Blackstone Group LP (BX.N) is expanding its apartments portfolio to include 80 apartment buildings from the lending arm of General Electric Co. 

The move reflects the anticipation of the the private equity group that a shift towards rental property in the country will take place. Downsizing baby boomers as well as homeowners who lost their homes because of the recession are expected to demand highly for rental properties.

As such, investors are keen to the apartment rental market, fueling property prices further. Blackstone Group is one of the companies expecting such positive changes to continue.

The apartment complexes are valued at US$2.7 billion and upon closing, will give Blackstone majority control rights over them. The apartment complexes included in the deal have around 30,000 units located across the Southern part of the US.

The deal is brought about by General Electric's decision to cut down on its property holdings. The industrial conglomerate is currently restructuring its finance division.

According to the Financial Times, the matter is yet is to formally disclosed by both Blackstone and GE Capital.