Howard Hughes Holdings has established a special committee to review a potential buyout offer from Pershing Square Capital Management, the hedge fund run by Bill Ackman, which owns approximately 37.5% of the real estate developer, according to a report by MarketWatch.

Pershing Square's potential move to acquire the remaining shares of the company could be pursued either independently or in collaboration with other investors.

The special committee, composed of independent directors, will assess any proposals from Pershing Square and consider them as well as other strategic alternatives available to the company.

Pershing Square disclosed in a regulatory filing on Wednesday that it has hired investment bank Jefferies as an advisor to assist in exploring the buyout possibility. This move follows Howard Hughes’ recent spinoff of Seaport Entertainment Group, which has refocused the company solely on real estate.

Ackman, who retired as Howard Hughes' chairman in May, remains closely involved with the company’s future plans.