Silver Star Properties REIT sends message to Shareholders regarding Former CEO Communications

HOUSTON, Jan. 28, 2025 /PRNewswire/ -- Silver Star Properties REIT, Inc. ("Silver Star" or the "Company"), a self-managed real estate investment trust currently repositioning into the self-storage asset class, today responded to recent reckless and dishonest communication from Al Hartman, former CEO regarding Judge Memorandum order in Maryland litigation.

As a follow-up to our communication on January 24th, we have been notified of yet another reckless and factually dishonest communication from Al Hartman, dated January 27^th, 2025. We feel it is our responsibility to address this matter directly and ensure that you are presented with the facts, rather than the baseless misstatements made by Mr. Hartman.

First and foremost, we want to address the gross misrepresentation of the recent court decision that Mr. Hartman included in his correspondence. Contrary to his assertions, the court's opinion does not vindicate his claims, nor does it support the inflammatory accusations he has made. The court not only found in Silver Star's favor, in the Memorandum Order there are no less than five instances where Al Hartman's credibility is raised. One stated explicitly, "The Court found Plaintiff to have general credibility issues stemming from instances in which Plaintiff had been shown to be dishonest."

Moreover, Mr. Hartman's communication included slanderous statements about the company and its executive committee. These comments are not only unfounded but are also a direct attempt to undermine the integrity of the current leadership and the work we are doing to ensure the company's success. Such actions are unbecoming of someone who once held a leadership position in this organization and in all probability sold your current shares to you.

We want to reassure you that the executive committee and leadership team remain steadfast in their commitment to transparency, accountability, and the best interests of the company. While we regret the need to address these distractions, we will not allow, at this time, slanderous falsehoods to go unchallenged.

To provide clarity:

The court's decision does not support the narrative Mr. Hartman is attempting to construct. Mr. Hartman said in his January 27^th communication "the lis pendens filed on the properties for a short 3-month period did not damage Silver Star in anyway." However, the judge stated in his order (that is uploaded on our website), "The lis pendens interfered with Silver Star's ability to market its office building assets and put it in technical default on some of its debts, thereby jeopardizing the refinancing effort and potentially thwarting the Pivot Plan. Ultimately, Hartman SPE had to be put into bankruptcy. It took several months for the bankruptcy proceeding to result in the release of the lis pendens. Silver Star incurred substantial costs as a result."

We urge all shareholders to disregard Mr. Hartman's communications and rely on official communications from the company for accurate information. Please forward all communications to my contact below so we can respond accurately and timely to these claims. We will continue to keep you updated as developments occur and will not waver in our efforts to protect the company and its shareholders from misinformation and unwarranted and unregulated attacks.

Thank you for your continued trust and support. Please do not hesitate to reach out to our Investor Relations team with any questions or concerns.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on management's current expectations, assumptions, and beliefs. Forward-looking statements can often be identified by words such as "anticipate," "estimate," "expect," "intend," "may," "should" and similar expressions, and variations or negatives of these words. They are not guarantees of future results and forward-looking statements are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statement, including those described in greater detail in our filings with the Securities and Exchange Commission ("the SEC"), particularly those described in our most recent Annual Report on Form 10-K, which was filed with the SEC on May 26, 2023 and Quarterly Reports on Form 10-Q. Readers should not place undue reliance on any forward-looking statements and are encouraged to review the Company's other filings with the SEC for a more complete discussion of risks and other factors that could affect any forward-looking statement. The statements made herein speak only as of the date of this Press Release and except as required by law, the Company does not undertake any obligation to publicly update or revise any forward-looking statements.

SOURCE Silver Star Properties REIT