Blackstone’s data center gamble

• Blackstone’s flagship real estate fund, known as BREIT, has been under pressure for months.
• The firm has recently touted its data center investments amid the artificial intelligence boom.
• Blackstone’s push into data centers comes with its own set of challenges and questions.

To help it reach $1 trillion in assets, Blackstone has wagered big sums on apartment buildings, warehouses, student housing, and other commercial real estate assets that proved to be shrewd investments.  

Now, as borrowing costs rise, property values sink, and a once-soaring real estate market has become perilous, the investment giant is turning to ChatGPT for answers — literally.