HCP, Inc. (HCP Quick QuoteHCP - Free Report) , the Irvine, CA-based healthcare real estate investment trust (“REIT”) announced the appointment of Michael D. McKee, its Executive Chairman, to play the additional roles of interim President and CEO. Notably, McKee replaced Lauralee Martin, who has left the company and its Board of Directors. A member of the Board of Directors since 2008 and the CEO for the last three years, Lauralee made several contributions to the company.

Due to the departure of Ms. Lauralee, HCP is expected to incur a severance charge of around 3 cents per share in third-quarter 2016. However, with the green signal from the Board for the spin-off of the HCRMC portfolio of SNF and assisted living assets, and other skilled nursing assets, into an independent and publicly-traded real estate investment trust (“SpinCo”), the Board is now trying to develop the next generation of leadership of HCP. The Board will start the process of finding a permanent CEO, which is likely to take between three and six months.

HCP acquires, develops, manages, sells and leases a diverse portfolio of healthcare real estate related properties. Currently, HCP has a Zacks Rank #2 (Buy).

HCP INC Price

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Investors interested in the REIT sector can consider other favorably-ranked stocks like Apple Hospitality REIT, Inc. (APLE Quick QuoteAPLE - Free Report) , CoreSite Realty Corporation (COR Quick QuoteCOR - Free Report) and W. P. Carey Inc. (WPC Quick QuoteWPC - Free Report) . All these stocks sport the Zacks Rank #1 (Strong Buy).

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