Note 2 - Assets Held for Sale and Real Estate Operating Revenues

12 Months Ended

Dec. 31, 2017

Notes to Financial Statements

Assets Held-for-Sale and Real Estate Sales Disclosure [Text Block]

2. ASSETS HELD FOR SALE AND REAL ESTATE SALES

At

December 31, 2017

and

2016

assets held for sale consisted of the following:

	December 31 , 201 7		December 31, 201 6
	(in thousands)
Upcountry Maui, 630-acre parcel of agricultural land	$	156	$	156
Upcountry Maui, 80-acre parcel of agricultural land and wastewater treatment facility		56		56
Kapalua Resort, 15-acre golf practice course		-		247
Assets held for sale	$	212	$	459

None

of the above assets held for sale have been pledged as collateral under the Company

’s credit facility.

In

April 2017,

approximately

$6.7

million of land improvements were conveyed to the Company by the owner of a

125

-acre portion of the Company

’s Kapalua Mauka project. The owner purchased the

125

-acre property, commonly known as Mahana Estates, in

2009.

As part of the sale, the owner agreed to subsequently develop and convey to the Company upon completion certain easements, subdivision and utility improvements related to the Mahana Estates property.

In

February 2017,

the Company sold the

15

-acre Kapalua Golf Academy practice course located in the Kapalua Resort for

$7.0

million to the owner of the Kapalua Plantation and Bay Golf Courses. The property was sold without any development entitlements. The sale resulted in a gain of approximately

$6.4

million. The Company

used

$5.6

million of the sale proceeds to pay down its long-term debt.

In

December 2016,

the Company sold a

3.4

-acre property with an approximately

26,000

square foot building, commonly referred to as the Kapalua Village Center, for

$18.0

million to the owner of the Kapalua Plantation and Bay Golf Courses. The Kapalua Village Center, which served as the golf clubhouse for the former Kapalua Village Golf Course, was sold without any development entitlements. The sale resulted in a gain of

$12.9

million. Proceeds from the sale were used to pay down the Company’s long-term debt.

In

August 2016,

the Company sold a

five

-acre, fully entitled

42

-unit workforce housing project located in West Maui for

$3.0

million. As part of the transaction, the buyer agreed to provide the Company with

12

residential workforce housing credits by

August 2021.

The sale resulted in a gain of approximately

$2.8

million. Proceeds from the sale were used to pay down the Company’s long-term debt.

In

June 2016,

the Company sold a

304

-acre, fully entitled working-class community project located in West Maui, commonly referred to as Pulelehua, for

$15.0

million. The sale resulted in a gain of approximately

$14.3

million. Proceeds from the sale were used to pay down the Company’s long-term debt.