KADESTONE CAPITAL CORP. ANNOUNCES SALE OF MARINE DRIVE PROPERTY

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VANCOUVER, BC, Jan. 9, 2023 /CNW/ - Kadestone Capital Corp. ("Kadestone" or the "Company") (TSXV: KDSX) (OTCQB: KDCCF), a vertically integrated property company, announces that it has signed an agreement to dispose of the Company's 51% interest in its Marine Drive investment property (the "Property") as of December 31, 2022. The 51% interest in the Property is held by 1230609 B.C. Ltd., a wholly-owned subsidiary of the Company (the "Registered Owner").

The sale of the Property will be effected pursuant to an agreement of purchase and sale whereby the Company will sell all of the issued and outstanding shares of the Registered Owner to 0995793 B.C. Ltd. (the "Purchaser") in exchange for $1,850,000.00 in cash.

The Purchaser is a company controlled by Travis Chen, a control person of Kadestone, and is a "Non-Arm's Length Party" as defined in Policy 1.1 of the TSX Venture Exchange (the "Exchange"). The Company has determined that the sale of the Property to the Purchaser is exempt from the application of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions and Policy 5.9 of the Exchange.

The Company intends to use the net proceeds from the sale of the Property to pay off existing debt and for general corporate purposes.

About Kadestone

Kadestone was established to pursue the investment in, development, acquisition, and management of residential and commercial income producing properties within major urban centres and high-growth, emerging markets in Canada. The Company operates five complimentary business lines spanning building materials procurement and supply, property development and construction, construction finance, asset ownership, and property management. These synergistic business lines have solidified Kadestone's vision to become a market leading vertically integrated property company. Additional information can be found at www.kadestone.com.

ON BEHALF OF THE BOARD

(signed) "Brent Billey"

President, CEO and Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Statement Regarding Forward- Looking Statements

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Certain information in this press release may constitute forward looking information (collectively, forward-looking statements), which can be identified by the use of terms such as "may," "will," "should," "expect," "anticipate," "project," "estimate," "intend," "continue" or "believe" (or the negatives) or other similar variations. Because of various risks and uncertainties, including those referenced below, actual events or results may differ materially from those reflected or contemplated in such forward-looking statements. As a result, you should not rely on such forward-looking statements. Additional information identifying assumptions, risks and uncertainties relating to Kadestone is contained in Kadestone's filings with the Canadian securities regulators available at www.sedar.com. These risks include those described in the "Risk Factors" section of the Company's final prospectus dated September 2, 2020 and in the Management's Discussion and Analysis for the year ended December 31, 2021. The forward-looking statements in this press release are applicable only as of the date of this release or as of the date specified in the relevant forward-looking statement.

SOURCE Kadestone Capital Corp.

David Negus, CFO, Kadestone Capital Corp., [email protected]