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Hundreds of trucks snarl Bolivia farm region as blockades hit business

2023-01-03T23:36:42Z

Hundreds of trucks lined highways in Bolivia’s farming region of Santa Cruz on Tuesday, as protesters blockaded routes out of the region following the arrest of the local governor, and hard-hit local businesses urged a return to order.

Protests have gripped the lowland region since the Dec. 28 arrest of right-wing local leader Luis Camacho on “terrorism” charges related to an alleged 2019 coup against then president Evo Morales.

Protesters demanding Camacho’s release have blocked highways out of the region with tires, branches and stones, leaving long lines of standstill traffic, Reuters witnessed. The blockades threaten deliveries of grains and food around the country.

“I’ve been stuck here since Sunday night, in bad weather conditions enduring rain and heat,” Bolivian haulage driver Alexander Cejas, 40, told Reuters.

“We are not from any political party. But heavy transport is the one that pays for all the broken dishes.”

Truckers and business leaders in the region, a bastion of the conservative opposition to the socialist government of Luis Arce, said the protests were hurting and called for order.

“The population is upset about the imprisonment of a right-wing governor and wants his freedom, but we are paying and suffering with this situation,” said Luiz Hebert Godoy, a Brazilian truck driver transporting Bolivian gas.

Leaders of the largest business associations in Santa Cruz called on the national authorities to comply with the rule of law and treat the region “with respect”, but also appealed to the protesters to lift the blockades.

“If we cannot work because we’re always suffering new interruptions, sieges, strikes or blockades, we lose strength,” said Fernando Hurtado, president the region’s industrial chamber Cainco, in a video message alongside other business heads.

Another source at a local business group said it would be hard for the region to maintain long protests and road blockades, with many still reeling from a lengthy strike last October and November.

“Nobody can afford to suffer more,” the person said.

In Santa Cruz city, protesters have clashed nightly on the streets, burning cars and tires and offloading fireworks. Others have held peaceful marches. Police have responded by using tear gas. Smaller marches have happened in highland city La Paz.

“We are a peaceful people, we want peace, we want to work under normal conditions,” said Gabriela Arias, protesting for Camacho’s release in a women’s march in Santa Cruz.

Others hold Camacho partly responsible for events in 2019 when deadly protests roiled the country and eventually led to the resignation of leftist icon Morales. Camacho had led some of the protests as a local civic leader.

“Blood has been spilled in Bolivia. This cannot go unpunished, we need to get justice. That’s why we’re here,” said Florencia Poma, protesting against Camacho in La Paz.

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Aerial view of a road blocked by demonstrators as protests following the arrest of Santa Cruz governor and right-wing opposition leader Luis Fernando Camacho over an alleged coup in 2019 continue, in Pailon, near Santa Cruz de la Sierra, Bolivia, January 3, 2023. REUTERS/Agustin Marcarian

People ride motorbikes past vehicles as demonstrators block a road following the detention of Santa Cruz governor and right-wing opposition leader Luis Fernando Camacho, for whom prosecutors are seeking pre-trial detention in connection to the 2019 political unrest, in Pailon, near Santa Cruz de la Sierra, Bolivia, January 3, 2023. REUTERS/Agustin Marcarian

People ride motorbikes as demonstrators block a road following the detention of Santa Cruz governor and right-wing opposition leader Luis Fernando Camacho, for whom prosecutors are seeking pre-trial detention in connection to the 2019 political unrest, in Pailon, near Santa Cruz de la Sierra, Bolivia, January 3, 2023. REUTERS/Agustin Marcarian

People gather and sit on their motorbikes as demonstrators block a road following the detention of Santa Cruz governor and right-wing opposition leader Luis Fernando Camacho, for whom prosecutors are seeking pre-trial detention in connection to the 2019 political unrest, in Pailon, near Santa Cruz de la Sierra, Bolivia, January 3, 2023. REUTERS/Agustin Marcarian TPX IMAGES OF THE DAY

A woman walks past vehicles waiting in line as demonstrators block a road following the detention of Santa Cruz governor and right-wing opposition leader Luis Fernando Camacho, for whom prosecutors are seeking pre-trial detention in connection to the 2019 political unrest, in Pailon, near Santa Cruz de la Sierra, Bolivia, January 3, 2023. REUTERS/Agustin Marcarian
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Former astronaut Cunningham, member of first crewed Apollo flight, dies at age 90

2023-01-03T23:49:48Z

Former astronaut Walter Cunningham, who flew to space aboard Apollo 7 in 1968, part of the first crewed Apollo mission paving the way for 12 others to land on the moon in subsequent years, died on Tuesday at age 90, NASA said.

Cunningham joined crewmates Walter Schirra and Donn Eisele for the successful 11-day mission, which was conducted in low-Earth orbit as the first human test flight of the new Apollo spacecraft that would later venture to the moon.

Apollo 7 marked the resumption of NASA’s lunar spaceflight program 31 months after the fire that killed all three members of the Apollo 1 crew during a ground-based launch rehearsal in late January 1967.

Cunningham, who served in the U.S. Navy and Marine Corps, flying 54 missions as a fighter pilot before retiring with the rank of colonel, was selected as an astronaut in 1963 as part of NASA’s third astronaut class, the space agency said.

“Walt Cunningham was a fighter pilot, physicist, and an entrepreneur – but, above all, he was an explorer,” NASA Administrator Bill Nelson said in a statement announcing his death.

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Astronaut Walter Cunningham, Apollo 7 lunar module pilot, is photographed during the Apollo 7 mission in this October 1968 NASA handout photo. NASA/Handout via Reuters/File Photo

Apollo 7 astronaut Walter Cunningham attends a celebration of the Apollo 11 mission, which took humans to the moon for the first time, on the 30th anniversary of the flight, at the Kennedy Space Center in Cape Canaveral, Florida, U.S. July 17, 1999. REUTERS/Joe Skipper
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Kevin McCarthy“s hopes for U.S. House speaker wither in face of hardline opposition

2023-01-03T23:46:10Z

Republican Kevin McCarthy lost a dramatic first vote for speaker of the U.S. House of Representatives on Tuesday (January 3) as hardline conservatives from his own party voted against him, leaving the new Republican majority in turmoil.

Hardline Republicans in the U.S. House of Representatives on Tuesday repeatedly blocked fellow Republican Kevin McCarthy’s bid to become the chamber’s powerful speaker, leaving the chamber leaderless and plunging their new majority into turmoil.

In the first day of what could prove to be a brutal showdown between about 20 hardliners and the other 202 members of the Republican caucus, McCarthy failed in three ballots to achieve the 218 votes needed to become speaker, a role second in line to the Oval Office after the vice president.

It was a disconcerting start for the new Republican majority and highlights the challenges the party could face over the next two years, heading into the 2024 presidential election. Their slim 222-212 majority gives greater clout to a small group of hardliners, who want to focus on dealing defeat to Democrats and pushing investigations of President Joe Biden’s administration and family.

McCarthy, 57, from California, knew he faced an uphill climb heading into Tuesday’s vote and had vowed to continue to force votes, but the chamber on Tuesday evening voted to adjourn until noon ET (1700 GMT) on Wednesday, a move that would give Republicans time to discuss other candidates.

Popular conservative Representative Jim Jordan, 58, from Ohio, won 20 votes in the last ballot of the day, far from the 218 threshold to become speaker but enough to stop McCarthy.

“I think that Kevin knows that this is his last shot,” said Representative Kenneth Buck, who had voted to support McCarthy. He noted that McCarthy previously tried in 2015 to become speaker and failed in the face of conservative opposition, adding, “He’s not gonna have this chance again.”

A protracted speaker election could undermine House Republicans’ hopes of moving forward quickly on investigations and legislative priorities that include the economy, U.S. energy independence and border security.

The chamber’s top Democrat, House Minority Leader Hakeem Jeffries, bested McCarthy in all three votes. In the day’s final tally, Jeffries led McCarthy 212 to 202 votes. A majority of those voting, not a plurality, is needed to determine a speaker.

A standoff would leave the House largely paralyzed and could force lawmakers to consider another Republican candidate. In addition to Jordan, incoming Majority Leader Steve Scalise, 57, from Louisiana, was seen as a possibility.

The last time the House failed to elect a speaker on the first ballot was 1923.

Jordan himself had spoken in support of McCarthy before he was nominated, and all three times voted for him.

“We need to rally around him,” Jordan had said in an impassioned speech on the House floor. “I think Kevin McCarthy’s the right guy to lead us.”

Jordan is a staunch ally of former President Donald Trump and a co-founder of the conservative House Freedom Caucus.

A former college wrestler, Jordan is preparing to oversee the House Judiciary Committee’s investigation of the Justice Department and FBI under Biden.

McCarthy’s hardline opponents are concerned that he is not deeply invested enough in the culture wars and partisan rivalries that have dominated the House – and even more so since Trump’s White House years.

Before the vote, McCarthy tried to persuade the holdouts during a closed-door party meeting, vowing to stay in the race until he gets the necessary votes, but many participants emerged from the gathering undaunted.

McCarthy has spent his adult life in politics – as a congressional staffer then state legislator before being elected to the House in 2006. As speaker, McCarthy would be well placed to frustrate Biden’s legislative ambitions.

But any Republican speaker will have the tough task of managing a House Republican caucus moving ever rightward, with uncompromising tendencies and – at least among some lawmakers – close allegiances to Trump.

Struggles with the party’s right flank cut short the careers of the last two Republican speakers, with John Boehner resigning the post in 2015 and Paul Ryan opting not to run for re-election in 2018.

The record number of voting rounds to elect a House speaker is 133 over a two-month period in the 1850s.

The Democrats picked Jeffries to serve as minority leader after Nancy Pelosi, the first woman to serve as speaker, announced that she would step down from her leadership role. She will remain in office as a representative.

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U.S. House Republican leader Kevin McCarthy (R-CA) is surrounded by reporters after a House Republican caucus meeting on the first day of the 118th Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Evelyn Hockstein

U.S. House Republican leader Kevin McCarthy (R-CA) talks with reporters after a House Republican caucus meeting on the first day of the 118th Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Jonathan Ernst

U.S. House Republican leader Kevin McCarthy (R-CA) reacts to the cheers of his Republican colleagues as he is applauded after casting his own vote for himself to be the next Speaker of the House during a vote in the House Chamber on the first day of the 118th Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Evelyn Hockstein

U.S. Rep. Andy Biggs (R-AZ) talks on his mobile phone in a hallway outside a Republican caucus meeting on the first day of the new Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Jonathan Ernst

U.S. House Republican Whip Rep. Steve Scalise (R-LA) makes his way through the U.S. Capitol to a Republican caucus meeting on the first day of the new Congress in Washington, U.S., January 3, 2023. REUTERS/Jonathan Ernst

The dome of the U.S. Capitol building is reflected in a car window, on the morning of the first day of the 118th Congress in Washington, DC, U.S., January 3, 2023. REUTERS/Jon Cherry

U.S. House Republican leader Kevin McCarthy (R-CA) receives a standing ovation after he was nominated to be the next Speaker of the House by House Republican Conference Chair Elise Stefanik (R-NY) in the House Chamber on the first day of the 118th Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Jonathan Ernst

U.S. House Republican leader Kevin McCarthy (R-CA) faces reporters as he arrives on the first day of the new Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Jonathan Ernst

House Republican leader Kevin McCarthy (R-CA) waves as he arrives on the first day of the new Congress at the U.S. Capitol in Washington, U.S., January 3, 2023. REUTERS/Jonathan Ernst

House Republican leader Kevin McCarthy speaks to reporters following a meeting with U.S. President Joe Biden and other congressional leaders at the White House in Washington, U.S., November 29, 2022. REUTERS/Kevin Lamarque/File Photo


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Conservative Peruvian groups march for peace ahead of fresh protests

2023-01-03T23:31:47Z

Thousands of Peruvians took the streets calling for peace on Tuesday, a day before fresh protests are expected following clashes caused by the ouster of former President Pedro Castillo left almost two dozen dead in December.

People dressed in white carried Peru’s flag at the march, which was organized by conservative groups.

Former President Castillo, a leftist who was previously a teacher, attempted to illegally dissolve Congress in early December and was subsequently ousted and detained.

He is in pre-trial detention while under investigation for rebellion and conspiracy. He has maintained his innocence.

“This is a cry from the Peruvian people. There are millions of us who want peace and just a few vandals,” said Monica Sanchez at the march.

Other marches passed through a handful of cities across the country, according to local media.

The demonstration, dubbed the “Great March for Peace,” was initially backed by the national police, but officers withdrew their support after left-wing politicians and local human rights organizations raised concerns about a conflict of interest.

The government issued a state of emergency when violent protests first erupted in December, sending security forces into protest areas.

Current President Dina Boluarte has called some protesters “terrorists.” A Reuters investigation found several cases of people, some bystanders, killed after the military moved into the area of Ayacucho.

During the march Tuesday, a counter-protester who threw red paint at the police was detained.

After Castillo was ousted on Dec. 7, Boluarte, who had been vice president, assumed power and announced a transitional government until elections are held. She has requested they be moved up to April 2024, but Congress has yet to approve the proposal.

In an earlier event Tuesday, Boluarte said she had started talks with regional authorities in areas hit by protests and called for speedy investigations into the protest deaths.

She has already sent her cabinet to speak with protest leaders, but many of them have refused to meet with officials.

Protests are expected to gear up again Wednesday, with civil groups and unions in 10 regions of Peru’s south – historically a left-leaning stronghold – backing the demonstrations to remove Boluarte, shutter Congress, amend the constitution and release Castillo.

Among the regions with planned strikes and blockades are the mining hotspots of Arequipa, Cusco and Apurimac. Peru is the world’s second-largest copper producer.

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Demonstrators hold a giant national flag as they participate in a march asking for peace, after violent protests in the country, following the ousting and arrest of former President Pedro Castillo, in Lima, Peru January 3, 2023. REUTERS/Sebastian Castaneda

Police officers walk during a march asking for peace, after violent protests in the country, following the ousting and arrest of former President Pedro Castillo, in Lima, Peru January 3, 2023. REUTERS/Sebastian Castaneda

Demonstrators hold a banner during a march asking for peace, after violent protests in the country, following the ousting and arrest of former President Pedro Castillo, in Lima, Peru January 3, 2023. REUTERS/Sebastian Castaneda

Demonstrators participate in a march asking for peace, after violent protests in the country, following the ousting and arrest of former President Pedro Castillo, in Lima, Peru January 3, 2023. REUTERS/Sebastian Castaneda

A demonstrator is detained by police officers during a march asking for peace, after violent protests in the country, following the ousting and arrest of former President Pedro Castillo, in Lima, Peru January 3, 2023. REUTERS/Sebastian Castaneda
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‘Prophet of Doom’ to plead guilty in Brooklyn subway attack

NEW YORK (AP) — A man accused of opening fire on a Brooklyn subway train last year, wounding 10 passengers in a rush-hour attack that shocked New York City, was scheduled to plead guilty Tuesday to federal terrorism charges.

Frank James, who had posted online that he was the “Prophet of Doom,” was to appear in Brooklyn federal court to admit pulling the trigger on the Manhattan-bound train as it moved between stations on April 12.

James, 63, had previously vowed to fight the charges.

James was expected to plead guilty to all 11 counts in his indictment, including 10 counts of committing a terrorist attack against a mass transit system — one for each wounded passenger.

He didn’t have a plea agreement, and prosecutors are seeking to put him in prison for decades.

According to prosecutors, James set off a pair of smoke grenades and fired a barrage of random shots inside the train, bloodying passengers as it moved between stations in Brooklyn’s Sunset Park neighborhood.

Dressed as a maintenance worker, James then fled in the haze and confusion, setting off a 30-hour citywide manhunt that ended when he called the police on himself.

Before the shooting, James, who is Black, posted dozens of videos online in which he ranted about race, violence and his struggles with mental illness, sometimes adopting the moniker “Prophet of Doom.”

He decried the treatment of Black people and talked about how he was so frustrated, “I should have gotten a gun and just started shooting.” In one video, he appeared to be in a packed New York City subway car, raising his finger to point out passengers one by one.

James’ lawyers informed the judge on Dec. 21 that he wanted to plead guilty, an about-face from his earlier vow to fight the charges at trial. James has been jailed since the shooting in a federal lockup just blocks from where the attack occurred.

In a jailhouse interview with The Associated Press in August, James spoke about his lifelong struggle with mental health and the notoriety he gained at the Metropolitan Detention Center in Brooklyn, where he befriended the disgraced R&B star R Kelly.

“It’s going to be a long case,” a sanguine and bespectacled James told the AP. “People don’t have enough information yet to judge me.”

“All in all I’m a good person at heart,” he added. “I’ve never hurt anybody.”

But prosecutors say James planned the shooting for years and terrified all of New York City with an attack that upended the ritual of the morning commute and endangered dozens of lives.

James was arrested in Manhattan a day after the shooting after calling a police tip line to say where he was. Police were already searching in the area where James was located after a sharp-eyed high school photography student called in a tip about a man, believed to be the suspect, sitting on a bench with a duffel bag.

Prosecutors said a trove of evidence connected James to the attack. His bank card, cellphone and a key to a van he had rented were found at the shooting scene. Officers also found the handgun they said was used in the shooting; tracing records show James purchased the gun from a licensed gun dealer in Ohio in 2011.

In court papers, prosecutors suggested James had the means to carry out more more attacks, noting that he had ammunition and other gun-related items in a Philadelphia storage unit. The New York City native had been living in Milwaukee and Philadelphia prior to the shooting.

__

Associated Press reporters Jim Mustian and Larry Neumeister contributed to this report.

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Judge orders proposed Rio Grande decree to be made public

ALBUQUERQUE, N.M. (AP) — A U.S. judge serving as special master in the legal battle over management of the Rio Grande, one of North America’s longest rivers, has cleared the way for a proposed settlement to be made public.

The federal government had sought to keep details of the agreement reached by Texas, New Mexico and Colorado sealed, but the judge rejected that request. Under an order issued Friday, the proposal and associated briefs and exhibits will be made public next week as the states and federal attorneys prepare for an upcoming hearing on the merits of the proposal.

The case has been pending before the U.S. Supreme Court for nearly a decade, and the stakes are escalating as much of the West grapples with persistent drought.

The states in October announced they had brokered a deal following months of negotiations. New Mexico’s attorney general at the time cited extreme drought and erratic climate events, saying it was imperative that the states work together to protect the river.

Attorneys with the U.S. Department of Justice and irrigation districts that serve farmers downstream of Elephant Butte reservoir, however, argued that the proposal would not be a workable solution.

The river, which flows from the mountains in southern Colorado to Mexico, is managed through a system of federal dams and canals under provisions of a decades-old water-sharing agreement.

Texas has argued that groundwater pumping in southern New Mexico has reduced river flows, limiting how much water makes it across the border. New Mexico maintains that it has been shorted on its share of the river. Colorado also has rights to the river.

The battle over the Rio Grande has become a multimillion-dollar case in a region where water supplies are dwindling due to increased demand along with drought and warmer temperatures brought on by climate change.

Some of the river’s stretches in New Mexico marked record low flows in 2022, resulting in some farmers voluntarily fallowing fields to help the state meet downstream water-sharing obligations.

Judge Michael Melloy noted in his order that teams of negotiators that included engineers, hydrologists and others had worked collaboratively throughout much of 2022 to develop formulas, limits and potential remedial steps as possible paths to settling the litigation.

Justice Department attorneys sought to keep the information sealed, saying making it public would violate a confidentiality agreement. But the order noted all parties had conceded that the underlying data used to derive the formulas and deviation limits were publicly available and part of the water management toolbox commonly in use throughout the country.

“Here there is simply no colorable claim of ownership over the broad ideas, public data, and common techniques expressed in the decree,” Melloy wrote.

He said it wasn’t possible to look at the proposed agreement and know what the federal government was or was not willing to admit, forgo or compromise in an effort to settle the claims.

Melloy has scheduled a hearing in early February on the merits of the proposed decree.

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4 alive in ‘miracle’ after car plunges off California cliff

MONTARA, Calif. (AP) — A 4-year-old girl, a 9-year-old boy and two adults survived Monday after their car plunged off a Northern California cliff along the Pacific Coast Highway near an area known as Devil’s Slide that’s known for fatal wrecks, officials said.

The Tesla sedan plummeted more than 250 feet (76.20 meters) from the highway and crashed into a rocky outcropping. It appears to have flipped a few times before landing on its wheels, wedged against the cliff just feet from the surf, according to Brian Pottenger, a battalion chief for Coastside Fire Protection District/Cal Fire.

Crashes along Devil’s Slide, a steep, rocky and winding coastal area about 15 miles (24.14 kilometers) south of San Francisco that’s between Pacifica and Montara, rarely end with survivors. On Monday, the victims were initially listed in critical condition but all four were conscious and alert when rescuers arrived.

“We go there all the time for cars over the cliff and they never live. This was an absolute miracle,” Pottenger said.

In this image from video provided by Cal Fire San Mateo, Santa Cruz Unit, emergency personnel respond to the scene after a Tesla plunged off a cliff along the Pacific Coast Highway, Monday, Jan. 2, 2023, in Northern California, near an area known as Devil’s Slide, leaving four people in critical condition, a fire official said. The vehicle fell about 250 feet (76.20 meters) from the highway, the fire official said. Motorists were told to expect delays as rescuers worked. Helicopters were expected to transport four people to hospitals. (Cal Fire San Mateo – Santa Cruz Unit via AP)

The California Highway Patrol does not believe, based on its initial investigation, that the Tesla was operating in Autopilot or Full Self-Driving mode at the time, Officer Mark Andrews said.

The road’s conditions were also not believed to be a factor in the crash. There was no guardrail at the spot where the sedan went off the cliff.

“The car traveled off the main portion of the roadway. For what reason, we don’t know,” Andrews said.

Witnesses called 911 around 10:15 a.m. and the crews set up rope system from the highway to lower firefighters down the cliff, the battalion chief said. At the same time, other firefighters watching the sedan through binoculars suddenly noticed movement — a sign that at least one person was still alive.

“Every one of us was shocked when we saw movement out of the front windshield,” Pottenger said.

The incident turned from what had been likely a recovery of bodies to a rescue operation that took several hours amid constant rain, heavy winds, slick roads and crashing waves. The doors were smashed against the cliff and jammed shut, so firefighters were forced to cut the victims out of the car using the so-called “jaws of life” tools.

This image from video provided by San Mateo County Sheriff’s Office shows a Tesla vehicle that plunged off a Northern California cliff along the Pacific Coast Highway, Monday, Jan. 2, 2023, near an area known as Devil’s Slide, leaving four people in critical condition, a fire official said. The vehicle fell about 250 feet (76.20 meters) from the highway, the fire official said. Motorists were told to expect delays as rescuers worked. Helicopters were expected to transport four people to hospitals. (San Mateo County Sheriff’s Office via AP)

Crews pulled the kids out of the back window and brought them up the cliff by hand in a rescue basket using the rope system. They were rushed to the hospital by ambulance with musculoskeletal injuries.

“They were more scared than they were hurt,” Pottenger said.

The adults had traumatic injuries, however, and had to be hoisted up the cliff by a helicopter. They were then both flown to the hospital, the battalion chief said. It was not immediately clear whether the four occupants were members of the same family.

Officials are investigating what caused the Tesla to go off the highway in that spot.

“I don’t even like driving it,” Pottenger said. “It’s definitely a treacherous stretch of California.”

© Copyright 2022 Associated Press. All rights reserved.

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The University of California invested $4 billion with Blackstone to buy up rental apartments and student housing, which they see as the bright spots in the real estate market this year

UC Berkeley Campanile Clock Tower and Bay Bridge at Dusk, Berkeley, California, USAUC Berkeley Campanile Clock Tower and Bay Bridge at dusk.

Kyle Wolfe/Getty Images

  • The University of California is investing $4 billion with Blackstone to acquire rentals and student housing.
  • The global asset manager set a benchmark annualized return rate of 11.25% for the funds.
  • UC’s investment could be a case study for other cash-flush higher ed institutions.

The University of California is investing $4 billion in a real estate fund managed by private equity firm Blackstone to acquire rental and student housing, which both entities see as bright spots in the cooling US real estate market. 

The investment comes at a crucial time for Blackstone’s Real Estate Income Trust Inc. fund — also known as BREIT— a $68 billion property investment vehicle. The fund came under fire in December 2022 when Blackstone limited withdrawals after the finance giant received redemption requests that exceeded the company’s liquidity limits.

While investors have the option to sell their shares of the fund on a monthly basis, the University of California has committed to holding its shares for at least six years, according to a joint statement issued by the parties.  

“We consider BREIT to be one of the best positioned, large-scale real estate portfolios in the US, managed by one of the world’s top real estate investors,” said Jagdeep Singh Bachher, the University of California’s chief investment officer. “This is an opportunity that comes only through strong, trusted partnership.”

Investor interest in student housing developments skyrocketed during the pandemic. According to data from commercial real estate firm CBRE, the sector saw more than $10 billion in sales in 2021 — the most recent year of available data — which is more than twice as much as the asset class witnessed in 2020.  

However, California’s multifamily market faces an uncertain future as rising interest rates and slowing migration patterns present challenges for homebuilders in the state, according to an economic outlook from the University of Southern California’s Lusk Center for Real Estate. 

According to data from Green Street, a commercial real estate analytics firm, commercial property values in the US declined by 13% year-over-year in November 2022 as high interest rates and the popularity of remote work drove investors away. 

Since its inception six years ago, BREIT has posted an annualized net return of nearly 13%, according to Blackstone. About 70% of the fund’s portfolio is located in sunbelt markets such as Nevada, Texas, and Florida. More than half of BREIT’s portfolio is split between rental and industrial properties as well. 

The University of California’s investment could become a model for other universities with large endowment funds — typically in the billions of dollars — that want to invest in real estate investment trusts or commercial real estate assets. BREIT’s portfolio includes assets in popular college towns such as Fort Collins, Colorado, where Colorado State University is located, and Baton Rouge, Louisiana, which is home to Louisiana State University, according to the fund’s website. 

As part of the agreement, Blackstone will also contribute more than $1 billion to support a 11.25% annualized return on the university’s investment. If returns exceed that amount, Blackstone will be entitled to a 5% incentive fee. 

Stephen Schwarzman, CEO and Co-Founder of Blackstone, added that the investment comes at an “opportune deployment period for all our investors.”

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Rep.-elect George Santos dodged reporters and sat alone in the House chamber on his first day in Congress

George Santos first day in CongressRep.-elect George Santos, R-N.Y. sits in the chamber during opening day of the 118th Congress at the U.S. Capitol, Tuesday, Jan 3, 2023, in Washington.

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  • Embattled Rep.-elect George Santos arrived for his first day in Congress on Tuesday.
  • He was photographed sitting alone and yawning while Republicans duked it out over who should become speaker. 
  • Santos — who lied about his education, religion, and work background — was also seen dodging reporters.

Representative-elect George Santos had an eventful first day in Congress.

After arriving on Capitol Hill, the embattled Long Island Republican repeatedly dodged reporters as he, along with 82 new members of the House of Representatives, waited to be sworn into Congress.

Later in the afternoon, Santos was loudly booed by Democrats when he cast a vote for California Rep. Kevin McCarthy to be House speaker, according to CBS News.

The freshman congressman-elect was also photographed sitting alone in the House chamber and yawning while McCarthy tried and failed, through multiple rounds of voting, to get the 218 votes necessary to secure the speakership.

—Jim Bourg (@jimbourg) January 3, 2023

The New York Times reported that it was the first time in a century that someone didn’t get the votes they needed on the first ballot to become speaker of the House. With each round of voting, McCarthy’s path to the top job in the House becomes less clear, but the California lawmaker expressed confidence that he would win, telling reporters that “we stay in until we win.”

The House of Representatives cannot go about its other business — like swearing in new members — until a speaker is elected. On Tuesday evening, the chamber adjourned for the day and voting will resume at noon on Wednesday.

Santos — the third openly gay Republican member of Congress — initially drew widespread praise from Republicans when he beat Democratic candidate Robert Zimmerman in a closely watched race to represent New York’s 3rd congressional district.

But his statements, both on his resume and on the campaign trail, attracted scrutiny after The New York Times and other media outlets revealed that he misled the public about a plethora of topics including his education, religion, work background, and family history.

  • He claimed he worked at Goldman Sachs, but a company spokeswoman told The Times they had no record of his employment there.
  • He claimed to have gotten an undergraduate degree in Economics and Finance from Baruch College, but later acknowledged to The Times that he had never graduated.
  • In a previous campaign for Congress, Santos claimed he had attended Horace Mann School, a prestigious preparatory school in the Bronx. But a spokesman for Horace Mann told CNN the school has “no evidence” that Santos went there.
  • He claimed his “grandparents fled Jewish persecution in Ukraine, settled in Belgium, and again fled persecution during WWII.” He also called himself “a proud American Jew,” but later told The New York Post that he “never claimed to be Jewish,” but rather “Jew-ish.”

The congressman-elect is facing several local, state, and federal investigations focusing on whether he violated the law during the course of his two congressional campaigns. Brazilian prosecutors also said Monday that they intend to reopen a 2008 fraud case against Santos and will ask the US Justice Department to formally notify him of the charges.

Santos was swarmed with questions from the press when he got to Capitol Hill Tuesday but stayed mum, sometimes even turning around and walking in the opposite direction to avoid answering questions.

—Scott MacFarlane (@MacFarlaneNews) January 3, 2023

—Jackie (@JacquelineKalil) January 3, 2023

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A ‘House of the Dragon’ showrunner reportedly exited because HBO wouldn’t let his wife be a producer again for season two

house of the dragon“House of the Dragon” lost one of its showrunners ahead of its second season.

HBO

  • Miguel Sapochnik reportedly exited as co-showrunner of “House of the Dragon” over a dispute with HBO.
  • HBO wouldn’t let his wife, actress Alexis Raben, return as a producer for season two, Puck reported.
  • HBO brought in a mediator to “deescalate” the situation, according to Puck’s Matthew Belloni.

When Miguel Sapochnik exited as co-showrunner of the “Game of Thrones” prequel “House of the Dragon” in August, all appeared to be friendly.

But there was more going on behind the scenes than initially thought, according to a new report.

Puck’s Matthew Belloni reported in his latest “What I’m Hearing” newsletter that Sapochnik exited the role ahead of season two because HBO declined to let his wife, actress Alexis Raben, return to the producing team because of her “inexperience.”

Raben is credited as a producer on season one and also appeared in several episodes as Talya, a spy for Mysaria. 

HBO brought in a mediator to “deescalate” the situation, according to Belloni, but Sapochnik still decided to exit as co-showrunner after HBO rejected Raben.

A spokesperson for HBO declined to comment for Insider. Representatives for Sapochnik and Raben did not immediately return requests for comment from Insider.

In a statement in August, Sapochnik called it an “honor and a privilege” to be involved with “House of the Dragon,” and said that the decision was “tough” but “the right choice for me, personally and professionally.”

When it was made public that he would be leaving, HBO also announced that Sapochnik, who had also directed several episodes of “Game of Thrones,” landed a first-look deal with HBO to develop new projects and would remain as an executive producer of “House of the Dragon.”

In a statement at the time, HBO said: “While we would have loved to have Miguel continue in the same role, we are thrilled to have his ongoing collaboration in this new creative capacity.”

“House of the Dragon” was a hit for HBO, with the season-one finale in October, garnering 9.3 million viewers in its first night — the biggest finale audience for the network since the “Game of Thrones” series finale in 2019.

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