---
schema_version: "secwatch.filing_event.v1"
accession: "0001437749-23-033430"
form_type: "8-K"
ticker: null
cik: "0000928953"
company_name: "PILLARSTONE CAPITAL REIT"
filed_at: "2023-12-04T23:59:59+00:00"
generated_at: "2026-06-07T19:07:36.319576+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.9
calibrated_materiality_score: 0.9
confidence: "high"
source: SEC EDGAR
---

# Pillarstone subsidiary files Chapter 11 to halt foreclosure on $14.4M loan

## Summary
- Whitestone Uptown Tower, LLC filed Chapter 11 on Dec 1, 2023, in Northern District of Texas.
- Default on $14.4M principal mortgage loan; total payoff estimate $18.8M including $6.5M default interest.
- Filing halts foreclosure sale scheduled for Dec 5, 2023; dispute with Whitestone REIT blocked property sale.
- Whitestone REIT subsidiary is guarantor; Delaware Chancery Court trial held July 2023 awaiting decision.

## SEC filing metadata
- accession: 0001437749-23-033430
- form_type: 8-K
- cik: 0000928953
- company_name: PILLARSTONE CAPITAL REIT
- filed_at: 2023-12-04T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.9
- calibrated_materiality_score: 0.9
- confidence: high
- sec_items: 2.04, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/928953/000143774923033430/0001437749-23-033430-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/928953/000143774923033430/pscr20231201_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001437749-23-033430
- JSON: https://secwatch.observer/filing/0001437749-23-033430.json
- Plain text: https://secwatch.observer/filing/0001437749-23-033430.txt

## Key facts
- Debt Financings
  PILLARSTONE CAPITAL REIT reported a default on mortgage of outstanding principal balance of approximately $14.4 million with Rialto Capital Advisors, LLC at default interest maturing October 1, 2023.
  - Instrument: mortgage
  - Principal: outstanding principal balance of approximately $14.4 million
  - Counterparty: Rialto Capital Advisors, LLC
  - Rate: default interest
  - Maturity: October 1, 2023
  - Event: default
  source text: Uptown Loan. The estimated payoff amount was listed as approximately $18.8 million, net of escrows and reserves, which included an outstanding principal balance of approximately $14.4 million and approximately $6.5 million of default interest. On December 1, 2023, Whitestone Uptown Tower issued a press release relating to the filing, a copy of which is attached hereto
  evidence_url: https://www.sec.gov/Archives/edgar/data/928953/000143774923033430/0001437749-23-033430-index.htm

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