News Details

Whitestone REIT Announces Dividend Reinvestment Plan

May 31, 2011

Class A Common and Class B Common Shareholders Eligible to Participate

HOUSTON--(BUSINESS WIRE)-- Whitestone REIT (NYSE-AMEX: WSR – “Whitestone”), a fully integrated real estate company that owns, operates and redevelops Community Centered PropertiesTM, which are visibly located properties in established or developing culturally diverse neighborhoods, is pleased to announce today that its Board of Trustees has approved the creation of a Dividend Reinvestment Plan (“DRIP”) for shareholders of record of its Class A common shares and Class B common shares, effective May 31, 2011. Through the plan, Class B common shares are issued to participants with reinvested dividends at the average of the high and low sales price reported on the NYSE Amex on the dividend payment date, as further described in the DRIP prospectus. Whitestone expects to have the plan in place on June 1, 2011.

All shareholders of record of Class A common and Class B common shares are eligible to participate in the DRIP, and may have all of their monthly cash dividends automatically reinvested in additional Class B common shares of Whitestone REIT. No administrative fees or commissions will be payable by participants in connection with purchases of Class B common shares pursuant to the DRIP.

“We are pleased to offer this new plan, which provides a convenient and economical way for shareholders to increase their share ownership in Whitestone without incurring brokerage commissions or service charges,” said James C. Mastandrea, Whitestone’s Chairman and Chief Executive Officer.

Whitestone announced its third quarter dividend on May 16, 2011, of $0.285 per Class A common and Class B common share and Operating Partnership (“OP”) unit, which is payable monthly in three installments of $0.095 per share and unit. The first installment of the third quarter dividend will have a record date of July 1st for payment on July 7th, which will be the first dividend eligible for reinvestment in the DRIP.

American Stock Transfer & Trust Company (“AST”) will serve as Whitestone’s plan administrator and agent and will act on behalf of participants to process the purchases and sales of the Class B common shares as part of the DRIP. AST also serves as transfer agent for Whitestone REIT’s Class A common and Class B common shares. Registered Whitestone REIT shareholders, who are those shareholders that hold the shares in their own name, wishing to participate in the DRIP will be able to find the full text of the DRIP prospectus and enrollment forms at www.amstock.com. Non-registered beneficial shareholders, those shareholders who hold the shares in an investment account with a broker, are advised to contact their brokers, investment dealers or other financial intermediaries for details on how to participate in the Whitestone REIT DRIP.

Whitestone has filed a registration statement (including a prospectus) with the Securities and Exchange Commission (“SEC”) for Class B common shares offered pursuant to the DRIP. Before enrolling, shareholders are advised to read the complete text of the DRIP prospectus and to consult with their financial advisors regarding their individual investment profile and tax situation. When ready for distribution, the DRIP prospectus detailing the Dividend Reinvestment Plan, along with an Enrollment Form to establish an account, will be mailed to all shareholders of record.

Anyone may request a DRIP prospectus by contacting American Stock Transfer & Trust Company at 1-877-879-8035 or by mail: American Stock Transfer & Trust Company c/o Whitestone REIT, P.O. Box 922, Wall Street Station, New York, New York, 10269-0560. The prospectus will also be available by visiting the SEC web site at www.sec.gov. Quarterly dividends are only payable as and when declared by Whitestone’s Board of Trustees and there is no entitlement to any dividend prior thereto.

About Whitestone REIT

Whitestone REIT (NYSE-AMEX: WSR) is a fully integrated real estate company that owns, operates and re-develops Community Centered PropertiesTM, which are visibly located properties in established or developing culturally diverse neighborhoods. Whitestone focuses on value-creation in its Centers, as it markets, leases and manages its Centers to match tenants with the shared needs of surrounding neighborhoods. Operations are structured for providing cost-effective service to local service-oriented smaller space tenants (less than 3,000 square feet). Whitestone has a diversified tenant base concentrated on service offerings including medical, education, and casual dining. The largest of its approximately 800 tenants comprise less than 2% of its rental revenues. Headquartered in Houston, Texas, the Company is internally managed with a portfolio of commercial properties in Texas, Arizona and Illinois. For additional information about the Company, please visit www.whitestonereit.com. The Investor Relations section of the Company's website has links to SEC filings, news releases, financial reports and investor newsletters.

Forward-Looking Statements

Statements included herein that state the Company's or management's intentions, hopes, beliefs, expectations or predictions of the future are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995, which by their nature, involve known and unknown risks and uncertainties. The Company's actual results, performance or achievements could differ materially from those expressed or implied by these statements. Reference is made to the Company's regulatory filings with the Securities and Exchange Commission for information or factors that may impact the Company's performance.

Source: Whitestone REIT

Contact:

Whitestone REIT

Anne Gregory, (713) 435 2221

Vice President Marketing & Investor Relations

ir@whitestonereit.com