Investigating Potential Claims Involving KBS REIT II

KBS REIT II

MacKenzie Realty Capital Extends Tender Offer for KBS REIT II $3.87/share

The White Law Group is investigating potential claims against the broker dealers that sold high risk non-traded REIT investments, like KBS REIT II.

KBS REIT II, a publically registered non-traded REIT, went effective in April 2008 and closed its primary offering in March 2011 after raising $1.8 billion in investor equity. The company’s portfolio consists of 10 properties and one real estate loan receivable.

MacKenzie Realty Capital is offering to purchase up to 2.5 million shares of the REIT’s common stock for $3.87 per share, or approximately 1.33 percent of the outstanding shares.

According to SEC filings, the REIT is urging shareholders to reject the unsolicited tender offer from MacKenzie.

KBS REIT II told shareholders that the offer price is “substantially below” the value of the shares, which have an estimated value of $5.49 per share, as of September 30, 2016.

A KBS REIT II special committee determined that it would be in the best interest of stockholders to market certain properties for sale, and based on that effort, could possibly adopt a plan of liquidation in the future, subject to stockholder approval.

The REIT noted that its focus in 2017 is to continue to strategically sell assets and consider special distributions to its stockholders; negotiate lease renewals or new leases; complete capital projects, such as renovations or amenity enhancements, to attract quality buyers; and finalize the strategic alternatives assessment and decide on a course of action.

The White Law Group has handled a number of claims involving non-traded real estate investment trusts (REITs) like KBS REIT II.

For more information on the Firm’s investigation, please visit KBS REIT II Secondary Market Listing $4.50/share

If you invested in KBS REIT II or another non-traded REIT and would like to discuss your litigation options with a securities attorney, please call The White Law Group at 1-888-637-5510 for a free consultation.

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.

For more information on The White Law Group and its investigations, visit www.whitesecuritieslaw.com.

 

 

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