REG-Starwood European Real Estate Finance Ltd SWEF: Update on Office Portfolio, Ireland and two loan repayments

Starwood European Real Estate FinanceAnnouncement

08/09/2025 07:00

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   Starwood European Real Estate Finance Ltd (SWEF)
   SWEF: Update on Office Portfolio, Ireland and two loan repayments

   08-Sep-2025 / 07:00 GMT/BST

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   THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF  ARTICLE
   7 OF  THE MARKET  ABUSE REGULATION  EU 596/2014  AS IT  FORMS PART  OF  UK
   DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018.

    

   NOT FOR RELEASE, PUBLICATION OR  DISTRIBUTION, DIRECTLY OR INDIRECTLY,  IN
   WHOLE OR IN  PART, TO  US PERSONS  OR INTO  OR WITHIN  THE UNITED  STATES,
   AUSTRALIA, CANADA OR  JAPAN, OR ANY  OTHER JURISDICTION WHERE,  OR TO  ANY
   OTHER PERSON  TO  WHOM,  TO  DO SO  WOULD  BE  UNLAWFUL.  THE  INFORMATION
   CONTAINED HEREIN DOES NOT CONSTITUTE OR FORM PART OF ANY OFFER TO SELL  OR
   ISSUE, OR ANY  SOLICITATION OF  ANY OFFER  TO PURCHASE,  SUBSCRIBE FOR  OR
   OTHERWISE ACQUIRE, ANY INVESTMENTS IN ANY JURISDICTION.

    

    

                 Starwood European Real Estate Finance Limited

                                Portfolio Update

          Update on Office Portfolio, Ireland and two loan repayments

    

   Starwood European Real  Estate Finance Limited  (the “Company” or  “SWEF”)
   provides an update on its portfolio of loan assets below.

    

   On 1  August 2025,  the Company  announced that  it had  written down  the
   carrying value as of 30 June 2025 of the Company’s loan investment secured
   on a portfolio of properties in Central Dublin (known as Office Portfolio,
   Ireland) to  €6.75 million.  As of  31 July  2025, this  loan  represented
   approximately 4.1 per cent of the Company’s Net Asset Value (“NAV”).

   Further to the announcement made on  1 August 2025 and referred to  above,
   the Board confirms that  it is in discussions  with an investment  vehicle
   advised by  Starwood Capital  Group  in connection  with the sale  of  the
   Office  Portfolio,  Ireland  loan  investment.  If  such  transaction   is
   consummated, it  is  expected that  the  value  of the  transfer  will  be
   significantly below the current carrying value of the investment announced
   on 1 August.  Based on these  non-binding discussions, the  Board has  now
   decided to write down the recoverable value of the loan investment to €4.8
   million  by  means  of  providing  a  further  €2.2  million/£1.9  million
   impairment provision against it  (which equates to a  circa 1.3 pence  per
   share impairment).   To  support  any  such  transaction,  the  Board  has
   commissioned an independent report on the above portfolio.

   Should the parties move forward, the proposed transaction would be subject
   to  agreement  on  the  final   transfer  value,  the  entry  into   legal
   documentation and  the satisfaction  of certain  conditions  precedent. If
   necessary, a further announcement will be made in due course.

    

   The Investment Adviser will  continue to actively  manage the position  to
   maximise the opportunity for value recovery and the Board will continue to
   closely monitor the position and ongoing developments.  The Company  looks
   forward to providing further updates as appropriate.

    

   The Company is  delighted to announce  that during August  2025 two  other
   loan assets, Hotel, North Berwick and Life Science, UK, have repaid  their
   combined outstanding £29.1 million loans  in full. This leaves the  Group,
   as of the  date of  this announcement,  with four  remaining loan  assets.
   Three of those  assets are  classified as Stage  1 and  one asset  (Office
   Portfolio, Ireland) is classified as Stage 3.

    

   As also announced today, as of 31 July 2025, the Company’s NAV was  £145.0
   million (before taking  account of  the Q2  2025 dividend  announced on  5
   August and  the  additional impairment  of  £1.9 million  announced  above
   today). This equates  to a  NAV per  share of 97.92  pence as  of 31  July
   2025.  Please refer to the  separate July NAV announcement for  additional
   information.

    

   The Company is currently  finalising the announcement  of its August  2025
   NAV, which is  expected to be  published shortly, and  which will  reflect
   both the  Q2  2025 dividend  announced  on  5 August  and  the  additional
   impairment of £1.9 million announced above today.

    

   To date,  the  Company has  returned  £256.0 million  to  shareholders  in
   Compulsory Redemptions in accordance with its orderly realisation strategy
   adopted on 27 January 2023. This is equivalent to 61.9 per cent of NAV  as
   of 31 January 2023.

    

   For further information, please contact: 

    

   Apex Fund and Corporate Services (Guernsey) Limited as Company Secretary

    

   Duke Le Prevost

   T: +44 (0) 203 5303 630

   E:  1 Starwood@apexgroup.com

    

   Jefferies International Limited

   Gaudi Le Roux

   Harry Randall

   Ollie Nott

    

   T: +44 (0) 20 7029 8000

    

   The person responsible for arranging the release of this information on
   behalf of the Company is Duke Le Prevost.

    

   A copy of this announcement can be found on the Company’s webiste:
    2 www.starwoodeuropeanfinance.com.

    

   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 conduct an orderly realisation of the assets of the  Company.
    3 www.starwoodeuropeanfinance.com.

    

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

    

   Information regarding forward-looking statements

    

   This announcement contains (or may contain) statements that are, or may be
   deemed to be,  ‘‘forward-looking statements’’. Forward-looking  statements
   are based on current expectations and projections about future events  and
   other  matters  that  are  not  historical  fact.  These   forward-looking
   statements are sometimes identified by the use of a date in the future  or
   forward-looking terminology,  including, but  not  limited to,  the  words
   “consider” ‘‘aim’’,  ‘‘anticipate’’,  ‘‘believe’’,  ‘‘intend’’,  ‘‘plan’’,
   ‘‘estimate’’,  ‘‘expect’’,  ‘‘may’’,  ‘‘target’’,  ‘‘project’’,  ‘‘will’’,
   ‘‘could’’ or  ‘‘should’’  or,  in  each  case,  their  negative  or  other
   variations or words of  similar meaning. These forward-looking  statements
   include matters that are not historical facts and include statements  that
   reflect intentions,  beliefs and  current expectations.  By their  nature,
   forward-looking statements involve  risks and  uncertainties because  they
   relate to events and depend on circumstances that may or may not occur  in
   the future or are beyond the Company’s control. They are not guarantees of
   future value or performance and are based on one or more assumptions.

    

   Forward-looking statements contained in this announcement apply only as at
   the date of  this announcement. Subject  to any obligations  under the  UK
   Listing Rules and FCA’s Disclosure Guidance and Transparency Rules, the UK
   version of the  Market Abuse  Regulation or  any other  applicable law  or
   regulation, the Company  undertakes no  obligation publicly  to update  or
   review  any  forward-looking  statement,  whether  as  a  result  of   new
   information, future developments or otherwise.

    

    

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   Dissemination of a Regulatory Announcement that contains inside
   information in accordance with the Market Abuse Regulation (MAR),
   transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   ISIN:           GG00BTZJM644
   Category Code:  PFU
   TIDM:           SWEF
   LEI Code:       5493004YMVUQ9Z7JGZ50
   OAM Categories: 2.2. Inside information
                   3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
                   2.2. Inside information
   Sequence No.:   401004
   EQS News ID:    2193920


    
   End of Announcement EQS News Service

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References

   Visible links
   1. mailto:Starwood@apexgroup.com
   2. https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=becc5c83790358f02808a7970e9d8d13&application_id=2193920&site_id=refinitiv~~~456f380e-074c-434c-ab61-d8ca972fa0de&application_name=news
   3. https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=becc5c83790358f02808a7970e9d8d13&application_id=2193920&site_id=refinitiv~~~456f380e-074c-434c-ab61-d8ca972fa0de&application_name=news


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