Blackstone, one of the world’s largest real estate investors, is reportedly close to finalising a £1bn deal with Tritax Big Box REIT, a London-listed logistics group. The potential agreement comes only weeks after the two companies were involved in a competitive bidding battle for another industrial property firm.

According to Sky News, Blackstone is preparing to sell around £1bn worth of logistics assets to Tritax Big Box, which currently holds a market capitalisation of approximately £3.65bn. Industry insiders said that while some details are still being discussed, the structure of the deal could see Blackstone accepting part of the payment in the form of Tritax Big Box shares.

Depending on the equity component, the arrangement could make Blackstone one of Tritax Big Box’s largest shareholders following completion. Sources indicated that an official announcement confirming the agreement could be released within days.

The talks come less than two months after Tritax Big Box withdrew from the bidding race for Warehouse REIT, an industrial property group, following Blackstone’s £500m offer. Negotiations between the two companies on this new transaction reportedly began soon after the conclusion of that contest.

A deal of this scale would reinforce the growing importance of the UK’s logistics and warehousing sector, which has seen continued expansion amid rising e-commerce activity and sustained investor interest. Tritax Big Box has positioned itself as a key player in this space, managing a portfolio of large-scale logistics assets across the country.

Among its properties is a 2.3 million square foot site on land once occupied by the Littlebrook power station in Kent, much of which is now pre-let to Amazon and Ikea.

For Blackstone, the potential transaction aligns with its broader strategy to reshape its UK property holdings. The US-based investment group recently pledged to invest £100bn in the UK over the coming years, underlining its long-term commitment to the British market.

Both Blackstone and Tritax Big Box declined to comment on the reported discussions.