Lightstone Value Plus REIT : Acquisition/Asset Disposal - Form 8-K

Item 2.01

Completion of Acquisition or Disposition of Assets

On August 2, 2023, Lightstone Value Plus REIT V, Inc. (the "Company")and BAM Acquisitions LLC (the "Flats at Fishers Buyer"), an unaffiliated third party, entered into a purchase and sale agreement (the "Flats at Fishers Agreement") pursuant to which the Company would dispose of a 306-unit multifamily property located in Fishers, Indiana (the "Flats at Fishers") to the Flats at Fishers Buyer for a contractual sales price of $71.0 million.

On November 1, 2023,the Company completed the disposition of the Flats at Fishers pursuant to the terms of the Flats at Fishers Agreement. In connection with the disposition of the Flats at Fishers, its non-recourse mortgage loan (the "Flats at Fishers Mortgage") of $27.7 million was defeased at a total cost of $27.1 million and its non-recourse subordinated mortgage loan (the "Flats at Fisher Supplemental Mortgage") of $8.9 million was repaid in full. The Company's net proceeds from the disposition of the Flats at Fishers were $33.8 million after the aforementioned defeasance of the Flats at Fishers Mortgage and repayment of the Flats at Fisher Supplemental Mortgage, pro rations and closing and other related transaction costs. The net proceeds have been temporarily placed in an escrow with a qualified intermediary to potentially facilitate a Section 1031 exchange transaction pursuant to the requirements of the Internal Revenue Code, as Amended.