3 Brixmor Execs Out; Hurwitz Interim CEO

Hurwitz is also joining Brixmor’s board of directors.

NEW YORK CITY—CEO Michael Carroll and two other top executives at Brixmor Property Group have resigned effective immediately following an internal audit that revealed accounting irregularities. Daniel Hurwitz, formerly CEO at DDR Corp., will replace Carroll on an interim basis and will also serve on the shopping center REIT’s board.

Also out at Brixmor are president and CFO Michael Pappagallo and chief accounting officer Steven Splain, along with another accounting employee. The resignations follow an internal audit committee’s discovery that employees were “smoothing” income items, both up and down, to make quarterly NOI more consistent. However, Brixmor said Monday it doesn’t expect to be required to restate historical financial results.