STEADFAST APARTMENT REIT – INVESTOR ALERT

Gregory B. Simon Law, LLC is investigating investor claims related to purchases of Steadfast Apartment REIT, Steadfast Apartment REIT III, and Steadfast Income REIT – three non-traded Real Estate Investment Trusts (“REITs”). On March 6, 2020 Steadfast Income REIT and Steadfast Apartment REIT III merged with and into Steadfast Apartment REIT. Non-traded REITs are not listed on a national securities exchange and are not publicly traded. Accordingly, there is a lack of liquidity, meaning they cannot be easily sold in the market. Many investors who purchased non-traded REITs are required to hold these investments for years without the ability to sell shares even after distributions have dwindled or ceased entirely. Distributions are not guaranteed and can be suspended for a period of time or halted altogether. Additionally, these investments typically charge very high upfront fees to compensate a firm or individual selling the investment as well as high transaction costs. With non-traded REITs, the fees and costs can represent up to 15% of the offering price, which substantially lowers the value and return of the investment.

Before recommending an investment in a non-traded REIT, a brokerage firm and its financial advisors have a duty to adequately disclose the risks involved in the investments and to perform the necessary due diligence to determine whether the investment is suitable for each individual investor.

If your broker recommended the purchase of Steadfast Apartment REIT, Steadfast Apartment REIT III and/or Steadfast Income REIT in your brokerage account, you may be able to recoup your losses under applicable state and/or federal law. Please contact us for a free confidential consultation.

Gregory B. Simon Law, LLC is a national securities law firm that provides legal services to investors and financial advisors on a wide range of financial industry matters. For more information on the firm, please visit https://www.gregsimonlaw.com.

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