June 4, 2018 Comments (0) Blog, Current Investigations

ARC New York City REIT – Third Party Tender Offer – $12.04/Share

ARC New York City REIT
(Last Updated On: June 4, 2018)

Concerned about investment losses in ARC New York City REIT?

Have you suffered losses investing in ARC New York City REIT? If so, the securities attorneys at The White Law Group may be able to help you to recover your losses by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment.

On June 4, 2018, Mackenzie Realty Capital, Inc. extended an offer to purchase shares of ARC New York City REIT, Inc. at a purchase price of $12.04/Share.

According to the offer letter, the monthly distribution was suspended in March and ARC NYC REIT will not consider its reinstatement before February 2019. Further, although repurchases are reportedly made biannually, the REIT began limiting redemptions to hardship cases like the death or disability of a stockholder in July 2017.

The initial offering price of ARC New York City REIT was $25.00/share. Unfortunately for investors, the REIT’s value has declined roughly 19% according to the REIT’s most recent valuation of $20.26/share as of June 30, 2017.

The Trouble with Non-Traded REITs

Compared to traditional investments, such as stocks, bonds and mutual funds, non-traded REITS, like ARC New York City REIT, are considerably more complex and involve a high degree of risk. Unfortunately many investors were not made adequately aware of the risks and liquidity problems associated with REITs.

The White Law Group has represented numerous investors in claims against the brokerage firm that recommended non-traded REITs to these investors.

Broker dealers are required to perform adequate due diligence on any investment they recommend and to ensure that all recommendations are suitable for the investor. Recommendations should be in line with the investor’s age, risk tolerance, net worth, and investment experience.

Broker dealers that fail to adequately disclose risks or make unsuitable investment recommendations can be held liable for investment losses.

If you have invested in ARC New York City REIT and would like to speak to a securities attorney about the potential to recover your investment losses, please call The White Law Group at 1-888-637-5510 for a free consultation.

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

For more information on The White Law Group, visit www.whitesecuritieslaw.com.

 

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