Form 4: Sabra Health Care REIT Executive Receives Stock Units

Michael Lourenco Costa, Executive VP, CFO & Secretary of Sabra Health Care REIT, was granted 37,477 stock units under the company's 2009 Performance Incentive Plan.

Summary

• Michael Lourenco Costa, an executive at Sabra Health Care REIT, received 37,477 stock units on December 27, 2024.
• These stock units were granted under the company's 2009 Performance Incentive Plan.
• The units vest in four equal installments of 25% each on December 31st of 2025, 2026, 2027, and 2028.
• The vested units will be paid out in shares of Sabra's common stock on a one-for-one basis in 2029, with earlier payment possible under certain circumstances such as separation from service, death, disability, or change of control.
• Mr. Costa also holds 191,547 stock units that will be settled in shares of common stock.

Sentiment

Score: 7

Explanation: The document reflects a routine executive compensation practice, which is generally viewed neutrally to slightly positive as it aligns management with shareholder interests.

Positives

• The grant of stock units aligns Mr. Costa's interests with the long-term performance of the company.
• The vesting schedule encourages continued service and commitment from the executive.

Future Outlook

The stock units will vest over the next four years and be paid out in 2029, subject to certain conditions.

Industry Context

This is a standard practice for executive compensation in publicly traded companies, particularly REITs, to align management's interests with shareholder value.

Comparison to Industry Standards

• Granting stock units with a vesting schedule is a common practice among publicly traded companies, including REITs like Welltower (WELL) and Ventas (VTR).
• These companies also use similar performance-based equity awards to incentivize their executives.
• The vesting schedule of 25% per year is also a typical structure for these types of grants.

Stakeholder Impact

• Shareholders may view this as a positive sign of aligning management's interests with the company's long-term performance.
• Employees may see this as a standard practice for executive compensation.

Key Dates

Keywords

stock units, Sabra Health Care REIT, executive compensation, performance incentive plan, vesting, equity, Michael Lourenco Costa