Barry Sternlicht’s Starwood Halts Redemptions From REIT

Starwood Capital Group Management is halting redemptions from a $22 billion real estate fund aimed at retail investors in a bid to preserve liquidity while it waits for the commercial real estate market to improve.

The asset manager is “temporarily suspending” share repurchases from its Starwood Real Estate Income Trust with a few exceptions following a strategic review, according to a letter to shareholders. It will also cut its annualized distribution to 4.7% for Class I shares, down from 6.3% as of March.