- Push-out Score determined
- After almost nine years in the position
- Praise and thanks for Weinreb
- Paul Layne taking over
- Weinreb said 73 words
(exechange) — Dallas, Texas, October 21, 2019 — David Weinreb, chief executive of Howard Hughes, leaves. As announced by Howard Hughes Corp. in a news release and in a regulatory filing published on Monday, October 21, 2019, David R. Weinreb leaves his post as Chief Executive Officer at the real estate development and management company after almost nine years in the role, effective immediately.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who announced their departure over the past 12 months was 7.2 years, according to data compiled by exechange.
David Weinreb’s duties as CEO will be taken over by Paul Layne, most recently President of the Central Region of The Howard Hughes Corporation.
David Weinreb’s move is part of a management shake-up also involving the position of President.
The management change is explained as follows. Howard Hughes said: “Following a thorough review of strategic alternatives, The Howard Hughes Corporation® (NYSE: HHC) today announced that it will execute a Transformation Plan, led by new executive leadership, comprised of three pillars: (1) a $45 – $50 million per annum reduction in overhead expenses, (2) the sale of approximately $2 billion of non-core assets, and (3) accelerated growth in the Company’s core MPC assets. Paul Layne, President of HHC’s Central Region, has been named Chief Executive Officer, effective immediately. Paul Layne will replace David R. Weinreb on the Board of Directors. David R. Weinreb and Grant Herlitz will step down from the company.”
Precise information regarding David Weinreb’s future plans was not immediately available.
Howard Hughes said: “David R. Weinreb and Grant Herlitz will step down from the company.”
Howard Hughes further said: “[O]n October 21, 2019, Mr. Weinreb and Mr. Herlitz stepped down from their roles as Chief Executive Officer and President of the Company, respectively.”
Share price decline
The announcement follows a decline in The Howard Hughes Corporation’s share price of 14% since October 2014.
Chaired by Bill Ackman
The Howard Hughes Corporation is chaired by Bill Ackman.
William Ackman is the CEO and Portfolio Manager of Pershing Square Capital Management, L.P., an SEC registered investment adviser founded in 2003. Pershing Square is a concentrated research-intensive fundamental value investor in long and occasionally short investments in the public markets.
In the position of CEO since 2010
David Weinreb became CEO of the Company in November 2010.
David R. Weinreb has served as a director and Chief Executive Officer since November 2010.
Known for his passion, tenacity and entrepreneurial spirit, Weinreb has directed the Company’s efforts since its emergence in 2010, building a competitive portfolio of some of the most sought-after real estate in the country.
His vision, leadership and acumen led him to be honored as the 2013 Ernst and Young Entrepreneur Of The Year® Award in Real Estate for the region.
In 2012, he was named as one of the Top 200 CEOs in the U.S. by ExecRank and in 2015 he was listed in the 2015 Commercial Observer Power 100 as one of the 100 most powerful people in New York City real estate.
A real estate industry veteran for over 30 years, Weinreb spent 17 years as Chairman and CEO of TPMC Realty Corporation, a company he built into a multi-faceted investment firm prior to joining the Company.
Located in Dallas, Texas, TPMC, whose tenant roster included many Fortune 500 companies, specialized in the acquisition and repositioning of underperforming real estate and real estate related assets across the United States.
In addition to development, ownership and management of real estate, the firm’s activities included mezzanine financing and private equity investing.
Weinreb attended New York University and began his real estate career in the 1980’s in New York City.
He is a member of the International Council of Shopping Centers and the Urban Land Institute.
He also serves on the Advisory Council of the Lusk Center for Real Estate at the University of Southern California.
His philanthropic interests are both local and national.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding the management change on a scale of 0 to 10.
exechange reached out to Howard Hughes and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 43.2019 ($).