CHICAGO—Bruce W. Duncan has led First Industrial Realty Trust, Inc. as its president and chief executive officer for seven years, but says he plans to retire by year-end 2016. Officials of the Chicago-based owner, operator and developer of industrial properties say the board of directors will choose Duncan's successor and consider internal and external candidates for the position. The company has hired Korn Ferry, a global advisory firm, to assist in the search.

Duncan will still play a role at the company and has been appointed chairman of the board. Previous non-executive chairman Ed Tyler will continue to serve as a board member. The independent directors of the board appointed John Rau, the chair of the nominating and governance committee of the board, to the position of lead independent director. Rau has served as a director of First Industrial since 1994 and previously served as chief executive officer of LaSalle Bank and Chicago Title and Trust. He is currently president and chief executive officer of Chicago-based Miami Corp., a private asset management firm.

Industrial demand has intensified in the US, pushing down vacancy rates and exerting upward pressure on rental rates, and First Industrial has been riding that wave. As reported in GlobeSt.com, at the end of 2014 occupancy in its properties was at 94.3%, compared to 92.9% at the end of 2013, generating solid increases in net operating income.

"Since taking the helm in January 2009, Bruce Duncan has provided strong leadership at First Industrial, significantly transforming its portfolio, operations and balance sheet and delivering strong financial performance," says Rau. "The board appreciates Bruce's many contributions to the company during his tenure as chief executive officer and looks forward to his ongoing leadership and guidance."

"I am proud of what we have accomplished as a team at First Industrial, and I am excited about the opportunities that lie ahead for our company," says Duncan. "I thank my great group of teammates who have delivered on our strategy and are the foundation of our valuable platform. I look forward to working with the board and the management team as we determine my successor, and I am honored to continue to serve our shareholders as chairman of the board."