Newport Beach-Based CEO of PM Realty Resigns

The Newport Beach-based chairman and chief executive officer of Houston real estate giant PM Realty Group has resigned, the company said Thursday.

PM Realty Group officials said Michael T. Lutton is leaving to pursue other interests within the real estate industry. However, sources within the company said Lutton’s unexpected departure stemmed from a difference of opinion over the direction of the company and conflict surrounding Lutton’s attempts to purchase privately held PM Realty.

Sources say Lutton is still involved in talks to purchase the company. Trusts related to the founders of Chicago-based Jupiter Realty Corp. own about two-thirds of PM Realty Group, a major property manager and real estate advisor.

Lutton has been replaced by Rick V. Kirk, PM Realty’s president and chief operating officer. Kirk declined to comment on Lutton’s efforts to buy the company, referring all questions to Lutton, who did not return calls.

Lutton, a former president of office and industrial properties for the Irvine Co., joined PM Realty Group in 1993 as vice chairman and CEO but remained in Newport Beach. In 1995, he became chairman when Walter Ross stepped down.

Under his leadership, the company branched out of property management, forming joint ventures with several other real estate companies, including Orange-based apartment manager and developer Western National Group. Western National and PM Realty Group have had merger discussions. Western National Chief Executive Mike Hayde could not be reached for comment, but Kirk said Lutton’s departure should not affect the possible venture.

From its 43 branch offices, PM Realty Group manages more than 120 million square feet of office, retail, industrial and residential real estate for institutional owners and investors.