---
schema_version: "secwatch.filing_event.v1"
accession: "0001437749-23-025719"
form_type: "8-K"
ticker: null
cik: "0000928953"
company_name: "PILLARSTONE CAPITAL REIT"
filed_at: "2023-09-13T23:59:59+00:00"
generated_at: "2026-06-10T19:50:06.472368+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Default on $14.4M mortgage loan for Uptown Tower; litigation with Whitestone proceeds.

## Summary
- Received notice of default on Uptown Tower mortgage; loan balance $14.4M maturing Oct 1, 2023. Payoff estimate $18.9M includes $6.3M default interest.
- Non-monetary defaults alleged: failure to comply with loan agreement and termination of management agreement in Aug 2022.
- No assurance of loan extension or refinancing before maturity.
- Trial held July 17-18 in Delaware Chancery lawsuit by Whitestone OP challenging Pillarstone's rights agreement; post-trial argument Nov 2, 2023.
- Litigation expected to be expensive and disruptive; registrant vigorously defending but outcome unpredictable.

## SEC filing metadata
- accession: 0001437749-23-025719
- form_type: 8-K
- cik: 0000928953
- company_name: PILLARSTONE CAPITAL REIT
- filed_at: 2023-09-13T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 2.04, 8.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/928953/000143774923025719/0001437749-23-025719-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/928953/000143774923025719/pscr20230912_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001437749-23-025719
- JSON: https://secwatch.observer/filing/0001437749-23-025719.json
- Plain text: https://secwatch.observer/filing/0001437749-23-025719.txt

## Key facts
- Debt Financings
  PILLARSTONE CAPITAL REIT reported a default on mortgage of approximately $14.4 million with the lender and special servicer maturing October 1, 2023.
  - Instrument: mortgage
  - Principal: approximately $14.4 million
  - Counterparty: the lender and special servicer
  - Maturity: October 1, 2023
  - Event: default
  source text: L.P. (“ Whitestone OP ”), a subsidiary of Whitestone REIT, is the guarantor of this mortgage loan. The mortgage payable on this property had a balance of approximately $14.4 million on September 1, 2023. The mortgage loan matures on October 1, 2023. The registrant and the borrower have been working to extend the maturity date and to find new financing for
  evidence_url: https://www.sec.gov/Archives/edgar/data/928953/000143774923025719/0001437749-23-025719-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.