Sheila K. McGrath
About Sheila K. McGrath
Sheila K. McGrath, age 60 as of the May 20, 2025 meeting, is an Independent Director of Mid-America Apartment Communities (MAA), appointed in September 2024 and nominated for election at the 2025 Annual Meeting. She is a former Senior Managing Director at Evercore ISI covering U.S. equity REITs and related real estate vehicles, bringing deep capital markets, valuation, and multifamily REIT sector expertise to MAA’s Board .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| Evercore ISI | Senior Managing Director; covered U.S. equity REITs, REOCs, and Mexican FIBRAs | 2012–2022 | Sector-leading REIT research; capital markets and valuation expertise |
| Keefe, Bruyette & Woods | Managing Director; Sector Head for REIT research; member of Research Review and Leadership Committees | 2007–2012 | Research governance, leadership, and sector strategy |
| Smith Barney; UBS | Equity research analyst covering REITs and REOCs | 1994–2007 | REIT and real estate operating company analysis |
| Commercial Real Estate Appraisal | Appraiser; feasibility studies across sectors | Began 1989 | Ground-up asset valuation and development feasibility |
External Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| Alexandria Real Estate Equities | Director | 2023–Present | Public REIT board service; audit committee experience noted in skills matrix |
| Granite Point Mortgage Trust | Director | 2023–Present | Mortgage REIT perspective; capital markets alignment |
| Mew Mountain Net Lease Trust | Director | 2024–Present | Net-lease sector exposure; governance contribution |
| Nareit | Advisory Board of Governors; Real Estate Investment Advisory Council; prior Best Financial Practices Council | Ongoing | Industry standards, public REIT history, and best-practice governance |
Board Governance
- Independence: The Board determined all Director Nominees other than the Executive Chairman and CEO are independent; McGrath is listed as Independent .
- Committee assignments: Compensation Committee member and Real Estate Investment Committee member .
- Attendance: In 2024, each director attended more than 75% of Board and respective committee meetings; average attendance was 97.4% . Board/committee meetings in 2024: Board 4, Independent 4, Non-Management 4; Audit 7; Compensation 6; Nominating & Corporate Governance 5; Real Estate Investment 7 .
- Lead Independent Director and executive sessions: Lead Independent Director oversees Independent and Non-Management sessions following each routine Board meeting; Directors meet regularly without management .
- Director refreshment: McGrath was appointed September 2024 as part of long-term director succession planning .
Fixed Compensation
| Component | Amount/Structure | Notes |
|---|---|---|
| Annual Board cash retainer | $80,000 | 2024–2025 service period; paid quarterly |
| Committee cash fees | Audit Chair $30,000; Audit member $12,000; Compensation Chair $22,500; Compensation member $9,750; NCG Chair $20,000; NCG member $8,250; REI member $8,500; Lead Independent $35,000 | Increased in 2024–2025 to align with median benchmarks |
| Director equity grant | ~$170,000 value | Restricted stock granted annually; vests at end of term; dividends paid prior to vesting |
| 2024 realized compensation (McGrath) | Fees $24,563; Stock Awards $127,471; All Other Compensation $2,320; Total $154,353 | Partial-year participation after September 2024 |
| 2024 equity grant details (McGrath) | 789 shares; grant date Sept 25, 2024; at $161.56; fair value $127,471 | Vests May 21, 2025 if continued service |
Performance Compensation
| Component | Performance Metrics | Vesting/Terms |
|---|---|---|
| Annual Director equity grant | None (not performance-based) | Restricted stock vests at end of annual term; dividends paid prior to vesting |
| Director Deferred Compensation Plan | None (deferral election by Director) | Can defer cash fees and/or equity grants into RSUs; paid post-board retirement in two annual installments |
Other Directorships & Interlocks
| Company | Sector | Potential Interlock/Conflict |
|---|---|---|
| Alexandria Real Estate Equities | Life science office REIT | No related party transactions proposed since 2024; none disclosed |
| Granite Point Mortgage Trust | Mortgage REIT | No related party transactions proposed since 2024; none disclosed |
| Mew Mountain Net Lease Trust | Net-lease REIT | No related party transactions proposed since 2024; none disclosed |
- Compensation Committee interlocks: McGrath served on MAA’s Compensation Committee in 2024; no relationships requiring Item 404 disclosure; no insider participation .
Expertise & Qualifications
- Capital markets and valuation: Decades of REIT research leadership at Evercore ISI and prior firms; strong financial literacy and public company platform experience .
- Multifamily REIT and commercial real estate domain knowledge: Extensive coverage history of MAA and multifamily sector; appraisal background supports underwriting rigor .
- Governance and investor perspective: Service on Nareit governance bodies; audit committee experience; shareholder viewpoint injected into Compensation Committee deliberations .
Equity Ownership
| Ownership Element | Amount | Notes |
|---|---|---|
| Total beneficial ownership | 797 shares; <1% of class | Includes 797 shares held in a deferred compensation account |
| Unvested restricted stock outstanding (12/31/2024) | 789 shares | 2024 partial-year grant; vests May 21, 2025 |
| Pledging/Hedging | Prohibited by policy; no exceptions post-Annual Meeting | Company policy prohibits short sales, derivatives, hedging, margin, and pledging; one grandfathered pledge will cease being represented on Board after Annual Meeting |
| Ownership guidelines | 5x annual cash retainer within 5 years; reported 100% compliance | Directors must meet guideline within five years; Board reports full compliance and a holding-period requirement for NEOs |
Governance Assessment
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Board effectiveness: McGrath strengthens capital markets and investor-aligned governance on Compensation and Real Estate Investment committees; she brings public REIT audit experience and extensive multifamily domain expertise .
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Independence and conflicts: Independent status; no related party transactions proposed since beginning of 2024; no waivers granted; no material relationships for non-employee Directors in 2024 .
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Engagement and attendance: Board/committee cadence is robust; directors (including part-year) exceeded 75% attendance with 97.4% average across 2024; executive sessions provide independent oversight and candid deliberation .
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Compensation alignment: Non-employee director pay uses cash plus time-vested equity; Pearl Meyer engaged; consultant independence affirmed; program moved toward peer median without performance risk-taking elements for directors .
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Ownership alignment: Strong ownership and anti-hedging/pledging policies; reported 100% compliance with ownership and holding-period requirements; deferral elections available and used (McGrath holds 797 shares in deferred account) .
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Shareholder signals: Say-on-pay approved annually since 2011; 91% approval in 2024; reflects investor support for overall compensation governance framework .
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RED FLAGS:
- Director load: McGrath sits on three other public boards—the maximum permitted under MAA’s governance guidelines—which is compliant but warrants monitoring for bandwidth and potential time constraints .
- No related-party transactions or hedging/pledging involving McGrath disclosed; policies and committee oversight mitigate these risks .
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Overall implication: McGrath’s capital markets and REIT research pedigree, independent status, committee roles, and ownership alignment are positives for investor confidence. The three-board commitment is within policy but sits at the upper limit, meriting observation during periods of elevated market or company activity .