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Related Party Disclosures
 3 Months Ended
Dec. 31, 2024
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block] Related Party Transactions
D.R. Horton

The Company has a Shared Services Agreement with D.R. Horton whereby D.R. Horton provides the Company with certain administrative, compliance, operational and procurement services. In the three months ended December 31, 2024 and 2023, selling, general and administrative expense in the consolidated statements of operations included $1.8 million and $1.3 million for these shared services, $3.5 million and $2.4 million reimbursed to D.R. Horton for the cost of health insurance and other employee benefits and $0.2 million and $0.3 million for other corporate and administrative expenses paid by D.R. Horton on behalf of the Company.

Under the terms of the Master Supply Agreement with D.R. Horton, both companies identify land development opportunities to expand Forestar's portfolio of assets. At December 31, 2024 and September 30, 2024, the Company owned approximately 68,300 and 57,800 residential lots, respectively, of which D.R. Horton had the following involvement.

 December 31, 2024September 30, 2024
 (Dollars in millions)
Residential lots under contract to sell to D.R. Horton24,500 20,500 
Owned lots subject to right of first offer with D.R. Horton based on executed purchase and sale agreements19,300 17,200 
Earnest money deposits from D.R. Horton for lots under contract$202.9 $168.4 
Remaining sales price of lots under contract with D.R. Horton$2,136.7 $1,840.5 

Lot and land sales to D.R. Horton in the three months ended December 31, 2024 and 2023 were as follows:

Three Months Ended December 31,
 20242023
 (Dollars in millions)
Residential lots sold to D.R. Horton2,112 2,834 
Residential lot sales revenues from sales to D.R. Horton$217.4 $272.8 
Decrease in contract liabilities on lot sales to D.R. Horton
$1.2 $0.7 
Tract sales and other revenues from D.R. Horton
$2.0 $— 

In the three months ended December 31, 2024, the Company reimbursed D.R. Horton approximately $4.2 million for pre-acquisition and other due diligence and development costs related to land purchase contracts identified by D.R. Horton that the Company independently underwrote and closed compared to reimbursements of $4.6 million in the prior year period. In the three months ended December 31, 2024, the Company reimbursed D.R. Horton approximately $10.0 million for previously paid earnest money related to those land purchase contracts compared to reimbursements of $13.3 million in the prior year period. In the three months ended December 31, 2024, the Company purchased $2.1 million of water rights from D.R. Horton.
In the three months ended December 31, 2024, the Company paid D.R. Horton $0.1 million for land development services compared to $0.5 million for these services in the prior year period. These amounts are included in cost of sales in the Company’s consolidated statements of operations.

At December 31, 2024 and September 30, 2024, land held for future development primarily consisted of undeveloped land which the Company has under contract to sell to D.R. Horton at a sales price equal to the carrying value of the land at the time of sale plus additional consideration of 12% to 16% per annum.

At December 31, 2024, accrued expenses and other liabilities on the Company's consolidated balance sheets included $2.1 million owed to D.R. Horton for any accrued and unpaid shared service charges, land purchase contract deposits and due diligence and other development cost reimbursements compared to $5.2 million at September 30, 2024.