By Nathalie Tadena
Real estate investment trust HCP Inc. (HCP) fired James Flaherty
as its chairman and chief executive after a decade at the company's
helm and named Jones Lang LaSalle Inc. (JLL) executive Lauralee
Martin as its new CEO.
HCP, which is focused on the healthcare industry, said its board
decided to separate the chairman and CEO roles to enhance the
company's governance strength and appointed lead director Michael
McKee as non-executive chairman.
Mr. Flaherty, who became HCP's CEO in 2003, will remain a member
of the board. The reasons for his termination weren't
disclosed.
"The board believes Lauralee is the best choice to provide new
leadership for the company and to execute its strategies to enhance
long-term value for shareholders," said Mr. McKee, who has been an
HCP board member for 26 years. "Jay was a substantial and
successful force behind HCP's considerable growth for more than a
decade, and we wish him continued success.
Ms. Martin joined Jones Lang LaSalle, a commercial
real-estate-services firm, as chief financial officer in 2002 and
was appointed to the additional post of chief operating officer in
2005. She gave up her COO responsibilities in January, and later
her CFO responsibilities, to become CEO of Jones Lang LaSalle's
Americas business segment.
Separately, Jones Lang LaSalle said CEO Colin Dyer will assume
direct oversight of the Americas region following Ms. Martin's
departure.
HCP--whose investments include senior housing, medical offices
and skilled-nursing properties--also said Thursday that Kenneth
Roath, the company's chairman emeritus and the first president
before it went public, plans to step down from the board.
HCP has generally logged increased revenue in recent periods
thanks in part to acquisitions and higher resident fees. In July,
the company reported its second-quarter profit rose 5.7% as it
posted a bump in sales from its rental segment. However, a key
industry metric, funds from operations, grew less than expected for
the period.
Shares closed at $41.77 and were inactive premarket. Shares are
down 7% over the past three months.
Write to Nathalie Tadena at nathalie.tadena@wsj.com
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