Terra Property Trust Inc.: Investor Lawsuit Investigation and Recovery of Losses
The White Law Group is investigating potential securities claims on behalf of investors who were sold shares of Terra Property Trust Inc., a non-traded REIT that has reportedly traded on the secondary market at a steep discount to its original offering price. If you invested in Terra Property Trust, our FINRA arbitration attorneys can help you understand your options for recovering losses.
Terra Property Trust Secondary Sales Priced at $0.71 Per Share
Terra Property Trust is an externally managed non-traded REIT that originates, invests in, and manages loans, securities, and other assets secured by commercial real estate across the United States. The company reportedly completed a merger with Terra Income Fund 6, Inc. in October 2022.
According to Central Trade & Transfer, shares of Terra Property Trust sold for $0.71 per share as of August 2026. The original offering price was reportedly $10.00 per share, a difference that may reflect significant unrealized losses for investors who purchased at the offering price.
Risks of Investing in Non-Traded REITs Like Terra Property Trust
Non-traded REITs like Terra Property Trust carry risks that brokers are required to disclose before recommending them. Shares typically cannot be sold on a public exchange, and any redemption program may limit how much an investor can sell and when. Because there is no public market, the REIT’s own management sets the share value, which may not reflect what the underlying real estate is actually worth. Non-traded REITs also carry high upfront fees and commissions that reduce investor returns, and they are not required to disclose as much information as publicly traded REITs.
How Investors May Recover Losses in Terra Property Trust
Brokerage firms often recommend non-traded REITs like Terra Property Trust because of the high commissions tied to their sale. When a broker recommends an investment that is unsuitable for a client, or fails to explain the risks involved, the broker and their firm may be liable for the resulting losses. Investors can generally pursue these claims through FINRA arbitration, one of the largest securities dispute resolution forums in the country. An experienced securities attorney can evaluate your case, prepare your statement of claim, and represent you through the arbitration process.
Class Action vs. Individual FINRA Arbitration
Investors with losses over $100,000 are typically better served by an individual FINRA arbitration claim than by joining a class action. Class actions tend to work best for grouping large numbers of investors whose individual losses are too small to pursue on their own, and they often result in smaller per-investor recoveries.
Contact The White Law Group
If you have concerns about your investment in Terra Property Trust Inc., The White Law Group can help. Call (888) 637-5510 for a free consultation with a securities fraud attorney, or contact us online. The White Law Group is a national securities fraud and investment loss recovery law firm with offices in Chicago and Seattle. For more on the arbitration process, visit our FINRA arbitration attorney page.
Frequently Asked Questions
1. How do I file a claim to recover money I invested in Terra Property Trust?
Most claims against a brokerage firm go through FINRA arbitration rather than a lawsuit in court. Most brokerage account agreements typically include a pre-dispute arbitration clause, which many investors don’t know about until they look into their options. Arbitration can still result in a monetary recovery, and an attorney can help you file and pursue your claim.
2. What makes a non-traded REIT like Terra Property Trust a risky recommendation?
Non-traded REITs are illiquid, hard to value, and carry high fees that can eat into returns. A broker who recommends one without fully explaining these risks, or without confirming it fits the investor’s goals and risk tolerance, may have made an unsuitable recommendation.
3. Can a brokerage firm be held responsible even if it didn’t personally approve my investment?
Yes. Brokerage firms have a duty to supervise their representatives and the recommendations they make to clients. If a firm failed to catch an unsuitable recommendation or inadequate risk disclosure, it may be liable for the resulting losses even though it wasn’t directly involved in the transaction.
