Like a hunter on safari, the talent scout tracks his prey, zeroing in on the best and brightest executives for companies that buy or build the nation's highrises, shopping centers and apartment buildings. Patiently, the headhunter culls the herd of C-suite candidates for a powerful enterprise, snaring the one most suited to the firm's culture.

Today, the demand for experienced leaders is acute, as commercial real estate and investment firms expand, and baby boomers retire from corporate suites with a dearth of contenders to take their places. From February to April, commercial real estate job postings jumped by 35%, and more than 60% of recently polled senior executives expect an increase in their immediate hiring needs over 2006, says David Funk, director of Cornell University's real estate program.

So fierce is the competition that top candidates juggle multiple offers and companies thrust aggressive counter-offers to keep executives from leaving. Claire Janssen, a CPA with a lengthy resume of expertise in commercial real estate, was quietly going about her consulting business in Atlanta when a recruiter from New York-based Equinox Partners determined she might be perfect for a position in Arizona. During a December holiday season, the recruiter phoned to describe the job, but Janssen was engulfed in a whirl of family and business activities.

The talent scout persisted, and Janssen agreed to interviews. When she flew her daughter to Chicago to celebrate the girl's birthday with her grandmother, Equinox founder Tony LoPinto tracked her down and presented her with a contract. Now, Janssen is CFO of Opus West, part of the $2.1 billion Opus Group, a development company, and her family has relocated to Phoenix.

Other firms had tried to recruit Janssen, but she liked the Opus culture, and relished a chance to guide its evolving Western finance operation. In persuading her to consider the job, she says that Equinox “didn't leave any stone unturned.”

Who's in demand?

Across the country, as capital cascades into commercial real estate, spurring development and investment amid the shortage of new talent, firms are hiring executives to manage their growth and oversee new divisions and projects. Some companies need visionaries to preside over billion-dollar empires as the baby boomers retire from C-suite positions — jobs with “chief” in the title, such as chief executive or chief financial officer.

On the development side, CEOs call for skilled negotiators and deal makers, people with connections who can find raw land and persuade local governments to rezone it or dangle incentives to build. On the finance side, though job specs vary, hiring managers scout CPAs and contenders with master's degrees, experienced at legal due diligence, acquisitions and asset management.

The best candidates in a recent search commissioned by Houston-based Raintree Resorts International could analyze financial data and make strategic recommendations, says recruiter John Mann of The Alexander Group in Houston. Among traits he sought: “Are they results oriented? Can they gain the respect of senior management? Can they lead groups of people?”

Leadership vacancies can crop up swiftly. Starwood Hotels & Resorts dismissed CEO Steven J. Heyer and announced in a revised 2006 annual report that he had resigned on March 31, 2007. The board of directors lost confidence in Heyer's leadership and management style, despite “exceptional results” for Starwood's hotel portfolio and 19.2% growth in its vacation ownership business, Chairman Bruce W. Duncan noted in the report. Starwood declined to discuss its search for a new CEO.

Good news for job seekers

For job candidates, 2007 has been a very good year thus far, with the dramatic upsurge of postings. The Southeast, particularly Atlanta and Charlotte, posted the fastest industry job growth of any region from February to April, a 60% increase, according to SelectLeaders, a program created by Cornell and Equinox, which teamed up to offer an online job board and chart industry hiring trends.

Most senior executives polled expect compensation for new hires at all levels to rise this year. Banking and multifamily decision-makers were particularly optimistic, with up to 75% of executives in those sectors predicting an increase in hiring and compensation. Even the relatively small self-storage and affordable housing sectors strongly anticipated hiring. And salaries for grads of master's degree programs specializing in real estate have risen 20% over the last three years, outpacing other MBAs, according to SelectLeaders.

At the pinnacle, top real estate and investment firm executives already enjoy enviable pay packages. The elite group numbers about 25,000, LoPinto estimates, since the 1,000 largest U.S. commercial real estate and investment firms may have five or six C-suite people, and 20 senior-level executives running departments and divisions. As the competition for candidates simmers, companies are ratcheting up the value of pay packages. The booming job market indicates that commercial real estate has been unscathed by the slowdown disturbing the residential market. Headhunters will continue to prowl, armed with hard-to-refuse offers.

“Smart executives should always assume and expect that their best talent is being approached to better their opportunities,” says LoPinto. “If someone leaves their head in the sand and thinks it's not happening, they're making a big mistake. I think companies need to be more aggressive about managing their current talent pool and making sure they're compensated appropriately, and they're challenged and promoted appropriately so that they are less interested in hearing about other opportunities.”

When Mann conducts a search for The Alexander Group, 90% of the people he contacts are not looking for jobs. He studies the client firm to get a sense of the culture and the personality that might fit, and casts a wide net over as many as 300 potential candidates, identifying them through his database and recommendations. Some recruiters use e-mail and video interviews to save time and money in evaluating prospects. After assessing skills, holding phone interviews and a frequent-flyer round of meetings with finalists, Mann winnows out five or six names to present to his client.

Potential deal-breaker

Relocation is a flash point for candidates, and has killed countless deals and tested others. When Raintree Resorts needed a CFO a few months ago, Mann found one — in Orlando. Myron Thomas, who has an MBA from Wharton, was happily employed at CNL Income Properties, an unlisted real estate investment trust (REIT), when Mann came knocking.

“He has the credentials, he's a CPA. He was with a Big Four accounting firm early on, so he had a great background. What was equally important, maybe even more important, is the person. Myron's just a great person,” says Mann.

Raintree, which buys timeshare resorts in the United States, Canada and Mexico, sought a strategic adviser for CEO Doug Beck. “Doug was really looking for a partner in the company. Not an equity partner, but a person to bounce ideas off,” the talent scout explains.