UPREIT Section 721 Exchange - An owner transfers a property into the Operating Partnership ("OP") in exchange for OP Units and a conversion option without tax consequences. Each OP Unit generally receives the same annual distribution of income as one share of common stock. The UPREIT, under IRC Section 721, provides tax deferral benefits to commercial property owners.
Joint Venture - Whitestone REIT is seeking majority ownership in joint venture partnerships whereby Whitestone relieves the current owner by taking control of property management and leasing functions. The venture can be structured in various ways, and the terms are negotiable depending on the venture.
Existing Loan Assumption - Whitestone REIT may assume existing loans and offer equity to the owner in the form of Operating Partnership Units or Common Shares.
Equity/Debt - Whitestone REIT can offer a variety of ways to accomplish an acquisition that is a "win-win" for both the seller and our Company.
Working Example: OP Unit Exchange (For illustration purposes)
Whitestone REIT is seeking majority ownership in joint venture partnerships whereby Whitestone relieves the current owner by taking control of property management, leasing and asset management functions under our corporate umbrella.