Starwood Waypoint Homes Announces Pricing of $771.2 Million Single-Family Rental Securitization
September 27 2017 - 7:00AM
Business Wire
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.
Forward-Looking Statements
The information presented herein may contain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements, which are
based on current expectations, estimates and projections about the
industry and markets in which the Company operates and beliefs of
and assumptions made by the Company’s management, involve
significant risks and uncertainties, which are difficult to predict
and are not guarantees of future performances, that could
significantly affect the financial results of the Company. Words
such as “projects,” “will,” “could,” “continue,” “expects,”
“anticipates,” “intends,” “plans,” “believes,” “seeks,”
“estimates,” “forecast,” “guidance,” “outlook,” “may,” and “might”
and variations of such words and similar expressions are intended
to identify such forward-looking statements, which generally are
not historical in nature. Such forward-looking statements may
include, but are not limited to, statements about the anticipated
benefits of the proposed merger between the Company and Invitation
Homes Inc. (“INVH”), including future financial and operating
results, the attractiveness of the value to be received by the
Company shareholders, the attractiveness of the value to be
received by INVH, the combined company’s plans, objectives,
expectations and intentions, the timing of future events,
anticipated administrative and operating synergies, the anticipated
impact of the merger on net debt ratios, cost of capital, future
dividend payment rates, forecasts of accretion in core funds from
operations (“FFO”), adjusted FFO or other earnings or performance
measures, projected capital improvements, expected sources of
financing, and descriptions relating to these expectations. All
statements that address operating performance, events or
developments that the Company expects or anticipates will occur in
the future — including statements relating to expected synergies,
improved liquidity and balance sheet strength — are forward-looking
statements. Pro forma, projected and estimated numbers are used for
illustrative purposes only, are not forecasts and may not reflect
actual results. These statements are not guarantees of future
performance and involve certain risks, uncertainties and
assumptions that are difficult to predict. The Company’s ability to
predict results or the actual effect of future events, actions,
plans or strategies is inherently uncertain. Although the Company
believes the expectations reflected in any forward-looking
statements are based on reasonable assumptions, the Company can
give no assurance that its expectations will be attained and
therefore, actual outcomes and results may differ materially from
what is expressed or forecasted in such forward-looking statements.
Some of the factors that may materially and adversely affect the
Company’s business, financial condition, liquidity, results of
operations and prospects, as well as the Company’s ability to make
distributions to its shareholders, include, but are not limited to:
(i) national, regional and local economic climates; (ii) changes in
the real estate and single-family rental industry, financial
markets and interest rates, or to the business or financial
condition of the Company; (iii) increased or unanticipated
competition for the Company’s properties; (iv) competition in the
leasing market for quality residents; (v) increasing property
taxes, homeowners’ association fees and insurance costs; (vi) the
Company’s dependence on third parties for key services; (vii) risks
related to evaluation of properties, poor resident selection and
defaults and non-renewals by the Company’s residents; (viii) risks
associated with acquisitions, including the integration of the
post-merger businesses; (ix) the potential liability for the
failure to meet regulatory requirements, including the maintenance
of REIT status; (x) availability of financing and capital; (xi)
risks associated with achieving expected revenue synergies or cost
savings; (xii) risks associated with the ability to consummate the
merger and the timing of the closing of the merger; (xiii) the
outcome of claims and litigation involving or affecting the
Company; (xiv) applicable regulatory changes; and (xv) those
additional risks and factors discussed in reports filed with the
Securities and Exchange Commission (“SEC”) by the Company from time
to time, including those discussed under the heading “Risk Factors”
in the Company’s most recently filed reports on Forms 10-K and
10-Q. None of the documents that the Company files with the SEC or
any of the information on, or accessible through, the SEC’s
website, is part of, or incorporated by reference into, this press
release. Except as required by law, the Company undertakes no duty
to update any forward-looking statements appearing in this
document, whether as a result of new information, future events or
otherwise. Readers are cautioned not to place undue reliance on
these forward-looking statements, which speak only as of the date
hereof.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170927005547/en/
Investor
Relations480-800-3490IR@colonystarwood.comorMedia
RelationsJason Chudoba,
646-277-1249Jason.chudoba@icrinc.com
Starwood Waypoint Homes (NYSE:SFR)
Historical Stock Chart
From Nov 2024 to Dec 2024
Starwood Waypoint Homes (NYSE:SFR)
Historical Stock Chart
From Dec 2023 to Dec 2024