Note 5 - Assets Held for Sale

6 Months Ended

Jun. 30, 2021

Notes to Financial Statements

Assets Held-for-Sale and Real Estate Sales Disclosure [Text Block]

5. ASSETS HELD FOR SALE

Assets held for sale as of June 30, 2021 and December 31, 2020 consisted of the following:

	June 30,		December 31,
	2021		2020
	(unaudited)		(audited)
	(in thousands)
Kapalua Resort, 46-acre Kapalua Central Resort project	$	2,978	$	2,978
Upcountry Maui, 630-acre parcel of agricultural land		156		156
Kapalua Resort, Kapalua Water and Kapalua Waste Treatment Company assets		-		4,306
	$	3,134	$	7,440

In February 2020, the Company entered into an agreement to sell the Kapalua Central Resort project for $43.9 million. The closing of the transaction is contingent upon, among other things, the satisfaction of certain customary closing conditions, including an extended due diligence period ending on August 31, 2021. The closing date of the sale is expected to be 30 days after the last day of the due diligence period.

In December 2019, the Company entered into an Asset Purchase Agreement to sell the Public Utilities Commission (“PUC”)-regulated assets of Kapalua Water Company, Ltd. and Kapalua Waste Treatment Company, Ltd. located in the Kapalua Resort. In March 2021, the sale was approved by the State of Hawaii PUC subject to certain closing conditions of its Decision and Order. The Company received net proceeds of $4.2 million from the sale in May 2021. The results of discontinued operations related to the sale of the Kapalua Water Company, Ltd. and Kapalua Waste Treatment Company, Ltd. assets are reflected in Note 13.

The above assets held for sale have not been pledged as collateral under the Company’s credit facility.