Land Under Development

6 Months Ended

Jun. 30, 2021

Real Estate [Abstract]

Land Under Development

Land Under Development

On a limited basis, we directly acquire raw land parcels already zoned for its intended use to develop into finished lots.  Land under development includes the land acquisition costs, direct improvement costs, capitalized interest, where applicable, and real estate taxes.

During the second quarter of 2021, we had the following land under development transactions:

–Sold a land parcel to a developer for approximately $45,800, which approximated our carrying value of the property as of the sale date. In conjunction with the sale, we entered into an LPA with the developer for the option to purchase the finished lots expected to be developed from the parcel.

–Completed the development of one land parcel and transferred development costs totaling approximately $16,500 to inventory which is reported in "Unsold lots and housing units" in the accompanying condensed consolidated balance sheet as of June 30, 2021.

–Purchased a raw land parcel for approximately $7,200, which is expected to produce approximately 80 lots.    

As of June 30, 2021, we directly owned two separate raw land parcels with a carrying value of $7,794 that are expected to produce approximately 100 finished lots. We have additional funding commitments of approximately $5,100 under a joint development agreement related to one parcel, a portion of which we expect will be offset by development credits of approximately $2,800. None of the raw parcels had any indicators of impairment as of June 30, 2021