May 9, 2017 Comments (0) Current Investigations

KBS Legacy Partners Apartment REIT Tender Offer $6.01/share

KBS Legacy Partners Apartment REIT
(Last Updated On: May 9, 2017)

Recovery of Investment Losses in KBS Legacy Partners Apartment REIT

Have you suffered losses investing in KBS Legacy Partners Apartment REIT? If so, The White Law Group may be able to help you recover your losses through FINRA Arbitration.

KBS Legacy Partners Apartment REIT, a non-traded real estate investment trust sponsored by KBS Capital Advisors and affiliates of Legacy Partners Residential Realty, closed its offering in March 2014 after raising approximately $200 million in investor equity. KBS Legacy REIT had 20.8 million shares outstanding as of November 4, 2016, and Everest REIT Investors and its affiliates currently own 94,217 shares of the REIT.

The REIT declared an estimated per share net asset value of $9.35, as of September 30, 2016. Shares were originally sold to investors for $10.00 each.

Now Mackenzie Capital, a secondary market for private placements, has extended a tender offer for only $6.01 per share. According to the offer letter, there will be no more redemptions offered during 2017 because the redemption share program is over subscribed.

REITs are Risky

REITs are complicated and often risky investments which should only be sold to high-net worth and sophisticated investors.

The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly selling high-risk REITs, like KBS Legacy Partners Apartment REIT, to their clients.

Notwithstanding the risks of investing in REITs, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.  Brokerage firms generally make between 7-10% for selling a REIT, which is far in excess of the typical commission for more traditional investment types.

To speak with a securities attorney regarding your investment in KBS Legacy Partners Apartment REIT or another KBS investment, please call The White Law Group at (888) 637-5510 for a free consultation.

The White Law Group is a national securities fraud, securities arbitration and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.