Update: Apple REITs Are Now Unpriced According to June 2011 Statements from David Lerner Associates

Apple REIT investors receiving their June 2011 statements from David Lerner Associates will find some changes in how the Apple REIT holdings are reflected.  The two changes are as follows:

1. The “Portfolio Positions” section of the statement indicates that the Apple REITs are “Not Priced” and there is a note describing this. 

(For reference, the note on customer statements reads as follows: “Apple REIT Units are not priced and we do not provide an estimated value.  The per unit price you paid for Apple REIT Units (either $10.50 or $11.00) does not represent a current market value.  REIT securities are generally illiquid and the value of the security may be different than its purchase price.  Accurate information about the value of Apple REIT properties is not currently available.”)   

1. The Unpriced Securities section of the first page of the statement reflects your cost of the unpriced Apple REITs, separate from the total of your priced securities.

Following the FINRA complaint that was filed in May, these changes are the beginning of David Lerner Associates accurately disclose the value of the Apple REITs to investors.

A copy of the actual letter sent to investors is as follows:

 

 

Eccleston Law continues to speak with investors in Apple REITs.  If you are an investor who is trying to get out of the Apple REITs, please contact one of our attorneys at 312-332-0000.  Our attorneys are representing investors who have suffered losses investing in the Apple REITs along with those who are seeking to rescind (get out of) their investment in these products.