Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Nov. 03, 2016 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | FOR | |
Entity Registrant Name | FORESTAR GROUP INC. | |
Entity Central Index Key | 1,406,587 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 33,722,230 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 122,130 | $ 96,442 |
Real estate, net | 387,074 | 586,715 |
Assets of discontinued operations | 124 | 104,967 |
Assets held for sale | 14,394 | 0 |
Investment in unconsolidated ventures | 79,564 | 82,453 |
Timber | 6,629 | 7,683 |
Receivables, net | 1,300 | 19,025 |
Income taxes receivable | 23,068 | 12,056 |
Prepaid expenses | 1,606 | 3,116 |
Property and equipment, net | 9,686 | 10,732 |
Goodwill and other intangible assets | 43,455 | 43,455 |
Other assets | 3,047 | 5,602 |
TOTAL ASSETS | 692,077 | 972,246 |
LIABILITIES AND EQUITY | ||
Accounts payable | 6,535 | 11,617 |
Accrued employee compensation and benefits | 4,360 | 5,547 |
Accrued property taxes | 4,197 | 4,529 |
Accrued interest | 569 | 3,267 |
Deferred tax liability, net | 1,021 | 1,037 |
Earnest money deposits | 11,370 | 10,214 |
Other accrued expenses | 10,488 | 14,556 |
Liabilities of discontinued operations | 3,637 | 11,192 |
Other liabilities | 20,372 | 24,657 |
Debt, net | 112,348 | 381,515 |
TOTAL LIABILITIES | 174,897 | 468,131 |
COMMITMENTS AND CONTINGENCIES | ||
Forestar Group Inc. shareholders’ equity: | ||
Common stock, par value $1.00 per share, 200,000,000 authorized shares, 36,946,603 issued at third quarter-end 2016 and year-end 2015 | 36,947 | 36,947 |
Additional paid-in capital | 560,248 | 561,850 |
Accumulated deficit | (31,143) | (46,046) |
Treasury stock, at cost, 3,224,373 shares at third quarter-end 2016 and 3,203,768 shares at year-end 2015 | (50,339) | (51,151) |
Total Forestar Group Inc. shareholders’ equity | 515,713 | 501,600 |
Noncontrolling interests | 1,467 | 2,515 |
TOTAL EQUITY | 517,180 | 504,115 |
TOTAL LIABILITIES AND EQUITY | $ 692,077 | $ 972,246 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2016 | Dec. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (in shares) | 36,946,603 | 36,946,603 |
Treasury stock, common shares (in shares) | 3,224,373 | 3,203,768 |
Consolidated Statements of Inco
Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
REVENUES | ||||
Real estate sales and other | $ 45,285 | $ 18,369 | $ 114,711 | $ 68,630 |
Commercial and income producing properties | 12 | 9,588 | 13,065 | 31,566 |
Real estate | 45,297 | 27,957 | 127,776 | 100,196 |
Mineral resources | 1,423 | 2,502 | 3,842 | 7,616 |
Other | 487 | 1,726 | 1,199 | 5,372 |
Total revenues | 47,207 | 32,185 | 132,817 | 113,184 |
COSTS AND EXPENSES | ||||
Cost of real estate sales and other | (24,884) | (9,588) | (105,023) | (33,840) |
Cost of commercial and income producing properties | (4,375) | (6,780) | (15,326) | (22,020) |
Cost of mineral resources | (182) | (2,119) | (572) | (2,774) |
Cost of other | (363) | (819) | (867) | (2,599) |
Other operating expenses | (6,471) | (12,319) | (26,879) | (37,013) |
General and administrative | (5,177) | (9,467) | (16,508) | (22,510) |
Total expenses | (41,452) | (41,092) | (165,175) | (120,756) |
GAIN ON SALE OF ASSETS | 501 | 425 | 121,732 | 1,585 |
OPERATING INCOME (LOSS) | 6,256 | (8,482) | 89,374 | (5,987) |
Equity in earnings of unconsolidated ventures | 3,637 | 2,909 | 3,872 | 11,538 |
Interest expense | (3,369) | (8,315) | (17,926) | (25,851) |
Loss on extinguishment of debt, net | 0 | 0 | (35,864) | 0 |
Other non-operating income | 1,249 | 62 | 1,620 | 1,762 |
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE TAXES | 7,773 | (13,826) | 41,076 | (18,538) |
Income tax benefit (expense) | 9,666 | (43,568) | (7,415) | (41,699) |
NET INCOME (LOSS) FROM CONTINUING OPERATIONS | 17,439 | (57,394) | 33,661 | (60,237) |
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES | (7,164) | (106,937) | (17,428) | (146,649) |
CONSOLIDATED NET INCOME (LOSS) | 10,275 | (164,331) | 16,233 | (206,886) |
Less: Net (income) loss attributable to noncontrolling interests | (610) | 115 | (1,330) | 5 |
NET INCOME (LOSS) ATTRIBUTABLE TO FORESTAR GROUP INC. | $ 9,665 | $ (164,216) | $ 14,903 | $ (206,881) |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | ||||
Basic (in shares) | 34,099 | 34,299 | 34,234 | 34,248 |
Diluted (in shares) | 42,260 | 34,299 | 42,334 | 34,248 |
NET INCOME (LOSS) PER BASIC SHARE | ||||
Continuing operations, basic (usd per share) | $ 0.40 | $ (1.67) | $ 0.77 | $ (1.76) |
Discontinued operations, basic (usd per share) | (0.17) | (3.12) | (0.42) | (4.28) |
NET INCOME (LOSS) PER BASIC SHARE (usd per share) | 0.23 | (4.79) | 0.35 | (6.04) |
NET INCOME (LOSS) PER DILUTED SHARE | ||||
Continuing operations, diluted (usd per share) | 0.40 | (1.67) | 0.76 | (1.76) |
Discontinued operation, diluted (usd per share) | (0.17) | (3.12) | (0.41) | (4.28) |
NET INCOME (LOSS) PER DILUTED SHARE (usd per share) | $ 0.23 | $ (4.79) | $ 0.35 | $ (6.04) |
TOTAL COMPREHENSIVE INCOME (LOSS) | $ 9,665 | $ (164,216) | $ 14,903 | $ (206,881) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Consolidated net income (loss) | $ 16,233 | $ (206,886) |
Adjustments: | ||
Depreciation, depletion and amortization | 9,885 | 36,780 |
Change in deferred income taxes | (16) | 39,106 |
Equity in earnings of unconsolidated ventures | (3,872) | (11,538) |
Distributions of earnings of unconsolidated ventures | 4,793 | 7,343 |
Share-based compensation | 2,665 | 5,531 |
Real estate cost of sales | 56,817 | 33,575 |
Dry hole and unproved leasehold impairment charges | 0 | 46,722 |
Real estate development and acquisition expenditures, net | (56,552) | (81,055) |
Reimbursements from utility and improvement districts | 13,698 | 8,285 |
Asset impairments | 57,065 | 91,146 |
Loss on debt extinguishment, net | 35,864 | 0 |
Gain on sale of assets | (108,114) | (265) |
Other | 3,639 | 2,390 |
Changes in: | ||
Notes and accounts receivable | 20,734 | 9,395 |
Prepaid expenses and other | 1,536 | 3,106 |
Accounts payable and other accrued liabilities | (13,556) | (2,300) |
Income taxes | (11,012) | 3,625 |
Net cash provided by (used for) operating activities | 29,807 | (15,040) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Property, equipment, software, reforestation and other | (5,902) | (10,882) |
Oil and gas properties and equipment | (579) | (47,043) |
Investment in unconsolidated ventures | (5,615) | (23,908) |
Proceeds from sales of assets | 319,351 | 13,571 |
Return of investment in unconsolidated ventures | 3,948 | 7,783 |
Net cash provided by (used for) investing activities | 311,203 | (60,479) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Payments of debt | (311,724) | (7,527) |
Additions to debt | 2,749 | 7,105 |
Distributions to noncontrolling interests, net | (2,378) | (703) |
Repurchases of common stock | (3,537) | 0 |
Payroll taxes on issuance of stock-based awards | (221) | (722) |
Other | (211) | (121) |
Net cash used for financing activities | (315,322) | (1,968) |
Net increase (decrease) in cash and cash equivalents | 25,688 | (77,487) |
Cash and cash equivalents at beginning of period | 96,442 | 170,127 |
Cash and cash equivalents at end of period | $ 122,130 | $ 92,640 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation Our consolidated financial statements include the accounts of Forestar Group Inc., all subsidiaries, ventures and other entities in which we have a controlling interest. We account for our investment in other entities in which we have significant influence over operations and financial policies using the equity method. We eliminate all material intercompany accounts and transactions. Noncontrolling interests in consolidated pass-through entities are recognized before income taxes. We prepare our unaudited interim financial statements in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") and Securities and Exchange Commission requirements for interim financial statements. As a result, they do not include all the information and disclosures required for complete financial statements. However, in our opinion, all adjustments considered necessary for a fair presentation have been included. Such adjustments consist only of normal recurring items unless otherwise noted. We make estimates and assumptions about future events. Actual results can, and probably will, differ from those we currently estimate including those principally related to allocating costs to real estate, measuring long-lived assets for impairment, oil and gas revenue accruals, capital expenditure and lease operating expense accruals associated with our oil and gas production activities, oil and gas reserves and depletion of our oil and gas properties. These interim operating results are not necessarily indicative of the results that may be expected for the entire year. For further information, please read the financial statements included in our 2015 Annual Report on Form 10-K. At third quarter-end 2016, we have divested substantially all of our oil and gas working interest properties. As a result of this significant change in our operations, we have reported the results of operations and financial position of these assets as discontinued operations within the consolidated statements of income (loss) and comprehensive income (loss) and consolidated balance sheets for all periods presented. In addition, in second quarter 2016, we changed the name of the oil and gas segment to mineral resources to reflect the strategic shift from oil and gas working interest investments to owned mineral interests. We also changed the name of the other natural resources segment to other. |
New and Pending Accounting Pron
New and Pending Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
New and Pending Accounting Pronouncements | New and Pending Accounting Pronouncements Adoption of New Accounting Standards In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs, as part of its initiative to reduce complexity in accounting standards. To simplify presentation of debt issuance costs, the amendments in this update require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued ASU 2015-15, Interest-Imputation of Interest (Subtopic 835-30), Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting (SEC Update), which allows an entity to defer and present debt issuance costs as an asset and subsequently amortize the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The updated standards are effective for financial statements issued for annual and interim periods beginning after December 15, 2015. We adopted ASU 2015-03 in first quarter 2016 and prior period amounts have been reclassified to conform to the current period presentation. As of December 31, 2015, $8,267,000 of debt issuance costs were reclassified in the consolidated balance sheet from other assets to debt. The adoption did not impact our consolidated financial position, results of operations or cash flows. As permitted under this guidance, we will continue to present debt issuance costs associated with revolving-debt agreements as other assets. In February 2015, the FASB issued ASU 2015-02, Consolidation: Amendments to the Consolidation Analysis (Topic 810) , requiring entities to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. The revised consolidation model: (1) modifies the evaluation of whether limited partnerships and similar legal entities are variable interest entities (VIEs) or voting interest entities, (2) eliminates the presumption that a general partner should consolidate a limited partnership, (3) affects the consolidation analysis of reporting entities that are involved with VIEs, and (4) provides a scope exception from consolidation guidance for reporting entities with interests in certain legal entities. The updated standard is effective for financial statements issued for annual and interim periods beginning after December 15, 2015. The adoption of this guidance, which was applied retrospectively, had no impact to our consolidated financial statements. Pending Accounting Standards In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The updated standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. Early adoption is not permitted. The updated standard becomes effective for annual and interim periods beginning after December 15, 2017. We have not yet selected a transition method and we are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) , in order to provide increased transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The updated standard is effective for financial statements issued for annual periods beginning after December 15, 2019 and interim periods within fiscal years beginning after December 31, 2020 with early adoption permitted. We are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. In March 2016, the FASB issued ASU 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting , as part of its simplification initiative. The areas for simplification in this update involve several aspects of the accounting for share-based payment transactions, including income tax consequences, classification of awards as either equity or liabilities, and the classification on the statement of cash flows. The updated standard becomes effective for annual and interim periods beginning after December 31, 2016. We are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) , in order to address eight specific cash flow issues with the objective of reducing the existing diversity in practice. The updated standard is effective for financial statements issued for annual periods beginning after December 15, 2017 and interim periods within those fiscal years with early adoption permitted. We are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. |
Real Estate
Real Estate | 9 Months Ended |
Sep. 30, 2016 | |
Real Estate [Abstract] | |
Real Estate | Real Estate Real estate consists of: Third Quarter-End 2016 Year-End 2015 Carrying Value Accumulated Depreciation Net Carrying Value Carrying Value Accumulated Depreciation Net Carrying Value (In thousands) Entitled, developed and under development projects $ 293,356 $ — $ 293,356 $ 352,141 $ — $ 352,141 Timberland and undeveloped land (includes land in entitlement) 93,718 — 93,718 98,181 — 98,181 Commercial Radisson Hotel & Suites (a) — — — 62,889 (29,268 ) 33,621 Income producing properties Eleven (a) — — — 53,896 (2,861 ) 51,035 Dillon (a) — — — 19,987 — 19,987 Music Row (a) — — — 9,947 — 9,947 Downtown Edge multifamily site (b) — — — 12,706 — 12,706 West Austin multifamily site (b) — — — 9,097 — 9,097 $ 387,074 $ — $ 387,074 $ 618,844 $ (32,129 ) $ 586,715 ___________________ (a) Sold in 2016. (b) Classified as assets held for sale at third quarter-end 2016. At third quarter-end 2016, Downtown Edge and West Austin, two multifamily sites in Austin, were classified as held for sale at a net carrying amount of $14,394,000 . In first nine months 2016, we sold the Radisson Hotel & Suites, a 413 room hotel in Austin, for $130,000,000 , generating $128,764,000 in net proceeds before paying in full the associated debt of $15,400,000 and recognized a gain on sale of $95,336,000 . We also sold Eleven, a wholly-owned 257 -unit multifamily property in Austin, for $60,150,000 , generating $59,719,000 in net proceeds before paying in full the associated debt of $23,936,000 and recognized a gain on sale of $9,116,000 . In addition, we sold Dillon, a planned 379 -unit multifamily property that was under construction in Charlotte, for $25,979,000 , generating $25,433,000 in net proceeds and recognized a gain on sale of $1,229,000 and Music Row, a planned 230 -unit multifamily property that was under construction in Nashville, for $15,025,000 , generating $14,703,000 in net proceeds and recognized a gain on sale of $3,968,000 . In third quarter and first nine months 2016, we recognized non-cash impairment charges of $7,627,000 and $56,453,000 related to six non-core community development projects and two multifamily sites. These impairments were a result of our key initiative to review our entire portfolio of assets which resulted in business plan changes, inclusive of cash tax savings considerations, to market these properties for sale, which resulted in adjustment of the carrying value to fair value. Our estimated costs of assets for which we expect to be reimbursed by utility and improvement districts were $54,290,000 at third quarter-end 2016 and $67,554,000 at year-end 2015 , including $22,361,000 at third quarter-end 2016 and $22,302,000 at year-end 2015 related to our Cibolo Canyons project near San Antonio, Texas. In first nine months 2016 , we have collected $13,197,000 in reimbursements that were previously submitted to these districts. At third quarter-end 2016 , our inception-to-date submitted and approved reimbursements for the Cibolo Canyons project were $54,376,000 of which we have collected $36,109,000 . These costs are principally for water, sewer and other infrastructure assets that we have incurred and submitted or will submit to utility or improvement districts for approval and reimbursement. We expect to be reimbursed by utility and improvement districts when these districts achieve adequate tax basis or otherwise have funds available to support payment. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2016 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations At third quarter-end 2016, we have divested substantially all of our oil and gas working interest properties. As a result of this significant change in our operations, we have reported the results of operations and financial position of these assets as discontinued operations within the consolidated statements of income (loss) and comprehensive income (loss) and consolidated balance sheets for all periods presented. In addition, in second quarter 2016, we changed the name of the oil and gas segment to mineral resources to reflect the strategic shift from oil and gas working interest investments to owned mineral interests. Summarized results from discontinued operations were as follows: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Revenues $ 180 $ 10,983 $ 5,827 $ 35,219 Cost of sales (108 ) (93,434 ) (6,593 ) (174,462 ) Other operating expenses (3,318 ) (1,644 ) (5,707 ) (8,652 ) Loss from discontinued operations before income taxes $ (3,246 ) $ (84,095 ) $ (6,473 ) $ (147,895 ) Gain (loss) on sale of assets before income taxes 955 (2,174 ) (13,618 ) (1,320 ) Income tax benefit (expense) (4,873 ) (20,668 ) 2,663 2,566 Loss from discontinued operations, net of taxes $ (7,164 ) $ (106,937 ) $ (17,428 ) $ (146,649 ) In first nine months 2016, we recorded a net loss of $13,618,000 on the sale of 199,263 net mineral acres leased from others and 379 gross ( 95 net) producing oil and gas working interest wells in Nebraska, Kansas, Oklahoma and North Dakota for total net proceeds of $80,084,000 , which includes $3,269,000 in reimbursement of capital costs incurred on in-progress wells that were assumed by the buyer. Other operating expenses in third quarter 2016 include loss contingency charges of $1,100,000 related to the Huffman litigation and $1,155,000 related to potential environmental liabilities to plug and abandon certain oil and gas wells in Wyoming. Please read Note 14—Commitments and Contingencies for additional information about these items. In third quarter and first nine months 2015, cost of sales includes non-cash impairment charges of $79,438,000 and $125,383,000 . The major classes of assets and liabilities of discontinued operations at third quarter-end 2016 and year-end 2015 are as follows: Third Year-End 2016 2015 (In thousands) Assets of Discontinued Operations: Receivables, net of allowance for bad debt $ 116 $ 4,632 Oil and gas properties and equipment, net — 79,733 Goodwill and other intangible assets — 19,673 Prepaid expenses 8 96 Other assets — 833 $ 124 $ 104,967 Liabilities of Discontinued Operations: Accounts payable $ 91 $ 342 Accrued property taxes — 259 Other accrued expenses 3,546 8,924 Other liabilities — 1,667 $ 3,637 $ 11,192 Significant operating activities and investing activities of discontinued operations are as follows: First Nine Months 2016 2015 (In thousands) Operating activities: Asset impairments $ 612 $ 88,614 Dry hole and unproved leasehold impairment charges — 46,722 Loss (gain) on sale of assets 13,618 1,320 Depreciation, depletion and amortization 2,202 24,254 $ 16,432 $ 160,910 Investing activities: Oil and gas properties and equipment $ (579 ) $ (47,043 ) Proceeds from sales of assets 76,815 13,111 $ 76,236 $ (33,932 ) |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Sep. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Carrying value of goodwill and other intangible assets follows: Third Year-End 2016 2015 (In thousands) Goodwill $ 41,774 $ 41,774 Identified intangibles 1,681 1,681 $ 43,455 $ 43,455 Goodwill related to our mineral interests was $37,900,000 at third quarter-end 2016 and year-end 2015 . Goodwill associated with our water resources initiatives was $3,874,000 at third quarter-end 2016 and year-end 2015 . Identified intangibles include $1,681,000 in indefinite lived groundwater leases associated with our water resources initiatives. |
Equity
Equity | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Equity | Equity A reconciliation of changes in equity through third quarter-end 2016 follows: Forestar Group Inc. Noncontrolling Interests Total (In thousands) Balance at year-end 2015 $ 501,600 $ 2,515 $ 504,115 Net income (loss) 14,903 1,330 16,233 Distributions to noncontrolling interests — (2,378 ) (2,378 ) Repurchase of common shares (3,537 ) — (3,537 ) Other (primarily share-based compensation) 2,747 — 2,747 $ 515,713 $ 1,467 $ 517,180 In first nine months 2016, we repurchased 283,976 shares of our common stock at an average price of $12.45 per share. |
Investment in Unconsolidated Ve
Investment in Unconsolidated Ventures | 9 Months Ended |
Sep. 30, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment in Unconsolidated Ventures | Investment in Unconsolidated Ventures We participate in real estate ventures for the purpose of acquiring and developing residential, multifamily and mixed-use communities in which we may or may not have a controlling financial interest. U.S. GAAP requires consolidation of Variable Interest Entities (VIEs) in which an enterprise has a controlling financial interest and is the primary beneficiary. A controlling financial interest will have both of the following characteristics: (a) the power to direct the VIE activities that most significantly impact economic performance and (b) the obligation to absorb the VIE losses and right to receive benefits that are significant to the VIE. We examine specific criteria and use judgment when determining whether a venture is a VIE and whether we are the primary beneficiary and must consolidate a VIE. We perform this review initially at the time we enter into venture agreements and reassess upon reconsideration events. At third quarter-end 2016 , we had ownership interests in 17 ventures that we accounted for using the equity method, of which no ne are a VIE. In first nine months 2016, we sold our interest in FMF Peakview LLC (360 0 ), a 304 -unit multifamily joint venture near Denver, generating $13,917,000 in net proceeds and recognized a gain of $10,363,000 which is included in gain on sale of assets. Combined summarized balance sheet information for our ventures accounted for using the equity method follows: Venture Assets Venture Borrowings (a) Venture Equity Our Investment Third Year-End Third Year-End Third Year-End Third Year-End 2016 2015 2016 2015 2016 2015 2016 2015 (In thousands) 242, LLC (b) $ 27,110 $ 26,687 $ 3,182 $ — $ 21,428 $ 24,877 $ 10,048 $ 11,766 CL Ashton Woods, LLC (c) 4,426 7,654 — — 3,685 6,084 2,107 3,615 CL Realty, LLC 7,913 7,872 — — 7,798 7,662 3,899 3,831 CREA FMF Nashville LLC (b) 56,117 57,820 37,192 50,845 17,297 4,291 4,984 3,820 Elan 99, LLC 49,671 34,192 32,461 14,587 13,628 15,838 12,265 14,255 FOR/SR Forsyth LLC 9,584 6,500 — — 9,016 6,500 8,115 5,850 FMF Littleton LLC 70,704 52,376 42,083 22,347 23,838 24,370 6,138 6,270 FMF Peakview LLC — 48,869 — 30,485 — 16,828 — 3,447 HM Stonewall Estates, Ltd (c) 814 2,842 — — 814 2,842 814 1,294 LM Land Holdings, LP (c) 29,350 31,984 4,481 7,728 23,762 22,751 10,770 9,664 MRECV DT Holdings LLC 4,039 4,215 — — 4,039 4,215 3,635 3,807 MRECV Edelweiss LLC 2,816 2,237 — — 2,816 2,237 2,764 2,029 MRECV Juniper Ridge LLC 4,403 3,006 — — 4,403 3,006 3,882 2,730 MRECV Meadow Crossing II LLC 2,366 728 — — 2,366 728 2,129 655 Miramonte Boulder Pass, LLC 12,783 12,627 6,660 5,869 5,380 5,474 5,387 5,349 Temco Associates, LLC 5,357 5,284 — — 5,225 5,113 2,612 2,557 Other ventures 26 4,174 — 2,242 26 1,922 15 1,514 $ 287,479 $ 309,067 $ 126,059 $ 134,103 $ 145,521 $ 154,738 $ 79,564 $ 82,453 Combined summarized income statement information for our ventures accounted for using the equity method follows: Venture Revenues Venture Earnings (Loss) Our Share of Earnings (Loss) Third Quarter First Nine Months Third Quarter First Nine Months Third Quarter First Nine Months 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 (In thousands) 242, LLC (b) $ 937 $ 2,884 $ 937 $ 20,583 $ 15 $ 1,161 $ (449 ) $ 9,034 $ 14 $ 597 $ (218 ) $ 4,642 CL Ashton Woods, LP (c) 288 3,958 1,977 6,369 83 1,341 601 2,719 129 1,849 892 3,405 CL Realty, LLC 140 205 386 674 72 103 136 346 37 52 68 174 CREA FMF Nashville LLC (b) (d) 1,291 442 3,273 477 (145 ) (991 ) (1,214 ) (1,207 ) 1,484 (991 ) 1,164 (1,207 ) Elan 99, LLC 461 — 628 — (867 ) — (2,211 ) (2 ) (779 ) — (1,989 ) (2 ) FMF Littleton LLC 944 6 1,791 6 (183 ) (152 ) (531 ) (152 ) (47 ) (38 ) (133 ) (38 ) FMF Peakview LLC — 628 939 1,280 — (286 ) (248 ) (1,020 ) — (58 ) (50 ) (204 ) FOR/SR Forsyth LLC — — — — (21 ) — (38 ) — (19 ) — (34 ) — HM Stonewall Estates, Ltd (c) 822 921 1,948 2,590 280 480 794 1,292 120 157 347 730 LM Land Holdings, LP (c) 3,505 1,857 6,531 8,154 2,502 1,391 4,557 5,179 836 423 1,481 1,710 MRECV DT Holdings LLC 162 — 379 — 157 167 372 167 141 — 334 — MRECV Edelweiss LLC 106 — 287 — 106 125 280 125 96 65 252 65 MRECV Juniper Ridge LLC 151 — 356 — 151 105 357 105 135 — 321 — MRECV Meadow Crossing II LLC 112 — 141 — 112 — 94 — 101 — 84 — Miramonte Boulder Pass, LLC 1,015 — 1,678 — (126 ) (92 ) (285 ) (141 ) (63 ) (46 ) (142 ) (71 ) PSW Communities, LP — 5,145 — 21,214 — 613 — 3,141 — 127 — 1,088 Temco Associates, LLC 77 8,019 224 9,163 32 1,618 111 2,077 16 809 56 1,039 Other ventures 6,520 71 6,520 3,772 2,166 242 2,109 (16 ) 1,436 (37 ) 1,439 207 $ 16,531 $ 24,136 $ 27,995 $ 74,282 $ 4,334 $ 5,825 $ 4,435 $ 21,647 $ 3,637 $ 2,909 $ 3,872 $ 11,538 _____________________ (a) Total includes current maturities of $88,249,000 at third quarter-end 2016 , of which $68,430,000 is non-recourse to us, and $39,590,000 at year-end 2015 , of which $29,691,000 is non-recourse to us. (b) Includes unamortized deferred gains on real estate we contributed to ventures. We recognize deferred gains as income as the real estate is sold to third parties. Deferred gains of $1,490,000 are reflected as a reduction to our investment in unconsolidated ventures at third quarter-end 2016 . (c) Includes unrecognized basis difference of $122,000 which is reflected as an increase of our investment in unconsolidated ventures at third quarter-end 2016 . The difference will be accreted as income or expense over the life of the investment and included in our share of earnings (loss) from the respective ventures. (d) Our share of venture earnings in third quarter and first nine months 2016 includes reallocation of prior year cumulative losses incurred by the venture as a result of equity contribution by the venture partner in 2016. In first nine months 2016 , we invested $5,615,000 in these ventures and received $8,741,000 in distributions. In first nine months 2015 , we invested $23,908,000 in these ventures and received $15,126,000 in distributions. Distributions include both return of investments and distribution of earnings. |
Receivables
Receivables | 9 Months Ended |
Sep. 30, 2016 | |
Receivables [Abstract] | |
Receivables | Receivables Receivables consist of: Third Year-End 2016 2015 (In thousands) Funds held by qualified intermediary for potential 1031 like-kind exchange $ — $ 14,703 Other receivables and accrued interest 561 2,218 Other loans secured by real estate, average interest rates of 12.91% at third quarter-end 2016 and 11.31% at year-end 2015 764 2,130 1,325 19,051 Allowance for bad debts (25 ) (26 ) $ 1,300 $ 19,025 In first quarter 2016, we received funds previously held by a qualified intermediary because we did not complete an intended like-kind exchange related to a 2015 sale of 6,915 acres of undeveloped land. Other loans secured by real estate generally are secured by a deed of trust and due within three years. |
Debt, net
Debt, net | 9 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Debt, net | Debt, net Debt (a) consists of: Third Year-End 2016 2015 (In thousands) 8.50% senior secured notes due 2022, net $ 5,195 $ 224,647 3.75% convertible senior notes due 2020, net of discount 103,637 104,719 6.00% tangible equity unit notes, net 2,219 8,666 Secured promissory note — average interest rate of 3.42% at year-end 2015 — 15,400 Other indebtedness — interest rates ranging from 5.0% to 5.50% 1,297 28,083 $ 112,348 $ 381,515 ___________________ (a) At third quarter-end 2016 and year-end 2015 , $1,768,000 and $8,267,000 of unamortized deferred financing fees are deducted from our outstanding debt . Our debt agreements contain financial covenants customary for such agreements including minimum levels of interest coverage and limitations on leverage. At third quarter-end 2016 , we were in compliance with the financial covenants of these agreements. Effective September 2, 2016, we reduced the revolving commitment provided by our senior secured credit facility, which matures on May 15, 2017 (with two one -year extension options), from $300,000,000 to $125,000,000 , none of which was drawn at third quarter-end 2016. As a result of this reduction, we expensed $831,000 in unamortized debt issuance costs in third quarter 2016. The revolving line of credit may be prepaid at any time without penalty. The revolving line of credit includes a $100,000,000 sublimit for letters of credit, of which $13,679,000 was outstanding at third quarter-end 2016 . Total borrowings under our senior secured credit facility (including the face amount of letters of credit) may not exceed a borrowing base formula. At third quarter-end 2016 , we had $111,321,000 in net unused borrowing capacity under our senior secured credit facility. Under the terms of our senior secured credit facility, at our option we can borrow at LIBOR plus 4.0 percent or at the alternate base rate plus 3.0 percent . The alternate base rate is the highest of (i) KeyBank National Association’s base rate, (ii) the federal funds effective rate plus 0.5 percent or (iii) 30 day LIBOR plus 1 percent . Borrowings under the senior secured credit facility are or may be secured by (a) mortgages on the timberland, high value timberland and portions of raw entitled land, as well as pledges of other rights including certain oil and gas operating properties, (b) assignments of current and future leases, rents and contracts, (c) a security interest in our primary operating account, (d) a pledge of the equity interests in current and future material operating subsidiaries and most of our majority-owned joint venture interests, or if such pledge is not permitted, a pledge of the right to distributions from such entities, and (e) a pledge of certain reimbursements payable to us from special improvement district tax collections in connection with our Cibolo Canyons project. The senior secured credit facility provides for releases of real estate and other collateral provided that borrowing base compliance is maintained. Our debt agreements contain financial covenants customary for such agreements including minimum levels of interest coverage and limitations on leverage. At third quarter-end 2016, our tangible net worth requirement was $379,044,000 plus 85 percent of the aggregate net proceeds received by us from any equity offering, plus 75 percent of all positive net income, on a cumulative basis since third quarter-end 2015. The tangible net worth requirement is recalculated on a quarterly basis. We may elect to make distributions to stockholders so long as the total leverage ratio is less than 40 percent , the interest coverage ratio is greater than 3.0 :1.0 and available liquidity is not less than $125,000,000 , all of which were satisfied at third quarter-end 2016. Regardless of whether the foregoing conditions are satisfied, we may make distributions in an aggregate amount not to exceed $50,000,000 to be funded from up to 65% of the net proceeds from sales of multifamily properties and non-core assets, such as the Radisson Hotel & Suites in Austin, and any oil and gas properties. In second quarter 2016, we completed a cash tender offer for our 8.50% Senior Secured Notes due 2022 (Notes), pursuant to which we purchased $215,495,000 principal amount (representing approximately 97.6% outstanding) of the Notes. Total consideration paid was $245,604,000 , which included $29,091,000 in premium at 113.5% and $1,018,000 in accrued and unpaid interest. In addition, we received consent from holders of the Notes to eliminate or modify certain covenants, events of default and other provisions contained in the indenture governing the Notes, and to release the subsidiary guarantees and collateral securing the Notes. We also purchased $1,150,000 principal amount of the Notes at 99.95% of face value in open market transactions. The second quarter 2016 tender offer and open market purchases resulted in a $35,583,000 loss on extinguishment of debt, which includes the premium paid to repurchase the Notes, write-off of unamortized debt issuance costs of $5,191,000 and $1,301,000 in other costs related to tender offer advisory services. In first quarter 2016, we purchased $8,600,000 principal amount of the Notes at 99% of face value in the open market transactions, resulting in a $127,000 gain on the early extinguishment of the Notes offset by the write-off of unamortized debt issuance costs of $225,000 . In second quarter 2016, we purchased $5,000,000 of 3.75% Convertible Senior Notes due 2020 at 93.25% of face value in open market transactions for $4,662,500 and we allocated $4,452,000 to extinguish the debt and $211,000 to reacquire the equity component within the convertible notes based on the fair value of the debt component. We recognized a $110,000 loss on extinguishment of debt based on the difference between the fair value of the debt component prior to conversion and the carrying value of the debt component. Total loss on extinguishment of debt including write-off of debt issuance costs allocated to the repurchased notes was $183,000 . In second quarter 2016, a secured promissory note of $15,400,000 was paid in full in connection with sale of the Radisson Hotel & Suites, a 413 guest room hotel located in Austin, for $130,000,000 . In second quarter 2016, other indebtedness decreased principally as result of selling Eleven, a 257 -unit multifamily project in Austin, for $60,150,000 and paying in full the associated debt of $23,936,000 . At third quarter-end 2016 and year-end 2015 , we had $1,768,000 and $8,267,000 in unamortized deferred financing fees which were deducted from our debt. In addition, at third quarter-end 2016 and year-end 2015, unamortized deferred financing fees related to our senior secured credit facility included in other assets were $524,000 and $2,768,000 . Amortization of deferred financing fees were $3,253,000 and $2,992,000 in first nine months 2016 and 2015 and were included in interest expense. |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value Fair value is the exchange price that would be the amount received for an asset or paid to transfer a liability in an orderly transaction between market participants. In arriving at a fair value measurement, we use a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable. The three levels of inputs used to establish fair value are the following: • Level 1 — Quoted prices in active markets for identical assets or liabilities; • Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Non-financial assets measured at fair value on a non-recurring basis principally include real estate assets, oil and gas properties, assets held for sale, goodwill and other intangible assets, which are measured for impairment. In first nine months 2016, we recognized non-cash impairment charges of $56,453,000 related to six non-core community development projects and two multifamily sites as a result of the review of our entire portfolio of assets and marketing these properties for sale. We based our valuations primarily on executed purchase and sale agreements, current negotiations and letters of intent with expected buyers and third party broker price opinions. In second quarter 2016, we recognized non-cash impairment charges of $612,000 related to oil and gas working interests properties that were sold in third quarter 2016. Non-financial assets measured at fair value on a non-recurring basis are as follows: Third Quarter-End 2016 Year-End 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (In thousands) Non-Financial Assets and Liabilities: Real estate $ — $ — $ 36,243 $ 36,243 $ — $ — $ 641 $ 641 Assets of discontinued operations $ — $ — $ — $ — $ — $ — $ 57,219 $ 57,219 We elected not to use the fair value option for cash and cash equivalents, accounts receivable, other current assets, variable debt, accounts payable and other current liabilities. The carrying amounts of these financial instruments approximate their fair values due to their short-term nature or variable interest rates. We determine the fair value of fixed rate financial instruments using quoted prices for similar instruments in active markets. Information about our fixed rate financial instruments not measured at fair value follows: Third Quarter-End 2016 Year-End 2015 Carrying Amount Fair Value Carrying Amount Fair Value Valuation Technique (In thousands) Fixed rate debt $ (112,810 ) $ (112,455 ) $ (346,090 ) $ (321,653 ) Level 2 |
Capital Stock
Capital Stock | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Capital Stock | Capital Stock Please read Note 16—Share-Based and Long-Term Incentive Compensation for information about additional shares of common stock that could be issued under terms of our share-based compensation plans. At third quarter-end 2016 , personnel of former affiliates held options to purchase 241,000 shares of our common stock. The options have a weighted average exercise price of $30.30 and a weighted average remaining contractual term of less than one year . At third quarter-end 2016 , the options had an aggregate intrinsic value of $0 . |
Net Income (Loss) per Share
Net Income (Loss) per Share | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) per Share | Net Income (Loss) per Share Basic and diluted earnings per share is computed using the two-class method. The two-class method is an earnings allocation formula that determines net income per share for each class of common stock and participating security. We have determined that our 6.00% tangible equity units are participating securities. Per share amounts are computed by dividing earnings available to common shareholders by the weighted average shares outstanding during each period. In periods with a net loss, no such adjustment is made to earnings as the holders of the participating securities have no obligation to fund losses. Due to a net loss from continuing operations in third quarter and first nine months 2015, as the effect of potentially dilutive securities would be anti-dilutive, basic and diluted loss per share are the same. The computations of basic and diluted earnings per share are as follows: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Numerator: Continuing operations Net income (loss) from continuing operations $ 17,439 $ (57,394 ) $ 33,661 $ (60,237 ) Less: Net (income) loss attributable to noncontrolling interest (610 ) 115 (1,330 ) 5 Earnings (loss) available for diluted earnings per share $ 16,829 $ (57,279 ) $ 32,331 $ (60,232 ) Less: Undistributed net income from continuing operations allocated to participating securities (3,152 ) — (6,035 ) — Earnings (loss) from continuing operations available to common shareholders for basic earnings per share $ 13,677 $ (57,279 ) $ 26,296 $ (60,232 ) Discontinued operations Net income (loss) from discontinued operations available for diluted earnings per share $ (7,164 ) $ (106,937 ) $ (17,428 ) $ (146,649 ) Less: Undistributed net income from discontinued operations allocated to participating securities 1,342 — 3,253 — Earnings (loss) from discontinued operations available to common shareholders for basic earnings per share $ (5,822 ) $ (106,937 ) $ (14,175 ) $ (146,649 ) Denominator: Weighted average common shares outstanding — basic 34,099 34,299 34,234 34,248 Weighted average common shares upon conversion of participating securities 7,857 — 7,857 — Dilutive effect of stock options, restricted stock and equity-settled awards 304 — 243 — Total weighted average shares outstanding — diluted 42,260 34,299 42,334 34,248 Anti-dilutive awards excluded from diluted weighted average shares 2,001 10,933 2,146 10,835 The actual number of shares we may issue upon settlement of the stock purchase contract related to the 6.00% tangible equity units will be between 6,547,800 shares (the minimum settlement rate) and 7,857,000 shares (the maximum settlement rate) based on the applicable market value, as defined in the purchase contract agreement associated with issuance of the such units. We intend to settle the remaining principal amount of our 3.75% convertible senior notes due 2020 (Convertible Notes) in cash upon conversion with only the amount in excess of par value of the Convertible Notes to be settled in shares of our common stock. Therefore, our calculation of diluted net income per share includes only the amount, if any, in excess of par value of the Convertible Notes. As such, the Convertible Notes have no impact on diluted net income per share until the price of our common stock exceeds the $24.49 conversion price of the Convertible Notes. The average price of our common stock in third quarter 2016 did not exceed the conversion price which resulted in no additional diluted outstanding shares. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our effective tax rate from continuing operations was a tax benefit of 124 percent in third quarter 2016, and a tax expense of 18 percent for the first nine months 2016. The year to date tax expense of 18 percent differs from the statutory rate of 35 percent primarily due to a benefit for decrease in our valuation allowance related to decrease in our deferred tax assets. Our effective tax rate from continuing operations was 315 percent in third quarter 2015 and 225 percent in first nine months 2015, which was attributable almost entirely to a valuation allowance recorded against our net deferred tax asset. In addition, 2016 and 2015 effective tax rates from continuing operations include the effect of state income taxes, nondeductible items and benefits of percentage depletion. We assessed available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit recognition of the existing deferred tax assets under U.S. GAAP. A significant piece of objective evidence evaluated was the cumulative loss incurred over the three-year period ended September 30, 2016, principally driven by impairments of oil and gas properties in 2015. Such evidence limits our ability to consider other subjective evidence, such as our projected future taxable income. On the basis of this evaluation, at third quarter-end 2016 and year-end 2015 , we have a valuation allowance for our deferred tax assets of $88,773,000 and $97,068,000 for the portion of the deferred tax assets that we have determined is more likely than not to be unrealizable under U.S. GAAP. The amount of the deferred tax asset considered realizable could be adjusted if negative evidence in the form of cumulative losses is no longer present and additional weight is given to subjective evidence, such as our projected future taxable income. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation We are involved in various legal proceedings that arise from time to time in the ordinary course of doing business and believe that adequate reserves have been established for any probable losses. We do not believe that the outcome of any of these proceedings should have a significant adverse effect on our financial position, long-term results of operations or cash flows. However, it is possible that charges related to these matters could be significant to our results or cash flows in any one accounting period. On October 4, 2014, James Huffman, a former director and CEO of CREDO Petroleum Corporation (Credo), which we acquired in 2012 and is now known as Forestar Petroleum Corporation, filed Huffman vs. Forestar Petroleum Corporation , Case Number 14CV33811, Civ. Div., Dist. Ct., City and County of Denver, Colorado. Huffman claimed entitlement under a Credo employee compensation program to overriding royalty interests (ORRI) on nearly all North Dakota leases, none of which were assigned by Credo to Huffman prior to his retirement, and on several Kansas and Nebraska leases. On August 11, 2016, we agreed to pay Huffman $150,000 in settlement of all claims except those involving North Dakota assets. Following a jury trial, on September 23, 2016, an adverse verdict was received in the amount of $923,899 for breach of contract related to the North Dakota claims. At third quarter-end 2016, we have accrued $1,100,000 for damages, prejudgment interest and costs. We intend to contest the verdict, and judgment has not been entered by the court because non-jury claims by both parties remain outstanding. The remaining claims have not been adjudicated and we are unable to conclude whether loss on these claims is probable or remote. We are unable to estimate a possible loss or range of loss on the remaining claims because (a) the parties have not fully briefed their positions or applicable law, (b) Huffman did not seek monetary damages in his trial pleadings, and (c) our claim for unjust enrichment would result, if we prevail, in reduction or elimination of damages already accrued and no additional damages. Environmental We have asset retirement obligations related to the abandonment and site restoration requirements that result from the acquisition, construction and development of oil and gas properties. We record the fair value of a liability for an asset retirement obligation in the period in which it is incurred and a corresponding increase in the carrying amount of the related long-lived asset. Accretion expense related to the asset retirement obligation and depletion expense related to capitalized asset retirement cost is included in cost of oil and gas producing activities of discontinued operations. At third quarter-end 2016 and year-end 2015 , our estimated asset retirement obligation was $1,256,000 and $1,758,000 , of which $1,155,000 and $1,667,000 is included in liabilities of discontinued operations and the remaining balance in other liabilities. Non-Core Assets Restructuring Costs In connection with key initiatives to reduce costs across our entire organization and divest non-core assets, in first nine months 2016, we incurred and paid severance costs related to workforce reductions of $1,422,000 in our real estate segment, $164,000 in our other segment and $486,000 in unallocated general and administrative expense. In addition, we offered retention bonuses to certain key personnel provided they remained our employees through completion of sale transactions. We are expensing retention bonus costs over the estimated retention period. These restructuring costs are included in other operating expense. The following table summarizes activity related to liabilities associated with our restructuring activities for first nine months 2016: Severance Costs Retention Bonuses Total (In thousands) Balance at year-end 2015 $ (1,049 ) $ — $ (1,049 ) Additions (2,072 ) (832 ) (2,904 ) Payments 3,121 792 3,913 Balance at third quarter-end 2016 $ — $ (40 ) $ (40 ) |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information We manage our operations through three segments: real estate, mineral resources and other. Real estate secures entitlements and develops infrastructure on our lands for single-family residential and mixed-use communities, and manages our undeveloped land and commercial and income producing properties, which consist of three projects and two multifamily sites. Mineral resources manages our owned mineral interests. Other manages our timber, recreational leases and water resource initiatives. In second quarter 2016, we changed the name of the oil and gas segment to mineral resources to reflect the strategic shift from oil and gas working interest investments to owned mineral interests. We also changed the name of the other natural resources to other. Total assets allocated by segment are as follows: Third Year-End 2016 2015 (In thousands) Real estate $ 484,426 $ 691,238 Mineral resources 39,140 39,469 Other 20,422 19,106 Assets of discontinued operations 124 104,967 Assets not allocated to segments (a) 147,965 117,466 $ 692,077 $ 972,246 _________________________ (a) Assets not allocated to segments at third quarter-end 2016 principally consist of cash and cash equivalents of $122,130,000 and an income tax receivable of $23,068,000 . Assets not allocated to segments at year-end 2015 principally consist of cash and cash equivalents of $96,442,000 and an income tax receivable of $12,056,000 . Assets of discontinued operations represent oil and gas working interest assets we have or will be divesting. We evaluate performance based on segment earnings (loss) before unallocated items and income taxes. Segment earnings (loss) consist of operating income, equity in earnings (loss) of unconsolidated ventures, gain on sales of assets, interest income on loans secured by real estate and net (income) loss attributable to noncontrolling interests. Items not allocated to our business segments consist of general and administrative expense, share-based and long-term incentive compensation, gain on sale of strategic timberland, interest expense, loss on extinguishment of debt and other corporate non-operating income and expense. The accounting policies of the segments are the same as those described in Note 1—Basis of Presentation . Our revenues are derived from U.S. operations and all of our assets are located in the U.S. In third quarter 2016 , no single customer accounted for more than ten percent of our total revenues. Segment revenues and earnings are as follows: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Revenues: Real estate $ 45,297 $ 27,957 $ 127,776 $ 100,196 Mineral resources 1,423 2,502 3,842 7,616 Other 487 1,726 1,199 5,372 Total revenues $ 47,207 $ 32,185 $ 132,817 $ 113,184 Segment earnings (loss): Real estate $ 15,017 $ 5,154 $ 108,531 $ 29,747 Mineral resources 1,182 77 2,668 3,215 Other (196 ) (77 ) (974 ) (511 ) Total segment earnings 16,003 5,154 110,225 32,451 Items not allocated to segments (a) (8,840 ) (18,865 ) (70,479 ) (50,984 ) Income (loss) from continuing operations before taxes attributable to Forestar Group Inc. $ 7,163 $ (13,711 ) $ 39,746 $ (18,533 ) _________________________ (a) Items not allocated to segments consist of: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) General and administrative expense $ (4,505 ) $ (8,343 ) $ (13,992 ) $ (19,540 ) Shared-based and long-term incentive compensation expense (1,024 ) (2,245 ) (2,980 ) (5,726 ) Interest expense (3,369 ) (8,315 ) (17,926 ) (25,851 ) Loss on extinguishment of debt, net — — (35,864 ) — Other corporate non-operating income 58 38 283 133 $ (8,840 ) $ (18,865 ) $ (70,479 ) $ (50,984 ) |
Share-Based and Long-Term Incen
Share-Based and Long-Term Incentive Compensation | 9 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation and Long-Term Incentive Compensation | Share-Based and Long-Term Incentive Compensation Share-based and long-term incentive compensation expense consists of: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Cash-settled awards $ (43 ) $ 146 $ 82 $ (1,005 ) Equity-settled awards 765 1,654 1,869 4,569 Restricted stock 10 16 22 13 Stock options 217 388 692 1,954 Total share-based compensation 949 2,204 2,665 5,531 Deferred cash 75 41 315 195 $ 1,024 $ 2,245 $ 2,980 $ 5,726 Share-based and long-term incentive compensation expense is included in: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) General and administrative expense $ 672 $ 1,124 $ 2,516 $ 2,970 Other operating expense 352 1,121 464 2,756 $ 1,024 $ 2,245 $ 2,980 $ 5,726 Share-Based Compensation In first nine months 2016 , we granted 174,419 equity-settled awards to employees in the form of restricted stock units which vest ratably over three years and provide for accelerated vesting upon retirement, disability, death, or if there is a change in control. In addition, in first nine months 2016 , we granted 69,760 restricted stock units to our board of directors which vest 25 percent at grant date and 25 percent at each subsequent quarterly board meeting and a stock option grant to acquire 20,000 shares of common stock for each of two new directors, of which 6,500 shares vest on the first and second anniversary of the date of grant and the remaining 7,000 shares vest on the third anniversary of the date of grant. The option term is ten years. Expense associated with annual restricted stock units and non-qualified stock options to our board of directors is included in share-based compensation expense. Excluded from share-based compensation expense in the table above are fees earned by our board of directors in the amount of $169,000 and $292,000 in third quarter of 2016 and 2015 and $596,000 and $807,000 in first nine months 2016 and 2015 for which they elected to defer payment until retirement in the form of share-settled units. These expenses are included in general and administrative expense. The fair value of awards granted to retirement eligible employees expensed at the date of grant was $600,000 and $517,000 in first nine months 2016 and 2015 . Unrecognized share-based compensation expense related to non-vested equity-settled awards, restricted stock and stock options is $2,361,216 at third quarter-end 2016 . In first nine months 2016 and 2015 , we issued 263,371 and 159,867 shares out of our treasury stock associated with vesting of stock-based awards or exercise of stock options, net of 25,026 and 48,636 shares withheld having a value of $221,000 and $722,000 for payroll taxes in connection with vesting of stock-based awards or exercise of stock options. Long-Term Incentive Compensation In first nine months 2016 and 2015 , we granted $620,000 and $587,000 of long-term incentive compensation in the form of deferred cash compensation. The 2016 deferred cash awards vest annually over two years, and the 2015 deferred cash awards vest after three years. Both awards provide for accelerated vesting upon retirement, disability, death, or if there is a change in control. Expense associated with deferred cash awards is recognized ratably over the vesting period. The accrued liability was $469,000 and $225,000 at third quarter-end 2016 and year-end 2015 and is included in other liabilities. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Our consolidated financial statements include the accounts of Forestar Group Inc., all subsidiaries, ventures and other entities in which we have a controlling interest. We account for our investment in other entities in which we have significant influence over operations and financial policies using the equity method. We eliminate all material intercompany accounts and transactions. Noncontrolling interests in consolidated pass-through entities are recognized before income taxes. We prepare our unaudited interim financial statements in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") and Securities and Exchange Commission requirements for interim financial statements. As a result, they do not include all the information and disclosures required for complete financial statements. However, in our opinion, all adjustments considered necessary for a fair presentation have been included. Such adjustments consist only of normal recurring items unless otherwise noted. We make estimates and assumptions about future events. Actual results can, and probably will, differ from those we currently estimate including those principally related to allocating costs to real estate, measuring long-lived assets for impairment, oil and gas revenue accruals, capital expenditure and lease operating expense accruals associated with our oil and gas production activities, oil and gas reserves and depletion of our oil and gas properties. These interim operating results are not necessarily indicative of the results that may be expected for the entire year. For further information, please read the financial statements included in our 2015 Annual Report on Form 10-K. At third quarter-end 2016, we have divested substantially all of our oil and gas working interest properties. As a result of this significant change in our operations, we have reported the results of operations and financial position of these assets as discontinued operations within the consolidated statements of income (loss) and comprehensive income (loss) and consolidated balance sheets for all periods presented. In addition, in second quarter 2016, we changed the name of the oil and gas segment to mineral resources to reflect the strategic shift from oil and gas working interest investments to owned mineral interests. We also changed the name of the other natural resources segment to other. |
New and Pending Accounting Pr23
New and Pending Accounting Pronouncements (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
New and Pending Accounting Pronouncements | Adoption of New Accounting Standards In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs, as part of its initiative to reduce complexity in accounting standards. To simplify presentation of debt issuance costs, the amendments in this update require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued ASU 2015-15, Interest-Imputation of Interest (Subtopic 835-30), Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting (SEC Update), which allows an entity to defer and present debt issuance costs as an asset and subsequently amortize the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The updated standards are effective for financial statements issued for annual and interim periods beginning after December 15, 2015. We adopted ASU 2015-03 in first quarter 2016 and prior period amounts have been reclassified to conform to the current period presentation. As of December 31, 2015, $8,267,000 of debt issuance costs were reclassified in the consolidated balance sheet from other assets to debt. The adoption did not impact our consolidated financial position, results of operations or cash flows. As permitted under this guidance, we will continue to present debt issuance costs associated with revolving-debt agreements as other assets. In February 2015, the FASB issued ASU 2015-02, Consolidation: Amendments to the Consolidation Analysis (Topic 810) , requiring entities to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. The revised consolidation model: (1) modifies the evaluation of whether limited partnerships and similar legal entities are variable interest entities (VIEs) or voting interest entities, (2) eliminates the presumption that a general partner should consolidate a limited partnership, (3) affects the consolidation analysis of reporting entities that are involved with VIEs, and (4) provides a scope exception from consolidation guidance for reporting entities with interests in certain legal entities. The updated standard is effective for financial statements issued for annual and interim periods beginning after December 15, 2015. The adoption of this guidance, which was applied retrospectively, had no impact to our consolidated financial statements. Pending Accounting Standards In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The updated standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. Early adoption is not permitted. The updated standard becomes effective for annual and interim periods beginning after December 15, 2017. We have not yet selected a transition method and we are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) , in order to provide increased transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The updated standard is effective for financial statements issued for annual periods beginning after December 15, 2019 and interim periods within fiscal years beginning after December 31, 2020 with early adoption permitted. We are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. In March 2016, the FASB issued ASU 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting , as part of its simplification initiative. The areas for simplification in this update involve several aspects of the accounting for share-based payment transactions, including income tax consequences, classification of awards as either equity or liabilities, and the classification on the statement of cash flows. The updated standard becomes effective for annual and interim periods beginning after December 31, 2016. We are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) , in order to address eight specific cash flow issues with the objective of reducing the existing diversity in practice. The updated standard is effective for financial statements issued for annual periods beginning after December 15, 2017 and interim periods within those fiscal years with early adoption permitted. We are currently evaluating the effect that the updated standard will have on our earnings, financial position and disclosures. |
Real Estate (Tables)
Real Estate (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Real Estate [Abstract] | |
Real Estate | Real estate consists of: Third Quarter-End 2016 Year-End 2015 Carrying Value Accumulated Depreciation Net Carrying Value Carrying Value Accumulated Depreciation Net Carrying Value (In thousands) Entitled, developed and under development projects $ 293,356 $ — $ 293,356 $ 352,141 $ — $ 352,141 Timberland and undeveloped land (includes land in entitlement) 93,718 — 93,718 98,181 — 98,181 Commercial Radisson Hotel & Suites (a) — — — 62,889 (29,268 ) 33,621 Income producing properties Eleven (a) — — — 53,896 (2,861 ) 51,035 Dillon (a) — — — 19,987 — 19,987 Music Row (a) — — — 9,947 — 9,947 Downtown Edge multifamily site (b) — — — 12,706 — 12,706 West Austin multifamily site (b) — — — 9,097 — 9,097 $ 387,074 $ — $ 387,074 $ 618,844 $ (32,129 ) $ 586,715 ___________________ (a) Sold in 2016. (b) Classified as assets held for sale at third quarter-end 2016. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summarized Results from Discontinued Operations | Summarized results from discontinued operations were as follows: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Revenues $ 180 $ 10,983 $ 5,827 $ 35,219 Cost of sales (108 ) (93,434 ) (6,593 ) (174,462 ) Other operating expenses (3,318 ) (1,644 ) (5,707 ) (8,652 ) Loss from discontinued operations before income taxes $ (3,246 ) $ (84,095 ) $ (6,473 ) $ (147,895 ) Gain (loss) on sale of assets before income taxes 955 (2,174 ) (13,618 ) (1,320 ) Income tax benefit (expense) (4,873 ) (20,668 ) 2,663 2,566 Loss from discontinued operations, net of taxes $ (7,164 ) $ (106,937 ) $ (17,428 ) $ (146,649 ) |
Schedule of Assets and Liabilities of Discontinued Operations | The major classes of assets and liabilities of discontinued operations at third quarter-end 2016 and year-end 2015 are as follows: Third Year-End 2016 2015 (In thousands) Assets of Discontinued Operations: Receivables, net of allowance for bad debt $ 116 $ 4,632 Oil and gas properties and equipment, net — 79,733 Goodwill and other intangible assets — 19,673 Prepaid expenses 8 96 Other assets — 833 $ 124 $ 104,967 Liabilities of Discontinued Operations: Accounts payable $ 91 $ 342 Accrued property taxes — 259 Other accrued expenses 3,546 8,924 Other liabilities — 1,667 $ 3,637 $ 11,192 |
Significant Operation and Investing Activities of DIscontinued Operations | Significant operating activities and investing activities of discontinued operations are as follows: First Nine Months 2016 2015 (In thousands) Operating activities: Asset impairments $ 612 $ 88,614 Dry hole and unproved leasehold impairment charges — 46,722 Loss (gain) on sale of assets 13,618 1,320 Depreciation, depletion and amortization 2,202 24,254 $ 16,432 $ 160,910 Investing activities: Oil and gas properties and equipment $ (579 ) $ (47,043 ) Proceeds from sales of assets 76,815 13,111 $ 76,236 $ (33,932 ) |
Goodwill and Other Intangible26
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Carrying value of goodwill and other intangible assets | Carrying value of goodwill and other intangible assets follows: Third Year-End 2016 2015 (In thousands) Goodwill $ 41,774 $ 41,774 Identified intangibles 1,681 1,681 $ 43,455 $ 43,455 |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Reconciliation of Changes in Equity | A reconciliation of changes in equity through third quarter-end 2016 follows: Forestar Group Inc. Noncontrolling Interests Total (In thousands) Balance at year-end 2015 $ 501,600 $ 2,515 $ 504,115 Net income (loss) 14,903 1,330 16,233 Distributions to noncontrolling interests — (2,378 ) (2,378 ) Repurchase of common shares (3,537 ) — (3,537 ) Other (primarily share-based compensation) 2,747 — 2,747 $ 515,713 $ 1,467 $ 517,180 |
Investment in Unconsolidated 28
Investment in Unconsolidated Ventures (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Summarized Balance Sheet Information | Combined summarized balance sheet information for our ventures accounted for using the equity method follows: Venture Assets Venture Borrowings (a) Venture Equity Our Investment Third Year-End Third Year-End Third Year-End Third Year-End 2016 2015 2016 2015 2016 2015 2016 2015 (In thousands) 242, LLC (b) $ 27,110 $ 26,687 $ 3,182 $ — $ 21,428 $ 24,877 $ 10,048 $ 11,766 CL Ashton Woods, LLC (c) 4,426 7,654 — — 3,685 6,084 2,107 3,615 CL Realty, LLC 7,913 7,872 — — 7,798 7,662 3,899 3,831 CREA FMF Nashville LLC (b) 56,117 57,820 37,192 50,845 17,297 4,291 4,984 3,820 Elan 99, LLC 49,671 34,192 32,461 14,587 13,628 15,838 12,265 14,255 FOR/SR Forsyth LLC 9,584 6,500 — — 9,016 6,500 8,115 5,850 FMF Littleton LLC 70,704 52,376 42,083 22,347 23,838 24,370 6,138 6,270 FMF Peakview LLC — 48,869 — 30,485 — 16,828 — 3,447 HM Stonewall Estates, Ltd (c) 814 2,842 — — 814 2,842 814 1,294 LM Land Holdings, LP (c) 29,350 31,984 4,481 7,728 23,762 22,751 10,770 9,664 MRECV DT Holdings LLC 4,039 4,215 — — 4,039 4,215 3,635 3,807 MRECV Edelweiss LLC 2,816 2,237 — — 2,816 2,237 2,764 2,029 MRECV Juniper Ridge LLC 4,403 3,006 — — 4,403 3,006 3,882 2,730 MRECV Meadow Crossing II LLC 2,366 728 — — 2,366 728 2,129 655 Miramonte Boulder Pass, LLC 12,783 12,627 6,660 5,869 5,380 5,474 5,387 5,349 Temco Associates, LLC 5,357 5,284 — — 5,225 5,113 2,612 2,557 Other ventures 26 4,174 — 2,242 26 1,922 15 1,514 $ 287,479 $ 309,067 $ 126,059 $ 134,103 $ 145,521 $ 154,738 $ 79,564 $ 82,453 |
Summarized Income Statement Information | Combined summarized income statement information for our ventures accounted for using the equity method follows: Venture Revenues Venture Earnings (Loss) Our Share of Earnings (Loss) Third Quarter First Nine Months Third Quarter First Nine Months Third Quarter First Nine Months 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 (In thousands) 242, LLC (b) $ 937 $ 2,884 $ 937 $ 20,583 $ 15 $ 1,161 $ (449 ) $ 9,034 $ 14 $ 597 $ (218 ) $ 4,642 CL Ashton Woods, LP (c) 288 3,958 1,977 6,369 83 1,341 601 2,719 129 1,849 892 3,405 CL Realty, LLC 140 205 386 674 72 103 136 346 37 52 68 174 CREA FMF Nashville LLC (b) (d) 1,291 442 3,273 477 (145 ) (991 ) (1,214 ) (1,207 ) 1,484 (991 ) 1,164 (1,207 ) Elan 99, LLC 461 — 628 — (867 ) — (2,211 ) (2 ) (779 ) — (1,989 ) (2 ) FMF Littleton LLC 944 6 1,791 6 (183 ) (152 ) (531 ) (152 ) (47 ) (38 ) (133 ) (38 ) FMF Peakview LLC — 628 939 1,280 — (286 ) (248 ) (1,020 ) — (58 ) (50 ) (204 ) FOR/SR Forsyth LLC — — — — (21 ) — (38 ) — (19 ) — (34 ) — HM Stonewall Estates, Ltd (c) 822 921 1,948 2,590 280 480 794 1,292 120 157 347 730 LM Land Holdings, LP (c) 3,505 1,857 6,531 8,154 2,502 1,391 4,557 5,179 836 423 1,481 1,710 MRECV DT Holdings LLC 162 — 379 — 157 167 372 167 141 — 334 — MRECV Edelweiss LLC 106 — 287 — 106 125 280 125 96 65 252 65 MRECV Juniper Ridge LLC 151 — 356 — 151 105 357 105 135 — 321 — MRECV Meadow Crossing II LLC 112 — 141 — 112 — 94 — 101 — 84 — Miramonte Boulder Pass, LLC 1,015 — 1,678 — (126 ) (92 ) (285 ) (141 ) (63 ) (46 ) (142 ) (71 ) PSW Communities, LP — 5,145 — 21,214 — 613 — 3,141 — 127 — 1,088 Temco Associates, LLC 77 8,019 224 9,163 32 1,618 111 2,077 16 809 56 1,039 Other ventures 6,520 71 6,520 3,772 2,166 242 2,109 (16 ) 1,436 (37 ) 1,439 207 $ 16,531 $ 24,136 $ 27,995 $ 74,282 $ 4,334 $ 5,825 $ 4,435 $ 21,647 $ 3,637 $ 2,909 $ 3,872 $ 11,538 _____________________ (a) Total includes current maturities of $88,249,000 at third quarter-end 2016 , of which $68,430,000 is non-recourse to us, and $39,590,000 at year-end 2015 , of which $29,691,000 is non-recourse to us. (b) Includes unamortized deferred gains on real estate we contributed to ventures. We recognize deferred gains as income as the real estate is sold to third parties. Deferred gains of $1,490,000 are reflected as a reduction to our investment in unconsolidated ventures at third quarter-end 2016 . (c) Includes unrecognized basis difference of $122,000 which is reflected as an increase of our investment in unconsolidated ventures at third quarter-end 2016 . The difference will be accreted as income or expense over the life of the investment and included in our share of earnings (loss) from the respective ventures. (d) Our share of venture earnings in third quarter and first nine months 2016 includes reallocation of prior year cumulative losses incurred by the venture as a result of equity contribution by the venture partner in 2016. |
Receivables (Tables)
Receivables (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Receivables [Abstract] | |
Receivables | Receivables consist of: Third Year-End 2016 2015 (In thousands) Funds held by qualified intermediary for potential 1031 like-kind exchange $ — $ 14,703 Other receivables and accrued interest 561 2,218 Other loans secured by real estate, average interest rates of 12.91% at third quarter-end 2016 and 11.31% at year-end 2015 764 2,130 1,325 19,051 Allowance for bad debts (25 ) (26 ) $ 1,300 $ 19,025 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Debt | Debt (a) consists of: Third Year-End 2016 2015 (In thousands) 8.50% senior secured notes due 2022, net $ 5,195 $ 224,647 3.75% convertible senior notes due 2020, net of discount 103,637 104,719 6.00% tangible equity unit notes, net 2,219 8,666 Secured promissory note — average interest rate of 3.42% at year-end 2015 — 15,400 Other indebtedness — interest rates ranging from 5.0% to 5.50% 1,297 28,083 $ 112,348 $ 381,515 ___________________ (a) At third quarter-end 2016 and year-end 2015 , $1,768,000 and $8,267,000 of unamortized deferred financing fees are deducted from our outstanding debt . |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Nonrecurring | Non-financial assets measured at fair value on a non-recurring basis are as follows: Third Quarter-End 2016 Year-End 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (In thousands) Non-Financial Assets and Liabilities: Real estate $ — $ — $ 36,243 $ 36,243 $ — $ — $ 641 $ 641 Assets of discontinued operations $ — $ — $ — $ — $ — $ — $ 57,219 $ 57,219 |
Information About Our Fixed Rate Financial Instruments Not Measured at Fair Value | Information about our fixed rate financial instruments not measured at fair value follows: Third Quarter-End 2016 Year-End 2015 Carrying Amount Fair Value Carrying Amount Fair Value Valuation Technique (In thousands) Fixed rate debt $ (112,810 ) $ (112,455 ) $ (346,090 ) $ (321,653 ) Level 2 |
Net Income (Loss) per Share (Ta
Net Income (Loss) per Share (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Attributable to Common Shareholders and Weighted Average Common Shares Outstanding | The computations of basic and diluted earnings per share are as follows: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Numerator: Continuing operations Net income (loss) from continuing operations $ 17,439 $ (57,394 ) $ 33,661 $ (60,237 ) Less: Net (income) loss attributable to noncontrolling interest (610 ) 115 (1,330 ) 5 Earnings (loss) available for diluted earnings per share $ 16,829 $ (57,279 ) $ 32,331 $ (60,232 ) Less: Undistributed net income from continuing operations allocated to participating securities (3,152 ) — (6,035 ) — Earnings (loss) from continuing operations available to common shareholders for basic earnings per share $ 13,677 $ (57,279 ) $ 26,296 $ (60,232 ) Discontinued operations Net income (loss) from discontinued operations available for diluted earnings per share $ (7,164 ) $ (106,937 ) $ (17,428 ) $ (146,649 ) Less: Undistributed net income from discontinued operations allocated to participating securities 1,342 — 3,253 — Earnings (loss) from discontinued operations available to common shareholders for basic earnings per share $ (5,822 ) $ (106,937 ) $ (14,175 ) $ (146,649 ) Denominator: Weighted average common shares outstanding — basic 34,099 34,299 34,234 34,248 Weighted average common shares upon conversion of participating securities 7,857 — 7,857 — Dilutive effect of stock options, restricted stock and equity-settled awards 304 — 243 — Total weighted average shares outstanding — diluted 42,260 34,299 42,334 34,248 Anti-dilutive awards excluded from diluted weighted average shares 2,001 10,933 2,146 10,835 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Restructuring and Related Costs | The following table summarizes activity related to liabilities associated with our restructuring activities for first nine months 2016: Severance Costs Retention Bonuses Total (In thousands) Balance at year-end 2015 $ (1,049 ) $ — $ (1,049 ) Additions (2,072 ) (832 ) (2,904 ) Payments 3,121 792 3,913 Balance at third quarter-end 2016 $ — $ (40 ) $ (40 ) |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Assets Allocated by Segment | Total assets allocated by segment are as follows: Third Year-End 2016 2015 (In thousands) Real estate $ 484,426 $ 691,238 Mineral resources 39,140 39,469 Other 20,422 19,106 Assets of discontinued operations 124 104,967 Assets not allocated to segments (a) 147,965 117,466 $ 692,077 $ 972,246 _________________________ (a) Assets not allocated to segments at third quarter-end 2016 principally consist of cash and cash equivalents of $122,130,000 and an income tax receivable of $23,068,000 . Assets not allocated to segments at year-end 2015 principally consist of cash and cash equivalents of $96,442,000 and an income tax receivable of $12,056,000 . Assets of discontinued operations represent oil and gas working interest assets we have or will be divesting. |
Segment Revenues and Earnings | Segment revenues and earnings are as follows: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Revenues: Real estate $ 45,297 $ 27,957 $ 127,776 $ 100,196 Mineral resources 1,423 2,502 3,842 7,616 Other 487 1,726 1,199 5,372 Total revenues $ 47,207 $ 32,185 $ 132,817 $ 113,184 Segment earnings (loss): Real estate $ 15,017 $ 5,154 $ 108,531 $ 29,747 Mineral resources 1,182 77 2,668 3,215 Other (196 ) (77 ) (974 ) (511 ) Total segment earnings 16,003 5,154 110,225 32,451 Items not allocated to segments (a) (8,840 ) (18,865 ) (70,479 ) (50,984 ) Income (loss) from continuing operations before taxes attributable to Forestar Group Inc. $ 7,163 $ (13,711 ) $ 39,746 $ (18,533 ) _________________________ (a) Items not allocated to segments consist of: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) General and administrative expense $ (4,505 ) $ (8,343 ) $ (13,992 ) $ (19,540 ) Shared-based and long-term incentive compensation expense (1,024 ) (2,245 ) (2,980 ) (5,726 ) Interest expense (3,369 ) (8,315 ) (17,926 ) (25,851 ) Loss on extinguishment of debt, net — — (35,864 ) — Other corporate non-operating income 58 38 283 133 $ (8,840 ) $ (18,865 ) $ (70,479 ) $ (50,984 ) |
Share-Based and Long-Term Inc35
Share-Based and Long-Term Incentive Compensation (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Components of Share-Based Compensation Expense (Income) | Share-based and long-term incentive compensation expense consists of: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) Cash-settled awards $ (43 ) $ 146 $ 82 $ (1,005 ) Equity-settled awards 765 1,654 1,869 4,569 Restricted stock 10 16 22 13 Stock options 217 388 692 1,954 Total share-based compensation 949 2,204 2,665 5,531 Deferred cash 75 41 315 195 $ 1,024 $ 2,245 $ 2,980 $ 5,726 |
Share-Based Compensation Expense (Income) Included in Operating Expense | Share-based and long-term incentive compensation expense is included in: Third Quarter First Nine Months 2016 2015 2016 2015 (In thousands) General and administrative expense $ 672 $ 1,124 $ 2,516 $ 2,970 Other operating expense 352 1,121 464 2,756 $ 1,024 $ 2,245 $ 2,980 $ 5,726 |
New and Pending Accounting Pr36
New and Pending Accounting Pronouncements (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Deferred finance costs, net | $ 1,768 | $ 8,267 |
Accounting Standards Update 2015-03 | Other Assets | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Deferred finance costs, net | (8,267) | |
Accounting Standards Update 2015-03 | Long-term Debt | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Deferred finance costs, net | $ 8,267 |
Real Estate - Real Estate (Deta
Real Estate - Real Estate (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | $ 387,074 | $ 618,844 |
Less: accumulated depreciation | 0 | (32,129) |
Net carrying value | 387,074 | 586,715 |
Entitled, developed and under development projects | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 293,356 | 352,141 |
Less: accumulated depreciation | 0 | 0 |
Net carrying value | 293,356 | 352,141 |
Timberland and undeveloped land (includes land in entitlement) | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 93,718 | 98,181 |
Less: accumulated depreciation | 0 | 0 |
Net carrying value | 93,718 | 98,181 |
Radisson Hotel | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 0 | 62,889 |
Less: accumulated depreciation | 0 | (29,268) |
Net carrying value | 0 | 33,621 |
Eleven | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 0 | 53,896 |
Less: accumulated depreciation | 0 | (2,861) |
Net carrying value | 0 | 51,035 |
Dillon | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 0 | 19,987 |
Less: accumulated depreciation | 0 | 0 |
Net carrying value | 0 | 19,987 |
Music Row | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 0 | 9,947 |
Less: accumulated depreciation | 0 | 0 |
Net carrying value | 0 | 9,947 |
Downtown Edge | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 0 | 12,706 |
Less: accumulated depreciation | 0 | 0 |
Net carrying value | 0 | 12,706 |
West Austin | ||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||
Carrying value | 0 | 9,097 |
Less: accumulated depreciation | 0 | 0 |
Net carrying value | $ 0 | $ 9,097 |
Real Estate - Additional Inform
Real Estate - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016USD ($)propertyroommultifamily_site | Sep. 30, 2016USD ($)propertyroomcommunity_development_project | Sep. 30, 2015USD ($) | Jun. 30, 2016USD ($)room | Dec. 31, 2015USD ($) | |
Real Estate Properties [Line Items] | |||||
Number of multifamily sites | multifamily_site | 2 | ||||
Assets held for sale | $ 14,394,000 | $ 14,394,000 | $ 0 | ||
Payment of debt | 311,724,000 | $ 7,527,000 | |||
Gain on sale of assets | 108,114,000 | 265,000 | |||
Non-cash impairment charges | 57,065,000 | 91,146,000 | |||
Reimbursements from utility and improvement districts | (13,698,000) | $ (8,285,000) | |||
Utility and Improvement District | |||||
Real Estate Properties [Line Items] | |||||
Cost of asset in developed and under development projects | 54,290,000 | 54,290,000 | 67,554,000 | ||
Reimbursements from utility and improvement districts | 13,197,000 | ||||
San Antonio, Texas | Cibolo Canyons Project | |||||
Real Estate Properties [Line Items] | |||||
Cost of asset in developed and under development projects | 22,361,000 | 22,361,000 | $ 22,302,000 | ||
Cumulative reimbursable cost associated with real estate projects in development | 54,376,000 | 54,376,000 | |||
Return of reimbursements received in relation to direct costs and expenses previously paid or incurred for development of real estate projects | $ 36,109,000 | $ 36,109,000 | |||
Radisson Hotel & Suites, Austin | Austin, Texas | |||||
Real Estate Properties [Line Items] | |||||
Number of hotel rooms | room | 413 | 413 | 413 | ||
Sales price | $ 130,000,000 | $ 130,000,000 | $ 130,000,000 | ||
Net proceeds | 128,764,000 | ||||
Payment of debt | 15,400,000 | ||||
Gain on sale of assets | 95,336,000 | ||||
Eleven | Austin, Texas | |||||
Real Estate Properties [Line Items] | |||||
Sales price | $ 60,150,000 | 60,150,000 | |||
Net proceeds | 59,719,000 | ||||
Payment of debt | 23,936,000 | ||||
Gain on sale of assets | $ 9,116,000 | ||||
Number of units of multifamily project | property | 257 | 257 | |||
Dillon | Charlotte, North Carolina | |||||
Real Estate Properties [Line Items] | |||||
Sales price | $ 25,979,000 | $ 25,979,000 | |||
Net proceeds | 25,433,000 | ||||
Gain on sale of assets | $ 1,229,000 | ||||
Number of units of multifamily project | property | 379 | 379 | |||
Music Row | Nashville, Tennessee | |||||
Real Estate Properties [Line Items] | |||||
Sales price | $ 15,025,000 | $ 15,025,000 | |||
Net proceeds | 14,703,000 | ||||
Gain on sale of assets | $ 3,968,000 | ||||
Number of units of multifamily project | property | 230 | 230 | |||
Real Estate Impairment Charges | |||||
Real Estate Properties [Line Items] | |||||
Non-cash impairment charges | $ 7,627,000 | $ 56,453,000 | |||
Community Development Project | |||||
Real Estate Properties [Line Items] | |||||
Number of properties impaired | community_development_project | 6 |
Discontinued Operations (Summar
Discontinued Operations (Summarized Results from Discontinued Operations) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | ||||
Revenues | $ 180 | $ 10,983 | $ 5,827 | $ 35,219 |
Cost of sales | (108) | (93,434) | (6,593) | (174,462) |
Other operating expenses | (3,318) | (1,644) | (5,707) | (8,652) |
Loss from discontinued operations before income taxes | (3,246) | (84,095) | (6,473) | (147,895) |
Gain (loss) on sale of assets before income taxes | 955 | (2,174) | (13,618) | (1,320) |
Income tax benefit (expense) | (4,873) | (20,668) | 2,663 | 2,566 |
Loss from discontinued operations, net of taxes | $ (7,164) | $ (106,937) | $ (17,428) | $ (146,649) |
Discontinued Operations (Additi
Discontinued Operations (Additional Information) (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($)awell | Sep. 30, 2015USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Gain (loss) on disposition of proved property | $ (13,618,000) | |||
Net mineral acres leased from others sold | a | 199,263 | |||
Gross producing oil and gas wells sold | well | 379 | |||
Net producing oil and gas wells sold | well | 95 | |||
Proceeds from sale of oil and gas property and equipment | $ 80,084,000 | |||
Reimbursement of capital costs related to sale of in progress wells | $ 3,269,000 | 3,269,000 | ||
Non-cash impairment charges | $ 57,065,000 | $ 91,146,000 | ||
Huffman vs. Forestar Petroleum Corporation | Pending Litigation | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Accrual for damages | 1,100,000 | |||
Wyoming | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Environmental liability | $ 1,155,000 | |||
Cost of Sales | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Non-cash impairment charges | $ 79,438,000 | $ 125,383,000 |
Discontinued Operations (Assets
Discontinued Operations (Assets and Liabilities of Discontinued Operations) (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Assets of Discontinued Operations: | ||
Receivables, net of allowance for bad debt | $ 116 | $ 4,632 |
Oil and gas properties and equipment, net | 0 | 79,733 |
Goodwill and other intangible assets | 0 | 19,673 |
Prepaid expenses | 8 | 96 |
Other assets | 0 | 833 |
Assets of discontinued operations | 124 | 104,967 |
Liabilities of Discontinued Operations: | ||
Accounts payable | 91 | 342 |
Accrued property taxes | 0 | 259 |
Other accrued expenses | 3,546 | 8,924 |
Other liabilities | 0 | 1,667 |
Liabilities held for sale | $ 3,637 | $ 11,192 |
Discontinued Operations (Signif
Discontinued Operations (Significant Operating and Investing Activities of Discontinued Operations) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Operating activities: | ||||
Asset impairments | $ 57,065 | $ 91,146 | ||
Dry hole and unproved leasehold impairment charges | 0 | 46,722 | ||
Loss (gain) on sale of assets | $ (955) | $ 2,174 | 13,618 | 1,320 |
Depreciation, depletion and amortization | 9,885 | 36,780 | ||
Cash provided by (used in) operating activities, discontinued operations | 16,432 | 160,910 | ||
Investing activities: | ||||
Oil and gas properties and equipment | (579) | (47,043) | ||
Proceeds from sales of assets | 319,351 | 13,571 | ||
Cash provided by (used in) investing activities, discontinued operations | 76,236 | (33,932) | ||
Discontinued Operations | ||||
Operating activities: | ||||
Asset impairments | 612 | 88,614 | ||
Dry hole and unproved leasehold impairment charges | 0 | 46,722 | ||
Loss (gain) on sale of assets | 13,618 | 1,320 | ||
Depreciation, depletion and amortization | 2,202 | 24,254 | ||
Investing activities: | ||||
Oil and gas properties and equipment | (579) | (47,043) | ||
Proceeds from sales of assets | $ 76,815 | $ 13,111 |
Goodwill and Other Intangible43
Goodwill and Other Intangible Assets - Carrying Value of Goodwill and Other Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 41,774 | $ 41,774 |
Identified intangibles | 1,681 | 1,681 |
Goodwill and other intangible assets | $ 43,455 | $ 43,455 |
Goodwill and Other Intangible44
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | Sep. 30, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | ||
Goodwill | $ 41,774,000 | $ 41,774,000 |
Credo | ||
Business Acquisition [Line Items] | ||
Goodwill | 37,900,000 | 37,900,000 |
Water Resource Company | ||
Business Acquisition [Line Items] | ||
Goodwill | 3,874,000 | $ 3,874,000 |
Indefinite-lived intangible assets (excluding goodwill) | $ 1,681,000 |
Equity - Reconciliation of Chan
Equity - Reconciliation of Changes in Equity (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | $ 504,115 | |||
Consolidated net income (loss) | $ 10,275 | $ (164,331) | 16,233 | $ (206,886) |
Distributions to noncontrolling interests | (2,378) | |||
Repurchase of common shares | 3,537 | $ 0 | ||
Other (primarily share-based compensation) | 2,747 | |||
Ending balance | 517,180 | 517,180 | ||
Forestar Group Inc. | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 501,600 | |||
Consolidated net income (loss) | 14,903 | |||
Repurchase of common shares | 3,537 | |||
Other (primarily share-based compensation) | 2,747 | |||
Ending balance | 515,713 | 515,713 | ||
Noncontrolling Interest | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 2,515 | |||
Consolidated net income (loss) | 1,330 | |||
Distributions to noncontrolling interests | (2,378) | |||
Ending balance | $ 1,467 | $ 1,467 |
Equity - Additional Information
Equity - Additional Information (Detail) - Common Stock | 9 Months Ended |
Sep. 30, 2016$ / sharesshares | |
Class of Stock [Line Items] | |
Stock repurchased during period, shares | shares | 283,976 |
Treasury stock acquired, average cost per share | $ / shares | $ 12.45 |
Investment in Unconsolidated 47
Investment in Unconsolidated Ventures - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2016propertyventure | Sep. 30, 2016USD ($)property | Sep. 30, 2015USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||
Gain on sale of assets | $ 108,114 | $ 265 | |
Investment in unconsolidated ventures | 5,615 | 23,908 | |
Distributions of return on investments and earnings | 8,741 | $ 15,126 | |
Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of ventures under ownership interest using equity method | venture | 17 | ||
Variable Interest Entity, Primary Beneficiary | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of ventures that are a VIE | venture | 0 | ||
FMF Peakview LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Net proceeds | 13,917 | ||
Gain on sale of assets | $ 10,363 | ||
FMF Peakview LLC | Multi Family Property | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of units of multifamily project | property | 304 | 304 |
Investment in Unconsolidated 48
Investment in Unconsolidated Ventures - Summarized Balance Sheet Information (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | $ 287,479 | $ 309,067 |
Venture Borrowings | 126,059 | 134,103 |
Venture Equity | 145,521 | 154,738 |
Investment in venture | 79,564 | 82,453 |
242, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 27,110 | 26,687 |
Venture Borrowings | 3,182 | 0 |
Venture Equity | 21,428 | 24,877 |
Investment in venture | 10,048 | 11,766 |
CL Ashton Woods, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 4,426 | 7,654 |
Venture Borrowings | 0 | 0 |
Venture Equity | 3,685 | 6,084 |
Investment in venture | 2,107 | 3,615 |
CL Realty, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 7,913 | 7,872 |
Venture Borrowings | 0 | 0 |
Venture Equity | 7,798 | 7,662 |
Investment in venture | 3,899 | 3,831 |
CREA FMF Nashville LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 56,117 | 57,820 |
Venture Borrowings | 37,192 | 50,845 |
Venture Equity | 17,297 | 4,291 |
Investment in venture | 4,984 | 3,820 |
Elan 99, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 49,671 | 34,192 |
Venture Borrowings | 32,461 | 14,587 |
Venture Equity | 13,628 | 15,838 |
Investment in venture | 12,265 | 14,255 |
FOR/SR Forsyth LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 9,584 | 6,500 |
Venture Borrowings | 0 | 0 |
Venture Equity | 9,016 | 6,500 |
Investment in venture | 8,115 | 5,850 |
FMF Littleton LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 70,704 | 52,376 |
Venture Borrowings | 42,083 | 22,347 |
Venture Equity | 23,838 | 24,370 |
Investment in venture | 6,138 | 6,270 |
FMF Peakview LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 0 | 48,869 |
Venture Borrowings | 0 | 30,485 |
Venture Equity | 0 | 16,828 |
Investment in venture | 0 | 3,447 |
HM Stonewall Estates, Ltd | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 814 | 2,842 |
Venture Borrowings | 0 | 0 |
Venture Equity | 814 | 2,842 |
Investment in venture | 814 | 1,294 |
LM Land Holdings, LP | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 29,350 | 31,984 |
Venture Borrowings | 4,481 | 7,728 |
Venture Equity | 23,762 | 22,751 |
Investment in venture | 10,770 | 9,664 |
MRECV DT Holdings LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 4,039 | 4,215 |
Venture Borrowings | 0 | 0 |
Venture Equity | 4,039 | 4,215 |
Investment in venture | 3,635 | 3,807 |
MRECV Edelweiss LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 2,816 | 2,237 |
Venture Borrowings | 0 | 0 |
Venture Equity | 2,816 | 2,237 |
Investment in venture | 2,764 | 2,029 |
MREC VH Juniper Ridge LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 4,403 | 3,006 |
Venture Borrowings | 0 | 0 |
Venture Equity | 4,403 | 3,006 |
Investment in venture | 3,882 | 2,730 |
MRECV Meadow Crossing II LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 2,366 | 728 |
Venture Borrowings | 0 | 0 |
Venture Equity | 2,366 | 728 |
Investment in venture | 2,129 | 655 |
Miramonte Boulder Pass, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 12,783 | 12,627 |
Venture Borrowings | 6,660 | 5,869 |
Venture Equity | 5,380 | 5,474 |
Investment in venture | 5,387 | 5,349 |
Temco Associates, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 5,357 | 5,284 |
Venture Borrowings | 0 | 0 |
Venture Equity | 5,225 | 5,113 |
Investment in venture | 2,612 | 2,557 |
Other ventures | ||
Schedule of Equity Method Investments [Line Items] | ||
Venture Assets | 26 | 4,174 |
Venture Borrowings | 0 | 2,242 |
Venture Equity | 26 | 1,922 |
Investment in venture | $ 15 | $ 1,514 |
Investment in Unconsolidated 49
Investment in Unconsolidated Ventures - Summarized Income Statement Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | $ 16,531 | $ 24,136 | $ 27,995 | $ 74,282 |
Earnings (loss) | 4,334 | 5,825 | 4,435 | 21,647 |
Equity in earnings of unconsolidated ventures | 3,637 | 2,909 | 3,872 | 11,538 |
242, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 937 | 2,884 | 937 | 20,583 |
Earnings (loss) | 15 | 1,161 | (449) | 9,034 |
Equity in earnings of unconsolidated ventures | 14 | 597 | (218) | 4,642 |
CL Ashton Woods, LP | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 288 | 3,958 | 1,977 | 6,369 |
Earnings (loss) | 83 | 1,341 | 601 | 2,719 |
Equity in earnings of unconsolidated ventures | 129 | 1,849 | 892 | 3,405 |
CL Realty, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 140 | 205 | 386 | 674 |
Earnings (loss) | 72 | 103 | 136 | 346 |
Equity in earnings of unconsolidated ventures | 37 | 52 | 68 | 174 |
CREA FMF Nashville LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 1,291 | 442 | 3,273 | 477 |
Earnings (loss) | (145) | (991) | (1,214) | (1,207) |
Equity in earnings of unconsolidated ventures | 1,484 | (991) | 1,164 | (1,207) |
Elan 99, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 461 | 0 | 628 | 0 |
Earnings (loss) | (867) | 0 | (2,211) | (2) |
Equity in earnings of unconsolidated ventures | (779) | 0 | (1,989) | (2) |
FOR/SR Forsyth LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Earnings (loss) | (21) | 0 | (38) | 0 |
Equity in earnings of unconsolidated ventures | (19) | 0 | (34) | 0 |
FMF Littleton LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 944 | 6 | 1,791 | 6 |
Earnings (loss) | (183) | (152) | (531) | (152) |
Equity in earnings of unconsolidated ventures | (47) | (38) | (133) | (38) |
FMF Peakview LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 0 | 628 | 939 | 1,280 |
Earnings (loss) | 0 | (286) | (248) | (1,020) |
Equity in earnings of unconsolidated ventures | 0 | (58) | (50) | (204) |
HM Stonewall Estates, Ltd | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 822 | 921 | 1,948 | 2,590 |
Earnings (loss) | 280 | 480 | 794 | 1,292 |
Equity in earnings of unconsolidated ventures | 120 | 157 | 347 | 730 |
LM Land Holdings, LP | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 3,505 | 1,857 | 6,531 | 8,154 |
Earnings (loss) | 2,502 | 1,391 | 4,557 | 5,179 |
Equity in earnings of unconsolidated ventures | 836 | 423 | 1,481 | 1,710 |
MRECV DT Holdings LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 162 | 0 | 379 | 0 |
Earnings (loss) | 157 | 167 | 372 | 167 |
Equity in earnings of unconsolidated ventures | 141 | 0 | 334 | 0 |
MRECV Edelweiss LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 106 | 0 | 287 | 0 |
Earnings (loss) | 106 | 125 | 280 | 125 |
Equity in earnings of unconsolidated ventures | 96 | 65 | 252 | 65 |
MREC VH Juniper Ridge LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 151 | 0 | 356 | 0 |
Earnings (loss) | 151 | 105 | 357 | 105 |
Equity in earnings of unconsolidated ventures | 135 | 0 | 321 | 0 |
MRECV Meadow Crossing II LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 112 | 0 | 141 | 0 |
Earnings (loss) | 112 | 0 | 94 | 0 |
Equity in earnings of unconsolidated ventures | 101 | 0 | 84 | 0 |
Miramonte Boulder Pass, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 1,015 | 0 | 1,678 | 0 |
Earnings (loss) | (126) | (92) | (285) | (141) |
Equity in earnings of unconsolidated ventures | (63) | (46) | (142) | (71) |
PSW Communities | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 0 | 5,145 | 0 | 21,214 |
Earnings (loss) | 0 | 613 | 0 | 3,141 |
Equity in earnings of unconsolidated ventures | 0 | 127 | 0 | 1,088 |
Temco Associates, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 77 | 8,019 | 224 | 9,163 |
Earnings (loss) | 32 | 1,618 | 111 | 2,077 |
Equity in earnings of unconsolidated ventures | 16 | 809 | 56 | 1,039 |
Other ventures | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Revenues | 6,520 | 71 | 6,520 | 3,772 |
Earnings (loss) | 2,166 | 242 | 2,109 | (16) |
Equity in earnings of unconsolidated ventures | $ 1,436 | $ (37) | $ 1,439 | $ 207 |
Investment in Unconsolidated 50
Investment in Unconsolidated Ventures - Summarized Income Statement Information additional information (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Equity Method Investments | ||
Schedule of Equity Method Investments [Line Items] | ||
Long-term debt, current maturities | $ 88,249 | $ 39,590 |
Equity Method Investments | Non-recourse Debt | ||
Schedule of Equity Method Investments [Line Items] | ||
Long-term debt, current maturities | 68,430 | $ 29,691 |
242, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Unrecognized basis difference on equity method investment | 1,490 | |
LM Land Holdings, LP | ||
Schedule of Equity Method Investments [Line Items] | ||
Unrecognized basis difference on equity method investment | $ 122 |
Receivables - Receivables (Deta
Receivables - Receivables (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 1,325 | $ 19,051 |
Allowance for bad debts | (25) | (26) |
Receivables, net | 1,300 | 19,025 |
Funds held by qualified intermediary | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 0 | 14,703 |
Receivables and accrued interest | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 561 | $ 2,218 |
Notes receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average interest rates | 12.91% | 11.31% |
Total | $ 764 | $ 2,130 |
Receivables - Additional Inform
Receivables - Additional Information (Detail) - a | 9 Months Ended | |
Sep. 30, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Due period of notes receivable as secured by deed of trust | 3 years | |
Funds held by qualified intermediary | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Area of land | 6,915 |
Debt, net - Schedule of Debt (D
Debt, net - Schedule of Debt (Detail) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2015 | |
Line of Credit Facility [Line Items] | |||
Debt, net | $ 112,348 | $ 381,515 | |
Deferred finance costs, net | $ 1,768 | $ 8,267 | |
Senior Notes | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage | 8.50% | 8.50% | |
Debt, net | $ 5,195 | $ 224,647 | |
Debt instrument, maturity date | Jun. 1, 2022 | ||
Convertible Debt | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage | 3.75% | ||
Debt, net | $ 103,637 | $ 104,719 | |
Six Percent Tangible Equity Units | |||
Line of Credit Facility [Line Items] | |||
Average interest rate | 6.00% | 6.00% | |
Debt instrument, maturity date | Dec. 15, 2016 | ||
Secured Debt | |||
Line of Credit Facility [Line Items] | |||
Debt, net | $ 0 | $ 15,400 | |
Average interest rate | 3.42% | ||
Other indebtedness | |||
Line of Credit Facility [Line Items] | |||
Debt, net | $ 1,297 | $ 28,083 | |
Variable and fixed interest rates ranging, minimum | 5.00% | ||
Variable and fixed interest rates ranging, maximum | 5.50% | ||
Convertible Debt | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage | 3.75% | 3.75% | |
Debt instrument, maturity date | Mar. 1, 2020 | ||
Six Percent Tangible Equity Units | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage | 6.00% | ||
Debt, net | $ 2,219 | $ 8,666 |
Debt, net - Additional Informat
Debt, net - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2016USD ($)propertyroom | Jun. 30, 2016USD ($)propertyroom | Mar. 31, 2016USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($)propertyroomextension | Sep. 30, 2015USD ($) | Sep. 02, 2016USD ($) | Sep. 01, 2016USD ($) | Dec. 31, 2015USD ($) | |
Line of Credit Facility [Line Items] | |||||||||
Payment of debt | $ 311,724,000 | $ 7,527,000 | |||||||
Accrued interest | $ 569,000 | 569,000 | $ 3,267,000 | ||||||
Loss on debt extinguishment, net | 0 | $ 0 | 35,864,000 | 0 | |||||
Deferred finance costs, net | 1,768,000 | 1,768,000 | 8,267,000 | ||||||
Amortization of deferred financing fees | $ 3,253,000 | $ 2,992,000 | |||||||
Senior Secured Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, expiration date | May 15, 2017 | ||||||||
Number of extensions | extension | 2 | ||||||||
Length of extensions | 1 year | ||||||||
Maximum borrowing capacity under term Loan facility | $ 125,000,000 | $ 300,000,000 | |||||||
Amount drawn on | 0 | ||||||||
Debt issuance cost | 831,000 | ||||||||
Sublimit for letters of credit outstanding | 13,679,000 | $ 13,679,000 | |||||||
Net unused borrowing capacity | 111,321,000 | $ 111,321,000 | |||||||
Percentage of spread on federal funds effective rate | 0.50% | ||||||||
Minimum net worth required for compliance | $ 379,044,000 | $ 379,044,000 | |||||||
Minimum net worth required for compliance (as a percent) | 85.00% | 85.00% | |||||||
Positive net income requirement for net worth compliance (as a percent) | 75.00% | 75.00% | |||||||
Effective leverage ratio (less than) | 40.00% | 40.00% | |||||||
Stockholders distribution covenant, interest coverage ratio | 3 | 3 | |||||||
Minimum liquidity required by covenant (less than) | $ 125,000,000 | ||||||||
Payments of capital distribution | $ 50,000,000 | ||||||||
Percentage from sales of properties and non-core assets (up to) | 65.00% | 65.00% | |||||||
Deferred finance costs, net | $ 524,000 | $ 524,000 | $ 2,768,000 | ||||||
Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate percentage | 8.50% | 8.50% | 8.50% | ||||||
Extinguishment of debt, amount | $ 8,600,000 | ||||||||
Redemption price, percentage | 99.00% | ||||||||
Loss on debt extinguishment, net | $ 35,583,000 | $ (127,000) | |||||||
Unamortized debt issuance cost | 5,191,000 | $ 225,000 | |||||||
Tender offer advisory services | $ 1,301,000 | ||||||||
Convertible Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate percentage | 3.75% | ||||||||
Extinguishment of debt, amount | $ 5,000,000 | ||||||||
Payment of debt | $ 4,452,000 | ||||||||
Redemption price, percentage | 93.25% | ||||||||
Loss on debt extinguishment, net | $ 183,000 | ||||||||
Repurchase price of debt | 4,663,000 | ||||||||
Equity component within the convertible notes | 211,000 | ||||||||
Loss on extinguishment of debt, before write off of deferred debt issuance cost | $ (110,000) | ||||||||
Letter of Credit | Senior Secured Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, letters of credit sublimit | $ 100,000,000 | $ 100,000,000 | |||||||
LIBOR | Senior Secured Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 4.00% | ||||||||
Base Rate | Senior Secured Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Percentage of variable spread on base rate | 3.00% | ||||||||
30 day LIBOR rate | Senior Secured Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||||
Radisson Hotel & Suites, Austin | Austin, Texas | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Payment of debt | $ 15,400,000 | ||||||||
Number of hotel rooms | room | 413 | 413 | 413 | ||||||
Purchase price of properties sold | $ 130,000,000 | $ 130,000,000 | $ 130,000,000 | ||||||
Radisson Hotel & Suites, Austin | Secured Debt | Austin, Texas | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Payment of debt | 15,400,000 | ||||||||
Eleven | Austin, Texas | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Payment of debt | 23,936,000 | ||||||||
Purchase price of properties sold | $ 60,150,000 | $ 60,150,000 | |||||||
Number of units of multifamily project | property | 257 | 257 | |||||||
Eleven | Austin, Texas | Multi Family Property | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Payment of debt | 23,936,000 | ||||||||
Purchase price of properties sold | $ 60,150,000 | ||||||||
Number of units of multifamily project | property | 257 | ||||||||
Tender Offer | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate percentage | 8.50% | ||||||||
Extinguishment of debt, amount | $ 215,495,000 | ||||||||
Percentage of principal amount redeemed | 97.60% | ||||||||
Payment of debt | $ 245,604,000 | ||||||||
Unamortized premium | $ 29,091,000 | ||||||||
Redemption price, percentage | 113.50% | ||||||||
Accrued interest | $ 1,018,000 | ||||||||
Open Market Transaction | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Redemption price, percentage | 99.95% | ||||||||
Principal amount of debt | $ 1,150,000 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016multifamily_site | Jun. 30, 2016USD ($) | Sep. 30, 2016USD ($)community_development_projectmultifamily_site | Sep. 30, 2015USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Asset impairments | $ | $ 57,065 | $ 91,146 | ||
Number of multifamily sites | multifamily_site | 2 | |||
Community Development Project | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Number of properties impaired | community_development_project | 6 | |||
Multifamily Site | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Number of properties impaired | multifamily_site | 2 | |||
Oil and Gas Properties | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impairment of assets to be disposed of | $ | $ 612 |
Fair Value Disclosures, Non-rec
Fair Value Disclosures, Non-recurring (Detail) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | $ 36,243 | $ 641 |
Real Estate | Fair Value, Inputs, Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | 0 | 0 |
Real Estate | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | 0 | 0 |
Real Estate | Fair Value, Inputs, Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | 36,243 | 641 |
Discontinued Operations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | 0 | 57,219 |
Discontinued Operations | Fair Value, Inputs, Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | 0 | 0 |
Discontinued Operations | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | 0 | 0 |
Discontinued Operations | Fair Value, Inputs, Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure, nonrecurring | $ 0 | $ 57,219 |
Fair Value - Information About
Fair Value - Information About Our Fixed Rate Financial Instruments Not Measured at Fair Value (Detail) - Fair Value, Inputs, Level 2 - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed rate debt | $ (112,455) | $ (321,653) |
Reported Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed rate debt | $ (112,810) | $ (346,090) |
Capital Stock - Additional Info
Capital Stock - Additional Information (Detail) - Employees of former affliate - Employee Stock Option | 3 Months Ended |
Sep. 30, 2016USD ($)$ / sharesshares | |
Equity [Line Items] | |
Options to purchase shares of common stock | shares | 241,000 |
Weighted average exercise price (in dollars per share) | $ / shares | $ 30.30 |
Exercisable at end of period, weighted average remaining contractual term (less than) | 1 year |
Aggregate intrinsic value | $ | $ 0 |
Net Income (Loss) per Share - E
Net Income (Loss) per Share - Earnings Attributable to Common Shareholders and Weighted Average Common Shares Outstanding (Detail) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Continuing operations | ||||
Net income (loss) from continuing operations | $ 17,439 | $ (57,394) | $ 33,661 | $ (60,237) |
Less: Net (income) loss attributable to noncontrolling interests | (610) | 115 | (1,330) | 5 |
Earnings (loss) available for diluted earnings per share | 16,829 | (57,279) | 32,331 | (60,232) |
Less: Undistributed net income from continuing operations allocated to participating securities | 3,152 | 0 | 6,035 | 0 |
Earnings (loss) from continuing operations available to common shareholders for basic earnings per share | 13,677 | (57,279) | 26,296 | (60,232) |
Discontinued operations | ||||
Loss from discontinued operations, net of taxes | (7,164) | (106,937) | (17,428) | (146,649) |
Less: Undistributed net income from discontinued operations allocated to participating securities | 1,342 | 0 | 3,253 | 0 |
Earnings (loss) from discontinued operations available to common shareholders for basic earnings per share | $ (5,822) | $ (106,937) | $ (14,175) | $ (146,649) |
Denominator: | ||||
Weighted average common shares outstanding — basic | 34,099 | 34,299 | 34,234 | 34,248 |
Weighted average common shares upon conversion of participating securities | 7,857 | 0 | 7,857 | 0 |
Dilutive effect of stock options, restricted stock and equity-settled awards | 304 | 0 | 243 | 0 |
Total weighted average shares outstanding — diluted | 42,260 | 34,299 | 42,334 | 34,248 |
Anti-dilutive awards excluded from diluted weighted average shares (in shares) | 2,001 | 10,933 | 2,146 | 10,835 |
Net Income (Loss) per Share - A
Net Income (Loss) per Share - Additional Information (Detail) | 9 Months Ended | |
Sep. 30, 2016shares$ / shares | Dec. 31, 2015 | |
Six Percent Tangible Equity Units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Interest rate percentage | 6.00% | |
Convertible Debt | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Interest rate percentage | 3.75% | 3.75% |
Conversion price of convertible notes | $ / shares | $ 24.49 | |
Minimum | Six Percent Tangible Equity Units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Debt and equity instruments, shares to be Issued (in shares) | 6,547,800 | |
Maximum | Six Percent Tangible Equity Units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Debt and equity instruments, shares to be Issued (in shares) | 7,857,000 | |
Six Percent Tangible Equity Units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Average interest rate | 6.00% | 6.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||||
Effective income tax rate, percent | (124.00%) | 315.00% | 18.00% | 225.00% | |
Federal statutory income tax rate, percent | 35.00% | ||||
Valuation allowance, deferred tax asset, amount | $ 88,773 | $ 88,773 | $ 97,068 |
Commitments and Contingencies -
Commitments and Contingencies - Litigation (Details) - Huffman vs. Forestar Petroleum Corporation - USD ($) | Sep. 23, 2016 | Aug. 11, 2016 | Sep. 30, 2016 |
Settled Litigation | |||
Loss Contingencies [Line Items] | |||
Litigation settlement, amount | $ 150,000 | ||
Pending Litigation | |||
Loss Contingencies [Line Items] | |||
Litigation settlement, amount | $ 923,899 | ||
Accrual for damages | $ 1,100,000 |
Commitments and Contingencies63
Commitments and Contingencies - Environmental (Details) - USD ($) | Sep. 30, 2016 | Dec. 31, 2015 |
Environmental Exit Cost [Line Items] | ||
Asset retirement obligation | $ 1,256,000 | $ 1,758,000 |
Other Liabilities - Discontinued Operations | ||
Environmental Exit Cost [Line Items] | ||
Asset retirement obligation | $ 1,155,000 | $ 1,667,000 |
Commitments and Contingencies64
Commitments and Contingencies - Non-Core Assets Restructuring Costs (Detail) | 9 Months Ended |
Sep. 30, 2016USD ($) | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |
Restructuring charges | $ 2,904,000 |
One-time Termination Benefits | Real estate | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |
Restructuring charges | 1,422,000 |
One-time Termination Benefits | Other natural resources | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |
Restructuring charges | 164,000 |
General and Administrative Expense | One-time Termination Benefits | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |
Restructuring charges | $ 486,000 |
Commitments and Contingencies65
Commitments and Contingencies - (Schedule of Non-Core Assets Restructuring Costs) (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2016USD ($) | |
Restructuring Reserve [Roll Forward] | |
Restructuring Reserve | $ (1,049) |
Restructuring charges | (2,904) |
Payments for restructuring | 3,913 |
Restructuring Reserve | (40) |
Severance Costs | |
Restructuring Reserve [Roll Forward] | |
Restructuring Reserve | (1,049) |
Restructuring charges | (2,072) |
Payments for restructuring | 3,121 |
Restructuring Reserve | 0 |
Retention Bonuses | |
Restructuring Reserve [Roll Forward] | |
Restructuring Reserve | 0 |
Restructuring charges | (832) |
Payments for restructuring | 792 |
Restructuring Reserve | $ (40) |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2016Customer | Sep. 30, 2016segment | |
Segment Reporting [Abstract] | ||
Number of business segments | segment | 3 | |
Number of customer who contributed more than 10 percent of revenue | Customer | 0 |
Segment Information - Assets Al
Segment Information - Assets Allocated by Segment (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||
Total Assets | $ 692,077 | $ 972,246 | |||
Cash and cash equivalents | 122,130 | 96,442 | $ 92,640 | $ 170,127 | |
Income taxes receivable | 23,068 | 12,056 | |||
Continuing Operations | Operating Segments | Real estate | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets | 484,426 | 691,238 | |||
Continuing Operations | Operating Segments | Mineral resources | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets | 39,140 | 39,469 | |||
Continuing Operations | Operating Segments | Other | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets | 20,422 | 19,106 | |||
Continuing Operations | Items Not Allocated to Segments | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets | [1] | 147,965 | 117,466 | ||
Cash and cash equivalents | 122,130 | 96,442 | |||
Income taxes receivable | 23,068 | 12,056 | |||
Discontinued Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets | [1] | $ 124 | $ 104,967 | ||
[1] | Assets not allocated to segments at third quarter-end 2016 principally consist of cash and cash equivalents of $122,130,000 and an income tax receivable of $23,068,000. Assets not allocated to segments at year-end 2015 principally consist of cash and cash equivalents of $96,442,000 and an income tax receivable of $12,056,000. |
Segment Information - Segment R
Segment Information - Segment Revenues and Earnings (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Segment Reporting Information [Line Items] | ||||
Total revenues | $ 47,207 | $ 32,185 | $ 132,817 | $ 113,184 |
Segment reporting information income (loss) from continuing operations before income taxes attributable to parent | 7,163 | (13,711) | 39,746 | (18,533) |
General and administrative expense | (5,177) | (9,467) | (16,508) | (22,510) |
Interest expense | (3,369) | (8,315) | (17,926) | (25,851) |
Loss on extinguishment of debt, net | 0 | 0 | (35,864) | 0 |
Other corporate non-operating income | 1,249 | 62 | 1,620 | 1,762 |
Segment Earnings | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 47,207 | 32,185 | 132,817 | 113,184 |
Segment reporting information income (loss) from continuing operations before income taxes attributable to parent | 16,003 | 5,154 | 110,225 | 32,451 |
Segment Earnings | Real estate | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 45,297 | 27,957 | 127,776 | 100,196 |
Segment reporting information income (loss) from continuing operations before income taxes attributable to parent | 15,017 | 5,154 | 108,531 | 29,747 |
Segment Earnings | Mineral resources | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 1,423 | 2,502 | 3,842 | 7,616 |
Segment reporting information income (loss) from continuing operations before income taxes attributable to parent | 1,182 | 77 | 2,668 | 3,215 |
Segment Earnings | Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 487 | 1,726 | 1,199 | 5,372 |
Segment reporting information income (loss) from continuing operations before income taxes attributable to parent | (196) | (77) | (974) | (511) |
Items Not Allocated to Segments | ||||
Segment Reporting Information [Line Items] | ||||
Segment reporting information income (loss) from continuing operations before income taxes attributable to parent | (8,840) | (18,865) | (70,479) | (50,984) |
General and administrative expense | (4,505) | (8,343) | (13,992) | (19,540) |
Shared-based and long-term incentive compensation expense | (1,024) | (2,245) | (2,980) | (5,726) |
Interest expense | (3,369) | (8,315) | (17,926) | (25,851) |
Loss on extinguishment of debt, net | 0 | 0 | (35,864) | 0 |
Other corporate non-operating income | $ 58 | $ 38 | $ 283 | $ 133 |
Share-Based and Long-Term Inc69
Share-Based and Long-Term Incentive Compensation - Components of Share-Based Compensation Expense (Income) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Total share-based compensation | $ 949 | $ 2,204 | $ 2,665 | $ 5,531 |
Compensation expense | 75 | 41 | 315 | 195 |
Share based and Long Term Incentive Compensation | 1,024 | 2,245 | 2,980 | 5,726 |
Cash Settled Awards | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Total share-based compensation | (43) | 146 | 82 | (1,005) |
Equity-settled awards | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Total share-based compensation | 765 | 1,654 | 1,869 | 4,569 |
Restricted Stock | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Total share-based compensation | 10 | 16 | 22 | 13 |
Employee Stock Option | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Total share-based compensation | 217 | 388 | 692 | 1,954 |
General and Administrative Expense | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Share based and Long Term Incentive Compensation | 672 | 1,124 | 2,516 | 2,970 |
Other Operating Expenses | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Share based and Long Term Incentive Compensation | $ 352 | $ 1,121 | $ 464 | $ 2,756 |
Share-Based and Long-Term Inc70
Share-Based and Long-Term Incentive Compensation - Share Based Compensation Expense (Income) Included in Operating Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share based and Long Term Incentive Compensation | $ 1,024 | $ 2,245 | $ 2,980 | $ 5,726 |
General and administrative expense | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share based and Long Term Incentive Compensation | 672 | 1,124 | 2,516 | 2,970 |
Other Operating Expenses | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share based and Long Term Incentive Compensation | $ 352 | $ 1,121 | $ 464 | $ 2,756 |
Share-Based and Long-Term Inc71
Share-Based and Long-Term Incentive Compensation - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016USD ($)shares | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($)directorshares | Sep. 30, 2015USD ($)shares | Dec. 31, 2015USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Compensation expense | $ | $ 75,000 | $ 41,000 | $ 315,000 | $ 195,000 | |
Fair value of awards granted to retirement eligible employees and expensed at date of grant | $ | 600,000 | $ 517,000 | |||
Unrecognized share-based compensation expense related to non-vested equity-settled awards, restricted stock and stock options | $ | 2,361,216 | $ 2,361,216 | |||
Shares issued out of treasury stock | 263,371 | 159,867 | |||
Shares withheld for payroll taxes | 25,026 | 48,636 | |||
Value of shares withheld for payroll taxes | $ | $ 221,000 | $ 722,000 | |||
Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted, equivalent units | 174,419 | ||||
Vesting period | 3 years | ||||
Board of Directors | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted (in shares) | 20,000 | ||||
Number of new directors | director | 2 | ||||
Option term (in years) | 10 years | ||||
Compensation expense | $ | $ 169,000 | 292,000 | $ 596,000 | 807,000 | |
Board of Directors | Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted, equivalent units | 69,760 | ||||
Vesting percentage | 25.00% | ||||
Board of Directors | First anniversary | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting, number (in shares) | 6,500 | 6,500 | |||
Board of Directors | Second anniversary | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting, number (in shares) | 6,500 | 6,500 | |||
Board of Directors | Third anniversary | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting, number (in shares) | 7,000 | 7,000 | |||
Long-Term Incentive Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Deferred compensation arrangement with individual, cash award granted, amount | $ | $ 620,000 | $ 587,000 | $ 620,000 | $ 587,000 | |
Deferred compensation arrangement with individual, service period (in years) | 2 years | 3 years | |||
Deferred compensation cash-based arrangements, liability, current and noncurrent | $ | $ 469,000 | $ 469,000 | $ 225,000 |