Behringer Harvard Losses May Be Recoverable
On August 23, 2012 reliable news sources reported that Behringer Harvard Strategic Opportunity Fund I and II would report catastrophic losses to investors. Behringer Harvard informed brokers of problems with the fund and was preparing brokers and investors for the bad news.
Many investors purchased Behringer Harvard funds at the recommendation of their financial advisor. The Behringer Harvard funds were sold to customers as suitable low risk, fixed income investments. As a result of representations made by their financial advisor or brokerage firm, investors may be able to recover their losses.
Launched in 2005, the Behringer Harvard Strategic Opportunity Fund I raised $65 million and invested in six properties, including a hotel on Wilshire Boulevard in Los Angeles and an office building in Amsterdam. A related fund, Strategic Opportunity Fund II, raised $62 million over a similar period of time.
Behringer Harvard Opportunity REIT I saw its estimated value decline 46% at the end of 2011 to $4.12 a share, from $7.66 a year earlier. In June, one property in that REIT went into bankruptcy protection.
Also as of Dec. 31, investors in the Behringer Harvard Short-Term Opportunity Fund I LLP, which had about $130 million in total assets, saw its valuation drop to 40 cents a share, down drastically from $6.48 a share as of Dec. 31, 2010.
According to the company's web site, the programs sponsored and managed by the Behringer Harvard group of companies have attracted more than $5 billion in equity which has been invested into more than $11 billion in assets.
We are currently investigating investor losses in Behringer Harvard Strategic Opportunity Fund I and II. To discuss your Behringer Harvard investment and to determine whether your losses might be recoverable, please contact us.