NY Times: "Apple REIT Eight is Facing Significant Problems".

The New York Times recently highlighted the “significant” problems Apple REIT Eight is facing.  Among other things, it highlighted issues such as:

• Apple REIT Eight’s failure to make mortgage payments on four of its hotels, which caused the properties to slip into default. 
• The monthly distribution that is paid to investors using borrowed money
• The unwavering $11/share valuation David Lerner has placed on customer statements, even in light of a pending tender offer of $3/share for Apple REIT Eight shareholders.

In fact, the NY Times went so far as to say that the “Apple REITs are perhaps the most egregious of a little-known class of investments…unlisted REITs”.  Investors can read the full NY Times articles here:

http://www.nytimes.com/2011/06/03/business/03norris.html?_r=1

There is no doubt that investors in Apple REIT Eight are currently holding an investment that has suffered a significant decline in value. However, Apple REIT Eight investors there is hope beyond selling their shares in the tender offer at a 72% loss.

Similar problems exist with respect to the other Apple REITs, including Apple REIT Six, Seven, Nine and Ten. Our attorneys are representing investors who have suffered losses investing in Apple REIT Eight along with those who are seeking to rescind (get out of) their investment in this product.

If you have invested in Apple REIT Eight upon the recommendation of David Lerner Associates, please contact one of our attorneys at 312-332-0000 to discuss your recovery options.