Burnham Pacific Exec to Get $1.6 Mil Severance

SAN DIEGO-Burnham Pacific Properties, the REIT that has seen the value of its shares cut by more than half over the past 12 months, says it will pay a severancepackage of $1.575 million to outgoing CEO J. David Martin.

Martin resigned following a year of turmoil for the REIT thatcame to a head last week, when its board decided to liquidate thecompany’s remaining assets. Westbrook Real Estate Partners and BlackacreCapital, two of the company’s largest shareholders, had criticizedMartin’s management of the firm.

Martin’s severance package will be paid out over three years rather than in a lump sum, a Burnham Pacific official says.

The company turned down a $13.50-a-share takeover offer last year fromOhio retailer Jay Schottenstein, who later announced plans to seize controlof the board and topple management. The company then tried tofind a buyer that would pay as much or more than Schottenstein had originally offered, but finally gave up and decided to liquidate last week.