Leading Independent Proxy Advisory Firm ISS Recommends Stratus Shareholders Vote on Stratus’ WHITE Proxy Card

Stratus Properties Inc. (NASDAQ: STRS) (“Stratus” or the “Company”) today announced that Institutional Shareholder Services (“ISS”), a leading independent proxy advisory firm, recommends that Stratus shareholders vote on the Company’s WHITE proxy card in connection with the Company’s upcoming 2021 Annual Meeting of Shareholders (the “Annual Meeting”). ISS also recommends that shareholders not vote on the GOLD proxy card.

In its report, ISS highlighted the Company’s ongoing evaluation of a potential REIT conversion, noting that “the board's decision to explore a REIT conversion seems reasonable, particularly with new directors with relevant expertise in the boardroom.”¹ ISS commented favorably on Stratus director Kate Henriksen’s REIT experience and stated that “shareholders should expect [Neville] Rhone, [Jr.], with his experience and insights as a real estate investor, to support the company’s transparent communication of its strategy over the near term.”

Commenting on the ISS report, William (“Beau”) H. Armstrong III, the Company’s Chairman, President and Chief Executive Officer, stated: “We are pleased with ISS’ recommendation that Stratus shareholders should vote on the WHITE proxy card and that ISS recognizes Stratus’ work towards refreshing our Board, including adding diverse directors with the appropriate expertise to help us enhance shareholder value for all of our investors.”

Stratus urges shareholders to follow the recommendations of ISS and vote on the WHITE proxy card. The Company recommends that shareholders vote “FOR” both of Stratus’ highly qualified director nominees, Messrs. Leslie and Rhone, and “FOR” the shareholder proposal to appoint an additional director, Laurie Dotter, to the Board.

Additional news and updates regarding Stratus’ Annual Meeting can be found on Stratus’ website, stratusproperties.com, or the Company’s proxy page, YourStratus.com. The Company’s Annual Meeting is scheduled to be held on June 4, 2021. Shareholders as of the record date, April 8, 2021, are entitled to vote at the Annual Meeting. Shareholders with questions should contact the Company’s proxy solicitor, Innisfree M&A Incorporated, at [phone] (toll-free) or [phone].

REMEMBER: Simply discard any gold proxy card you may receive. If you have already voted using a gold proxy card, you can change your vote by using the WHITE proxy card to vote by telephone, Internet or by mail. Only your latest-dated vote will count.