INVESTMENTS IN UNCONSOLIDATED ENTITIES

6 Months Ended

Jun. 30, 2017

Equity Method Investments and Joint Ventures [Abstract]

INVESTMENTS IN UNCONSOLIDATED ENTITIES

INVESTMENTS IN UNCONSOLIDATED ENTITIES

We have investments in a number of joint ventures with related and unrelated third parties, with ownership interests up to 50.0%. These entities are generally involved in real estate development, homebuilding and mortgage lending activities. Some of these joint ventures develop land for the sole use of the joint venture participants, including us, and others develop land for sale to the joint venture participants and to unrelated builders. Our share of the joint venture profit relating to lots we purchase from the joint ventures is deferred until homes are delivered by us and title passes to a homebuyer.

Summarized, unaudited combined financial information of unconsolidated entities that are accounted for by the equity method is as follows (in thousands):

	As of
	June 30, 2017		December 31, 2016
Assets:
Real estate inventory	$	735,093	$	614,441
Other assets	125,802		171,216
Total assets	$	860,895	$	785,657
Liabilities and owners’ equity:
Debt	$	316,970	$	277,934
Other liabilities	22,552		22,603
Total liabilities	339,522		300,537
Owners’ equity:
TMHC	178,878		157,909
Others	342,495		327,211
Total owners’ equity	521,373		485,120
Total liabilities and owners’ equity	$	860,895	$	785,657

	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016
Revenues	$	64,260		$	37,042		$	87,253		$	49,662
Costs and expenses	(50,937		)	(30,110		)	(71,041		)	(40,220		)
Net income of unconsolidated entities	$	13,323		$	6,932		$	16,212		$	9,442
TMHC’s share in income of unconsolidated entities	$	3,071		$	2,305		$	4,156		$	3,087
Distributions from unconsolidated entities	$	5,052		$	3,218		$	6,791		$	3,329