Medalist Diversified sells Ashley Plaza Shopping Center for $16.3 million

What happened

Medalist Diversified, Inc. (Nasdaq: MDRR) announced on August 5 that it closed the sale of Ashley Plaza Shopping Center in Goldsboro, North Carolina, on July 31, 2026. The purchase price was $16,275,000.

The buyer was HPX Goldsboro Ashley Center LLC, an unaffiliated entity. Medalist used $10,060,697 of the proceeds to defease and retire the mortgage loan secured by the property.

The company first disclosed the pending sale in a Form 8-K filed on February 4, 2026. The sale was made under a Purchase and Sale Agreement dated February 3, 2026.

On the day of the filing, Medalist shares rose 6.94% to $12.17 on volume of 111,800 shares, roughly 35 times the typical daily average.

About the property and company

Ashley Plaza is a 164,012-square-foot retail center. Medalist Diversified is a real estate investment trust (REIT) that focuses on acquiring, owning and managing commercial properties in the Southeastern U.S. The company typically holds a mix of retail, office and industrial assets.

The sale reduces Medalist's portfolio size but also removes a corresponding debt obligation, improving the company's balance sheet leverage.

What this means

This filing is a Form 8-K under Item 2.01, which requires a public company to disclose the completion of a material acquisition or disposition of assets. The report is due within four business days of the closing. Here, the closing was July 31 and the filing was August 5, within the required window.

By using sale proceeds to pay off the mortgage, Medalist eliminated the debt tied directly to that asset. "Defease" means the company set aside enough money — typically in government securities — to fully satisfy the loan, effectively retiring it. The remaining proceeds (about $6.2 million before expenses and taxes) will be available for general corporate purposes, including potential new investments or debt reduction elsewhere.

The pro forma financial statements included in the filing show what Medalist's balance sheet and earnings would look like after the sale, assuming prior dispositions also occurred. Investors often use these to assess the company's ongoing operations without the sold asset.