Mark Steinert brought passion to his role as Stockland CEO

Mark Steinert is stepping down as Stockland CEO after more than seven years in the job. Picture: Renee Nowytarger

In his more than seven years leading Stockland, Mark Steinert has attempted to reposition the $8.6 billion company. But the reality is that over that time, its stock has underperformed the market by 40 per cent.

Its stock price today is at $3.59, broadly where it was when Steinert started in January 2013, although of course it’s been higher and was at $5.47 in March this year.

The questions asked of Steinert belie the fact that he has done a lot, but the doubters rely on the fact Stockland is a diversified property company with an underperforming retirement portfolio, and still too big a weighting in retail.

The outgoing CEO would defend those charges, noting the big increases in his logistics portfolio which accounts for 26 per cent of the group with a $4.4 billion growth pipeline.

The star of the show is residential, in which Stockland holds a 16 per cent market share, five times the size of its nearest competitor.

Steinert has sold $1 billion in underperforming retail assets and made landmark changes to the entire group, including digitising the business.

Group cash returns of eight per cent are led by residential at 21 per cent, compared with around five per cent for both retail and retirement.

Steinert has also gone a long way to improving the retail assets known as town centres, where he created a community start-up culture.

One of the ventures that excites Steinert most is an AI-based hydroponic vegetable farm, POD Farm.

A shopping centre can become a hi-tech incubator, just as his residential villages can spawn new ideas. A base in the local town centre means the start-up is working with the community that potentially will be its market.

Steinert’s approach to these ventures also tells you a bit about his passion for the company and its assets.

Still, after more than seven years in the game he figures it’s time for some “fresh legs” to take Stockland forward.

The company has had remarkably stable leadership, when you consider Steinert replaced Matthew Quinn, who had run the company for 12 years.

The job is now before chair Tom Pockett to find a new boss and Steinert will stay to handle the transition.

This tells you the departure fits his timing.

With Steinert aged just 53, the odds of another executive career are long. But after learning the ropes in commercial real estate and then investment banking, just where he goes next remains to be seen.