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Lightstone Value Plus REIT: Investor Loss Investigation

If you have lost money in the stock market due to fraud, misrepresentation, negligence, or for other reasons, we can help you. We have successfully recovered over $250 million in FINRA securities arbitrations.*

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Updated on: March 12, 2025

If you suffered losses in Lightstone Value Plus REIT due to recommendations by your broker/financial advisor, contact the investment loss attorneys at KlaymanToskes today 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 Lightstone Value Plus REIT. Our law firm believes many investors may have been misled regarding the risks and liquidity issues associated with Lightstone’s investment offerings of Lightstone Value Plus REITs I, II, and III. 

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 Lightstone Value Plus 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 for a free and confidential consultation. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.

Investment Losses in Lightstone Value Plus REIT?

Investment Losses in Lightstone Value Plus REIT?

Contact KlaymanToskes

What is Lightstone Value Plus REIT?

Lightstone Value Plus REIT is a non-traded real estate investment trust, facing liquidity issues, investor complaints, and allegations of misleading financial disclosures. The company is currently the subject of a class action lawsuit filed on November 7, 2024, in New Jersey Federal Court, alleging breach of contract, fiduciary duty violations, and misrepresentation of financial performance. Investors claim that dividends were withheld, and proxy statements contained false or missing information, raising concerns about the REIT’s stability and transparency.

Company Profile: Lightstone Value Plus REIT

Company Name:
Lightstone Value Plus Real Estate Investment Trust (REIT)

Company Type:
Non-traded Real Estate Investment Trust (REIT)

Industry:
Commercial Real Estate Investment

Headquarters:
New York, United States

Founded:
2004

What Are the Risks of Investing in Lightstone Value Plus REIT?

Investing in Lightstone Value Plus REIT carries several risks, particularly due to its nature as an alternative investment. According to the allegations brought forth by the investors in the group lawsuit against Lightstone, investors were misled into approving charter amendments that blocked the liquidation of their investments. SEC filings made by the REIT explain that the changes rescinded by the 2023 charter amendments also included eliminating fiduciary duties that the boards owe to the Lightstone REITs and their shareholders. Furthermore, the changes included eliminating the directors’ fiduciary duties to supervise the relationships of the Lightstone REITs and their external advisers.

If you suffered losses in Lightstone Value Plus REIT, or any other investments, contact securities attorney Steven D. Toskes to discuss your potential recovery options at (888) 997-9956 or fill out a short contact form for a free and confidential consultation.

Lightstone Value Plus REIT Investment Losses

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.

Can I File a Lawsuit to Recover Losses?

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.

What is a FINRA Arbitration Claim?

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 Lightstone Value Plus REIT or other investments, 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.

Signs Investors Should Look Out For About Their Brokerage Accounts

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 Lightstone Value Plus 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:

  • You have substantial losses in your investment accounts
  • You received a call, email, or other communication from your broker’s supervisor or manager regarding your portfolio
  • Your broker misrepresented investment opportunities, or failed to disclose details about investments
  • You notice unauthorized transactions in your investment accounts
  • Your broker is not returning your calls or emails
  • You filed a complaint with your brokerage firm that has not been resolved
  • You see a mistake on your statement, or receive a fraudulent statement

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.

Consult an Attorney to Recover from Lightstone Value Plus REIT Investments

If you purchased unsuitable Lightstone Value Plus 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.