Are You A Healthcare Trust Non-Traded REIT Investor Who Suffered Serious Losses? Our Healthcare Trust REIT Law Firm Is Continuing To Investigate Allegations Against Financial Advisors
If you sustained losses in Healthcare Trust Inc. (HTI), please contact Shepherd Smith Edwards and Kantas (investorlawyers.com) today so that we can help you determine whether you have grounds for a broker misconduct claim against your financial advisor. This publicly registered non-traded real estate investment trust (non-traded REIT)— formerly called Healthcare Trust II (ARC Healthcare Trust II)—was closed off to new investors a while back. However, there have been concerns that the stockbrokers that marketed and sold this alternative investment to clients may have unsuitably recommended Healthcare Trust to some and, also, allegedly misrepresented the risks.
With its limited operating history as an emerging growth company, this non-traded REIT was always a high-risk proposition for investors. Healthcare Trust is very illiquid, offering materials by sponsor AR Global even indicated that its offering price was “arbitrarily” determined, and there were purported conflicts of interest between HTI investors and other parties involved. Also, high commissions and other fees were reportedly paid to broker-dealers, dealer managers, and others. Add those up and that means that less than 87% of Hospitality Trust investors’ money end up actually going into this investment.
HTI invested in healthcare real estate, senior housing, and medical office buildings. An April 2022 filing by Hospitality Trust’s Board to the US Securities and Exchange Commission (SEC) indicated that its net asset value was at $14.50 or $15/share price, which was a definite drop from its original $25/share price. Also, the fact that secondary market Central Trade and Transfer sold Hospital Trust shares for as low as $2.15/share is bad news for investors.
Now, this non-traded REIT is reportedly planning to internalize management to get ready for a possible public listing on a national securities exchange as early as next year. Hospitality Trust may change its name to National Healthcare Properties. That said, there isn’t any guarantee that internalization will happen or that the listing of the REIT’s shares will be successful.
HTI was not necessarily suitable for every retail investor and conservative retiree. It is not uncommon for brokers to fail to conduct the proper due diligence not just into the specifics surrounding a particular investment, but also into whether or not one would be appropriate for a customer given their age, risk tolerance level, investing goals, and other key factors.
Pursuing Damages For Your HTI Losses Is Not Something You Should Do Without A Skilled Healthcare Trust REIT Law Firm Representing You
Non-traded real estate investment trusts can be complex investments, and proving broker fraud and negligence is difficult under most circumstances. This is why you need skilled REIT loss attorneys fighting for you and protecting your legal rights.
Shepherd Smith Edwards and Kantas has been representing investors against broker-dealers and investments advisers for over 30 years. With over a combined more than a century’s worth of experience in securities law and the securities industry, we have helped thousands of clients to collectively recover millions of dollars in settlements and awards.
How To Contact Our Healthcare Trust REIT Law Firm
You can reach us online or call (800) 259-9010 today.