EX-99.1 2 exh991forreleaseq213.htm EX-99.1 Exh 99.1 FOR ReleaseQ213



NEWS
RELEASE

FOR IMMEDIATE RELEASE
CONTACT:     Anna E. Torma
(512) 433-5312

FORESTAR GROUP INC. REPORTS
SECOND QUARTER 2013 RESULTS



AUSTIN, TEXAS, August 7, 2013—Forestar Group Inc. (NYSE: FOR) today reported second quarter 2013 net income of approximately $0.5 million, or $0.02 per diluted share, compared with second quarter 2012 net income of approximately $0.8 million, or $0.02 per diluted share outstanding. Second quarter 2012 results include after-tax expenses of approximately ($1.6) million, or ($0.05) per diluted share, associated with the acquisition of Credo Petroleum Corporation.

“During second quarter, we remained on track executing our Triple in FOR strategic initiatives. In real estate, residential lot demand remains favorable with option contracts with homebuilders at the strongest level since the start of the housing recovery and higher average per lot pricing compared with second quarter 2012. We continue to focus on building a solid multifamily pipeline in our target markets, which continue to exhibit favorable multifamily market conditions. During the quarter, we began construction on a new multifamily community near Dallas and started pre-leasing at Eleven in Austin. Oil and gas operations continued to gain momentum, with accelerating oil production in the Bakken and Three Forks formations in North Dakota and Lansing-Kansas City formation in Kansas and Nebraska. We are focused on accelerating value realization and capitalizing on strategic and disciplined growth opportunities,” said Jim DeCosmo, president and chief executive officer of Forestar Group.

Second Quarter 2013 Significant Highlights

•
Sold 360 developed residential lots, with average pricing per lot up nearly 29% compared with second quarter 2012
•
Oil production up nearly 170% compared with second quarter 2012, principally due to the acquisition of Credo Petroleum
•
Acquired leasehold interests in over 17,000 net mineral acres, principally located in Nebraska and Kansas

Forestar manages its operations through three business segments: real estate, oil and gas and other natural resources.

REAL ESTATE

Second Quarter 2013 Significant Highlights

•
Sold 360 developed residential lots – Over 1,900 lots under option contracts with homebuilders
•
Residential lot margins up 66% compared with second quarter 2012
•
Sold 1,042 acres of undeveloped land for nearly $2,580 per acre
•
Sold 34 commercial acres for over $103,000 per acre
•
Began construction on Midtown Cedar Hill, 354-unit multifamily community near Dallas, Texas
•
Pre-leasing begins at Eleven, 257-unit multifamily community in Austin, Texas



1



Segment Financial Results:
($ in millions)
 
2Q 2013
 
2Q 2012
 
1Q 2013
Segment Revenues
 
$41.2
 
$26.6
 
$78.7
Segment Earnings
 
$8.1
 
$7.7
 
$19.4

Second quarter 2013 real estate segment earnings were higher compared with second quarter 2012 principally due to higher average prices for residential lots and commercial tracts sold which were somewhat offset by lower lot sales volumes and commercial acres sold. In addition, second quarter 2013 real estate segment earnings increased primarily due to the sale of the remaining 440 undeveloped residential acres from a project in Florida for $3.5 million, generating approximately $0.7 million in segment earnings. First quarter 2013 results include earnings of $10.9 million associated with the sale of Promesa, a wholly-owned multifamily community we developed in Austin. Real estate segment earnings declined in second quarter 2013 compared with first quarter 2013, excluding the earnings associated with the sale of Promesa, primarily due to lower residential lot sales.

Second quarter 2012 real estate segment earnings include a $3.4 million gain associated with the sale of 800 acres from the Light Farms venture near Dallas.

OIL AND GAS

Second Quarter 2013 Significant Highlights

•
Oil production up nearly 170% compared with second quarter 2012, principally due to the acquisition of Credo Petroleum
•
18 new productive oil and gas wells drilled; 983 producing wells at quarter-end, up from 541 wells in second quarter 2012, principally due to acquisition of Credo Petroleum
•
Drilling and completion capital investment of nearly $11.7 million
•
Leased over 17,000 net mineral acres principally in Kansas and Nebraska

Segment Financial Results:
($ in millions)
 
2Q 2013
 
2Q 2012
 
1Q 2013
Segment Revenues
 
$15.8
 
$7.1
 
$15.5
Segment Earnings
 
$4.2
 
$5.0
 
$5.1

Oil and gas segment earnings decreased in second quarter 2013 compared with second quarter 2012 principally due to reduced oil volumes associated with royalties from our owned mineral interests, lower oil prices, decreased delay rental revenues and incremental personnel costs, which were partially offset by increased oil production attributable to the acquisition of Credo Petroleum. Oil and gas segment earnings decreased in second quarter 2013 compared with first quarter 2013 principally due to lower oil and gas prices and lower natural gas production, which was partially offset by higher oil production.

OTHER NATURAL RESOURCES

Second Quarter 2013 Significant Highlights

•
Sold nearly 185,000 tons of fiber for $14.85 per ton
•
Recreational leasing remains strong






2



Segment Financial Results:
($ in millions)
 
2Q 2013
 
2Q 2012
 
1Q 2013
Segment Revenues
 
$3.0
 
$1.5
 
$3.3
Segment Earnings (Loss)
 
$1.0
 
(0.5)
 
$1.3

Second quarter 2013 other natural resources segment earnings were higher compared with second quarter 2012 principally due to over 79,000 tons of additional fiber sales and a 27% increase in average pricing per ton. Other natural resources segment earnings decreased in second quarter 2013 compared with first quarter 2013 principally due to lower fiber sales and pricing.


OUTLOOK

“Housing markets continue to show solid signs of recovery, with growing demand for residential lots and increased interest in residential and commercial tracts. Our backlog remains strong and we are well positioned to accelerate real estate sales during this housing recovery. Our multifamily team continues to build a solid pipeline of multifamily development opportunities, with construction at our multifamily ventures in Austin and Denver on target to begin delivering units in 2013, and our sites in Dallas and Nashville should be under construction by year-end. We will continue to evaluate and acquire additional multifamily sites to further develop our pipeline.

“We continue to generate positive momentum through our oil and gas initiatives to increase exploration activity, production and reserves. During second quarter, we experienced a continued increase in North Dakota drilling activity, with approximately seven Bakken or Three Forks wells (5.2% average working interest) reaching total depth during the quarter. We anticipate drilling activity in the Bakken to accelerate in the second half of 2013 with a higher average working interest. In addition, exploration and drilling activity in Kansas and Nebraska also continued to accelerate during second quarter, with 17 wells reaching total depth, 11 of which have been economic, a level of success which exceeds our expectations. Given the success of our exploration activity in these basins, during second quarter 2013 we acquired leasehold interests in over 17,000 net mineral acres in new and existing prospects principally in Nebraska and Kansas.

“We continue to increase our momentum toward delivering our Triple in FOR strategic initiatives, focused on accelerating value realization, increasing transparency and disclosure, and growing our net asset value through strategic and disciplined investments. We are well positioned for 2013 and for continued momentum in 2014,” concluded Mr. DeCosmo.

The Company will host a conference call on August 7, 2013 at 10:00 am ET to discuss results of second quarter 2013. The meeting may be accessed through webcast or by conference call. The webcast may be accessed through Forestar’s Internet site at www.forestargroup.com. To access the conference call, listeners calling from North America should dial 1-866-515-2912 at least 15 minutes prior to the start of the meeting. Those wishing to access the call from outside North America should dial 1-617-399-5126. The password is Forestar. Replays of the call will be available for two weeks following the completion of the live call and can be accessed at 1-888-286-8010 in North America and at 1-617-801-6888 outside North America. The password for the replay is 42167086.

About Forestar Group

Forestar Group Inc. operates in three business segments: real estate, oil and gas and other natural resources. At the end of second quarter 2013, the real estate segment owns directly or through ventures over 133,000 acres of real estate located in ten states and 14 markets in the U.S. The real estate segment has 14 real estate projects representing approximately 26,000 acres currently in the entitlement process, and 72 entitled, developed and under development projects in eight states and 12 markets encompassing almost 13,900 acres, comprised of almost 23,200 planned residential lots and approximately 2,300 commercial acres. The oil and gas segment includes approximately 808,000 net acres of oil and gas mineral interests, with approximately 590,000 acres of fee ownership located principally in Texas, Louisiana, Alabama, and Georgia and almost 218,000 net acres of leasehold interests principally located in Nebraska, Kansas, Oklahoma, North Dakota and Texas. These leasehold interests include about 7,000 net mineral acres in the core of the prolific Bakken and Three Forks formations. The other natural resources segment includes sale of wood fiber and management of our recreational leases, and approximately 1.5 million acres of groundwater resources,

3



including a 45% nonparticipating royalty interest in groundwater produced or withdrawn for commercial purposes from approximately 1.4 million acres in Texas, Louisiana, Georgia and Alabama and about 20,000 acres of groundwater leases in central Texas. Forestar’s address on the World Wide Web is www.forestargroup.com.

Forward Looking Statements

This release contains “forward-looking statements” within the meaning of the federal securities laws. Forward-looking statements are typically identified by words or phrases such as “will,” “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “target,” “forecast,” and other words and terms of similar meaning. These statements reflect management’s current views with respect to future events and are subject to risk and uncertainties. We note that a variety of factors and uncertainties could cause our actual results to differ significantly from the results discussed in the forward-looking statements, including our ability to achieve synergies and value creation contemplated by the merger with Credo, and our ability to promptly and effectively integrate Credo’s businesses. Other factors and uncertainties that might cause such differences include, but are not limited to: general economic, market, or business conditions; changes in commodity prices; opportunities (or lack thereof) that may be presented to us and that we may pursue; fluctuations in costs and expenses including development costs; demand for new housing, including impacts from mortgage credit availability; lengthy and uncertain entitlement processes; cyclicality of our businesses; accuracy of accounting assumptions; competitive actions by other companies; changes in laws or regulations; and other factors, many of which are beyond our control. Except as required by law, we expressly disclaim any obligation to publicly revise any forward-looking statements contained in this news release to reflect the occurrence of events after the date of this news release.


4



FORESTAR GROUP INC.
(UNAUDITED)

Business Segments
 
Second Quarter
 
First Six Months
 
2013
 
2012
 
2013
 
2012
 
(In thousands)
Revenues:
 
 
 
 
 
 
 
Real estate
$
41,219

 
$
26,647

 
$
119,908

 
$
44,569

Oil and gas
15,831

 
7,148

 
31,335

 
16,574

Other natural resources
3,029

 
1,517

 
6,307

 
2,261

Total revenues
$
60,079

 
$
35,312

 
$
157,550

 
$
63,404

Segment earnings:
 
 
 
 
 
 
 
Real estate
$
8,104

 
$
7,666

 
$
27,550

 
$
19,243

Oil and gas
4,243

 
5,005

 
9,370

 
12,133

Other natural resources
991

 
(458
)
 
2,243

 
(1,321
)
Total segment earnings
13,338

 
12,213

 
39,163

 
30,055

Items not allocated to segments:
 
 
 
 
 
 
 
General and administrative expense
(5,329
)
 
(7,120
)
 
(10,287
)
 
(11,482
)
Share-based compensation expense
(1,460
)
 
67

 
(11,875
)
 
(5,164
)
Interest expense
(5,122
)
 
(3,664
)
 
(9,661
)
 
(7,555
)
Other corporate non-operating income
25

 
47

 
56

 
111

Income before taxes
1,452

 
1,543

 
7,396

 
5,965

Income tax expense
(911
)
 
(732
)
 
(2,904
)
 
(2,352
)
Net income attributable to Forestar Group Inc.
$
541

 
$
811

 
$
4,492

 
$
3,613

 
 
 
 
 
 
 
 
Net income per common share:
 
 
 
 
 
 
 
Basic
$
0.02

 
$
0.02

 
$
0.13

 
$
0.10

Diluted
$
0.02

 
$
0.02

 
$
0.13

 
$
0.10

 
 
 
 
 
 
 
 
Weighted average common shares outstanding (in millions):
 
 
 
 
 
 
 
Basic
35.4

 
35.2

 
35.3

 
35.2

Diluted
36.1

 
35.4

 
35.9

 
35.4


 
 
Second Quarter
Supplemental Financial Information:
 
2013
 
2012
 
 
(In thousands)
Cash and cash equivalents
 
$
69,138

 
$
45,474

 
 
 
 
 
Borrowings under credit facility
 
200,000

 
130,000

Convertible senior notes, net of discount 1
 
98,353

 
—

Other debt 2
 
33,294

 
71,943

Total debt
 
$
331,647

 
$
201,943

 _____________________

1 
Represents $125 million convertible senior notes issued February 2013, net of unamortized discount
2 
Consists principally of consolidated venture non-recourse debt.



5



FORESTAR GROUP INC.
REAL ESTATE SEGMENT
PERFORMANCE METRICS
 
Second Quarter
 
First Six Months
 
2013
 
2012
 
2013
 
2012
REAL ESTATE
 
 
 
 
 
 
 
Owned, Consolidated & Equity Method Ventures:
 
 
 
 
 
 
 
Residential Lots Sold
360

 
427

 
806

 
712

Revenue per Lot Sold
$
57,588

 
$
44,694

 
$
54,432

 
$
48,003

Commercial Acres Sold
34

 
38

 
37

 
38

Revenue per Commercial Acre Sold
$
103,102

 
$
47,040

 
$
125,706

 
$
47,040

Undeveloped Acres Sold
1,042

 
933

 
1,961

 
1,388

Revenue per Acre Sold
$
2,579

 
$
2,765

 
$
2,753

 
$
2,640

Owned & Consolidated Ventures:
 
 
 
 
 
 
 
Residential Lots Sold
259

 
345

 
614

 
482

Revenue per Lot Sold
$
57,154

 
$
42,725

 
$
54,440

 
$
48,210

Commercial Acres Sold
32

 
38

 
35

 
38

Revenue per Commercial Acre Sold
$
74,166

 
$
47,040

 
$
100,311

 
$
47,040

Undeveloped Acres Sold
1,000

 
933

 
1,919

 
1,253

Revenue per Acre Sold
$
2,576

 
$
2,765

 
$
2,755

 
$
2,645

Ventures Accounted For Using the Equity Method:
 
 
 
 
 
 
 
Residential Lots Sold
101

 
82

 
192

 
230

Revenue per Lot Sold
$
58,700

 
$
52,979

 
$
54,407

 
$
47,568

Commercial Acres Sold
2

 
—

 
2

 
—

Revenue per Commercial Acre Sold
$
652,886

 
$
—

 
$
652,886

 
$
—

Undeveloped Acres Sold
42

 
—

 
42

 
135

Revenue per Acre Sold
$
2,650

 
$
—

 
$
2,650

 
$
2,600



3
SECOND QUARTER 2013
REAL ESTATE PIPELINE
Real Estate
 
Undeveloped
 
In
Entitlement Process
 
Entitled
 
Developed & Under Development
 
Total Acres*
Undeveloped Land
 
 
 
 
 
 
 
 
 
 
Owned
 
86,468
 
 
 
 
 
 
 


Ventures
 
6,859
 
 
 
 
 
 
 
93,327

Residential
 
 
 
 
 
 
 
 
 
 
Owned
 
 
 
23,272
 
8,464
 
850
 


Ventures
 
 
 
 
 
1,948
 
285
 
34,819

Commercial
 
 
 
 
 
 
 
 
 
 
Owned
 
 
 
2,708
 
1,187
 
585
 


Ventures
 
 
 
 
 
371
 
182
 
5,033

Total Acres
 
93,327
 
25,980
 
11,970
 
1,902
 
133,179

 
 
 
 
 
 
 
 
 
 
 
Estimated Residential Lots
 
 
 
19,972
 
3,204
 
23,176

 _____________________
* In addition, Forestar owns a 58% interest in a venture which controls approximately 16,000 acres of undeveloped land in Georgia with minimal investment. Excludes acres associated with fully developed commercial and income producing properties.


6



FORESTAR GROUP INC.
OIL AND GAS SEGMENT
PERFORMANCE METRICS
 
Second Quarter
 
First Six Months
 
2013
 
2012
 
2013
 
2012
Leasing Activity from Owned Mineral Interests
 
 
 
 
 
 
 
Acres Leased
515

 
—

 
825

 
805

Average Bonus / Acre

$343

 
—

 

$333

 

$357

Delay Rentals Received

$6,000

 

$447,000

 

$464,000

 

$1,562,000

Oil & Gas Production
 
 


 
 
 
 
Royalty Interests1
 
 


 
 
 
 
Gross Wells
543

 
541

 
543

 
541

Oil Production (Barrels)
40,600

 
53,200

 
88,900

 
120,900

Average Oil Price ($ / Barrel)

$83.60

 

$92.73

 

$83.56

 

$95.74

Natural Gas Production (MMcf)
322.2

 
402.5

 
699.4

 
830.4

Average Natural Gas Price ($ / Mcf)

$3.24

 

$2.30

 

$3.11

 

$2.76

BOE Production2
94,400

 
120,300

 
205,400

 
259,300

Average Price ($ / BOE)

$47.10

 

$48.70

 

$46.73

 

$53.48

Working Interests
 
 


 
 
 
 
Gross Wells
449

 
9

 
449

 
9

Oil Production (Barrels)
125,200

 
8,400

 
224,800

 
9,800

Average Oil Price ($ / Barrel)

$86.18

 

$106.84

 

$88.73

 

$101.79

Natural Gas Production (MMcf)
183.1

 
17.9

 
399.7

 
42.3

Average Natural Gas Price ($ / Mcf)

$3.25

 

$2.71

 

$3.53

 

$3.31

BOE Production2
155,700

 
11,300

 
291,500

 
16,900

Average Price ($ / BOE)

$73.12

 

$82.93

 

$73.29

 

$67.61

Total Oil & Gas Interests
 
 


 
 
 
 
Gross Wells3
983

 
541

 
983

 
541

Oil Production (Barrels)
165,800

 
61,600

 
313,700

 
130,700

Average Oil Price ($ / Barrel)

$85.55

 

$94.64

 

$87.26

 

$96.19

Natural Gas Production (MMcf)
505.3

 
420.4

 
1,099.1

 
872.7

Average Natural Gas Price ($ / Mcf)

$3.25

 

$2.31

 

$3.26

 

$2.79

BOE Production2
250,100

 
131,600

 
496,900

 
276,200

Average Price ($ / BOE)

$63.30

 

$51.65

 

$62.31

 

$54.34

Well Activity
 
 


 
 
 
 
Mineral Interests Owned 3
 
 


 
 
 
 
Net Acres Held By Production
36,000

 
35,000

 
36,000

 
35,000

Gross Wells Drilled
—

 
7

 
—

 
11

Productive Gross Wells
543

 
541

 
543

 
541

Mineral Interests Leased 
 
 


 
 
 
 
Net Acres Held By Production4
33,000

 
—

 
33,000

 
—

Gross Wells Drilled
18

 
—

 
39

 
—

Productive Gross Wells4
449

 
—

 
449

 
—

Total Well Activity
 
 


 
 
 
 
Net Acres Held By Production
69,000

 
35,000

 
69,000

 
35,000

Gross Wells Drilled
18

 
7

 
39

 
11

Productive Gross Wells
983

 
541

 
983

 
541

_____________________________________________
1
Includes our share of venture activity in which we own a 50% interest. Our share of natural gas production is 57.8 MMcf and 128.0 MMcf in second quarter and first six months 2013, and 82.1 MMcf and 172.2 MMcf in second quarter and first six months 2012.
2 
BOE – Barrels of oil equivalent (converting natural gas to oil at 6 Mcfe / Bbl)
3 
Includes wells operated by third-party lessees/operators. Represent wells in which we own a royalty or working interest in a producing well. Excludes nine working interest wells as we also own a royalty interest in these wells.
4 
Excludes 8,000 net acres and 1,181 wells in which we have an overriding royalty interest

7



FORESTAR GROUP INC.
OIL AND GAS SEGMENT
MINERAL INTERESTS

MINERAL INTERESTS OWNED 1 

Forestar’s oil and gas segment includes approximately 590,000 owned net mineral acres principally located in Texas, Louisiana, Georgia and Alabama.
State
Unleased
 
Leased
 
Held By
Production
 
Total 2
 
 
 
(Net acres)
Texas
213,000

 
12,000

 
27,000

 
252,000

Louisiana
117,000

 
18,000

 
9,000

 
144,000

Georgia
152,000

 
—

 
—

 
152,000

Alabama
40,000

 
—

 
—

 
40,000

California
1,000

 
—

 
—

 
1,000

Indiana
1,000

 
—

 
—

 
1,000

 
524,000

 
30,000

 
36,000

 
590,000

_____________________________________________
1 Represents net acres and includes ventures
2 Excludes 477 net mineral acres located in Colorado


MINERAL INTERESTS LEASED

Forestar’s oil and gas segment includes approximately 218,000 net mineral acres of leasehold interests principally located in Nebraska, Kansas, Oklahoma, North Dakota and Texas, predominantly as result of our September 28, 2012 acquisition of Credo Petroleum.
State
Undeveloped
 
Held By
Production 1
 
Total
Nebraska
123,000

 
2,000

 
125,000

Kansas
34,000

 
5,000

 
39,000

Oklahoma
—

 
17,000

 
17,000

Alabama
10,000

 
—

 
10,000

Texas
9,000

 
2,000

 
11,000

North Dakota
4,000

 
3,000

 
7,000

Other
5,000

 
4,000

 
9,000

 
185,000

 
33,000

 
218,000

_____________________________________________
1 
Excludes approximately 8,000 net acres of overriding royalty interests.










8



FORESTAR GROUP INC.
OTHER NATURAL RESOURCES SEGMENT
PERFORMANCE METRICS

 
 
Second Quarter
 
First Six Months
Other Natural Resources
 
2013
 
2012
 
2013
 
2012
Fiber Sales*
 
 
 
 
 
 
 
 
Pulpwood tons sold
 
128,100

 
80,800

 
248,700

 
105,200

Average pulpwood price per ton
 
$
10.84

 
$
9.24

 
$
11.26

 
$
9.46

Sawtimber tons sold
 
56,900

 
24,900

 
127,800

 
29,300

Average sawtimber price per ton
 
$
23.87

 
$
19.46

 
$
23.04

 
$
19.47

 
 
 
 
 
 
 
 
 
Total tons sold
 
185,000

 
105,700

 
376,500

 
134,500

Average price per ton
 
$
14.85

 
$
11.66

 
$
15.26

 
$
11.64

 
 
 
 
 
 
 
 
 
Recreational Activity
 
 
 
 
 
 
 
 
Average recreational acres leased
 
121,800

 
131,800

 
122,200

 
131,400

Average price per leased acre
 
$
9.29

 
$
8.84

 
$
9.29

 
$
8.82

_____________________________________________
*The majority of our fiber sales were to International Paper at market prices.





























9



FORESTAR GROUP INC.
PROJECTS IN ENTITLEMENT

A summary of our real estate projects in the entitlement process (a) at second quarter-end 2013 follows:
Project
County
 
Market
 
Project Acres (b)
California
 
 
 
 
 
Hidden Creek Estates
Los Angeles
 
Los Angeles
 
700

Terrace at Hidden Hills
Los Angeles
 
Los Angeles
 
30

 
 
 
 
 
 
Georgia
 
 
 
 
 
Ball Ground
Cherokee
 
Atlanta
 
500

Crossing
Coweta
 
Atlanta
 
230

Fincher Road
Cherokee
 
Atlanta
 
3,890

Fox Hall
Coweta
 
Atlanta
 
960

Garland Mountain
Cherokee/Bartow
 
Atlanta
 
350

Martin’s Bridge
Banks
 
Atlanta
 
970

Mill Creek
Coweta
 
Atlanta
 
770

Serenity
Carroll
 
Atlanta
 
440

Wolf Creek
Carroll/Douglas
 
Atlanta
 
12,230

Yellow Creek
Cherokee
 
Atlanta
 
1,060

 
 
 
 
 
 
Texas
 
 
 
 
 
Lake Houston
Harris/Liberty
 
Houston
 
3,700

San Jacinto
Montgomery
 
Houston
 
150

Total
 
 
 
 
25,980

_____________________________________________
(a)
A project is deemed to be in the entitlement process when customary steps necessary for the preparation of an application for governmental land-use approvals, like conducting pre-application meetings or similar discussions with governmental officials, have commenced, or an application has been filed. Projects listed may have significant steps remaining, and there is no assurance that entitlements ultimately will be received.
(b)
Project acres, which are the total for the project regardless of our ownership interest, are approximate. The actual number of acres entitled may vary.









10



FORESTAR GROUP INC.
REAL ESTATE PROJECTS

 
A summary of activity within our projects in the development process, which includes entitled (a), developed and under development real estate projects, at second quarter-end 2013 follows:
 
 
 
 
 
Residential Lots (c)
 
Commercial Acres (d)
Project
County
 
Interest

Owned  (b)
 
Lots Sold
Since
Inception
 
Lots
Remaining
 
Acres
Sold
Since
Inception
 
Acres
Remaining  (f)
Projects we own
 
 
 
 
 
 
 
 
 
 
 
California
 
 
 
 
 
 
 
 
 
 
 
San Joaquin River
Contra Costa/Sacramento
 
100
%
 
—

 
—

 
—

 
288

Colorado
 
 
 
 
 
 
 
 
 
 
 
Buffalo Highlands
Weld
 
100
%
 
—

 
164

 
—

 
—

Johnstown Farms
Weld
 
100
%
 
170

 
436

 
2

 
7

Pinery West
Douglas
 
100
%
 
—

 
—

 
20

 
91

Stonebraker
Weld
 
100
%
 
—

 
603

 
—

 
—

Tennessee
 
 
 
 
 
 
 
 
 
 
 
Azalea Park
Hays
 
100
%
 
—

 
173

 
—

 
—

Texas
 
 
 
 
 
 
 
 
 
 
 
Arrowhead Ranch
Hays
 
100
%
 
—

 
387

 
—

 
6

Bar C Ranch
Tarrant
 
100
%
 
292

 
813

 
—

 
—

Barrington Kingwood
Harris
 
100
%
 
75

 
105

 
—

 
—

Cibolo Canyons
Bexar
 
100
%
 
766

 
709

 
96

 
54

Harbor Lakes
Hood
 
100
%
 
208

 
241

 
2

 
19

Hunter’s Crossing
Bastrop
 
100
%
 
423

 
67

 
38

 
71

La Conterra
Williamson
 
100
%
 
132

 
369

 
—

 
58

Lakes of Prosper
Collin
 
100
%
 
5

 
280

 
—

 
—

Maxwell Creek
Collin
 
100
%
 
839

 
160

 
10

 
—

Oak Creek Estates
Comal
 
100
%
 
142

 
505

 
13

 
—

Stoney Creek
Dallas
 
100
%
 
149

 
605

 
—

 
—

Summer Creek Ranch
Tarrant
 
100
%
 
842

 
432

 
35

 
44

Summer Lakes
Fort Bend
 
100
%
 
491

 
639

 
56

 
—

Summer Park
Fort Bend
 
100
%
 
—

 
198

 
28

 
62

The Colony
Bastrop
 
100
%
 
445

 
704

 
22

 
31

The Preserve at Pecan Creek
Denton
 
100
%
 
429

 
365

 
—

 
7

Village Park
Collin
 
100
%
 
536

 
220

 
3

 
2

Westside at Buttercup Creek
Williamson
 
100
%
 
1,435

 
61

 
66

 
—

Other projects (10)
Various
 
100
%
 
2,100

 
156

 
218

 
36


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Residential Lots (c)
 
Commercial Acres (d)
Project
County
 
Interest

Owned  (b)
 
Lots Sold
Since
Inception
 
Lots
Remaining
 
Acres
Sold
Since
Inception
 
Acres
Remaining  (f)
Georgia
 
 
 
 
 
 
 
 
 
 
 
Seven Hills
Paulding
 
100
%
 
682

 
408

 
26

 
113

The Villages at Burt Creek
Dawson
 
100
%
 
—

 
1,715

 
—

 
57

Towne West
Bartow
 
100
%
 
—

 
2,674

 
—

 
121

Other projects (17)
Various
 
100
%
 
76

 
3,017

 
—

 
705

Florida
 
 
 
 
 
 
 
 
 
 
 
Other projects (2)
Various
 
100
%
 
301

 
—

 
—

 
—

Missouri and Utah
 
 
 
 
 
 
 
 
 
 
 
Other projects (2)
Various
 
100
%
 
500

 
54

 
—

 
—

 
 
 
 
 
11,038

 
16,260

 
635

 
1,772

Projects in entities we consolidate
 
 
 
 
 
 
 
 
 
 
 
Texas
 
 
 
 
 
 
 
 
 
 
 
City Park
Harris
 
75
%
 
1,239

 
72

 
50

 
115

Lantana (e)
Denton
 
55
%
 
812

 
1,314

 
9

 
3

Timber Creek
Collin
 
88
%
 
—

 
614

 
—

 
—

Willow Creek Farms II
Waller/Fort Bend
 
90
%
 
62

 
169

 
—

 
—

Other projects (2)
Various
 
Various

 
7

 
200

 
—

 
129

Georgia
 
 
 
 
 
 
 
 
 
 
 
The Georgian
Paulding
 
75
%
 
289

 
1,052

 
—

 
—

 
 
 
 
 
2,409

 
3,421

 
59

 
247

Total owned and consolidated
 
 
 
 
13,447

 
19,681

 
694

 
2,019

Projects in ventures that we account for using the equity method
 
 
 
 
 
 
 
 
 
 
Texas
 
 
 
 
 
 
 
 
 
 
 
Entrada
Travis
 
50
%
 
—

 
821

 
—

 
—

Fannin Farms West
Tarrant
 
50
%
 
324

 
24

 
—

 
12

Harper’s Preserve
Montgomery
 
50
%
 
281

 
1,412

 
—

 
59

Lantana (e)
Denton
 
Various

 
1,163

 
62

 
16

 
42

Long Meadow Farms
Fort Bend
 
37
%
 
1,057

 
745

 
121

 
178

Southern Trails
Brazoria
 
80
%
 
629

 
362

 
—

 
—

Stonewall Estates
Bexar
 
50
%
 
317

 
69

 
—

 
—

Other projects (1)
Nueces
 
50
%
 
—

 
—

 
—

 
15

Total in ventures
 
 
 
 
3,771

 
3,495

 
137

 
306

Combined total
 
 
 
 
17,218

 
23,176

 
831

 
2,325

_____________________________________________
(a)
A project is deemed entitled when all major discretionary governmental land-use approvals have been received. Some projects may require additional permits and/or non-governmental authorizations for development.
(b)
Interest owned reflects our net equity interest in the project, whether owned directly or indirectly. There are some projects that have multiple ownership structures within them. Accordingly, portions of these projects may appear as owned, consolidated or accounted for using the equity method.
(c)
Lots are for the total project, regardless of our ownership interest. Lots remaining represent vacant developed lots, lots under development and future planned lots and are subject to change based on business plan revisions.

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(d)
Commercial acres are for the total project, regardless of our ownership interest, and are net developable acres, which may be fewer than the gross acres available in the project.
(e)
The Lantana project consists of a series of 23 partnerships in which our voting interests range from 25 percent to 55 percent. We account for two of these partnerships using the equity method and we consolidate the remaining partnerships.
(f)
Excludes acres associated with commercial and income producing properties.

A summary of our significant commercial and income producing properties at second quarter-end 2013 follows:
Project
 
County
 
Market
 
Interest

Owned  (a)
 
Type
 
Acres
 
Description
Radisson Hotel
 
Travis
 
Austin
 
100
%
 
Hotel
 
2

 
413 guest rooms and suites
Eleven (b)
 
Travis
 
Austin
 
25
%
 
Multifamily
 
3

 
257-unit luxury apartment
360° (b)
 
Arapahoe
 
Denver
 
20
%
 
Multifamily
 
4

 
304-unit luxury apartment
Midtown Cedar Hill (b)
 
Dallas
 
Dallas
 
100
%
 
Multifamily
 
13

 
354-unit luxury apartment
_____________________________________________
(a)
Interest owned reflects our total interest in the project, whether owned directly or indirectly.
(b)
Construction in progress.






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