2023 Guide to REIT Executive Compensation

Types of Awards 30 Restricted Stock 30 Restricted Stock Units (RSUs) 30 Options and Stock Appreciation Rights (SARs) 31 LTIP Units 31 Prevalence of Award Type in the REIT Industry 31 Advantages and Disadvantages of Commonly Used Equity Awards in the REIT Industry 32 Vesting, Acceleration and CiC 33 Section 162(m) 34 Section 409A 36 Section 83(b) Elections 38 Problematic Equity Plan Provisions 40 Evergreen Plans 40 Excessive Share Reservations 40 Liberal Share Recycling 40 Single-Trigger CiC Provisions 40 Governance Matters and Proxy Advisory Firms 41 Proxy Advisory Firms 41 Pay-For-Performance Alignment 41 Transparency 41 Board Compensation 42 Clawback Provisions 43 Hedging and Pledging Policies 43 Equity Ownership Guidelines 43 SEC Filings 44 Form S-8 44 Item 5.02(e) of Form 8-K 45 Proxy Statements 47 Determination of Named Executive Officers 47 Disclosure Requirements 47 Pay-Versus-Performance 53 Stockholder Approval of Equity Plans and Approval of Material Amendments to Equity Plans 58 Pay Ratio Disclosure 60 Stockholder Advisory Votes on Executive Compensation 61 Section 16 67 General 67 Disclosure Requirements 67 Section 16(b) and Rule 16b-3 68 Contributors 69 2023 Guide to REIT Executive Compensation | II