Stock fraud lawyers are currently investigating claims on behalf of investors who have experienced significant losses as a result of their investment in Behringer Harvard Multifamily REIT I.
“With an unlisted REIT, it’s generally understood that distributions must be paid to investors before assets are acquired, and therefore, before operating income covers distributions,” says Robert S. Aisner, president and CEO of Behringer Harvard Holdings, Behringer Harvard’s parent company. “Distributions at that phase are largely a return of the investor’s capital.”
However, many stock fraud lawyers would argue that this fact is not “generally understood” by, or explained to, investors by their financial advisor or brokerage firm.