Investment in Unconsolidated Entity (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Equity Method Investments [Line Items]

Equity Method Investments [Table Text Block]

A summary of the condensed financial information of the unconsolidated entity that is accounted for under the equity method is as follows (in thousands):

	December 31, 2017
Cash	$	3,981
Accounts receivable	1,494
Inventory	57,841
Goodwill	4,615
Noncompete intangible asset	202
Other assets	5,098
Total assets	$	73,231
Accounts payable	$	5,060
Accrued expenses and other liabilities	2,857
Notes payable	36,923
Equity	28,391
Total liabilities and equity	$	73,231
	For the Five Months Ended December 31, 2017
Revenues	$	58,958
Gross profit	$	13,989
Income before taxes	$	5,502

The Company’s investment in the Challenger Subsidiary on August 15, 2017 was determined as follows (in thousands, except per share data):

Consideration transferred at closing
Green Brick common stock issued	1,477
Price per share of Green Brick common stock(1)	$	9.90
Fair value of common stock consideration	$	14,622
Acquisition related costs	$	241
Total fair value of consideration transferred at closing	$	14,863
Potential future consideration
Holdback Shares	20
Price per share of Green Brick common stock(1)	$	9.90
Total fair value of potential future consideration	$	198
Total fair value of consideration	$	15,061

(1) Based upon closing price of the Company’s common stock upon the parties’ execution of the Challenger Agreement.