Strategic Realty Trust Investment Losses
Have you suffered losses investing in Strategic Realty Trust, formerly known as TNP Strategic Retail Trust? If so, the securities attorneys at The White Law Group may be able to help you recover your losses through FINRA Arbitration.
Strategic Realty Trust is a non-traded real estate investment trust (REIT) which owns a portfolio of shopping centers that are anchored by such grocers as Publix, Kroger, and Wal-Mart. It is a non-traded REIT sponsored by Thompson National Properties, LLC.
Mackenzie Realty Capital has just extended a tender offer to purchase shares of the REIT for just $1.00 per share. According to Mackenzie’s letter to investors, Strategic Realty Trust has given no indication when it might liquidate and its charter does not require it to do so.
Further, although the company redeems shares on a quarterly basis, repurchases are limited to death or disability of a stockholder, not to mention that the REIT’s estimated net asset value was $5.86 per Share as of April 2019, a 41.4% decline of from your original purchase price of $10 per Share.
The REIT also has seen a decreased distribution yield. The company recently declared its fourth quarter distribution of just $0.02 per share, an approximate 67% decline from the previous distribution of $0.06 per share.
Unfortunately the high sales commissions of most non-traded REITs may provide some brokers with enough incentive to make unsuitable investment recommendations. Non-traded REITs also lack liquidity. Investors looking to sell these investments often have difficulty finding a buyer, and if they are able to find one can suffer significant losses on the sale.
Recovery of Investment Losses
The White Law Group continues to investigate the liability that brokerage firms may have for improperly recommending Strategic Realty Trust to its clients.
Brokerage firms are required to perform adequate due diligence on any investment they recommend. They must ensure that all recommendations made are suitable for their clients in light of the clients’ age, income, net worth, tax status, investment experience, and investment objectives.
If you have suffered losses investing in Strategic Realty Trust, please contact the securities attorneys at The White Law Group at 888-637-5510 for a free consultation.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group, please visit https://www.whitesecuritieslaw.com.
Last modified: April 16, 2020