Whitestone REIT Announces Pricing of Public Offering of Common Shares

HOUSTON, April 20, 2017 -- Whitestone REIT (NYSE:WSR) (“Whitestone”), announced today that it has priced a public offering of 7,000,000 of its common shares at a public offering price per share of $13.00, for net proceeds of approximately $87.23 million after deducting the underwriting discount and commissions and estimated offering expenses payable by Whitestone.  In connection with the offering, Whitestone granted the underwriters a 30-day option to purchase up to an additional 1,050,000 common shares.  The offering is subject to customary closing conditions and is expected to close on April 25, 2017. 

SunTrust Robinson Humphrey, Inc. is acting as book-running manager of the offering.  BMO Capital Markets and JMP Securities are also acting as book-running managers for the offering. Wunderlich Securities, J.J.B. Hilliard, W.L. Lyons, LLC, Janney Montgomery Scott, Ladenburg Thalmann and Maxim Group LLC are acting as co-managers for the offering.

Whitestone will contribute the net proceeds of the offering to its operating partnership in exchange for units of limited partnership interest in the operating partnership.  The operating partnership intends to use the net proceeds from the offering initially to repay a portion of outstanding indebtedness under Whitestone’s unsecured revolving credit facility, which amounts will then become available for future borrowings, including to fund a portion of the purchase price of two pending acquisitions of properties, or for general corporate purposes.

The offering is being made pursuant to Whitestone’s existing effective shelf registration statement, previously filed with the Securities and Exchange Commission, including a prospectus supplement and accompanying base prospectus. A copy of the prospectus supplement and accompanying base prospectus may be obtained from SunTrust Robinson Humphrey, Inc. at SunTrust Robinson Humphrey, Inc., 3333 Peachtree Road NE, Atlanta, GA 30326, Attention: Prospectus Department or Email: [email protected].

This press release is not an offer to sell, nor a solicitation of an offer to buy securities, nor shall there be any sale of securities in any state or jurisdiction in which the offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

About Whitestone REIT

Whitestone is a pure-play community-centered retail REIT that acquires, owns, manages, develops and redevelops high quality “E-commerce resistant” neighborhood, community and lifestyle retail centers principally located in the largest, fastest-growing and most affluent markets in the Sunbelt. Whitestone’s optimal mix of national, regional and local tenants provide daily necessities, needed services and entertainment to the community which are not readily available on the internet. Whitestone’s properties are primarily located in business-friendly Phoenix, Austin, Dallas-Fort Worth, Houston and San Antonio, which are among the fastest-growing US population centers with highly educated workforces, high household incomes and strong job growth.

Forward-Looking Statements

This press release contains statements that constitute “forward-looking statements,” including with regard to the Whitestone’s securities offering and the anticipated use of the net proceeds. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. No assurance can be given that the securities offering discussed above will be completed on the terms described, or at all, or that the net proceeds of the offering will be used as indicated. Completion of the proposed acquisitions or securities offering on the terms described, and the application of net proceeds, are subject to numerous conditions, many of which are beyond the control of Whitestone including, but not limited to, the status of the economy and the status of capital markets.  See the Risk Factors sections of Whitestone’s prospectus supplement and accompanying base prospectus, as well as periodic reports and other documents filed with the Securities and Exchange Commission (“SEC”) for a discussion of these factors. Copies are available on the SEC’s website, www.sec.gov. Except as required by law, Whitestone undertakes no obligation to update these statements for revisions or changes after the date of this release.

Whitestone REIT:
David K. Holeman, (713) 435-2227
Chief Financial Officer
[email protected]