Company: LGIH
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001580670-25-000016
Chunk: 391

Company: LGI Homes, Inc.
Filing Date: 2025-02-26
Form: 10-K
Item: Item 1A
Chunk 391
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,338 51,314 Less: Accumulated depreciation(7,300)(5,792)Property and equipment, net$57,038 $45,522 We build and lease a number of single-family homes in select, existing communities.  During the years ended December 31, 2024 and 2023, we transferred $25.1 million and $13.5 million, respectively, of home assets from real estate 

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inventory to rental properties within property and equipment, net. During the year ended December 31, 2024, we had a bulk sale of 103 leased, single family homes and realized gains of $14.0 million included in Other income, net.

Depreciation expense incurred for the years ended December 31, 2024, 2023 and 2022 was $3.1 million, $2.4 million and $1.6 million, respectively. 

5.     ACCRUED EXPENSES AND OTHER LIABILITIES

Accrued and other liabilities consist of the following (in thousands):December 31,   20242023Real estate inventory development and construction payable$48,019 $71,193 Taxes payable43,076 14,694 Land banking financing arrangements37,140 104,459 Accrued compensation, bonuses and benefits18,653 22,550 Warranty reserve16,100 13,600 Accrued interest13,560 13,522 Inventory related obligations8,779 11,924 Lease liability6,134 4,947 Contract deposits4,143 2,909 Other11,713 12,074 Total accrued expenses and other liabilities$207,317 $271,872 Land Banking Financing ArrangementsWe have land banking financing arrangements with 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. Principal payments on these financing arrangements will generally coincide with the repurchase of lot takedowns from the land banker. We expect to complete the repurchase of all lots via takedowns associated with these transactions over the course of approximately one to two years.Inventory Related ObligationsWe own lots in certain communities in Florida and Texas that have Community Development Districts or similar utility and infrastructure development special assessment programs that allocate a fixed amount of debt service associated with development activities to each lot. This obligation for infrastructure development