Company: UHG
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001830188-25-000012
Chunk: 14

Company: United Homes Group, Inc.
Filing Date: 2025-03-14
Form: 10-K
Item: Item 1
Chunk 14
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’s criteria, are given authority by the LIC to put deals under LOI with minimal capital requirements in order to perform an initial evaluation of the acquisition opportunity. Acquisition opportunities are presented to the LIC by division leadership, in collaboration with other senior members of the organization, and are generally presented prior to the expiration of the negotiated inspection period and prior to the time that any deposits become non-refundable. 

The Company considers a lot controlled when the Company is under contract to acquire the land, holds an option to acquire the applicable lot for the relevant timeframe set forth in the option contract, or the lot is owned or controlled by related parties and UHG expects to obtain the contractual right to acquire. Finished lots are typically purchased through lot 

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option contracts with third party developers, related party developers or land bank partners. The Company typically posts deposits of 15 -20% of the total purchase price of the finished lots and has a staggered takedown schedule designed to match the expected sales pace for the community. For contracts with land bank partners, UHG typically pays the development costs and is reimbursed the following month from the land bank partner. 

As of December 31, 2024, lot deposits relating to lot and land option contracts totaled $48.2 million, which controlled 7,565 option lots. As of December 31, 2023, lot deposits relating to lot and land option contracts totaled $33.0 million, which controlled 8,653 option lots. While the Company intends to grow its controlled lot position over time to support long-term growth of the business, shorter-term fluctuations in lot count are typical for the Company and the industry through normal course of ongoing acquisition, underwriting, and due diligence activities.

Owned and Controlled Lots

The following table presents UHG’s owned or controlled lots by market as of December 31, 2024 and 2023.

As of December 31, 2024As of December 31, 2023Market/DivisionOwnedControlledTotalOwnedControlledTotalMidlands674,7334,8001105,0185,128Coastal171,2041,221761,0661,142Upstate71,3831,390392,1952,234Rosewood15180195124159283Raleigh19658446215261Total1257,5657,6903958,6539,048

Owned Real Estate Inventory Status

The following table presents UHG’s owned real estate inventory status as of December 31, 202