People (March 2007)

Cafaro signs new deal with Ventas Inc.

CEO HELPED LEAD HEALTHCARE REAL ESTATE COMPANY THROUGH TOUGH TIMES

By John Mugford

It was announced in early 2007 that Debra A. Cafaro, who as chairman and CEO helped bring Louisville, Ky.-based Ventas Inc. (NYSE: VTR) from the brink of bankruptcy to solid financial footing, has signed a new employment agreement. According to news reports, Ms. Cafaro is expected to receive more than $7 million worth of company stock and $5 million in long-term compensation as part of the new agreement with the real estate investment trust (REIT). According to the Louisville Courier-Journal, Ms. Cafaro’s 2007 salary will be $600,000 and she will receive a $2.1 million bonus.

In a prepared statement, Sheli Z. Rosenberg, a member of the Ventas board, stated: “Debbie joined Ventas during very uncertain and difficult times in March of 1999. Under her leadership, the company has consistently delivered exceptional shareholder value.”

According to reports, in Ms. Cafaro’s early days at Ventas the company’s stock tumbled to about $5 per share; there was plenty of speculation that the company could fall into bankruptcy along with its main tenant, nursing-home operator Vencor.

Ms. Cafaro was feeling pressure from banks and creditors who wanted Ventas to reduce rents to help Vencor restructure. Ms. Cafaro and Ventas, however, agreed to reduced rents only in return for increased payments in the future. Vencor eventually emerged as Kindred Healthcare Inc. (NYSE: KND), and Ventas has been enjoying financial success of late.

The agreement with Ventas is not the only news to report concerning Ms. Cafaro. In mid-January, Weyerhaeuser Co. (NYSE: WY) announced her election to the company’s board of directors. She joined the board on Feb. 15. Cafaro will be up for election at the 2007 Weyerhaeuser annual meeting of shareholders on April 19.

The Wall Street Journal named Ms. Cafaro as one of “50 Women to Watch” in 2004, and she was voted one of the “Best of the Best” REIT CEOs by a poll of institutional investors in 2003.

Prior to joining Ventas in 1999, Ms. Cafaro served as president and director of Ambassador Apartments, Inc., a REIT in the multifamily sector. She had practiced real estate, corporate and finance law for 13 years at the Chicago law firm of Barack Ferrazzano, where she was a founding member.

Ventas also recently announced these additional personnel moves:

■ T. Richard Riney, the firm’s executive vice president (EVP) and general counsel, has been designated as chief administrative officer; he retains his title of EVP and general counsel

■ Brian K. Wood has been promoted to senior vice president (SVP), tax; he was previously vice president (VP), tax

■ Timothy A. Doman has been promoted to SVP, asset management; he was previously VP, asset management.

■ Kristen M. Benson was promoted to VP; she joined the company in 2004 as senior securities counsel.

 

Marshall Erdman

hires new people,

makes promotions

MADISON, Wis. – Marshall Erdman & Associates Inc., which is headquartered in Madison, recently announced some key hirings, as well as promotions.

The privately owned design-build firm provides planning, development, architecture, engineering, interior design and construction management services for health systems, hospitals, ambulatory care centers, large physician group practices and other healthcare-related clients.

Marshall Erdman recently announced these personnel moves:

■ John Mills joined the firm as an architectural designer IV; he is responsible for leading and directing the company’s Hospital Planning & Design Studio that will work on a national level.

■ Joshua Teague joined the firm as the marketing and leasing manager for Marshall Erdman Real Estate Development group; he is responsible for the full lease-up of projects completed by the Real Estate Development group.

■ Julia Houck has been promoted to director of human resources in the Madison office; she is responsible for aligning and executing HR strategy and initiatives in support of the firm’s business plan and objectives.

■ Paul Brunsell joined the firm’s Real Estate Development group as a development manager in the Madison office; he is responsible for third party ownership, development and financing services for healthcare clients nationwide

■ Samantha Roffe has been promoted to senior site planner/landscape architect 3 in the Madison office

■ Tom Stevens joined the company as a hospital planner/programmer in the Dallas office; he is responsible for all client contact and design on hospital projects in the South Central region, as well as overall project strategy, guidance and management of project development

■ Patricia LaForge joined the firm as VP of Information Technology in the Madison office; she is responsible for leading and directing the company’s technology strategy

■ Grant Morrison joined the company as a director of business development in the Dallas office; he is responsible for creating and building relationships with new targeted clients

■ Mark Stockman was promoted to project executive at the company’s Atlanta office.
For the Record

Will Roberson, a member of the Healthcare Real Estate Insights^™ Editorial Advisory Board, recently joined CIT Healthcare. He will work out a Florida office for the New York-based firm. Mr. Roberson joins CIT’s real estate platform doing debt and acquisitions and joint venture equity in the healthcare arena. Mr. Roberson was previously with GE Healthcare Financial Services. He will remain on HREI’s editorial board… Dan A. Killebrew has been promoted to associate principal at the Dallas office of FKP Architects Inc., which has offices in Houston and Dallas. Mr. Killebrew has more than 28 years of experience in management, planning and design of healthcare related projects. He is currently working as the principal in charge of the firm’s work on Cook Children’s Hospital in Fort Worth, Dallas Children’s Medical Center and the Ronald McDonald House in Dallas… Jamie Awford has been promoted to VP and general manager of Turner Construction Co.’s San Diego operations.  Mr. Awford joined Turner in 2003 and is responsible for overall leadership and management of all business activities of the San Diego office.  He has responsibility for the operation and financial success of the business unit and has direct oversight of personnel and responsibilities for field operations, preconstruction services, purchasing, estimating and accounting… Perry T. White has been named SVP of the Advisory Services Group of Birmingham, Ala.-based Johnson Development, a firm that provides services for hospital and physician clients. The announcement was made by James M. Johnson, the president and founder of the company, which has been involved in the development of about 3 million square feet of healthcare facilities… Indianapolis-based Lauth Property Group recently added Brent Barnes as a VP of healthcare in its Orlando, Fla., office. Mr. Barnes is responsible for expanding the firm’s healthcare development efforts in Florida. In 2006, Lauth Healthcare opened six new medical facilities and began construction on 15 additional projects in 11 states; three of the projects are in Florida… In additional Lauth news, the company announced that Marty Slaught recently joined the company as director of leasing for its healthcare properties in the Western Region; the office is in Denver. A 23-year veteran of commercial real estate, Mr. Slaught is responsible for the leasing and marketing of Lauth’s West Region healthcare properties, including medical office buildings and specialty medical facilities developed and owned by Lauth Property Group… Stephen H. Brown and Mike Fleetham of Bloomington, Minn.-based United Properties Healthcare Group recently represented University of Minnesota Physicians in its signing of a 10-year lease renewal for 17,000 square feet at Broadway Family Medicine Clinic in Robbinsdale, Minn. The clinic has served the northwest Minneapolis metro area since 1993… Gregg Lynch was recently promoted to the position of president and CEO of JE Dunn Construction South Central. Peter Doyle is retaining his role as chairman. In addition, the company promoted Doug Combes to VP in charge of the Houston office, while Carl Chavis was promoted to assistant VP responsible for the Safety Group and Quality Assurance…  UnitedHealth Group Inc. of Minnetonka, Minn., recently signed Green Bay Packers Hall of Fame quarterback Bart Starr and his wife, Cherry, to serve as official spokespersons for its Medicare Advantage program. Mr. Starr recently retired as chairman of Healthcare Realty Services, a unit of healthcare real estate development and management firm Healthcare Realty Trust Inc., based in Nashville, Tenn…. Memorial Hermann Healthcare System of Houston recently announced the appointment of D. Kirk Guilanshah as system executive – real estate.  Mr. Guilanshah is responsible for more than 2.4 million square feet of real estate assets and provides system oversight for all non-hospital properties. Prior to joining Memorial Hermann, he served as VP of corporate dispositions at the Staubach Co. of Addison, Texas… Shawn Janus has joined Jones Lang LaSalle’s healthcare practice in Chicago as managing director. In his post, Mr. Janus will focus on financial and investment strategies. Mr. Janus was recently with Lillibridge Healthcare Real Estate Trust, where he served as a member of the firm’s executive committee and was the EVP overseeing all acquisition and development activities. q