MCG Berewick, LLC Investment Losses – Madison Capital Group Reg D Alert

Are you concerned about your investment in MCG Berewick, LLC? If you’ve suffered financial losses in this private placement offering, The White Law Group is currently evaluating potential claims involving Madison Capital Group’s Regulation D investments, including MCG Berewick, LLC.

Understanding the Sponsor – Madison Capital Group

Headquartered in Charlotte, NC, and Charleston, SC, Madison Capital Group is a real estate and private equity firm with a specialization in self-storage and multifamily housing. It oversees two distinct arms:

• Go Store It Partners – a non-traded sponsor offering direct investments in self-storage developments.
• Madison Communities – a vertically integrated platform focused on building and operating suburban garden-style apartments across the Southeastern U.S.

The MCG Berewick, LLC offering, filed in 2020 under Rule 506(b) of Regulation D, raised approximately $1.85 million from 17 investors.

Risks of Regulation D Real Estate Offerings – MCG Berewick LLC

Private placements like MCG Berewick, LLC are typically marketed as exclusive, high-yield investments. However, these offerings are not reviewed by the SEC, are generally illiquid, and can carry significant risk, especially for retirees or conservative investors.

Other risks include:

• Lack of transparency in valuations and financial reporting
• Limited secondary markets for resale
• High fees and commissions, which may impact returns
• Heavy reliance on project-specific success, such as construction timelines or lease-up rates

Did Your Broker Perform Adequate Due Diligence?

Brokerage firms that recommend private placement investments are obligated to perform due diligence on both the offering and the sponsor. That includes a review of:

• Sponsor experience and past performance
• Risks related to the property or development project
• Suitability for the individual investor

If your financial advisor failed to properly vet the offering or misrepresented the risks involved, you may have grounds for a FINRA arbitration claim.

FINRA Arbitration vs. Class Action – What’s the Best Route?

While some investors might consider joining a class action, the majority of Reg D investment disputes are resolved through FINRA arbitration. This forum is often:

• Faster and more cost-effective
• Tailored to individual loss recovery
• More likely to result in a favorable award for the investor

Free Case Evaluation

If you’ve suffered financial losses in MCG Berewick, LLC or another Madison Capital Group Reg D offering, contact The White Law Group for a free consultation. Our securities fraud attorneys have decades of experience recovering losses through FINRA arbitration.

Call us at 888-637-5510 or visit www.whitesecuritieslaw.com for more information.

Frequently Asked Questions – MCG Berewick LLC

1. What is this Reg D?
MCG Berewick, LLC is a private real estate offering focused on residential development, sponsored by Madison Capital Group and filed under SEC Regulation D in 2020.

2. Can I sell my investment in a Reg D offering like this?
In most cases, no. These offerings are illiquid and have no public resale market, making early exit extremely difficult.

3. What if my broker didn’t explain the risks involved?
You may have a claim for failure to disclose or unsuitable investment advice, which could be pursued through FINRA arbitration.