Starwood Waypoint Homes Announces Pricing of $771.2MM Single-Family Rental Securitization

SCOTTSDALE, Ariz.- Starwood Waypoint Homes (NYSE:SFR) (the “Company”), a leading single-family rental real estate investment trust (“REIT”), announced today the pricing of its SWH 2017-1 securitization transaction. The transaction involves the issuance and sale of single-family rental pass-through certificates that represent beneficial ownership interests in a $771.2 million floating rate loan secured by mortgages on approximately 4,443 single-family rental properties and a pledge of equity in the borrower. The Company sold $732.7 million of certificates to investors (retaining approximately $38.6 million to comply with US and EU risk retention requirements) at a weighted average blended interest rate of 1-month LIBOR plus 156 basis points. The loan will have a two-year term with two one-year extensions and one final 15 month extension at the option of the borrower. The securitization transaction is intended to reduce the Company’s cost of capital and proceeds will be used to repay existing indebtedness, pay transaction expenses and for general corporate purposes.

The transaction is expected to close on or about September 29, 2017, subject to satisfaction of customary market and other closing conditions.

The certificates will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act. The certificates will be offered and sold in the United States only to qualified institutional buyers (as defined in the Securities Act) pursuant to Rule 144A under the Securities Act or to certain “non-U.S. persons” outside of the United States in accordance with Regulation S under the Securities Act.

This press release is neither an offer to sell nor a solicitation of an offer to buy the certificates nor shall there be any sale of the certificates in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or jurisdiction.