Ares Real Estate Funds to Acquire Whitestone REIT in a $1.7 Billion Cash Deal

Whitestone REIT (WSR) entered a merger agreement on April 9, 2026, to be acquired by Ares Real Estate Funds (ARES) in a deal valued at $1.7 billion.

Deal Structure:

Ares will acquire all outstanding Whitestone common shares and operating partnership units for $19 per share or unit in an all-cash transaction, representing a premium of 12.16% from the stock’s last close.

Company Profile:

Whitestone REIT is a real estate investment trust that owns, operates, and develops open-air neighborhood retail centers in major Sunbelt markets, focusing on service-oriented tenants such as food, health, and local services.

Ares Management is an alternative asset manager that invests across credit, private equity, real estate, and infrastructure, managing capital for institutional and retail investors. It provides financing and investment solutions to companies and real estate assets across global markets, with roughly $623 billion in assets under management.

Deal Details and Timeline:

In November last year, MCB Real Estate offered to acquire all of the outstanding shares of Whitestone REIT for $15.2 per share in cash. The stock was trading at $12.56 when the offer was made.

Whitestone’s portfolio consists of 56 retail properties totaling about 4.9 million square feet. These assets are located in the fastest-growing markets, including Phoenix, Austin, Dallas-Fort Worth, Houston, and San Antonio.

The deal is expected to close in the third quarter of 2026.

Whitestone was advised on the deal by BofA Securities and Jones Lang LaSalle Securities for financial matters, while Bass Berry & Sims handled the legal side. Ares Real Estate Funds received financial advice from Citigroup Global Markets and Morgan Stanley, with Kirkland & Ellis acting as their legal advisor.

Ares is purchasing Whitestone REIT at 28.27 times its adjusted funds from operations (AFFO).

Deal Metrics:

For a comprehensive understanding of this M&A transaction, please visit the Deal Metrics page here:

Deal Metrics for the acquisition of Whitestone REIT (WSR) by Ares Real Estate Funds (ARES)

The Deal Metrics page for each merger or acquisition includes:

• A chart tracking the spread history of the merger from announcement to completion or failure.
• Details of every event in the merger journey, including expiry of the HSR period, regulatory approvals, shareholder votes, and more.
• News updates and SEC filings.
• A log of deal updates.
• And much more.

Disclaimer: This article is intended for informational purposes only. Please conduct your own thorough research before making any investment decisions. The completeness or accuracy of the information provided is not guaranteed.

Editor’s Note: Baranjot Kaur contributed to this article