Blackstone Venture to Buy Hawaii Property Owner for $1.5 Billion

A joint venture between Blackstone Inc.’s real estate business, MW Group and DivcoWest struck a deal to purchase a Hawaiian commercial property owner Alexander & Baldwin Inc. in a $1.5 billion all-cash deal.

The buyers agreed to pay $21.20 a share for the company, according to a statement Monday. Including debt, the enterprise value of the transaction, which is expected to be completed in the first quarter, is about $2.3 billion.

A&B, which traces its roots back 155 years to sugar growers on Maui, owns roughly 4 million square feet (372,000 square meters) of commercial real estate, including shopping ...