Michelle MacKay first joined Cushman & Wakefield in 2018 (Cushman & Wakefield)
Chicago-based property consultancy Cushman & Wakefield on Thursday named a new chief executive, with Michelle MacKay set to take on her new role from 1 July as 35-year company veteran John Forrester prepares to retire later this year.
“The Board is pleased that Michelle MacKay will succeed John as CEO,” C&W executive chairman Brett White said in a statement. “Michelle has an impressive track record of creating substantial value for shareholders and clients through her deep expertise in commercial real estate and corporate strategy.”
MacKay’s appointment makes her the only woman to head a global property consultancy, and sees her stepping up from her current roles as president and chief operating officer of the Fortune 500 firm. As part of the same transition, Andrew McDonald was promoted from president to global president and chief operating officer.
The leadership change was announced on the same day that Cushman disclosed a net loss of $76.4 million in the first quarter of 2023 on a 4 percent drop in revenue, after the company had achieved a profit of $45.5 million in the same period of last year. Also on Thursday, C&W announced the death of John C Cushman, III, chairman of the company’s global transaction division and grandson of its founder, who passed away at age 82.
First Female
With her move to the CEO role MacKay has fulfilled what the company called a long-standing succession plan, with Mingtiandi records showing her as the only woman ever to have held a chief executive title with a global property agency.
“I’m looking forward to leading this great firm through its next chapter of strategic growth,” MacKay said in a statement. “Cushman & Wakefield’s unique entrepreneurial culture and employee expertise position us to not only successfully navigate the current challenges in commercial real estate services, but to also deliver long-term value, profitability and growth.”
The 30-year real estate veteran joined C&W in 2018 from NYSE-listed REIT iStar, where she had served more than 15 years, including working as executive vice president for investments and head of capital markets before becoming an advisor to the CEO in 2017.
Now 56, the University of Connecticut graduate also has previous experience with JP Morgan Chase and UBS in New York.
Forrester to Retire
Aged 58 when he took over the chief executive role from Brett White in August 2021, Forrester, joined property agency DTZ in 1988 and served as group chief executive until the company was acquired by TPG Capital in 2014 and, a year later, merged with Cushman & Wakefield.
John Forrester looks ready to take command at C&W
Forrester had been promoted to global president in 2017 and worked closely with the now 63-year-old White to oversee operations and management in the firm’s global regions, including EMEA, APAC, the Americas and Greater China.
“On behalf of Cushman & Wakefield’s Board of Directors, I thank John for his dedication and service to the firm and to the commercial real estate services industry over his long and distinguished career,” White said. “John is a revered industry leader known for his integrity, work ethic and deep client knowledge. His tremendous efforts over the past several years have strengthened the firm’s foundation and culture and the Board is sincerely grateful for his contribution.”
Forrester will continue to serve as a strategic advisor to Cushman & Wakefield through 31 December.
Cushman saw revenue from its leasing and capital markets divisions fall by 20 percent and 51 percent respectively in the first quarter compared to 2022. Valuation and related services brought in 15 percent less revenue than the year earlier, while revenue from property, facility and project management grew by 7 percent.
On an adjusted EBITDA basis, the company calculated a $60.9 million profit in the first three months of 2023 – down from $214.4 million by the same non-GAAP metric last year. C&W indicates that its adjusted EBITDA figures are useful to investors as they generally eliminate integration and other costs related to merger, pre-IPO stock-based compensation, unrealized gains or losses on investments, acquisition related costs and efficiency initiatives, cost savings initiatives, and other non-recurring items.
Its adjusted EBITDA metric also excludes the effects of financing, income tax and the non-cash accounting effects of depreciation and intangible asset amortization.
Former Chairman Passes Away
John C Cushman III had first joined C&W in New York in 1963 after graduating from Colgate University. In 1978, he and his twin brother Louis left the firm founded by their grandfather John Clydesdale Cushman in 1917 to form Cushman Realty Corporation.
John Cushman had first joined the family firm in 1963 (Cushman & Wakefield)
In 2001, John C Cushman III rejoined Cushman & Wakefield as chairman when the company acquired Cushman Realty Corporation.
“Over the course of his 60-year career, John’s iconic legacy in business, the commercial real estate industry and as a global citizen stands as a key pillar in Cushman & Wakefield’s history,” the company said in a statement. “We extend our sincerest condolences to his family, friends and all who join us in mourning this great loss.”
Leave a Reply