Real Estate Investors in Retail Properties of America, Inc. (RPAI), formerly Inland Western, may be able to recover their RPAI losses. Contact our securities attorneys toll free at (888) 252-0048 for a free consultation.
Retail Properties of America (RPAI) REIT Investigation
RPAI Inland Western REIT Losses Lawsuit
Did you sustain financial losses because of an investment in Retail Properties of America, Inc. (RPAI) REIT? In April 2012, early investors in the RPAI REIT, who had paid $10 for each of their shares, were caught off-guard by its initial public offering price of just $8 per share. Thanks to a stock split, some investors in Retail Properties of America may have lost more than 70% of their initial investment when it went public. Not surprisingly, some RPAI REIT shareholders now suspect they were taken advantage of, and are exploring legal avenues for recovering their losses.
If you lost money in the Retail Properties of America (RPAI) REIT, you may have an actionable claim to recover those investment losses through a RPAI REIT Lawsuit or FINRA arbitration. For over 40 years, the REIT Investment Loss Attorneys at Gilman Law LLP have represented investors in all major aspects of REIT lawsuits, non-traded REIT lawsuits, securities litigation, including stock manipulation, securities fraud, and shareholder rights violations. Our securities fraud lawyers are offering free legal consultations to any investor who suffered financial losses stemming from an investment in Retail Properties of America (RPAI) REIT. If you or someone you know purchased shares in the RPAI REIT, and you’re concerned about the investment, we urge you to contact our securities fraud lawyers today TOLL FREE at (888) 252-0048 or complete our free consultation form online for a free case review.
Inland Western / Retail Properties of America (RPAI) REIT IPO
Retail Properties of America, the nation’s third-largest shopping center REIT, holds property assets in 35 states. Prior to its April 5, 2012 IPO, the real estate investment trust was a non-traded REIT known as Inland Western REIT. According to some reports, Inland Western / Retail Properties of America, Inc. had been in trouble since 2005, when it stopped accepting capital. When the real estate market crashed in 2008, the RPAI REIT’s investment portfolio was extremely overvalued. As a result, dividend yields were cut from 6.4% to 1% by 2010. Unfortunately, like most non-traded REITs, Inland Western Properties was highly illiquid, leaving investors little choice but to hold onto their shares.
When the RPAI IPO was announced in March 2012, the initial valuation of the RPAI REIT’s shares at just $8 per share fell well below the expected price of $10 to $12. Even worse, the disappointing $8/share valuation was the result of a 10-to-1 reverse stock split and distribution plan. For investors who had originally bought into the Retail Properties of America REIT at $10/share, the actual split-adjusted value of the stock was less than $3 per share – a decline in value of more than 70%. According to some analysts, even when total dividend distributions of nearly $4 per share, accumulated over the full length of the investment period, are included in their returns, early investors were still only seeing about 80 cents back for every dollar they invested in the RPAI REIT.
Legal Help for Investors in Retail Properties of America REIT
The REIT Lawsuit Attorneys at Gilman Law LLP have extensive experience representing both individual and institutional investors in securities class action suits, and has recovered over a billion dollars for its clients. Our securities fraud lawyers are ready to assist investors who have suffered losses in the Retail Properties of America REIT. For a free evaluation of your case, please complete our free consultation form online for a free case review or CALL TOLL FREE (888) 252-0048.
