"We created a differentiated multi-cylinder company and have maintained a low leverage balance sheet in order to enable us to outperform in times of volatility. We expect to maintain our dividend for the foreseeable future assuming macro and market conditions don't materially change. As a result, our Board has declared our third and fourth quarter dividends of $0.48 per quarter, in-line with our current dividend. Beyond our current earnings power, we have the ability to monetize the over $4.00 per share of ...

Webcast Conference Call Playback: Domestic: 1-844-512-2921 International: 1-412-317-6671 Passcode: 13742860 The playback can be accessed through August 20, 2024. About Starwood Property Trust, Inc. Zachary Tanenbaum Starwood Property Trust Phone: 203-422-7788 Email: [email protected] During the conference call, the Company's officers will review second quarter performance, discuss recent events and conduct a question-and-answer period. To Participate in the Telephone Conference Call: Dial in at least five m ...

Data by YCharts gerenme/iStock via Getty Images Data by YCharts STWD has about $26.1B in total assets, and we can see that this spans across many different areas of real estate. This wide reach enables investors to gain instant diversity within the real estate sector, which mitigates the risk from any sector-specific concentration. Speaking of risk, something that I do not like is the US Office exposure, but thankfully this only accounts for 11% of their portfolio. US Offices were a large source of weakness ...

There's no free lunch on Wall Street, but undervalued dividend stocks are focused on rewarding shareholders with capital returns are the next best thing. While the overall market is up this year, it's important to bear in mind that performance has been driven by just a handful of stocks. It's no wonder that more than half of Americans believe that the stock market is down this year. At first glance, this kind of thinking may seem preposterous to the seasoned investor, especially with the S&P 500 (SPY) tradi ...

About Starwood Property Trust, Inc. Starwood Property Trust (NYSE: STWD) is a leading diversified finance company with a core focus on the real estate and infrastructure sectors. An affiliate of global private investment firm, Starwood Capital Group, the Company has successfully deployed over $97 billion of capital since inception and manages a portfolio of over $26 billion across debt and equity investments. Starwood Property Trust's investment objective is to generate attractive and stable returns for sha ...

Starwood Property's core strength is that it is the largest commercial REIT in the U.S. and therefore has access to a ton of liquidity which the company could deploy to grow its distributable earnings, especially in times of distress. Starwood Property had $9.8B in potential liquidity available as of the end of Q1'24 which is set to make STWD a considerable force on the acquisition front. peshkov Starwood Property Trust (NYSE:STWD) is a strong choice for dividend investors in the commercial real estate mark ...

MIAMI, May 28, 2024 /PRNewswire/ -- Starwood Capital Group ("Starwood Capital"), a global private investment firm with a primary focus on real estate, today announced that Matt Smith will join the firm in June as Managing Director, Head of U.S. Residential Asset Management. In this role, Mr. Smith will oversee the Firm's existing ~107,000-unit market rate and affordable housing multi-family portfolio as well as Highmark Residential, Starwood Capital's multi-family property management affiliate. Mr. Smith ha ...

Financial Data and Key Metrics Changes - The company reported distributable earnings (DE) of $191.6 million or $0.59 per share for Q1 2024, with GAAP net income at $154 million or $0.48 per share [6][28] - The undepreciated book value ended the quarter at $20.69, while GAAP book value was $19.85 [6] - The adjusted debt to undepreciated equity ratio decreased to 2.3x from 2.5x in the previous quarter, indicating improved leverage [12] Business Line Data and Key Metrics Changes - The commercial and residential lending segment contributed DE of $205 million or $0.63 per share, with repayments of $909 million outpacing fundings of $128 million [29] - The property segment generated $59 million of DE or $0.18 per share, significantly boosted by the sale of the master lease portfolio for $387 million [8] - The infrastructure lending segment contributed DE of $20 million or $0.06 per share, with $120 million of new loans committed [11] Market Data and Key Metrics Changes - The active servicing portfolio in the special servicer, LNR, increased from $6.6 billion to $7.2 billion, primarily due to $1.1 billion of transfers in [10] - The company noted that rents increased by 3.4% in 2023, with sponsors for 60 of 72 multifamily loans committing fresh equity [16] - The company has a significant portion of its debt in energy infrastructure lending, benefiting from lower competition and higher energy prices [19] Company Strategy and Development Direction - The company aims to leverage its low leverage diversified business model to capitalize on market opportunities as they arise [14] - There is a focus on affordable housing, which is expected to remain full and support rental growth [22] - The company is exploring new business lines, including energy infrastructure lending, which targets high returns [71] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery of the commercial real estate market, noting that most property types are performing well at the property level [43] - The company highlighted the importance of maintaining liquidity and access to capital, especially in a challenging economic environment [55] - Management acknowledged the potential for further credit migration and the need for caution in the current market [89] Other Important Information - The company has a record liquidity position of $1.5 billion, not including potential liquidity from asset sales [12] - The general CECL reserve increased by $35 million to $342 million, with 70% related to office loans [7] - The company completed its third infrastructure CLO for $400 million at a favorable coupon rate [34] Q&A Session Summary Question: What explains the discrepancy in performance compared to peers? - Management noted that their portfolio is structured to perform better in the current market, with low leverage and significant liquidity [51] Question: Outlook on office loan ratings migration? - Management indicated that the migration of office loans from three to four ratings is driven by stress in the market, and borrowers are becoming less aggressive in supporting their loans [89] Question: Appetite for residential mortgage credit portfolio? - Management expressed satisfaction with the current performance of their residential mortgage credit portfolio, noting that most of their loans were written several years ago and should perform well [92]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 001-34436 __________________________________________________ Starwood Property Trust, Inc. (Exact name of registrant as specified in its charter) Maryland 27-0 ...

Financial Data and Key Metrics Changes - The company reported distributable earnings (DE) of $189 million or $0.58 per share for Q4 2023, and $663 million or $2.05 for the full year [7] - GAAP net income was $71 million or $0.22 per share for the quarter and $339 million or $1.07 per share for the year [40] - The adjusted debt to undepreciated equity ratio was 2.47x, reflecting low leverage and strong liquidity of $1.2 billion [14] Business Line Data and Key Metrics Changes - Commercial and residential lending contributed DE of $205 million for the quarter, with $707 million in loan originations [8] - The Property segment contributed $22 million of DE, with an unrealized fair value increase of $18 million related to a Florida affordable housing fund [12] - The Investing and Servicing segment contributed DE of $33 million, with five securitizations totaling $467 million completed [45] - The Infrastructure Lending segment contributed DE of $23 million, with $425 million in new loan commitments [46] Market Data and Key Metrics Changes - The portfolio of predominantly senior secured first mortgage loans ended the year at $15.9 billion, with a weighted average risk rating of 2.9 [41] - The general CECL reserve increased by $28 million to $307 million, with 74% related to U.S. office properties [42] Company Strategy and Development Direction - The company aims to maintain low leverage and increase unsecured debt on its balance sheet to achieve investment-grade status [21] - A new focus on middle market lending was initiated due to regional banks pulling back, targeting loans sized between $15 million to $50 million [23][34] - The company is evaluating opportunities in the office sector, with plans to reposition or sell assets rather than sell into a distressed market [49] Management's Comments on Operating Environment and Future Outlook - Management noted a balance sheet crisis in the real estate industry, particularly affecting regional banks and the office sector [25][26] - The company expects to navigate through current market challenges while maintaining a secure dividend [31] - There is optimism regarding the potential for rent growth in the apartment market as new supply stabilizes [60] Other Important Information - The company has proactively reduced office exposure by half since 2019 and is focused on maintaining significant liquidity [20] - The company has set up Starwood Solutions to address opportunities created by the pullback of regional banks in middle market CRE lending [23] Q&A Session All Questions and Answers Question: Can you talk about your new focus on middle market lending strategy? - The decision to enter the middle market is driven by regional banks backing away, and the company is primarily focused on new originations rather than acquiring existing portfolios [34][35] Question: Can you discuss the valuation increase of Woodstar and the cap rate? - The asset level cap rate is approximately 4.5%, with expectations for forward income to increase based on median income and CPI adjustments [71][72] Question: Can you elaborate on the $80 million loan bought out of a CLO? - The CLO is viewed as an opportunistic financing tool, and the company intends to issue more CLOs when it is accretive [99]