June 5, 2019 Comments (0) Blog, Current Investigations

Carter Validus Mission Critical REIT Losses

Carter Validus Mission Critical REIT losses, Featured by Top Securities Fraud Attorneys, The White Law Group

Securities Investigation – Carter Validus Mission Critical REIT Losses

Are you concerned about Carter Validus Mission Critical REIT losses? If so, the securities attorneys at The White Law Group may be able to help your recover your losses by filing a FINRA claim against the brokerage firm that sold you the investment.

Carter Validus Mission Critical REIT is a non-traded REIT that invests in net leased data center and healthcare assets, according to its website. The company’s offering, declared effective in December 2010, reportedly closed in June 2014.

According to a letter to shareholders on June 4, the Board of Directors is asking stockholders to reject a recent unsolicited tender offer from Comrit Investments I LP. The board believes that the recent tender offer, to purchase the Company’s common stock at a price of $3.81 per Share, is an “opportunistic attempt to purchase the shares at a lower price and make a profit”.

As we told you in April, Carter Validus Mission Critical REIT Inc. (CVMC REIT I) and Carter Validus Mission Critical REIT II Inc. have entered into a definitive agreement to merge in a stock and cash transaction, creating an entity valued at approximately $3.2 billion.

The transaction is expected to close in the second half of 2019, with the approval of CVMC REIT I stockholders.

The combined company will retain the name Carter Validus Mission Critical REIT II Inc. and will own 146 healthcare and data center properties in 33 states, totaling approximately 8.4 million square feet of space, according to reports.

Under the new agreement, CVMC REIT I stockholders will reportedly receive $1.00 per share in cash and 4681 shares of CVMC REIT II Class A common stock for each share of CVMC REIT I common stock owned.

CVMC REIT I declared an estimated net asset value of $5.33 per share, as of June 30, 2018, according to SEC filings. The company’s previously declared NAV per share was $9.26. Shares were originally sold for $10.00 each.

Alternative investments such as Carter Validus Mission Critical REIT are illiquid. Investors looking to sell alternative investments often have difficulty finding a buyer, and can suffer significant losses on the sale.

Recovery of Carter Validus Mission Critical REIT Losses

Alternative investments such as Carter Validus Mission Critical REIT are illiquid. Investors looking to sell alternative investments often have difficulty finding a buyer, and can suffer significant losses on the sale.

The White Law Group continues its investigation involving broker dealers who may have sold high risk non-traded REITs, like Carter Validus Mission Critical REIT, to unsuspecting 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 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 are concerned about Carter Validus Mission Critical REIT losses 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 Franklin, Tennessee. To learn more about The White Law Group please visit www.whitesecuritieslaw.com.

 

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