Starwood Capital Looks to Offload $1B of Single-Family Rentals
Starwood Capital Group is exploring the sale of two portfolios of single-family rental homes, seeking to unload roughly 3,000 properties as the U.S. housing market cools, Bloomberg News reported Friday.
Starwood, led by Barry Sternlicht, is working with advisers on the potential sales, each of which is expected to fetch around $500 million, said Bloomberg. Many of the properties are in the South.
One of the largest apartment owners in the U.S., Starwood was an aggressive buyer of rental houses during the first two years of the pandemic. In May, Sternlicht told Bloomberg that his firm owned roughly 15,000 single-family rentals and 100,000 apartments, arguing that rising mortgage rates would create more demand for rental housing.
However, rising borrowing costs have also tempered investor appetites. Still, some property firms see opportunities on the horizon, readying capital in hopes of buying at discount, reported Bloomberg.
- ◦Sale/Acquisition