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2016NAREIMCompensationSurvey
TheNationalAssociationofRealEstateInvestmentManagers(NAREIM)isonceagainpartneringwithFPL
Associates to conduct the 2016 NAREIM Compensation Survey, which is widely considered the most
comprehensive of its kind within the real estate investmentmanagement (REIM) industry. Unlike other
surveysinthemarketplace,thissurveyprovidesNAREIMmembers/participantswithcustomized,real-time
compensationtrendsanddatathatcanbeusedatalllevelsoftheorganizationtoassistwithhumancapital
decisions.
WhyParticipate?
Compensationcontinuestobeanemphasisatinvestmentmanagers. TheNAREIMCompensationSurveyhas
servedasavaluableresourceforparticipantsandmemberorganizations,providinganumberofbene0its:
• Thesurvey’srealtimecompensationtrendsandpositionalinformationhashelped0irmsreactandadjust
theircompensationprogramtothechangingeconomicenvironment
• Information helps 0irms stay competitive in all areas of compensation (0ixed and variable pay)which
resultsinincreasedemployeeretention
• Questionsarerelevantandattunedtothelatestissuesfacingorganizationstoday
• Position and department information is comprehensive and usable by organizations of all sizes,
structures,andstrategies
Thesurveyquestionnaireiseasytocompleteandthecomprehensivereportofresultsisfreetoparticipants.
2016SurveyComingSoon!
This year’s survey will be available to participants on April 4, 2016. Survey questionnaires and
compensationworksheetsareduetoFPLbyMay6,2016withresultspublishedinAugust2016.
Questions/Comments
Ifyouhaveanyquestionsaboutthisyear’ssurvey,questionnaire,orduedatepleasecontactus.
GunnarBranson
President&CEONAREIM
(312)884-5184
JoshAnbil
SeniorManagingDirector
(312)893-2315
LindsayPankratz
SurveyDirector
(312)893-2337
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2015SurveyOverview
The2015NAREIMCompensationSurveyprovidedavarietyoforganizationalandcompensationinformation
andtrendsacrosstheREIMindustry,including:
• Staf0ingandhiringtrends
• Financialperformancetrends
• Compensationdesigntrendsandpractices
• Positionalrangesbycomponent(e.g.,basesalary,annualincentive,andlong-termincentive)
Datawasalsocollectedonanticipatedchangesandtrendsincompensationprogramdesigngoingforward,
includingpromote/carriedinterestawards.
KeyFindingsfromthe2015Survey
� Financial performance continued to improve at most REIMs with increased revenue at 78% ofparticipantsandgenerallysimilarresultsreportedforEBITDA(67%)andgrossAUM(76%)
� Most participants (91%) increased salaries at year-end, making 2015 the 0ifth consecutive year ofwidespreadsalaryincreasesintheREIMsector
� Atmost 0irms, salary increases in 2015 continued to grow (4.5% on average) in comparison to thosereportedforthepastfewyearsandtheREIMsector’shistoricalaverage(3-4%)
� Most participants (70%) anticipated increasing salaries in 2016, with the average expected increaseamongthese0irmsbeing3.7%
� Bonusesforperformanceyear(PY)2014increasedat71%ofparticipants,whichisgreaterthanPY2013(61%)butslightlybelowPY2012(76%);amongcompaniesreportinganuptickinbonuses,theaverageincreasewas20%(similartothe19%reportedin2014)
� Slightly more than one-third (36%) of participants expected PY 2015 bonuses would exceed bonuspaymentsforPY2014(downfrom51%reportedin2014)
� Nearlyhalf(48%)ofparticipantsindicatedlong-termincentiveeligibilityexpandedattheir0irmfromPY2014toPY2015
� Lookingahead,most(53%)participantsdonotexpectPY2015LTIawardstodiffermateriallyfromPY2014awards
� Nearlyhalf(45%)ofparticipantshaveapromote/carriedinterestplan,similartothe46%lastyear,withthese plans most commonly used for value-add and opportunistic commingled funds and separateaccounts
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2015ParticipantDemographics
The2015NAREIMCompensationsurveyhad47participatingorganizations,re0lectinganimpressive55%
participationrate.Intotal,theparticipatingcompaniesinthe2015surveymanageover$940billioninassets.
NumberofFullTimeEmployees GrossAssetsUnderManagement(AUM)
2015ParticipantCompanies
AEWCapitalManagement
AmericanInternationalGroup(AIG)
AmericanRealtyAdvisors
Amstar
BentallKennedy
BerkshirePropertyAdvisors
CBREGlobalInvestors
ClarionPartners
ColonyRealtyPartners
CommonWealthPartners
CornerstoneRealEstateAdvisers
DeutscheBank
HartRealtyAdvisers
Heitman
Hines
IDSRealEstateGroup
InlandRealEstateInvestmentCorporation
IntercontinentalRealEstateCorporation
InvescoRealEstate
Jamestown
JPMorganAssetManagement
KimcoRealtyCorporation
LaSalleInvestmentManagement
LoweEnterprisesInvestors
ManulifeFinancial
MesaWestCapital
MetLifeInvestments
MetzlerRealtyAdvisors
NationalRealEstateAdvisors
NewYorkLifeRealEstateInvestors
PCCP(Paci0icCoastCapitalPartners)
PearlmarkRealEstatePartners
PMRealtyGroup
PrincipalGlobalInvestors
Prologis
PrudentialRealEstateInvestors
Saro0imRealtyAdvisors
StockbridgeCapitalGroup
TDAInvestmentGroup
TIAA-CREF
UBSRealtyInvestors
USAARealEstateCompany
WaltonStreetCapital
WatertonAssociates
ZellerRealtyGroup
GrossAssetsUnderManagement(AUM)
Under 50
Employees
22%
50 - 250
Employees
33%
Over 250
Employees
45%
Under
$2.5B
16%
$2.5B -
4.99B
18%
$5B - $20B
27%
Over $20B
39%
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SurveyDepartments/Positions
Thesurveyreportincludedcurrentcompensationpracticesfor148positionsacross28departments.Within
eachdepartment,wetypicallyreportcompensationrangesforthefollowinglevels:(1)Head,(2)Senior-level,
(3)Mid-level, (4) Associate, and (5) Analyst. The compensation datawas then organized by position and
brokenoutintothefollowingparticipantcategories:Aggregate(allcompanies),AUM,FundStrategy/Account
Type,andNumberofFull-TimeEmployees.
Survey Departments
Executive Management
InternationalPositions
Accounting—Corporate
Accounting—Portfolio/Fund
Accounting—Property
Administration
AssetManagement
CapitalMarkets
InvestorRelations/CapitalRaising
InvestorReporting
Construction
CorporateMarketing/Communications
Development
DueDiligence/Underwriting
Engineering/Security
Finance
HumanResources
Leasing
Legal/Compliance
PortfolioManagement
PropertyManagement
Research
RiskManagement
Technology
Transactions
Valuations
Debt
REITSecurities
• ChiefExecutiveOf0icer(HeadofRealEstate)
• ChiefOperatingOf0icer
• ChiefFinancialOf0icer
• ChiefInvestmentOf0icer
• ChiefAdministrativeOf0icer
• ChiefInformation/TechnologyOf0icer
• ChiefAccountingOf0icer
• GeneralCounsel
• RegionalChiefOperatingOf0icer/RegionalEVP
• ProductorBusinessLineChiefOperatingOf0icer/EVP
• HeadofNewBusinessInitiatives/ProductDevelopment
• HeadofRealEstateLending&DebtInvestments
• SeniorPortfolioManagementProfessional–Debt
• SeniorOriginations/ProductionProfessional
• Mid-LevelOriginations/ProductionProfessional
• Originations/ProductionAnalyst
Example Survey Positions
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ExamplePagesfrom2015Report
Thepagesbelowareexcerptsfromthe2015surveyandillustratethetypesofanalysisandinformationthat
arepresentedinthereport.
