Ares Real Estate to acquire Whitestone REIT in $1.7B deal

Whitestone REIT (NYSE:WSR) announced on April 9, 2026, that it has entered into a definitive merger agreement to be acquired by funds managed by Ares Real Estate in an all-cash deal valued at approximately $1.7 billion, including the assumption of debt.

Under the terms of the agreement, Whitestone shareholders will receive $19 in cash per share.

The purchase price represents a 12.2% premium to the company's closing stock price of $16.94 on April 8, 2026, and a 26.5% premium to the unaffected price prior to media reports of a potential sale on March 5, 2026.

The transaction has been unanimously approved by the Whitestone Board of Trustees.

The acquisition marks a significant move by Ares to capture a high-quality, convenience-focused retail portfolio concentrated in the "Sunbelt" region.

As of March 31, 2026, Whitestone’s portfolio consisted of 56 retail properties totaling approximately 4.9 million square feet, with a primary focus on high-growth markets in Arizona and Texas, including Phoenix, Austin, Dallas-Fort Worth, Houston, and San Antonio.

The merger is not subject to a financing condition.

Financing is fully committed through equity from Ares funds and a debt commitment provided by Citigroup.

Upon completion of the deal, Whitestone will become a privately held company, and its common stock will no longer trade on the New York Stock Exchange.

The transaction is expected to close in the third quarter of 2026, subject to approval by Whitestone shareholders and the satisfaction of customary closing conditions.