Powered by Blogger.

EDITION MAIN PAGE | North America Commercial News Starwood Property Trust Looks Forward to Miami-based LNR Acquisition

LNR headquarters, South Beach, Fl
Last week, Starwood Property Trust (STWD) and Starwood Capital Group announced that they would acquire, on behalf of Starwood Distressed Opportunity Fund IX, LNR Property, LLC for $1.05 billion. At the time, company executives said that it was "a transformative and highly strategic acquisition... (that) would diversify Starwood Property Trust's revenue sources (and) add significant scale to our operating platform and dramatically expands our proprietary origination capabilities."

LNR has the largest special servicer operation in the US with 129 deals representing unpaid balances of $131 billion and with nearly $20 billion in special servicing or REOs. It holds a 25.1% market share of all outstanding CMBS loans in the US.

In addition to the five LNR businesses that Starwood Property Trust is acquiring, including the special servicing part, Starwood Capital Group will pay $197 million for LNR's US Commercial Property Group and 50% of LNR's ownership interest in Auction.com.  Starwood Property Trust will pay $856 million for the rest of LNR's assets, including 50% of Auction.com.

LNR doesn't have direct exposure to loans in the CMBS trusts, said Barry Sternlicht, Starwood Property Trust's chairman and chief executive officer, at last week's conference call announcing the LNR acquisition. "As the loans go bad, we get compensated," he said.

  • Digg
  • Del.icio.us
  • StumbleUpon
  • Reddit
  • RSS


Unknown said...

I work in a best real estate of Saudi Arabia and was searching for real estate related informative blogs and found your blog, really admirable material you have shared here for more real estate information in Middle East check out this link.
شقق للايجار | شقق للبيع جدة | الرياض عقارات للايجار | الشقق المفروشة بالدمام | شقق للايجار بالمدينة المنورة

Post a Comment