The world’s largest private equity firm has bankrolled campaigns against rent control and been accused by the United Nations of fueling a global housing crisis. Now, as millions are threatened with eviction during the pandemic, Blackstone’s top executive is openly bragging that the firm is making huge profits off of rent increases.
At the Goldman Sachs Financial Services Conference on December 9, 2020, Blackstone’s billionaire CEO, Stephen Schwarzman, boasted that after the 2008 financial crisis, his firm was able to cash in on the mortgage crisis. At the time, the company was able to buy up foreclosed homes and convert them into rental properties subsequently plagued by accusations of dilapidation and excessive fees — all while it received a big financial boost from the government.
Schwarzman, a top Republican donor and close ally of Donald Trump, indicated his firm is positioning itself for a similar jackpot.
Read more at Jacobin.