Industry Leaders Assemble in San Francisco at NAREIT's Annual Convention

By Jada A. Graves
Photography by Carla Osberg

REITs in Review

Approximately 1,200 REIT industry executives and investors met Nov. 8 through Nov. 10 to assess the REIT industry from a host of perspectives at NAREIT's Annual Convention in San Francisco. Panel moderators Jonathan Litt, managing director and senior REIT analyst with Citigroup, Christopher Niehaus, managing director with Morgan Stanley, Ralph Block, executive vice president and REIT portfolio manager of Phocas Financial, and Bernard Winograd, president and CEO of Prudential Investment Management, among others, led discussions ranging from the global landscape to raising capital to recent REIT transactions.

Incoming NAREIT Chair Arthur M. Coppola (left) recognizes previous Chair R. Scot Sellers for his year of service.

The convention was also an opportunity to introduce new, while acknowledging prior, NAREIT leadership. Outgoing NAREIT Chair R. Scot Sellers, chairman and CEO of Archstone-Smith, passed the industry's leadership baton to The Macerich Company President and CEO Arthur M. Coppola, while also taking the opportunity to reflect on the past year's REIT triumphs.

Bernard Winograd, president and CEO with Prudential Investment Management, Wells Fargo Securities Managing Director Christopher Hartung, James Keagy, managing director with Barclays Global Investors and William Karnick, managing director of Colony Realty Partners, discuss what drives capital flows during a panel session.

"Last year at this time, the media pundits were saying the industry had topped out and 2006 would be a year of decline, but we're heading for our seventh straight year of benchmark-beating performance," Sellers says.

(from left to right) Panel Moderator Coppola discusses real estate public markets in 2007 with panel speakers Jon Fosheim, CEO and Co-Portfolio manager of Oak Hill REIT Management, Barden Gale, managing director of ABP Investments, David Harris, senior vice president with Lehman Brothers, and David Lee, portfolio manager of T. Rowe Price Real Estate Fund.

In one of his first acts as NAREIT Chair, Coppola spoke enthusiastically of forward movement. "We are a larger, more respected and more global industry than we were just a year ago. We are an industry in forward motion. It's our task to maintain and accelerate that progress."

NAREIT Recognizes Industry Leadership and Achievement

During one general session, NAREIT honored Edward H. Linde and Cydney C. Donnell for their industry contributions. Linde, CEO of Boston Properties (NYSE: BXP) received the 2006 Industry Leadership Award for his ongoing and effective advocacy on behalf of the REIT industry.

Three of the six participants in the CEO Marketplace General Session—Joel Marcus, CEO of Alexandria Real Estate Equities, Inc., Constance B. Moore, president and CEO of BRE Properties and Robert Taubman, chairman, president and CEO of Taubman Centers—discuss business strategies and stories. The panel also included William Hankowsky, chairman, president and CEO with Liberty Property Trust and Donald Wood, president and CEO with Federal Realty Investment Trust. The moderator was Phocas Financial’s Ralph Block.

"Ed is always on the front lines whenever leadership is required to move the industry forward," says Steven A. Wechsler, NAREIT president and CEO. "Because of his well-reasoned judgment, commitment to collective action and no-nonsense approach, Ed is well respected by his peers and is very deserving of this honor."

The 2006 Leader in the Light honorees gathered together to receive recognition for their sustained and superior energy use practices. Pictured (left to right): Judge Branko Terzic, Deloitte & Touche LLP; John Summers, director of commercial real estate, Johnson Controls, a sponsor of the awards program; Walter C. Rakowich, president and COO of ProLogis; Elizabeth P. Coronelli, senior vice president of investor relations of Equity Office Properties Trust; George Caraghiaur, vice president of energy services of Simon Property Group; Judge David Funk, Ph.D., director of real estate at Cornell University; NAREIT Executive Vice President, Finance & Operations Sheldon Groner and Steven A. Wechsler, NAREIT president and CEO.

Linde gave sincere gratitude for the tribute. "I am deeply honored by NAREIT's recognition, especially as I consider those who have received this Leadership Award previously and the great contributions they have made to the REIT industry," he says. "It has been my pleasure to assist NAREIT over the years, as it has accomplished so much for its member companies."

The current director of real estate programs in the department of finance with Texas A&M University's Mays Business School, Donnell was the 2006 Industry Achievement Award honoree. Donnell previously worked as a principal and managing director with European Investors, Inc., from 1986 to 2003 before ultimately serving as chair of the firm's investment committee and head of its real estate securities group. "It is an incredible honor to be recognized by a group that I hold in such high esteem," she says.

Looking to the Light

NAREIT recognized Simon Property Group (NYSE: SPG), Equity Office Properties Trust (NYSE: EOP) and ProLogis (NYSE: PLD) with the gold, silver and bronze awards, respectively, at the "Leader in the Light" presentation ceremony in San Francisco. Winners were drawn from corporate members who demonstrated superior and sustained energy use practices. The award is co-sponsored by the U.S. Environmental Protection Agency (EPA).

The winners acknowledge the importance of efficient energy use. "It's absolutely great to see the efforts that our entire team has put into reducing energy costs without sacrificing comfort, reliability and safety," says George Caraghiaur, vice president of energy services with Simon Property Group.

"This award is critical in raising awareness about the importance of energy efficiency initiatives in the commercial real estate industry," says Paul Saccone, vice president of corporate engineering and energy investment with Equity Office.