American Strategic Investment Co. is a New York City-based real estate investment trust (REIT), facing financial challenges, including a significant loss of $34.5 million in the third quarter of 2024. Investment loss lawyers KlaymanToskes are investigating brokers who misled investors regarding the risks and liquidity of their investments. Contact KlaymanToskes at +1 (888) 997-9956 or request a free case evaluation to determine if you are eligible for recovery.
National investment loss lawyers KlaymanToskes is investigating brokerage firms and financial advisors who unsuitably recommended investments in American Strategic Investment Co. (ASIC), formerly known as New York City REIT (NYSE: NYC). The REIT has recently come under scrutiny for significant financial losses, including a substantial net loss of $34.5 million in the third quarter of 2024 and the divestment of critical assets under challenging market conditions.
Our law firm has been contacted by investors who have suffered losses in American Strategic Investment Co. due to recommendations by their brokerage firm/advisor. Our investigation has led the firm to believe many investors may have been misled regarding the risks and liquidity issues associated with American Strategic Investment Co.’s investment offering.
If your financial advisor recommended an unsuitable Real Estate Investment Trust (“REIT”) based on your investment profile, or disregarded your risk-tolerance when making investment recommendations, you may be entitled to a financial recovery through FINRA arbitration.
If you suffered losses in American Strategic Investment Co. (formerly New York City REIT), or any other investments due to unsuitable recommendations by your brokerage firm or financial advisor, contact securities attorney Steven D. Toskes to discuss your recovery options at (888) 997-9956 or investigations@klaymantoskes.com to discuss potential recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
American Strategic Investment Co. (NYSE: NYC), formerly known as New York City REIT, is a publicly traded real estate investment trust that owns a diversified portfolio of commercial properties located within the five boroughs of New York City. Shares of New York City REIT (NYCR) were originally sold at a price of $25 per share when it was structured as a non-traded REIT from around 2013 through 2017.
The REIT went public on August 18, 2020, with an initial public offering price of $30 per share. Unfortunately, since going public, the performance of NYC REIT has been disappointing. Following a 2.43 to 1 reverse split effected just before its IPO, the shares have significantly declined in value, trading at approximately $10.50 per share recently, which equates to about $4.32 per share on a pre-split basis. Currently, shares of NYSE: NYC are trading around $10 per share.
American Strategic Investment Co. reported a net loss of $34.5 million in the third quarter of 2024, a significant increase from the previous year, reportedly due to non-cash impairments. Further, the REIT has faced reported challenges such as increased vacancy rates and pressure on rental income, exacerbated by the economic impacts of shifting market conditions. These financial difficulties have led to the divestment of certain assets, including the notable sale of the 9 Times Square property, as part of its broader strategy to stabilize its financial position and improve liquidity.
Investing in American Healthcare REIT carries several risks, particularly due to its nature as a REIT investment. The brokers and financial advisors responsible for selling American Strategic Investment Co. may be held responsible for any financial losses sustained by investors. Brokerage firms and financial advisors must consider their client’s risk tolerance prior to making recommendations, and cannot overconcentrate their customers’ accounts in any one investment product or market sector.
KlaymanToskes is a leading national securities fraud law firm that represents the interests of investors throughout the world who have suffered losses due to broker misconduct, investment fraud, and securities violations. The firm has helped recover over $600 million for investors (exclusive of attorneys fees and costs), and can help you determine if your loss is due to financial advisor misconduct, unsuitable investment advice, and/or other securities violations.
If you suffered losses in American Strategic Investment Co., formerly known as New York City REIT, or any other investments, contact securities attorney Steven D. Toskes to discuss your recovery options at (888) 997-9956 or fill out a short contact form for a free and confidential consultation.
Potential conflicts of interest may arise when issuers incentivize brokers/investment advisors with substantial commissions to promote their financial products. A problem often associated with alternative investment recommendations, such as REITs and BDCs, is the high sales commissions brokers typically earn for selling these investments, which can be as high as 15%. A representative that recommends investments for the purpose of being compensated through increased commissions, and enriches themselves rather than benefiting the client, is violating securities laws.
To recover investment losses, you do not go through the traditional court system with a lawsuit. The only remedy is through a FINRA arbitration, a specific process designed for these types of disputes. This process involves presenting your case to a panel set by the Financial Industry Regulatory Authority (FINRA), not a courtroom. This approach is streamlined and focused on investment disputes, making it a suitable and effective way for investors to seek compensation for losses caused by financial advisors or brokerage firms.
FINRA (the Financial Industry Regulatory Authority) is a self-regulatory organization that oversees brokers and brokerages. In the event of a dispute between an investor and their financial advisor, investors can choose to file a FINRA arbitration claim. FINRA is overseen by the Securities and Exchange Commission (“SEC”).
The arbitration process is designed to be much faster than the court system and allows both parties to present their case before a panel of arbitrators. The arbitrators will then decide how to resolve the dispute, including ordering the advisor to pay damages for any losses suffered by the investor.
If you suffered losses in American Strategic Investment Co., formerly known as New York City REIT, or other investment losses, you are encouraged to contact attorney Steven D. Toskes, at 888-997-9956 or by email at investigations@klaymantoskes.com to discuss recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
As an investor, there are signs that you should look out for if you believe you have a claim against your broker/advisor for unsuitable investment recommendations in American Strategic Investment Co., formerly known as New York City REIT. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:
Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.
Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.
If you purchased unsuitable American Strategic Investment Co. (ASIC), formerly known as New York City REIT, investments, or any other unsuitable investments through your financial advisor/brokerage firm, and suffered significant losses, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you