Search
 

Next in Line

Commercial real estate needs to take the succession of its top players more seriously.

By Tony LoPinto | Updated on June 07, 2011

Next in Line This is a busy week for the REIT sector as investors and executives gather in New York City for NAREIT’s REITWeek, an opportunity for REIT execs to be sequestered in their hotel suites for two days of around-the-clock meetings with investors, analysts, and research types to talk about their performance and the outlook for the year to come. Once upon a time, when I was a REIT CFO, I recall that investor conversations rarely addressed organizational planning and most importantly, succession planning for the company’s top executives. Let’s face facts – who is driving the ship, and the team around him or her, is central to the performance and long-term health of the company. Yesterday, one of the finest examples of succession planning played out with the announcement that AvalonBay Communities’ Bryce Blair will be stepping down as CEO at the end of 2011, and Tim Naughton, the current President, will step up and assume the reins. Bryce and Tim worked together at AvalonBay for 20 years and thus it will be a natural and seamless transition. Tim is a star, but with his own view of the world and approach, which will help guide the company into its next generation. Regrettably, we observe few companies that have succession planning as well thought out, or for that matter even seriously considered. The real estate industry has been chronically slow to make organization development a top priority. It’s about time, especially in these trying times.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.