Silver Star Properties REIT Raises Concerns about Future Viability in SEC Filing

Posted on June 15th, 2023 at 8:59 AM
Silver Star Properties REIT Raises Concerns about Future Viability in SEC Filing

From the desk of Jim Eccleston at Eccleston Law 

Silver Star Properties REIT Inc., previously known as Hartman Short Term Income Properties XX Inc., has raised concerns about its ability to sustain operations in its latest quarterly report filed with the Securities and Exchange Commission (SEC).

The publicly registered non-traded real estate investment trust highlighted the possibility of facing difficulties as a going concern. According to the quarterly report filing, the company has a $259 million loan with an initial maturity date of October. 9, 2020. The loan provides for three successive one-year maturity date extensions that have all been executed.

On October 19, 2022, Silver Star received a notice from the loan servicer of the Single Asset Single Borrower (SASB) Loan indicating that an event of default had occurred. The default was due to non-compliance with the insurance requirements specified in the loan agreement for a particular property. However, it's important to note that the event of default had been previously waived so that Silver Star could exercise the final one-year extension option for the SASB loan term, according to DIWire.com. According to Silver Star, cash management implementation has restricted access to tenant receipts and limited the cash available to meet their operating obligations.

 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law

Return to Archive

TESTIMONIALS

Previous
Next

We just wanted to say thanks for your work in helping us get back some of the money we lost. We are not by any means rich, but we have saved some money and we have done so through a tight-fisted approach to most everything we do. So losing a significant chunk of money hurt…especially at a time when everyone else was growing their accounts. We really appreciate the work you did.

Allan and Adele

LATEST NEWS AND ARTICLES

February 17, 2026
FINRA Fines Kingswood Capital Partners $150,000 for Supervisory Failures in GWG L Bond Sales

The Financial Industry Regulatory Authority (FINRA) censured and fined San Diego–based broker-dealer Kingswood Capital Partners $150,000 after finding supervisory failures tied to sales of high-risk GWG L bonds.

February 16, 2026
FINRA Removes Arbitrators in Stifel Case, Drawing Scrutiny Over Impartiality Standards

FINRA agreed to remove two potential arbitrators from an upcoming Stifel Financial arbitration tied to former Miami-based broker Chuck Roberts, a move that could carry broad implications for investor arbitration.

February 13, 2026
Cetera Fined $1.1 Million Over Supervisory and AML Deficiencies

The Financial Industry Regulatory Authority (FINRA) has censured and fined Cetera Financial Group $1.1 million after identifying supervisory system and anti-money laundering (AML) failures across several subsidiary broker-dealers.