It is understood that when Mr Hughes called to the door of this property it was answered by the chief suspect's girlfriend.
Gardai are working on the theory that Mr Hughes threatened the young woman with the machete.
Events escalated when the suspect witnessed this happening and armed himself with a knife, ran down the stairs of the property and fatally stabbed Mr Hughes up to four times.
The main suspect, a 20-year-old-local man, was arrested by gardai at the scene a short time later.
He is currently being questioned at Blanchardstown Garda Station and officers have confirmed that they are following a definite line of enquiry in the case.
Mr Hughes was well known to local gardai and he had been arrested in relation to a serious assault in the locality earlier this month.
He was also suspected of being a minor player in the local drugs trade.
Sources have confirmed that this morning's stab attack is not linked to the earlier assault, in which the victim was left with serious head injuries.
Mr Hughes' father, Rory Lyons (44) is a well known drug dealer who was jailed for eight years in July 2007 after being caught with €500,000 worth of cocaine along with a mixing agent, industrial compressor and other drug paraphernalia.
A senior source said: "This was a very unfortunate incident which started when an argument got completely out of hand.
"The victim armed himself with a very serious weapon and called to the house and then threatened a female occupant there which in turn led to him being stabbed to death."