Company: LEN
Filing Date: 2025-01-23
Form Type: 10-K
Source: 0001628280-25-002404
Chunk: 24

Company: LENNAR CORP /NEW/
Filing Date: 2025-01-23
Form: 10-K
Item: Item 8
Chunk 24
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 value, the investment is recorded at cost, less any impairment, plus or minus adjustments related to observable transactions for the same or similar securities, with unrealized gains and losses included in earnings. The Lennar Other segment had investments in equity securities of $347.8 million and $297.2 million that are recorded at fair value with unrealized gains and losses included in earnings, as of November 30, 2024 and 2023, respectively. For equity method investments in the Lennar Other segment, the Company records the investment as Lennar Other investments in unconsolidated entities. The Company regularly reviews its investments in unconsolidated entities to determine whether there is a decline in fair value below book value. If there is a decline that is other-than-temporary, the investment is written down to fair value. There were no impairments recorded during the years ended November 30, 2024 and 2023. Interest and Real Estate TaxesInterest and real estate taxes attributable to land and homes are capitalized as inventory costs while they are being actively developed. Interest related to homebuilding and land, including interest costs relieved from inventories, is included in costs of homes sold and costs of land sold. Interest expense related to the Financial Services and Multifamily operations is included in its costs and expenses.During the years ended November 30, 2024, 2023 and 2022, interest incurred by the Company’s homebuilding operations related to homebuilding debt was $129.3 million, $187.6 million and $230.8 million, respectively; interest capitalized into inventories was $110.5 million, $172.0 million and $211.7 million, respectively.Interest expense was included in costs of homes sold, costs of land sold and other interest expense as follows:Years Ended November 30,(In thousands)202420232022Interest expense in costs of homes sold$160,848 240,871 293,105 Interest expense in costs of land sold373 1,588 498 Other interest expense (1)18,771 15,434 19,128 Total interest expense$179,992 257,893 312,731 (1)Included in Homebuilding other income (expense), net.Income TaxesThe Company records income taxes under the asset and liability method, whereby deferred tax assets and liabilities are recognized based on the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective