Cushman & Wakefield’s John Forrester is to retire from his role as CEO and company board director at the end of June following 35 years at the firm.
He will be replaced by current president and chief operating officer Michelle MacKay on 1 July. Forrester will act as a strategic advisor to the business until 31 December 2023.
Brett White will remain as executive chairman of the board and Andrew McDonald, currently president of Cushman & Wakefield, has been appointed to the board in the expanded role of global president and chief operating office overseeing all of Cushman’s service lines and regions.
Forrester said: “It has been an honour to lead Cushman & Wakefield as CEO through its post-Covid transitionary period, which underscored the firm’s industry leadership, our core values and strengths and culminated in record company revenue and EBITDA in 2022. I am proud of our great company and what our Cushman & Wakefield colleagues around the world have accomplished. I have great confidence in Michelle as a proven leader who will offer the firm exceptional vision, strategy and direction for achieving its performance and growth goals.”
White added: “On behalf of Cushman & Wakefield’s board of directors, I thank John for his dedication and service to the firm and to the commercial real estate services industry over his long and distinguished career. John is a revered industry leader known for his integrity, work ethic and deep client knowledge. His tremendous efforts over the past several years have strengthened the firm’s foundation and culture and the Board is sincerely grateful for his contribution.”
“The board is pleased that Michelle MacKay will succeed John as CEO. Michelle has an impressive track record of creating substantial value for shareholders and clients through her deep expertise in commercial real estate and corporate strategy.
“In their new roles, the combination of Michelle and Andrew – who also has played a pivotal role in the firm’s profitability, growth and development of new strategic opportunities – creates a formidable leadership team that is uniquely qualified to steer evolution within the commercial real estate services industry. We are confident that their leadership will significantly advance the firm’s operational excellence and ability to deliver long-term growth.”
MacKay said: “I’m looking forward to leading this great firm through its next chapter of strategic growth. Cushman & Wakefield’s unique entrepreneurial culture and employee expertise position us to not only successfully navigate the current challenges in commercial real estate services, but to also deliver long-term value, profitability and growth. I look forward to partnering with Andrew and collaborating with our teams around the world to amplify our positive impact for clients, shareholders and the cities and communities in which we operate.”
The news came as Cushman & Wakefield reported first quarter revenue and service line fee revenue decreased by 4% and 12% respectively compared with the first quarter of 2022. Leasing and capital markets activity declined by 20% and 51% respectively in the first quarter of 2023. In the same period, the company generated $21m of gross cost savings and said it expected to realise annualised gross cost savings of $90m for the full year.
Forrester said: “Despite a challenging macroeconomic environment, Cushman & Wakefield’s teams around the world continue to deliver outstanding service and value to our clients, helping them navigate this complex landscape.
“During the first quarter, our global diversified portfolio, especially in our recurring revenue service lines, helped mitigate the impact of lower demand for transactional services in our industry. We are keenly focused on operating efficiency and strengthening our market position in the current environment. We remain well-positioned to execute on our strategic priorities given our strong balance sheet, liquidity and commitment to creating value for our clients and shareholders.”
