Press Release|Corporates
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KBRA Extends Watch Developing Status for Whitestone REIT's Issuer and Issue Ratings

9 Jul 2026   |   New York

Contacts

KBRA extends its Watch Developing status for the BBB- issuer and unsecured debt ratings of Whitestone REIT Operating Partnership, L.P. (Whitestone) following the pending acquisition of parent Whitestone REIT (NYSE: WSR) by Ares Management Corporation (Ares). As previously announced, Ares has agreed to acquire Whitestone REIT in an all-cash transaction valued at approximately $1.7 billion. The transaction, which was unanimously approved by Whitestone's board of directors, is expected to close in July 2026, subject to customary closing conditions.

Following completion of the acquisition, Whitestone REIT will merge with Ares-affiliated real estate funds and be delisted from the New York Stock Exchange (NYSE).

KBRA is extending the Watch Developing status pending completion of the transaction and will continue to monitor developments, including any changes to the proposed terms and the expected prepayment of the rated senior unsecured notes at closing. KBRA expects to resolve the Watch upon completion of the transaction or as additional information becomes available.

Whitestone REIT is a Houston-based equity REIT focused on the ownership and management of 52 retail shopping center properties in the southwestern United States. Key markets include Phoenix, Houston, Dallas, and Austin/San Antonio.

To access ratings and relevant documents, click here.

Methodology

Disclosures

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

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