Boston Properties (NYSE:BXP) has named Owen D. Thomas, currently chairman of the board of Lehman Brothers Holdings Inc., as its new CEO, effective April 2.
Thomas will replace current CEO and Boston Properties co-founder Mortimer B. Zuckerman, who's held the CEO post since 2010. After the leadership transition, Zuckerman will retain his role as Boston Properties' executive chairman. If Zuckerman remains employed by the company through July 1, 2014, he will be entitled to receive a lump-sum cash payment of $6.7 million and an equity award with a targeted value of $11 million, according to an SEC filing.
Prior to being named Boston Properties CEO, Thomas held several executive management positions with Morgan Stanley. Most recently, Thomas was chairman of the board of Lehman Brothers Holdings, the successor company to Lehman Brothers.
Zuckerman was quoted as saying in the company press release that the selection of Thomas followed a "very thorough" process. "I could not be more pleased that ... Owen Thomas will become our new CEO. He is an accomplished executive and well known throughout our industry, and he is the right person to lead the company for the future and to build on our success."
According to an SEC filing, Thomas' base salary will be $750,000 with an annual target bonus of 230% of the base salary. The employment agreement mandates that Thomas purchase shares of common stock of the company with a market value of $1 million. Thomas will "devote substantially all of his business time to the Company’s business and affairs, but will be allowed to continue certain outside positions."