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02/25/2000

Starwood Financial Announces Tax Consideration for 1999 Dividends

NEW YORK, Feb. 25 /PRNewswire/ -- Starwood Financial Inc. (NYSE: SFI) announced today the tax treatment of its 1999 distributions and the tax treatment for the 1999 distributions of TriNet Corporate Realty Trust Inc., which it acquired on November 4, 1999.

Starwood Financial Common Stock Dividend

During 1999, Starwood Financial paid $1.88 per share in dividends for its common stock, currently listed under the CUSIP #85569R-104 and traded under the NYSE ticker symbol SFI. (Prior to November 4, 1999, Starwood Financial common stock was listed under the CUSIP #85568V-106 and traded under the AMEX ticker symbol APT.) For tax reporting purposes, the 1999 dividend distribution will be classified as follows: 97.44% ($1.83235) as ordinary income and 2.56% ($0.04816) as capital gain. The following table contains this information on a quarterly basis.


                                             Cash       Taxable
    Declaration   Record       Payable   Distribution   Ordinary  20 Percent
       Date        Date         Date      Per Share     Dividend   Rate Gain

    12/17/98     12/31/98     01/14/99     $0.12320*    $0.12320    $0.00000
    4/01/99      04/15/99     04/29/99     $0.42000     $0.42000    $0.00000
    07/01/99     07/15/99     07/29/99     $0.43000     $0.38184    $0.04816
    10/01/99     10/15/99     10/29/99     $0.44000     $0.44000    $0.00000
    11/29/99     12/31/99     01/28/00     $0.46731**   $0.46731    $0.00000
    Total                                  $1.88051     $1.83235    $0.04816

    Totals as a percentage                   100.0%       97.44%       2.56%

* Portion of fourth quarter 1998 dividend that was carried forward as taxable income in 1999.

** $0.10269 of the total $0.57000 fourth quarter 1999 dividend will be carried forward as taxable income in 2000.

TriNet Corporate Realty Trust Common Stock Dividend

During 1999, TriNet paid $2.60 per share in dividends for its common stock CUSIP #896287-10-9, traded under the NYSE ticker symbol TRI. For tax reporting purposes, the 1999 dividend distribution will be classified as follows: 38.86% ($1.01040) as a return of capital and 61.14% ($1.58960) as ordinary income. None of the distributions qualified for capital gain classification. The following table contains this information on a quarterly basis.


                                              Cash      Taxable      Return
    Declaration   Record       Payable    Distribution  Ordinary        of
       Date        Date          Date     Per Share     Dividend     Capital

    12/02/98     12/31/98     01/15/99     $0.65000     $0.39740    $0.25260
    02/24/99     03/31/99     04/15/99     $0.65000     $0.39740    $0.25260
    05/26/99     06/30/99     07/15/99     $0.65000     $0.39740    $0.25260
    09/09/99     09/30/99     10/15/99     $0.65000     $0 39740    $0.25260
    Total                                  $2.60000     $1.58960    $1.01040

    Total as a percentage                    100.0%       61.14%      38.86%

    Preferred Stock Dividends

Starwood Financial's distribution of $0.58594 per share of Series B preferred stock CUSIP #85569R-302, listed under the NYSE ticker symbol SFI pB, will be classified as 100% ordinary income. Prior to Starwood Financial's acquisition of TriNet, the Series B preferred stock was listed under CUSIP #896287-20-8 and traded under the NYSE ticker symbol TRI PrA. TriNet's pre-merger distribution of $1.7578 per share of this preferred stock will also be classified as 100% ordinary income.

Starwood Financial's distribution of $0.57500 per share of Series C preferred stock CUSIP #85569R-401, listed under the NYSE ticker symbol SFI pC, will be classified as 100% ordinary income. Prior to Starwood Financial's acquisition of TriNet, the Series C preferred stock was listed under CUSIP #896287-30-7 and traded under the NYSE ticker symbol TRI PrB. TriNet's pre-merger distribution of $1.7250 per share of this preferred stock will also be classified as 100% ordinary income.

Starwood Financial's distribution of $0.50000 per share of Series D preferred stock CUSIP #85569R-500, listed under the NYSE ticker symbol SFI pD, will be classified as 100% ordinary income. Prior to Starwood Financial's acquisition of TriNet, the Series D preferred stock was listed under CUSIP #896287-40-6 and traded under the NYSE ticker symbol TRI PrC. TriNet's pre-merger distribution of $1.50000 per share of this preferred stock will also be classified as 100% ordinary income.

Starwood Financial is the leading publicly traded finance company focused on the commercial real estate industry. The company, which is taxed as a real estate investment trust, provides structured mortgage, mezzanine and lease financing through its proprietary origination, acquisition and servicing platform. The company's mission is to maximize risk-adjusted returns on equity by providing innovative and value-added financing solutions to the real estate industry.

SOURCE Starwood Financial Inc.

CONTACT: Spencer Haber, Exec. Vice President and CFO, 212-930-9400, or Susan Brown, Corporate Communications, 415-391-4300, both of Starwood Financial Inc.; or Adam Weiner of Kekst and Company, 212-521-4800, for Starwood Financial Inc./

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