An investment fund that owns offices and houses across the country overhauled its leadership team as it moves toward winding down operations.

Pacific Oak Strategic Opportunity REIT appointed restructuring specialist Bradley Scher to nearly all of its leadership positions, as the company’s entire board and CEO resigned earlier this month. Scher, the founder and managing member of Ocean Ridge Capital Advisors, hasn’t previously worked in commercial real estate, according to AltsWire.

The move comes after the nontraded REIT’s independent directors recommended a wind-down in January and ended its advisory agreement with Pacific Oak Capital Advisors. The REIT had hired financial advisory firm Robert A. Stanger & Co. to “explore the availability of strategic alternatives” as it navigated a “difficult financial situation” in November.

Pacific Oak disclosed in a Securities and Exchange Commission filing at the end of the third quarter of 2025 that the company had $512.8M in debt obligations coming due within a year. The REIT said those circumstances raised “substantial doubt” about its ability to continue for at least a year following the date financial statements were issued.

The REIT reached a debt arrangement with the Israeli bondholders of its BVI subsidiary earlier this month. That deal restructured its debt in outstanding bonds to a single balloon maturity of June 30, 2028, and established a structured asset-disposal timeline.

REIT Board Members Laurent Degryse, Keith Hall, Peter McMillan III and William Petak resigned June 15, leaving just Board Member Kenneth Yee to appoint Scher to the roles of chairman, director, president and CEO. Yee then resigned on Thursday, according to a Monday SEC filing.

In addition to his role on the board, Hall also served as the REIT’s CEO before his resignation.

Along with Scher's appointment, Pacific Oak informed Chief Financial Officer Brian Ragsdale that his contract wouldn’t be renewed. Ragsdale’s contract ends Aug. 11.

Pacific Oak REIT and Scher didn’t immediately respond to Bisnow’s requests for comment.

Through his role with Ocean Ridge, Scher has focused on “companies experiencing financial challenges” and has experience as the sole appointed member of a board, according to the SEC filing. He has also served in executive roles and positions such as chief transition officer, chief restructuring officer and liquidating trustee for a variety of industries.

The REIT entered an engagement letter with Ocean Ridge that will pay the company $5K per month for Scher’s service as president and CEO and $7,500 per month to serve as chairman of the board and a director.