INVESTMENTS IN CONSOLIDATED AND UNCONSOLIDATED ENTITIES

3 Months Ended

Mar. 31, 2026

Equity Method Investments and Joint Ventures [Abstract]

INVESTMENTS IN CONSOLIDATED AND UNCONSOLIDATED ENTITIES

Unconsolidated Entities

We have investments in a number of joint ventures with third parties. These entities are generally involved in real estate development, homebuilding, Build-to-Rent, and/or mortgage lending activities. The primary activity of our real estate development joint ventures is the development and sale of lots to joint venture partners and/or unrelated builders. Summarized, unaudited condensed combined financial information of unconsolidated entities that are accounted for by the equity method are as follows (in thousands):


	As of
	March 31, 2026		December 31, 2025
Assets:
Real estate inventory	$	1,593,536	$	1,597,008
Other assets	251,983		226,356
Total assets	$	1,845,519	$	1,823,364
Liabilities and owners’ equity:
Debt	$	722,717	$	704,825
Other liabilities	63,959		50,225
Total liabilities	$	786,676	$	755,050
Owners’ equity:
TMHC	$	483,011	$	486,978
Others	575,832		581,336
Total owners’ equity	$	1,058,843	$	1,068,314
Total liabilities and owners’ equity	$	1,845,519	$	1,823,364


	Three Months Ended March 31,
	2026		2025
Revenue	$	120,057	$	93,587
Costs and expenses	(112,111)		(88,362)
Net income	$	7,946	$	5,225
TMHC’s share in net income from unconsolidated entities	$	2,877	$	1,975
Distributions to TMHC from unconsolidated entities	$	13,327	$	3,096

Consolidated Entities

We have several joint ventures for the purpose of real estate development and homebuilding activities, which are variable interest entities ("VIEs"). As the managing member, we oversee the daily operations and have the power to direct the activities of these joint ventures. For this specific subset of joint ventures, based upon the allocation of income and loss per the applicable joint venture agreements and certain performance guarantees, we have potentially significant exposure to the

risks and rewards of these joint ventures. Therefore, we are the primary beneficiary of these joint venture VIEs, and the entities are consolidated.

Assets and liabilities of the consolidated joint ventures consist of the following (in thousands):


	As of
	March 31, 2026		December 31, 2025
Cash and cash equivalents	$	15,212	$	36,075
Owned real estate inventory	77,404		75,050
Other assets	841		916
Total assets of consolidated joint ventures	$	93,457	$	112,041

Liabilities of consolidated joint ventures(1)	$	53,077	$	51,762

(1) Liabilities of consolidated joint ventures is primarily comprised of accounts payable and accrued expenses and other liabilities.