Laurence Rapp CEO of Vukile Property Fund is among the CEOs of some of the biggest property firms listed on the JSE who are earning a collective R254,247 per day. Picture:Nokuthula Mbatha/Independent Newspapers
Five of the biggest property firms listed on the Johannesburg Stock Exchange have a combined market capitalisation of R119.9 billion, which means that the chief executives are earning a combined R254,247 per day.
According to BusinessTech, the total overall remuneration of the property CEOs included guaranteed pay, benefits, short-term incentives and long-term incentives.
Laurence Rapp, the CEO of Vukile Property, received a total remuneration package of R23.2 million including a base salary, short-term incentives, cash bonuses, benefit and long-term incentive plans. This is around R63,562 a day.
Norbet Sasse, CEO, of the largest property company on the JSE, Growthpoint Properties had a total remuneration of R22.4 million or R61,379 a day. Andrew Konig, CEO, Redefine Properties earned R17.6 million or R49,589 per day.
The total remuneration of Des de Beer, CEO, Resilient Reit was R17.6 million or R48,219 a day while Morne Wilken, CEO, Hyprop earned R11.5 million or R31,507 per day.
Globally and in South Africa CEOs face different challenges, the PwC 27th Annual Global CEO Survey 2023 reported.
According to the survey, 40% of CEOs in the country identified inflation as the top threat to how they create and deliver value.
Other challenges that have an impact on how SA CEOs deliver value include macroeconomic volatility (40%); technological change (48%); and government regulations and competitor actions (44%).
These factors have a significant impact on the performance of businesses in the country.
Rapp said the biggest challenge that the property industry faced was “accessing capital at a cost that makes deals accretive.”
Sasse said that the challenges that the property market is facing include low domestic growth, volatile global markets due to interest rates that stay higher for longer and rising geopolitical tensions.
IOL Business