Ares Management to Acquire Whitestone REIT for $1.7B

Ares Management Corp. and Whitestone REIT have entered into a definitive merger agreement under which Ares will acquire the REIT in an all-cash transaction for $1.7 billion, the companies announced on Thursday.

Following this merger, Ares will acquire all Whitestone common shares for $19.00 per share or unit, representing a 12.2 percent premium to the closing stock price on April 8, 2026. The transaction is expected to close in the third quarter of 2026. Once the deal closes, Whitestone’s common stock will no longer trade on the New York Stock Exchange. The transaction is the latest in a series of public-to-private mergers.

Whitestone’s portfolio includes 4.9 million square feet of retail space across markets including Phoenix, Dallas, San Antonio, Houston and Austin, Texas. David Roth, global head of real estate strategy and growth at Ares Real Estate, said in prepared remarks that the portfolio provides an opportunity for Ares to expand in retail markets with low supply and create value for both communities and investors.

Last November, Whitestone purchased World Cup Plaza in Frisco, Texas. The retail center spans 90,391 square feet and the company owns four shopping centers close by including Headquarters Village, The Shops at Starwood, Lakeside Market and Eldorado Plaza.

This acquisition is Ares’ second public-to-private deal of the year. In January, Ares Alternative Credit Funds along with Makarora Management acquired Plymouth Industrial REIT. The all-cash deal was valued at $2.1 billion for $22.00 per share.

In the merger transaction, BofA Securities is acting as Whitestone’s financial advisor along with JLL, while Bass Berry & Sims is the company’s legal advisor. For Ares, Citigroup Global Markets Inc. is the leading financial advisor, working with Morgan Stanley. Kirkland & Ellis is the legal advisor.

This is a developing story. Check back for updates.