RAD Diversified REIT and its affiliates are pursuing a joint liquidation plan that would place estate assets in a trust for sale and distribution to creditors. The second amended disclosure statement Dkt. 1220 sets a December 10, 2026 voting deadline and a December 17 confirmation hearing; confirmation remains subject to court approval.

RAD Diversified REIT and its affiliates are seeking confirmation of a joint liquidation plan under which a liquidating trust would sell estate assets, resolve claims and distribute proceeds. The second amended disclosure statement Dkt. 1220, filed October 5, 2026, says the statement was conditionally approved, with final adequacy and plan confirmation remaining for hearing. Ballots and objections are due December 10, and the proposed confirmation hearing is December 17, 2026.

The debtors filed for Chapter 11 on March 1, 2026, after regulatory scrutiny and negative publicity impaired fundraising and contributed to a liquidity crisis, mortgage defaults and foreclosure actions. Their first-day declaration Dkt. 3 describes a portfolio of more than 300 residential properties and vacant lots and more than 5,000 investors. The debtors installed independent management and sought to preserve and monetize the portfolio for creditors and investors.

Under the proposed plan, general unsecured creditors would receive Class A trust interests, while subordinated securities and government or regulatory claims would receive Class B interests, with no Class B distributions until general unsecured claims are paid in full. Equity would be cancelled without recovery. The debtors estimate a 9.7% general unsecured recovery under the plan, compared with 7.3% in a hypothetical Chapter 7 liquidation; those estimates depend on asset values, costs and claim amounts. The plan also proposes substantive consolidation, with separate debtor sub-plans if consolidation is not approved. Second amended disclosure statement Dkt. 1220.

The court's September 22 cash collateral order Dkt. 1156 authorized budgeted use of rents until further order, subject to restrictions on certain objecting lenders' collateral and replacement liens. On September 30, the court authorized the sale of three Linmore Avenue properties Dkt. 1198; the order does not itself establish that the sale closed. Property-level creditor issues continue: the court scheduled a November 17 preliminary hearing on TVC Funding's stay-relief motion Dkt. 1311.

RAD Diversified REIT and its affiliates are pursuing a joint liquidation plan that would place estate assets in a trust for sale and distribution to creditors. The second amended disclosure statement Dkt. 1220 sets a December 10, 2026 voting deadline and a December 17 confirmation hearing; confirmation remains subject to court approval.

RAD Diversified REIT and its affiliates are seeking confirmation of a joint liquidation plan under which a liquidating trust would sell estate assets, resolve claims and distribute proceeds. The second amended disclosure statement Dkt. 1220, filed October 5, 2026, says the statement was conditionally approved, with final adequacy and plan confirmation remaining for hearing. Ballots and objections are due December 10, and the proposed confirmation hearing is December 17, 2026.

The debtors filed for Chapter 11 on March 1, 2026, after regulatory scrutiny and negative publicity impaired fundraising and contributed to a liquidity crisis, mortgage defaults and foreclosure actions. Their first-day declaration Dkt. 3 describes a portfolio of more than 300 residential properties and vacant lots and more than 5,000 investors. The debtors installed independent management and sought to preserve and monetize the portfolio for creditors and investors.

Under the proposed plan, general unsecured creditors would receive Class A trust interests, while subordinated securities and government or regulatory claims would receive Class B interests, with no Class B distributions until general unsecured claims are paid in full. Equity would be cancelled without recovery. The debtors estimate a 9.7% general unsecured recovery under the plan, compared with 7.3% in a hypothetical Chapter 7 liquidation; those estimates depend on asset values, costs and claim amounts. The plan also proposes substantive consolidation, with separate debtor sub-plans if consolidation is not approved. Second amended disclosure statement Dkt. 1220.

The court's September 22 cash collateral order Dkt. 1156 authorized budgeted use of rents until further order, subject to restrictions on certain objecting lenders' collateral and replacement liens. On September 30, the court authorized the sale of three Linmore Avenue properties Dkt. 1198; the order does not itself establish that the sale closed. Property-level creditor issues continue: the court scheduled a November 17 preliminary hearing on TVC Funding's stay-relief motion Dkt. 1311.