Boston, MA (PRWEB) April 27, 2012
The securities law firm of Gilman Law LLP has recently launched an investigation into various non-traded REITs. Real estate investors have purchased billions of dollars of shares in non-traded REITs relying on the typical promises of price stability and steady returns. However, many non-traded REITs have fallen short of those promises, with some severely restricting, and in some cases completely suspending, dividend payments to investors indefinitely. When distributions from non-traded REITs, such as Retail Properties of America, Inc.* (formerly Inland Western), and KBS REIT I** (KBS Real Estate Investment Trust I), are suspended or restricted, the investors relying on the income from the non-traded REITs often have no choice but to sell their shares on the secondary market, usually for far less than their initial investment.
Concerns Surrounding Non-Traded REITs and REIT Lawsuit Information
Many investors have suffered substantial REIT losses when these non-traded REITs or non-traded Real Estate Investment Trusts have not lived up to promises of price stability and recurring dividends. In February 2009, the Financial Industry Regulatory Authority (FINRA) issued Regulatory Notice 09-09, which requires REITs to re-assess the value of their shares no later than 18 months after the conclusion of the offering. Since then, some REITs that have re-assessed their shares in accordance with the Notice have had to notify investors that their shares are worth far less than the original purchase price. This has caused investors in non-traded REITs to sustain billions of dollars in losses. At the same time, some REITs have either severely restricted or frozen redemptions, leaving investors without a means of stemming their losses. For a list of non-traded REITs that have either modified or suspended their shareholder redemption program, visit our Non-Traded REIT Website Article.
About Gilman Law
The securities law attorneys of Gilman Law, LLP have over 33 years of experience in all major aspects of securities litigation, including stock manipulation, securities fraud, REIT lawsuits and litigation, and shareholder rights violations. Our experienced securities fraud lawyers are offering Free Legal Consultations to any investor who has suffered financial losses in non-traded REITs. Individuals who purchased shares in non-traded Real Estate Investment Trusts (REITs) are encouraged to contact our Real Estate Investment Fraud Lawyers today by submitting the Free Consultation Form Online for a Free Case Review or calling our firm TOLL FREE at (888) 252-0048.