Blackstone and Telereal to buy £1.5bn Arches portfolio

Network Rail has selected a preferred party to buy its £1.46bn Arches portfolio in one of the most anticipated real estate deals of the year.

Blackstone and Telereal Trillium have struck a deal to buy the controversial 5,200-asset portfolio on a 50:50 basis, having fought off competition from Li Ka-Shing’s CK Asset Holdings, Ellis Short’s Kildare Partners and Guy Hands’ Terra Firma Capital Partners.

For Blackstone the deal is the latest in a series of platform business investments as it looks to deploy cash it has raised for a core-plus strategy. For Telereal the deal sees it bolster