Investor Alert: Inspired Senior Living of Winery Lane Development, LLC
The White Law Group is currently investigating potential securities fraud claims involving the offering of Inspired Senior Living of Winery Lane Development, LLC, a Regulation D private placement sponsored by Inspired Healthcare Capital.
According to a Form D filed with the Securities and Exchange Commission (SEC), the sponsor sought to raise over $10.1 million in June 2023 to finance a senior living development project.
The offering was conducted under Rule 506(b) of Regulation D and sold by broker-dealer Emerson Equity LLC.
Key Investment Highlights
- Total Offering Amount: $10,127,827
- Estimated Sales Commissions: $962,143
- Securities Offered: Equity interests
- Minimum Investment: Not specified
- Use of Proceeds to Insiders: $435,382 (includes acquisition fee, marketing, and land carrying costs)
- Broker-Dealer: Emerson Equity LLC
- Exemption Type: Rule 506(b) under Regulation D
Although marketed to accredited investors—including those seeking 1031 exchange opportunities—private placement offerings like this often involve complex risk factors and limited liquidity.
Concerns & Potential Red Flags for Investors
Investors who may have been exposed to heightened risk due to the following:
- Illiquidity: There may be no secondary market to sell interests for several years.
- Excessive Fees: Estimated 10% in sales commissions and offering costs.
- Sponsor Conflicts: Sponsors often receive fees upfront, regardless of investment outcome.
- Market and Construction Risk: Real estate development carries uncertainty, delays, and cost overruns.
If your advisor recommended this investment without properly disclosing these risks, or if it was unsuitable for your risk tolerance or financial goals, you may be entitled to take legal action.
Recovery Options Through FINRA Arbitration
Brokers and investment firms have a duty to conduct thorough due diligence and to recommend only suitable investments to their clients. If you suffered losses you may be eligible to file a FINRA arbitration claim for potential recovery.
The White Law Group has extensive experience representing investors in claims involving Regulation D offerings, DSTs, LLCs, and other complex real estate securities.
Contact The White Law Group for help with Senior Living of Winery Lane Development.
To learn more about how we may be able to help, call us at 888-637-5510 or visit our website at whitesecuritieslaw.com for a free consultation.
Frequently Asked Questions (FAQs) – Senior Living of Winery Lane Development,
1. What is Inspired Senior Living of Winery Lane Development, LLC?
It is a Regulation D private placement offering for a senior living real estate development project, structured as a limited liability company.
2. What are the potential risks?
Risks include high fees, lack of liquidity, real estate development uncertainty, and conflicts of interest with the sponsor.
3. How can I recover my investment losses?
If your advisor failed to conduct proper due diligence or misrepresented the investment, you may pursue a claim through FINRA arbitration.
