Madison Realty Senior Care I-UT, DST: Help for Investors
Concerned about your investment in Madison Realty Senior Care I-UT, DST? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA arbitration claim against the brokerage firm that sold you the investment.
About the Investment
According to SEC filings, Madison Realty Senior Care I-UT, DST is a Delaware Statutory Trust (DST) that filed a Form D notice of exempt offering of securities in November 2015. While the specific facility linked to the trust was not publicly named in the filing, the DST was clearly associated with a senior care property located in Utah—potentially an assisted living or memory care facility.
Risks of DST Investments
1031 DST investments often come with significant risks—including lack of liquidity, limited control for investors, and vulnerability to market or operator troubles. These offerings are typically only suitable for accredited investors who fully understand the risks.
Problems with the Sponsor
Recent legal action by the Arizona Attorney General sheds light on operational and financial problems involving Madison Realty Companies and affiliates of its senior care portfolio. In March 2024, the AG filed a complaint alleging racketeering, neglect, and fraud connected to facilities operating under the Visions Senior Living and Heritage Village names in Arizona.
These facilities were allegedly managed by entities, with investments structured as DSTs and LLCs under names like Madison Realty Senior Care II-AZ, DST and MRC HV Investors LLC. Many of these properties reportedly failed to pay vendors, neglected resident care, and were placed into court-ordered receivership.
While Madison Realty Senior Care I-UT, DST may not be directly named in the Arizona complaint, it is sponsored by the same company and raises concerns about wider mismanagement or misconduct within the sponsor’s senior care investment platform.
Broker Due Diligence & FINRA Arbitration
If your financial advisor recommended Madison Realty Senior Care I-UT, DST without fully disclosing the risks—or if the investment was unsuitable for your risk tolerance or financial situation—your brokerage firm could be held liable for losses.
Broker-dealers have a duty to perform adequate due diligence and to make only suitable investment recommendations. Unfortunately, the high commissions associated with DSTs (often 7–10% of the offering) can incentivize advisors to sell them despite red flags.
Free Consultation
If you are concerned about your investment in Madison Realty Senior Care I-UT, DST, please call The White Law Group at 888-637-5510 for a free consultation with a securities attorney.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, IL and Seattle, WA. We help investors recover investment losses through FINRA arbitration.
Frequently Asked Questions (FAQs)
1. What is Madison Realty Senior Care I-UT, DST?
Madison Realty Senior Care I-UT, DST is a Delaware Statutory Trust (DST) investment structured for 1031 exchange investors. It was offered by Madison Realty Companies in 2015 and was reportedly linked to a senior care or memory care facility located in Utah. The investment allowed investors to defer capital gains taxes, but came with limited control, high fees, and significant liquidity risk.
2. Why is this DST under scrutiny now?
While the Utah facility tied to this DST has not been specifically named in legal filings, Madison Realty Companies—the sponsor of this offering—has been linked to several troubled senior care investments. In 2024, Arizona authorities filed a racketeering complaint against affiliates of the company for alleged financial mismanagement, neglect, and fraud involving memory care facilities under the “Visions” and “Heritage Village” names. These concerns raise red flags for all DST offerings by the sponsor.
3. Can I recover my investment losses in Madison Realty Senior Care I-UT, DST?
Possibly. If your financial advisor or brokerage firm recommended this investment without disclosing the risks or if the investment was unsuitable for your financial situation, you may be able to file a claim through FINRA arbitration. The White Law Group is investigating potential claims and offers free consultations to evaluate your legal options.
Last modified: May 15, 2025
