Schorsch partner William Kahane resigns as director of two AR Capital REITs

The shakeout of AR Capital's high-ranking personnel continues. William Kahane, one of the co-founders of Nicholas Schorsch's AR Capital, resigned as a director from two real estate investment trusts, American Realty Capital New York City REIT Inc. and American Realty Capital Global Trust II Inc. According to filings with the Securities and Exchange Commission from Tuesday, Mr. Kahane was replaced by Mike Weil, who, along with Mr. Schorsch and Mr. Kahane, was one of the five AR Capital partners. In both instances, Mr. Kahane “did not resign pursuant to any disagreement with” the two companies, according to the SEC filings. Jesse Galloway, an AR Capital spokesman, did not return a call on Wednesday to comment. GALVIN COMPLAINT Mr. Kahane's departure as director from the boards of two REITs is the latest in a flurry of personnel changes at AR Capital-branded products. Last Friday, Robert Grunewald “was removed from his position as president, chief investment officer and chief operating officer of” BDCA effective immediately, according to a filing with the SEC. BDCA is the AR Capital nontraded business development company that is at the center of an administrative complaint filed earlier this month by Massachusetts Secretary of the Commonwealth William Galvin. The Massachusetts lawsuit alleges that Realty Capital Securities, a wholesale brokerage that helped market AR Capital products, fraudulently cast shareholder proxy votes. James Fisher, a BDCA managing director of middle market investing, is replacing Mr. Grunewald as president and chief operating officer. Meanwhile, Andrew Winer, president and chief investment officer, Global Net Lease Inc., a publicly traded real estate investment trust sponsored by AR Capital that listed earlier this year, also resigned on Friday, according to an SEC filing. Mr. Winer “stepped down by mutual agreement with the company to pursue other opportunities.” Patrick Goulding, the REIT's chief financial officer and treasurer also “stepped down” to pursue other opportunities, according to an SEC filing.