Study shows significant raises for REIT board members.

According to a newly released study by Schonbraun Safris McCann Bekritsky & Co., L.L.C., ("SSMB"), a national, real estate consulting and accounting firm, publicly-traded real estate companies are significantly increasing compensation paid to their independent board members over prior years.

According to the SSMB study of approximately 150 REITs, REITS are paying their board members, on average, 25% more than in previous years.

According to SSMB Partner and Co-Head of the firm's national compensation consulting practice Larry Portal, "Perhaps at no time in Wall Street's history have boards of directors' roles and responsibilities been more in the public spotlight. real estate industry is no exception, and for many REIT boards, the last 18 months have been both active and anxious times. Board members and board committee heads are being held far more accountable and their roles much more demanding than they were five or 10 years ago.

The SSMB study revealed that REITs are moving away from stock options and increasingly utilizing restricted stock as a significant element of board compensation.

"This shift towards the use of restricted stock is consistent with how these companies are also compensating their executives."

The study also showed that REITs are willing to pay additional retainers to key board committee chairmen, often in the range of $5,000 to $10,000, on top of their base retainers.

Portal explained, "From a REIT shareholders' point of view, this additional compensation usually signals that the company acknowledges and values the added responsibility and accountability these committee chairmen bear, especially the heads of audit committees."