July 20, 2017 Comments (0) Blog, Current Investigations

ARC New York City REIT Secondary Market Listing $14.00/share

ARC New York City REIT

Recovery of Investment Losses in ARC New York City REIT

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

The White Law Group has represented numerous investors in claims against the brokerage firm that recommended non-traded REITs such as ARC New York City REIT to its investors.

American Realty Capital New York City REIT is a non-traded real estate investment trust focused on properties located in the five boroughs of New York City, with a focus on Manhattan. The company closed its initial public offering in May 2015 and had raised a total of $764 million in investor equity, as of March 31, 2016. The company owns six properties valued at $785 million.

In October 2016, the company’s board approved an estimated net asset value of $21.25 per share. The initial offering price in 2013 was $25.00.

Unfortunately for investors, Central Trade & Transfer, a secondary market for private placements, is listing shares of ARC New York City REIT for $14.00 per share. That is significantly less than the original purchase price of $25.00 per share.

Non-Traded REITs are Risky

Compared to traditional investments, such as stocks, bonds and mutual funds, non-traded REITS, 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.

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 lost money in ARC New York City REIT at the recommendation of your broker 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.