Strategic Realty Trust – TNP Strategic Retail Trust- Investigating Potential Claims
The White Law Group continues to investigate potential claims involving broker dealers who may have unsuitably recommended high risk non- traded REITs like Strategic Realty Trust to investors.
Strategic Realty Trust, formerly known as TNP Strategic Retail Trust, Inc. is a non-traded REIT which owns a portfolio of shopping centers.
A non-traded REIT is a form of real estate investment method that is designed to reduce or eliminate tax while providing returns on real estate. A non-traded REIT does not trade on a securities exchange, and because of this it is quite illiquid for long periods of time.
Bad News for Investors
According to its website, MacKenzie Realty Capital has just extended an offer to purchase shares of Strategic Realty Trust for just $3.81/share. According to SEC filings, the most recent Net Asset Value for Strategic Realty Trust was $6.27/share.
Unfortunately for investors, if they chose to sell their shares, it might be at a significant loss as the original offering price was $10.00/share.
Update on May 8, 2019
According to a new offer from Mackenzie Realty Capital, the company has just extended a new tender offer to purchase shares of Mackenzie Realty Capital for $4.02/share. The REIT’s estimated net asset value was $6.04 per Share as of April 2018, a
decline of $0.23 from the June 2017 estimate of $6.27 per Share.
Broker dealers are required to perform adequate due diligence on any investment they recommend. They need to ensure that all recommendations are suitable for the investor. Recommendations should be appropriate in light of 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 in a FINRA arbitration claim.
If you have suffered losses investing in Strategic Realty Trust or another high risk non-traded REIT, the securities attorneys may be able to help you. 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. To learn more about The White Law Group visit www.whitesecuritieslaw.com.