According to a news release from the company, the plan is aimed to reduce overhead expenses by about $45 million to $50 million per year.
The Howard Hughes Corp.’s regional office in The Woodlands is currently located at 2 Hughes Landing Blvd.
“The Woodlands is a natural choice for the relocation of our corporate headquarters—it is our largest regional office and is one of our most successful master-planned communities," Chief Financial Officer David O’Reilly said in a phone interview.
The company also announced new leadership with Paul Layne as the new CEO, replacing David R. Weinreb. The company’s organizational structure will change from a holding-company type to a more decentralized, regional management system, according to a Howard Hughes Corp. news release.
The new plan will create a more lean and focused company built around its master-planned communities such as The Woodlands, according to the company.
It will also require more office space and will need to accommodate additional employees, although exact numbers for each were not yet available from the company this week.
“Our existing offices in The Woodlands are primarily located on one floor of Two Hughes Landing; we know that we will need additional space to accommodate the increased number of employees who will be working at our new headquarters," O'Reilly said.
According to The Woodlands Area Economic Development Corp., Howard Hughes Corp. employed 104 people in The Woodlands in 2018.
O'Reilly said Howard Hughes Corp.'s office portfolio in The Woodlands is almost fully leased.
“We are very proud of The Woodlands, which exemplifies the type of vibrant community that makes up the core of our Howard Hughes portfolio," O'Reilly said. "Our experience from a business perspective has been phenomenal, and the growth that we've experienced has been nothing short of dynamic. We are following in the footsteps of our many corporate tenants who have already made the decision to call the community home. The fact that our Woodlands office portfolio, which is over 2.3 million square feet, is approximately 95% leased is a testament to the quality of the community’s live/work/discover lifestyle.”