MVP REIT I & II Shareholders Approve Merger, Combined Company to Pursue Public Listing

Shareholders of MVP REIT Inc. and MVP REIT II Inc., two non-traded real estate investment trusts, voted and approved the merger of the two companies at the 2017 annual meeting held on September 27.

With this approval, MVP I will merge with and into a wholly-owned merger subsidiary of MVP II with the merger subsidiary continuing as the surviving entity. The combined company will be renamed The Parking REIT Inc. MVP I shareholders will receive 0.365 shares of MVP II common stock for each share of MVP I common stock they own. Fractional shares will be paid in cash.

“This merger represents a significant step in the evolution of our company. We believe there is a tremendous opportunity to consolidate assets in this truly unique and attractive category of properties,” said Michael Shustek, chairman and chief executive officer of MVP I, and president, chief executive officer and chairman of the board of MVP II.

He added, “With this merger, the Parking REIT is singularly positioned with the platform, scale and expertise to be the leading owner of parking lots and garages in order to maximize value for our shareholders. This important milestone enhances our ability to acquire additional properties, taking advantage a favorable supply/demand imbalance, while pursuing our next step of listing our shares of common stock on a national securities exchange.”

All of the matters brought to vote at the meeting were approved, including the charter amendments associated with the merger, the election of each of the proposed members to the board of directors, and the appointment of RSM US LLP as the company’s independent registered public accounting firm.

MVP REIT completed its initial public offering in September 2015 after raising $97.3 million from the sale of its common stock. The company’s portfolio consists of 24 properties with an investment cost of $132.3 million, according to Summit Investment Research.

MVP REIT II closed its offering in December 2016 and has raised $62 million in investor equity. The company owns interests in 14 properties with a total purchase price of approximately $121.7 million, according to Summit Investment Research.

Both REITs are managed by MVP Realty Advisors LLC.

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