REFILE-UPDATE 1-FEATURE-Blackstone CEO gala sign of buyout boom

(Changes day of party to Tuesday from Thursday, paragraph 3)

By Michael Flaherty

NEW YORK, Feb 14 (Reuters) - Comedian Martin Short, singer Patti LaBelle, two Harlem choirs and a marching band had already warmed up the crowd who gathered to celebrate the birthday of Blackstone Group's chief executive.

But the party really got going when British rocker Rod Stewart took the stage, later crooning "Tonight's The Night (Gonna Be Alright)" to birthday boy Stephen Schwarzman and hundreds of guests, according to those who attended.

For Schwarzman, the co-founder, chairman and CEO of Blackstone [BG.UL], Tuesday night was indeed his night. The last few years haven't been so bad either.

The Blackstone Group's success has brought his net worth to around $2.5 billion, according to Forbes magazine. He reportedly earned more than $200 million last year.

The over-the-top 60th birthday party highlighted the golden era being enjoyed by Blackstone and other private equity firms, which buy and sell companies.

For some, the party brought back memories of past high times on Wall Street, like the junk bond frenzy led by Michael Milken in the 1980s and the Internet boom in the late 1990s. For others, it was a sign that a buyout bust could be just around the corner.

"It's the kind of stuff that makes us think that we're at the top," said an executive at another large private equity firm, who did not attend the party.