REITs

Georgia Retiree Files Non-Traded REIT Fraud Claim Against MML Investors Services

Published on: April 5, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Allegedly Unsuitable Recommendations Caused Senior Investor Loss of Savings

A Brunswick, Georgia retiree has filed a Financial Industry Regulatory Authority (FINRA) arbitration case against broker-dealer MML Investors Services, LLC. The investor contends that a broker from the firm overconcentrated his IRA and a non-IRA account in CNL Lifestyle Properties, which is an illiquid, privately traded real estate investment trust (non-traded REIT).

This caused him to lose a large portion of his savings. Now, the investor is alleging failure to supervise, unauthorized transactions, securities fraud, broker negligence, breach of duty, breach of contract, violation of state securities laws, and other claims. He is seeking up to $100K plus interest and costs.

SSEK Law Firm Investigates Brokerage Firms That Sold New York City REIT to Customers

Published on: March 25, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Investors That Bought NYC Stock When it Was a Non-Traded REIT Hit Especially Hard After NYSE Listing

Our real estate investment fraud attorneys (REIT) at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) are investigating the broker-dealers and investment advisors that sold New York City REIT (NYC) to customers.

Now available on the New York Stock Exchange (NYSE) and open to any investor with a brokerage account, this real estate investment trust used to be a non-traded REIT and it is the investors that purchased this non-traded real estate trust that have sustained the most significant losses after it went public in August 2020.

Utah Retirees Files $500K Investor Fraud Claim Over GPB & REIT Losses After Working With Triad Advisors & Broker Michael Payne

Published on: January 11, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Triad Advisors and its Ex-Florida-Based Broker Placed Claimants Funds In Too Risky GPB Capital & REIT Investments

Two Utah retirees have filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against Triad Advisors, Inc. over losses they suffered from investing in GPB private placements and privately traded real estate investment trusts (REITs), including American Realty Capital Trust. Now they are seeking up to $500K in damages.

The couple worked with former Triad Advisors broker Michael Payne, who is now a broker with Proequities, Inc. in Longwood, Florida. He also is a financial representative with Payne Financial Group in Winter Springs, Florida.

Broker Tamber Proctor Accused of Unsuitably Recommending FS Energy & Power Fund and the Northstar REIT

Published on: December 16, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Ex-LPL Broker Marketed Non-Traded Investments To Mississippi Retiree

A retired investor has filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against LPL Financial and its former broker, Tamber King Proctor, seeking up to $100K in damages.

The claimant contends that LPL Financial and Proctor should have never recommended that he invest in the business development company (BDC), FS Energy & Power Fund (FSEP), and the Northstar Healthcare Real Estate Investment Trust (REIT).

Brokers May Have Unsuitably Recommended ARC NYC REIT To Retail Investors

Published on: December 2, 2020 | by Shepherd Smith Edwards & Kantas, LLP

After American Realty Capital New York City Real Estate Investment Trust Went Public, Share Price Plunged

If you are a retail investor whose broker recommended that you invest in American Realty Capital (ARC) New York City Real Estate Investment Trust (REIT), you may have grounds for an unsuitable investment recommendation claim.

ARC NYC REIT is a risky, speculative investment and definitely shouldn’t have been marketed to inexperienced investors, conservative investors, seniors, or retirees. Although initially a non-traded real estate investment trust (non-traded REIT), and also an illiquid investment, ARC NYC REIT went public on the New York Stock Exchange (NYSE) in August.

Not All Resource Real Estate Opportunity REIT Investors May Have Been Apprised of Risks

Published on: November 19, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Resource Real Estate Opportunity REIT and REIT II Shares Reportedly Trading Under NAV Price

With shares in Resource Real Estate Opportunity REIT and Resource Real Estate Opportunity REIT II reportedly trading privately at lower prices than their net asset value (NAV), some investors may be wondering why they were never fully apprised of all the risks.

The news of the lower than NAV trading prices comes several months after both non-traded real estate investment trusts announced they were partially suspending share redemptions amidst their plans to merge with Resource Apartment REIT III, Inc.

Another Customer Files REIT Losses Claim Against Frank Briseno III of FSC Securities and Nettworth Financial

Published on: October 26, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Metairie, LA Broker Allegedly Made Unsuitable Recommendations to Retirees

If you suffered serious investment losses from working with FSC Securities Corp. stockbroker and Nettworth Financial investment advisor, Frank Briseno III, you may have grounds for a Financial Industry Regulatory Authority (FINRA) arbitration claim to recover your losses.

Briseno, who is a Metairie, Louisiana broker, also co-ran Nettworth Financial Group with another FSC Securities broker. The New Orleans investment advisory firm, which may no longer be in operation, has been accused by more than two dozen retirees of unsuitably selling them real estate investment trusts (REITs) while generating high commissions.

Ex-Kalos Capital Broker Curtis Whipple Accused of Unsuitability & Misrepresentation Involving UDF IV

Published on: September 28, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Latest FINRA Arbitration Claim Allege REIT Losses

A number of investors recently filed a customer complaint against former Kalos Capital broker, Curtis Leroy Whipple, who was with the firm out of Plymouth, Michigan until this year. He faces allegations of unsuitability, misrepresentations, and lack of due diligence related to the claimants’ United Development Funding IV (UDF IV) losses.

UDF IV is a real estate investment trust (REIT) that mostly invests in secured loans for acquiring and developing land into single-family home lots, as well as to construct homes and model homes. UDF IV and the other UDF non-traded REITs have been accused in recent years of being part of a $1B Ponzi scam. United Development Funding is based out of Dallas, Texas.

Brokers May Have Sold Granite Point Mortgage Trust REITs Even When Unsuitable for Investors

Published on: June 29, 2020 | by Shepherd Smith Edwards & Kantas, LLP

COVID-19 Causes This Mortgage REIT to Drop in Value

If you lost money from investing in Granite Point Mortgage Trust (GPMT), you may be able to file a Financial Industry Regulatory Authority (FINRA) arbitration claim against the broker and their brokerage firm that sold this real estate investment trust (REIT) to you. Unfortunately, shares of Granite Point Mortgage Trust plunged in March in the wake of COVID-19 and continued to drop.

Our REIT fraud lawyers at Shepherd Smith Edwards and Kantas (SSEK) are speaking with GPMT investors to help them explore whether they have grounds for a broker negligence case.

Moody National REIT II Investors May Have Grounds For Stockbroker Misconduct Claims

Published on: June 25, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Did Brokers Recommend This Unregistered Security Because of High Commissions?

Investors who backed Moody National REIT II, a nontraded real estate investment trust, are now grappling with losses sustained after this investment significantly plunged in value and the company’s public offering and distribution payments were suspended.

Nontraded REITs, which are very high risk, are not for every investor, and yet the 7% commission the REIT paid stockbrokers may have been incentive enough to recommend them to customers even when they weren’t in the latter’s best interests.