Andrew Freedman Quoted in the Real Deal on Corporate Governance Issues Plaguing the REIT Sector

Co-Head of Olshan’s Shareholder Activism Practice Andrew Freedman was quoted in the Real Deal (subscription required) regarding  recent events that are shining a light on the poor governance of the REIT sector.  REITs make attractive targets for activists as seen in the 10 activist campaigns in 2019 which resulted in 13 board seats.  By utilizing certain strategies vulnerable REITs are able to stay safe from shareholders.  Although this isn’t the case for all REITs the consensus on their governance is clear. Andrew commented on this by saying, “REITs are a nasty bunch,” He continued, “REITs are everything that’s wrong with corporate governance.”  Many REITs are organized in Maryland, which Freedman described as “the most shareholder-unfriendly state in America.”