Health Care REIT (NYSE:HCN) announced on Monday that Thomas J. DeRosa has been appointed chief executive officer. DeRosa will replace George Chapman, who has retired from his positions as chairman of the board, chief executive office, president, but will continue to serve as a senior advisor to the company.
Prior to being named CEO, DeRosa served as a director of HCN and former vice chairman and chief financial officer of the Rouse Company.
“Today’s announcement represents the conclusion of a succession planning process involving the Board and Mr. Chapman, 66, to ensure a smooth transition to new leadership,” said the company in a statement. “The implementation of the Board’s succession plan has been accelerated, as Mr. Chapman recently informed the Board of his desire to focus on his health, as well as other personal and civic commitments.”
Health Care REIT has also created a Management Committee that will work with DeRosa to oversee the company’s day-to-day operations. The Committee comprises various Health Care REIT team members at the executive level.
“We feel very fortunate to have someone of Tom’s caliber, ideally suited to work with the management team to lead the company through its next phase of growth,” stated Health Care REIT Chairman of the Board Jeffrey H. Donahue. “This will support an efficient transition and immediate cohesiveness with our excellent management team,” Donahue stated.
Upon the announcement that DeRosa would take the reins as the company’s new CEO following Chapman’s retirement, the role of CEO and Chairman have been separated between DeRosa and Donahue.
“I feel privileged to be asked to lead HCN as Chief Executive Officer and am excited by the many growth opportunities that lie ahead,” DeRosa stated. “I look forward to working with the Management Committee to build on HCN’s strong track record of consistent internal and external growth and deliver significant shareholder value through opportunities in both the U.S. and abroad.”
That track record of growth has included the company building a $25 billion portfolio of properties across the U.S., Canada and the United Kingdom under Chapman’s 18-year leadership.
“It has been an honor to lead HCN, its talented management team and dedicated employees over the past two decades,” stated Chapman. “I am extremely proud of what we have accomplished together, and I am confident HCN is well positioned to succeed. While I will miss my day-to-day role at HCN, now is the right time for me to move on and serve the company in a different capacity. I am confident HCN has a bright future and that Tom is the right choice to lead the company at this time.”
Also announced in conjunction with the DeRosa appointment, Health Care REIT reported that it has completed over $500 million worth of investments during this year so far.
“Our business continues to perform well, having completed over $500 million in gross new investments with both new and established partners in the first quarter,” stated DeRosa. “We are on track to meet our previously announced annual guidance and look forward to providing our detailed results on our regularly scheduled earnings call on May 8th.”
Written by Jason Oliva