Stratus Properties Inc. Announces Review of Strategic Alternatives and Sale of Kingwood Place

Stratus Properties Inc. (Stratus) has announced a strategic review process to explore alternatives for maximizing shareholder value, including potential sale, dissolution, liquidation, or share repurchases. Concurrently, Stratus has entered into an agreement to sell its Kingwood Place mixed-use development project for $60.8 million. This sale is expected to yield approximately $26 million in pre-tax net cash proceeds after costs and loan repayment. The transaction, which is subject to customary closing conditions and the expiration of a 30-day inspection period, is anticipated to close in the first quarter of 2026. This follows Stratus' recent sales of other retail properties. The company, which owns approximately 60% of Kingwood Place, aims to recognize the value of its remaining portfolio and return cash to shareholders in a tax-efficient manner. Stratus has engaged financial and legal advisors for this strategic review process.