Starwood Weighs Sale Option for $230 Million American Dream Debt
- REIT says it can still make money at 70 cents on the dollar
- Debt on New Jersey shopping mall is listed as non-accrual
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Starwood Property Trust Inc. says a debt sale at a discount is a possible option for money tied up in a $230 million loan on the beleaguered American Dream mall and entertainment complex in New Jersey’s Meadowlands.
Starwood Property, a real estate investment trust headed by Barry Sternlicht, has the American Dream loan on non-accrual status, which means they have not recognized current income on it, and said its book basis on the debt has been reduced to about 70 cents on the dollar.