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Variable Interest Entities (Tables)
9 Months Ended
Aug. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Equity Method Investments The total debt of the Lennar Homebuilding unconsolidated entities in which the Company has investments, including Lennar's maximum recourse exposure, were as follows:
(Dollars in thousands)
August 31,
2016
 
November 30,
2015
Non-recourse bank debt and other debt (partner’s share of several recourse)
$
48,792

 
50,411

Non-recourse land seller debt and other debt
323,995

 
324,000

Non-recourse debt with completion guarantees
137,152

 
146,760

Non-recourse debt without completion guarantees
306,929

 
260,734

Non-recourse debt to the Company
816,868

 
781,905

The Company’s maximum recourse exposure (1)
48,628

 
10,981

Total debt
$
865,496

 
792,886

The Company’s maximum recourse exposure as a % of total JV debt
6
%
 
1
%
(1)
The increase in the Company's maximum recourse exposure was primarily related to the Company providing a repayment guarantee on an unconsolidated entity's debt.Balance Sheets
(In thousands)
August 31,
2016
 
November 30,
2015
Assets:
 
 
 
Cash and cash equivalents
$
369,203

 
248,980

Inventories
3,798,070

 
3,059,054

Other assets
1,354,826

 
465,404

 
$
5,522,099

 
3,773,438

Liabilities and equity:
 
 
 
Accounts payable and other liabilities
$
854,568

 
288,192

Debt
865,496

 
792,886

Equity
3,802,035

 
2,692,360

 
$
5,522,099

 
3,773,438

Summarized condensed financial information on a combined 100% basis related to Lennar Homebuilding’s unconsolidated entities that are accounted for by the equity method was as follows:Statements of Operations
 
Three Months Ended
 
Nine Months Ended
 
August 31,
 
August 31,
(In thousands)
2016
 
2015
 
2016
 
2015
Revenues
$
43,889

 
141,599

 
352,251

 
765,346

Costs and expenses
110,649

 
127,678

 
409,219

 
580,696

Other income

 
46,400

 

 
49,343

Net earnings (loss) of unconsolidated entities
$
(66,760
)
 
60,321

 
(56,968
)
 
233,993

Lennar Homebuilding equity in earnings (loss) from unconsolidated entities
$
(18,034
)
 
13,300

 
(24,667
)
 
48,693

ance Sheets
(In thousands)
August 31,
2016
 
November 30,
2015
Assets:
 
 
 
Cash and cash equivalents
$
159,683

 
188,147

Loans receivable
396,543

 
473,997

Real estate owned
566,012

 
506,609

Investment securities
1,284,583

 
1,092,476

Investments in partnerships
413,836

 
429,979

Other assets
41,282

 
30,340

 
$
2,861,939

 
2,721,548

Liabilities and equity:
 
 
 
Accounts payable and other liabilities
$
27,605

 
29,462

Notes payable
562,935

 
374,498

Equity
2,271,399

 
2,317,588

 
$
2,861,939

 
2,721,548

Statements of Operations
 
Three Months Ended
 
Nine Months Ended
 
August 31,
 
August 31,
(In thousands)
2016
 
2015
 
2016
 
2015
Revenues
$
51,485

 
41,278

 
147,021

 
122,336

Costs and expenses
24,472

 
24,937

 
66,075

 
73,024

Other income, net (1)
28,947

 
60,106

 
40,495

 
121,457

Net earnings of unconsolidated entities
$
55,960

 
76,447

 
121,441

 
170,769

Rialto equity in earnings from unconsolidated entities
$
5,976

 
7,590

 
14,337

 
17,582

(1)
Other income, net, included realized and unrealized gains (losses) on investments.employment.
Summarized condensed financial information on a combined 100% basis related to Rialto’s investments in unconsolidated entities that are accounted for by the equity method was as follows:
BalThe following table reflects Rialto's investments in funds that invest in and manage real estate related assets and other investments:
 
 
 
 
 
 
 
 
 
August 31,
2016
 
August 31,
2016
 
November 30,
2015
(Dollars in thousands)
Inception Year
 
Equity Commitments
 
Equity Commitments Called
 
Commitment to Fund by the Company
 
Funds Contributed by the Company
 
Investment
Rialto Real Estate Fund, LP
2010
 
$
700,006

 
$
700,006

 
$
75,000

 
$
75,000

 
$
62,659

 
68,570

Rialto Real Estate Fund II, LP
2012
 
1,305,000

 
1,305,000

 
100,000

 
100,000

 
96,863

 
99,947

Rialto Mezzanine Partners Fund, LP
2013
 
300,000

 
300,000

 
33,799

 
33,799

 
26,310

 
32,344

Rialto Capital CMBS Funds
2014
 
111,753

 
111,753

 
47,057

 
47,057

 
47,270

 
23,233

Rialto Real Estate Fund III
2015
 
949,578

 

 
100,000

 

 
1,559

 

Rialto Credit Partnership, LP
2016
 
220,000

 
51,150

 
19,999

 
4,650

 
4,637

 

Other investments
 
 
 
 
 
 
 
 
 
 
2,382

 
775

 
 
 
 
 
 
 
 
 
 
 
$
241,680

 
224,869

Rialto's share of earnings (loss) from unconsolidated entities was as follows:
 
Three Months Ended
 
Nine Months Ended
 
August 31,
 
August 31,
(In thousands)
2016
 
2015
 
2016
 
2015
Rialto Real Estate Fund, LP
$
1,127

 
4,158

 
3,397

 
7,948

Rialto Real Estate Fund II, LP
2,672

 
2,354

 
4,420

 
5,533

Rialto Mezzanine Partners Fund, LP
703

 
637

 
2,128

 
1,563

Rialto Capital CMBS Funds
1,471

 
429

 
3,051

 
2,506

Rialto Real Estate Fund III
4

 

 
1,387

 

Rialto Credit Partnership, LP
(1
)
 

 
(13
)
 

Other investments

 
12

 
(33
)
 
32

Rialto equity in earnings from unconsolidated entities
$
5,976

 
7,590

 
14,337

 
17,582

Summarized condensed financial information on a combined 100% basis related to Lennar Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows:
Balance Sheets
(In thousands)
August 31,
2016
 
November 30,
2015
Assets:
 
 
 
Cash and cash equivalents
$
106,007

 
39,579

Operating properties and equipment
2,007,129

 
1,398,244

Other assets
49,728

 
25,925

 
$
2,162,864

 
1,463,748

Liabilities and equity:
 
 
 
Accounts payable and other liabilities
$
187,715

 
179,551

Notes payable
628,237

 
466,724

Equity
1,346,912

 
817,473

 
$
2,162,864

 
1,463,748


Statements of Operations
 
Three Months Ended
 
Nine Months Ended
 
August 31,
 
August 31,
(In thousands)
2016
 
2015
 
2016
 
2015
Revenues
$
13,796

 
4,067

 
31,759

 
9,236

Costs and expenses
24,611

 
7,174

 
50,341

 
15,249

Other income, net
20,335

 
13,330

 
90,729

 
13,330

Net earnings of unconsolidated entities
$
9,520

 
10,223

 
72,147

 
7,317

Lennar Multifamily equity in earnings from unconsolidated entities (1)
$
5,060

 
5,004

 
38,754

 
4,404

(1)
For the three and nine months ended August 31, 2016, Lennar Multifamily equity in earnings from unconsolidated entities included the segment's $8.0 million and $43.8 million, respectively, share of gains as a result of the sale of one and three operating properties, respectively, by its unconsolidated entities. For both the three and nine months ended August 31, 2015, Lennar Multifamily equity in earnings from unconsolidated entities included the segment's $5.7 million share of a gain as a result of the sale of an operating property by one of its unconsolidated entities.The Company’s recorded investments in unconsolidated entities were as follows:
(In thousands)
August 31,
2016
 
November 30,
2015
Lennar Homebuilding
$
796,499

 
741,551

Rialto
$
241,680

 
224,869

Lennar Multifamily
$
304,032

 
250,876

Estimated Maximum Exposure To Loss The Company’s recorded investment in unconsolidated VIEs and its estimated maximum exposure to loss were as follows:
As of August 31, 2016
(In thousands)
Investments in
Unconsolidated VIEs
 
Lennar’s Maximum
Exposure to Loss
Lennar Homebuilding (1)
$
100,452

 
140,228

Rialto (2)
60,928

 
60,928

Lennar Multifamily (3)
224,574

 
574,114

 
$
385,954

 
775,270

As of November 30, 2015
(In thousands)
Investments in
Unconsolidated VIEs
 
Lennar’s Maximum
Exposure to Loss
Lennar Homebuilding (1)
$
102,706

 
111,215

Rialto (2)
25,625

 
25,625

Lennar Multifamily (3)
177,359

 
586,842

 
$
305,690

 
723,682

(1)
At August 31, 2016, the maximum exposure to loss of Lennar Homebuilding’s investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to a $39.6 million repayment guarantee of an unconsolidated entity's debt. At November 30, 2015, the maximum exposure to loss of Lennar Homebuilding’s investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to $8.3 million remaining commitment to fund an unconsolidated entity for further expenses up until the unconsolidated entity obtained permanent financing.
(2)
At both August 31, 2016 and November 30, 2015, the maximum recourse exposure to loss of Rialto’s investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs. At August 31, 2016 and November 30, 2015, investments in unconsolidated VIEs and Lennar’s maximum exposure to loss included $60.9 million and $25.6 million, respectively, related to Rialto’s investments held-to-maturity.
(3)
As of August 31, 2016 and November 30, 2015, the remaining equity commitment of $321.2 million and $378.3 million, respectively, to fund the Venture for future expenditures related to the construction and development of its projects is included in Lennar's maximum exposure to loss. In addition, at August 31, 2016 and November 30, 2015, the maximum exposure to loss of Lennar Multifamily's investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to $27.3 million and $30.0 million, respectively, of letters of credit outstanding for certain of the unconsolidated VIEs that could be drawn upon in the event of default under their debt agreements.