Simpson Thacher is representing Blackstone Real Estate Partners VII L.P. in connection with its proposed sale of The Cosmopolitan of Las Vegas (“The Cosmopolitan”) for $5.65 billion. MGM Resorts International intends to acquire the operations of The Cosmopolitan and sign a long-term net lease with a partnership between Cherng Family Trust, Stonepeak Partners and Blackstone Real Estate Income Trust, Inc., which will acquire The Cosmopolitan’s real estate assets. The transaction is expected to close in early 2022, subject to regulatory approvals and customary closing conditions.
Since acquiring The Cosmopolitan in 2014, Blackstone, together with a best-in-class management team, transformed the resort into the leading destination on the Las Vegas Strip by implementing significant operational changes and investing more than $500 million into the property. The sale is Blackstone’s most profitable single asset deal to date.
The Simpson Thacher team includes Gregory Ressa, Anthony King, Erik Quarfordt, Danielle Jackson, Jason Mohr, Brittany Baclawski, Gianna Ceophas and Kristen Lucas (Real Estate); Heesu Kim (M&A); Nancy Mehlman, Tyler Robbins and Lina Pan (Tax); Lori Lesser (Intellectual Property); Gregory Grogan and Laura Gallo (Executive Compensation and Employee Benefits); Peter Guryan, Kelly Karapetyan and Andrew Jensen (Antitrust); David Caldwell, Michael Carnevale and Daniel Levine (Regulatory); and Adeeb Fadil and Noreen Lavan (Environmental).