Company: LGIH
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001580670-25-000058
Chunk: 59

Company: LGI Homes, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 59
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 a third-party land banker to repurchase land that we sold to the land banker as a method of acquiring finished lots in staged takedowns, while limiting risk and minimizing the use of funds from our available cash or other financing sources. In consideration for this repurchase option, we paid a non-refundable commitment fee. Based on our right to control the ultimate economic outcome of these finished lots, these assets will continue to be held as real estate not owned within our inventory and a corresponding obligation was established within our accrued liabilities, as discussed in Note 3, “Accrued Expenses and Other Liabilities” to our consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q, to recognize this relationship. While we are not legally obligated to repurchase the balance of the lots, we will be subject to certain performance obligations, financial and other penalties if the lots are not purchased. We do not have any ownership interest or title to the assets that we have sold to the land banker and we do not guarantee any of the land banker’s liabilities.

The table below shows (i) home closings by reportable segment for the six months ended June 30, 2025 and (ii) our owned or controlled lots by reportable segment as of June 30, 2025.

Six Months Ended June 30, 2025As of June 30, 2025Reportable SegmentHome ClosingsOwned (1)ControlledTotalCentral690 19,830 883 20,713 Southeast768 13,956 3,962 17,918 Northwest165 5,462 1,337 6,799 West389 8,970 3,297 12,267 Florida307 5,337 1,722 7,059 Total2,319 53,555 11,201 64,756 

(1)Of the 53,555 owned lots as of June 30, 2025, 37,374 were raw/under development lots and 16,181 were finished lots.

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Homes in Inventory

When entering a new community, we intend to build a sufficient number of move-in ready homes to meet our budgets. We base future home starts on home closings. As homes are closed, we start more homes to maintain our inventory. As of June 30, 2025, we had a total of 2,524 completed homes, including information