Last Updated: July 2025
Grandway REIT Holding Inc.
According to an October 2022 press release from the company:
“Grandway’s REIT consists of a diversified portfolio of income-producing residential and commercial real estate investments throughout the United States. The investment strategy focuses on properties with stabilized cash flow, strong fundamentals, and value-add potential. We target markets with robust economic drivers, favorable demographic trends, and employment growth. Our experienced team undergoes a stringent multi-phase due diligence process to ensure superior risk-adjusted returns and capital protection for our global clientele.”
Grandway REIT Suspends Distributions
Grandway REIT recently suspended distributions to investors. There is currently no indication if and when distributions will resume.
Investors relying on these distributions for monthly living expenses may be facing challenges as a result of this unfortunate situation.
Depending on your circumstances you may be able to recover damages from the brokerage firm that sold you the investment.
REITs and Alternative Investments
Non-traded REITs like Grandway REIT are public companies however they aren’t registered or traded on any public exchange, making them highly illiquid.
Alternative Investments: These are assets that are not stocks, bonds or cash. Alternative investments generally fall within five categories: hedge funds, private capital, natural resources (oil and gas, energy), real estate (REITs) and infrastructure. They are typically less liquid that conventional investments, less regulated with higher fees and generally higher risk. For more investigations involving Alternative Investments, see this.
Grandway REIT- Marketed by H & L Equities LLC in Florida , Georgia and Texas
According to the Form D filed with the United States Securities and Exchange Commission, Grandway REIT was sold under Rule 506(b) exemption by H & L Equities in the states of Florida, Georgia and Texas. Minimum investment was $1,000.
Brokers Have a Duty to Make Suitable Recommendations
Firms Have a Duty to Supervise their Financial Advisors (FINRA Rules 3110 & 2090)
Brokers and their firms have a duty to comply with the FINRA suitability rule which requires that they have a reasonable basis to believe that a recommendation is suitable for the customer.
FINRA Rule 2111- suitability – Regulation Best Interest
Sellers of non traded REITs are required to conduct due diligence to ascertain and assure that the recommendation to an investor to purchase an investment like Grandway REIT is suitable for the investor.
If you believe your advisor made an unsuitable recommendation which has caused you losses, you may be able to recover damages through FINRA arbitration. When considering suitability an advisor must take into account your age, level of financial sophistication, health, risk tolerance and investment objectives.
The Financial Industry Regulatory Authority
The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.
Rex Securities Law
See this for more information on REITs and Other Alternative Investments
With offices in Boca Raton, FL and Austin, TX, stockbroker fraud attorney Rex Securities Law provides representation to investors nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers, financial advisors and broker dealers.
If you have questions about how your account has been handled, call (877) 224-3199 to speak with an experienced securities attorney at no cost to you.
Most cases are handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.
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