We participate in a number of joint ventures and other investments with independent third parties. These entities generally focus on homebuilding, land development, and mortgage services to homebuyers. The Company’s investment in these entities is included in investments in unconsolidated entities in the Company’s consolidated balance sheets under the equity method of accounting.

A summary of the Company’s investments in unconsolidated entities is as follows (in thousands):


	December 31, 2024		December 31, 2023
GBTM Sendera, LLC	$	21,985	$	19,866
Rainwater Crossing Single-Family, LLC	18,633		—
EJB River Holdings, LLC	12,288		10,867
TMGB Magnolia Ridge, LLC	7,006		—
BHome Mortgage, LLC	670		1,255
GB Challenger, LLC (1)	—		52,666
Total investment in unconsolidated entities	$	60,582	$	84,654

In August 2020, the joint venture GBTM Sendera, LLC (“GBTM Sendera”) was formed by GRBK Edgewood, LLC (“GRBK Edgewood”) and TM Sendera, LLC (“TM Sendera”) to acquire and develop a tract of land in Fort Worth, Texas. Each party holds a 50% ownership interest in GBTM Sendera and share equally in the profits and losses of GBTM Sendera, with the exception of certain customary fees. The Company made capital contributions of $2.0 million, $5.0 million, and $3.6 million during the years ended December 31, 2024, 2023, and 2022, respectively.

Following our analysis of GBTM Sendera’s operating agreement, the Company determined that GBTM Sendera is not a VIE as the joint venture’s equity at risk is sufficient to permit the entity to finance its activities without additional subordinated financial support from its members.

As of December 31, 2024, the carrying amount of GBTM Sendera assets and liabilities were $47.6 million and $6.8 million, respectively. As of December 31, 2024, the Company’s maximum exposure to loss as a result of this joint venture was $22.0 million, representing the Company’s investment in GBTM Sendera.

In February 2024, GRBK Edgewood, LLC (“GRBK Edgewood”) established a joint venture (“JV”), Rainwater Crossing Single-Family, LLC (“Rainwater Crossing”), with Rainwater Single Family S-CORP, LLC to develop a tract of land in Celina, Texas. Both parties hold a 50% ownership interest in Rainwater Crossing. The Company evaluated the JV agreements and determined that Rainwater Crossing is a VIE, but the Company is not its primary beneficiary. Specifically, the Company determined that it does not direct the activities that most significantly impact the entity’s economic performance as key decisions are subject to the approval of a management committee where both members are equally represented.

As of December 31, 2024, the carrying amounts of assets and liabilities of Rainwater Crossing were $35.6 million and $13.9 million, respectively. As of December 31, 2024, the Company’s maximum exposure to loss as a result from its involvement with Rainwater Crossing was approximately $30.6 million, representing its $18.6 million investment and the Company’s remaining commitment to contribute to the joint venture $12.0 million in quarterly payments through March 31, 2029. The Company is also required to fund the remaining development costs related to this project.

In December 2018, the joint venture EJB River Holdings, LLC (“EJB”) was formed by TPG to acquire and develop a tract of land in Gwinnett County, Georgia. In May 2019, East Jones Bridge, LLC was admitted as a member, which resulted in TPG having a 50% ownership interest in EJB.

Following our analysis of the provisions in the EJB’s operating agreement, the Company determined that EJB is a VIE, but that we are not the primary beneficiary. Specifically, the Company does not direct the activities that most significantly impact the entity’s economic performance as key decisions are subject to the approval of a management committee where both members are equally represented.

As of December 31, 2024, the carrying amounts of assets and liabilities of EJB were $25.1 million and $0.5 million, respectively. As of December 31, 2024 the Company’s maximum exposure to loss as a result of its involvement with EJB River Holdings was $12.3 million, representing the Company’s investment in EJB.

In September 2024, TMGB Magnolia Ridge, LLC (“Magnolia Ridge”) was formed by GRBK Edgewood and TM Magnolia Ridge, LLC (“TM Magnolia Ridge”) with the purpose to acquire and develop a tract of land in Denton County, Texas. Both parties hold a 50% ownership interest in Magnolia Ridge. Per the Magnolia Ridge company agreement, GRBK Edgewood and TM Magnolia Ridge share equally in the profits and losses of Magnolia Ridge, with the exception of certain customary fees. Following the analysis of the above facts and provisions of the Magnolia Ridge company agreement, the Company determined that Magnolia Ridge is not a VIE as the joint venture’s equity at risk is sufficient to permit the entity to finance its activities without additional subordinated financial support from its members.

As of December 31, 2024, the carrying amounts of assets and liabilities of Magnolia Ridge were $22.8 million and $8.8 million, respectively. As of December 31, 2024, the Company’s maximum exposure to loss as a result of its involvement with Magnolia Ridge was $29.5 million representing the Company’s investment in Magnolia Ridge of $7.0 million and up to a $22.5 million completion guarantee on the JV’s revolving loan to fund its development activities.

As of December 31, 2024, BHome Mortgage, a joint venture the Company established to provide mortgage related services to homebuyers, substantially ceased its operations. The Company owns a 49% equity interest in BHome Mortgage and it expects a de minimis loss upon dissolution of this joint venture.

Effective February 1, 2024, the Company sold its 49.9% ownership interest in Challenger, a homebuilder that constructs townhouses, single family homes, and luxury patio homes in Colorado Springs and Denver, Colorado. The Company received approximately $64.0 million in cash from this sale which included a $10.7 million gain in the sale of this investment. The Company used the proceeds from the transaction for investment in and expansion of opportunities with those builders in which

The Company recognized $0.9 million, $10.9 million, and $20.9 million, related to Challenger in equity in income of unconsolidated entities during the years ended December 31, 2024, 2023, and 2022, respectively.

A summary of the financial information of the unconsolidated entities that are accounted for by the equity method, as described above, is as follows (in thousands):


			December 31, 2024		December 31, 2023
Assets:
Cash			$	7,334	$	23,549
Accounts receivable			488		4,207
Bonds and notes receivable			12,038		2,838
Loans held for sale, at fair value			—		7,452
Inventory			111,771		182,550
Other assets			1,738		6,425
Total assets			$	133,369	$	227,021
Liabilities:
Accounts payable			$	6,280	$	7,151
Accrued expenses and other liabilities			1,369		10,265
Notes payable			23,194		49,701
Total liabilities			$	30,843	$	67,117
Owners’ equity:
Green Brick			$	58,312	$	80,968
Others			44,214		78,936
Total owners’ equity			$	102,526	$	159,904
Total liabilities and owners’ equity			$	133,369	$	227,021


	Years Ended December 31,
	2024		2023		2022
Revenues	$	49,124	$	270,322	$	301,818
Costs and expenses	38,875		236,038		250,240
Net earnings of unconsolidated entities	$	10,249	$	34,284	$	51,578
Company’s share in net earnings of unconsolidated entities	$	5,083	$	16,742	$	25,626

A summary of the Company’s share in net earnings by unconsolidated entity is as follows (in thousands):


	Years Ended December 31,
	2024		2023		2022
GB Challenger, LLC	$	929	$	10,921	$	20,921
EJB River Holdings, LLC	2,421		2,812		2,424
BHome Mortgage, LLC	1,733		3,009		1,548
Green Brick Mortgage, LLC	—		—		733
Total net earnings from unconsolidated entities	$	5,083	$	16,742	$	25,626