The Woodlands Edition - December 2019

BUSINESS

Howard Hughes Corp.’s three hospitality holdings in The Woodlands account for about 40% of the hotel rooms in the township and almost half its hotel meeting space.

HOWARD HUGHES in The Woodlands

Howard Hughes Corp. considers selling hospitality holdings in The Woodlands

residential communities, is now executive vice president of that division and is responsible for leading development in the Greater Houston region, according to a company news release. The company’s goals include decreasing overhead expenses by  million to  million annually, although the one-time costs associated with relocating the headquarters are approximately  million to  million, according to the release. The relocation costs will largely take place in the fourth quarter of , the company said. The possible sale of The Woodlands hospitality properties is part of its plan to refocus its development activities in master-planned communities, including The Woodlands. Nick Wolda, the president of Visit the Woodlands—the convention and visitors bureau for The Woodlands Township—said he does not expect the sale of the properties to adversely aect the township’s hospitality trade. The Woodlands has a total of  hotels totaling about , rooms,  of which are accounted for in the three Howard Hughes properties. They also account for about , of the , square feet of meeting space in The Woodlands. “We have full faith ... that these properties would maintain that high level of attraction and customer service,” Wolda said. “These hotels ... are doing well in the market share, and they are either new or completely

BY VANESSA HOLT

THEWOODLANDS RESORT

Howard Hughes Corp. is exploring selling some of its The Woodlands hos- pitality holdings as part of a restruc- turing plan announced in October that includes moving its headquarters from Dallas to The Woodlands. “We have identied approximately  billion of noncore assets to sell over the next - months,” the company stated in a Nov.  email. “The Wood- lands hospitality portfolio is on the list of select master-planned community assets under consideration.” The Howard Hughes hospitality portfolio in The Woodlands includes The Woodlands Resort, The Westin at The Woodlands and Embassy Suites at Hughes Landing. “With that said, we still expect future retail and hotel development opportunities in our [master-planned communities] where we can drive signicant value creation. We will continue to pursue these opportunities but will be thoughtful about the structure,” the company said in the November statement. According a previous news release in October, the company’s restructuring plan aims to reduce overhead and move from a holding company-type organizational structure to a regional management model. The company in November announced promotions for leadership

of meeting space 2015 60,000 SQ. FT. RENOVATED

BUILT 1974

402

rooms

33

golf course 36-HOLE

meeting rooms

THEWESTIN AT THEWOODLANDS

OPENED

of meeting space 15,000 SQ. FT.

2016

302

16

rooms

meeting rooms

EMBASSYSUITES

205

5

OPENED

of meeting space 3,360 SQ. FT.

2016

rooms

meeting rooms

Company footprint changing

Howard Hughes Corp.’s move to The Woodlands is part of a plan to reduce overhead and concentrate on master-planned communities, according to the company.

104 EMPLOYEES in The Woodlands area in 2018

OFFICES NOWAT 2 Hughes Landing Blvd., The Woodlands Plans to SELL $2 BILLION in core assets

in the Greater Houston area. Jim Carman, previously senior vice

Plans to reduce overhead expenses by $45MILLION-$50MILLION /year

president of commercial development, was named president of the company’s Central Region. Heath Melton, who was senior vice president of master-planned

renovated. ... We really don’t see anything changing on our part.”

SOURCES:HOWARDHUGHESCORP.,THEWOODLANDSECONOMICDEVELOPMENTPARTNERSHIP/ COMMUNITY IMPACTNEWSPAPER

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The Woodlands edition • December 2019

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