Highlights

  • Medalist Diversified set a 23 November 2026 special meeting to approve a charter amendment protecting its tax loss benefits.
  • The company corrected its charter on 19 October after finding the June amendment lacked the stockholder vote required.
  • A Savannah joint venture backed by a US$4.0 million Medalist commitment secured a construction Loan of up to US$13.8 million.
  • Medalist paid a quarterly Cash Dividend of US$0.0675 per share on 23 October 2026 to holders of record on 16 October.

Medalist Diversified, Inc. (NASDAQ:MDRR) is asking stockholders to approve, for a second time, a charter amendment designed to protect its net operating losses and net Capital losses, after the Virginia-based sponsor of Delaware Statutory Trusts (DSTs) found that its first attempt had not secured the required vote. The reset comes as the company completes its shift from property ownership toward DST fee income.

Charter Correction Resets the Tax Benefit Vote

At its 16 June 2026 annual meeting, stockholders voted on a charter amendment aimed at preserving the tax benefits of those losses. The proposal drew more than 95% of the votes cast, but Medalist later determined that it had not received the vote required under its charter and Maryland law.

On 19 October 2026, the company filed a certificate of correction in Maryland declaring the June amendment of no force or effect, and the board adopted fresh resolutions the same day. The amendment would void stock transfers that lift a holder from below 4.9% to 4.9% or more, or that increase the stake of an existing 4.9% holder.

From Property Owner to DST Sponsor

Medalist terminated its real estate Investment trust election effective 1 January 2026 and is transitioning its primary focus to its DST program, aiming to generate fee income and grow Assets under management. The model involves syndicating net Lease properties into DSTs and offering interests to accredited investors through Regulation D private placements.

Asset sales have continued. The company sold Ashley Plaza in Goldsboro, North Carolina, on 29 July for US$16.28 million and its Brookfield property in Greenville, South Carolina, on 1 September for US$10.1 million. By 1 September, it had also sold all Class 1 interests in the DST owning a Tesla-leased property in Pensacola, Florida. On 17 September, Medalist bought a Caliber Collision Center in Aubrey, Texas, for US$5.40 million in cash through a new DST it plans to offer to accredited investors.

Second-Quarter Figures Reflect the Transition

For Q2 2026, total Revenue was US$1.81 million, compared with US$2.47 million a year earlier, and the net loss attributable to common stockholders was US$0.26 per share. For the six months to 30 June 2026, Net Income attributable to common stockholders reached US$8.55 million, or US$5.95 per basic share, driven mainly by a US$12.79 million gain on property disposals. DST sponsorship revenue for the half was US$465,792.

Savannah Venture and the November Meeting Ahead

On 1 September, Medalist formed MIRA Sav Partners with developer Spandrel Development Partners, committing US$4.0 million for an approximately 42% preferred Equity interest. On 9 October, the venture's property Subsidiary signed a construction loan of up to US$13.8 million for a multifamily townhome project in Savannah, Georgia, maturing on 9 October 2027 with extension options. Medalist's operating Partnership has provided completion and non-recourse Carve-Out guaranties.