KBS REIT II Losses – Tender Offer

 KBS REIT II Losses

Are you concerned about KBS REIT II losses? If so, the securities attorneys at The White Law Group may be able to help you to recover your losses by filing a FINRA arbitration claim against the brokerage firm that sold you the investment.

Mackenzie Realty Capital has recently extended a tender offer to purchase for cash up to 2,500,000 Shares of KBS REIT II at a price of $3.51 per Unit. According to the offer letter, KBS estimates its value to be just $4.89 as of September 30, 2017, nearly 11% lower than its previously estimated value of $5.49 per Share. The original purchase price was $10.00/share.

The REIT does not offer ordinary redemptions. The share redemption program is limited to special redemptions such as death, disability, incompetence.

The White Law Group has handled a number of claims involving high-risk non-traded real estate investment trusts (REITs).

Secondary Market Listing Price –  Updated on May 1, 2019

According to Central Trade & Transfer, a secondary market website, shares of KBS REIT II were recently listed for just $3.85 per share. Unfortunately for many investors, it appears that the secondary market price would represent a significant loss on their initial capital investment.

The Problem with Non-traded REITs

Non-traded REITs such as KBS REIT II are complicated, high risk investment products.

Lack of liquidity is often problematic for many investors.  Investors looking to sell often have difficulty finding a buyer, and can suffer significant losses on the sale.

Broker dealers are required to inform clients of the risks associated with investment recommendations. They must ensure that those recommendations are suitable for the investor in light of the investor’s age, risk tolerance, net worth, and investment experience. Firms that fail to do so may be held responsible for any losses.

If you invested in KBS REIT II or another non-traded REIT, The White Law Group may be able to help you. To discuss your litigation options with a securities attorney, please call The White Law Group at 1-888-637-5510 for a free consultation.

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.

For more information on The White Law Group and its investigations, visit www.whitesecuritieslaw.com.

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