SWEF: Investment Update

8 May 2018

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Starwood European Real Estate Finance Limited: Investment Update

Starwood European Real Estate Finance Limited (the "Company" and, together with its subsidiaries, the "Group") is pleased to announce a new investment that closed on 4 May 2018.

The Group arranged and subscribed to a EUR14.77 million note issuance, the proceeds of which were used to finance the acquisition of a light industrial asset in the Parisian region of France.

The Group expects to earn an attractive risk-adjusted return on the investment in line with its investment policy.

For further information, please contact:

Ipes (Guernsey) Limited as Company Secretary - 01481 755143

Lucy Brehaut

Starwood Capital - 020 7016 3655

Duncan MacPherson

Stifel Nicolaus Europe Limited - 020 7710 7600

Neil Winward

Mark Bloomfield

Gaudi Le Roux

Notes:

Starwood European Real Estate Finance Limited 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 the wider European Union's internal market. www.starwoodeuropeanfinance.com.

The Group is the largest London-listed vehicle to provide investors with pure play exposure to real estate lending.

The Group's assets are managed by Starwood European Finance Partners Limited, an indirect wholly-owned subsidiary of the Starwood Capital Group.