Form 4: Clipper Realty Executive Awarded Long-Term Incentive Plan Units

Jacob Schwimmer, Chief Property Management Officer of Clipper Realty Inc., received 51,020 long-term incentive plan units that will vest on January 1, 2027.

Summary

• Jacob Schwimmer, Chief Property Management Officer of Clipper Realty Inc., was granted 51,020 Long Term Incentive Plan Units (LTIP Units) on March 12, 2024.
• These LTIP Units are a class of units of Clipper Realty L.P., a direct subsidiary of Clipper Realty Inc.
• The LTIP Units will vest in full on January 1, 2027, and can then be converted into an equivalent number of Operating Partnership Units (OP Units).
• Each OP Unit is redeemable for cash equal to the price of a share of Clipper Realty Inc.'s common stock, or at the company's election, one share of its common stock.
• Following this transaction, Mr. Schwimmer beneficially owns 590,000 shares of Clipper Realty Inc.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, suggesting a stable and well-managed company. The sentiment is neutral to positive.

Positives

• The granting of LTIP Units aligns Mr. Schwimmer's interests with the long-term performance of Clipper Realty Inc.
• The vesting date of January 1, 2027, encourages long-term commitment from the executive.

Future Outlook

The LTIP Units are designed to incentivize long-term performance and value creation for Clipper Realty Inc.

Industry Context

Granting long-term incentive plans is a common practice in the real estate industry to align executive compensation with company performance and shareholder value.

Stakeholder Impact

• The LTIP Units aim to align management's interests with those of shareholders by incentivizing long-term value creation.
• Employees may view the granting of LTIP Units as a positive sign of the company's commitment to its executives.

Key Dates