common stock, repurchase of shares by us will likely be the only way to dispose of your shares. Our share repurchase plan
provides stockholders with the opportunity to request that we repurchase their shares on a monthly basis, but we are not obligated to repurchase any shares and may choose to
repurchase only some, or even none, of the shares that have been requested to be repurchased in any particular month in our discretion. In addition, repurchases will be subject
to available liquidity and other significant restrictions. Further, our board of directors may modify, suspend or terminate our share repurchase plan if it deems such action to be
in our best interest and the best interest of our stockholders. As a result, our shares should be considered as having only limited liquidity and at times may be illiquid.
• We cannot guarantee that we will make distributions, and if we do we may fund such distributions from sources other than cash flow from operations, including, without
limitation, the sale of assets, borrowings, return of capital or offering proceeds, and we have no limits on the amounts we may pay from such sources.
• The purchase and repurchase price per share for each class of common stock will vary and will generally equal our prior month’s net asset value (“NAV”) per share, as determined
monthly, plus applicable upfront selling commissions and dealer manager fees. We may offer shares at a price that we believe reflects the NAV per share of such stock more
appropriately than the prior month’s NAV per share in cases where we believe there has been a material change (positive or negative) to our NAV per share since the end of the
prior month.
• We have no employees and are dependent on BX REIT Advisors L.L.C. (the “Advisor”) to conduct our operations. The Advisor will face conflicts of interest as a result of, among
other things, the allocation of investment opportunities among us and other Blackstone accounts, the allocation of time of its investment professionals and the substantial fees
that we will pay to the Advisor.
• On acquiring shares, you will experience immediate dilution in the net tangible book value of your investment.
• There are limits on the ownership and transferability of our shares.
• If we fail to qualify as a REIT and no relief provisions apply, our NAV and cash available for distribution to our stockholders could materially decrease.
• We do not own the Blackstone name, but we are permitted to use it as part of our corporate name pursuant to a trademark license agreement with an affiliate of The Blackstone
Group L.P. (together with its affiliates, “Blackstone”). Use of the name by other parties or the termination of our trademark license agreement may harm our business.
• While BREIT’s investment strategy is to invest in stabilized commercial real estate properties diversified by sector with a focus on providing current income to investors, an
investment in BREIT is not an investment in fixed income. Fixed income has material differences from an investment in a non-traded REIT, including those related to vehicle
structure, investment objectives and restrictions, risks, fluctuation of principal, safety, guarantees or insurance, fees and expenses, liquidity and tax treatment.
• We intend to continue to qualify as a REIT for U.S. federal income tax purposes. However, if we fail to qualify as a REIT and no relief provisions apply, our NAV and cash
available for distribution to our stockholders could materially decrease.
• The acquisition of investment properties may be financed in substantial part by borrowing, which increases our exposure to loss. The use of leverage involves a high degree of
financial risk and will increase the exposure of the investments to adverse economic factors.
• Investing in commercial real estate assets involves certain risks, including but not limited to: tenants’ inability to pay rent; increases in interest rates and lack of availability of
financing; tenant turnover and vacancies; and changes in supply of or demand for similar properties in a given market.
• BREIT will directly own private real estate assets. Any references to “private real estate” and “direct ownership” is referring to the BREIT strategy. Individual investors will own
shares of common stock in BREIT as opposed to direct ownership of private, non-traded real estate assets.
Numerical data is approximate and as of December 31, 2018 unless otherwise noted. The words “we”, “us”, and “our” refer to Blackstone Real Estate Income Trust, Inc., together
with its consolidated subsidiaries, including BREIT Operating Partnership L.P. (the “Operating Partnership”), a Delaware limited partnership of which we are the general partner,
unless the context requires otherwise. Numerical data relating to Blackstone includes activities of Blackstone Real Estate’s public and private portfolio companies (unless
otherwise noted).
You should carefully review the “Risk Factors” section of our prospectus for a discussion of the risks and uncertainties that we believe are material to our business, operating
results, prospects and financial condition. Except as otherwise required by federal securities laws, we do not undertake to publicly update or revise any forward-looking
statements, whether as a result of new information, future events or otherwise. This sales material must be read in conjunction with the prospectus in order to fully understand all
the implications and risks of the offering of securities to which it relates. This sales material is neither an offer to sell nor a solicitation of an offer to buy securities. An offering is
made only by the prospectus.
Neither the Securities and Exchange Commission, the Attorney General of the State of New York nor any other state securities regulator has approved or disapproved of these
securities or determined if the prospectus is truthful or complete. Any representation to the contrary is a criminal offense.
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