Realty Income Corporation is committing US$800m to CityCenter in Las Vegas through a preferred equity investment that will provide the company with a projected initial return of 7.4 per cnet, with potential increases after five years. The investment further underscores sustained institutional interest in major Strip assets.
Under the terms of the transaction, Realty Income will receive fixed returns on its capital while Blackstone Real Estate, the property’s owner, retains full operational control. MGM Resorts International will continue to operate the Aria casino and the Vdara hotel under existing triple-net lease arrangements, which require MGM to cover operational expenses while annual rent escalates.
The agreement builds on the two firms’ prior collaboration on a Bellagio joint venture established in 2023. Blackstone noted that the structure provides liquidity for its investors while preserving long-term ownership of the core Strip destination.
The transaction is expected to close on 9 December.
The post Realty Income invests $800m in CityCenter in preferred equity deal appeared first on G3 Newswire.
Realty Income Corporation is committing US$800m to CityCenter in Las Vegas through a preferred equity investment that will provide the company with a projected initial return of 7.4 per cnet, with potential increases after five years. The investment further underscores sustained institutional interest in major Strip assets. Under the terms of the transaction, Realty Income…
The post Realty Income invests $800m in CityCenter in preferred equity deal appeared first on G3 Newswire.