University of California Under Fire for Blackstone Investment

At the beginning of the year, the University of California (UC) delivered a windfall to Blackstone’s real estate trust (BREIT), at a time when the fund faced a wave of redemptions from investors. The investment arm of the university system first poured over $4 billion into the fund, and then doubled down recently with another $500 million. The university’s unions oppose the deal on the grounds that corporate landlords such as Blackstone inflame California’s housing crisis by driving up rents and eviction rates. Union leaders have announced upcoming actions to urge the university to divest from Blackstone.