Exhibit 3.77

		State of California Secretary of State		File #   200513110256
				FILED
				In the office of the Secretary of State
				of the State of California
LIMITED LIABILITY COMPANY				MAY – 9 2005
ARTICLES OF ORGANIZATION
A $70.00 filling fee must accompany this form.
IMPORTANT – Read instructions before completing this form.				This Space For Filling Use Only
ENTITY NAME (End the name with words “Limited Liability Company,” “Ltd. Liability Co.,” or the abbreviations “LLC” or “L.L.C.”)
1.	NAME OF LIMITED LIABILITY COMPANY
	Kimball Hill Sheldon Lakes, LLC
PURPOSE (The following statement is required by statute and may not be offered.)
2.	THE PURPOSE OF THE LIMITED LIABILITY COMPANY IS TO ENGAGE IN ANY LAWFUL ACT OR ACTIVITY FOR WHICH A LIMITED LIABILITY COMPANY MAY BE ORGANIZED UNDER THE BEVERLY-KILLEA LIMITED LIABILITY COMPANY ACT.
INITIAL AGENT FOR SERVICE OF PROCESS (If the agent is an individual, the agent must reside in California and both items 3 and 4 must be completed. If the agent is a corporation, the agent must have on file with the California Secretary of State a certificate pursuant to Corporations Code section 1505 and Item 3 must be completed (leave Item 4 blank).
3.	NAME OF INITIAL AGENT FOR SERVICE OF PROCESS
	CT Corporation System
4.	IF AN INDIVIDUAL, ADDRESS OF INITIAL AGENT FOR SERVICE OF PROCESS IN CALIFORNIA				CITY			STATE CA	ZIP CODE
MANAGEMENT (Check only one)
5.	THE LIMITED LIABILITY COMPANY WILL BE MANAGED BY:
	ý ONE MANAGER
	o MORE THAN ONE MANAGER
	o ALL LIMITED LIABILITY COMPANY MEMBER(S)
ADDITIONAL INFORMATION
6.	ADDITIONAL INFORMATION SET FORTH ON THE ATTACHED PAGES, IF ANY, IS INCORPORATED HEREIN BY THIS REFERENCE AND MADE A PART OF THIS CERTIFICATE.
EXECUTION
7.	I DECLARE I AM THE PERSON WHO EXECUTED THIS INSTRUMENT, WHICH EXECUTION IS MY ACT AND DEED.
	/s/Hal H. Barber						May 6, 2005
	SIGNATURE OF ORGANIZER						Date
	Hal H. Barber, V. President of Kimball Hill Homes California, Inc.
	TYPE OR PRINT NAME OF ORGANIZER
RETURN TO (Enter the name and the address of the person or firm to whom a copy of the filed document should be returned.
8.	NAME FIRM ADDRESS CITY/STATE/ZIP		Deborah S. Byerly, Paralegal Kimball Hill Homes 5999 New Wilke Road, Suite 504 Rolling Meadows, IL 60008
LLC-1 (REV 06/2004)						APPROVED BY SECRETARY OF STATE