I've been burned by Behringer Harvard. I sent my request for distribution in on February 10th of 2009. They denied me (and others) without any notice at their next board meeting (after making me resend the damn thing because I needed a special medallion signature stamp from my bank!). I wasn't getting my money for any reason other than I'd been unemployed since June of 2008 and needed money to live! To find out I could only get my money out if I died was so morose and in bad taste that I wrote appeal after appeal to the board...only to be told to die or become disabled...and then 'get in line with everyone else'.!
No one ever told me that this thing wasn't liquid or would ever have these kinds of issues. No one ever told me that the valuation was completely a fiction. They'd just raised another few hundred million and then closed the doors on everyone! I'm sure they did this knowlingly.
I would like to know if anyone has had succes in either suing to get their money or begging or what? I may, on my own, file in Cal Superior Court because no lawyer seems interested...unless they're guaranteed to win. What a country we're now in! I think I can sue under RICO as well. Anyway, any information or law suits that have been successful in this area would be welcome Thanks
Your legal actions should be against the broker that sold you the investment for not telling you about the limitations on the liquidity. He is at fault for not disclosing these risks. Also, in the prospectus it outlines potential risks, he'll probably throw that back at you.
Inland American officers actively attended "informational meetings" at which rooms full of elderly investors were their audience. Don't claim they weren't involved in the sales. Their objective in attending meetings was to lure investors of how wonderful their product was as an investment, i.e. they were selling their product.
Investors were not adequately informed that this was not a safe investment. The share repurchase program made it sound like there was liquidity and you were not informed that it could be suspended at any time. The returns are low, and the risk turned out to be catastrophically high.
Unfortunately, in my case, my broker who I would love to take for everything he has, retired immediately before the shutdown of the share repurchase program and disincorporated his firm, which I was not aware consisted of only himself. (The corporation that is.) He is fully protected under the law. His clients are now rewarded with bankruptcy. I would love to go directly after Inland , as they did participate in the sales process.
I would send in a mental distress note from your doctor and this should get accepted. Let them know all the stress you've been under for buying the Behringer Harvard REIT.
Behringer Harvard Multi Family REIT is a joke. What REIT increases its dividend when the REIT has a negative FFO? Half of the properties in this protfolio are vacant, but yet they decide to increase the dividend to shareholders 6.5% to 7%. So their FFO in 2009 was ($700k) and Q1 2010 got even better ($1m). Any investor investing in this REIT, better get their money out fast or call your accountant and tell them to write the whole investment off! No investors or reps should be selling this investment.
Behringer Harvard REIT I just came out with a share price of $4.25 from $10. They have a $650 debt obligation that they do not know how they will meet. Sounds fimilair - another REIT of theirs in trouble.
I think Behringer Harvard's mission statement reads like this;
Raise the dividend as high and fast as we can , so we can raise the more money from reps and clients. Don't worry about the FFO or the REIT performance. When we close the REIT down, we will cut the dividend and close the share repurchase program for investors. We will collect our fees for 7 years and then give all the properties back to the bank. We will then file for a new REIT offering and hope the industry does not remember what we did before!