Investments in Unconsolidated Entities (Tables)

6 Months Ended

Apr. 30, 2020

Investments in and Advances to Affiliates, Schedule of Investments [Abstract]

Summary of Joint Venture Information [Table Text Block]

The table below provides information as of April 30, 2020, regarding active joint ventures that we are invested in, by joint venture category ($ amounts in thousands):

	Land Development Joint Ventures		Home Building Joint Ventures		Rental Property Joint Ventures		Gibraltar Joint Ventures		Total
Number of unconsolidated entities	8		4		22		7		41
Investment in unconsolidated entities	$	103,301	$	42,961	$	197,377	$	20,402	$	364,041
Number of unconsolidated entities with funding commitments by the Company	2		—		3		1		6
Company’s remaining funding commitment to unconsolidated entities	$	27,530	$	—	$	11,514	$	6,232	$	45,276

Summary of Joint Ventures Borrowing information [Table Text Block]

Certain joint ventures in which we have investments obtained debt financing to finance a portion of their activities. The table below provides information at April 30, 2020, regarding the debt financing obtained by category ($ amounts in thousands):

	Land Development Joint Ventures		Home Building Joint Ventures		Rental Property Joint Ventures		Total
Number of joint ventures with debt financing	3		1		20		24
Aggregate loan commitments	$	110,842	$	62,384	$	1,516,624	$	1,689,850
Amounts borrowed under loan commitments	$	95,900	$	62,384	$	1,082,342	$	1,240,626

Condensed balance sheet

Condensed Balance Sheets:

	April 30, 2020		October 31, 2019
Cash and cash equivalents	$	112,569	$	85,819
Inventory	487,705		579,226
Loans receivable, net	33,287		56,545
Rental properties	1,000,062		1,021,848
Rental properties under development	708,022		535,197
Real estate owned	12,298		12,267
Other assets	170,698		212,761
Total assets	$	2,524,641	$	2,503,663
Debt, net of deferred financing costs	$	1,229,197	$	1,226,857
Other liabilities	186,831		175,827
Members’ equity	1,108,232		1,100,563
Noncontrolling interest	381		416
Total liabilities and equity	$	2,524,641	$	2,503,663
Company’s net investment in unconsolidated entities (1)	$	364,041	$	366,252

(1) Differences between our net investment in unconsolidated entities and our underlying equity in the net assets of the entities are primarily a result of other than temporary impairments related to our investments in unconsolidated entities; interest capitalized on our investments; the estimated fair value of the guarantees provided to the joint ventures; unrealized gains on our retained joint venture interests; gains recognized from the sale of our ownership interests; and distributions from entities in excess of the carrying amount of our net investment.

Condensed statements of operations and comprehensive income

Condensed Statements of Operations:

	Six months ended April 30,				Three months ended April 30,
	2020		2019		2020		2019
Revenues	$	212,282	$	331,617	$	79,112	$	178,388
Cost of revenues	145,349		288,951		50,041		157,196
Other expenses	73,182		41,354		32,066		22,879
Total expenses	218,531		330,305		82,107		180,075
Gain on disposition of loans and real estate owned	—		3,694		—		—
(Loss) income from operations	(6,249)		5,006		(2,995)		(1,687)
Other income (loss)	529		1,737		(84)		1,090
(Loss) income before income taxes	(5,720)		6,743		(3,079)		(597)
Income tax (benefit) provision	(147)		225		(287)		(40)
Net (loss) income including earnings from noncontrolling interests	(5,573)		6,518		(2,792)		(557)
Less: income (loss) attributable to noncontrolling interest	—		(2,078)		—		31
Net (loss) income attributable to controlling interest	$	(5,573)	$	4,440	$	(2,792)	$	(526)
Company’s equity in earnings of unconsolidated entities (1)	$	7,870	$	10,559	$	(4,271)	$	4,419

(1) Differences between our equity in earnings of unconsolidated entities and the underlying net income of the entities are primarily a result of distributions from entities in excess of the carrying amount of our net investment; other than temporary impairments related to our investments in unconsolidated entities; recoveries of previously incurred charges; unrealized gains on our retained joint venture interests; gains recognized from the sale of our investment to our joint venture partner; and our share of the entities’ profits related to home sites purchased by us which reduces our cost basis of the home sites acquired.