Starwood's REIT is the second major nontraded REIT to halt investor withdrawals.
Starwood might sell most of the houses it bought from Pretium in 2021.
The shake-up in leadership comes as the second-largest nontraded REIT continues to limit investor withdrawals amid a turbulent real estate market.
Starwood Real Estate Income Trust lowered its monthly withdrawal cap to 0.33% of net asset value from its previous 2% limit.
Starwood Real Estate Income Trust and Morningstar Properties announced the formation of a joint venture to own and operate assets in the self-storage sector.
Nontraded REITs such as BREIT, SREIT and Ares Industrial REIT saw monthly redemption requests shoot up an average of 65% in May.
Redemption freezes at the two largest nontraded REITs on the market have attracted the SEC's attention, but no formal investigation has started.
SREIT unloaded $1.6B in real estate between December and May to help deal with a pile of redemption requests.
As SREIT tightens investor redemption limits, other nontraded REITs managed by investment giants like Blackstone, KKR and Brookfield face issues with liquidity.
Barry Sternlicht's investment firm says "the issue we are addressing is not the real estate" but a flood of requests to pull capital from SREIT.
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