Granite REIT CEO Fired Despite Strong Second Quarter
Despite a summer surge, Granite REIT CEO Thomas Heslip was fired over the weekend, the company announced Sunday. It’s unclear why Heslip was canned, since the fund was looking strong in the last few months. True, the trust was hitting oversold territory in May for shares as low as $40, but in June, Granite REIT saw a huge jump in share price when it announced it would consider selling some properties. The firm’s second-quarter report showed that increased revenue and reduced interest costs led to an 8.6% operations funds increase from the previous year, as well as renewal of a $7.7M/1.3M SF lease with ALP and a $3.5M property sale in Germany. CFO Michael Forsayeth will act as interim CEO until Thomas' replacement is found. The Canadian-based REIT owns 30M SF in over 100 rental income properties in North America and Europe, mainly focusing on industrial, warehouse and logistics properties. Car parts maker Magna International (shown) and its subsidiaries are Granite’s main tenant, with 77% of Granite’s space. [Nasdaq]
