Concerned about investment losses in First Capital Real Estate Trust Inc.?
Have you suffered losses investing in First Capital Real Estate Trust Inc.? If so, The White Law Group may be able to help you. It’s possible to recover your losses by filing a FINRA Dispute Resolution claim against the brokerage firm that sold you the investment.
First Capital Real Estate Trust Incorporated is a public non-traded REIT based in New York City and founded in 2012. The company reportedly has not filed its quarterly or year-end financials with the SEC since August 2015.
As we told you in October 2016, the REIT announced plans to suspend monthly distributions “to protect cash reserves” at the end of 2016. Around the same time, Investment News reported that First Capital Real Estate Trust Inc. was failing to pay its employees on time.
Then,on May 30, 2017, the REIT reported that multiple indirect subsidiaries had each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Eastern District of California.
The indirect subsidiaries, and the respective ownership interest of First Capital Real Estate Operating Partnership, are: Township Nine Owner, LLC (31.3%), Capitol Station Holding, LLC (100%), Capitol Station Member (100%), LLC and Capitol Station 65, LLC (100%).
Now, First Capital’schief financial officer Jeffrey Zomback has submitted his resignation, effective July 12, 2019.
Non-Traded REITs are Risky
Compared to traditional investments, such as stocks, bonds and mutual funds, non-traded REITS, are considerably more complex. REITs involve a high degree of risk. Unfortunately, many investors are unaware of the risks and liquidity problems with REITs such as First Capital Real Estate Trust, Inc.
The White Law Group has represented numerous investors in claims against the brokerage firm that recommended non-traded REITs to its investors.
Broker dealers are required to perform adequate due diligence on any investment they recommend. They must insure 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.
If brokerage firms fail to adequately disclose risks or make unsuitable investment recommendations can be held liable for investment losses.
If you have invested in First Capital Real Estate Trust Inc. 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.
For more information on The White Law Group, visit www.whitesecuritieslaw.com.