New boss to lead Ward Village development in Kakaako

Ward Village has a new executive overseeing development of the growing high-rise community in Kakaako.

Texas-based Howard Hughes Corp. announced Thursday that Doug Johnstone was promoted to replace Simon Treacy as the company’s Hawaii president heading Ward Village operations.

It is the second personnel change to the position in three years, and follows major revisions to the Ward Village master plan, completion of two new towers and some conflict over tower construction and operation.

Hawaii-born Johnstone, 37, joined Hughes Corp. in 2012 as development manager and was most recently senior vice president of development. Before joining the company, he was a development and investment manager at Kamehameha Schools, and prior to that was a vice president at California-based real estate investment firm Cyburt Hall Partners.

“Doug Johnstone has played an integral role in the successful growth of Ward Village since its inception,” Paul Layne, CEO of Hughes Corp., said in a statement.

Treacy, 51, joined Hughes Corp. as Hawaii president in 2018 and took over the role from David Striph, who led early development work at Ward Village since 2011.

Treacy was hired by Hughes Corp. after he moved to Hawaii after leaving the $6 billion New York-based real estate investment firm BlackRock where he was global chief investment officer and a managing director.

A native of Australia, Treacy said he moved to Hawaii with his wife from New York to provide a less harsh environment for their three young children. Hughes Corp. said Treacy plans to pursue different business ventures and spend more time with his family as originally planned when he moved here.

Layne, in his statement, said of Treacy, “I am grateful to Simon for positioning Ward Village as one of the strongest regions in our portfolio and for his role in priming Doug as his ready successor.”

Ward Village comprises 60 acres of largely retail and industrial property being transformed into a community with about 4,500 homes in 16 towers plus 1 million square feet of retail.

To date, four towers have opened, two more are under construction and another is designed and undergoing sales ahead of construction.

During Treacy’s term, Hughes Corp. canceled plans for two ultraluxury towers in favor of one tower and more open space on the same site, and revised conceptual plans to add elevated walkways through Ward Village and a federally funded pedestrian bridge over Ala Moana Boulevard connecting with Kewalo Harbor and Ala Moana Beach Park.

Hughes Corp. also has been embroiled in construction litigation with contractors for its first tower, Waiea, that arose under Striph’s leadership, and a second, now-settled case involving the third tower, Ae‘o, during Treacy’s tenure. After the fourth tower at Ward Village, Ke Kilohana, opened last year, condo owners have been trying to address operating expense shortfalls stemming from low maintenance fees that helped attract buyers but were dramatically underestimated by Hughes Corp.