Blackstone buys into The Office Group's flexi office portfolio

Blackstone has acquired a majority interest in The Office Group which would value the flexible workspace provider at approximately $640 million or 500 million pounds. Started in 2003, the company maintains workspace in 36 buildings, mainly across central London, and has a client base of more than 15,000 members. Its clients include AOL, Dropbox, Pinterest, British Gas and Santander. Co-founders Charlie Green and Olly Olsen will remain as co-chief executives of the TOG when the deal closes later this month. Blackstone’s real estate business, founded in 1991, has about $102 billion in investor capital under management. Its assets include Hilton Worldwide and OfficeFirst.

“The traditional workspace is being redefined in gateway cities across the globe, as evolving business practices increase demand for flexible office space,” said Anthony Myers, Blackstone’s head of European real estate.