22 October 2013

Starwood European Real Estate Finance Limited: Investment Update

Starwood European Real Estate Finance Limited (the "Company") announces that it has committed to provide a €21.8 million whole loan to finance the acquisition of an industrial and office portfolio in the Netherlands.  The Company expects to earn a single digit return in line with its investment criteria.  The loan is expected to be fully drawn before the end of October.  The Company has now made or committed to six investments, for a total value of approximately £116.1 million, representing 49.3% of net assets.

This investment was one of the six transactions referred to as in the immediate investment pipeline in the June factsheet released on 2 August 2013, of which four transactions have now been closed. The remaining two investments both remain in execution and the Company expects to make further announcements in this regard in the near term. Further information on the investment pipeline and dividend outlook will be provided in the September fact sheet due to be published shortly.

For further information, please contact:

Ipes (Guernsey) Limited

John Ellman-Brown   

T: +44 1481 713843       

Notes:

Starwood European Real Estate Finance is an investment company listed on the main market of the London Stock Exchange with an investment objective to provide Shareholders with regular dividends and an attractive total return while limiting downside risk, through the origination, execution, acquisition and servicing of a diversified portfolio of real estate debt investments in the UK and Continental European markets. www.starwoodeuropeanfinance.com