The pay package of Landsec’s chief executive Rob Noel has increased by more than £700,000 to £2.7m– boosted by a higher long-term incentive award.
Noel received £1.06m under the long-term incentive plan (LTIP), up from £285,000 last year, according to the annual report published yesterday.
The LTIP pay-out, which is based on performance over the three years to the end of March 2017, was boosted by strong property returns relative to the wider market. Landsec’s three-year average total return of 12.7% a year was above the 11.5% a year MSCI/IPD benchmark.
“To have achieved this while putting the business on such a strong financial footing is a very good performance,” said Simon Palley, chairman of the remuneration committee.
However, Noel still received only half the maximum potential LTIP award because the company failed to hit its shareholder return target. As a result, his total remuneration failed to reach the high of £4.7m he was awarded in 2015.
Over three years to March this year, Landsec delivered a total shareholder return of 9.2%, versus 16.2% for the comparator group of 24 other listed property companies.
“Our relative share price has been impacted by a number of factors including sentiment towards our market sectors, particularly London, and no exposure to continental Europe at a time of sterling devaluation,” said Palley.
14 November 2017
1 August 2017