Starboard Mountain Ranch DST | Investigating Potential Lawsuits
Are you concerned about your investment in Starboard Mountain Ranch DST? If so, the securities attorneys at The White Law Group may be able to help you by filing a complaint against the brokerage firm that sold you the investment.
Starboard Realty Advisors, a privately held real estate firm, acquires multi-tenant retail shopping centers and invests with accredited investors, family offices, and institutional partners, according to its website. The company reportedly acquires primarily multi-tenant retail shopping centers in which the current rents are below market and which can be acquired at or below replacement cost. Starboard also may capitalize the acquisition and development of select service hotels.
Starboard Mountain Ranch DST is a Delaware Statutory Trust sponsored by Starboard Realty Advisors. The 1031 exchange program was reportedly launched in 2018, according to filings with the SEC. The total offering amount was purportedly $18,300,000.
DSTs are not appropriate for all investors, as they come with a few disadvantages, compared to owning a property outright. 1031 DSTs cannot raise new capital, leaving investors holding the bag if expensive repairs are needed. The investors also have no control over the property, or the ability to make decisions about the property. While the sponsor may welcome feedback from the investor, they don’t allow any actions to be taken by said investor.
Additionally, 1031 DSTs are illiquid, and it can often be difficult to find a buyer when the investor is ready to sell.
Filing a Complaint against your Brokerage Firm
The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly recommending high-risk investments to investors.
Despite the risks of investing in DSTs, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.
Fortunately, FINRA does provide for an arbitration forum for investors to resolve disputes if a broker or brokerage firm makes an unsuitable investment recommendation or fails to adequately disclose the risks associated with an investment. It is possible that they could be found liable for investment losses in a FINRA arbitration claim.
If you are concerned about your investment in Starboard Mountain Ranch DST, please call the securities attorneys at The White Law Group at 888-637-5510 for a free consultation.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit https://www.whitesecuritieslaw.com.