The appointment of a distressed-company specialist signals a deepening wind-down at the troubled non-traded REIT.

June 23, 2026

Pacific Oak Strategic Opportunity REIT disclosed a sweeping leadership overhaul on June 22, 2026, replacing nearly its entire board and installing a restructuring specialist as chairman and chief executive. The changes mark the latest in a string of dramatic moves at the financially strained non-traded REIT, which earlier this year scaled back its public reporting and dismissed its auditor and arranged a $216 million loan secured by single-family rentals.

Board Exodus and New Leadership

On June 15, 2026, four directors — Laurent Degryse, William Petak, Keith Hall, and Peter McMillan III — each notified the board of their decision to resign, effective immediately. Three days later, Kenneth Yee appointed Bradley E. Scher as chairman, director, president, and chief executive officer before himself resigning from the board. The company stated that none of the resignations involved any disagreement with the company.

A Restructuring Specialist at the Helm

Scher, 65, is the founder and managing member of Ocean Ridge Capital Advisors, which has provided financial and operational consulting to institutional investors, boards, and management teams since 2002. His career has centered on companies facing financial distress, with roles including:

• Chief Executive Officer and Chief Financial Officer
• Chief Restructuring Officer and Chief Transition Officer
• Plan Administrator and Liquidating Trustee

He has also served as a responsible financial person, reviewing and signing audit reports and financial disclosure statements. Scher has sat on more than three dozen boards of private and public companies, frequently as chairman, audit committee chairman, or one of a small number of independent directors.

Earlier in his career, he was a managing director at PPM America, where he oversaw more than $1 billion in investments for a special situations fund. He previously held roles in the special loans unit of TIAA-CREF’s investing arm, the private placements division of The Travelers, and middle-market lending at Chemical Bank. He holds a bachelor’s degree in economics and finance from Yeshiva University and an MBA from Fordham University, and was a guest lecturer at Baruch College’s Executive MBA program.

Departure of the Outgoing CEO

In connection with Scher’s appointment, the company notified Brian Ragsdale that his contract would not be renewed and would end on August 11, 2026. Ragsdale will remain chief financial officer until that date.

The company entered into an engagement letter with Ocean Ridge dated June 18, 2026, agreeing to pay $5,000 per month for Scher’s service as president and chief executive and $7,500 per month for his role as chairman and director. The company will also cover reasonable out-of-pocket expenses and entered into an indemnification agreement with Scher.