Arthur Coppola is planning to retire from his position as CEO and chairman of the board at Macerich Co., after 25 years in the position. He will continue to serve for the remainder of the year, with his retirement effective December 31, 2018. As such, he will not stand for reelection at the company's upcoming annual meeting of stockholders. The company will begin a search for a permanent CEO to replace Coppola. In the interim, Steven Hash, the firm's independent member of the board and the board's lead independent director, will serve as independent chairman of the board in a non-executive role.

The retirement announcement is a bit of a surprise to the industry, especially considering Coppola is only 65 years old. In addition to serving as CEO and chairman for 25 years, Coppola was a founding partner of the original firm, the Macerich Group in 1976, and he has held a leadership role at the company since its public offering in 1994. Under his leadership, the company has grown into a $16 billion firm, delivering shareholder returns of 1,415%.

The announcement of Coppola's retirement follows several other staffing changes, most notably the departure of Macerich's largest shareholder from the board and general and administrative expense savings. Mizuho Securities speculates that these events are not coincidental, and are likely part of “activist investor pressure.” The company predicts further management changes to come—looking specifically at Coppola's brother, Ed Coppola, Macerich president.