Note 6 - Assets Held for Sale

6 Months Ended

Jun. 30, 2022

Notes to Financial Statements

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

6. ASSETS HELD FOR SALE

Assets held for sale at June 30, 2022 and December 31, 2021 consisted of the following:

	June 30,		December 31,
	2022		2021
	(unaudited)		(audited)
	(in thousands)
Kapalua Resort, 46-acre Kapalua Central Resort project	$	3,017	$	2,988
Upcountry Maui, 646-acre parcel of agricultural land		-		156
	$	3,017	$	3,144

In December 2021, the Company entered into an agreement to sell the Kapalua Central Resort project for $40.0 million. On May 13, 2022, terms of the agreement were amended to include a closing condition requiring the Maui Planning Commission to approve a (5) five-year extension of a Special Management Area (SMA) permit issued by the County of Maui by April 10, 2023. If the extension is not approved by April 10, 2023, the purchase agreement will terminate. The amendment also allows the buyer to spend $290,000 of the initial $300,000 escrowed deposit on costs related to the extension of the SMA permit. If the extension is approved, the closing date is expected to be no later than (30) thirty days after the date of the extension approval.

In February 2022, the Company entered into an agreement to sell the 646-acre parcel of agricultural land in Upcountry Maui. Terms of the agreement, as amended, included a purchase price of $9.6 million, a diligence period ending on May 16, 2022, and other customary closing conditions. On May 20, 2022, net proceeds of $9.2 million were collected upon closing.

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