Investment Update

RNS Number : 1936W

Starwood European Real Estate Finan

25 April 2016

 

25 April 2016

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, TO U.S. PERSONS OR IN, INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, SOUTH AFRICA, JAPAN, NEW ZEALAND OR ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION

Starwood European Real Estate Finance Limited: Investment Update

Starwood European Real Estate Finance Limited (the "Company") announces that on 22 April 2016 it received full repayment of £42 million in relation to the Aldgate Tower, London loan as a result of the sale of the property. 

During April, the Company has also received full repayment of £10.8 million in relation to the Salesforce Tower, London loan.

The Company constantly seeks to minimise cash drag and often manages repayment events by tactically using the £60 million revolving credit facility available to it.  The proceeds of these repayments will be used to repay £41.7 million of current drawings on the revolving credit facility.

A number of loans in the portfolio benefit from prepayment protection in their early years providing a level of income protection should the loan repay whilst in that protected period.  The Aldgate Tower loan was originated in December 2014 and benefits from such provisions allowing no effective drag on these monies for a further few months in which time the Company will seek to reinvest such cash thereby mitigating cash drag on this sum.

The Company expects additional loan repayments in the coming months and will also focus on reinvestment of any such expected proceeds prior to any consideration of further equity issuance. 

For further information, please contact:

For further information, please contact:

Peter Denton - Starwood Capital - 020 7016 3664

Robert Peel - Dexion Capital - 020 7832 0900

Notes:

Starwood European Real Estate Finance Limited is an investment company listed on the main market of the London Stock Exchange with an investment objective to provide Shareholders with regular dividends and an attractive total return while limiting downside risk, through the origination, execution, acquisition and servicing of a diversified portfolio of real estate debt investments in the UK and the wider European Union's internal market. www.starwoodeuropeanfinance.com.

The Group is the largest London-listed vehicle to provide investors with pure play exposure to real estate lending.

The Group's assets are managed by Starwood European Finance Partners Limited, an indirect wholly-owned subsidiary of the Starwood Capital Group. 

 

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