Investigating Claims involving Bluerock Total Income+ Real Estate Fund
Have you suffered investment losses in the Bluerock Total Income+ Real Estate Fund? The White Law Group is investigating potential securities claims involving broker-dealers who may have improperly recommended this high-risk fund to retail investors.
Latest Developments – Shareholder Approval of NYSE Listing
In late September 2025, Bluerock announced that shareholders approved a key proposal allowing the Bluerock Total Income+ Real Estate Fund (TI+) to list on the New York Stock Exchange. More than 81% of votes were cast in favor of the initiative at the special shareholder meeting. The company expects Bluerock Total Income+ Real Estate to begin trading on the NYSE in mid-December 2025.
This marked a turnaround from the earlier Sept. 3–4 meeting, where shareholders approved 13 proposals related to the listing but not the critical proposal 2. At that time, industry observers speculated the delay stemmed from concerns that the fund would trade at a substantial discount to its net asset value (NAV), leaving long-time retail investors with less per share than in limited quarterly repurchase offers.
Upon listing, Bluerock Total Income+ Real Estate is expected to become the largest real estate-focused listed closed-end fund in the world. As of September 30, 2025, Class C shares carried a NAV of $22.74, but the fund itself acknowledged it expects to trade below NAV once listed.
What is Bluerock Total Income+ Real Estate Fund?
The Bluerock Total Income+ Real Estate Fund is a non-traded, closed-end interval fund that primarily invests in institutional real estate through a fund-of-funds strategy. Designed to provide income and diversification, the fund historically offered quarterly repurchase offers, giving investors limited liquidity.
As of July 2025, the fund suspended its offering and began pursuing the conversion to a listed closed-end fund on the NYSE.
Background and Investor Concerns
- Liquidity Challenges: Bluerock Total Income+ faced persistent oversubscription of repurchase offers, leaving many investors unable to redeem their shares. In February 2025, only 20% of tendered shares were repurchased.
- NAV vs. Liquidity Risk: SEC filings disclosed that shares may trade at a “substantial discount” to NAV upon listing. As of Sept. 30, Class C NAV was $22.74.
- Distribution Adjustments: Management projected expense savings and higher potential distributions (targeting 8% compared to the prior 5.25%).
Risks of Alternative Investments like Bluerock
Alternative investments such as non-traded REITs and interval funds carry significant risks, including:
- Illiquidity and redemption limitations.
- Market volatility tied to real estate cycles and interest rates.
- Potentially opaque pricing not reflecting market reality.
- High fees that may erode returns.
These risks make such products potentially unsuitable for conservative or income-focused investors.
Broker Due Diligence Obligations
Under FINRA Rule 2111, broker-dealers must ensure investments are suitable based on the client’s financial profile, objectives, and risk tolerance. Failure to disclose liquidity risks, NAV concerns, or portfolio concentration issues may result in liability for investor losses.
Class Action vs. FINRA Arbitration
- Class Actions: Typically involve claims against the issuer, with recovery distributed among a broad group of investors.
- FINRA Arbitration: Allows investors to pursue individual claims against their brokerage firms for unsuitable recommendations, misrepresentation, or failure to supervise. This process is generally faster and more tailored to individual investors.
The White Law Group has successfully recovered millions for investors nationwide through FINRA arbitration.
Free Consultation with a Securities Attorney
If you invested in the Bluerock Total Income+ Real Estate Fund and are concerned about potential losses, please contact The White Law Group at (888) 637-5510 for a free consultation. Our securities attorneys can help you evaluate your potential claims.
Frequently Asked Questions – Bluerock Total Income+ Real Estate
What happens when Bluerock Total Income+ Real Estate lists on the NYSE?
Shares may provide more liquidity but are expected to trade at a discount to NAV, reducing investor returns.
Can I sell my Bluerock shares now?
Liquidity is limited until the anticipated NYSE listing in December 2025. Repurchases remain restricted.
How do I know if my broker acted improperly?
If your broker failed to explain risks, overconcentrated your portfolio, or recommended Bluerock without proper due diligence, they may have violated FINRA rules.
