- Completed the transformation to an Ecommerce resistant Community Centered Retail REIT
- Disposed $92.0 million of non-retail assets
- Tax-efficiently redeployed $72.5 million on acquisitions of upscale retail centers in target markets
- Issued operating units at $19.00 per unit
- Remains well-positioned to capitalize on Ecommerce disruption in retail shopping center space
HOUSTON, Jan. 17, 2017 (GLOBE NEWSWIRE) — Whitestone REIT (NYSE:WSR) (the “Company”) announced that financial results for the fourth quarter and full year ended December 31, 2016 will be released after close of market on March 1, 2017. An investor conference call to discuss the results will be held on March 2, 2017 at 10:00 am (CT).
An infographic accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/57285e6c-1f9f-4db9-b798-40e57b87c7cd
Taking stock of a successful and active year, James C. Mastandrea, Chairman and CEO of Whitestone REIT thanked all associates for transforming Whitestone into a pure-play retail REIT. “Throughout 2016, our associates and the entire Whitestone REIT family worked diligently to execute our strategy and capture very profitable opportunities poised to produce enduring superior operating results and help drive consistent superior total returns for all shareholders.”
Among the 2016 milestones that helped to underpin the creation of significant value for shareholders was the Company’s tax-efficient transformation to a pure play community centered retail REIT through:
- Disposition of 17 non-retail properties with gross value of $92.0 million,
- Acquisition of $72.5 million of upscale retail properties in our target markets,
- Value affirming capital markets activities, including: Issuance of $11.8 million worth of OP units at $19.00 per unit, and $30.5 million raised through an ATM facility at an average price of $14.80 per share.
“We strive for every one of our associates to be a shareholder,” added Mr. Mastandrea. “This alignment of interests and common purpose was on display in 2016 as Whitestone adroitly navigated long-simmering industry and macro-economic disruptions to complete Whitestone’s transformation to a pure-play community centered retail REIT.” In 2016, growth and dominance of ecommerce unambiguously emerged as a disruptive force and is poised to continue to disrupt the retail marketplace. Meanwhile, changing fiscal and monetary policies provide additional sources of uncertainty for REIT investors in 2017 and beyond.
Disruption in retail shopping center space creates opportunities
Whitestone is uniquely positioned to benefit from the disruption caused by ecommerce and macroeconomic trends. How? By providing high value spaces for entrepreneurs who offer experiences, goods and services not readily available for purchase through the Internet. Whitestone’s small tenant focus, with shorter term leases, attractive annual contractual increases, participation clauses and few restrictive tenant covenants provides operating flexibility to stay ahead of the perpetually changing macro environment. Plus, Whitestone’s focus on the fastest growing large US population centers and a strong capital position provides attractive development, redevelopment and acquisition opportunities. In short, Whitestone’s capital structure, experienced management team, a performance-based culture and a focused business model offers a platform for continued steady growth, well covered attractive dividend yield and, attractive total returns.
Mr. Mastandrea concluded, “Whitestone enters 2017 as a stronger, even more focused enterprise. Our transformation to a pure-play community-centered retail REIT and a large pipeline of growth catalysts provides a durable platform for continued growth.”
Fourth quarter 2016 and fiscal year 2016 financial results conference call details
The Company’s 4Q’16 and FY’16 financial results conference call will be broadcast live on March 2, 2017, at 10:00 am (CT). The call will be led by James C. Mastandrea, Chairman and Chief Executive Officer, and David K. Holeman, Chief Financial Officer. Investors can access the call via the Company’s website at www.whitestonereit.com. Or, by dialing:
| – U.S.-based investors, toll-free: | (888) 554-1429 |
| – Non-U.S.-based investors: | (719) 325-2173 |
Replay of the conference call will be available through March 10, 2017. Accessible as follows:
| – U.S.-based investors toll-free: | (844) 512-2921 |
| – Non-U.S.-based investors: | (412) 317-6671 |
| – Pass Code (for all participants): | 5157962 |
Annual Meeting of Shareholders Date and Time
The Company also announced today that its Board of Trustees has set May 11, 2017 as the date for its Annual Meeting of Shareholders. The Annual Meeting will begin at 10:00 a.m. CT and will be held at the Houston Marriott Westchase Hotel, located at 2900 Briarpark Drive, Houston, Texas 77042. The Board of Trustees has set the close of business on February 13, 2017 as the record date for determining shareholders entitled to notice of, and to vote at, the Annual Meeting.
About Whitestone REIT
Whitestone REIT (NYSE:WSR) is a fully integrated real estate investment trust (“REIT”) that acquires, owns, manages, develops and redevelops high quality Ecommerce-resistant neighborhood, community and lifestyle retail centers. Whitestone’s 55 properties, covering approximately 4.4 million square feet are located in business-friendly Phoenix, Austin, San Antonio, Dallas-Fort Worth and, Houston, which are among the fastest-growing US population centers with highly educated workforces, high household incomes and strong job growth. Since the IPO in August 2010, Whitestone’s strategy to target shifting consumer behavior and purchasing patterns by partnering with national, regional and local tenants to provide daily necessities, needed services and conveniences that are not readily available online has delivered compound annual growth rates of 38%, 23%, 25% and 32% in net income, revenue, NOI, and FFO Core, respectively. Visit www.whitestonereit.com for additional information.
Forward-Looking Statements
Certain statements contained in this press release constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The Company intends for all such forward-looking statements to be covered by the safe-harbor provisions for forward-looking statements contained in Section 27A of the Securities Act and Section 21E of the Exchange Act, as applicable. Such information is subject to certain risks and uncertainties, as well as known and unknown risks, which could cause actual results to differ materially from those projected or anticipated. Therefore, such statements are not intended to be a guarantee of the Company’s performance in future periods. Such forward-looking statements can generally be identified by the Company’s use of forward-looking terminology, such as “may,” “will,” “plan,” “expect,” “intend,” “anticipate,” “believe,” “continue” or similar words or phrases that are predictions of future events or trends and which do not relate solely to historical matters, and include, without limitation, the Company’s beliefs and intentions regarding the impact and results of the disposition and transition to a pure-play retail REIT and other factors detailed in the Company’s most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other documents the Company files with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company cannot guarantee the accuracy of any such forward-looking statements contained in this press release, and the Company does not intend to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Whitestone REIT Contact:Marek Ciszewski, J.D.Director of Investor RelationsM: (713) 435-2219mciszewski@whitestonereit.com