Houston, TX – January 28th,
2024 – 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 27th,
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 27th 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.
Media Contact :
Investor Relations Contact :
Michelle-anne Small
Investor Relations
Coordinator