THE PULSE: Deutsche Bank has sold The Cosmopolitan of Las Vegas to Blackstone Real Estate Partners,

WHY IT RATES: The Cosmopolitan of Las Vegas was an anomaly from the start.  No one had ever put six floors of parking below the strip.  No one put the casino’s footprint literally on the strip, and then put huge windows in so the world could watch as they drove by.  I helped open the $3.9 Billion resort and worked there for the first two years.  One of the best parts of working there was that the Cosmopolitan was Duetsche Bank’s first foray into the casino business.  So they hired really experienced people who were looking to do something different.

Difference that Matters was our mantra and the suits upstairs, for the most part, let us do it.  To this day, I think that still sets them apart.  In my opinion, selling to Blackstone is a perfect fit.  Blackstone has turned over Extended Stay for a $4.9B profit in just two years, picked up La Quinta for $3.4B in 2005 and recently went all IPO crazy after the $26B takeover of Hilton.  But this is their first foray into the casino world.  The Cosmopolitan is a great place to visit, and was an incredible place to work for.  Let’s hope that Blackstone’s commitment is to creating stories worth telling for that truly would be a difference that matters. - Tom Bastek, TravelPulse contributor

In a statement released Thursday, Deutsche Bank announced that it has reached an agreement with Blackstone Real Estate Partners VII to sell Nevada Property 1 LLC, the owner of The Cosmopolitan of Las Vegas, a leading resort and casino. Under the transaction, Blackstone Real Estate Partners VII will acquire 100 percent of The Cosmopolitan of Las Vegas for $1.73 billion, which will be paid in cash. The transaction is subject to regulatory approvals.

The sale will have a net positive impact on the Bank's CRD4 pro-forma fully loaded common equity tier 1 ratio of approximately five basis points upon closing of the transaction. The Cosmopolitan of Las Vegas is held within the Bank’s Non-Core Operations Unit (NCOU).

“As part of our Strategy 2015+, the Bank is committed to reducing its non-core legacy positions in a capital efficient manner which benefits shareholders“, said Pius Sprenger, head of the non-core operations unit, in the statement. “We are pleased to have agreed to this sale and to have delivered on our commitment."

SOURCE: Deutsche Bank press release