Starwood agrees to buy stake in RDI

Starwood Capital Group has conditionally agreed to buy a 29.42% stake in RDI REIT, as Johannesburg-listed stakeholder Redefine Properties seeks to leave real estate. The shares will be bought from Redefine for an aggregate sale consideration of £106.3m, representing £0.95 per share. Redefine said that by exiting the UK real estate market, it will “simplify its investment proposition and improve its risk profile by eliminating a risk universe over which it has no direct management influence”. RDI’s board said in a market update that it “looks forward to engaging with Starwood Capital Group as a shareholder in the company”. Starwood is the latest in a string of private equity investors spotting acquisition opportunities at UK REITs. To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette