Investment giant Apollo Global Management is providing $1B to Starwood Real Estate Income Trust in exchange for a 41.5% stake in the equity interest of a 120-property affordable housing portfolio. The joint venture appears to be open-ended, with Starwood maintaining call options at specific points in the deal to buy back Apollo’s shares. Nontraded REITs hit a rough patch in late 2022 as investors with jitters about the strength of commercial real estate valuations flooded in with redemption requests. Apollo has been actively managing its real estate portfolio across 2026, including by liquidating its own mortgage REIT after selling most of its $9B holdings to Athene Holdings, the insurance firm Apollo acquired in 2022. In March, the investment giant pledged $1B to a joint venture with Realty Income Corp. that will buy single-tenant retail assets.