Starwood Property to spin off family home rental business into new REIT

|About: Starwood Property Trust, Inc. (STWD)|By:, SA News Editor

Starwood Property Trust (STWD) +3.1% AH after announcing plans to spin off its single-family home rental unit into a separate publicly-traded trust.

As part of the spinoff, STWD plans to contribute $100M in cash to help fund operations of the new Starwood Waypoint Residential Trust, which also is expected to secure a line of credit worth $400M.