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Robert McCarthy

Trustee at RLJ Lodging Trust
Board

About Robert J. McCarthy

Independent trustee of RLJ Lodging Trust since February 2018; age 71 as of March 24, 2025. Former Chief Operations Officer and Group President of the Americas at Marriott International, with oversight of 4 continental divisions and 20 brands. Currently Chairman of McCarthy Investments, LLC and Chairman of Hotel Development Partners; B.S., Business Administration, Villanova University. Core credentials: deep lodging operations, revenue management, brand and construction oversight, and hotel M&A/dispositions experience .

Past Roles

OrganizationRoleTenureCommittees/Impact
Marriott International, Inc.Chief Operations Officer; previously Group President, AmericasThrough 2014 (retired 2014)Oversight of global lodging services, Ritz-Carlton; responsibility for ~4,000 hotels across 20 brands
Meeting Play (hospitality tech)Director (prior)Not disclosedIndustry technology exposure

External Roles

OrganizationRoleTenureNotes
McCarthy Investments, LLCChairman2014–presentFocused on cyber/corporate intelligence and early/mid-stage tech investments
Hotel Development PartnersChairman2014–presentJV acquiring/developing premier-branded select-service hotels
Santander Consumer USA (NYSE: SC)Director (prior)Within past five yearsPrior public company board service; no current public boards disclosed for McCarthy

Board Governance

  • Independence: The Board affirmatively determined McCarthy is independent under NYSE and SEC rules .
  • Committee assignments: Audit Committee member; Nominating & Corporate Governance Committee member .
  • Attendance and engagement: Board and applicable committee meeting attendance was 100% for all trustees in 2024; all trustees also had 100% attendance at the 2024 annual meeting .
  • Committee focus areas tied to his roles: Audit Committee oversight includes financial reporting integrity, internal controls, related-party transaction review, and cybersecurity/IT risk; Nominating & Governance oversees board operations, governance policy, and ESG oversight .
  • Executive sessions: Non-management/independent trustee executive sessions are held at each regular Board and committee meeting; presided over by the Lead Independent Trustee .

Fixed Compensation (Director)

Component2024 Amount/DetailNotes
Annual cash retainer (Board)$80,000Standard for non-employee trustees
Committee fees$10,000 (Audit member); $7,500 (Nominating & Governance member)Matches disclosed schedule; sums to $97,500 cash fees earned for McCarthy
Committee chair fees$0Not a chair
Equity (annual grant)$130,000 target; $127,681 grant-date fair value (11,711 restricted shares)Granted 2024; vests ratably on first four quarterly anniversaries; as of 12/31/24, each non-employee trustee held 5,856 unvested restricted shares
Meeting feesNone disclosedNo per-meeting fees disclosed
PerquisitesUp to $12,500 hotel allowance (if used)McCarthy’s “All Other Compensation” was $3,015 (dividends only), indicating no hotel allowance usage in 2024

Total 2024 Director Compensation for McCarthy: $228,196 (Cash $97,500; Share awards $127,681; All other $3,015) .

Performance Compensation (Director)

Award TypePerformance MetricsPayout CurveVesting
Restricted Shares (time-based)N/A (no performance metrics for directors)N/AQuarterly ratable vesting over 1 year for annual director grant

The Company employs rigorous performance metrics (EBITDA, TSR) for executives; director equity is time-based to align interests without short-term incentives .

Other Directorships & Interlocks

CompanyRoleCommittee RolesInterlocks/Notes
Santander Consumer USA (NYSE: SC)Director (prior, within past five years)Not disclosedNo 2024 Compensation Committee interlocks at RLJ; RLJ’s Compensation Committee comprised Bayh, Davis, Collins and reported no interlocks

Expertise & Qualifications

  • Lodging operating excellence (revenue management, sales, marketing, brand, architecture & construction, information services) .
  • Transactional experience in hotel acquisitions/dispositions; contributes to Audit and Nominating & Governance oversight through deep industry operating lens .
  • Audit oversight context includes cybersecurity risk familiarity via committee remit .

Equity Ownership

HolderBeneficial Ownership (Shares/OP Units)% of Shares OutstandingUnvested Restricted Shares (12/31/24)Ownership Guidelines Status
Robert J. McCarthy62,789<1%5,856Trustees must hold 5x base annual cash retainer; as of 12/31/24, all trustees met the guideline except Ms. Zeigler (within the 5-year transition)
  • Anti-hedging/pledging: Company policy prohibits hedging or pledging of securities .

Insider Trades (Form 4)

DateFormTransactionAmount/PriceNotes/Source
Apr 29, 2024Form 4Receipt of director annual restricted share grant11,711 RS; grant-date fair value $127,681Director equity program; vesting quarterly; filing available via SEC and RLJ investor site

Governance Assessment

Strengths

  • Independent trustee with 100% Board and committee attendance in 2024; active on Audit and Nominating & Governance, the two committees most directly tied to financial integrity, related-party review, board composition, and ESG oversight .
  • Relevant, high-credibility lodging operator background from Marriott, supporting oversight of capital allocation, conversions, and portfolio optimization .
  • Alignment mechanisms: annual equity in RLJ stock; robust ownership guidelines for trustees; company-wide prohibitions on hedging/pledging; presence of clawback policy at the executive level, and strong shareholder support for pay program (91% 2024 say-on-pay) bolstering governance sentiment .

Watch items

  • External chair roles in hotel investment/development (Hotel Development Partners) create theoretical conflict potential if transactions with RLJ were contemplated; no related-party transactions involving McCarthy were disclosed for 2024. Audit Committee monitors related-party transactions under a formal policy .
  • Concentrated industry background is a strength for strategy but increases importance of continued independence vigilance; current independence affirmed by the Board .

Notes on Related-Party Exposure

  • The proxy discloses related-party items involving RLJ Companies (Executive Chairman’s affiliate) such as a sublease and shared employee costs; no McCarthy-related transactions were disclosed. Related-party transactions are reviewed annually under a formal policy and overseen by the Audit Committee .

Board Context Signals

  • 2024 Board/committee meetings: Board (4), Audit (4), Compensation (7), Nominating & Governance (4), with 100% attendance across trustees—indicates high engagement and coordinated oversight cadence .
  • Independent oversight reinforced by separate Executive Chairman and CEO roles, Lead Independent Trustee, annual elections, and majority voting standard—supportive of investor confidence in board process quality .