Bloomberg
By Hema Parmar and Sonali Basak
October 11, 2022 at 3:53 PM CDT

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Billionaire Barry Sternlicht says he sees “incredible opportunities” to find distressed investments
in the real estate market.
He’s looking to “kick through the debris” to find investments and companies “that they’re
broken balance sheets but not broken assets,” the chief executive officer of Starwood Capital
Group said Tuesday in a Bloomberg TV interview on the sidelines of the Robin Hood Investors
Conference in New York.
Rising rates may cost millions of people their jobs and are creating unprecedented stress around
the world, he said, adding that the Federal Reserve was “unbelievably late” in acting.
“In the real estate world, there’ll be people having loans coming due that might be hard to
refinance. And so they’re going to need a capital infusion,” he said. Banks will likely be tougher
and so “you’ll see a lot of loans being sold” across every asset class.
Looking ahead to the US midterm elections next month, Sternlicht said a split government would
be the best outcome for investors.
“A freeze of government doing anything really dumb right now is probably healthy for us to get
to the presidential election,” he said. “Maybe they’ll compromise and do some smart things and
focus on things that matter to the nation, instead of some of the nonsense they spend all their
time on these days.