Whitestone REIT Reports Q2 2025 Financial Results with Revenue Increase and Strategic Acquisitions

Whitestone REIT reported its financial results for the second quarter of 2025, revealing total revenues of $37.9 million, a slight increase from $37.6 million in the same period last year. For the six months ending June 30, 2025, revenues reached $75.9 million, compared to $74.8 million in the prior year. The company’s net income attributable to common shareholders was $5.1 million for the quarter, up from $2.6 million in the previous year, while net income for the first half of 2025 was $8.8 million, down from $12.1 million in 2024. The diluted earnings per share for the second quarter was $0.10, compared to $0.05 in the same quarter of 2024.

In terms of operational metrics, Whitestone REIT maintained an occupancy rate of 94% across its portfolio of 56 properties, which collectively encompass approximately 4.9 million square feet of gross leasable area. The company completed 162 new and renewal leases during the first half of 2025, totaling 497,000 square feet, which is an increase from 147 leases totaling 503,417 square feet in the same period last year. The company’s tenant base remains diversified, with the largest tenant accounting for only 2.2% of annualized rental revenues.

Strategically, Whitestone REIT has been active in property acquisitions, having acquired several properties that align with its Community Centered Properties® strategy. Notable acquisitions include the South Hulen Shopping Center for $32.4 million and San Clemente for $12 million, both completed in May and June 2025. The company also sold Woodlake Plaza for $4.5 million during the quarter, recording a gain of $0.2 million. As of June 30, 2025, the company’s total real estate assets stood at approximately $1.04 billion, reflecting a slight increase from $1.00 billion at the end of 2024.

Whitestone REIT's total liabilities increased to $722.5 million as of June 30, 2025, up from $690.8 million at the end of 2024, primarily due to increased notes payable. The company reported cash and cash equivalents of $5.3 million, a decrease from $15.4 million at the end of 2024. The company’s management expressed confidence in its ability to meet future capital needs through cash flows from operations and available credit facilities, despite the challenges posed by rising interest rates and economic uncertainties.

Looking ahead, Whitestone REIT anticipates continued growth in rental income driven by property acquisitions and lease renewals. The company plans to maintain its quarterly distribution of $0.135 per common share and OP unit, reflecting its commitment to providing returns to shareholders while pursuing strategic growth opportunities in its target markets.