STRATUS PROPERTIES INC 8-K

What Happened
Stratus Properties Inc. (via its subsidiary College Station 1892 Properties, L.L.C.) announced on May 28, 2026 (Purchase Agreement dated May 21, 2026) that it entered into an agreement to sell the retail component of Jones Crossing in College Station, Texas to Brixmor Operating Partnership LP for $46.5 million in cash. The retail asset comprises 154,092 sq ft (including an H‑E‑B grocery), two retail pad sites under ground leases, and ~22 undeveloped commercial acres with estimated future development potential of ~104,750 sq ft. Stratus will retain the adjacent 21‑acre multi‑family component and its ground lease.

Key Details

• Purchase price: $46.5 million cash.
• Estimated pre‑tax net cash proceeds to Stratus (after selling costs and repayment of project loan): approximately $20.0 million if the sale completes.
• Property size/details: 154,092 sq ft retail (includes H‑E‑B), two pad sites, ~22 undeveloped acres (est. ~104,750 sq ft potential, up to 7 pad sites).
• Deposits & timing: $465,000 earnest money deposited, plus an additional $465,000 to be deposited within three business days after the inspection period; purchaser may terminate on or before May 29, 2026 (inspection period end) and receive the earnest money back. Deal expected to close in Q2 or Q3 2026, subject to customary conditions; closing not conditioned on financing.
• Other: Purchaser will assume seller’s rights/obligations as tenant under the retail ground leases; Stratus agreed to guarantee certain limited post‑closing obligations of the seller.

Why It Matters
This transaction monetizes Stratus’s retail portion of a mixed‑use project near Texas A&M, converting a large real‑estate asset into cash (estimated ~$20M net) and shifting retail ground‑lease responsibilities to Brixmor while Stratus keeps the multi‑family parcel. For investors, the sale could affect Stratus’s cash position, debt paydown or capital allocation and will reduce its retail real‑estate exposure at Jones Crossing; any material post‑closing obligations are limited and guaranteed by Stratus per the agreement. The deal remains subject to the inspection period, closing conditions and potential termination rights described in the Purchase Agreement.