Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Nov. 30, 2019 | Dec. 31, 2019 | May 31, 2019 | |
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Nov. 30, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 1-11749 | ||
Entity Registrant Name | LENNAR CORP /NEW/ | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 95-4337490 | ||
Entity Address, Address Line One | 700 Northwest 107th Avenue | ||
Entity Address, City or Town | Miami | ||
Entity Address, State or Province | FL | ||
Entity Address, Postal Zip Code | 33172 | ||
City Area Code | 305 | ||
Local Phone Number | 559-4000 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 14,491,510,465 | ||
Documents Incorporated by Reference | Related Section Documents III Definitive Proxy Statement to be filed pursuant to Regulation 14A on or before March 29, 2020. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000920760 | ||
Current Fiscal Year End Date | --11-30 | ||
Class A Common Stock | |||
Title of 12(b) Security | Class A Common Stock, par value 10¢ | ||
Trading Symbol | LEN | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 278,120,159 | ||
Class B Common Stock | |||
Title of 12(b) Security | Class B Common Stock, par value 10¢ | ||
Trading Symbol | LEN.B | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 37,738,354 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | ||
Inventories: | ||||
Total assets | [1] | $ 29,359,511 | $ 28,566,181 | |
LIABILITIES AND EQUITY | ||||
Total liabilities | [2] | 13,325,681 | 13,883,224 | |
Stockholders’ equity: | ||||
Preferred stock | [2] | 0 | 0 | |
Additional paid-in capital | [2] | 8,578,219 | 8,496,677 | |
Retained earnings | [2] | 8,295,001 | 6,487,650 | |
Treasury stock, at cost; 2019 - 18,964,973 shares of Class A common stock and 1,704,630 shares of Class B common stock; 2018 - 8,498,203 shares of Class A common stock and 1,698,424 shares of Class B common stock | [2] | (957,857) | (435,869) | |
Accumulated other comprehensive income (loss) | [2] | 498 | (366) | |
Total stockholders’ equity | [2] | 15,949,517 | 14,581,535 | |
Noncontrolling interests | [2] | 84,313 | 101,422 | |
Total equity | [2] | 16,033,830 | 14,682,957 | |
Total liabilities and equity | [2] | 29,359,511 | 28,566,181 | |
Class A Common Stock | ||||
Stockholders’ equity: | ||||
Common stock | [2] | 29,712 | 29,499 | |
Class B Common Stock | ||||
Stockholders’ equity: | ||||
Common stock | [2] | 3,944 | 3,944 | |
Homebuilding | ||||
ASSETS | ||||
Cash and cash equivalents | [1] | 1,200,832 | 1,337,807 | |
Restricted cash | [1] | 9,698 | 12,399 | |
Receivables, net | [1] | 329,124 | 236,841 | |
Inventories: | ||||
Finished homes and construction in progress | [1] | 9,195,721 | 8,681,357 | |
Land and land under development | [1] | 8,267,647 | 8,178,388 | |
Consolidated inventory not owned | [1] | 313,139 | 208,959 | |
Total inventories | [1] | 17,776,507 | 17,068,704 | |
Investments in unconsolidated entities | [1] | 1,009,035 | 870,201 | |
Goodwill | 3,442,359 | [1] | 3,442,359 | |
Other assets | [1] | 1,021,684 | 1,355,782 | |
Total assets | [1] | 24,789,239 | 24,324,093 | |
LIABILITIES AND EQUITY | ||||
Accounts payable | [2] | 1,069,179 | 1,154,782 | |
Liabilities related to consolidated inventory not owned | [2] | 260,266 | 175,590 | |
Senior notes and other debts payable, net | [2] | 7,776,638 | 8,543,868 | |
Other liabilities | [2] | 1,900,955 | 1,902,658 | |
Total liabilities | [2] | 11,007,038 | 11,776,898 | |
Financial Services | ||||
ASSETS | ||||
Cash and cash equivalents | 234,113 | 188,485 | ||
Restricted cash | 12,022 | 17,944 | ||
Receivables, net | 500,847 | 731,169 | ||
Inventories: | ||||
Goodwill | 215,516 | 237,688 | ||
Other assets | 130,699 | 125,886 | ||
Total assets | [1] | 3,006,024 | 2,778,910 | |
LIABILITIES AND EQUITY | ||||
Other liabilities | 310,695 | 309,500 | ||
Total liabilities | [2] | 2,056,450 | 1,868,202 | |
Multifamily | ||||
ASSETS | ||||
Cash and cash equivalents | 8,711 | 7,832 | ||
Receivables, net | 76,906 | 73,829 | ||
Inventories: | ||||
Land and land under development | 315,107 | 277,894 | ||
Investments in unconsolidated entities | 561,190 | 481,129 | ||
Other assets | 58,711 | 33,535 | ||
Total assets | [1] | 1,068,831 | 874,219 | |
LIABILITIES AND EQUITY | ||||
Total liabilities | [2] | 232,155 | 170,616 | |
Lennar Other | ||||
Inventories: | ||||
Total assets | [1] | 495,417 | 588,959 | |
Variable Interest Entity, Primary Beneficiary | ||||
Inventories: | ||||
Total assets | 980,200 | 666,200 | ||
LIABILITIES AND EQUITY | ||||
Total liabilities | 549,700 | 242,500 | ||
Variable Interest Entity, Primary Beneficiary | Homebuilding | ||||
ASSETS | ||||
Cash and cash equivalents | 15,500 | 57,600 | ||
Receivables, net | 200 | 200 | ||
Inventories: | ||||
Finished homes and construction in progress | 97,500 | 81,700 | ||
Land and land under development | 283,200 | 293,100 | ||
Consolidated inventory not owned | 301,000 | 209,000 | ||
Investments in unconsolidated entities | 2,500 | 3,800 | ||
Other assets | 10,000 | 10,500 | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 13,700 | 11,400 | ||
Liabilities related to consolidated inventory not owned | 247,500 | 175,600 | ||
Senior notes and other debts payable, net | 47,100 | 51,900 | ||
Other liabilities | $ 2,600 | |||
Variable Interest Entity, Primary Beneficiary | Financial Services | ||||
Inventories: | ||||
Total assets | 221,200 | |||
LIABILITIES AND EQUITY | ||||
Total liabilities | 231,100 | |||
Variable Interest Entity, Primary Beneficiary | Multifamily | ||||
Inventories: | ||||
Total assets | 49,100 | |||
LIABILITIES AND EQUITY | ||||
Total liabilities | 1,400 | |||
Variable Interest Entity, Primary Beneficiary | Lennar Other | ||||
LIABILITIES AND EQUITY | ||||
Other liabilities | $ 8,900 | |||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. | |||
[2] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | |
Total assets | [1] | $ 29,359,511 | $ 28,566,181 |
Total liabilities | [2] | $ 13,325,681 | $ 13,883,224 |
Class A Common Stock | |||
Common stock, par value (in USD per share) | $ 0.10 | $ 0.10 | |
Common stock, shares authorized (in shares) | 400,000,000 | 400,000,000 | |
Common stock, shares issued (in shares) | 297,119,153 | 294,992,562 | |
Treasury stock, shares (in shares) | 18,964,973 | 8,498,203 | |
Class B Common Stock | |||
Common stock, par value (in USD per share) | $ 0.10 | $ 0.10 | |
Common stock, shares authorized (in shares) | 90,000,000 | 90,000,000 | |
Common stock, shares issued (in shares) | 39,443,064 | 39,442,219 | |
Treasury stock, shares (in shares) | 1,704,630 | 1,698,424 | |
Homebuilding | |||
Total assets | [1] | $ 24,789,239 | $ 24,324,093 |
Cash and cash equivalents | [1] | 1,200,832 | 1,337,807 |
Receivables, net | [1] | 329,124 | 236,841 |
Finished homes and construction in progress | [1] | 9,195,721 | 8,681,357 |
Land and land under development | [1] | 8,267,647 | 8,178,388 |
Consolidated inventory not owned | [1] | 313,139 | 208,959 |
Investments in unconsolidated entities | [1] | 1,009,035 | 870,201 |
Other assets | [1] | 1,021,684 | 1,355,782 |
Total liabilities | [2] | 11,007,038 | 11,776,898 |
Accounts payable | [2] | 1,069,179 | 1,154,782 |
Senior notes and other debts payable, net | [2] | 7,776,638 | 8,543,868 |
Liabilities related to consolidated inventory not owned | [2] | 260,266 | 175,590 |
Other liabilities | [2] | 1,900,955 | 1,902,658 |
Lennar Other | |||
Total assets | [1] | 495,417 | 588,959 |
Lennar Other | |||
Total assets | 495,417 | 588,959 | |
Cash and cash equivalents | 2,340 | 24,334 | |
Investments in unconsolidated entities | 403,688 | 424,104 | |
Other assets | 32,264 | 47,740 | |
Total liabilities | [2] | 30,038 | 67,508 |
Other liabilities | 14,860 | 53,020 | |
Multifamily | |||
Total assets | [1] | 1,068,831 | 874,219 |
Cash and cash equivalents | 8,711 | 7,832 | |
Receivables, net | 76,906 | 73,829 | |
Land and land under development | 315,107 | 277,894 | |
Investments in unconsolidated entities | 561,190 | 481,129 | |
Other assets | 58,711 | 33,535 | |
Total liabilities | [2] | 232,155 | 170,616 |
Variable Interest Entity, Primary Beneficiary | |||
Total assets | 980,200 | 666,200 | |
Total liabilities | 549,700 | 242,500 | |
Variable Interest Entity, Primary Beneficiary | Homebuilding | |||
Cash and cash equivalents | 15,500 | 57,600 | |
Receivables, net | 200 | 200 | |
Finished homes and construction in progress | 97,500 | 81,700 | |
Land and land under development | 283,200 | 293,100 | |
Consolidated inventory not owned | 301,000 | 209,000 | |
Investments in unconsolidated entities | 2,500 | 3,800 | |
Other assets | 10,000 | 10,500 | |
Accounts payable | 13,700 | 11,400 | |
Senior notes and other debts payable, net | 47,100 | 51,900 | |
Liabilities related to consolidated inventory not owned | 247,500 | 175,600 | |
Other liabilities | 2,600 | ||
Variable Interest Entity, Primary Beneficiary | Lennar Other | |||
Other liabilities | 8,900 | ||
Variable Interest Entity, Primary Beneficiary | Lennar Other | |||
Other assets | 10,300 | ||
Other liabilities | $ 1,000 | ||
Variable Interest Entity, Primary Beneficiary | Multifamily | |||
Total assets | 49,100 | ||
Total liabilities | $ 1,400 | ||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. | ||
[2] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Revenues: | |||||||||||
Total revenues | $ 6,971,531 | $ 5,857,058 | $ 5,562,890 | $ 3,868,082 | $ 6,459,210 | $ 5,672,569 | $ 5,459,061 | $ 2,980,791 | $ 22,259,561 | $ 20,571,631 | $ 12,646,365 |
Costs and expenses: | |||||||||||
Acquisition and integration costs related to CalAtlantic | 0 | 152,980 | 0 | ||||||||
Corporate general and administrative | 341,114 | 343,934 | 285,889 | ||||||||
Total costs and expenses | 19,798,380 | 18,734,360 | 11,307,370 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 2,528 | (30,518) | 49,478 | ||||||||
Gain on sale of Rialto investment and asset management platform | 296,407 | ||||||||||
Earnings (loss) before income taxes | 888,686 | 667,083 | 559,399 | 319,124 | 1,036,528 | 565,918 | 390,810 | 269,428 | 2,434,292 | 2,262,684 | 1,189,611 |
Provision for income taxes | (592,173) | (545,171) | (417,857) | ||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 1,842,119 | 1,717,513 | 771,754 | ||||||||
Less: Net earnings (loss) attributable to noncontrolling interests | (6,933) | 21,682 | (38,726) | ||||||||
Net earnings attributable to Lennar | $ 674,304 | $ 513,366 | $ 421,472 | $ 239,910 | $ 796,148 | $ 453,211 | $ 310,257 | $ 136,215 | 1,849,052 | 1,695,831 | 810,480 |
Other comprehensive income (loss), net of tax: | |||||||||||
Net unrealized gain (loss) on securities available-for-sale | 1,040 | (1,634) | 1,331 | ||||||||
Reclassification adjustments for (gains) loss included in net earnings | (176) | 234 | 12 | ||||||||
Total other comprehensive income (loss), net of tax | 864 | (1,400) | 1,343 | ||||||||
Total comprehensive income attributable to Lennar | 1,849,916 | 1,694,431 | 811,823 | ||||||||
Total comprehensive income (loss) attributable to noncontrolling interests | $ (6,933) | $ 21,682 | $ (38,726) | ||||||||
Basic earnings per share (in USD per share) | $ 2.13 | $ 1.60 | $ 1.31 | $ 0.74 | $ 2.42 | $ 1.37 | $ 0.95 | $ 0.53 | $ 5.76 | $ 5.46 | $ 3.38 |
Diluted earnings per share (in USD per share) | $ 2.13 | $ 1.59 | $ 1.30 | $ 0.74 | $ 2.42 | $ 1.37 | $ 0.94 | $ 0.53 | $ 5.74 | $ 5.44 | $ 3.38 |
Homebuilding | |||||||||||
Revenues: | |||||||||||
Total revenues | $ 20,793,216 | $ 19,077,597 | $ 11,188,876 | ||||||||
Costs and expenses: | |||||||||||
Costs and expenses | 18,245,700 | 16,936,803 | 9,743,148 | ||||||||
Equity in earnings (loss) from unconsolidated entities | (13,273) | (90,209) | (63,637) | ||||||||
Other income (expense), net | (31,338) | 203,902 | 23,245 | ||||||||
Lennar Homebuilding loss due to litigation | 0 | 0 | (140,000) | ||||||||
Financial Services | |||||||||||
Revenues: | |||||||||||
Total revenues | 824,810 | 954,631 | 891,957 | ||||||||
Costs and expenses: | |||||||||||
Costs and expenses | 600,168 | 754,915 | 696,650 | ||||||||
Lennar Other | |||||||||||
Revenues: | |||||||||||
Total revenues | 36,835 | 118,271 | 170,761 | ||||||||
Costs and expenses: | |||||||||||
Costs and expenses | 11,794 | 115,969 | 174,605 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 15,372 | 24,110 | 27,376 | ||||||||
Other income (expense), net | (8,944) | (60,119) | (82,107) | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | 296,407 | 0 | ||||||||
Multifamily | |||||||||||
Revenues: | |||||||||||
Total revenues | 604,700 | 421,132 | 394,771 | ||||||||
Costs and expenses: | |||||||||||
Costs and expenses | 599,604 | 429,759 | 407,078 | ||||||||
Equity in earnings (loss) from unconsolidated entities | $ 11,294 | $ 51,322 | $ 85,739 |
CONSOLIDATED STATEMENTS OF OP_2
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Parenthetical) $ in Millions | 12 Months Ended |
Nov. 30, 2018USD ($) | |
Income Statement [Abstract] | |
Write down of deferred tax assets results from Tax Cuts and Jobs Act | $ 68.6 |
CONSOLIDATED STATEMENTS OF EQUI
CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands | Total | Common StockClass A Common Stock | Common StockClass B Common Stock | Additional Paid-In Capital | Retained Earnings | Retained EarningsClass A Common Stock | Retained EarningsClass B Common Stock | Treasury Stock | Accumulated Comprehensive Other Income (Loss) | Total Stockholders' Equity | Noncontrolling Interests | |
Beginning balance at Nov. 30, 2016 | $ 20,409 | $ 3,298 | $ 2,805,349 | $ 4,306,256 | $ (108,961) | $ (309) | $ 185,525 | |||||
Statement of Equity [Roll Forward] | ||||||||||||
Employee stock and director plans | 134 | 2,086 | (27,059) | |||||||||
Stock issuance in connection with CalAtlantic acquisition | 0 | 0 | 0 | |||||||||
Tax benefit from employee stock plans, vesting of restricted stock and conversion of convertible senior notes | 35,543 | |||||||||||
Amortization of restricted stock | 61,356 | |||||||||||
Conversion of convertible senior notes to shares of Class A common stock | 0 | 0 | 0 | |||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | $ 771,754 | 810,480 | (38,726) | |||||||||
Cash dividends | $ (32,600) | $ (5,008) | ||||||||||
Stock dividends - Class B common stock | 471 | 237,679 | (238,150) | |||||||||
Purchases of treasury stock | 0 | |||||||||||
Total other comprehensive income (loss), net of tax | 1,343 | |||||||||||
Receipts related to noncontrolling interests | 5,786 | |||||||||||
Payments related to noncontrolling interests | (74,372) | |||||||||||
Non-cash consolidations, net | 37,292 | |||||||||||
Non-cash purchase or activity of noncontrolling interests, net | 0 | (1,690) | ||||||||||
Ending balance at Nov. 30, 2017 | 7,986,132 | 20,543 | 3,769 | 3,142,013 | 4,840,978 | (136,020) | 1,034 | $ 7,872,317 | 113,815 | |||
Statement of Equity [Roll Forward] | ||||||||||||
Employee stock and director plans | 183 | 3,797 | (49,939) | |||||||||
Stock issuance in connection with CalAtlantic acquisition | 8,408 | 168 | 5,061,430 | |||||||||
Tax benefit from employee stock plans, vesting of restricted stock and conversion of convertible senior notes | 0 | |||||||||||
Amortization of restricted stock | 72,655 | |||||||||||
Conversion of convertible senior notes to shares of Class A common stock | 365 | 7 | 216,782 | |||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 1,717,513 | 1,695,831 | 21,682 | |||||||||
Cash dividends | (43,195) | (5,964) | ||||||||||
Stock dividends - Class B common stock | 0 | 0 | ||||||||||
Purchases of treasury stock | (249,900) | (249,910) | ||||||||||
Total other comprehensive income (loss), net of tax | (1,400) | |||||||||||
Receipts related to noncontrolling interests | 18,126 | |||||||||||
Payments related to noncontrolling interests | (89,575) | |||||||||||
Non-cash consolidations, net | 0 | |||||||||||
Non-cash purchase or activity of noncontrolling interests, net | 0 | 37,374 | ||||||||||
Ending balance at Nov. 30, 2018 | 14,682,957 | [1] | 29,499 | 3,944 | 8,496,677 | 6,487,650 | (435,869) | (366) | 14,581,535 | 101,422 | ||
Statement of Equity [Roll Forward] | ||||||||||||
Employee stock and director plans | 213 | 415 | (29,049) | |||||||||
Stock issuance in connection with CalAtlantic acquisition | 0 | 0 | 0 | |||||||||
Tax benefit from employee stock plans, vesting of restricted stock and conversion of convertible senior notes | 0 | |||||||||||
Amortization of restricted stock | 86,940 | |||||||||||
Conversion of convertible senior notes to shares of Class A common stock | 0 | 0 | 0 | |||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 1,842,119 | 1,849,052 | (6,933) | |||||||||
Cash dividends | $ (45,418) | $ (6,036) | ||||||||||
Stock dividends - Class B common stock | 0 | 0 | ||||||||||
Purchases of treasury stock | (492,900) | (492,939) | ||||||||||
Total other comprehensive income (loss), net of tax | 864 | |||||||||||
Receipts related to noncontrolling interests | 27,859 | |||||||||||
Payments related to noncontrolling interests | (43,734) | |||||||||||
Non-cash consolidations, net | 8,894 | |||||||||||
Non-cash purchase or activity of noncontrolling interests, net | (5,813) | (3,195) | ||||||||||
Ending balance at Nov. 30, 2019 | $ 16,033,830 | [1] | $ 29,712 | $ 3,944 | $ 8,578,219 | $ 8,295,001 | $ (957,857) | $ 498 | $ 15,949,517 | $ 84,313 | ||
[1] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
CONSOLIDATED STATEMENTS OF EQ_2
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Class A Common Stock | |||
Cash dividends (in USD per share) | $ 0.16 | $ 0.16 | $ 0.16 |
Class B Common Stock | |||
Cash dividends (in USD per share) | $ 0.16 | $ 0.16 | $ 0.16 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Cash flows from operating activities: | |||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | $ 1,842,119 | $ 1,717,513 | $ 771,754 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Depreciation and amortization | 92,200 | 91,181 | 66,324 |
Amortization of discount/premium on debt, net | (26,210) | (23,544) | 11,312 |
Equity in (earnings) loss from unconsolidated entities | (2,528) | 30,518 | (49,478) |
Distributions of earnings from unconsolidated entities | 12,753 | 113,096 | 137,669 |
Share-based compensation expense | 86,940 | 72,655 | 61,356 |
Excess tax benefits from share-based awards | 0 | 0 | (1,981) |
Deferred income tax expense | 235,493 | 268,037 | 91,050 |
Gain on sale of other assets, operating properties and equipment and CMBS bonds | (21,941) | (11,963) | (12,789) |
Loss on consolidation of previously unconsolidated entity | 48,874 | 0 | 0 |
Unrealized and realized gains on real estate owned | (1,183) | (3,734) | (5,119) |
Impairments of loans receivable and real estate owned | 0 | 39,053 | 97,786 |
Valuation adjustments and write-offs of option deposits and pre-acquisition costs, other receivables and other assets | 56,125 | 49,338 | 16,339 |
Changes in assets and liabilities: | |||
Decrease (increase) in receivables | 312,255 | (431,183) | 253,111 |
Increase in inventories, excluding valuation adjustments and write-offs of option deposits and pre-acquisition costs | (623,644) | (135,870) | (661,494) |
Increase in other assets | (69,699) | (24,923) | (44,535) |
(Increase) decrease in loans held-for-sale | (431,339) | 5,805 | (105,600) |
(Decrease) increase in accounts payable and other liabilities | (14,639) | 412,796 | 356,669 |
Net cash provided by (used in) operating activities | 1,482,343 | 1,691,747 | 982,374 |
Cash flows from investing activities: | |||
Net additions to operating properties and equipment | (86,497) | (130,439) | (111,773) |
Proceeds from the sale of other assets, operating properties and equipment and CMBS bonds | 70,441 | 52,855 | 63,936 |
Proceeds from sale of investments in unconsolidated entities | 17,790 | 225,267 | 0 |
Investments in and contributions to unconsolidated entities | (436,325) | (405,547) | (430,304) |
Distributions of capital from unconsolidated and consolidated entities | 405,677 | 362,516 | 207,327 |
Proceeds from sales of real estate owned | 8,866 | 32,221 | 86,565 |
Receipts of principal payments on loans held-for-sale | 0 | 0 | 11,251 |
Receipts of principal payments on loans receivable and other | 2,382 | 4,339 | 165,413 |
Originations of loans receivable | 0 | 0 | (98,375) |
Purchases of commercial mortgage-backed securities bonds | 0 | (31,068) | (107,262) |
Proceeds from sale of Rialto investment and asset management platform | 0 | 340,000 | 0 |
Proceeds from sale of commercial mortgage-backed securities bonds | 14,222 | ||
Acquisitions, net of cash acquired | 0 | (1,078,282) | (604,366) |
Increase in Financial Services loans held-for-investment, net | (3,516) | (3,603) | (14,257) |
Purchases of investment securities | (36,261) | (47,305) | (53,558) |
Proceeds from maturities/sales of investment securities | 52,593 | 85,237 | 41,765 |
Other payments, net | 0 | (145) | (1,442) |
Net cash provided by (used in) investing activities | 19,596 | (593,954) | (845,080) |
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 166,552 | 272,920 | (199,684) |
Proceeds from senior notes | 0 | 0 | 2,450,000 |
Debt issuance costs | (25) | (14,661) | (28,590) |
Redemption of senior notes | (1,100,000) | (1,100,000) | (1,058,595) |
Conversions, exchanges and redemption of convertible senior notes | (1,288) | (59,145) | 0 |
Proceeds from other borrowings | 88,751 | 44,374 | 31,230 |
(Payments) proceeds to/from other liabilities | (3,850) | (3,542) | 195,541 |
Principal payments on other borrowings | (189,454) | (138,475) | (139,725) |
Receipts related to noncontrolling interests | 27,859 | 18,126 | 5,786 |
Payments related to noncontrolling interests | (43,734) | (89,575) | (74,372) |
Excess tax benefits from share-based awards | 0 | 0 | 1,981 |
Common stock: | |||
Issuances | 493 | 3,061 | 720 |
Repurchases | (523,074) | (299,833) | (27,054) |
Dividends | (51,454) | (49,159) | (37,608) |
Net cash (used in) provided by financing activities | (1,629,224) | (2,195,901) | 1,194,296 |
Net increase (decrease) in cash and cash equivalents | (127,285) | (1,098,108) | 1,331,590 |
Summary of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents at beginning of year | 1,595,976 | 2,694,084 | 1,362,494 |
Cash and cash equivalents and restricted cash at end of year | 1,468,691 | 1,595,976 | 2,694,084 |
Supplemental disclosures of cash flow information: | |||
Cash paid for interest, net of amounts capitalized | 49,870 | 128,877 | 89,485 |
Cash paid for income taxes, net | 261,445 | 376,609 | 199,557 |
Consolidation/deconsolidation of unconsolidated/consolidated entities, net: | |||
Inventories | 187,506 | 35,430 | 48,656 |
Receivables | 102,959 | 7,198 | 0 |
Operating properties and equipment and other assets | 53,412 | 0 | (1,716) |
Investments in unconsolidated entities | 67,925 | (25,614) | (9,692) |
Notes payable | (383,212) | 0 | 0 |
Other liabilities | (19,696) | (17,014) | 44 |
Noncontrolling interests | (8,894) | 0 | (37,292) |
Homebuilding | |||
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Equity in (earnings) loss from unconsolidated entities | 13,273 | 90,209 | 63,637 |
Gain on sale of interest in unconsolidated entities and other Multifamily gain | 0 | 164,880 | 0 |
Summary of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents at beginning of year | 1,350,206 | 2,291,665 | |
Cash and cash equivalents and restricted cash at end of year | 1,210,530 | 1,350,206 | 2,291,665 |
Lennar Other | |||
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Equity in (earnings) loss from unconsolidated entities | (15,372) | (24,110) | (27,376) |
Gain on sale of businesses | 0 | (296,407) | 0 |
Cash flows from financing activities: | |||
Proceeds from Rialto notes payable | 0 | 33,724 | 99,630 |
Principal payments on Rialto notes payable including structured notes | 0 | (359,016) | (24,964) |
Summary of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents at beginning of year | 31,509 | 264,327 | |
Cash and cash equivalents and restricted cash at end of year | 3,315 | 31,509 | 264,327 |
Financial Services | |||
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Gain on sale of businesses | (2,368) | 0 | 0 |
Cash flows from investing activities: | |||
Proceeds from sale of Rialto investment and asset management platform | 24,446 | 0 | 0 |
Summary of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents at beginning of year | 206,429 | 129,416 | |
Cash and cash equivalents and restricted cash at end of year | 246,135 | 206,429 | 129,416 |
Multifamily | |||
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Equity in (earnings) loss from unconsolidated entities | (11,294) | (51,322) | (85,739) |
Gain on sale of interest in unconsolidated entities and other Multifamily gain | (10,865) | (15,741) | 0 |
Summary of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents at beginning of year | 7,832 | 8,676 | |
Cash and cash equivalents and restricted cash at end of year | 8,711 | 7,832 | 8,676 |
Lennar Homebuilding and Lennar Multifamily | |||
Lennar Homebuilding and Lennar Multifamily: | |||
Purchases of inventories, land under development and other assets financed by sellers | 101,300 | 163,519 | 279,323 |
Net non-cash contributions to unconsolidated entities | 156,075 | 162,281 | 62,618 |
Conversion of convertible debt | 0 | 217,154 | 0 |
Equity component of acquisition consideration | 0 | 5,070,006 | 0 |
Non-cash sale of operating properties and equipment and other assets | 48,671 | 0 | 0 |
Unsecured Revolving Credit Facility | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 0 | (454,700) | 0 |
Warehouse Repurchase Facility | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | $ 166,552 | $ 272,920 | $ (199,684) |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Nov. 30, 2019 | |
Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Consolidation The accompanying consolidated financial statements include the accounts of Lennar Corporation and all subsidiaries, partnerships and other entities in which Lennar Corporation has a controlling interest and VIEs (see Note 16) in which Lennar Corporation is deemed the primary beneficiary (the "Company"). The Company’s investments in both unconsolidated entities in which a significant, but less than controlling, interest is held and in VIEs in which the Company is not deemed to be the primary beneficiary are accounted for by the equity method. All intercompany transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Revenue Recognition Homebuilding revenues and related profits from sales of homes are recognized at the time of the closing of a sale, when title to and possession of the property are transferred to the homebuyer. The Company’s performance obligation, to deliver the agreed-upon home, is generally satisfied in less than one year from the original contract date. Cash proceeds from home closings held in escrow for the Company’s benefit, typically for approximately three days, are included in Homebuilding cash and cash equivalents in the Company's consolidated balance sheets. Contract liabilities include customer deposits liabilities related to sold but undelivered homes that are included in other liabilities in the Company's consolidated balance sheets. The Company periodically elects to sell parcels of land to third parties. Cash consideration from land sales is typically due on the closing date, which is generally when performance obligations are satisfied and revenue is recognized as title to and possession of the property are transferred to the buyer. Advertising Costs The Company expenses advertising costs as incurred. Advertising costs were $84.3 million , $72.1 million and $47.0 million for the years ended November 30, 2019 , 2018 and 2017 , respectively. Share-Based Payments The Company has share-based awards outstanding under the 2007 Equity Incentive Plan and the 2016 Equity Incentive Plan (the "Plans"), each of which provides for the granting of stock options, stock appreciation rights, restricted common stock ("nonvested shares") and other share based awards to officers, associates and directors. The exercise prices of stock options may not be less than the market value of the common stock on the date of the grant. Exercises are permitted in installments determined when options are granted. Each stock option will expire on a date determined at the time of the grant, but not more than 10 years after the date of the grant. The Company accounts for stock option awards and nonvested share awards granted under the Plans based on the estimated grant date fair value. Cash and Cash Equivalents and Restricted Cash The Company considers all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. Due to the short maturity period of cash equivalents, the carrying amounts of these instruments approximate their fair values. Homebuilding restricted cash consists of customer deposits on home sales held in restricted accounts until title transfers to the homebuyer, as required by the state and local governments in which the homes were sold, as well as funds on deposit to secure and support performance obligations. Financial Services restricted cash consisted of upfront deposits and application fees Rialto Mortgage Finance ( “ RMF ” ) receives before originating loans and is recognized as income once the loan has been originated, as well as cash held in escrow by the Company’s loan servicer provider on behalf of customers and lenders and is disbursed in accordance with agreements between the transacting parties. Lennar Other restricted cash primarily consisted of cash set aside for future investments on behalf of a real estate investment trust that Rialto Capital Management is a sub-advisor ( “Rialto” ). The following table provides a reconciliation of cash and cash equivalents and restricted cash reported in the consolidated statements of cash flows to the respective consolidated balance sheets: November 30, (In thousands) 2019 2018 Homebuilding: Cash and cash equivalents $ 1,200,832 1,337,807 Restricted cash 9,698 12,399 Financial Services: Cash and cash equivalents 234,113 188,485 Restricted cash 12,022 17,944 Multifamily: Cash and cash equivalents 8,711 7,832 Lennar Other: Cash and cash equivalents 2,340 24,334 Restricted cash 975 7,175 Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows $ 1,468,691 1,595,976 Homebuilding cash and cash equivalents as of November 30, 2019 and 2018 included $565.8 million and $926.1 million , respectively, of cash held in escrow for approximately three days . Inventories Finished homes and construction in progress are included within inventories. Inventories are stated at cost unless the inventory within a community is determined to be impaired, in which case the impaired inventory is written down to fair value. Inventory costs include land, land development and home construction costs, real estate taxes, deposits on land purchase contracts and interest related to development and construction. Construction overhead and selling expenses are expensed as incurred. Homes held-for-sale are classified as inventories until delivered. Land, land development, amenities and other costs are accumulated by specific area and allocated to homes within the respective areas. The Company reviews its inventory for indicators of impairment by evaluating each community during each reporting period. The inventory within each community is categorized as finished homes and construction in progress or land under development based on the development state of the community. There were 1,278 and 1,324 active communities, excluding unconsolidated entities, as of November 30, 2019 and 2018 , respectively. If the undiscounted cash flows expected to be generated by a community are less than its carrying amount, an impairment charge is recorded to write down the carrying amount of such community to its estimated fair value. In conducting its review for indicators of impairment on a community level, the Company evaluates, among other things, the margins on homes that have been delivered, margins on homes under sales contracts in backlog, projected margins with regard to future home sales over the life of the community, projected margins with regard to future land sales and the estimated fair value of the land itself. The Company pays particular attention to communities in which inventory is moving at a slower than anticipated absorption pace and communities whose average sales price and/or margins are trending downward and are anticipated to continue to trend downward. From this review, the Company identifies communities in which to assess if the carrying values exceed their undiscounted projected cash flows. The Company estimates the fair value of its communities using a discounted cash flow model. The projected cash flows for each community are significantly impacted by estimates related to market supply and demand, product type by community, homesite sizes, sales pace, sales prices, sales incentives, construction costs, sales and marketing expenses, the local economy, competitive conditions, labor costs, costs of materials and other factors for that particular community. Every division evaluates the historical performance of each of its communities as well as current trends in the market and economy impacting the community and its surrounding areas. These trends are analyzed for each of the estimates listed above. Each of the homebuilding markets in which the Company operates is unique, as homebuilding has historically been a local business driven by local market conditions and demographics. Each of the Company’s homebuilding markets has specific supply and demand relationships reflective of local economic conditions. The Company’s projected cash flows are impacted by many assumptions. Some of the most critical assumptions in the Company’s cash flow model are projected absorption pace for home sales, sales prices and costs to build and deliver homes on a community by community basis. In order to arrive at the assumed absorption pace for home sales and the assumed sales prices included in the Company’s cash flow model, the Company analyzes its historical absorption pace and historical sales prices in the community and in other comparable communities in the geographical area. In addition, the Company considers internal and external market studies and places greater emphasis on more current metrics and trends, which generally include, but are not limited to, statistics and forecasts on population demographics and on sales prices in neighboring communities, unemployment rates and availability and sales prices of competing product in the geographical area where the community is located as well as the absorption pace realized in its most recent quarters and the sales prices included in the Company's current backlog for such communities. Generally, if the Company notices a variation from historical results over a span of two fiscal quarters, the Company considers such variation to be the establishment of a trend and adjusts its historical information accordingly in order to develop assumptions on the projected absorption pace and sales prices in the cash flow model for a community. In order to arrive at the Company’s assumed costs to build and deliver homes, the Company generally assumes a cost structure reflecting contracts currently in place with its vendors adjusted for any anticipated cost reduction initiatives or increases in cost structure. Those costs assumed are used in the cash flow model for the Company’s communities. Since the estimates and assumptions included in the Company’s cash flow models are based upon historical results and projected trends, they do not anticipate unexpected changes in market conditions or strategies that may lead the Company to incur additional impairment charges in the future. The determination of fair value requires discounting the estimated cash flows at a rate the Company believes a market participant would determine to be commensurate with the inherent risks associated with the assets and related estimated cash flow streams. The discount rate used in determining each asset’s fair value depends on the community’s projected life and development stage. The Company estimates the fair value of inventory evaluated for impairment based on market conditions and assumptions made by management at the time the inventory is evaluated, which may differ materially from actual results if market conditions or assumptions change. For example, changes in market conditions and other specific developments or changes in assumptions may cause the Company to re-evaluate its strategy regarding previously impaired inventory, as well as inventory not currently impaired but for which indicators of impairment may arise if market deterioration occurs, and certain other assets that could result in further valuation adjustments and/or additional write-offs of option deposits and pre-acquisition costs due to abandonment of those options contracts. As of November 30, 2019 , the Company reviewed its communities for potential indicators of impairments and identified 40 homebuilding communities with 1,720 homesites and a carrying value of $212.7 million as having potential indicators of impairment. For the year ended November 30, 2019 , the Company recorded valuation adjustments of $2.6 million on 149 homesites in three communities with a carrying value of $10.5 million . As of November 30, 2018 , the Company reviewed its communities for potential indicators of impairments and identified 25 homebuilding communities with 1,121 homesites and a carrying value of $211.3 million as having potential indicators of impairment. For the year ended November 30, 2018 , the Company recorded valuation adjustments of $31.3 million on 733 homesites in six communities with a carrying value of $64.6 million . The table below summarizes the most significant unobservable inputs used in the Company's discounted cash flow model to determine the fair value of its communities for which the Company recorded valuation adjustments during the years ended November 30, 2019 and 2018 : Years ended November 30, 2019 2018 Unobservable inputs Range Range Average selling price $167,000 - $222,000 $233,000 - $843,000 Absorption rate per quarter (homes) 4 - 12 4 - 16 Discount rate 20% 20% The Company also has access to land inventory through option contracts, which generally enables the Company to defer acquiring portions of properties owned by third parties and unconsolidated entities until it has determined whether to exercise its option. A majority of the Company’s option contracts require a non-refundable cash deposit or irrevocable letter of credit based on a percentage of the purchase price of the land. The Company’s option contracts sometimes include price adjustment provisions, which adjust the purchase price of the land to its approximate fair value at the time of acquisition or are based on the fair value at the time of takedown. In determining whether to walk away from an option contract, the Company evaluates the option primarily based upon its expected cash flows from the property under option. If the Company intends to walk away from an option contract, it records a charge to earnings in the period such decision is made for the deposit amount and any related pre-acquisition costs associated with the option contract. Some option contracts contain a predetermined take-down schedule for the optioned land parcels. However, in almost all instances, the Company is not required to purchase land in accordance with those take-down schedules. In substantially all instances, the Company has the right and ability to not exercise its option and forfeit its deposit without further penalty, other than termination of the option and loss of any unapplied portion of its deposit and pre-acquisition costs. Therefore, in substantially all instances, the Company does not consider the take-down price to be a firm contractual obligation. When the Company does not intend to exercise an option, it writes off any unapplied deposit and pre-acquisition costs associated with the option contract. Homebuilding, Multifamily and Lennar Other Investments in Unconsolidated Entities The Company evaluates the long-lived assets in unconsolidated entities for indicators of impairment during each reporting period. If a valuation adjustment is recorded by an unconsolidated entity related to its assets, the Company generally uses a discount rate between 10% and 20% , subject to the perceived risks associated with the community’s cash flow streams relative to its inventory or operating assets. The Company’s proportionate share of a valuation adjustment is reflected in the Company's Homebuilding, Multifamily or Lennar Other equity in earnings (loss) from unconsolidated entities with a corresponding decrease to its Homebuilding, Multifamily or Lennar Other investment in unconsolidated entities. Additionally, the Company evaluates if a decrease in the value of an investment below its carrying value is other-than-temporary. This evaluation includes certain critical assumptions made by management: (1) projected future distributions from the unconsolidated entities, (2) discount rates applied to the future distributions and (3) various other factors, which include age of the venture, relationships with the other partners and banks, general economic market conditions, land status and liquidity needs of the unconsolidated entity. If the decline in the fair value of the investment is other-than-temporary, then these losses are included in Homebuilding other income, net, Multifamily other gain (loss) or Lennar Other other gain (loss). The Company tracks its share of cumulative earnings and distributions of its joint ventures ("JVs"). For purposes of classifying distributions received from JVs in the Company’s consolidated statements of cash flows, cumulative distributions are treated as returns on capital to the extent of cumulative earnings and included in the Company’s consolidated statements of cash flows as operating activities. Cumulative distributions in excess of the Company’s share of cumulative earnings are treated as returns of capital and included in the Company’s consolidated statements of cash flows as cash from investing activities. Variable Interest Entities GAAP requires the assessment of whether an entity is a VIE and, if so, if the Company is the primary beneficiary at the inception of the entity or at a reconsideration event. Additionally, GAAP requires the consolidation of VIEs in which an enterprise has a controlling financial interest. A controlling financial interest will have both of the following characteristics: (a) the power to direct the activities of a VIE that most significantly impact the VIE’s economic performance and (b) the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. The Company’s variable interest in VIEs may be in the form of (1) equity ownership, (2) contracts to purchase assets, (3) management and development agreements between the Company and a VIE, (4) loans provided by the Company to a VIE or other partner and/or (5) guarantees provided by members to banks and other third parties. The Company examines specific criteria and uses its judgment when determining if it is the primary beneficiary of a VIE. Factors considered in determining whether the Company is the primary beneficiary include risk and reward sharing, experience and financial condition of other partner(s), voting rights, involvement in day-to-day capital and operating decisions, representation on a VIE’s executive committee, existence of unilateral kick-out rights or voting rights, level of economic disproportionality, if any, between the Company and the other partner(s) and contracts to purchase assets from VIEs. The determination whether an entity is a VIE and, if so, whether the Company is the primary beneficiary may require it to exercise significant judgment. Generally, all major decision making in the Company’s joint ventures is shared among all partners. In particular, business plans and budgets are generally required to be unanimously approved by all partners. Usually, management and other fees earned by the Company are nominal and believed to be at market and there is no significant economic disproportionality between the Company and other partners. Generally, the Company purchases less than a majority of the JV’s assets and the purchase prices under its option contracts are believed to be at market. Generally, Homebuilding and Multifamily unconsolidated entities become VIEs and consolidate when the other partner(s) lack the intent and financial wherewithal to remain in the entity. As a result, the Company continues to fund operations and debt paydowns through partner loans or substituted capital contributions. Operating Properties and Equipment Operating properties and equipment are recorded at cost and are included in other assets in the consolidated balance sheets. The assets are depreciated over their estimated useful lives using the straight-line method. At the time operating properties and equipment are disposed of, the asset and related accumulated depreciation are removed from the accounts and any resulting gain or loss is credited or charged to earnings. The estimated useful life for operating properties is 30 years , for furniture, fixtures and equipment is two to ten years and for leasehold improvements is five years or the life of the lease, whichever is shorter. Operating properties are reviewed for possible impairment if there are indicators that their carrying amounts are not recoverable. Investment Securities Investment securities are classified as available-for-sale unless they are classified as trading or held-to-maturity. Securities classified as trading are carried at fair value and unrealized holding gains and losses are recorded in earnings. Available-for-sale securities are recorded at fair value. Any unrealized holding gains or losses on available-for-sale securities are reported as accumulated other comprehensive gain or loss, which is a separate component of stockholders’ equity, net of tax, until realized. Securities classified as held-to-maturity are carried at amortized cost because they are purchased with the intent and ability to hold to maturity. At November 30, 2019 and 2018 , the Financial Services segment had investment securities classified as held-to-maturity totaling $190.3 million and $189.5 million , respectively, which consist mainly of commercial mortgage-backed securities ("CMBS") corporate debt obligations, U.S. government agency obligations, certificates of deposit and U.S. treasury securities that mature at various dates, mainly within three years. Also, at November 30, 2019 and 2018 , the Financial Services segment had available-for-sale securities totaling $3.7 million and $4.2 million , respectively, which consist primarily of preferred stock and mutual funds. These investments available-for-sale are carried at fair value with changes recorded as a component of accumulated other comprehensive income (loss). In addition, at November 30, 2019 and 2018 , the Lennar Other segment had investment securities classified as held-to-maturity totaling $54.1 million and $60.0 million , respectively. The Lennar Other segment held-to-maturity securities consist of CMBS. At both November 30, 2019 and 2018 , the Company had no investment securities classified as trading. Interest and Real Estate Taxes Interest and real estate taxes attributable to land and homes are capitalized as inventory costs while they are being actively developed. Interest related to homebuilding and land, including interest costs relieved from inventories, is included in costs of homes sold and costs of land sold. Interest expense related to the Financial Services and Multifamily operations is included in its costs and expenses. During the years ended November 30, 2019 , 2018 and 2017 , interest incurred by the Company’s homebuilding operations related to homebuilding debt was $422.7 million , $423.7 million and $290.3 million , respectively; interest capitalized into inventories was $405.1 million , $412.5 million and $283.2 million , respectively. Interest expense was included in costs of homes sold, costs of land sold and other interest expense as follows: Years Ended November 30, (In thousands) 2019 2018 2017 Interest expense in costs of homes sold $ 371,821 301,339 260,650 Interest expense in costs of land sold 5,554 3,567 9,995 Other interest expense (1) 17,620 11,258 7,164 Total interest expense $ 394,995 316,164 277,809 (1) Included in Homebuilding other income (expense), net. Income Taxes The Company records income taxes under the asset and liability method, whereby deferred tax assets and liabilities are recognized based on the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and attributable to operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which the temporary differences are expected to be recovered or paid. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in earnings in the period when the changes are enacted. Interest related to unrecognized tax benefits is recognized in the financial statements as a component of income tax expense. A reduction of the carrying amounts of deferred tax assets by a valuation allowance is required if, based on the available evidence, it is more likely than not that such assets will not be realized. Accordingly, the need to establish valuation allowances for deferred tax assets is assessed each reporting period by the Company based on the consideration of all available positive and negative evidence using a "more-likely-than-not" standard with respect to whether deferred tax assets will be realized. This assessment considers, among other matters, the nature, frequency and severity of current and cumulative losses, actual earnings, forecasts of future profitability, the duration of statutory carryforward periods, the Company’s experience with loss carryforwards not expiring unused and tax planning alternatives. Based on the analysis of positive and negative evidence, the Company believed that there was enough positive evidence for the Company to conclude that it was more likely than not that the Company would realize the majority of its deferred tax assets. As of November 30, 2019 and 2018 , the Company's net deferred tax assets included a valuation allowance of $4.3 million and $7.2 million , respectively. See Note 11 for additional information. Other Liabilities Reflected within the consolidated balance sheets, the other liabilities balance as of November 30, 2019 and 2018 , included accrued interest payable, product warranty (as noted below), accrued bonuses, accrued wages and benefits, deferred income, customer deposits, income taxes payable, and other accrued liabilities. Product Warranty Warranty and similar reserves for homes are established at an amount estimated to be adequate to cover potential costs for materials and labor with regard to warranty-type claims expected to be incurred subsequent to the delivery of a home. Reserves are determined based on historical data and trends with respect to similar product types and geographical areas. The Company regularly monitors the warranty reserve and makes adjustments to its pre-existing warranties in order to reflect changes in trends and historical data as information becomes available. Warranty reserves are included in Homebuilding other liabilities in the consolidated balance sheets. The activity in the Company’s warranty reserve was as follows: Years Ended November 30, (In thousands) 2019 2018 Warranty reserve, beginning of year $ 319,109 164,619 Warranties issued 189,105 175,410 Adjustments to pre-existing warranties from changes in estimates (1) (8,156 ) 3,116 Warranties assumed related to acquisitions — 140,959 Payments (205,920 ) (164,995 ) Warranty reserve, end of year $ 294,138 319,109 (1) The adjustments to pre-existing warranties from changes in estimates during the years ended November 30, 2019 and 2018 primarily related to specific claims in certain of the Company's homebuilding communities and other adjustments. Self-Insurance Certain insurable risks such as construction defects, general liability, medical and workers’ compensation are self-insured by the Company up to certain limits. Undiscounted accruals for claims under the Company’s self-insurance program are based on claims filed and estimates for claims incurred but not yet reported. The Company’s self-insurance reserve as of November 30, 2019 and 2018 was $109.6 million and $101.4 million of which $60.7 million and $60.3 million , respectively, was included in Financial Services’ other liabilities as of November 30, 2019 and 2018 . Amounts incurred in excess of the Company's self-insurance occurrence or aggregate retention limits are covered by insurance up to the Company's purchased coverage levels. The Company's insurance policies are maintained with highly-rated underwriters for whom the Company believes counterparty default risk is not significant. Earnings per Share Basic earnings per share is computed by dividing net earnings attributable to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in earnings of the Company. All outstanding nonvested shares that contain non-forfeitable rights to dividends or dividend equivalents that participate in undistributed earnings with common stock are considered participating securities and are included in computing earnings per share pursuant to the two-class method. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating securities according to dividends or dividend equivalents and participation rights in undistributed earnings. The Company’s restricted common stock ("nonvested shares") are considered participating securities. Financial Services Revenue Recognition Title premiums on policies issued directly by the Company are recognized as revenue on the effective date of the title policies. Escrow fees and loan origination revenues are recognized at the time the related real estate transactions are completed, usually upon the close of escrow. Revenues from title policies issued by independent agents are recognized as revenue when notice of issuance is received from the agent, which is generally when cash payment is received by the Company. Expected gains and losses from the sale of loans and their related servicing rights are included in the measurement of all written loan commitments that are accounted for at fair value through earnings at the time of commitment. Interest income on loans held-for-sale and loans held-for-investment is recognized as earned over the terms of the mortgage loans based on the contractual interest rates. Loans Held-for-Sale Loans held-for-sale by the Financial Services segment, including the rights to service the mortgage loans, are carried at fair value and changes in fair value are reflected in earnings. Premiums and discounts recorded on these loans are presented as an adjustment to the carrying amount of the loans and are not amortized. Management believes carrying loans held-for-sale at fair value improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and the derivative instruments used to economically hedge them without having to apply complex hedge accounting provisions. In addition, the Financial Services segment recognizes the fair value of its rights to service a mortgage loan as revenue upon entering into an interest rate lock loan commitment with a borrower. The fair value of these servicing rights is included in Financial Services' other assets as of November 30, 2019 and 2018 . Fair value of the servicing rights is determined based on values in the Company’s servicing sales contracts. Provision for Losses The Company establishes reserves for possible losses associated with mortgage loans previously originated and sold to investors based upon, among other things, an analysis of repurchase requests received, an estimate of potential repurchase claims not yet received and actual past repurchases and losses through the disposition of affected loans, as well as previous settlements. Loan origination liabilities are included in Financial Services’ liabilities in the consolidated balance sheets. The activity in the Company’s loan origination liabilities was as follows: Years Ended November 30, (In thousands) 2019 2018 Loan origination liabilities, beginning of year $ 48,584 22,543 Provision for losses 3,813 5,787 Adjustments to pre-existing provisions for losses from changes in estimates — 4,625 Origination liabilities assumed related to CalAtlantic acquisition — 29,959 Payments/settlements (1) (43,033 ) (14,330 ) Loan origination liabilities, end of year $ 9,364 48,584 (1) In December 2018, the Company settled litigation with the creditors of a former investor to resolve claims of breach of representations and warranties and similar claims for loans sold by the Company (or its subsidiaries or predecessors). The Company had adequately reserved $42.0 million for this settlement payment as of November 30, 2018 . Loans Held-for-Investment, Net Loans for which the Company has the posi |
Business Acquisition
Business Acquisition | 12 Months Ended |
Nov. 30, 2019 | |
Business Combinations [Abstract] | |
Business Acquisition | 2. Business Acquisition Acquisition of CalAtlantic Group, Inc. On February 12, 2018, the Company completed the acquisition of CalAtlantic Group, Inc. (“CalAtlantic”) through a transaction in which CalAtlantic was merged with and into a wholly-owned subsidiary of the Company (“Merger Sub”), with Merger Sub continuing as the surviving corporation and a wholly-owned subsidiary of the Company (the “Merger”). CalAtlantic was a homebuilder which built homes across the homebuilding spectrum, from entry level to luxury, in 43 metropolitan statistical areas spanning 19 states. CalAtlantic also provided mortgage, title and escrow services. A primary reason for the acquisition was to increase local market concentration in order to generate synergies and efficiencies. Based on an evaluation of the provisions of ASC Topic 805, Business Combinations , ("ASC 805"), Lennar Corporation was determined to be the acquirer for accounting purposes. The purchase price accounting reflected in the accompanying financial statements is provisional and is based upon estimates and assumptions that are subject to change within the measurement period (up to one year from the acquisition date pursuant to ASC 805). The $3.3 billion allocated to goodwill in Homebuilding and the $175 million allocated to goodwill in Financial Services represents the excess of the purchase price over the estimated fair value of assets acquired and liabilities assumed. The following table summarizes the purchase price allocation based on the estimated fair value of net assets acquired and liabilities assumed at the date of acquisition: (Dollars in thousands) CalAtlantic shares of common stock outstanding 118,025,879 CalAtlantic shares electing cash conversion 24,083,091 CalAtlantic shares exchanged 93,942,788 Exchange ratio for Class A common stock 0.885 Exchange ratio for Class B common stock 0.0177 Number of shares of Lennar Class A common stock issued in exchange 83,138,277 Number of shares of Lennar Class B common stock issued in exchange (due to Class B common stock dividend) 1,662,172 Consideration attributable to Class A common stock $ 4,933,425 Consideration attributable to Class B common stock 77,823 Consideration attributable to equity awards that convert upon change of control 58,758 Consideration attributable to cash including fractional shares 1,162,341 Total purchase price $ 6,232,347 (In thousands) ASSETS Homebuilding: Cash and cash equivalents, restricted cash and receivables, net $ 55,191 Inventories 6,239,147 Intangible asset (1) 8,000 Investments in unconsolidated entities 151,900 Goodwill (2) 3,305,792 Other assets 561,151 Total Homebuilding assets 10,321,181 Financial Services (2) 355,128 Total assets $ 10,676,309 LIABILITIES Homebuilding: Accounts payable $ 306 Senior notes payable and other debts 3,926,152 Other liabilities (3) 374,656 Total Homebuilding liabilities 4,301,114 Financial Services 124,418 Total liabilities 4,425,532 Noncontrolling interests (4) 18,430 Total purchase price $ 6,232,347 (1) Intangible asset includes trade name. The amortization period for the trade name was approximately six months . (2) Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed, and it is generally not deductible for income tax purposes. As of the Merger date, goodwill consisted primarily of expected greater efficiencies and opportunities due to increased concentration of local market share, reduced general and administrative costs and reduced homebuilding costs resulting from the merger and cost savings as a result of additional homebuilding and non-homebuilding synergies. The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. (3) Other liabilities include contingencies assumed at the Merger date, which includes warranty and legal reserves. Warranty reserves for homes are established at an amount estimated to be adequate to cover potential costs for materials and labor with regard to warranty-type claims expected to be incurred subsequent to the delivery of a home. Warranty reserves are determined based on historical data and trends with respect to similar product types and geographical areas. Consistent with ASC 450, Contingencies, ("ASC450") legal reserves are established when a loss is considered probable and the amount of loss can be reasonably estimated. (4) Fair value of noncontrolling interests was measured using discounted cash flows of expected future contributions and distributions. Homebuilding revenue and net earnings attributable to Lennar for the year ended November 30, 2018 included $7.0 billion of home sales revenues, and earnings before income taxes included $491.3 million of pre-tax earnings from CalAtlantic after the date of acquisition, which included acquisition and integration costs of $153.0 million . These transaction expenses were included within acquisition and integration costs related to CalAtlantic in the accompanying consolidated statement of operation for the year ended November 30, 2018. |
Operating And Reporting Segment
Operating And Reporting Segments | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Operating And Reporting Segments | Operating and Reporting Segments The Company's homebuilding operations construct and sell homes primarily for first-time, move-up and active adult homebuyers primarily under the Lennar brand name. In addition, the Company's homebuilding operations purchase, develop and sell land to third parties. The Company's chief operating decision makers ("CODM") manage and assess the Company's performance at a regional level. Therefore, the Company performed an assessment of the Company's operating segments in accordance with ASC 280, Segment Reporting, (“ASC 280”) and determined that each of the Company's four homebuilding regions (Homebuilding East, Homebuilding Central, Homebuilding Texas, and Homebuilding West), financial services operations, multifamily operations and Lennar Other are the Company's operating segments. Information about homebuilding activities in the urban divisions that do not have economic characteristics similar to those in other divisions within the same geographic area is grouped under "Homebuilding Other," which is not a reportable segment. In the first quarter of 2019, as a result of the reclassification of RMF and certain other Rialto assets from the Rialto segment to the Financial Services segment effective December 1, 2018, the Company renamed the Rialto segment as "Lennar Other" and included in this segment certain strategic technology investments, which were reclassified from the Homebuilding segments to Lennar Other. Prior periods have been reclassified to conform with the 2019 presentation. As of and for the year ended November 30, 2019 , the Company’s reportable segments consist of: (1) Homebuilding East (2) Homebuilding Central (3) Homebuilding Texas (4) Homebuilding West (5) Financial Services (6) Multifamily (7) Lennar Other Evaluation of segment performance is based primarily on operating earnings (loss) before income taxes. Operations of the Company’s homebuilding segments primarily include the construction and sale of single-family attached and detached homes, as well as the purchase, development and sale of residential land directly and through the Company’s unconsolidated entities. Operating earnings (loss) for the homebuilding segments consist of revenues generated from the sales of homes and land, equity in earnings (loss) from unconsolidated entities and other income (expense), net, less the cost of homes sold and land sold, selling, general and administrative expenses incurred by the segment and loss due to litigation. The Company’s reportable homebuilding segments and all other homebuilding operations not required to be reported separately, have homebuilding divisions located in: East: Florida, New Jersey, North Carolina , Pennsylvania and South Carolina Central: Georgia, Illinois, Indiana, Maryland, Minnesota, Tennessee and Virginia Texas: Texas West: Arizona, California, Colorado, Nevada, Oregon, Utah and Washington Other: Urban divisions and other homebuilding related investments primarily in California, including Five Point Holdings, LLC ("FivePoint") Operations of the Financial Services segment include primarily mortgage financing, title and closing services primarily for buyers of the Company’s homes. It also includes originating and selling into securitizations commercial mortgage loans through its RMF business. The Financial Services segment sells substantially all of the loans it originates within a short period of time in the secondary mortgage market, the majority of which are sold on a servicing released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that it breached certain limited industry standard representations and warranties in the loan sale agreements. Financial Services’ operating earnings consist of revenues generated primarily from mortgage financing, title and closing services, and property and casualty insurance, less the cost of such services and certain selling, general and administrative expenses incurred by the segment. The Financial Services segment operates generally in the same states as the Company’s homebuilding operations as well as in other states. Operations of the Lennar Other segment include revenues generated primarily from the Company's share of carried interests in the Rialto fund investments retained after the sale of Rialto's asset and investment management platform, along with equity in earnings (loss) from the Rialto fund investments and strategic technology investments, and other income (expense), net from the remaining assets related to the Company's former Rialto segment. Operations of the Multifamily segment include revenues generated from land sales, revenue from construction activities and management fees generated from joint ventures, and equity in earnings from unconsolidated entities, less the cost of land sold, expenses related to construction activities and general and administrative expenses. Each reportable segment follows the same accounting policies described in Note 1—"Summary of Significant Accounting Policies" to the consolidated financial statements. Operational results of each segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented. Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million , respectively. At November 30, 2019 , the Financial Services segment warehouse facilities used to fund residential mortgages were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 500,000 364-day warehouse repurchase facility that matures March 2020 (2) 300,000 364-day warehouse repurchase facility that matures June 2020 500,000 364-day warehouse repurchase facility that matures October 2020 (3) 500,000 Total $ 1,800,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to March 2020 and the maximum aggregate commitment was decreased to $300 million . As of November 30, 2019 , the maximum aggregate commitment includes an uncommitted amount of $500 million . (2) Maximum aggregate commitment includes an uncommitted amount of $300 million . (3) Maximum aggregate commitment includes an uncommitted amount of $400 million . The Financial Services segment uses these facilities to finance its residential mortgage lending activities until the mortgage loans are sold to investors and the proceeds are collected. The facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. Borrowings under the facilities and their prior year predecessors were $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively, and were collateralized by mortgage loans and receivables on loans sold to investors but not yet paid for with outstanding principal balances of $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively. The combined effective interest rate on the facilities at November 30, 2019 was 3.5% . If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the mortgage loans held-for-sale to investors and by collecting on receivables on loans sold but not yet paid. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. RMF - loans held-for-sale During the year ended November 30, 2019 , RMF originated loans with a total principal balance of $1.6 billion , nearly all of which were recorded as loans held-for-sale, $15.3 million which were recorded as accrual loans within loans receivables, net, and sold $1.4 billion of loans into 11 separate securitizations. During the year ended November 30, 2018 , RMF originated loans with a principal balance of $1.4 billion all of which were recorded as loans held-for-sale and sold $1.5 billion of loans into 16 separate securitizations. As of November 30, 2019 and 2018 , originated loans with an unpaid balance of $158.4 million and $218.4 million were sold into a securitization trust but not settled and thus were included as receivables, net, respectively. At November 30, 2019 , RMF warehouse facilities were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 250,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures November 2020 200,000 Total - Loans origination and securitization business 850,000 Warehouse repurchase facility that matures December 2019 (two - one year extensions) (2) 50,000 Total $ 900,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to December 2020. (2) RMF uses this warehouse repurchase facility to finance the origination of floating rate accrual loans, which are reported as accrual loans within loans receivable, net. There were borrowings under this facility of $11.4 million as of November 30, 2019 . There were no borrowings under this facility as of November 30, 2018 . Borrowings under the facilities that finance RMF 's loan originations and securitization activities were $216.9 million and $178.8 million as of November 30, 2019 and 2018 , respectively, and were secured by a 75% interest in the originated commercial loans financed. The facilities require immediate repayment of the 75% interest in the secured commercial loans when the loans are sold in a securitization and the proceeds are collected. These warehouse repurchase facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the loans held-for-sale to investors. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Financial Services' commercial mortgage-backed securities ("CMBS") was $166.0 million and $137.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 84% with coupon rates ranging from 2.0% to 5.3% , stated and assumed final distribution dates between October 2027 and December 2028, and stated maturity dates between October 2050 and December 2051. The Financial Services segment reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 The Company is actively involved, primarily through unconsolidated entities, in the development, construction and property management of multifamily rental properties. The Multifamily segment focuses on developing a geographically diversified portfolio of institutional quality multifamily rental properties in select U.S. markets. The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . (2) Note payable is net of debt issuance costs. The unconsolidated entities in which the Multifamily segment has investments usually finance their activities with a combination of partner equity and debt financing. In connection with many of the loans to Multifamily unconsolidated entities, the Company (or entities related to them) has been required to give guarantees of completion and cost over-runs to the lenders and partners. Those completion guarantees may require that the guarantors complete the construction of the improvements for which the financing was obtained. Additionally, the Company guarantees the construction costs of the project as construction cost over-runs would be paid by the Company. Generally, these payments would increase the Company's investment in the entities and would increase its share of funds the entities distribute after the achievement of certain thresholds. As of both November 30, 2019 and 2018 , the fair value of the completion guarantees was immaterial. Additionally, as of November 30, 2019 and 2018 , the Multifamily segment had $4.2 million and $4.6 million , respectively, of letters of credit outstanding primarily for credit enhancements for the bank debt of certain of its unconsolidated entities and deposits on land purchase contracts. These letters of credit outstanding are included in the disclosure in Note 7 related to the Company's performance and financial letters of credit. As of November 30, 2019 and 2018 , the Multifamily segment's unconsolidated entities had non-recourse debt with completion guarantees of $867.3 million and $1.0 billion , respectively. In many instances, the Multifamily segment is appointed as the construction, development and property manager of certain of its Multifamily unconsolidated entities and receives fees for performing this function. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment received fee income, net of deferrals, from its unconsolidated entities of $53.6 million , $48.8 million and $53.8 million , respectively. The Multifamily segment also provides general contractor services for construction of some of the rental properties owned by unconsolidated entities in which the Company has investments. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment provided general contractor services, net of deferrals, totaling $355.4 million , $353.2 million and $341.0 million , respectively, which were offset by costs related to those services of $340.1 million , $338.7 million and $330.4 million , respectively. The Lennar Multifamily Venture Fund I LP ("LMV I") is a long-term multifamily development investment vehicle involved in the development, construction and property management of class-A multifamily assets with $2.2 billion in equity commitments, including a $504 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. During the year ended November 30, 2019 , $184.7 million in equity commitments were called, of which the Company contributed its portion of $44.7 million . During the year ended November 30, 2019 , the Company received $35.5 million of distributions as a return of capital from LMV I. As of November 30, 2019 , $2.1 billion of the $2.2 billion in equity commitments had been called, of which the Company had contributed $485.5 million representing its pro-rata portion of the called equity, resulting in a remaining equity commitment for the Company of $18.5 million . As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV I was $371.0 million and $383.4 million , respectively. In March 2018, the Multifamily segment completed the first closing of a second Multifamily Venture, Lennar Multifamily Venture II LP, ("LMV II"), for the development, construction and property management of Class-A multifamily assets. In June 2019, the Multifamily segment completed the final closing of LMV II which has approximately $1.3 billion of equity commitments, including a $381 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. As of and for the year ended November 30, 2019 , $330.2 million in equity commitments were called, of which the Company contributed its portion of $94.1 million , which was made up of a $191.0 million inventory and cash contributions, offset by $96.9 million of distributions as a return of capital, resulting in a remaining equity commitment for the Company of $205.7 million . As of November 30, 2019 , $582.3 million of the $1.3 billion in equity had been called. As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV II was $153.3 million and $63.0 million , respectively. The difference between the Company's net contributions and the carrying value of the Company's investments was related to a basis difference. As of November 30, 2019 , LMV II included 16 undeveloped multifamily assets totaling approximately 5,600 apartments with projected project costs of approximately $2.4 billion . Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Lennar Other primarily includes fund investments the Company retained when it sold the Rialto asset and investment management platform, as well as strategic investments in technology companies. The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Lennar Other's CMBS was $54.1 million and $60.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 86% with coupon rates ranging from 1.3% to 4.0% , stated and assumed final distribution dates between November 2020 and October 2026 , and stated maturity dates between November 2049 and March 2059 . The Company reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 . The Company classifies these securities as held-to-maturity based on its intent and ability to hold the securities until maturity. The Company has financing agreements to finance CMBS that have been purchased as investments by the segment. At November 30, 2019 and November 30, 2018 , the carrying amount, net of debt issuance costs, of outstanding debt in these agreements was $13.3 million and $12.6 million , respectively, and the interest is incurred at a rate of 3.9% . Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Lennar Homebuilding Receivables
Lennar Homebuilding Receivables | 12 Months Ended |
Nov. 30, 2019 | |
Receivables [Abstract] | |
Lennar Homebuilding Receivables | Homebuilding Receivables November 30, (In thousands) 2019 2018 Accounts receivable $ 129,216 115,642 Mortgages and notes receivable 203,230 123,796 332,446 239,438 Allowance for doubtful accounts (3,322 ) (2,597 ) Receivables, net $ 329,124 236,841 At November 30, 2019 and 2018 , Homebuilding accounts receivable related primarily to other receivables and rebates. The Company performs ongoing credit evaluations of its customers and generally does not require collateral for accounts receivable. Mortgages and notes receivable arising from the sale of homes and land are generally collateralized by the property sold to the buyer. Allowances are maintained for potential credit losses based on historical experience, present economic conditions and other factors considered relevant by the Company. |
Lennar Homebuilding Investments
Lennar Homebuilding Investments In Unconsolidated Entities | 12 Months Ended |
Nov. 30, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Lennar Homebuilding Investments In Unconsolidated Entities | Homebuilding Investments in Unconsolidated Entities Summarized condensed financial information on a combined 100% basis related to Homebuilding’s unconsolidated entities that are accounted for by the equity method was as follows: Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 303,963 522,811 465,182 Costs and expenses 401,396 720,849 603,079 Other income (1) 78,406 120,620 16,440 Net loss of unconsolidated entities (1) $ (19,027 ) (77,418 ) (121,457 ) Homebuilding equity in loss from unconsolidated entities (1) $ (13,273 ) (90,209 ) (63,637 ) (1) During the year ended November 30, 2019 , other income was primarily attributable to a $64.9 million gain on the settlement of contingent consideration recorded by one Homebuilding unconsolidated entity, of which the Company's pro-rata share was $25.9 million . During the year ended November 30, 2018 , other income was primarily due to FivePoint recording income resulting from the Tax Cuts and Jobs Act of 2017’s reduction in its corporate tax rate to reduce its liability pursuant to its tax receivable agreement (“TRA Liability”) with its non-controlling interests. However, the Company has a 70% interest in the FivePoint TRA Liability. Therefore, the Company did not include in Homebuilding’s equity in earnings (loss) from unconsolidated entities its pro-rata share of earnings related to the Company’s portion of the TRA Liability. As a result, the Company’s unconsolidated entities have net earnings, but the Company has an equity in loss from unconsolidated entities. For the year ended November 30, 2018 , Homebuilding equity in loss from unconsolidated entities was primarily attributable to our share of net operating losses from our unconsolidated entities which were primarily driven by valuation adjustments related to assets of Homebuilding's unconsolidated entities and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , Homebuilding equity in loss from unconsolidated entities was primarily attributable to the Company's share of net operating losses from the Company's unconsolidated entities which were primarily driven by general and administrative expenses and valuation adjustments related to assets of Homebuilding unconsolidated entities, partially offset by the profits from land sales. One of the Company’s unconsolidated entities had equity in earnings of $11.9 million relating to an equity method investee selling 475 homesites to a third-party land bank. Simultaneous with the purchase by the land bank, the Company entered into an option contract to purchase all 475 homesites from the land bank. Due to the Company’s continuing involvement with respect to the homesites sold from the investee entity, the Company deferred all of its equity in earnings from the unconsolidated entity relating to the sale transaction, which amounted to $4.9 million . Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 602,480 781,833 Inventories 4,514,885 4,291,470 Other assets 1,007,698 1,045,274 $ 6,125,063 6,118,577 Liabilities and equity: Accounts payable and other liabilities $ 816,719 874,355 Debt (1) 1,094,588 1,202,556 Equity 4,213,756 4,041,666 $ 6,125,063 6,118,577 Homebuilding investments in unconsolidated entities (2) $ 1,009,035 870,201 (1) Debt presented above is net of debt issuance costs of $13.0 million and $12.4 million , as of November 30, 2019 and 2018 , respectively. The decrease in debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . (2) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include $62.0 million of the negative investment balance for one unconsolidated entity as it was reclassed to other liabilities. As of November 30, 2019 and 2018 , the Company’s recorded investments in Homebuilding unconsolidated entities were $1.0 billion and $870.2 million , respectively, while the underlying equity in Homebuilding unconsolidated entities partners’ net assets as of November 30, 2019 and 2018 was $1.3 billion and $1.2 billion , respectively. The basis difference was primarily as a result of the Company contributing its investment in three strategic joint ventures with a higher fair value than book value for an investment in the FivePoint entity and deferring equity in earnings on land sales to the Company. Included in the Company's recorded investments in Homebuilding unconsolidated entities is the Company's 40% ownership of FivePoint. As of November 30, 2019 and 2018 , the carrying amount of the Company's investment was $374.0 million and $342.7 million , respectively. During the year ended November 30, 2018 , the Company sold 80% of a strategic joint venture to a third-party resulting in a gain of $164.9 million recorded in Homebuilding other income, net within the accompanying Consolidated Statement of Operations and Comprehensive Income (Loss). The Company’s partners generally are unrelated homebuilders, land owners/developers and financial or other strategic partners. The unconsolidated entities follow accounting principles that are in all material respects the same as those used by the Company. The Company shares in the profits and losses of these unconsolidated entities generally in accordance with its ownership interests. In many instances, the Company is appointed as the day-to-day manager under the direction of a management committee that has shared powers amongst the partners of the unconsolidated entities and the Company receives management fees and/or reimbursement of expenses for performing this function. During the years ended November 30, 2019 , 2018 and 2017 , the Company received management fees and reimbursement of expenses, net of deferrals, from Homebuilding unconsolidated entities totaling $2.7 million , $7.0 million and $4.4 million , respectively. The Company and/or its partners sometimes obtain options or enter into other arrangements under which the Company can purchase portions of the land held by the unconsolidated entities. Option prices are generally negotiated prices that approximate fair value when the Company receives the options. During the years ended November 30, 2019 , 2018 and 2017 , $83.0 million , $169.5 million and $226.2 million , respectively, of the unconsolidated entities’ revenues were from land sales to the Company. The Company does not include in its Homebuilding equity in loss from unconsolidated entities its pro-rata share of unconsolidated entities’ earnings resulting from land sales to its homebuilding divisions. Instead, the Company accounts for those earnings as a reduction of the cost of purchasing the land from the unconsolidated entities. This in effect defers recognition of the Company’s share of the unconsolidated entities’ earnings related to these sales until the Company delivers a home and title passes to a third-party homebuyer. The Homebuilding entities in which the Company has investments usually finance their activities with a combination of partner equity and debt financing. In some instances, the Company and its partners have guaranteed debt of certain unconsolidated entities. The total debt of the Homebuilding unconsolidated entities in which the Company has investments was as follows: November 30, (Dollars in thousands) 2019 2018 Non-recourse bank debt and other debt (partner’s share of several recourse) $ 52,007 48,313 Non-recourse debt with completion guarantees 219,558 239,568 Non-recourse debt without completion guarantees 825,192 861,371 Non-recourse debt to the Company 1,096,757 1,149,252 The Company’s maximum recourse exposure (1) 10,787 65,707 Debt issuance costs (12,956 ) (12,403 ) Total debt (1) $ 1,094,588 1,202,556 The Company’s maximum recourse exposure as a % of total JV debt 1 % 5 % (1) As of November 30, 2019 and 2018 , the Company's maximum recourse exposure was primarily related to the Company providing repayment guarantee on two and four unconsolidated entities' debt, respectively. The decrease in maximum recourse exposure and total debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . In most instances in which the Company has guaranteed debt of a Homebuilding unconsolidated entity, the Company’s partners have also guaranteed that debt and are required to contribute their share of the guarantee payments. In a repayment guarantee, the Company and its venture partners guarantee repayment of a portion or all of the debt in the event of default before the lender would have to exercise its rights against the collateral. The maintenance guarantees only apply if the value of the collateral (generally land and improvements) is less than a specified percentage of the loan balance. If the Company is required to make a payment under a maintenance guarantee to bring the value of the collateral above the specified percentage of the loan balance, the payment would generally constitute a capital contribution or loan to the Homebuilding unconsolidated entity and increase the Company's share of any funds the unconsolidated entity distributes. In connection with many of the loans to Homebuilding unconsolidated entities, the Company and its joint venture partners (or entities related to them) have been required to give guarantees of completion to the lenders. Those completion guarantees may require that the guarantors complete the construction of the improvements for which the financing was obtained. If the construction is to be done in phases, the guarantee generally is limited to completing only the phases as to which construction has already commenced and for which loan proceeds were used. If the Company is required to make a payment under any guarantee, the payment would generally constitute a capital contribution or loan to the Homebuilding unconsolidated entity and increase the Company's investment in the unconsolidated entity and its share of any funds the entity distributes. As of both November 30, 2019 and 2018 , the fair values of the repayment, maintenance guarantees and completion guarantees were not material. The Company believes that as of November 30, 2019 , in the event it becomes legally obligated to perform under a guarantee of the obligation of a Homebuilding unconsolidated entity due to a triggering event under a guarantee, the collateral should be sufficient to repay at least a significant portion of the obligation or the Company and its partners would contribute additional capital into the venture. In certain instances, the Company has placed performance letters of credit and surety bonds with municipalities for its joint ventures (see Note 7). |
Lennar Homebuilding Operating P
Lennar Homebuilding Operating Properties And Equipment | 12 Months Ended |
Nov. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Lennar Homebuilding Operating Properties And Equipment | Homebuilding Operating Properties and Equipment Operating properties and equipment are included in Homebuilding other assets in the consolidated balance sheets and were as follows: November 30, (In thousands) 2019 2018 Operating properties (1) $ 225,256 255,203 Leasehold improvements 63,846 61,990 Furniture, fixtures and equipment 159,007 141,466 448,109 458,659 Accumulated depreciation and amortization (168,582 ) (138,798 ) $ 279,527 319,861 (1) Operating properties primarily include solar systems, rental operations and commercial properties. |
Lennar Homebuilding Senior Note
Lennar Homebuilding Senior Notes And Other Debts Payable | 12 Months Ended |
Nov. 30, 2019 | |
Debt Disclosure [Abstract] | |
Lennar Homebuilding Senior Notes And Other Debts Payable | Homebuilding Senior Notes and Other Debts Payable November 30, (Dollars in thousands) 2019 2018 6.625% senior notes due 2020 (1) $ 303,668 311,735 2.95% senior notes due 2020 299,421 298,838 8.375% senior notes due 2021 (1) 418,860 435,897 4.750% senior notes due 2021 498,893 498,111 6.25% senior notes due December 2021 (1) 310,252 315,283 4.125% senior notes due 2022 597,885 596,894 5.375% senior notes due 2022 (1) 258,198 261,055 4.750% senior notes due 2022 571,644 570,564 4.875% senior notes due December 2023 396,553 395,759 4.500% senior notes due 2024 646,802 646,078 5.875% senior notes due 2024 (1) 448,158 452,833 4.750% senior notes due 2025 497,558 497,114 5.25% senior notes due 2026 (1) 407,921 409,133 5.00% senior notes due 2027 (1) 352,892 353,275 4.75% senior notes due 2027 893,046 892,297 0.25% convertible senior notes due 2019 — 1,291 4.500% senior notes due 2019 — 499,585 4.50% senior notes due 2019 — 599,176 Mortgage notes on land and other debt 874,887 508,950 $ 7,776,638 8,543,868 (1) These notes were obligations of CalAtlantic when it was acquired, and were subsequently exchanged in part for notes of Lennar Corporation as follows: $267.7 million principal amount of 6.625% senior notes due 2020 , $397.6 million principal amount of 8.375% senior notes due 2021 , $292.0 million principal amount of 6.25% senior notes due 2021 , $240.8 million principal amount of 5.375% senior notes due 2022 , $421.4 million principal amount of 5.875% senior notes due 2024 , $395.5 million principal amount of 5.25% senior notes due 2026 and $347.3 million principal amount of 5.00% senior notes due 2027 . As part of purchase accounting, the senior notes have been recorded at their fair value as of the date of acquisition (February 12, 2018). The carrying amounts of the senior notes listed above are net of debt issuance costs of $22.9 million and $31.2 million , as of November 30, 2019 and 2018 , respectively. In November 2019, the Company redeemed $600 million aggregate principal amount of its 4.50% senior notes due November 2019. The redemption price, which was paid in cash, was 100% of the principal amount plus accrued but unpaid interest. In June 2019, the Company redeemed $500 million aggregate principal amount of its 4.50% senior notes due June 2019. The redemption price, which was paid in cash, was 100% of the principal amount plus accrued but unpaid interest. In April 2019, the Company amended the credit agreement governing its unsecured revolving credit facility (the "Credit Facility") to increase the maximum borrowings from $2.0 billion to $2.4 billion and extended the maturity to April 2024, with $50 million maturing in June 2020. In September 2019, the Credit Facility commitments were increased by $50 million to total commitments of $2.5 billion . As of November 30, 2019 , the Credit Facility included a $350 million accordion feature, subject to additional commitments, thus the maximum borrowings could be $2.8 billion . The proceeds available under the Credit Facility, which are subject to specified conditions for borrowing, may be used for working capital and general corporate purposes. The credit agreement also provides that up to $500 million in commitments may be used for letters of credit. As of both November 30, 2019 and 2018 , the Company had no outstanding borrowings under the Credit Facility. Under the Credit Facility agreement, the Company is required to maintain a minimum consolidated tangible net worth, a maximum leverage ratio and either a liquidity or an interest coverage ratio. These ratios are calculated per the Credit Facility agreement, which involves adjustments to GAAP financial measures. The Company believes it was in compliance with its debt covenants at November 30, 2019 . In addition, the Company had $305 million in letter of credit facilities with different financial institutions at November 30, 2019 . The Company’s performance letters of credit outstanding were $715.8 million and $598.4 million at November 30, 2019 and 2018 , respectively. The Company’s financial letters of credit outstanding were $184.1 million and $165.4 million at November 30, 2019 and 2018 , respectively. Performance letters of credit are generally posted with regulatory bodies to guarantee the Company’s performance of certain development and construction activities. Financial letters of credit are generally posted in lieu of cash deposits on option contracts, for insurance risks, credit enhancements and as other collateral. Additionally, at November 30, 2019 , the Company had outstanding surety bonds of $2.9 billion including performance surety bonds related to site improvements at various projects (including certain projects of the Company’s joint ventures) and financial surety bonds. Although significant development and construction activities have been completed related to these site improvements, these bonds are generally not released until all development and construction activities are completed. As of November 30, 2019 , there were approximately $1.4 billion , or 48% , of anticipated future costs to complete related to these site improvements. The Company does not presently anticipate any draws upon these bonds or letters of credit, but if any such draws occur, the Company does not believe they would have a material effect on its financial position, results of operations or cash flows. The terms of each of the Company's senior notes outstanding at November 30, 2019 were as follows: Senior Notes Outstanding (1) Principal Amount Net Proceeds (2) Price Dates Issued (Dollars in thousands) 6.625% senior notes due 2020 $ 300,000 (3) (3) (3) 2.95% senior notes due 2020 300,000 298,800 100 % November 2017 8.375% senior notes due 2021 400,000 (3) (3) (3) 4.750% senior notes due 2021 500,000 495,974 100 % March 2016 6.25% senior notes due December 2021 300,000 (3) (3) (3) 4.125% senior notes due 2022 600,000 595,160 100 % January 2017 5.375% senior notes due 2022 250,000 (3) (3) (3) 4.750% senior notes due 2022 575,000 567,585 (4) October 2012, February 2013, April 2013 4.875% senior notes due December 2023 400,000 393,622 99.169 % November 2015 4.500% senior notes due 2024 650,000 644,838 100 % April 2017 5.875% senior notes due 2024 425,000 (3) (3) (3) 4.750% senior notes due 2025 500,000 495,528 100 % April 2015 5.25% senior notes due 2026 400,000 (3) (3) (3) 5.00% senior notes due 2027 350,000 (3) (3) (3) 4.75% senior notes due 2027 900,000 894,650 100 % November 2017 (1) Interest is payable semi-annually for each of the series of senior notes. The senior notes are unsecured and unsubordinated, but are guaranteed by substantially all of the Company's 100% owned homebuilding subsidiaries. (2) The Company generally uses the net proceeds for working capital and general corporate purposes, which can include the repayment or repurchase of other outstanding senior notes. (3) These notes were obligations of CalAtlantic when it was acquired, and were subsequently exchanged in part for notes of the Company. As part of purchase accounting, the senior notes have been recorded at their fair value as of the date of acquisition (February 12, 2018). (4) The Company issued $350 million aggregate principal amount at a price of 100% , $175 million aggregate principal amount at a price of 98.073% and $50 million aggregate principal amount at a price of 98.250% . The Company's senior notes are guaranteed by substantially all of the Company's 100% owned homebuilding subsidiaries and some of the Company's other subsidiaries. Although the guarantees are full, unconditional and joint and several while they are in effect, (i) a subsidiary will cease to be a guarantor at any time when it is not directly or indirectly guaranteeing at least $75 million of debt of Lennar Corporation (the parent company), and (ii) a subsidiary will be released from its guarantee and any other obligations it may have regarding the senior notes if all or substantially all its assets, or all of its capital stock, are sold or otherwise disposed of. At November 30, 2019 , the Company had mortgage notes on land and other debt due at various dates through 2036 bearing interest at rates up to 7.5% with an average interest rate of 3.4% . At November 30, 2019 and 2018 , the carrying amount of the mortgage notes on land and other debt was $874.9 million and $509.0 million , respectively. During the years ended November 30, 2019 and 2018 , the Company retired $172.5 million and $128.3 million , respectively, of mortgage notes on land and other debt. The minimum aggregate principal maturities of Homebuilding senior notes and other debts payable during the five years subsequent to November 30, 2019 and thereafter are as follows: (In thousands) Debt Maturities 2020 $ 1,055,076 2021 1,131,303 2022 1,759,816 2023 72,419 2024 1,523,125 Thereafter 2,187,082 The Company expects to pay its near-term maturities as they come due through cash generated from operations, the issuance of additional debt or equity offerings as well as borrowings under the Company's Credit Facility. |
Lennar Financial Services Segme
Lennar Financial Services Segment | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Operating And Reporting Segments | Operating and Reporting Segments The Company's homebuilding operations construct and sell homes primarily for first-time, move-up and active adult homebuyers primarily under the Lennar brand name. In addition, the Company's homebuilding operations purchase, develop and sell land to third parties. The Company's chief operating decision makers ("CODM") manage and assess the Company's performance at a regional level. Therefore, the Company performed an assessment of the Company's operating segments in accordance with ASC 280, Segment Reporting, (“ASC 280”) and determined that each of the Company's four homebuilding regions (Homebuilding East, Homebuilding Central, Homebuilding Texas, and Homebuilding West), financial services operations, multifamily operations and Lennar Other are the Company's operating segments. Information about homebuilding activities in the urban divisions that do not have economic characteristics similar to those in other divisions within the same geographic area is grouped under "Homebuilding Other," which is not a reportable segment. In the first quarter of 2019, as a result of the reclassification of RMF and certain other Rialto assets from the Rialto segment to the Financial Services segment effective December 1, 2018, the Company renamed the Rialto segment as "Lennar Other" and included in this segment certain strategic technology investments, which were reclassified from the Homebuilding segments to Lennar Other. Prior periods have been reclassified to conform with the 2019 presentation. As of and for the year ended November 30, 2019 , the Company’s reportable segments consist of: (1) Homebuilding East (2) Homebuilding Central (3) Homebuilding Texas (4) Homebuilding West (5) Financial Services (6) Multifamily (7) Lennar Other Evaluation of segment performance is based primarily on operating earnings (loss) before income taxes. Operations of the Company’s homebuilding segments primarily include the construction and sale of single-family attached and detached homes, as well as the purchase, development and sale of residential land directly and through the Company’s unconsolidated entities. Operating earnings (loss) for the homebuilding segments consist of revenues generated from the sales of homes and land, equity in earnings (loss) from unconsolidated entities and other income (expense), net, less the cost of homes sold and land sold, selling, general and administrative expenses incurred by the segment and loss due to litigation. The Company’s reportable homebuilding segments and all other homebuilding operations not required to be reported separately, have homebuilding divisions located in: East: Florida, New Jersey, North Carolina , Pennsylvania and South Carolina Central: Georgia, Illinois, Indiana, Maryland, Minnesota, Tennessee and Virginia Texas: Texas West: Arizona, California, Colorado, Nevada, Oregon, Utah and Washington Other: Urban divisions and other homebuilding related investments primarily in California, including Five Point Holdings, LLC ("FivePoint") Operations of the Financial Services segment include primarily mortgage financing, title and closing services primarily for buyers of the Company’s homes. It also includes originating and selling into securitizations commercial mortgage loans through its RMF business. The Financial Services segment sells substantially all of the loans it originates within a short period of time in the secondary mortgage market, the majority of which are sold on a servicing released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that it breached certain limited industry standard representations and warranties in the loan sale agreements. Financial Services’ operating earnings consist of revenues generated primarily from mortgage financing, title and closing services, and property and casualty insurance, less the cost of such services and certain selling, general and administrative expenses incurred by the segment. The Financial Services segment operates generally in the same states as the Company’s homebuilding operations as well as in other states. Operations of the Lennar Other segment include revenues generated primarily from the Company's share of carried interests in the Rialto fund investments retained after the sale of Rialto's asset and investment management platform, along with equity in earnings (loss) from the Rialto fund investments and strategic technology investments, and other income (expense), net from the remaining assets related to the Company's former Rialto segment. Operations of the Multifamily segment include revenues generated from land sales, revenue from construction activities and management fees generated from joint ventures, and equity in earnings from unconsolidated entities, less the cost of land sold, expenses related to construction activities and general and administrative expenses. Each reportable segment follows the same accounting policies described in Note 1—"Summary of Significant Accounting Policies" to the consolidated financial statements. Operational results of each segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented. Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million , respectively. At November 30, 2019 , the Financial Services segment warehouse facilities used to fund residential mortgages were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 500,000 364-day warehouse repurchase facility that matures March 2020 (2) 300,000 364-day warehouse repurchase facility that matures June 2020 500,000 364-day warehouse repurchase facility that matures October 2020 (3) 500,000 Total $ 1,800,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to March 2020 and the maximum aggregate commitment was decreased to $300 million . As of November 30, 2019 , the maximum aggregate commitment includes an uncommitted amount of $500 million . (2) Maximum aggregate commitment includes an uncommitted amount of $300 million . (3) Maximum aggregate commitment includes an uncommitted amount of $400 million . The Financial Services segment uses these facilities to finance its residential mortgage lending activities until the mortgage loans are sold to investors and the proceeds are collected. The facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. Borrowings under the facilities and their prior year predecessors were $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively, and were collateralized by mortgage loans and receivables on loans sold to investors but not yet paid for with outstanding principal balances of $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively. The combined effective interest rate on the facilities at November 30, 2019 was 3.5% . If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the mortgage loans held-for-sale to investors and by collecting on receivables on loans sold but not yet paid. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. RMF - loans held-for-sale During the year ended November 30, 2019 , RMF originated loans with a total principal balance of $1.6 billion , nearly all of which were recorded as loans held-for-sale, $15.3 million which were recorded as accrual loans within loans receivables, net, and sold $1.4 billion of loans into 11 separate securitizations. During the year ended November 30, 2018 , RMF originated loans with a principal balance of $1.4 billion all of which were recorded as loans held-for-sale and sold $1.5 billion of loans into 16 separate securitizations. As of November 30, 2019 and 2018 , originated loans with an unpaid balance of $158.4 million and $218.4 million were sold into a securitization trust but not settled and thus were included as receivables, net, respectively. At November 30, 2019 , RMF warehouse facilities were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 250,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures November 2020 200,000 Total - Loans origination and securitization business 850,000 Warehouse repurchase facility that matures December 2019 (two - one year extensions) (2) 50,000 Total $ 900,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to December 2020. (2) RMF uses this warehouse repurchase facility to finance the origination of floating rate accrual loans, which are reported as accrual loans within loans receivable, net. There were borrowings under this facility of $11.4 million as of November 30, 2019 . There were no borrowings under this facility as of November 30, 2018 . Borrowings under the facilities that finance RMF 's loan originations and securitization activities were $216.9 million and $178.8 million as of November 30, 2019 and 2018 , respectively, and were secured by a 75% interest in the originated commercial loans financed. The facilities require immediate repayment of the 75% interest in the secured commercial loans when the loans are sold in a securitization and the proceeds are collected. These warehouse repurchase facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the loans held-for-sale to investors. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Financial Services' commercial mortgage-backed securities ("CMBS") was $166.0 million and $137.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 84% with coupon rates ranging from 2.0% to 5.3% , stated and assumed final distribution dates between October 2027 and December 2028, and stated maturity dates between October 2050 and December 2051. The Financial Services segment reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 The Company is actively involved, primarily through unconsolidated entities, in the development, construction and property management of multifamily rental properties. The Multifamily segment focuses on developing a geographically diversified portfolio of institutional quality multifamily rental properties in select U.S. markets. The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . (2) Note payable is net of debt issuance costs. The unconsolidated entities in which the Multifamily segment has investments usually finance their activities with a combination of partner equity and debt financing. In connection with many of the loans to Multifamily unconsolidated entities, the Company (or entities related to them) has been required to give guarantees of completion and cost over-runs to the lenders and partners. Those completion guarantees may require that the guarantors complete the construction of the improvements for which the financing was obtained. Additionally, the Company guarantees the construction costs of the project as construction cost over-runs would be paid by the Company. Generally, these payments would increase the Company's investment in the entities and would increase its share of funds the entities distribute after the achievement of certain thresholds. As of both November 30, 2019 and 2018 , the fair value of the completion guarantees was immaterial. Additionally, as of November 30, 2019 and 2018 , the Multifamily segment had $4.2 million and $4.6 million , respectively, of letters of credit outstanding primarily for credit enhancements for the bank debt of certain of its unconsolidated entities and deposits on land purchase contracts. These letters of credit outstanding are included in the disclosure in Note 7 related to the Company's performance and financial letters of credit. As of November 30, 2019 and 2018 , the Multifamily segment's unconsolidated entities had non-recourse debt with completion guarantees of $867.3 million and $1.0 billion , respectively. In many instances, the Multifamily segment is appointed as the construction, development and property manager of certain of its Multifamily unconsolidated entities and receives fees for performing this function. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment received fee income, net of deferrals, from its unconsolidated entities of $53.6 million , $48.8 million and $53.8 million , respectively. The Multifamily segment also provides general contractor services for construction of some of the rental properties owned by unconsolidated entities in which the Company has investments. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment provided general contractor services, net of deferrals, totaling $355.4 million , $353.2 million and $341.0 million , respectively, which were offset by costs related to those services of $340.1 million , $338.7 million and $330.4 million , respectively. The Lennar Multifamily Venture Fund I LP ("LMV I") is a long-term multifamily development investment vehicle involved in the development, construction and property management of class-A multifamily assets with $2.2 billion in equity commitments, including a $504 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. During the year ended November 30, 2019 , $184.7 million in equity commitments were called, of which the Company contributed its portion of $44.7 million . During the year ended November 30, 2019 , the Company received $35.5 million of distributions as a return of capital from LMV I. As of November 30, 2019 , $2.1 billion of the $2.2 billion in equity commitments had been called, of which the Company had contributed $485.5 million representing its pro-rata portion of the called equity, resulting in a remaining equity commitment for the Company of $18.5 million . As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV I was $371.0 million and $383.4 million , respectively. In March 2018, the Multifamily segment completed the first closing of a second Multifamily Venture, Lennar Multifamily Venture II LP, ("LMV II"), for the development, construction and property management of Class-A multifamily assets. In June 2019, the Multifamily segment completed the final closing of LMV II which has approximately $1.3 billion of equity commitments, including a $381 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. As of and for the year ended November 30, 2019 , $330.2 million in equity commitments were called, of which the Company contributed its portion of $94.1 million , which was made up of a $191.0 million inventory and cash contributions, offset by $96.9 million of distributions as a return of capital, resulting in a remaining equity commitment for the Company of $205.7 million . As of November 30, 2019 , $582.3 million of the $1.3 billion in equity had been called. As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV II was $153.3 million and $63.0 million , respectively. The difference between the Company's net contributions and the carrying value of the Company's investments was related to a basis difference. As of November 30, 2019 , LMV II included 16 undeveloped multifamily assets totaling approximately 5,600 apartments with projected project costs of approximately $2.4 billion . Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Lennar Other primarily includes fund investments the Company retained when it sold the Rialto asset and investment management platform, as well as strategic investments in technology companies. The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Lennar Other's CMBS was $54.1 million and $60.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 86% with coupon rates ranging from 1.3% to 4.0% , stated and assumed final distribution dates between November 2020 and October 2026 , and stated maturity dates between November 2049 and March 2059 . The Company reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 . The Company classifies these securities as held-to-maturity based on its intent and ability to hold the securities until maturity. The Company has financing agreements to finance CMBS that have been purchased as investments by the segment. At November 30, 2019 and November 30, 2018 , the carrying amount, net of debt issuance costs, of outstanding debt in these agreements was $13.3 million and $12.6 million , respectively, and the interest is incurred at a rate of 3.9% . Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Lennar Multifamily Segment
Lennar Multifamily Segment | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Operating And Reporting Segments | Operating and Reporting Segments The Company's homebuilding operations construct and sell homes primarily for first-time, move-up and active adult homebuyers primarily under the Lennar brand name. In addition, the Company's homebuilding operations purchase, develop and sell land to third parties. The Company's chief operating decision makers ("CODM") manage and assess the Company's performance at a regional level. Therefore, the Company performed an assessment of the Company's operating segments in accordance with ASC 280, Segment Reporting, (“ASC 280”) and determined that each of the Company's four homebuilding regions (Homebuilding East, Homebuilding Central, Homebuilding Texas, and Homebuilding West), financial services operations, multifamily operations and Lennar Other are the Company's operating segments. Information about homebuilding activities in the urban divisions that do not have economic characteristics similar to those in other divisions within the same geographic area is grouped under "Homebuilding Other," which is not a reportable segment. In the first quarter of 2019, as a result of the reclassification of RMF and certain other Rialto assets from the Rialto segment to the Financial Services segment effective December 1, 2018, the Company renamed the Rialto segment as "Lennar Other" and included in this segment certain strategic technology investments, which were reclassified from the Homebuilding segments to Lennar Other. Prior periods have been reclassified to conform with the 2019 presentation. As of and for the year ended November 30, 2019 , the Company’s reportable segments consist of: (1) Homebuilding East (2) Homebuilding Central (3) Homebuilding Texas (4) Homebuilding West (5) Financial Services (6) Multifamily (7) Lennar Other Evaluation of segment performance is based primarily on operating earnings (loss) before income taxes. Operations of the Company’s homebuilding segments primarily include the construction and sale of single-family attached and detached homes, as well as the purchase, development and sale of residential land directly and through the Company’s unconsolidated entities. Operating earnings (loss) for the homebuilding segments consist of revenues generated from the sales of homes and land, equity in earnings (loss) from unconsolidated entities and other income (expense), net, less the cost of homes sold and land sold, selling, general and administrative expenses incurred by the segment and loss due to litigation. The Company’s reportable homebuilding segments and all other homebuilding operations not required to be reported separately, have homebuilding divisions located in: East: Florida, New Jersey, North Carolina , Pennsylvania and South Carolina Central: Georgia, Illinois, Indiana, Maryland, Minnesota, Tennessee and Virginia Texas: Texas West: Arizona, California, Colorado, Nevada, Oregon, Utah and Washington Other: Urban divisions and other homebuilding related investments primarily in California, including Five Point Holdings, LLC ("FivePoint") Operations of the Financial Services segment include primarily mortgage financing, title and closing services primarily for buyers of the Company’s homes. It also includes originating and selling into securitizations commercial mortgage loans through its RMF business. The Financial Services segment sells substantially all of the loans it originates within a short period of time in the secondary mortgage market, the majority of which are sold on a servicing released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that it breached certain limited industry standard representations and warranties in the loan sale agreements. Financial Services’ operating earnings consist of revenues generated primarily from mortgage financing, title and closing services, and property and casualty insurance, less the cost of such services and certain selling, general and administrative expenses incurred by the segment. The Financial Services segment operates generally in the same states as the Company’s homebuilding operations as well as in other states. Operations of the Lennar Other segment include revenues generated primarily from the Company's share of carried interests in the Rialto fund investments retained after the sale of Rialto's asset and investment management platform, along with equity in earnings (loss) from the Rialto fund investments and strategic technology investments, and other income (expense), net from the remaining assets related to the Company's former Rialto segment. Operations of the Multifamily segment include revenues generated from land sales, revenue from construction activities and management fees generated from joint ventures, and equity in earnings from unconsolidated entities, less the cost of land sold, expenses related to construction activities and general and administrative expenses. Each reportable segment follows the same accounting policies described in Note 1—"Summary of Significant Accounting Policies" to the consolidated financial statements. Operational results of each segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented. Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million , respectively. At November 30, 2019 , the Financial Services segment warehouse facilities used to fund residential mortgages were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 500,000 364-day warehouse repurchase facility that matures March 2020 (2) 300,000 364-day warehouse repurchase facility that matures June 2020 500,000 364-day warehouse repurchase facility that matures October 2020 (3) 500,000 Total $ 1,800,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to March 2020 and the maximum aggregate commitment was decreased to $300 million . As of November 30, 2019 , the maximum aggregate commitment includes an uncommitted amount of $500 million . (2) Maximum aggregate commitment includes an uncommitted amount of $300 million . (3) Maximum aggregate commitment includes an uncommitted amount of $400 million . The Financial Services segment uses these facilities to finance its residential mortgage lending activities until the mortgage loans are sold to investors and the proceeds are collected. The facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. Borrowings under the facilities and their prior year predecessors were $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively, and were collateralized by mortgage loans and receivables on loans sold to investors but not yet paid for with outstanding principal balances of $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively. The combined effective interest rate on the facilities at November 30, 2019 was 3.5% . If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the mortgage loans held-for-sale to investors and by collecting on receivables on loans sold but not yet paid. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. RMF - loans held-for-sale During the year ended November 30, 2019 , RMF originated loans with a total principal balance of $1.6 billion , nearly all of which were recorded as loans held-for-sale, $15.3 million which were recorded as accrual loans within loans receivables, net, and sold $1.4 billion of loans into 11 separate securitizations. During the year ended November 30, 2018 , RMF originated loans with a principal balance of $1.4 billion all of which were recorded as loans held-for-sale and sold $1.5 billion of loans into 16 separate securitizations. As of November 30, 2019 and 2018 , originated loans with an unpaid balance of $158.4 million and $218.4 million were sold into a securitization trust but not settled and thus were included as receivables, net, respectively. At November 30, 2019 , RMF warehouse facilities were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 250,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures November 2020 200,000 Total - Loans origination and securitization business 850,000 Warehouse repurchase facility that matures December 2019 (two - one year extensions) (2) 50,000 Total $ 900,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to December 2020. (2) RMF uses this warehouse repurchase facility to finance the origination of floating rate accrual loans, which are reported as accrual loans within loans receivable, net. There were borrowings under this facility of $11.4 million as of November 30, 2019 . There were no borrowings under this facility as of November 30, 2018 . Borrowings under the facilities that finance RMF 's loan originations and securitization activities were $216.9 million and $178.8 million as of November 30, 2019 and 2018 , respectively, and were secured by a 75% interest in the originated commercial loans financed. The facilities require immediate repayment of the 75% interest in the secured commercial loans when the loans are sold in a securitization and the proceeds are collected. These warehouse repurchase facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the loans held-for-sale to investors. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Financial Services' commercial mortgage-backed securities ("CMBS") was $166.0 million and $137.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 84% with coupon rates ranging from 2.0% to 5.3% , stated and assumed final distribution dates between October 2027 and December 2028, and stated maturity dates between October 2050 and December 2051. The Financial Services segment reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 The Company is actively involved, primarily through unconsolidated entities, in the development, construction and property management of multifamily rental properties. The Multifamily segment focuses on developing a geographically diversified portfolio of institutional quality multifamily rental properties in select U.S. markets. The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . (2) Note payable is net of debt issuance costs. The unconsolidated entities in which the Multifamily segment has investments usually finance their activities with a combination of partner equity and debt financing. In connection with many of the loans to Multifamily unconsolidated entities, the Company (or entities related to them) has been required to give guarantees of completion and cost over-runs to the lenders and partners. Those completion guarantees may require that the guarantors complete the construction of the improvements for which the financing was obtained. Additionally, the Company guarantees the construction costs of the project as construction cost over-runs would be paid by the Company. Generally, these payments would increase the Company's investment in the entities and would increase its share of funds the entities distribute after the achievement of certain thresholds. As of both November 30, 2019 and 2018 , the fair value of the completion guarantees was immaterial. Additionally, as of November 30, 2019 and 2018 , the Multifamily segment had $4.2 million and $4.6 million , respectively, of letters of credit outstanding primarily for credit enhancements for the bank debt of certain of its unconsolidated entities and deposits on land purchase contracts. These letters of credit outstanding are included in the disclosure in Note 7 related to the Company's performance and financial letters of credit. As of November 30, 2019 and 2018 , the Multifamily segment's unconsolidated entities had non-recourse debt with completion guarantees of $867.3 million and $1.0 billion , respectively. In many instances, the Multifamily segment is appointed as the construction, development and property manager of certain of its Multifamily unconsolidated entities and receives fees for performing this function. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment received fee income, net of deferrals, from its unconsolidated entities of $53.6 million , $48.8 million and $53.8 million , respectively. The Multifamily segment also provides general contractor services for construction of some of the rental properties owned by unconsolidated entities in which the Company has investments. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment provided general contractor services, net of deferrals, totaling $355.4 million , $353.2 million and $341.0 million , respectively, which were offset by costs related to those services of $340.1 million , $338.7 million and $330.4 million , respectively. The Lennar Multifamily Venture Fund I LP ("LMV I") is a long-term multifamily development investment vehicle involved in the development, construction and property management of class-A multifamily assets with $2.2 billion in equity commitments, including a $504 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. During the year ended November 30, 2019 , $184.7 million in equity commitments were called, of which the Company contributed its portion of $44.7 million . During the year ended November 30, 2019 , the Company received $35.5 million of distributions as a return of capital from LMV I. As of November 30, 2019 , $2.1 billion of the $2.2 billion in equity commitments had been called, of which the Company had contributed $485.5 million representing its pro-rata portion of the called equity, resulting in a remaining equity commitment for the Company of $18.5 million . As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV I was $371.0 million and $383.4 million , respectively. In March 2018, the Multifamily segment completed the first closing of a second Multifamily Venture, Lennar Multifamily Venture II LP, ("LMV II"), for the development, construction and property management of Class-A multifamily assets. In June 2019, the Multifamily segment completed the final closing of LMV II which has approximately $1.3 billion of equity commitments, including a $381 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. As of and for the year ended November 30, 2019 , $330.2 million in equity commitments were called, of which the Company contributed its portion of $94.1 million , which was made up of a $191.0 million inventory and cash contributions, offset by $96.9 million of distributions as a return of capital, resulting in a remaining equity commitment for the Company of $205.7 million . As of November 30, 2019 , $582.3 million of the $1.3 billion in equity had been called. As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV II was $153.3 million and $63.0 million , respectively. The difference between the Company's net contributions and the carrying value of the Company's investments was related to a basis difference. As of November 30, 2019 , LMV II included 16 undeveloped multifamily assets totaling approximately 5,600 apartments with projected project costs of approximately $2.4 billion . Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Lennar Other primarily includes fund investments the Company retained when it sold the Rialto asset and investment management platform, as well as strategic investments in technology companies. The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Lennar Other's CMBS was $54.1 million and $60.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 86% with coupon rates ranging from 1.3% to 4.0% , stated and assumed final distribution dates between November 2020 and October 2026 , and stated maturity dates between November 2049 and March 2059 . The Company reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 . The Company classifies these securities as held-to-maturity based on its intent and ability to hold the securities until maturity. The Company has financing agreements to finance CMBS that have been purchased as investments by the segment. At November 30, 2019 and November 30, 2018 , the carrying amount, net of debt issuance costs, of outstanding debt in these agreements was $13.3 million and $12.6 million , respectively, and the interest is incurred at a rate of 3.9% . Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Lennar Other
Lennar Other | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Operating And Reporting Segments | Operating and Reporting Segments The Company's homebuilding operations construct and sell homes primarily for first-time, move-up and active adult homebuyers primarily under the Lennar brand name. In addition, the Company's homebuilding operations purchase, develop and sell land to third parties. The Company's chief operating decision makers ("CODM") manage and assess the Company's performance at a regional level. Therefore, the Company performed an assessment of the Company's operating segments in accordance with ASC 280, Segment Reporting, (“ASC 280”) and determined that each of the Company's four homebuilding regions (Homebuilding East, Homebuilding Central, Homebuilding Texas, and Homebuilding West), financial services operations, multifamily operations and Lennar Other are the Company's operating segments. Information about homebuilding activities in the urban divisions that do not have economic characteristics similar to those in other divisions within the same geographic area is grouped under "Homebuilding Other," which is not a reportable segment. In the first quarter of 2019, as a result of the reclassification of RMF and certain other Rialto assets from the Rialto segment to the Financial Services segment effective December 1, 2018, the Company renamed the Rialto segment as "Lennar Other" and included in this segment certain strategic technology investments, which were reclassified from the Homebuilding segments to Lennar Other. Prior periods have been reclassified to conform with the 2019 presentation. As of and for the year ended November 30, 2019 , the Company’s reportable segments consist of: (1) Homebuilding East (2) Homebuilding Central (3) Homebuilding Texas (4) Homebuilding West (5) Financial Services (6) Multifamily (7) Lennar Other Evaluation of segment performance is based primarily on operating earnings (loss) before income taxes. Operations of the Company’s homebuilding segments primarily include the construction and sale of single-family attached and detached homes, as well as the purchase, development and sale of residential land directly and through the Company’s unconsolidated entities. Operating earnings (loss) for the homebuilding segments consist of revenues generated from the sales of homes and land, equity in earnings (loss) from unconsolidated entities and other income (expense), net, less the cost of homes sold and land sold, selling, general and administrative expenses incurred by the segment and loss due to litigation. The Company’s reportable homebuilding segments and all other homebuilding operations not required to be reported separately, have homebuilding divisions located in: East: Florida, New Jersey, North Carolina , Pennsylvania and South Carolina Central: Georgia, Illinois, Indiana, Maryland, Minnesota, Tennessee and Virginia Texas: Texas West: Arizona, California, Colorado, Nevada, Oregon, Utah and Washington Other: Urban divisions and other homebuilding related investments primarily in California, including Five Point Holdings, LLC ("FivePoint") Operations of the Financial Services segment include primarily mortgage financing, title and closing services primarily for buyers of the Company’s homes. It also includes originating and selling into securitizations commercial mortgage loans through its RMF business. The Financial Services segment sells substantially all of the loans it originates within a short period of time in the secondary mortgage market, the majority of which are sold on a servicing released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that it breached certain limited industry standard representations and warranties in the loan sale agreements. Financial Services’ operating earnings consist of revenues generated primarily from mortgage financing, title and closing services, and property and casualty insurance, less the cost of such services and certain selling, general and administrative expenses incurred by the segment. The Financial Services segment operates generally in the same states as the Company’s homebuilding operations as well as in other states. Operations of the Lennar Other segment include revenues generated primarily from the Company's share of carried interests in the Rialto fund investments retained after the sale of Rialto's asset and investment management platform, along with equity in earnings (loss) from the Rialto fund investments and strategic technology investments, and other income (expense), net from the remaining assets related to the Company's former Rialto segment. Operations of the Multifamily segment include revenues generated from land sales, revenue from construction activities and management fees generated from joint ventures, and equity in earnings from unconsolidated entities, less the cost of land sold, expenses related to construction activities and general and administrative expenses. Each reportable segment follows the same accounting policies described in Note 1—"Summary of Significant Accounting Policies" to the consolidated financial statements. Operational results of each segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented. Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million , respectively. At November 30, 2019 , the Financial Services segment warehouse facilities used to fund residential mortgages were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 500,000 364-day warehouse repurchase facility that matures March 2020 (2) 300,000 364-day warehouse repurchase facility that matures June 2020 500,000 364-day warehouse repurchase facility that matures October 2020 (3) 500,000 Total $ 1,800,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to March 2020 and the maximum aggregate commitment was decreased to $300 million . As of November 30, 2019 , the maximum aggregate commitment includes an uncommitted amount of $500 million . (2) Maximum aggregate commitment includes an uncommitted amount of $300 million . (3) Maximum aggregate commitment includes an uncommitted amount of $400 million . The Financial Services segment uses these facilities to finance its residential mortgage lending activities until the mortgage loans are sold to investors and the proceeds are collected. The facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. Borrowings under the facilities and their prior year predecessors were $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively, and were collateralized by mortgage loans and receivables on loans sold to investors but not yet paid for with outstanding principal balances of $1.4 billion and $1.3 billion at November 30, 2019 and 2018 , respectively. The combined effective interest rate on the facilities at November 30, 2019 was 3.5% . If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the mortgage loans held-for-sale to investors and by collecting on receivables on loans sold but not yet paid. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. RMF - loans held-for-sale During the year ended November 30, 2019 , RMF originated loans with a total principal balance of $1.6 billion , nearly all of which were recorded as loans held-for-sale, $15.3 million which were recorded as accrual loans within loans receivables, net, and sold $1.4 billion of loans into 11 separate securitizations. During the year ended November 30, 2018 , RMF originated loans with a principal balance of $1.4 billion all of which were recorded as loans held-for-sale and sold $1.5 billion of loans into 16 separate securitizations. As of November 30, 2019 and 2018 , originated loans with an unpaid balance of $158.4 million and $218.4 million were sold into a securitization trust but not settled and thus were included as receivables, net, respectively. At November 30, 2019 , RMF warehouse facilities were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 250,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures November 2020 200,000 Total - Loans origination and securitization business 850,000 Warehouse repurchase facility that matures December 2019 (two - one year extensions) (2) 50,000 Total $ 900,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to December 2020. (2) RMF uses this warehouse repurchase facility to finance the origination of floating rate accrual loans, which are reported as accrual loans within loans receivable, net. There were borrowings under this facility of $11.4 million as of November 30, 2019 . There were no borrowings under this facility as of November 30, 2018 . Borrowings under the facilities that finance RMF 's loan originations and securitization activities were $216.9 million and $178.8 million as of November 30, 2019 and 2018 , respectively, and were secured by a 75% interest in the originated commercial loans financed. The facilities require immediate repayment of the 75% interest in the secured commercial loans when the loans are sold in a securitization and the proceeds are collected. These warehouse repurchase facilities are non-recourse to the Company and are expected to be renewed or replaced with other facilities when they mature. If the facilities are not renewed or replaced, the borrowings under the lines of credit will be paid off by selling the loans held-for-sale to investors. Without the facilities, the Financial Services segment would have to use cash from operations and other funding sources to finance its lending activities. Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Financial Services' commercial mortgage-backed securities ("CMBS") was $166.0 million and $137.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 84% with coupon rates ranging from 2.0% to 5.3% , stated and assumed final distribution dates between October 2027 and December 2028, and stated maturity dates between October 2050 and December 2051. The Financial Services segment reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 The Company is actively involved, primarily through unconsolidated entities, in the development, construction and property management of multifamily rental properties. The Multifamily segment focuses on developing a geographically diversified portfolio of institutional quality multifamily rental properties in select U.S. markets. The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . (2) Note payable is net of debt issuance costs. The unconsolidated entities in which the Multifamily segment has investments usually finance their activities with a combination of partner equity and debt financing. In connection with many of the loans to Multifamily unconsolidated entities, the Company (or entities related to them) has been required to give guarantees of completion and cost over-runs to the lenders and partners. Those completion guarantees may require that the guarantors complete the construction of the improvements for which the financing was obtained. Additionally, the Company guarantees the construction costs of the project as construction cost over-runs would be paid by the Company. Generally, these payments would increase the Company's investment in the entities and would increase its share of funds the entities distribute after the achievement of certain thresholds. As of both November 30, 2019 and 2018 , the fair value of the completion guarantees was immaterial. Additionally, as of November 30, 2019 and 2018 , the Multifamily segment had $4.2 million and $4.6 million , respectively, of letters of credit outstanding primarily for credit enhancements for the bank debt of certain of its unconsolidated entities and deposits on land purchase contracts. These letters of credit outstanding are included in the disclosure in Note 7 related to the Company's performance and financial letters of credit. As of November 30, 2019 and 2018 , the Multifamily segment's unconsolidated entities had non-recourse debt with completion guarantees of $867.3 million and $1.0 billion , respectively. In many instances, the Multifamily segment is appointed as the construction, development and property manager of certain of its Multifamily unconsolidated entities and receives fees for performing this function. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment received fee income, net of deferrals, from its unconsolidated entities of $53.6 million , $48.8 million and $53.8 million , respectively. The Multifamily segment also provides general contractor services for construction of some of the rental properties owned by unconsolidated entities in which the Company has investments. During the years ended November 30, 2019 , 2018 and 2017 , the Multifamily segment provided general contractor services, net of deferrals, totaling $355.4 million , $353.2 million and $341.0 million , respectively, which were offset by costs related to those services of $340.1 million , $338.7 million and $330.4 million , respectively. The Lennar Multifamily Venture Fund I LP ("LMV I") is a long-term multifamily development investment vehicle involved in the development, construction and property management of class-A multifamily assets with $2.2 billion in equity commitments, including a $504 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. During the year ended November 30, 2019 , $184.7 million in equity commitments were called, of which the Company contributed its portion of $44.7 million . During the year ended November 30, 2019 , the Company received $35.5 million of distributions as a return of capital from LMV I. As of November 30, 2019 , $2.1 billion of the $2.2 billion in equity commitments had been called, of which the Company had contributed $485.5 million representing its pro-rata portion of the called equity, resulting in a remaining equity commitment for the Company of $18.5 million . As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV I was $371.0 million and $383.4 million , respectively. In March 2018, the Multifamily segment completed the first closing of a second Multifamily Venture, Lennar Multifamily Venture II LP, ("LMV II"), for the development, construction and property management of Class-A multifamily assets. In June 2019, the Multifamily segment completed the final closing of LMV II which has approximately $1.3 billion of equity commitments, including a $381 million co-investment commitment by Lennar comprised of cash, undeveloped land and preacquisition costs. As of and for the year ended November 30, 2019 , $330.2 million in equity commitments were called, of which the Company contributed its portion of $94.1 million , which was made up of a $191.0 million inventory and cash contributions, offset by $96.9 million of distributions as a return of capital, resulting in a remaining equity commitment for the Company of $205.7 million . As of November 30, 2019 , $582.3 million of the $1.3 billion in equity had been called. As of November 30, 2019 and 2018 , the carrying value of the Company's investment in LMV II was $153.3 million and $63.0 million , respectively. The difference between the Company's net contributions and the carrying value of the Company's investments was related to a basis difference. As of November 30, 2019 , LMV II included 16 undeveloped multifamily assets totaling approximately 5,600 apartments with projected project costs of approximately $2.4 billion . Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Lennar Other primarily includes fund investments the Company retained when it sold the Rialto asset and investment management platform, as well as strategic investments in technology companies. The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 Investments held-to-maturity At November 30, 2019 and 2018 , the carrying value of Lennar Other's CMBS was $54.1 million and $60.0 million , respectively. These securities were purchased at discount rates ranging from 6% to 86% with coupon rates ranging from 1.3% to 4.0% , stated and assumed final distribution dates between November 2020 and October 2026 , and stated maturity dates between November 2049 and March 2059 . The Company reviews changes in estimated cash flows periodically to determine if an other-than-temporary impairment has occurred on its CMBS. Based on management’s assessment, no impairment charges were recorded during the years ended November 30, 2019 , 2018 and 2017 . The Company classifies these securities as held-to-maturity based on its intent and ability to hold the securities until maturity. The Company has financing agreements to finance CMBS that have been purchased as investments by the segment. At November 30, 2019 and November 30, 2018 , the carrying amount, net of debt issuance costs, of outstanding debt in these agreements was $13.3 million and $12.6 million , respectively, and the interest is incurred at a rate of 3.9% . Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Income Taxes
Income Taxes | 12 Months Ended |
Nov. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provision for income taxes consisted of the following: Years Ended November 30, (In thousands) 2019 2018 2017 Current: Federal $ 298,701 246,604 309,235 State 53,400 30,530 17,572 $ 352,101 277,134 326,807 Deferred: Federal $ 165,080 189,096 40,641 State 74,992 78,941 50,409 240,072 268,037 91,050 $ 592,173 545,171 417,857 A reconciliation of the statutory rate and the effective tax rate was as follows: Percentage of Pretax Income 2019 2018 2017 Statutory rate 21.00 % 22.22 % 35.00 % State income taxes, net of federal income tax benefit 4.17 3.81 3.29 Tax credits (1.49 ) (1.60 ) (2.03 ) Nondeductible compensation 0.45 — — Domestic production activities deduction — (1.71 ) (2.77 ) Tax reserves and interest expense, net (0.03 ) (0.39 ) 0.27 Deferred tax asset valuation allowance, net (0.02 ) (0.03 ) 0.17 Accounting method changes — (1.47 ) — Changes in tax law (1) — 3.06 — Other 0.18 0.44 0.09 Effective rate 24.26 % 24.33 % 34.02 % (1) In December 2017, the Tax Cuts and Jobs Act was enacted which had a positive impact on the Company's effective tax rate in 2019 and 2018 and will have a positive impact in subsequent years. The tax reform bill reduced the maximum federal corporate income tax rate to 21% , which reduced the value of the Company's deferred tax assets. As a result, the Company recorded a non-cash one-time write down of deferred tax assets that resulted in income tax expense of $68.6 million in fiscal year 2018. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of the assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The tax effects of significant temporary differences that give rise to the net deferred tax assets were as follows: November 30, (In thousands) 2019 2018 Deferred tax assets: Inventory valuation adjustments $ 201,408 315,006 Reserves and accruals 148,477 175,626 Net operating loss carryforwards 108,250 138,094 Investments in partnerships 2,800 5,938 Capitalized expenses 72,054 51,477 Investments in unconsolidated entities 52,506 63,339 Other assets 84,454 115,266 Total deferred tax assets 669,949 864,746 Valuation allowance (4,341 ) (7,219 ) Total deferred tax assets after valuation allowance 665,608 857,527 Deferred tax liabilities: Capitalized expenses 152,208 153,392 Deferred income 198,503 156,376 Other liabilities 35,432 32,271 Total deferred tax liabilities 386,143 342,039 Net deferred tax assets $ 279,465 515,488 The detail of the Company's net deferred tax assets was as follows: Years Ended November 30, (In thousands) 2019 2018 Net deferred tax assets: (1) Homebuilding $ 224,859 477,676 Financial Services 17,551 5,075 Multifamily 34,291 15,272 Lennar Other 2,764 17,465 Net deferred tax assets $ 279,465 515,488 (1) Net deferred tax assets and net deferred tax liabilities detailed above are included within other assets and other liabilities in the respective segments. A reduction of the carrying amounts of deferred tax assets by a valuation allowance is required if, based on the available evidence, it is more likely than not that such assets will not be realized. Accordingly, the need to establish valuation allowances for deferred tax assets is assessed each reporting period by the Company based on the consideration of all available positive and negative evidence using a "more-likely-than-not" standard with respect to whether deferred tax assets will be realized. This assessment considers, among other matters, the nature, frequency and severity of current and cumulative losses, actual earnings, forecasts of future profitability, the duration of statutory carryforward periods, the Company’s experience with loss carryforwards not expiring unused and tax planning alternatives. As of November 30, 2019 and 2018 , the net deferred tax assets included valuation allowances of $4.3 million and $7.2 million , respectively, primarily related to state net operating loss ("NOL") carryforwards that are not more likely than not to be utilized due to an inability to carry back these losses in most states and short carryforward periods that exist in certain states. At November 30, 2019 and 2018 , the Company had federal tax effected NOL carryforwards totaling $39.1 million and $44.8 million , respectively, that may be carried forward up to 20 years to offset future taxable income and begin to expire in 2029. At November 30, 2019 and 2018 , the Company had state tax effected NOL carryforwards totaling $69.2 million and $93.3 million , respectively, that may be carried forward from 5 to 20 years, depending on the tax jurisdiction, with losses expiring between 2020 and 2038 . The following table summarizes the changes in gross unrecognized tax benefits: Years Ended November 30, (In thousands) 2019 2018 2017 Gross unrecognized tax benefits, beginning of year $ 14,667 12,285 12,285 Lapse of statute of limitations (1,811 ) (2,052 ) — Decreases due to tax positions taken during prior period — (2,805 ) — Decreases due to settlements with tax authorities — (6,493 ) — Increases due to the CalAtlantic acquisition — 13,510 — Increases due to tax positions taken during prior period — 222 — Gross unrecognized tax benefits, end of year $ 12,856 14,667 12,285 If the Company were to recognize its gross unrecognized tax benefits as of November 30, 2019 , $10.2 million would affect the Company’s effective tax rate. The Company does not expect the total amount of unrecognized tax benefits to increase or decrease by a material amount within the following twelve months. The following summarizes the changes in interest and penalties accrued with respect to gross unrecognized tax benefits: Years Ended November 30, (In thousands) 2019 2018 Accrued interest and penalties, beginning of the year $ 52,942 49,723 Additional interest and penalties (related to the acquisition of CalAtlantic) — 1,515 Accrual of interest and penalties (primarily related to state audits) 3,029 1,894 Reduction of interest and penalties (638 ) (190 ) Accrued interest and penalties, end of the year $ 55,333 52,942 The IRS is currently examining the Company's federal tax income tax returns for fiscal year 2018, and certain state taxing authorities are examining various fiscal years. The final outcome of these examinations is not yet determinable. The statute of limitations for the Company's major tax jurisdictions remains open for examination for fiscal year 2005 and subsequent years. The Company participates in an IRS examination program, Compliance Assurance Process, "CAP". This program operates as a contemporaneous exam throughout the year in order to keep exam cycles current and achieve a higher level of compliance. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Nov. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic and diluted earnings per share were calculated as follows: Years Ended November 30, (In thousands, except per share amounts) 2019 2018 2017 Numerator: Net earnings attributable to Lennar $ 1,849,052 1,695,831 810,480 Less: distributed earnings allocated to nonvested shares 420 429 377 Less: undistributed earnings allocated to nonvested shares 15,722 14,438 7,447 Numerator for basic earnings per share 1,832,910 1,680,964 802,656 Less: net amount attributable to noncontrolling interests in Rialto's Carried Interest Incentive Plan (1) 4,204 3,320 1,009 Plus: interest on convertible senior notes — 80 — Plus: undistributed earnings allocated to convertible shares — 2,904 — Less: undistributed earnings reallocated to convertible shares — 2,899 — Numerator for diluted earnings per share $ 1,828,706 1,677,729 801,647 Denominator: Denominator for basic earnings per share - weighted average common shares outstanding 318,419 307,968 237,155 Effect of dilutive securities: Share-based payments 3 48 1 Convertible senior notes — 549 — Denominator for diluted earnings per share - weighted average common shares outstanding 318,422 308,565 237,156 Basic earnings per share $ 5.76 5.46 3.38 Diluted earnings per share $ 5.74 5.44 3.38 (1) The amounts presented above relate to Rialto's Carried Interest Incentive Plan and represent the difference between the advanced tax distributions received by Lennar Other segment and the amount Lennar, as the parent company, is assumed to own. For the years ended November 30, 2019 , 2018 and 2017 , there were no options to purchase shares of common stock that were outstanding and anti-dilutive. |
Capital Stock
Capital Stock | 12 Months Ended |
Nov. 30, 2019 | |
Equity [Abstract] | |
Capital Stock | Capital Stock Preferred Stock The Company is authorized to issue 500,000 shares of preferred stock with a par value of $10 per share and 100 million shares of participating preferred stock with a par value of $0.10 per share. No shares of preferred stock or participating preferred stock have been issued as of November 30, 2019 and 2018 . Common Stock During each of the years ended November 30, 2019 , 2018 and 2017 , the Company’s Class A and Class B common stockholders received a per share annual dividend of $0.16 . The only significant difference between the Class A common stock and Class B common stock is that Class A common stock entitles holders to one vote per share and the Class B common stock entitles holders to ten votes per share. On November 27, 2017, the Company paid a stock dividend of one share of Class B common stock for each 50 shares of Class A common stock or Class B common stock to holders of record at the close of business on November 10, 2017, as declared by the Company's Board of Directors on October 30, 2017. As of November 30, 2019 , Stuart Miller, the Company’s Executive Chairman, directly owned, or controlled through family-owned entities, shares of Class A and Class B common stock, which represented approximately 34% voting power of the Company’s stock. In January 2019, the Company's Board of Directors authorized a stock repurchase program, which replaced a June 2001 stock repurchase program, under which the Company is authorized to purchase up to the lesser of $1 billion in value, or 25 million in shares, of the Company’s outstanding Class A or Class B common stock. The repurchase authority has no expiration date. During the year ended November 30, 2019 , the Company repurchased 9.8 million shares of Class A common stock for approximately $492.9 million at an average share price of $50.41 . During fiscal 2018, the Company had a stock repurchase program adopted in 2001, which originally authorized the purchase of up to 20 million shares of its outstanding common stock. During the year ended November 30, 2018 , under the Company's stock repurchase program, the Company repurchased 6.0 million shares of Class A common stock for $249.9 million at an average share price of $41.63 . During the year ended November 30, 2017 , there were no share repurchases of common stock under the stock repurchase program. During the year ended November 30, 2019 , treasury stock increased by 10.5 million shares of Class A common stock primarily due to the repurchase of 9.8 million shares of common stock. During the year ended November 30, 2018 , treasury stock increased by 7.0 million shares of Class A common stock primarily due to the repurchase of 6.0 million shares of common stock. Restrictions on Payment of Dividends There are no restrictions on the payment of dividends on common stock by the Company. There are no agreements which restrict the payment of dividends by subsidiaries of the Company other than the need to maintain the financial ratios and net worth requirements under the Financial Services segment’s warehouse lines of credit, which restrict the payment of dividends from the Company’s mortgage subsidiaries following the occurrence and during the continuance of an event of default thereunder and limit dividends to 50% of net income in the absence of an event of default. 401(k) Plan Under the Company’s 401(k) Plan (the "Plan"), contributions made by associates can be invested in a variety of mutual funds or proprietary funds provided by the Plan trustee. The Company may also make contributions for the benefit of associates. The Company records as compensation expense its contribution to the Plan. For the years ended November 30, 2019 , 2018 and 2017 , this amount was $24.5 million , $25.3 million and $17.2 million , respectively. |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Nov. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Payments | Share-Based Payments Compensation expense related to the Company’s share-based awards was as follows: Years ended November 30, (In thousands) 2019 2018 2017 Total compensation expense for nonvested share-based awards $ 86,940 72,655 61,356 The fair value of nonvested shares is determined based on the trading price of the Company’s common stock on the grant date. The weighted average fair value of nonvested shares granted during the years ended November 30, 2019 , 2018 and 2017 was $48.26 , $55.84 and $51.92 , respectively. A summary of the Company’s nonvested shares activity for the year ended November 30, 2019 was as follows: Shares Weighted Average Grant Date Fair Value Nonvested shares at November 30, 2018 2,737,352 $ 52.37 Grants 2,081,935 $ 48.26 Vested (1,421,613 ) $ 50.43 Forfeited (106,811 ) $ 51.50 Nonvested shares at November 30, 2019 3,290,863 $ 50.64 At November 30, 2019 , there was $110.1 million of unrecognized compensation expense related to unvested share-based awards granted under the Company’s share-based payment plan, all of which relates to nonvested shares with a weighted average remaining contractual life of 1.8 years . For the years ended November 30, 2019 , 2018 and 2017 , 1.4 million , 2.2 million and 1.2 million nonvested shares, respectively, vested each year. |
Financial Instruments and Fair
Financial Instruments and Fair Value Disclosure | 12 Months Ended |
Nov. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Disclosure | Financial Instruments and Fair Value Disclosures The following table presents the carrying amounts and estimated fair values of financial instruments held by the Company at November 30, 2019 and 2018 , using available market information and what the Company believes to be appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The table excludes cash and cash equivalents, restricted cash, receivables, net, and accounts payable, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments. November 30, 2019 2018 Fair Value Carrying Fair Carrying Fair (In thousands) Hierarchy Amount Value Amount Value ASSETS Financial Services: Loans held-for-investment, net Level 3 $ 73,867 69,708 70,216 63,794 Investments held-to-maturity Level 3 $ 166,012 195,962 136,982 149,767 Investments held-to-maturity Level 2 $ 24,277 24,257 52,490 52,220 Lennar Other: Investments held-to-maturity Level 3 $ 54,117 56,415 59,974 72,986 LIABILITIES Homebuilding senior notes and other debts payable Level 2 $ 7,776,638 8,144,632 8,543,868 8,336,166 Financial Services notes and other debts payable Level 2 $ 1,745,755 1,745,782 1,558,702 1,559,718 Multifamily note payable Level 2 $ 36,125 36,125 — — Lennar Other notes and other debts payable Level 2 $ 15,178 15,178 14,488 14,488 The following methods and assumptions are used by the Company in estimating fair values: Financial Services —The fair values above are based on quoted market prices, if available. The fair values for instruments that do not have quoted market prices are estimated by the Company on the basis of discounted cash flows or other financial information. For notes and other debts payable, the fair values approximate their carrying value due to variable interest pricing terms and the short-term nature of the borrowings. Lennar Other —The fair value for investments held-to-maturity is based on discounted cash flows. For notes and other debts payable, the fair value is calculated based on discounted cash flows using quoted interest rates and for the warehouse repurchase financing agreements fair values approximate their carrying value due to their short-term maturities. Homebuilding —For senior notes and other debts payable, the fair value of fixed-rate borrowings is primarily based on quoted market prices and the fair value of variable-rate borrowings is based on expected future cash flows calculated using current market forward rates. Multifamily —For the note payable, the fair value approximates the carrying value due to variable interest pricing terms and the short-term nature of the borrowing. Fair Value Measurements GAAP provides a framework for measuring fair value, expands disclosures about fair value measurements and establishes a fair value hierarchy which prioritizes the inputs used in measuring fair value summarized as follows: Level 1: Fair value determined based on quoted prices in active markets for identical assets. Level 2: Fair value determined using significant other observable inputs. Level 3: Fair value determined using significant unobservable inputs. The Company’s financial instruments measured at fair value on a recurring basis are summarized below: (In thousands) Fair Value Hierarchy Fair Value at November 30, 2019 Fair Value at November 30, 2018 Financial Services Assets: Financial Services residential loans held-for-sale (1) Level 2 $ 1,447,715 1,152,198 RMF loans held-for-sale (2) Level 3 $ 197,224 61,691 Investments available-for-sale Level 1 $ 3,732 4,161 Mortgage loan commitments Level 2 $ 16,288 16,373 Forward contracts Level 2 $ (3,856 ) (10,360 ) Mortgage servicing rights Level 3 $ 24,679 37,206 (1) The aggregate fair value of Financial Services residential loans held-for-sale of $1.4 billion at November 30, 2019 exceeded their aggregate principal balance of $1.4 billion by $42.2 million . The aggregate fair value of Financial Services residential loans held-for-sale of $1.2 billion at November 30, 2018 exceeded their aggregate principal balance of $1.1 billion by $37.3 million . (2) The aggregate fair value of RMF 's loans held-for-sale of $197.2 million at November 30, 2019 exceeded their aggregate principal balance of $196.3 million by $0.9 million . The aggregate fair value of RMF 's loans held-for-sale of $61.7 million at November 30, 2018 exceeded their aggregate principal balance of $61.0 million by $0.7 million . The estimated fair values of the Company’s financial instruments have been determined by using available market information and what the Company believes to be appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The following methods and assumptions are used by the Company in estimating fair values: Financial Services residential loans held-for-sale — Fair value is based on independent quoted market prices, where available, or the prices for other mortgage whole loans with similar characteristics. Management believes carrying loans held-for-sale at fair value improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and the derivative instruments used to economically hedge them without having to apply complex hedge accounting provisions. In addition, the Company recognizes the fair value of its rights to service a mortgage loan as revenue upon entering into an interest rate lock loan commitment with a borrower. The fair value of these servicing rights is included in Financial Services’ loans held-for-sale as of November 30, 2019 and 2018 . Fair value of servicing rights is determined based on actual sales of servicing rights on loans with similar characteristics. RMF loans held-for-sale — The fair value of loans held-for-sale is calculated from model-based techniques that use discounted cash flow assumptions and the Company’s own estimates of CMBS spreads, market interest rate movements and the underlying loan credit quality. Loan values are calculated by allocating the change in value of an assumed CMBS capital structure to each loan. The value of an assumed CMBS capital structure is calculated, generally, by discounting the cash flows associated with each CMBS class at market interest rates and at the Company’s own estimate of CMBS spreads. The Company estimates CMBS spreads by observing the pricing of recent CMBS offerings, secondary CMBS markets, changes in the CMBX index, and general capital and commercial real estate market conditions. Considerations in estimating CMBS spreads include comparing the Company’s current loan portfolio with comparable CMBS offerings containing loans with similar duration, credit quality and collateral composition. These methods use unobservable inputs in estimating a discount rate that is used to assign a value to each loan. While the cash payments on the loans are contractual, the discount rate used and assumptions regarding the relative size of each class in the CMBS capital structure can significantly impact the valuation. Therefore, the estimates used could differ materially from the fair value determined when the loans are sold to a securitization trust. Financial Services investments available-for-sale — The fair value of these investments is based on the quoted market prices for similar financial instruments. Financial Services mortgage loan commitments — Fair value of commitments to originate loans is based upon the difference between the current value of similar loans and the price at which the Financial Services segment has committed to originate the loans. The fair value of commitments to sell loan contracts is the estimated amount that the Financial Services segment would receive or pay to terminate the commitments at the reporting date based on market prices for similar financial instruments. In addition, the Company recognizes the fair value of its rights to service a mortgage loan as revenue upon entering into an interest rate lock loan commitment with a borrower. The fair value of servicing rights is determined based on actual sales of servicing rights on loans with similar characteristics. The fair value of the mortgage loan commitments and related servicing rights is included in Financial Services’ other assets. Financial Services forward contracts — Fair value is based on quoted market prices for similar financial instruments. The fair value of forward contracts is included in the Financial Services segment's other liabilities as of November 30, 2019 and 2018 . The Financial Services segment uses mandatory mortgage-backed securities ("MBS") forward commitments, option contracts and investor commitments to hedge its mortgage-related interest rate exposure. These instruments involve, to varying degrees, elements of credit and interest rate risk. Credit risk associated with MBS forward commitments, option contracts and loan sales transactions is managed by limiting the Company’s counterparties to investment banks, federally regulated bank affiliates and other investors meeting the Company’s credit standards. The segment’s risk, in the event of default by the purchaser, is the difference between the contract price and fair value of the MBS forward commitments and option contracts. At November 30, 2019 , the segment had open commitments amounting to $1.7 billion to sell MBS with varying settlement dates through February 2020. Financial Services mortgage servicing rights — Financial Services records the value of mortgage servicing rights when it sells loans on a servicing-retained basis or through the acquisition or assumption of the right to service a financial asset. The fair value of the mortgage servicing rights is calculated using third-party valuations. The key assumptions, which are generally unobservable inputs, used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and delinquency rates. As of November 30, 2019 , the key assumptions used in determining the fair value include an 17.8% mortgage prepayment rate, a 12.6% discount rate and a 9.1% delinquency rate. The fair value of mortgage servicing rights is included in the Financial Services segment's other assets. The changes in fair values for Level 1 and Level 2 financial instruments measured on a recurring basis are shown below by financial instrument and financial statement line item: Years Ended November 30, (In thousands) 2019 2018 2017 Changes in fair value included in Financial Services revenues: Loans held-for-sale $ 4,891 8,621 20,309 Mortgage loan commitments $ (85 ) 6,500 2,436 Forward contracts $ 6,504 (12,041 ) (24,786 ) Investments available-for-sale $ (176 ) (234 ) (12 ) Changes in fair value included in other comprehensive income (loss), net of tax: Financial Services investments available-for-sale $ 1,040 (1,634 ) 1,331 Interest on Financial Services loans held-for-sale and RMF loans held-for-sale measured at fair value is calculated based on the interest rate of the loan and recorded as revenues in the Financial Services’ statement of operations and RMF 's statement of operations, respectively. The following table represents the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements: Years Ended November 30, 2019 2018 Financial Services (In thousands) Mortgage servicing rights RMF loans held-for-sale Mortgage servicing rights RMF loans held-for-sale Beginning of year $ 37,206 61,691 31,163 234,403 Purchases/loan originations 3,417 1,593,655 7,841 1,350,091 Sales/loan originations sold, including those not settled — (1,447,818 ) — (1,504,554 ) Disposals/settlements (5,326 ) (9,920 ) (6,948 ) (19,600 ) Changes in fair value (1) (10,618 ) 430 5,150 1,481 Interest and principal paydowns — (814 ) — (130 ) End of year $ 24,679 197,224 37,206 61,691 (1) Changes in fair value for RMF loans held-for-sale and Financial Services mortgage servicing rights are included in Financial Services' revenues. The Company’s assets measured at fair value on a nonrecurring basis are those assets for which the Company has recorded valuation adjustments and write-offs. The fair values included in the tables below represent only those assets whose carrying values were adjusted to fair value during the respective periods disclosed. The assets measured at fair value on a nonrecurring basis are summarized below: Years Ended November 30, 2019 2018 2017 (In thousands) Fair Value Hierarchy Carrying Value Fair Value Total (Losses), Net (1) Carrying Value Fair Value Total (Losses), Net (1) Carrying Value Fair Value Total (Losses), Net (1) Financial assets Lennar Other: Impaired loans receivable Level 3 $ — — — — — — 31,561 18,885 (12,676 ) FDIC portfolios loans held-for-sale Level 3 $ — — — — — — 32,018 12,072 (19,946 ) Non-financial assets Homebuilding: Finished homes and construction in progress (2) Level 3 $ 218,942 205,201 (13,741 ) 4,019 3,473 (546 ) 8,601 4,227 (4,374 ) Land and land under development (2) Level 3 $ 121,564 82,816 (38,748 ) 96,093 62,850 (33,243 ) 6,771 3,094 (3,677 ) Other assets (2) Level 3 $ 60,363 56,727 (3,636 ) — — — — — — Lennar Other: REO, net (3) Upon acquisition/transfer Level 3 $ — — — — — — 27,640 26,591 (1,049 ) Upon management periodic valuations Level 3 $ — — — 58,721 25,632 (33,089 ) 145,251 81,677 (63,574 ) (1) Represents losses due to valuation adjustments, write-offs, gains (losses) from transfers or acquisitions of real estate through foreclosure and REO impairments recorded during the year. (2) Valuation adjustments were included in Homebuilding costs and expenses in the Company's consolidated statements of operations for the years ended November 30, 2019 , 2018 and 2017 . (3) REO held-for-sale assets are initially recorded at fair value less estimated costs to sell at the time of the transfer or acquisition through, or in lieu of, loan foreclosure. The fair value of REO held-for-sale is based upon appraised value at the time of foreclosure or management's best estimate. In addition, management periodically performs valuations of its REO held-for-sale. The gains (losses) upon the transfer or acquisition of REO and impairments were included in Lennar Other (formerly Rialto segment) other income (expense), net, in the Company’s consolidated statements of operations for the years ended November 30, 2018 and 2017 . See Note 1 for a detailed description of the Company’s process for identifying and recording valuation adjustments related to Homebuilding inventory. |
Consolidation Of Variable Inter
Consolidation Of Variable Interest Entities | 12 Months Ended |
Nov. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation Of Variable Interest Entities | Variable Interest Entities The Company evaluated the joint venture agreements of its joint ventures that were formed or that had reconsideration events, such as changes in the governing documents or debt arrangements, during the year ended November 30, 2019 . Based on the Company's evaluation, during the year ended November 30, 2019 , the Company consolidated five entities that had a total combined assets and liabilities of $505.2 million and $602.1 million , respectively. During the year ended November 30, 2019 , there were no VIEs that were deconsolidated. Consolidated VIEs As of November 30, 2019 , the carrying amount of the VIEs’ assets and non-recourse liabilities that consolidated was $980.2 million and $549.7 million , respectively. As of November 30, 2018 , the carrying amount of the VIEs’ assets and non-recourse liabilities that consolidated was $666.2 million and $242.5 million , respectively. Those assets are owned by, and those liabilities are obligations of, the VIEs, not the Company. The increase in VIEs' assets and non-recourse liabilities during the year ended November 30, 2019 was primarily due to the consolidation of an unconsolidated entity related to the sale of the majority of the Company's retail title agency business and title insurance underwriter. In connection with the sale of the majority of its retail title agency business and title insurance underwriter in the first quarter of 2019, the Company provided seller financing and received a substantial minority equity ownership stake in the buyer. The combination of both the equity and debt components of this transaction caused the transaction not to meet the accounting requirements for sale treatment and, therefore, the Company is required to consolidate the buyer’s results at this time. During the year ended November 30, 2019 , the Company consolidated a previously unconsolidated entity, which resulted from a reconsideration event that required the reassessment of a homebuilding unconsolidated entity. The reconsideration event was the change of the entity’s conclusion with respect to future capital calls required to fund operations and debt repayments. Upon reconsideration, the Company determined that the homebuilding entity continued to meet the accounting definition of a VIE and the Company was deemed to be the primary beneficiary. The Company consolidated the previously unconsolidated entity’s net assets at estimated fair value. The determination of fair value of the homebuilding entity’s net assets requires the discounting of estimated cash flows at a rate the Company believes a market participant would determine to be commensurate with the inherent risks associated with the homebuilding entity and related cash flow streams. The Company used a 15% discount rate in determining the fair value of the entity, which was subject to perceived risks associated with the entity’s cash flow streams. There was no non-controlling interest recorded in consolidation. As a result, the Company recorded a one-time loss of $48.9 million from the consolidation which was included in Homebuilding other income (expense), net on the consolidated statements of operations. During the year ended November 30, 2019 , the Company bought out the partner's interest in the entity and therefore at November 30, 2019 , the entity is no longer considered a VIE. At November 30, 2019 , the consolidated homebuilding entity had total assets and liabilities of $240.5 million and $373.5 million , respectively. A VIE’s assets can only be used to settle obligations of that VIE. The VIEs are not guarantors of the Company’s senior notes and other debts payable. The assets held by a VIE usually are collateral for that VIE’s debt. The Company and other partners do not generally have an obligation to make capital contributions to a VIE unless the Company and/or the other partner(s) have entered into debt guarantees with the VIE’s banks. Other than debt guarantee agreements with a VIE’s banks, there are no liquidity arrangements or agreements to fund capital or purchase assets that could require the Company to provide financial support to a VIE. While the Company has option contracts to purchase land from certain of its VIEs, the Company is not required to purchase the assets and could walk away from the contracts. Unconsolidated VIEs At November 30, 2019 and 2018 , the Company’s recorded investments in VIEs that are unconsolidated and its estimated maximum exposure to loss were as follows: November 30, 2019 2018 (In thousands) Investments in Unconsolidated VIEs Lennar’s Maximum Exposure to Loss Investments in Unconsolidated VIEs Lennar’s Maximum Exposure to Loss Homebuilding (1) $ 80,939 81,118 123,064 184,945 Multifamily (2) 533,018 768,651 463,534 710,754 Financial Services (3) 166,012 166,012 136,982 136,982 Lennar Other (4) 60,882 60,882 63,919 63,919 $ 840,851 1,076,663 787,499 1,096,600 (1) As of November 30, 2019 , the maximum exposure to loss of Homebuilding’s investments in unconsolidated VIEs was limited primarily to its investments in the unconsolidated VIEs. As of November 30, 2018 , the maximum exposure to loss of Homebuilding’s investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to repayment guarantees of one unconsolidated entity's debt of $54.8 million . (2) As of November 30, 2019 and 2018 , the maximum exposure to loss of Multifamily's investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to the remaining equity commitment of $224.2 million and $237.0 million , respectively, to fund LMV I and LMV II for future expenditures related to the construction and development of its projects and $4.2 million and $4.6 million , respectively, of letters of credit outstanding for certain of the unconsolidated VIEs that could be drawn upon in the event of default under their debt agreements. (3) At both November 30, 2019 and 2018 , the maximum recourse exposure to loss of the Financial Services segment was limited to its investments in the unconsolidated entities VIEs. At November 30, 2019 and 2018 , investments in unconsolidated VIEs and Financial Services' maximum exposure to loss included $166.0 million and $137.0 million , respectively, related to the Financial Services' CMBS investments held-to-maturity. (4) At both November 30, 2019 and 2018 , the maximum recourse exposure to loss of Lennar Other’s segment was limited to its investments in the unconsolidated entities VIEs. At November 30, 2019 and 2018 , investments in unconsolidated VIEs and Lennar’s maximum exposure to loss included $54.1 million and $60.0 million , respectively, related to Lennar Other segment's investments held-to-maturity. While these entities are VIEs, the Company has determined that the power to direct the activities of the VIEs that most significantly impact the VIEs’ economic performance is generally shared and the Company and its partners are not de-facto agents. While the Company generally manages the day-to-day operations of the VIEs, each of these VIEs has an executive committee made up of representatives from each partner. The members of the executive committee have equal votes and major decisions require unanimous consent and approval from all members. The Company does not have the unilateral ability to exercise participating voting rights without partner consent. As of November 30, 2019 , the Company and other partners did not have an obligation to make capital contributions to the VIEs, except for a $224.2 million remaining equity commitment to fund LMV I and LMV II for future expenditures related to the construction and development of the projects and $4.2 million of letters of credit outstanding for certain Multifamily unconsolidated VIEs that could be drawn upon in the event of default under their debt agreements. In addition, there are no liquidity arrangements or agreements to fund capital or purchase assets that could require the Company to provide financial support to the VIEs. Except for the unconsolidated VIEs discussed above, the Company and the other partners did not guarantee any debt of the other unconsolidated VIEs. While the Company has option contracts to purchase land from certain of its unconsolidated VIEs, the Company is not required to purchase the assets and could walk away from the contracts. Option Contracts The Company has access to land through option contracts, which generally enable it to control portions of properties owned by third parties (including land funds) and unconsolidated entities until the Company has determined whether to exercise the options. The Company evaluates all option contracts for land to determine whether they are VIEs and, if so, whether the Company is the primary beneficiary of certain of these option contracts. Although the Company does not have legal title to the optioned land, if the Company is deemed to be the primary beneficiary or makes a significant deposit for optioned land, it may need to consolidate the land under option at the purchase price of the optioned land. During the year ended November 30, 2019 , consolidated inventory not owned increased by $104.2 million with a corresponding increase to liabilities related to consolidated inventory not owned in the accompanying consolidated balance sheet as of November 30, 2019 . The increase was primarily related to the consolidation of option contracts, partially offset by the Company exercising its options to acquire land under previously consolidated contracts. To reflect the purchase price of the inventory consolidated, the Company had a net reclass related to option deposits from consolidated inventory not owned to land under development in the accompanying condensed consolidated balance sheet as of November 30, 2019 . The liabilities related to consolidated inventory not owned primarily represent the difference between the option exercise prices for the optioned land and the Company’s cash deposits. The Company’s exposure to loss related to its option contracts with third parties and unconsolidated entities consisted of its non-refundable option deposits and pre-acquisition costs totaling $320.5 million and $209.5 million at November 30, 2019 and 2018 , respectively. Additionally, the Company had posted $75.0 million and $72.4 million of letters of credit in lieu of cash deposits under certain land and option contracts as of November 30, 2019 and 2018 , respectively. |
Commitments And Contingent Liab
Commitments And Contingent Liabilities | 12 Months Ended |
Nov. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingent Liabilities | Commitments and Contingent Liabilities The Company is party to various claims, legal actions and complaints arising in the ordinary course of business. In the opinion of management, the disposition of these matters will not have a material adverse effect on the Company’s consolidated financial statements. The Company is also a party to various lawsuits involving purchases and sales of real property. These lawsuits include claims regarding representations and warranties made in connection with the transfer of properties and disputes regarding the obligation to purchase or sell properties. The Company does not believe that the ultimate resolution of these claims or lawsuits will have a material adverse effect on its business or financial position. However, the financial effect of litigation concerning purchases and sales of property may depend upon the value of the subject property, which may have changed from the time the agreement for purchase or sale was entered into. The Company is subject to the usual obligations associated with entering into contracts (including option contracts) for the purchase, development and sale of real estate, which it does in the routine conduct of its business. Option contracts generally enable the Company to control portions of properties owned by third parties (including land funds) and unconsolidated entities until the Company determines whether to exercise the option. The use of option contracts allows the Company to reduce the financial risks associated with long-term land holdings. At November 30, 2019 , the Company had $320.5 million of non-refundable option deposits and pre-acquisition costs related to certain of these homesites, which were included in inventories in the consolidated balance sheet. The Company has entered into agreements to lease certain office facilities and equipment under operating leases. Future minimum payments under the noncancellable leases in effect at November 30, 2019 were as follows: (In thousands) Lease Payments 2020 $ 41,952 2021 41,076 2022 31,140 2023 22,507 2024 16,443 Thereafter 31,909 Rental expense for the years ended November 30, 2019 , 2018 and 2017 was $92.2 million , $98.4 million and $74.6 million , respectively. The Company is committed, under various letters of credit, to perform certain development and construction activities and provide certain guarantees in the normal course of business. Outstanding letters of credit under these arrangements totaled $899.9 million at November 30, 2019 . Additionally, at November 30, 2019 , the Company had outstanding surety bonds of $2.9 billion including performance surety bonds related to site improvements at various projects (including certain projects in the Company’s joint ventures) and financial surety bonds. Although significant development and construction activities have been completed related to these site improvements, these bonds are generally not released until all development and construction activities are completed. As of November 30, 2019 , there were approximately $1.4 billion , or 48% , of anticipated future costs to complete related to these site improvements. The Company does not presently anticipate any draws upon these bonds that would have a material effect on its consolidated financial statements. Substantially all of the loans the Financial Services segment originates are sold within a short period in the secondary mortgage market on a servicing released, non-recourse basis. After the loans are sold, the Company retains potential liability for possible claims by purchasers that it breached certain limited industry-standard representations and warranties in the loan sale agreements. Over the last decade there has been an industry-wide effort by purchasers to defray their losses by purporting to have found inaccuracies related to sellers’ representations and warranties in particular loan sale agreements. Mortgage investors or others could seek to have the Company buy back mortgage loans or compensate them for losses incurred on mortgage loans that the Company has sold based on claims that the Company breached its limited representations or warranties. The Company’s mortgage operations have established accruals for possible losses associated with mortgage loans previously originated and sold to investors. The Company establishes accruals for such possible losses based upon, among other things, an analysis of repurchase requests received, an estimate of potential repurchase claims not yet received and actual past repurchases and losses through the disposition of affected loans as well as previous settlements. While the Company believes that it has adequately reserved for known losses and projected repurchase requests, given the volatility in the mortgage industry and the uncertainty regarding the ultimate resolution of these claims, if either actual repurchases or the losses incurred resolving those repurchases exceed the Company’s expectations, additional recourse expense may be incurred. Loan origination liabilities are included in Financial Services’ liabilities in the Company's condensed consolidated balance sheets. |
Supplemental Financial Informat
Supplemental Financial Information | 12 Months Ended |
Nov. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplemental Financial Information | Supplemental Financial Information The indentures governing the Company’s 6.625% senior notes due 2020, 2.95% senior notes due 2020, 8.375% senior notes due 2021, 4.750% senior notes due 2021, 6.25% senior notes due 2021, 4.125% senior notes due 2022, 5.375% senior notes due 2022, 4.750% senior notes due 2022, 4.875% senior notes due 2023, 4.500% senior notes due 2024, 5.875% senior notes due 2024, 4.750% senior notes due 2025, 5.25% senior notes due 2026, 5.00% senior notes due 2027 and 4.75% senior notes due 2027 require that, if any of the Company’s 100% owned subsidiaries, other than its finance company subsidiaries and foreign subsidiaries, directly or indirectly guarantee at least $75 million principal amount of debt of Lennar Corporation, those subsidiaries must also guarantee Lennar Corporation’s obligations with regard to its senior notes. In addition, some subsidiaries of CalAtlantic are guaranteeing CalAtlantic senior convertible notes that also are guaranteed by Lennar Corporation. The entities referred to as "guarantors" in the following tables are subsidiaries that are not finance company subsidiaries or foreign subsidiaries and were guaranteeing the senior notes because at November 30, 2019 they were guaranteeing Lennar Corporation's letter of credit facilities and its Credit Facility, described in Note 7. The guarantees are full, unconditional and joint and several and the guarantor subsidiaries are 100% directly or indirectly owned by Lennar Corporation. A subsidiary's guarantee will be suspended at any time when it is not directly or indirectly guaranteeing at least $75 million principal amount of debt of Lennar Corporation, and a subsidiary will be released from its guarantee and any other obligations it may have regarding the senior notes if all or substantially all its assets, or all of its capital stock, are sold or otherwise disposed of. For purposes of the consolidating statements of cash flows included in the following supplemental financial information, the Company's accounting policy is to treat cash received by Lennar Corporation ("the Parent") from its subsidiaries, to the extent of net earnings from such subsidiaries, as a dividend and accordingly a return on investment within cash flows from operating activities. Distributions of capital received by the Parent from its subsidiaries are reflected as cash flows from investing activities. The cash outflows associated with the return on investment dividends and distributions of capital received by the Parent are reflected by the Guarantor and Non-Guarantor subsidiaries in the Dividends line item within cash flows from financing activities. All other cash flows between the Parent and its subsidiaries represent the settlement of receivables and payables between such entities in conjunction with the Parent's centralized cash management arrangement with its subsidiaries, which operates with the characteristics of a revolving credit facility, and are accordingly reflected net in the Intercompany line item within cash flows from investing activities for the Parent and net in the Intercompany line item within cash flows from financing activities for the Guarantor and Non-Guarantor subsidiaries. Supplemental information for the subsidiaries that were guarantor subsidiaries at November 30, 2019 was as follows: Consolidating Balance Sheet November 30, 2019 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total ASSETS Homebuilding: Cash and cash equivalents, restricted cash and receivables, net $ 722,172 794,588 22,894 — 1,539,654 Inventories — 17,396,139 380,368 — 17,776,507 Investments in unconsolidated entities — 1,006,541 2,494 — 1,009,035 Goodwill — 3,442,359 — — 3,442,359 Other assets 344,941 500,356 217,607 (41,220 ) 1,021,684 Investments in subsidiaries 10,453,165 26,773 — (10,479,938 ) — Intercompany 12,027,996 — — (12,027,996 ) — 23,548,274 23,166,756 623,363 (22,549,154 ) 24,789,239 Financial Services — 275,812 2,731,285 (1,073 ) 3,006,024 Multifamily — — 1,068,831 — 1,068,831 Lennar Other — 158,194 339,988 (2,765 ) 495,417 Total assets $ 23,548,274 23,600,762 4,763,467 (22,552,992 ) 29,359,511 LIABILITIES AND EQUITY Homebuilding: Accounts payable and other liabilities $ 760,981 1,935,366 318,845 (45,058 ) 2,970,134 Liabilities related to consolidated inventory not owned — 260,266 — — 260,266 Senior notes and other debts payable 6,837,776 885,783 53,079 — 7,776,638 Intercompany — 10,122,374 1,905,622 (12,027,996 ) — 7,598,757 13,203,789 2,277,546 (12,073,054 ) 11,007,038 Financial Services — 40,235 2,016,215 — 2,056,450 Multifamily — — 232,155 — 232,155 Lennar Other — — 30,038 — 30,038 Total liabilities $ 7,598,757 13,244,024 4,555,954 (12,073,054 ) 13,325,681 Total stockholders’ equity 15,949,517 10,356,738 123,200 (10,479,938 ) 15,949,517 Noncontrolling interests — — 84,313 — 84,313 Total equity 15,949,517 10,356,738 207,513 (10,479,938 ) 16,033,830 Total liabilities and equity $ 23,548,274 23,600,762 4,763,467 (22,552,992 ) 29,359,511 Consolidating Balance Sheet November 30, 2018 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total ASSETS Homebuilding: Cash and cash equivalents, restricted cash and receivables, net $ 637,083 886,059 63,905 — 1,587,047 Inventories — 16,679,245 389,459 — 17,068,704 Investments in unconsolidated entities — 866,395 3,806 — 870,201 Goodwill — 3,442,359 — — 3,442,359 Other assets 339,307 878,582 164,848 (26,955 ) 1,355,782 Investments in subsidiaries 10,562,273 89,044 — (10,651,317 ) — Intercompany 11,815,491 — — (11,815,491 ) — 23,354,154 22,841,684 622,018 (22,493,763 ) 24,324,093 Financial Services — 232,632 2,547,167 (889 ) 2,778,910 Multifamily — — 874,219 — 874,219 Lennar Other — 117,568 471,391 — 588,959 Total assets $ 23,354,154 23,191,884 4,514,795 (22,494,652 ) 28,566,181 LIABILITIES AND EQUITY Homebuilding: Accounts payable and other liabilities $ 804,232 1,977,579 303,473 (27,844 ) 3,057,440 Liabilities related to consolidated inventory not owned — 162,090 13,500 — 175,590 Senior notes and other debts payable 7,968,387 523,589 51,892 — 8,543,868 Intercompany — 10,116,590 1,698,901 (11,815,491 ) — 8,772,619 12,779,848 2,067,766 (11,843,335 ) 11,776,898 Financial Services — 51,535 1,816,667 — 1,868,202 Multifamily — — 170,616 — 170,616 Lennar Other — — 67,508 — 67,508 Total liabilities $ 8,772,619 12,831,383 4,122,557 (11,843,335 ) 13,883,224 Total stockholders’ equity 14,581,535 10,360,501 290,816 (10,651,317 ) 14,581,535 Noncontrolling interests — — 101,422 — 101,422 Total equity 14,581,535 10,360,501 392,238 (10,651,317 ) 14,682,957 Total liabilities and equity $ 23,354,154 23,191,884 4,514,795 (22,494,652 ) 28,566,181 Consolidating Statement of Operations and Comprehensive Income (Loss) Year Ended November 30, 2019 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues: Homebuilding $ — 20,707,299 85,917 — 20,793,216 Financial Services — 165,498 679,887 (20,575 ) 824,810 Multifamily — — 604,700 — 604,700 Lennar Other — — 36,835 — 36,835 Total revenues — 20,872,797 1,407,339 (20,575 ) 22,259,561 Cost and expenses: Homebuilding — 18,154,739 89,352 1,609 18,245,700 Financial Services — 97,719 528,678 (26,229 ) 600,168 Multifamily — — 599,604 — 599,604 Lennar Other — — 11,794 — 11,794 Corporate general and administrative 328,014 8,039 — 5,061 341,114 Total costs and expenses 328,014 18,260,497 1,229,428 (19,559 ) 19,798,380 Homebuilding equity in (loss) earnings from unconsolidated entities — (13,716 ) 443 — (13,273 ) Homebuilding other income (expense), net (1,013 ) (41,119 ) 9,778 1,016 (31,338 ) Multifamily equity in earnings from unconsolidated entities and other gain — — 11,294 — 11,294 Lennar Other equity in earnings (loss) from unconsolidated entities — (12,609 ) 27,981 — 15,372 Lennar Other expense, net — — (8,944 ) — (8,944 ) Earnings (loss) before income taxes (329,027 ) 2,544,856 218,463 — 2,434,292 Benefit (provision) for income taxes 79,822 (613,579 ) (58,416 ) — (592,173 ) Equity in earnings from subsidiaries 2,098,257 110,943 — (2,209,200 ) — Net earnings (including net loss attributable to noncontrolling interests) 1,849,052 2,042,220 160,047 (2,209,200 ) 1,842,119 Less: Net loss attributable to noncontrolling interests — — (6,933 ) — (6,933 ) Net earnings attributable to Lennar $ 1,849,052 2,042,220 166,980 (2,209,200 ) 1,849,052 Other comprehensive income, net of tax: Net unrealized gain on securities available-for-sale $ — — 1,040 — 1,040 Reclassification adjustments for gains included in net earnings, net of tax — — (176 ) — (176 ) Total other comprehensive income, net of tax — — 864 — 864 Total comprehensive income attributable to Lennar $ 1,849,052 2,042,220 167,844 (2,209,200 ) 1,849,916 Total comprehensive loss attributable to noncontrolling interests $ — — (6,933 ) — (6,933 ) Consolidating Statement of Operations and Comprehensive Income (Loss) Year Ended November 30, 2018 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues: Homebuilding $ — 18,972,723 104,874 — 19,077,597 Financial Services — 371,063 603,491 (19,923 ) 954,631 Multifamily — — 421,132 — 421,132 Lennar Other — — 118,271 — 118,271 Total revenues — 19,343,786 1,247,768 (19,923 ) 20,571,631 Cost and expenses: Homebuilding — 16,831,780 104,880 143 16,936,803 Financial Services — 339,211 447,186 (31,482 ) 754,915 Multifamily — — 429,759 — 429,759 Lennar Other — — 124,417 (8,448 ) 115,969 Acquisition and integration costs related to CalAtlantic — 152,980 — — 152,980 Corporate general and administrative 336,355 2,417 — 5,162 343,934 Total costs and expenses 336,355 17,326,388 1,106,242 (34,625 ) 18,734,360 Homebuilding equity in earnings (loss) from unconsolidated entities — (91,013 ) 804 — (90,209 ) Homebuilding other income, net 14,740 192,951 10,913 (14,702 ) 203,902 Multifamily equity in earnings from unconsolidated entities and other gain — — 51,322 — 51,322 Lennar Other equity in earnings (loss) from unconsolidated entities — (1,304 ) 25,414 — 24,110 Lennar Other expense, net — — (60,119 ) — (60,119 ) Gain on sale of Rialto investment and asset management platform — — 296,407 — 296,407 Earnings (loss) before income taxes (321,615 ) 2,118,032 466,267 — 2,262,684 Benefit (provision) for income taxes 78,249 (498,424 ) (124,996 ) — (545,171 ) Equity in earnings from subsidiaries 1,939,197 93,612 — (2,032,809 ) — Net earnings (including net earnings attributable to noncontrolling interests) 1,695,831 1,713,220 341,271 (2,032,809 ) 1,717,513 Less: Net earnings attributable to noncontrolling interests — — 21,682 — 21,682 Net earnings attributable to Lennar $ 1,695,831 1,713,220 319,589 (2,032,809 ) 1,695,831 Other comprehensive loss, net of tax: Net unrealized loss on securities available-for-sale $ — — (1,634 ) — (1,634 ) Reclassification adjustments for losses included in net earnings, net of tax $ — — 234 — 234 Total other comprehensive loss, net of tax — — (1,400 ) — (1,400 ) Total comprehensive income attributable to Lennar $ 1,695,831 1,713,220 318,189 (2,032,809 ) 1,694,431 Total comprehensive income attributable to noncontrolling interests $ — — 21,682 — 21,682 Consolidating Statement of Operations and Comprehensive Income (Loss) Year Ended November 30, 2017 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues: Homebuilding $ — 11,118,553 70,323 — 11,188,876 Financial Services — 307,892 604,075 (20,010 ) 891,957 Multifamily — — 394,906 (135 ) 394,771 Lennar Other — — 170,761 — 170,761 Total revenues — 11,426,445 1,240,065 (20,145 ) 12,646,365 Cost and expenses: Homebuilding — 9,676,548 70,217 (3,617 ) 9,743,148 Financial Services — 280,349 437,212 (20,911 ) 696,650 Multifamily — — 407,078 — 407,078 Lennar Other — — 174,818 (213 ) 174,605 Corporate general and administrative 279,490 1,338 — 5,061 285,889 Total costs and expenses 279,490 9,958,235 1,089,325 (19,680 ) 11,307,370 Homebuilding equity in loss from unconsolidated entities — (63,567 ) (70 ) — (63,637 ) Homebuilding other income (expense), net (427 ) 17,488 5,719 465 23,245 Homebuilding loss due to litigation — (140,000 ) — — (140,000 ) Multifamily equity in earnings from unconsolidated entities — — 85,739 — 85,739 Lennar Other equity in earnings from unconsolidated entities — 2,167 25,209 — 27,376 Lennar Other expense, net — — (82,107 ) — (82,107 ) Earnings (loss) before income taxes (279,917 ) 1,284,298 185,230 — 1,189,611 Benefit (provision) for income taxes 95,228 (427,961 ) (85,124 ) — (417,857 ) Equity in earnings from subsidiaries 995,169 72,104 — (1,067,273 ) — Net earnings (including loss attributable to noncontrolling interests) 810,480 928,441 100,106 (1,067,273 ) 771,754 Less: Net loss attributable to noncontrolling interests — — (38,726 ) — (38,726 ) Net earnings attributable to Lennar $ 810,480 928,441 138,832 (1,067,273 ) 810,480 Other comprehensive income, net of tax: Net unrealized gain on securities available-for-sale $ — — 1,331 — 1,331 Reclassification adjustments for losses included in net earnings, net of tax $ — — 12 — 12 Total other comprehensive income, net of tax — — 1,343 — 1,343 Total comprehensive income attributable to Lennar $ 810,480 928,441 140,175 (1,067,273 ) 811,823 Total comprehensive loss attributable to noncontrolling interests $ — — (38,726 ) — (38,726 ) Consolidating Statement of Cash Flows Year Ended November 30, 2019 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Cash flows from operating activities: Net earnings (including net loss attributable to noncontrolling interests) $ 1,849,052 2,042,220 160,047 (2,209,200 ) 1,842,119 Distributions of earnings from guarantor and non-guarantor subsidiaries 2,098,257 110,943 — (2,209,200 ) — Other adjustments to reconcile net earnings (including net loss attributable to noncontrolling interests) to net cash provided by operating activities (2,061,774 ) (53,114 ) (454,088 ) 2,209,200 (359,776 ) Net cash provided by (used in) operating activities 1,885,535 2,100,049 (294,041 ) (2,209,200 ) 1,482,343 Cash flows from investing activities: (Investments in and contributions to) and distributions of capital from unconsolidated entities, net — (174,481 ) 143,833 — (30,648 ) Proceeds from sales of real estate owned — — 8,866 — 8,866 Proceeds from sale of investment in unconsolidated entity — — 17,790 — 17,790 Other (10,557 ) 81,993 (55,227 ) 7,379 23,588 Intercompany (111,809 ) — — 111,809 — Net cash (used in) provided by investing activities (122,366 ) (92,488 ) 115,262 119,188 19,596 Cash flows from financing activities: Net borrowings (repayments) under warehouse facilities — (20,472 ) 187,024 — 166,552 Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable (1,100,000 ) (131,737 ) 25,871 — (1,205,866 ) Net payments related to noncontrolling interests — — (15,875 ) — (15,875 ) Common stock: Issuances 493 — — — 493 Repurchases (523,074 ) — — — (523,074 ) Dividends (51,454 ) (2,042,220 ) (159,601 ) 2,201,821 (51,454 ) Intercompany — (2,431 ) 114,240 (111,809 ) — Net cash (used in) provided by financing activities (1,674,035 ) (2,196,860 ) 151,659 2,090,012 (1,629,224 ) Net increase (decrease) in cash and cash equivalents and restricted cash 89,134 (189,299 ) (27,120 ) — (127,285 ) Cash and cash equivalents and restricted cash at beginning of period 624,694 721,603 249,679 — 1,595,976 Cash and cash equivalents and restricted cash at end of period $ 713,828 532,304 222,559 — 1,468,691 Consolidating Statement of Cash Flows Year Ended November 30, 2018 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Cash flows from operating activities: Net earnings (including net earnings attributable to noncontrolling interests) $ 1,695,831 1,713,220 341,271 (2,032,809 ) 1,717,513 Distributions of earnings from guarantor and non-guarantor subsidiaries 1,939,197 93,612 — (2,032,809 ) — Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities (1,731,192 ) 579,779 (907,162 ) 2,032,809 (25,766 ) Net cash provided by (used in) operating activities 1,903,836 2,386,611 (565,891 ) (2,032,809 ) 1,691,747 Cash flows from investing activities: Proceeds from sale of operating properties — 38,633 — — 38,633 (Investments in and contributions to) and distributions of capital from unconsolidated entities, net — (94,937 ) 51,906 — (43,031 ) Proceeds from sales of real estate owned — — 32,221 — 32,221 Proceeds from sale of investment in unconsolidated entity — 199,654 25,613 — 225,267 Proceeds from sale of commercial mortgage-backed securities bonds — — 14,222 — 14,222 Proceeds from sale of Rialto investment and asset management platform — — 340,000 — 340,000 Purchases of commercial mortgage-backed securities bonds — — (31,068 ) — (31,068 ) Acquisitions, net of cash and restricted cash acquired (1,162,342 ) 44,711 39,349 — (1,078,282 ) Other (56,050 ) (35,982 ) 116 — (91,916 ) Distributions of capital from guarantor and non-guarantor subsidiaries 94,987 40,987 — (135,974 ) — Intercompany (728,546 ) — — 728,546 — Net cash (used in) provided by investing activities (1,851,951 ) 193,066 472,359 592,572 (593,954 ) Cash flows from financing activities: Net repayments under unsecured revolving credit facility — (454,700 ) — — (454,700 ) Net (repayments) borrowings under warehouse facilities — (108 ) 273,028 — 272,920 Debt issuance costs (9,189 ) — (5,472 ) — (14,661 ) Redemption of senior notes (1,010,626 ) (89,374 ) — — (1,100,000 ) Conversions and exchanges of convertible senior notes — (59,145 ) — — (59,145 ) Net payments on other borrowings, other liabilities, Rialto Senior Notes and other notes payable — (128,685 ) (294,250 ) — (422,935 ) Net payments related to noncontrolling interests — — (71,449 ) — (71,449 ) Common stock: Issuances 3,061 — — — 3,061 Repurchases (299,833 ) — — — (299,833 ) Dividends (49,159 ) (1,799,207 ) (369,576 ) 2,168,783 (49,159 ) Intercompany — 306,199 422,347 (728,546 ) — Net cash used in financing activities (1,365,746 ) (2,225,020 ) (45,372 ) 1,440,237 (2,195,901 ) Net increase (decrease) in cash and cash equivalents and restricted cash (1,313,861 ) 354,657 (138,904 ) — (1,098,108 ) Cash and cash equivalents and restricted cash at beginning of period 1,938,555 366,946 388,583 — 2,694,084 Cash and cash equivalents and restricted cash at end of period $ 624,694 721,603 249,679 — 1,595,976 Consolidating Statement of Cash Flows Year Ended November 30, 2017 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Cash flows from operating activities: Net earnings (including net loss attributable to noncontrolling interests) $ 810,480 928,441 100,106 (1,067,273 ) 771,754 Distributions of earnings from guarantor and non-guarantor subsidiaries 995,169 72,104 — (1,067,273 ) — Other adjustments to reconcile net earnings (including net loss attributable to noncontrolling interests) to net cash provided by (used in) operating activities (740,008 ) (251,428 ) 134,783 1,067,273 210,620 Net cash provided by operating activities 1,065,641 749,117 234,889 (1,067,273 ) 982,374 Cash flows from investing activities: Proceeds from sale of operating properties — 60,326 — — 60,326 Investments in and contributions to unconsolidated entities, net of distributions of capital — (181,101 ) (41,876 ) — (222,977 ) Proceeds from sales of real estate owned — — 86,565 — 86,565 Receipts of principal payments on loans held-for-sale — — 11,251 — 11,251 Originations of loans receivable — — (98,375 ) — (98,375 ) Purchases of commercial mortgage-backed securities bonds — — (107,262 ) — (107,262 ) Acquisition, net of cash acquired (604,366 ) — — — (604,366 ) Other (35,251 ) (49,356 ) 114,365 — 29,758 Distributions of capital from guarantor and non-guarantor subsidiaries 115,000 80,000 — (195,000 ) — Intercompany (865,364 ) — — 865,364 — Net cash provided by (used in) investing activities (1,389,981 ) (90,131 ) (35,332 ) 670,364 (845,080 ) Cash flows from financing activities: Net repayments under warehouse facilities — (104 ) (199,580 ) — (199,684 ) Proceeds from senior notes, net of debt issuance costs 2,433,539 — (12,129 ) — 2,421,410 Redemption of senior notes (800,000 ) (258,595 ) — — (1,058,595 ) Net proceeds from Rialto notes payable — — 74,666 — 74,666 Net payments on other borrowings — (104,471 ) (4,024 ) — (108,495 ) Proceeds on other liabilities — — 195,541 — 195,541 Net payments related to noncontrolling interests — — (68,586 ) — (68,586 ) Excess tax benefits from share-based awards 1,981 — — — 1,981 Common stock: Issuances 720 — — — 720 Repurchases (27,054 ) — — — (27,054 ) Dividends (37,608 ) (1,018,441 ) (243,832 ) 1,262,273 (37,608 ) Intercompany — 700,197 165,167 (865,364 ) — Net cash provided by (used in) financing activities 1,571,578 (681,414 ) (92,777 ) 396,909 1,194,296 Net increase (decrease) in cash and cash equivalents and restricted cash 1,247,238 (22,428 ) 106,780 — 1,331,590 Cash and cash equivalents and restricted cash at beginning of period 691,317 389,374 281,803 — 1,362,494 Cash and cash equivalents and restricted cash at end of period $ 1,938,555 366,946 388,583 — 2,694,084 |
Quarterly Data (unaudited)
Quarterly Data (unaudited) | 12 Months Ended |
Nov. 30, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Data (unaudited) | Quarterly Data (unaudited) First Second Third Fourth (In thousands, except per share amounts) 2019 Revenues $ 3,868,082 5,562,890 5,857,058 6,971,531 Gross profit from sales of homes $ 726,079 1,038,587 1,085,633 1,385,859 Earnings before income taxes $ 319,124 559,399 667,083 888,686 Net earnings attributable to Lennar $ 239,910 421,472 513,366 674,304 Earnings per share: Basic $ 0.74 1.31 1.60 2.13 Diluted $ 0.74 1.30 1.59 2.13 2018 Revenues $ 2,980,791 5,459,061 5,672,569 6,459,210 Gross profit from sales of homes $ 516,628 840,042 1,057,903 1,274,241 Earnings before income taxes $ 269,428 390,810 565,918 1,036,528 Net earnings attributable to Lennar $ 136,215 310,257 453,211 796,148 Earnings per share: Basic $ 0.53 0.95 1.37 2.42 Diluted $ 0.53 0.94 1.37 2.42 Quarterly and year-to-date computations of per share amounts are made independently. Therefore, the sum of per share amounts for the quarters may not agree with per share amounts for the year. |
Schedule II-Valuation And Quali
Schedule II-Valuation And Qualifying Accounts | 12 Months Ended |
Nov. 30, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II-Valuation And Qualifying Accounts | Schedule II—Valuation and Qualifying Accounts Years Ended November 30, 2019 , 2018 and 2017 Additions (In thousands) Beginning balance Charged to costs and expenses Charged (credited) to other accounts Deductions Ending balance Year ended November 30, 2019 Allowances deducted from assets to which they apply: Allowances for doubtful accounts and notes and other receivables $ 2,793 1,404 (344 ) (474 ) 3,379 Allowance for loan losses and loans receivable $ 6,154 485 — (2,517 ) 4,122 Allowance against net deferred tax assets $ 7,219 — — (2,878 ) 4,341 Year ended November 30, 2018 Allowances deducted from assets to which they apply: Allowances for doubtful accounts and notes and other receivables $ 2,849 246 (156 ) (146 ) 2,793 Allowance for loan losses and loans receivable $ 3,192 2,177 3,890 (3,105 ) 6,154 Allowance against net deferred tax assets $ 6,423 796 — — 7,219 Year ended November 30, 2017 Allowances deducted from assets to which they apply: Allowances for doubtful accounts and notes and other receivables $ 328 260 2,463 (202 ) 2,849 Allowance for loan losses and loans receivable $ 33,575 32,850 (1 ) (63,232 ) 3,192 Allowance against net deferred tax assets $ 5,773 650 — — 6,423 |
Summary Of Significant Accoun_2
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Nov. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis Of Consolidation | The accompanying consolidated financial statements include the accounts of Lennar Corporation and all subsidiaries, partnerships and other entities in which Lennar Corporation has a controlling interest and VIEs (see Note 16) in which Lennar Corporation is deemed the primary beneficiary (the "Company"). The Company’s investments in both unconsolidated entities in which a significant, but less than controlling, interest is held and in VIEs in which the Company is not deemed to be the primary beneficiary are accounted for by the equity method. All intercompany transactions and balances have been eliminated in consolidation. |
Use Of Estimates | The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. |
Revenue Recognition | Title premiums on policies issued directly by the Company are recognized as revenue on the effective date of the title policies. Escrow fees and loan origination revenues are recognized at the time the related real estate transactions are completed, usually upon the close of escrow. Revenues from title policies issued by independent agents are recognized as revenue when notice of issuance is received from the agent, which is generally when cash payment is received by the Company. Expected gains and losses from the sale of loans and their related servicing rights are included in the measurement of all written loan commitments that are accounted for at fair value through earnings at the time of commitment. Interest income on loans held-for-sale and loans held-for-investment is recognized as earned over the terms of the mortgage loans based on the contractual interest rates. Management Fees and General Contractor Revenue The Multifamily segment provides management services with respect to the development, construction and property management of rental projects in joint ventures in which the Company has investments. As a result, the Multifamily segment earns and receives fees, which are generally based upon a stated percentage of development and construction costs and a percentage of gross rental collections. In addition, the Multifamily segment provides general contractor services for the construction of some of its rental projects. Both management fees and general contractor revenue are recognized over the period in which the services are performed using an input method, which properly depicts the level of effort required to complete the management or construction services. These customer contracts require the Company to provide management and general contractor services which represents a performance obligation that the Company satisfies over time. Management fees and general contractor services in the Multifamily segment are included in Multifamily revenue. Revenue Recognition Homebuilding revenues and related profits from sales of homes are recognized at the time of the closing of a sale, when title to and possession of the property are transferred to the homebuyer. The Company’s performance obligation, to deliver the agreed-upon home, is generally satisfied in less than one year from the original contract date. Cash proceeds from home closings held in escrow for the Company’s benefit, typically for approximately three days, are included in Homebuilding cash and cash equivalents in the Company's consolidated balance sheets. Contract liabilities include customer deposits liabilities related to sold but undelivered homes that are included in other liabilities in the Company's consolidated balance sheets. The Company periodically elects to sell parcels of land to third parties. Cash consideration from land sales is typically due on the closing date, which is generally when performance obligations are satisfied and revenue is recognized as title to and possession of the property are transferred to the buyer. |
Advertising Costs | The Company expenses advertising costs as incurred. |
Share-Based Payments | The Company has share-based awards outstanding under the 2007 Equity Incentive Plan and the 2016 Equity Incentive Plan (the "Plans"), each of which provides for the granting of stock options, stock appreciation rights, restricted common stock ("nonvested shares") and other share based awards to officers, associates and directors. The exercise prices of stock options may not be less than the market value of the common stock on the date of the grant. Exercises are permitted in installments determined when options are granted. Each stock option will expire on a date determined at the time of the grant, but not more than 10 years after the date of the grant. The Company accounts for stock option awards and nonvested share awards granted under the Plans based on the estimated grant date fair value. |
Cash And Cash Equivalents | Cash and Cash Equivalents and Restricted Cash The Company considers all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. Due to the short maturity period of cash equivalents, the carrying amounts of these instruments approximate their fair values. Homebuilding restricted cash consists of customer deposits on home sales held in restricted accounts until title transfers to the homebuyer, as required by the state and local governments in which the homes were sold, as well as funds on deposit to secure and support performance obligations. Financial Services restricted cash consisted of upfront deposits and application fees Rialto Mortgage Finance ( “ RMF ” ) receives before originating loans and is recognized as income once the loan has been originated, as well as cash held in escrow by the Company’s loan servicer provider on behalf of customers and lenders and is disbursed in accordance with agreements between the transacting parties. Lennar Other restricted cash primarily consisted of cash set aside for future investments on behalf of a real estate investment trust that Rialto Capital Management is a sub-advisor ( “Rialto” ). |
Restricted Cash | The following table provides a reconciliation of cash and cash equivalents and restricted cash reported in the consolidated statements of cash flows to the respective consolidated balance sheets: November 30, (In thousands) 2019 2018 Homebuilding: Cash and cash equivalents $ 1,200,832 1,337,807 Restricted cash 9,698 12,399 Financial Services: Cash and cash equivalents 234,113 188,485 Restricted cash 12,022 17,944 Multifamily: Cash and cash equivalents 8,711 7,832 Lennar Other: Cash and cash equivalents 2,340 24,334 Restricted cash 975 7,175 Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows $ 1,468,691 1,595,976 |
Inventories | Finished homes and construction in progress are included within inventories. Inventories are stated at cost unless the inventory within a community is determined to be impaired, in which case the impaired inventory is written down to fair value. Inventory costs include land, land development and home construction costs, real estate taxes, deposits on land purchase contracts and interest related to development and construction. Construction overhead and selling expenses are expensed as incurred. Homes held-for-sale are classified as inventories until delivered. Land, land development, amenities and other costs are accumulated by specific area and allocated to homes within the respective areas. The Company reviews its inventory for indicators of impairment by evaluating each community during each reporting period. The inventory within each community is categorized as finished homes and construction in progress or land under development based on the development state of the community. There were 1,278 and 1,324 active communities, excluding unconsolidated entities, as of November 30, 2019 and 2018 , respectively. If the undiscounted cash flows expected to be generated by a community are less than its carrying amount, an impairment charge is recorded to write down the carrying amount of such community to its estimated fair value. In conducting its review for indicators of impairment on a community level, the Company evaluates, among other things, the margins on homes that have been delivered, margins on homes under sales contracts in backlog, projected margins with regard to future home sales over the life of the community, projected margins with regard to future land sales and the estimated fair value of the land itself. The Company pays particular attention to communities in which inventory is moving at a slower than anticipated absorption pace and communities whose average sales price and/or margins are trending downward and are anticipated to continue to trend downward. From this review, the Company identifies communities in which to assess if the carrying values exceed their undiscounted projected cash flows. The Company estimates the fair value of its communities using a discounted cash flow model. The projected cash flows for each community are significantly impacted by estimates related to market supply and demand, product type by community, homesite sizes, sales pace, sales prices, sales incentives, construction costs, sales and marketing expenses, the local economy, competitive conditions, labor costs, costs of materials and other factors for that particular community. Every division evaluates the historical performance of each of its communities as well as current trends in the market and economy impacting the community and its surrounding areas. These trends are analyzed for each of the estimates listed above. Each of the homebuilding markets in which the Company operates is unique, as homebuilding has historically been a local business driven by local market conditions and demographics. Each of the Company’s homebuilding markets has specific supply and demand relationships reflective of local economic conditions. The Company’s projected cash flows are impacted by many assumptions. Some of the most critical assumptions in the Company’s cash flow model are projected absorption pace for home sales, sales prices and costs to build and deliver homes on a community by community basis. In order to arrive at the assumed absorption pace for home sales and the assumed sales prices included in the Company’s cash flow model, the Company analyzes its historical absorption pace and historical sales prices in the community and in other comparable communities in the geographical area. In addition, the Company considers internal and external market studies and places greater emphasis on more current metrics and trends, which generally include, but are not limited to, statistics and forecasts on population demographics and on sales prices in neighboring communities, unemployment rates and availability and sales prices of competing product in the geographical area where the community is located as well as the absorption pace realized in its most recent quarters and the sales prices included in the Company's current backlog for such communities. Generally, if the Company notices a variation from historical results over a span of two fiscal quarters, the Company considers such variation to be the establishment of a trend and adjusts its historical information accordingly in order to develop assumptions on the projected absorption pace and sales prices in the cash flow model for a community. In order to arrive at the Company’s assumed costs to build and deliver homes, the Company generally assumes a cost structure reflecting contracts currently in place with its vendors adjusted for any anticipated cost reduction initiatives or increases in cost structure. Those costs assumed are used in the cash flow model for the Company’s communities. Since the estimates and assumptions included in the Company’s cash flow models are based upon historical results and projected trends, they do not anticipate unexpected changes in market conditions or strategies that may lead the Company to incur additional impairment charges in the future. The determination of fair value requires discounting the estimated cash flows at a rate the Company believes a market participant would determine to be commensurate with the inherent risks associated with the assets and related estimated cash flow streams. The discount rate used in determining each asset’s fair value depends on the community’s projected life and development stage. The Company estimates the fair value of inventory evaluated for impairment based on market conditions and assumptions made by management at the time the inventory is evaluated, which may differ materially from actual results if market conditions or assumptions change. For example, changes in market conditions and other specific developments or changes in assumptions may cause the Company to re-evaluate its strategy regarding previously impaired inventory, as well as inventory not currently impaired but for which indicators of impairment may arise if market deterioration occurs, and certain other assets that could result in further valuation adjustments and/or additional write-offs of option deposits and pre-acquisition costs due to abandonment of those options contracts. Interest and real estate taxes attributable to land and homes are capitalized as inventory costs while they are being actively developed. Interest related to homebuilding and land, including interest costs relieved from inventories, is included in costs of homes sold and costs of land sold. Interest expense related to the Financial Services and Multifamily operations is included in its costs and expenses. |
Inventories, Land Under Option Contracts | The Company also has access to land inventory through option contracts, which generally enables the Company to defer acquiring portions of properties owned by third parties and unconsolidated entities until it has determined whether to exercise its option. A majority of the Company’s option contracts require a non-refundable cash deposit or irrevocable letter of credit based on a percentage of the purchase price of the land. The Company’s option contracts sometimes include price adjustment provisions, which adjust the purchase price of the land to its approximate fair value at the time of acquisition or are based on the fair value at the time of takedown. In determining whether to walk away from an option contract, the Company evaluates the option primarily based upon its expected cash flows from the property under option. If the Company intends to walk away from an option contract, it records a charge to earnings in the period such decision is made for the deposit amount and any related pre-acquisition costs associated with the option contract. Some option contracts contain a predetermined take-down schedule for the optioned land parcels. However, in almost all instances, the Company is not required to purchase land in accordance with those take-down schedules. In substantially all instances, the Company has the right and ability to not exercise its option and forfeit its deposit without further penalty, other than termination of the option and loss of any unapplied portion of its deposit and pre-acquisition costs. Therefore, in substantially all instances, the Company does not consider the take-down price to be a firm contractual obligation. When the Company does not intend to exercise an option, it writes off any unapplied deposit and pre-acquisition costs associated with the option contract. |
Lennar Homebuilding and Lennar Multifamily Investments in Unconsolidated Entities | The Company evaluates the long-lived assets in unconsolidated entities for indicators of impairment during each reporting period. If a valuation adjustment is recorded by an unconsolidated entity related to its assets, the Company generally uses a discount rate between 10% and 20% , subject to the perceived risks associated with the community’s cash flow streams relative to its inventory or operating assets. The Company’s proportionate share of a valuation adjustment is reflected in the Company's Homebuilding, Multifamily or Lennar Other equity in earnings (loss) from unconsolidated entities with a corresponding decrease to its Homebuilding, Multifamily or Lennar Other investment in unconsolidated entities. Additionally, the Company evaluates if a decrease in the value of an investment below its carrying value is other-than-temporary. This evaluation includes certain critical assumptions made by management: (1) projected future distributions from the unconsolidated entities, (2) discount rates applied to the future distributions and (3) various other factors, which include age of the venture, relationships with the other partners and banks, general economic market conditions, land status and liquidity needs of the unconsolidated entity. If the decline in the fair value of the investment is other-than-temporary, then these losses are included in Homebuilding other income, net, Multifamily other gain (loss) or Lennar Other other gain (loss). The Company tracks its share of cumulative earnings and distributions of its joint ventures ("JVs"). For purposes of classifying distributions received from JVs in the Company’s consolidated statements of cash flows, cumulative distributions are treated as returns on capital to the extent of cumulative earnings and included in the Company’s consolidated statements of cash flows as operating activities. Cumulative distributions in excess of the Company’s share of cumulative earnings are treated as returns of capital and included in the Company’s consolidated statements of cash flows as cash from investing activities. |
Consolidation Of Variable Interest Entities | GAAP requires the consolidation of VIEs in which an enterprise has a controlling financial interest. A controlling financial interest will have both of the following characteristics: (a) the power to direct the activities of a VIE that most significantly impact the VIE’s economic performance and (b) the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. The Company’s variable interest in VIEs may be in the form of (1) equity ownership, (2) contracts to purchase assets, (3) management and development agreements between the Company and a VIE, (4) loans provided by the Company to a VIE or other partner and/or (5) guarantees provided by members to banks and other third parties. The Company examines specific criteria and uses its judgment when determining if it is the primary beneficiary of a VIE. Factors considered in determining whether the Company is the primary beneficiary include risk and reward sharing, experience and financial condition of other partner(s), voting rights, involvement in day-to-day capital and operating decisions, representation on a VIE’s executive committee, existence of unilateral kick-out rights or voting rights, level of economic disproportionality, if any, between the Company and the other partner(s) and contracts to purchase assets from VIEs. The determination whether an entity is a VIE and, if so, whether the Company is the primary beneficiary may require it to exercise significant judgment. Generally, all major decision making in the Company’s joint ventures is shared among all partners. In particular, business plans and budgets are generally required to be unanimously approved by all partners. Usually, management and other fees earned by the Company are nominal and believed to be at market and there is no significant economic disproportionality between the Company and other partners. Generally, the Company purchases less than a majority of the JV’s assets and the purchase prices under its option contracts are believed to be at market. Generally, Homebuilding and Multifamily unconsolidated entities become VIEs and consolidate when the other partner(s) lack the intent and financial wherewithal to remain in the entity. As a result, the Company continues to fund operations and debt paydowns through partner loans or substituted capital contributions. |
Operating Properties And Equipment | Operating properties and equipment are recorded at cost and are included in other assets in the consolidated balance sheets. The assets are depreciated over their estimated useful lives using the straight-line method. At the time operating properties and equipment are disposed of, the asset and related accumulated depreciation are removed from the accounts and any resulting gain or loss is credited or charged to earnings. The estimated useful life for operating properties is 30 years , for furniture, fixtures and equipment is two to ten years and for leasehold improvements is five years or the life of the lease, whichever is shorter. Operating properties are reviewed for possible impairment if there are indicators that their carrying amounts are not recoverable. |
Investment Securities | Investment securities are classified as available-for-sale unless they are classified as trading or held-to-maturity. Securities classified as trading are carried at fair value and unrealized holding gains and losses are recorded in earnings. Available-for-sale securities are recorded at fair value. Any unrealized holding gains or losses on available-for-sale securities are reported as accumulated other comprehensive gain or loss, which is a separate component of stockholders’ equity, net of tax, until realized. Securities classified as held-to-maturity are carried at amortized cost because they are purchased with the intent and ability to hold to maturity. At November 30, 2019 and 2018 , the Financial Services segment had investment securities classified as held-to-maturity totaling $190.3 million and $189.5 million , respectively, which consist mainly of commercial mortgage-backed securities ("CMBS") corporate debt obligations, U.S. government agency obligations, certificates of deposit and U.S. treasury securities that mature at various dates, mainly within three years. Also, at November 30, 2019 and 2018 , the Financial Services segment had available-for-sale securities totaling $3.7 million and $4.2 million , respectively, which consist primarily of preferred stock and mutual funds. These investments available-for-sale are carried at fair value with changes recorded as a component of accumulated other comprehensive income (loss). |
Income Taxes | The Company records income taxes under the asset and liability method, whereby deferred tax assets and liabilities are recognized based on the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and attributable to operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which the temporary differences are expected to be recovered or paid. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in earnings in the period when the changes are enacted. Interest related to unrecognized tax benefits is recognized in the financial statements as a component of income tax expense. A reduction of the carrying amounts of deferred tax assets by a valuation allowance is required if, based on the available evidence, it is more likely than not that such assets will not be realized. Accordingly, the need to establish valuation allowances for deferred tax assets is assessed each reporting period by the Company based on the consideration of all available positive and negative evidence using a "more-likely-than-not" standard with respect to whether deferred tax assets will be realized. This assessment considers, among other matters, the nature, frequency and severity of current and cumulative losses, actual earnings, forecasts of future profitability, the duration of statutory carryforward periods, the Company’s experience with loss carryforwards not expiring unused and tax planning alternatives. |
Product Warranty | Warranty and similar reserves for homes are established at an amount estimated to be adequate to cover potential costs for materials and labor with regard to warranty-type claims expected to be incurred subsequent to the delivery of a home. Reserves are determined based on historical data and trends with respect to similar product types and geographical areas. The Company regularly monitors the warranty reserve and makes adjustments to its pre-existing warranties in order to reflect changes in trends and historical data as information becomes available. Warranty reserves are included in Homebuilding other liabilities in the consolidated balance sheets. |
Self-Insurance | Certain insurable risks such as construction defects, general liability, medical and workers’ compensation are self-insured by the Company up to certain limits. Undiscounted accruals for claims under the Company’s self-insurance program are based on claims filed and estimates for claims incurred but not yet reported. The Company’s self-insurance reserve as of November 30, 2019 and 2018 was $109.6 million and $101.4 million of which $60.7 million and $60.3 million , respectively, was included in Financial Services’ other liabilities as of November 30, 2019 and 2018 . Amounts incurred in excess of the Company's self-insurance occurrence or aggregate retention limits are covered by insurance up to the Company's purchased coverage levels. The Company's insurance policies are maintained with highly-rated underwriters for whom the Company believes counterparty default risk is not significant. |
Earnings Per Share | Basic earnings per share is computed by dividing net earnings attributable to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in earnings of the Company. All outstanding nonvested shares that contain non-forfeitable rights to dividends or dividend equivalents that participate in undistributed earnings with common stock are considered participating securities and are included in computing earnings per share pursuant to the two-class method. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating securities according to dividends or dividend equivalents and participation rights in undistributed earnings. The Company’s restricted common stock ("nonvested shares") are considered participating securities. |
Loans Held-for-Sale | Loans held-for-sale by the Financial Services segment, including the rights to service the mortgage loans, are carried at fair value and changes in fair value are reflected in earnings. Premiums and discounts recorded on these loans are presented as an adjustment to the carrying amount of the loans and are not amortized. Management believes carrying loans held-for-sale at fair value improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and the derivative instruments used to economically hedge them without having to apply complex hedge accounting provisions. In addition, the Financial Services segment recognizes the fair value of its rights to service a mortgage loan as revenue upon entering into an interest rate lock loan commitment with a borrower. The fair value of these servicing rights is included in Financial Services' other assets as of November 30, 2019 and 2018 . Fair value of the servicing rights is determined based on values in the Company’s servicing sales contracts. The originated mortgage loans are classified as loans held-for-sale and are recorded at fair value. The Company elected the fair value option for RMF 's loans held-for-sale in accordance with Accounting Standards Codification ("ASC") 825, Financial Instruments , which permits entities to measure various financial instruments and certain other items at fair value on a contract-by-contract basis. Management believes that carrying loans held-for-sale at fair value improves financial reporting by mitigating volatility in reported earnings caused by measuring the fair value of the loans and the derivative instruments, which are also carried at fair value, used to economically hedge them without having to apply complex hedge accounting provisions. Changes in fair values of the loans are reflected in Rialto revenues in the accompanying consolidated statements of operations. Interest income on these loans is calculated based on the interest rate of the loan and is recorded in Rialto revenues in the accompanying consolidated statements of operations. Substantially all of the mortgage loans originated are sold within a short period of time in a securitization on a servicing released, non-recourse basis; although, the Company remains liable for certain limited industry-standard representations and warranties related to loan sales. The Company recognizes revenue on the sale of loans into securitization trusts when control of the loans has been relinquished. |
Provision for Losses | The Company establishes reserves for possible losses associated with mortgage loans previously originated and sold to investors based upon, among other things, an analysis of repurchase requests received, an estimate of potential repurchase claims not yet received and actual past repurchases and losses through the disposition of affected loans, as well as previous settlements. Loan origination liabilities are included in Financial Services’ liabilities in the consolidated balance sheets. |
Loans Held-for-Investment, Net | Loans for which the Company has the positive intent and ability to hold to maturity consist of mortgage loans carried at the principal amount outstanding, net of unamortized discounts and allowance for loan losses. Discounts are amortized over the estimated lives of the loans using the interest method. The Financial Services segment also provides an allowance for loan losses. The provision recorded and the adequacy of the related allowance is determined by management’s continuing evaluation of the loan portfolio in light of past loan loss experience, credit worthiness and nature of underlying collateral, present economic conditions and other factors considered relevant by the Company’s management. Anticipated changes in economic factors, which may influence the level of the allowance, are considered in the evaluation by the Company’s management when the likelihood of the changes can be reasonably determined. While the Company’s management uses the best information available to make such evaluations, future adjustments to the allowance may be necessary as a result of future economic and other conditions that may be beyond management’s control. |
Derivative Financial Instruments | The Financial Services segment, in the normal course of business, uses derivative financial instruments to reduce its exposure to fluctuations in mortgage-related interest rates. The segment uses mortgage-backed securities ("MBS") forward commitments, option contracts, future contracts and investor commitments to protect the value of fixed rate-locked loan commitments and loans held-for-sale from fluctuations in mortgage-related interest rates. These derivative financial instruments are carried at fair value with the changes in fair value included in Financial Services revenues. |
New Accounting Pronouncements | Recently Adopted Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") 2014-09, Revenue from Contracts with Customers , ("ASU 2014-09"). ASU 2014-09 provides a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This update creates a five-step model that requires entities to exercise judgment when considering the terms of the contract(s) which include (i) identifying the contract(s) with the customer, (ii) identifying the separate performance obligations in the contract, (iii) determining the transaction price, (iv) allocating the transaction price to the separate performance obligations, and (v) recognizing revenue when each performance obligation is satisfied. ASU 2014-09 became effective for the Company’s fiscal year beginning December 1, 2018 and subsequent interim periods. Subsequent to the issuance of ASU 2014-09, the FASB has issued several ASUs such as ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) , ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients , and ASU 2017-05, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets ("ASU 2017-05"), among others. These ASUs do not change the core principle of the guidance stated in ASU 2014-09, instead these amendments are intended to clarify and improve operability of certain topics included within the revenue standard. These ASUs had the same effective date and transition requirements as ASU 2014-09. The Company has adopted the modified retrospective method. The Company elected to use the practical expedient within ASU 2017-05 to apply the standard only to contracts not yet completed as of the date of adoption. This will result in higher gains on future sales of partial real estate interests due to recognizing 100% of the gain on the sale of the partial interest and recording the retained noncontrolling interest at fair value. The Company recorded an immaterial net increase to retained earnings as of December 1, 2018, due to the cumulative impact of adopting ASU 2014-09, with the impact primarily related to the recognition of deferral of net margin from home deliveries. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments ("ASU 2016-15"). ASU 2016-15 reduces the existing diversity in practice in financial reporting across all industries by clarifying certain existing principles in ASC 230, Statement of Cash Flows , including providing additional guidance on how and what an entity should consider in determining the classification of certain cash flows. ASU 2016-15 was effective for the Company’s fiscal year beginning December 1, 2018 and subsequent interim periods. The adoption of ASU 2016-15 did not have a material effect on the Company’s consolidated financial statements. The Company adopted ASU 2016-18, Statement of Cash Flows (Topic 230), Restricted Cash , effective December 1, 2018. The amendments in the standard require that the statement of cash flows explain the change during the period in the total of cash and cash equivalents and restricted cash. As a result, the Company's beginning-of-period and end-of-period cash balances presented in the consolidated statements of cash flows were retrospectively adjusted to include restricted cash with cash and cash equivalents. In accordance with Securities and Exchange Commission ("SEC") Final Rule Release No. 33-10532, Disclosure Update and Simplification, the Company removed the presentation of cash dividends per each Class A and Class B common share from the accompanying consolidated statements of operations and comprehensive income (loss). This is now disclosed with the analysis of changes in stockholders' equity within the accompanying consolidated statement of equity. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 modifies how entities measure equity investments and present changes in the fair value of financial liabilities. Under the new guidance, entities have to measure equity investments that do not result in consolidation and are not accounted for under the equity method at fair value and recognize any changes in fair value in net income unless the investments qualify for the new practicality exception. A practicality exception will apply to those equity investments that do not have a readily determinable fair value and do not qualify for the practical expedient to estimate fair value under ASC 820, Fair Value Measurements, and as such, these investments may be measured at cost. ASU 2016-01 was effective for the Company’s fiscal year beginning December 1, 2018 and subsequent interim periods. The adoption of ASU 2016-01 did not have a material impact on the Company’s consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805), Clarifying the Definition of a Business ("ASU 2017-01"). ASU 2017- 01 clarifies the definition of a business with the objective of addressing whether transactions involving in-substance nonfinancial assets, held directly or in a subsidiary, should be accounted for as acquisitions or disposals of nonfinancial assets or of businesses. ASU 2017-01 was effective for the Company’s fiscal year beginning December 1, 2018 and subsequent interim periods. The adoption of ASU 2017-01 did not have a material impact on the Company’s consolidated financial statements. New Accounting Pronouncements In March 2016, the FASB issued ASU 2016-02, Leases ("ASU 2016-02"), which provides guidance for accounting for leases. ASU 2016-02 requires lessees to classify leases as either finance or operating leases and to record a right-of-use (“ROU”) asset and a lease liability for all leases with a term greater than 12 months regardless of the lease classification. The lease classification will determine whether the lease expense is recognized based on an effective interest rate method or on a straight line basis over the term of the lease. Accounting for lessors remains largely unchanged from current GAAP. ASU 2016-02 is effective for the Company beginning December 1, 2019. The Company elected the available practical expedients on adoption. Additionally, in preparation for adoption of the standard, the Company has implemented internal controls and key system functionality to enable the preparation of financial information. The standard will not have a material impact on our consolidated statements of operations and comprehensive income (loss) and our consolidated statements of cash flows. Based on the Company’s current portfolio of leases, the Company expects the adoption of the standard will result in the recognition of ROU assets of approximately $150 million with a corresponding lease liability on its consolidated balance sheets within other assets and other liabilities. Subsequent to the issuance of ASU 2016-02, the FASB issued ASUs 2018-01, Land Easement Practical Expedient for Transition to Topic 842 , 2018-10, Codification Improvements to Topic 842, Leases , 2018-11, Leases (Topic 842): Targeted Improvements and 2018-20, Narrow-Scope Improvements for Lessors and 2019-01, Leases (Topic 842): Codification Improvements . These ASUs do not change the core principle of the guidance in ASU 2016-02, instead these amendments are intended to clarify and improve operability of certain topics included within the credit losses standard. These ASUs had the same effective date and transition requirements as ASU 2016-02. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 significantly changes the impairment model for most financial assets and certain other instruments. ASU 2016-13 will require immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets, which will generally result in earlier recognition of allowances for credit losses on loans and other financial instruments. ASU 2016-13 is effective for the Company's fiscal year beginning December 1, 2020 and subsequent interim periods. The Company is currently evaluating the impact the adoption of ASU 2016-13 will have on its consolidated financial statements. Subsequent to the issuance of ASU 2016-13, the FASB issued ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments —Credit Losses, ASU 2019-05, Financial Instruments —Credit Losses (Topic 326) Targeted Transition Relief, ASU 2016-13, the FASB issued ASU 2019-10 Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) and ASU 2019-11 Codification Improvements to Topic 326, Financial Instruments—Credit Losses . These ASUs do not change the core principle of the guidance in ASU 2016-13. Instead these amendments are intended to clarify and improve operability of certain topics included within the credit losses standard. These ASUs will have the same effective date and transition requirements as ASU 2016-13. In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350), Simplifying the Accounting for Goodwill Impairment ("ASU 2017-04"). ASU 2017-04 removes the requirement to perform a hypothetical purchase price allocation to measure goodwill impairment. A goodwill impairment will now be the amount by which a reporting unit's carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. ASU 2017-04 will be effective for the Company’s fiscal year beginning December 1, 2020. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact the adoption of ASU 2017-04 will have on the Company's consolidated financial statements. Reclassifications Certain prior year amounts in the consolidated financial statements have been reclassified to conform with the 2019 presentation. The Company's segments were adjusted to reflect RMF and certain other Rialto assets within the Financial Services segment effective December 1, 2018. The remaining assets retained related to the Company's former Rialto segment were included in the Lennar Other segment. In addition, the Company's strategic technology investments, which were part of Homebuilding, were reclassified to be included in the Lennar Other segment. These reclassifications were between segments and had no impact on the Company's total assets, total equity, revenues or net earnings in the consolidated financial statements. |
Summary Of Significant Accoun_3
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Significant Unobservable Inputs Used to Determine Fair Value of Communities | The table below summarizes the most significant unobservable inputs used in the Company's discounted cash flow model to determine the fair value of its communities for which the Company recorded valuation adjustments during the years ended November 30, 2019 and 2018 : Years ended November 30, 2019 2018 Unobservable inputs Range Range Average selling price $167,000 - $222,000 $233,000 - $843,000 Absorption rate per quarter (homes) 4 - 12 4 - 16 Discount rate 20% 20% |
Schedule Of Interest Expense | Interest expense was included in costs of homes sold, costs of land sold and other interest expense as follows: Years Ended November 30, (In thousands) 2019 2018 2017 Interest expense in costs of homes sold $ 371,821 301,339 260,650 Interest expense in costs of land sold 5,554 3,567 9,995 Other interest expense (1) 17,620 11,258 7,164 Total interest expense $ 394,995 316,164 277,809 (1) Included in Homebuilding other income (expense), net. |
Schedule Of Warranty Reserve | The activity in the Company’s warranty reserve was as follows: Years Ended November 30, (In thousands) 2019 2018 Warranty reserve, beginning of year $ 319,109 164,619 Warranties issued 189,105 175,410 Adjustments to pre-existing warranties from changes in estimates (1) (8,156 ) 3,116 Warranties assumed related to acquisitions — 140,959 Payments (205,920 ) (164,995 ) Warranty reserve, end of year $ 294,138 319,109 (1) The adjustments to pre-existing warranties from changes in estimates during the years ended November 30, 2019 and 2018 primarily related to specific claims in certain of the Company's homebuilding communities and other adjustments. |
Loan Origination Liabilities | The activity in the Company’s loan origination liabilities was as follows: Years Ended November 30, (In thousands) 2019 2018 Loan origination liabilities, beginning of year $ 48,584 22,543 Provision for losses 3,813 5,787 Adjustments to pre-existing provisions for losses from changes in estimates — 4,625 Origination liabilities assumed related to CalAtlantic acquisition — 29,959 Payments/settlements (1) (43,033 ) (14,330 ) Loan origination liabilities, end of year $ 9,364 48,584 (1) In December 2018, the Company settled litigation with the creditors of a former investor to resolve claims of breach of representations and warranties and similar claims for loans sold by the Company (or its subsidiaries or predecessors). The Company had adequately reserved $42.0 million for this settlement payment as of November 30, 2018 . |
Business Acquisition (Tables)
Business Acquisition (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions | The following table summarizes the purchase price allocation based on the estimated fair value of net assets acquired and liabilities assumed at the date of acquisition: (Dollars in thousands) CalAtlantic shares of common stock outstanding 118,025,879 CalAtlantic shares electing cash conversion 24,083,091 CalAtlantic shares exchanged 93,942,788 Exchange ratio for Class A common stock 0.885 Exchange ratio for Class B common stock 0.0177 Number of shares of Lennar Class A common stock issued in exchange 83,138,277 Number of shares of Lennar Class B common stock issued in exchange (due to Class B common stock dividend) 1,662,172 Consideration attributable to Class A common stock $ 4,933,425 Consideration attributable to Class B common stock 77,823 Consideration attributable to equity awards that convert upon change of control 58,758 Consideration attributable to cash including fractional shares 1,162,341 Total purchase price $ 6,232,347 |
Schedule of Assets and Liabilities Assumed | (In thousands) ASSETS Homebuilding: Cash and cash equivalents, restricted cash and receivables, net $ 55,191 Inventories 6,239,147 Intangible asset (1) 8,000 Investments in unconsolidated entities 151,900 Goodwill (2) 3,305,792 Other assets 561,151 Total Homebuilding assets 10,321,181 Financial Services (2) 355,128 Total assets $ 10,676,309 LIABILITIES Homebuilding: Accounts payable $ 306 Senior notes payable and other debts 3,926,152 Other liabilities (3) 374,656 Total Homebuilding liabilities 4,301,114 Financial Services 124,418 Total liabilities 4,425,532 Noncontrolling interests (4) 18,430 Total purchase price $ 6,232,347 (1) Intangible asset includes trade name. The amortization period for the trade name was approximately six months . (2) Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed, and it is generally not deductible for income tax purposes. As of the Merger date, goodwill consisted primarily of expected greater efficiencies and opportunities due to increased concentration of local market share, reduced general and administrative costs and reduced homebuilding costs resulting from the merger and cost savings as a result of additional homebuilding and non-homebuilding synergies. The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. (3) Other liabilities include contingencies assumed at the Merger date, which includes warranty and legal reserves. Warranty reserves for homes are established at an amount estimated to be adequate to cover potential costs for materials and labor with regard to warranty-type claims expected to be incurred subsequent to the delivery of a home. Warranty reserves are determined based on historical data and trends with respect to similar product types and geographical areas. Consistent with ASC 450, Contingencies, ("ASC450") legal reserves are established when a loss is considered probable and the amount of loss can be reasonably estimated. (4) Fair value of noncontrolling interests was measured using discounted cash flows of expected future contributions and distributions. |
Operating And Reporting Segme_2
Operating And Reporting Segments (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 |
Lennar Homebuilding Receivabl_2
Lennar Homebuilding Receivables (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Receivables [Abstract] | |
Schedule Of Lennar Homebuilding Receivables | November 30, (In thousands) 2019 2018 Accounts receivable $ 129,216 115,642 Mortgages and notes receivable 203,230 123,796 332,446 239,438 Allowance for doubtful accounts (3,322 ) (2,597 ) Receivables, net $ 329,124 236,841 |
Lennar Homebuilding Investmen_2
Lennar Homebuilding Investments In Unconsolidated Entities (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Unconsolidated Entities | The total debt of the Homebuilding unconsolidated entities in which the Company has investments was as follows: November 30, (Dollars in thousands) 2019 2018 Non-recourse bank debt and other debt (partner’s share of several recourse) $ 52,007 48,313 Non-recourse debt with completion guarantees 219,558 239,568 Non-recourse debt without completion guarantees 825,192 861,371 Non-recourse debt to the Company 1,096,757 1,149,252 The Company’s maximum recourse exposure (1) 10,787 65,707 Debt issuance costs (12,956 ) (12,403 ) Total debt (1) $ 1,094,588 1,202,556 The Company’s maximum recourse exposure as a % of total JV debt 1 % 5 % (1) As of November 30, 2019 and 2018 , the Company's maximum recourse exposure was primarily related to the Company providing repayment guarantee on two and four unconsolidated entities' debt, respectively. The decrease in maximum recourse exposure and total debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 602,480 781,833 Inventories 4,514,885 4,291,470 Other assets 1,007,698 1,045,274 $ 6,125,063 6,118,577 Liabilities and equity: Accounts payable and other liabilities $ 816,719 874,355 Debt (1) 1,094,588 1,202,556 Equity 4,213,756 4,041,666 $ 6,125,063 6,118,577 Homebuilding investments in unconsolidated entities (2) $ 1,009,035 870,201 (1) Debt presented above is net of debt issuance costs of $13.0 million and $12.4 million , as of November 30, 2019 and 2018 , respectively. The decrease in debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . (2) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include $62.0 million of the negative investment balance for one unconsolidated entity as it was reclassed to other liabilities. Summarized condensed financial information on a combined 100% basis related to Homebuilding’s unconsolidated entities that are accounted for by the equity method was as follows: Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 303,963 522,811 465,182 Costs and expenses 401,396 720,849 603,079 Other income (1) 78,406 120,620 16,440 Net loss of unconsolidated entities (1) $ (19,027 ) (77,418 ) (121,457 ) Homebuilding equity in loss from unconsolidated entities (1) $ (13,273 ) (90,209 ) (63,637 ) (1) During the year ended November 30, 2019 , other income was primarily attributable to a $64.9 million gain on the settlement of contingent consideration recorded by one Homebuilding unconsolidated entity, of which the Company's pro-rata share was $25.9 million . During the year ended November 30, 2018 , other income was primarily due to FivePoint recording income resulting from the Tax Cuts and Jobs Act of 2017’s reduction in its corporate tax rate to reduce its liability pursuant to its tax receivable agreement (“TRA Liability”) with its non-controlling interests. However, the Company has a 70% interest in the FivePoint TRA Liability. Therefore, the Company did not include in Homebuilding’s equity in earnings (loss) from unconsolidated entities its pro-rata share of earnings related to the Company’s portion of the TRA Liability. As a result, the Company’s unconsolidated entities have net earnings, but the Company has an equity in loss from unconsolidated entities. Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Lennar Homebuilding Operating_2
Lennar Homebuilding Operating Properties And Equipment (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Schedule Of Operating Properties And Equipment | Operating properties and equipment are included in Homebuilding other assets in the consolidated balance sheets and were as follows: November 30, (In thousands) 2019 2018 Operating properties (1) $ 225,256 255,203 Leasehold improvements 63,846 61,990 Furniture, fixtures and equipment 159,007 141,466 448,109 458,659 Accumulated depreciation and amortization (168,582 ) (138,798 ) $ 279,527 319,861 (1) Operating properties primarily include solar systems, rental operations and commercial properties. |
Lennar Homebuilding Senior No_2
Lennar Homebuilding Senior Notes And Other Debts Payable (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule Of Senior Notes And Other Debts Payable | The terms of each of the Company's senior notes outstanding at November 30, 2019 were as follows: Senior Notes Outstanding (1) Principal Amount Net Proceeds (2) Price Dates Issued (Dollars in thousands) 6.625% senior notes due 2020 $ 300,000 (3) (3) (3) 2.95% senior notes due 2020 300,000 298,800 100 % November 2017 8.375% senior notes due 2021 400,000 (3) (3) (3) 4.750% senior notes due 2021 500,000 495,974 100 % March 2016 6.25% senior notes due December 2021 300,000 (3) (3) (3) 4.125% senior notes due 2022 600,000 595,160 100 % January 2017 5.375% senior notes due 2022 250,000 (3) (3) (3) 4.750% senior notes due 2022 575,000 567,585 (4) October 2012, February 2013, April 2013 4.875% senior notes due December 2023 400,000 393,622 99.169 % November 2015 4.500% senior notes due 2024 650,000 644,838 100 % April 2017 5.875% senior notes due 2024 425,000 (3) (3) (3) 4.750% senior notes due 2025 500,000 495,528 100 % April 2015 5.25% senior notes due 2026 400,000 (3) (3) (3) 5.00% senior notes due 2027 350,000 (3) (3) (3) 4.75% senior notes due 2027 900,000 894,650 100 % November 2017 (1) Interest is payable semi-annually for each of the series of senior notes. The senior notes are unsecured and unsubordinated, but are guaranteed by substantially all of the Company's 100% owned homebuilding subsidiaries. (2) The Company generally uses the net proceeds for working capital and general corporate purposes, which can include the repayment or repurchase of other outstanding senior notes. (3) These notes were obligations of CalAtlantic when it was acquired, and were subsequently exchanged in part for notes of the Company. As part of purchase accounting, the senior notes have been recorded at their fair value as of the date of acquisition (February 12, 2018). (4) The Company issued $350 million aggregate principal amount at a price of 100% , $175 million aggregate principal amount at a price of 98.073% and $50 million aggregate principal amount at a price of 98.250% . November 30, (Dollars in thousands) 2019 2018 6.625% senior notes due 2020 (1) $ 303,668 311,735 2.95% senior notes due 2020 299,421 298,838 8.375% senior notes due 2021 (1) 418,860 435,897 4.750% senior notes due 2021 498,893 498,111 6.25% senior notes due December 2021 (1) 310,252 315,283 4.125% senior notes due 2022 597,885 596,894 5.375% senior notes due 2022 (1) 258,198 261,055 4.750% senior notes due 2022 571,644 570,564 4.875% senior notes due December 2023 396,553 395,759 4.500% senior notes due 2024 646,802 646,078 5.875% senior notes due 2024 (1) 448,158 452,833 4.750% senior notes due 2025 497,558 497,114 5.25% senior notes due 2026 (1) 407,921 409,133 5.00% senior notes due 2027 (1) 352,892 353,275 4.75% senior notes due 2027 893,046 892,297 0.25% convertible senior notes due 2019 — 1,291 4.500% senior notes due 2019 — 499,585 4.50% senior notes due 2019 — 599,176 Mortgage notes on land and other debt 874,887 508,950 $ 7,776,638 8,543,868 |
Schedule Of Maturities Of Senior Notes And Other Debts Payable | The minimum aggregate principal maturities of Homebuilding senior notes and other debts payable during the five years subsequent to November 30, 2019 and thereafter are as follows: (In thousands) Debt Maturities 2020 $ 1,055,076 2021 1,131,303 2022 1,759,816 2023 72,419 2024 1,523,125 Thereafter 2,187,082 |
Lennar Financial Services Seg_2
Lennar Financial Services Segment (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule Of Assets And Liabilities | Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 |
Schedule of Line of Credit Facilities | At November 30, 2019 , the Financial Services segment warehouse facilities used to fund residential mortgages were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 500,000 364-day warehouse repurchase facility that matures March 2020 (2) 300,000 364-day warehouse repurchase facility that matures June 2020 500,000 364-day warehouse repurchase facility that matures October 2020 (3) 500,000 Total $ 1,800,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to March 2020 and the maximum aggregate commitment was decreased to $300 million . As of November 30, 2019 , the maximum aggregate commitment includes an uncommitted amount of $500 million . (2) Maximum aggregate commitment includes an uncommitted amount of $300 million . (3) Maximum aggregate commitment includes an uncommitted amount of $400 million . At November 30, 2019 , RMF warehouse facilities were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 250,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures November 2020 200,000 Total - Loans origination and securitization business 850,000 Warehouse repurchase facility that matures December 2019 (two - one year extensions) (2) 50,000 Total $ 900,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to December 2020. (2) RMF uses this warehouse repurchase facility to finance the origination of floating rate accrual loans, which are reported as accrual loans within loans receivable, net. There were borrowings under this facility of $11.4 million as of November 30, 2019 . There were no borrowings under this facility as of November 30, 2018 . |
Lennar Multifamily Segment (Tab
Lennar Multifamily Segment (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule Of Assets And Liabilities | Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 |
Schedule of Unconsolidated Entities | The total debt of the Homebuilding unconsolidated entities in which the Company has investments was as follows: November 30, (Dollars in thousands) 2019 2018 Non-recourse bank debt and other debt (partner’s share of several recourse) $ 52,007 48,313 Non-recourse debt with completion guarantees 219,558 239,568 Non-recourse debt without completion guarantees 825,192 861,371 Non-recourse debt to the Company 1,096,757 1,149,252 The Company’s maximum recourse exposure (1) 10,787 65,707 Debt issuance costs (12,956 ) (12,403 ) Total debt (1) $ 1,094,588 1,202,556 The Company’s maximum recourse exposure as a % of total JV debt 1 % 5 % (1) As of November 30, 2019 and 2018 , the Company's maximum recourse exposure was primarily related to the Company providing repayment guarantee on two and four unconsolidated entities' debt, respectively. The decrease in maximum recourse exposure and total debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 602,480 781,833 Inventories 4,514,885 4,291,470 Other assets 1,007,698 1,045,274 $ 6,125,063 6,118,577 Liabilities and equity: Accounts payable and other liabilities $ 816,719 874,355 Debt (1) 1,094,588 1,202,556 Equity 4,213,756 4,041,666 $ 6,125,063 6,118,577 Homebuilding investments in unconsolidated entities (2) $ 1,009,035 870,201 (1) Debt presented above is net of debt issuance costs of $13.0 million and $12.4 million , as of November 30, 2019 and 2018 , respectively. The decrease in debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . (2) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include $62.0 million of the negative investment balance for one unconsolidated entity as it was reclassed to other liabilities. Summarized condensed financial information on a combined 100% basis related to Homebuilding’s unconsolidated entities that are accounted for by the equity method was as follows: Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 303,963 522,811 465,182 Costs and expenses 401,396 720,849 603,079 Other income (1) 78,406 120,620 16,440 Net loss of unconsolidated entities (1) $ (19,027 ) (77,418 ) (121,457 ) Homebuilding equity in loss from unconsolidated entities (1) $ (13,273 ) (90,209 ) (63,637 ) (1) During the year ended November 30, 2019 , other income was primarily attributable to a $64.9 million gain on the settlement of contingent consideration recorded by one Homebuilding unconsolidated entity, of which the Company's pro-rata share was $25.9 million . During the year ended November 30, 2018 , other income was primarily due to FivePoint recording income resulting from the Tax Cuts and Jobs Act of 2017’s reduction in its corporate tax rate to reduce its liability pursuant to its tax receivable agreement (“TRA Liability”) with its non-controlling interests. However, the Company has a 70% interest in the FivePoint TRA Liability. Therefore, the Company did not include in Homebuilding’s equity in earnings (loss) from unconsolidated entities its pro-rata share of earnings related to the Company’s portion of the TRA Liability. As a result, the Company’s unconsolidated entities have net earnings, but the Company has an equity in loss from unconsolidated entities. Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Lennar Other (Tables)
Lennar Other (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule Of Assets And Liabilities | Financial information relating to the Company’s operations was as follows: November 30, (In thousands) 2019 2018 2017 Assets: Homebuilding East $ 6,708,586 7,183,758 3,817,454 Homebuilding Central 2,732,872 2,522,799 1,275,623 Homebuilding Texas 2,246,893 2,311,760 1,199,971 Homebuilding West 10,663,666 10,291,385 5,432,485 Homebuilding Other 1,173,163 1,013,367 1,086,739 Financial Services 3,006,024 2,778,910 2,054,317 Multifamily 1,068,831 874,219 710,725 Lennar Other 495,417 588,959 827,452 Corporate and unallocated 1,264,059 1,001,024 2,340,268 Total assets $ 29,359,511 28,566,181 18,745,034 Homebuilding investments in unconsolidated entities: Homebuilding East $ 162,108 76,627 68,670 Homebuilding Central 6,520 6,510 2,971 Homebuilding Texas 1,629 1,902 — Homebuilding West 270,931 311,200 225,803 Homebuilding Other 567,847 473,962 564,905 Total Homebuilding investments in unconsolidated entities (1) $ 1,009,035 870,201 862,349 Multifamily investments in unconsolidated entities $ 561,190 481,129 407,544 Lennar Other investments in unconsolidated entities $ 403,688 424,104 303,839 Homebuilding goodwill (2) $ 3,442,359 3,442,359 136,566 Financial Services goodwill (2) $ 215,516 237,688 59,838 Lennar Other goodwill $ — — 5,396 (1) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include the ($62.0) million investment balance for one unconsolidated entity as it was reclassed to other liabilities. (2) In connection with the CalAtlantic acquisition, the Company recorded a provisional amount of homebuilding goodwill of $3.3 billion . The assignment of goodwill among the Company's reporting segments included $ 1.1 billion to Homebuilding East, $ 495.0 million to Homebuilding Central, $ 342.2 million to Homebuilding Texas, $ 1.4 billion to Homebuilding West, and $175.4 million to Financial Services. In connection with the WCI acquisition in 2017, the Company allocated $136.6 million of goodwill to the Homebuilding East reportable segment and $20.0 million to the Financial Services segment. The portion allocated to the Financial Services segment was written off as part of the sale of the Florida real estate brokerage business in the first quarter of 2019. Years Ended November 30, (In thousands) 2019 2018 2017 Revenues: Homebuilding East $ 7,098,937 6,249,864 4,054,849 Homebuilding Central 2,739,006 2,290,887 923,518 Homebuilding Texas 2,578,962 2,421,399 1,697,731 Homebuilding West 8,227,304 8,059,850 4,447,084 Homebuilding Other 149,007 55,597 65,694 Financial Services 824,810 954,631 891,957 Multifamily 604,700 421,132 394,771 Lennar Other 36,835 118,271 170,761 Total revenues $ 22,259,561 20,571,631 12,646,365 Operating earnings (loss): Homebuilding East $ 977,375 759,221 575,701 Homebuilding Central (1) 284,616 182,608 (52,301 ) Homebuilding Texas 285,874 172,449 180,212 Homebuilding West 1,050,850 1,082,302 615,916 Homebuilding Other (2) (95,810 ) 57,907 (55,134 ) Financial Services 224,642 199,716 195,307 Multifamily (3) 16,390 42,695 73,432 Lennar Other (4) 31,469 (33,707 ) (57,633 ) Total operating earnings 2,775,406 2,463,191 1,475,500 Gain on sale of Rialto investment and asset management platform — 296,407 — Acquisition and integration costs related to CalAtlantic — 152,980 — Corporate general and administrative expenses 341,114 343,934 285,889 Earnings before income taxes $ 2,434,292 2,262,684 1,189,611 (1) Homebuilding Central operating loss for the year ended November 30, 2017 included a $140 million loss due to litigation. (2) For the year ended November 30, 2019 , Homebuilding Other's operating loss includes a $48.9 million loss on consolidation due to the consolidation of a previously unconsolidated entity. Additionally, Homebuilding Other's revenues increased for the year ended November 30, 2019 due to the consolidation of that entity. For the year ended November 30, 2018 , Homebuilding Other's operating earnings includes a $164.9 million gain on the sale of an 80% interest in one of the Company's strategic joint ventures, Treasure Island Holdings. For the years ended November 30, 2018 and 2017 , Homebuilding Other's operating earnings (loss) included an equity in loss from unconsolidated entities of $90.3 million and $49.5 million , respectively. (3) For the years ended November 30, 2019 , 2018 and 2017 , Multifamily's operating earnings included $11.3 million , $51.3 million and $85.7 million , respectively, of equity in earnings from unconsolidated entities and other gain primarily as a result of $28.1 million share of gains from the sale of two operating properties and an investment in an unconsolidated entity for the year ended November 30, 2019 , $61.2 million share of gains from the sale of six operating properties and an investment in an unconsolidated entity for the year ended November 30, 2018 and $96.7 million share of gains from the sale of seven operating properties for the year ended November 30, 2017 by its unconsolidated entities. (4) For the year ended November 30, 2018 , Lennar Other's operating loss was primarily as a result of non-recurring expenses, partially offset by a decrease in real estate owned and loan impairments due to the liquidation of the FDIC and bank portfolios and a decrease in interest expense. For the year ended November 30, 2017 , Lennar Other's operating loss included $ 96.2 million of gross REO and loan impairments ( $44.7 million net of noncontrolling interests) as Lennar Other liquidated most of the remaining assets of the FDIC portfolio. Years Ended November 30, (In thousands) 2019 2018 2017 Homebuilding interest expense: Homebuilding East $ 118,270 98,478 85,761 Homebuilding Central 42,403 28,471 21,061 Homebuilding Texas 37,144 32,930 34,237 Homebuilding West 183,906 151,823 135,574 Homebuilding Other 13,272 4,462 1,176 Total Homebuilding interest expense $ 394,995 316,164 277,809 Financial Services interest income, net $ 22,800 19,774 20,359 Lennar Other interest expense, net $ 587 557 1,761 Depreciation and amortization: Homebuilding East $ 23,969 20,614 17,258 Homebuilding Central 8,010 5,285 3,879 Homebuilding Texas 8,395 9,041 8,228 Homebuilding West 45,456 36,013 27,403 Homebuilding Other 369 1,022 2,447 Financial Services 10,430 13,473 10,022 Multifamily 6,209 4,357 2,910 Lennar Other — 5,687 5,164 Corporate and unallocated 75,197 66,261 50,369 Total depreciation and amortization $ 178,035 161,753 127,680 Net additions to (disposals of) operating properties and equipment: Homebuilding East $ (31,323 ) 26,402 (27 ) Homebuilding Central 74 14,677 32 Homebuilding Texas 950 200 (40 ) Homebuilding West 63,803 42,525 32,995 Homebuilding Other (1,214 ) 15,549 10,833 Financial Services 6,942 7,703 11,185 Multifamily 495 1,558 12,657 Lennar Other — 6,416 4,115 Corporate and unallocated 7,183 55,364 40,023 Total net additions (disposals of) operating properties and equipment $ 46,910 170,394 111,773 Homebuilding equity in earnings (loss) from unconsolidated entities: Homebuilding East $ (793 ) (818 ) (754 ) Homebuilding Central 178 691 (255 ) Homebuilding Texas 569 469 8 Homebuilding West 1,263 (212 ) (13,095 ) Homebuilding Other (1) (14,490 ) (90,339 ) (49,541 ) Total Homebuilding equity in loss from unconsolidated entities $ (13,273 ) (90,209 ) (63,637 ) Multifamily equity in earnings from unconsolidated entities and other gain $ 11,294 51,322 85,739 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) For the year ended November 30, 2019 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2018 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by valuation adjustments and general and administrative expenses, partially offset by profits from land sales. For the year ended November 30, 2017 , equity in loss included the Company's share of operational net losses from unconsolidated entities driven by general and administrative expenses and valuation adjustments, partially offset by profits from land sales. The assets and liabilities related to the Financial Services segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 234,113 188,485 Restricted cash 12,022 17,944 Receivables, net (1) 500,847 731,169 Loans held-for-sale (2) 1,644,939 1,213,889 Loans held-for-investment, net 73,867 70,216 Investments held-to-maturity 190,289 189,472 Investments available-for-sale (3) 3,732 4,161 Goodwill (4) 215,516 237,688 Other assets (5) 130,699 125,886 $ 3,006,024 2,778,910 Liabilities: Notes and other debts payable $ 1,745,755 1,558,702 Other liabilities (6) 310,695 309,500 $ 2,056,450 1,868,202 (1) Receivables, net, primarily related to loans sold to investors for which the Company had not yet been paid. (2) Loans held-for-sale related to unsold loans carried at fair value. (3) Investments available-for-sale are carried at fair value with changes in fair value recorded as a component of accumulated other comprehensive income (loss). (4) As of November 30, 2019 and 2018 , goodwill included $175.4 million related to the CalAtlantic acquisition (See Note 2). (5) As of November 30, 2019 and 2018 , other assets included mortgage loan commitments carried at fair value of $16.3 million and $16.4 million , respectively, and mortgage servicing rights carried at fair value of $24.7 million and $37.2 million , respectively. (6) As of November 30, 2019 and 2018 , other liabilities included $60.7 million and $60.3 million , respectively, of certain of the Company’s self-insurance reserves related to construction defects, general liability and workers’ compensation, and forward contracts carried at fair value of $3.9 million and $10.4 million The assets and liabilities related to the Multifamily segment were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 8,711 7,832 Receivables (1) 76,906 73,829 Land under development 315,107 277,894 Investments in unconsolidated entities 561,190 481,129 Assets held-for-sale, net 48,206 — Other assets 58,711 33,535 $ 1,068,831 874,219 Liabilities: Note payable (2) $ 36,125 — Accounts payable and other liabilities 196,030 170,616 $ 232,155 170,616 (1) Receivables primarily related to general contractor services, net of deferrals, and management fee income receivables due from unconsolidated entities as of November 30, 2019 and 2018 . The assets and liabilities related to Lennar Other were as follows: November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 2,340 24,334 Restricted cash 975 7,175 Real estate owned, net 2,033 25,632 Investments in unconsolidated entities 403,688 424,104 Investments held-to-maturity 54,117 59,974 Other assets 32,264 47,740 $ 495,417 588,959 Liabilities: Notes and other debts payable $ 15,178 14,488 Other liabilities 14,860 53,020 $ 30,038 67,508 |
Schedule of Line of Credit Facilities | At November 30, 2019 , the Financial Services segment warehouse facilities used to fund residential mortgages were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 500,000 364-day warehouse repurchase facility that matures March 2020 (2) 300,000 364-day warehouse repurchase facility that matures June 2020 500,000 364-day warehouse repurchase facility that matures October 2020 (3) 500,000 Total $ 1,800,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to March 2020 and the maximum aggregate commitment was decreased to $300 million . As of November 30, 2019 , the maximum aggregate commitment includes an uncommitted amount of $500 million . (2) Maximum aggregate commitment includes an uncommitted amount of $300 million . (3) Maximum aggregate commitment includes an uncommitted amount of $400 million . At November 30, 2019 , RMF warehouse facilities were as follows: (In thousands) Maximum Aggregate Commitment 364-day warehouse repurchase facility that matures December 2019 (1) $ 250,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures December 2019 (1) 200,000 364-day warehouse repurchase facility that matures November 2020 200,000 Total - Loans origination and securitization business 850,000 Warehouse repurchase facility that matures December 2019 (two - one year extensions) (2) 50,000 Total $ 900,000 (1) Subsequent to November 30, 2019 , the maturity date was extended to December 2020. (2) RMF uses this warehouse repurchase facility to finance the origination of floating rate accrual loans, which are reported as accrual loans within loans receivable, net. There were borrowings under this facility of $11.4 million as of November 30, 2019 . There were no borrowings under this facility as of November 30, 2018 . |
Schedule of Unconsolidated Entities | The total debt of the Homebuilding unconsolidated entities in which the Company has investments was as follows: November 30, (Dollars in thousands) 2019 2018 Non-recourse bank debt and other debt (partner’s share of several recourse) $ 52,007 48,313 Non-recourse debt with completion guarantees 219,558 239,568 Non-recourse debt without completion guarantees 825,192 861,371 Non-recourse debt to the Company 1,096,757 1,149,252 The Company’s maximum recourse exposure (1) 10,787 65,707 Debt issuance costs (12,956 ) (12,403 ) Total debt (1) $ 1,094,588 1,202,556 The Company’s maximum recourse exposure as a % of total JV debt 1 % 5 % (1) As of November 30, 2019 and 2018 , the Company's maximum recourse exposure was primarily related to the Company providing repayment guarantee on two and four unconsolidated entities' debt, respectively. The decrease in maximum recourse exposure and total debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 602,480 781,833 Inventories 4,514,885 4,291,470 Other assets 1,007,698 1,045,274 $ 6,125,063 6,118,577 Liabilities and equity: Accounts payable and other liabilities $ 816,719 874,355 Debt (1) 1,094,588 1,202,556 Equity 4,213,756 4,041,666 $ 6,125,063 6,118,577 Homebuilding investments in unconsolidated entities (2) $ 1,009,035 870,201 (1) Debt presented above is net of debt issuance costs of $13.0 million and $12.4 million , as of November 30, 2019 and 2018 , respectively. The decrease in debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . (2) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include $62.0 million of the negative investment balance for one unconsolidated entity as it was reclassed to other liabilities. Summarized condensed financial information on a combined 100% basis related to Homebuilding’s unconsolidated entities that are accounted for by the equity method was as follows: Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 303,963 522,811 465,182 Costs and expenses 401,396 720,849 603,079 Other income (1) 78,406 120,620 16,440 Net loss of unconsolidated entities (1) $ (19,027 ) (77,418 ) (121,457 ) Homebuilding equity in loss from unconsolidated entities (1) $ (13,273 ) (90,209 ) (63,637 ) (1) During the year ended November 30, 2019 , other income was primarily attributable to a $64.9 million gain on the settlement of contingent consideration recorded by one Homebuilding unconsolidated entity, of which the Company's pro-rata share was $25.9 million . During the year ended November 30, 2018 , other income was primarily due to FivePoint recording income resulting from the Tax Cuts and Jobs Act of 2017’s reduction in its corporate tax rate to reduce its liability pursuant to its tax receivable agreement (“TRA Liability”) with its non-controlling interests. However, the Company has a 70% interest in the FivePoint TRA Liability. Therefore, the Company did not include in Homebuilding’s equity in earnings (loss) from unconsolidated entities its pro-rata share of earnings related to the Company’s portion of the TRA Liability. As a result, the Company’s unconsolidated entities have net earnings, but the Company has an equity in loss from unconsolidated entities. Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Benefit (Provision) for Income Taxes | The provision for income taxes consisted of the following: Years Ended November 30, (In thousands) 2019 2018 2017 Current: Federal $ 298,701 246,604 309,235 State 53,400 30,530 17,572 $ 352,101 277,134 326,807 Deferred: Federal $ 165,080 189,096 40,641 State 74,992 78,941 50,409 240,072 268,037 91,050 $ 592,173 545,171 417,857 |
Reconciliation Of Statutory Rate And Effective Tax Rate | A reconciliation of the statutory rate and the effective tax rate was as follows: Percentage of Pretax Income 2019 2018 2017 Statutory rate 21.00 % 22.22 % 35.00 % State income taxes, net of federal income tax benefit 4.17 3.81 3.29 Tax credits (1.49 ) (1.60 ) (2.03 ) Nondeductible compensation 0.45 — — Domestic production activities deduction — (1.71 ) (2.77 ) Tax reserves and interest expense, net (0.03 ) (0.39 ) 0.27 Deferred tax asset valuation allowance, net (0.02 ) (0.03 ) 0.17 Accounting method changes — (1.47 ) — Changes in tax law (1) — 3.06 — Other 0.18 0.44 0.09 Effective rate 24.26 % 24.33 % 34.02 % |
Schedule of Deferred Income Taxes Assets And Liabilities | The tax effects of significant temporary differences that give rise to the net deferred tax assets were as follows: November 30, (In thousands) 2019 2018 Deferred tax assets: Inventory valuation adjustments $ 201,408 315,006 Reserves and accruals 148,477 175,626 Net operating loss carryforwards 108,250 138,094 Investments in partnerships 2,800 5,938 Capitalized expenses 72,054 51,477 Investments in unconsolidated entities 52,506 63,339 Other assets 84,454 115,266 Total deferred tax assets 669,949 864,746 Valuation allowance (4,341 ) (7,219 ) Total deferred tax assets after valuation allowance 665,608 857,527 Deferred tax liabilities: Capitalized expenses 152,208 153,392 Deferred income 198,503 156,376 Other liabilities 35,432 32,271 Total deferred tax liabilities 386,143 342,039 Net deferred tax assets $ 279,465 515,488 The detail of the Company's net deferred tax assets was as follows: Years Ended November 30, (In thousands) 2019 2018 Net deferred tax assets: (1) Homebuilding $ 224,859 477,676 Financial Services 17,551 5,075 Multifamily 34,291 15,272 Lennar Other 2,764 17,465 Net deferred tax assets $ 279,465 515,488 (1) Net deferred tax assets and net deferred tax liabilities detailed above are included within other assets and other liabilities in the respective segments. |
Summary Of Changes In Gross Unrecognized Tax Benefits | The following summarizes the changes in interest and penalties accrued with respect to gross unrecognized tax benefits: Years Ended November 30, (In thousands) 2019 2018 Accrued interest and penalties, beginning of the year $ 52,942 49,723 Additional interest and penalties (related to the acquisition of CalAtlantic) — 1,515 Accrual of interest and penalties (primarily related to state audits) 3,029 1,894 Reduction of interest and penalties (638 ) (190 ) Accrued interest and penalties, end of the year $ 55,333 52,942 The following table summarizes the changes in gross unrecognized tax benefits: Years Ended November 30, (In thousands) 2019 2018 2017 Gross unrecognized tax benefits, beginning of year $ 14,667 12,285 12,285 Lapse of statute of limitations (1,811 ) (2,052 ) — Decreases due to tax positions taken during prior period — (2,805 ) — Decreases due to settlements with tax authorities — (6,493 ) — Increases due to the CalAtlantic acquisition — 13,510 — Increases due to tax positions taken during prior period — 222 — Gross unrecognized tax benefits, end of year $ 12,856 14,667 12,285 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Earnings Per Share | Basic and diluted earnings per share were calculated as follows: Years Ended November 30, (In thousands, except per share amounts) 2019 2018 2017 Numerator: Net earnings attributable to Lennar $ 1,849,052 1,695,831 810,480 Less: distributed earnings allocated to nonvested shares 420 429 377 Less: undistributed earnings allocated to nonvested shares 15,722 14,438 7,447 Numerator for basic earnings per share 1,832,910 1,680,964 802,656 Less: net amount attributable to noncontrolling interests in Rialto's Carried Interest Incentive Plan (1) 4,204 3,320 1,009 Plus: interest on convertible senior notes — 80 — Plus: undistributed earnings allocated to convertible shares — 2,904 — Less: undistributed earnings reallocated to convertible shares — 2,899 — Numerator for diluted earnings per share $ 1,828,706 1,677,729 801,647 Denominator: Denominator for basic earnings per share - weighted average common shares outstanding 318,419 307,968 237,155 Effect of dilutive securities: Share-based payments 3 48 1 Convertible senior notes — 549 — Denominator for diluted earnings per share - weighted average common shares outstanding 318,422 308,565 237,156 Basic earnings per share $ 5.76 5.46 3.38 Diluted earnings per share $ 5.74 5.44 3.38 (1) The amounts presented above relate to Rialto's Carried Interest Incentive Plan and represent the difference between the advanced tax distributions received by Lennar Other segment and the amount Lennar, as the parent company, is assumed to own. |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Compensation Expense Related to the Company's Share-based Awards | Compensation expense related to the Company’s share-based awards was as follows: Years ended November 30, (In thousands) 2019 2018 2017 Total compensation expense for nonvested share-based awards $ 86,940 72,655 61,356 |
Schedule of Nonvested Shares Activity | A summary of the Company’s nonvested shares activity for the year ended November 30, 2019 was as follows: Shares Weighted Average Grant Date Fair Value Nonvested shares at November 30, 2018 2,737,352 $ 52.37 Grants 2,081,935 $ 48.26 Vested (1,421,613 ) $ 50.43 Forfeited (106,811 ) $ 51.50 Nonvested shares at November 30, 2019 3,290,863 $ 50.64 |
Financial Instruments and Fai_2
Financial Instruments and Fair Value Disclosure (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Carrying Amounts and Estimated Fair Value of Financial Instruments | The following table presents the carrying amounts and estimated fair values of financial instruments held by the Company at November 30, 2019 and 2018 , using available market information and what the Company believes to be appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The table excludes cash and cash equivalents, restricted cash, receivables, net, and accounts payable, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments. November 30, 2019 2018 Fair Value Carrying Fair Carrying Fair (In thousands) Hierarchy Amount Value Amount Value ASSETS Financial Services: Loans held-for-investment, net Level 3 $ 73,867 69,708 70,216 63,794 Investments held-to-maturity Level 3 $ 166,012 195,962 136,982 149,767 Investments held-to-maturity Level 2 $ 24,277 24,257 52,490 52,220 Lennar Other: Investments held-to-maturity Level 3 $ 54,117 56,415 59,974 72,986 LIABILITIES Homebuilding senior notes and other debts payable Level 2 $ 7,776,638 8,144,632 8,543,868 8,336,166 Financial Services notes and other debts payable Level 2 $ 1,745,755 1,745,782 1,558,702 1,559,718 Multifamily note payable Level 2 $ 36,125 36,125 — — Lennar Other notes and other debts payable Level 2 $ 15,178 15,178 14,488 14,488 |
Fair Value Measured on a Recurring Basis | The Company’s financial instruments measured at fair value on a recurring basis are summarized below: (In thousands) Fair Value Hierarchy Fair Value at November 30, 2019 Fair Value at November 30, 2018 Financial Services Assets: Financial Services residential loans held-for-sale (1) Level 2 $ 1,447,715 1,152,198 RMF loans held-for-sale (2) Level 3 $ 197,224 61,691 Investments available-for-sale Level 1 $ 3,732 4,161 Mortgage loan commitments Level 2 $ 16,288 16,373 Forward contracts Level 2 $ (3,856 ) (10,360 ) Mortgage servicing rights Level 3 $ 24,679 37,206 (1) The aggregate fair value of Financial Services residential loans held-for-sale of $1.4 billion at November 30, 2019 exceeded their aggregate principal balance of $1.4 billion by $42.2 million . The aggregate fair value of Financial Services residential loans held-for-sale of $1.2 billion at November 30, 2018 exceeded their aggregate principal balance of $1.1 billion by $37.3 million . (2) The aggregate fair value of RMF 's loans held-for-sale of $197.2 million at November 30, 2019 exceeded their aggregate principal balance of $196.3 million by $0.9 million . The aggregate fair value of RMF 's loans held-for-sale of $61.7 million at November 30, 2018 exceeded their aggregate principal balance of $61.0 million by $0.7 million . |
Schedule of Gains and Losses of Financial Instruments Measured on a Recurring Basis | The changes in fair values for Level 1 and Level 2 financial instruments measured on a recurring basis are shown below by financial instrument and financial statement line item: Years Ended November 30, (In thousands) 2019 2018 2017 Changes in fair value included in Financial Services revenues: Loans held-for-sale $ 4,891 8,621 20,309 Mortgage loan commitments $ (85 ) 6,500 2,436 Forward contracts $ 6,504 (12,041 ) (24,786 ) Investments available-for-sale $ (176 ) (234 ) (12 ) Changes in fair value included in other comprehensive income (loss), net of tax: Financial Services investments available-for-sale $ 1,040 (1,634 ) 1,331 |
Reconciliation of Beginning and Ending Balance for the Company's Level 3 Recurring Fair Value Measurements | The following table represents the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements: Years Ended November 30, 2019 2018 Financial Services (In thousands) Mortgage servicing rights RMF loans held-for-sale Mortgage servicing rights RMF loans held-for-sale Beginning of year $ 37,206 61,691 31,163 234,403 Purchases/loan originations 3,417 1,593,655 7,841 1,350,091 Sales/loan originations sold, including those not settled — (1,447,818 ) — (1,504,554 ) Disposals/settlements (5,326 ) (9,920 ) (6,948 ) (19,600 ) Changes in fair value (1) (10,618 ) 430 5,150 1,481 Interest and principal paydowns — (814 ) — (130 ) End of year $ 24,679 197,224 37,206 61,691 (1) Changes in fair value for RMF loans held-for-sale and Financial Services mortgage servicing rights are included in Financial Services' revenues. |
Schedule of Fair Value Measurements, Nonrecurring | The assets measured at fair value on a nonrecurring basis are summarized below: Years Ended November 30, 2019 2018 2017 (In thousands) Fair Value Hierarchy Carrying Value Fair Value Total (Losses), Net (1) Carrying Value Fair Value Total (Losses), Net (1) Carrying Value Fair Value Total (Losses), Net (1) Financial assets Lennar Other: Impaired loans receivable Level 3 $ — — — — — — 31,561 18,885 (12,676 ) FDIC portfolios loans held-for-sale Level 3 $ — — — — — — 32,018 12,072 (19,946 ) Non-financial assets Homebuilding: Finished homes and construction in progress (2) Level 3 $ 218,942 205,201 (13,741 ) 4,019 3,473 (546 ) 8,601 4,227 (4,374 ) Land and land under development (2) Level 3 $ 121,564 82,816 (38,748 ) 96,093 62,850 (33,243 ) 6,771 3,094 (3,677 ) Other assets (2) Level 3 $ 60,363 56,727 (3,636 ) — — — — — — Lennar Other: REO, net (3) Upon acquisition/transfer Level 3 $ — — — — — — 27,640 26,591 (1,049 ) Upon management periodic valuations Level 3 $ — — — 58,721 25,632 (33,089 ) 145,251 81,677 (63,574 ) (1) Represents losses due to valuation adjustments, write-offs, gains (losses) from transfers or acquisitions of real estate through foreclosure and REO impairments recorded during the year. (2) Valuation adjustments were included in Homebuilding costs and expenses in the Company's consolidated statements of operations for the years ended November 30, 2019 , 2018 and 2017 . (3) REO held-for-sale assets are initially recorded at fair value less estimated costs to sell at the time of the transfer or acquisition through, or in lieu of, loan foreclosure. The fair value of REO held-for-sale is based upon appraised value at the time of foreclosure or management's best estimate. In addition, management periodically performs valuations of its REO held-for-sale. The gains (losses) upon the transfer or acquisition of REO and impairments were included in Lennar Other (formerly Rialto segment) other income (expense), net, in the Company’s consolidated statements of operations for the years ended November 30, 2018 and 2017 . |
Consolidation Of Variable Int_2
Consolidation Of Variable Interest Entities (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Unconsolidated Entities | The total debt of the Homebuilding unconsolidated entities in which the Company has investments was as follows: November 30, (Dollars in thousands) 2019 2018 Non-recourse bank debt and other debt (partner’s share of several recourse) $ 52,007 48,313 Non-recourse debt with completion guarantees 219,558 239,568 Non-recourse debt without completion guarantees 825,192 861,371 Non-recourse debt to the Company 1,096,757 1,149,252 The Company’s maximum recourse exposure (1) 10,787 65,707 Debt issuance costs (12,956 ) (12,403 ) Total debt (1) $ 1,094,588 1,202,556 The Company’s maximum recourse exposure as a % of total JV debt 1 % 5 % (1) As of November 30, 2019 and 2018 , the Company's maximum recourse exposure was primarily related to the Company providing repayment guarantee on two and four unconsolidated entities' debt, respectively. The decrease in maximum recourse exposure and total debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 602,480 781,833 Inventories 4,514,885 4,291,470 Other assets 1,007,698 1,045,274 $ 6,125,063 6,118,577 Liabilities and equity: Accounts payable and other liabilities $ 816,719 874,355 Debt (1) 1,094,588 1,202,556 Equity 4,213,756 4,041,666 $ 6,125,063 6,118,577 Homebuilding investments in unconsolidated entities (2) $ 1,009,035 870,201 (1) Debt presented above is net of debt issuance costs of $13.0 million and $12.4 million , as of November 30, 2019 and 2018 , respectively. The decrease in debt was primarily related to the Company's consolidation of a previously unconsolidated entity during the year ended November 30, 2019 . (2) Homebuilding investments in unconsolidated entities as of November 30, 2018 , does not include $62.0 million of the negative investment balance for one unconsolidated entity as it was reclassed to other liabilities. Summarized condensed financial information on a combined 100% basis related to Homebuilding’s unconsolidated entities that are accounted for by the equity method was as follows: Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 303,963 522,811 465,182 Costs and expenses 401,396 720,849 603,079 Other income (1) 78,406 120,620 16,440 Net loss of unconsolidated entities (1) $ (19,027 ) (77,418 ) (121,457 ) Homebuilding equity in loss from unconsolidated entities (1) $ (13,273 ) (90,209 ) (63,637 ) (1) During the year ended November 30, 2019 , other income was primarily attributable to a $64.9 million gain on the settlement of contingent consideration recorded by one Homebuilding unconsolidated entity, of which the Company's pro-rata share was $25.9 million . During the year ended November 30, 2018 , other income was primarily due to FivePoint recording income resulting from the Tax Cuts and Jobs Act of 2017’s reduction in its corporate tax rate to reduce its liability pursuant to its tax receivable agreement (“TRA Liability”) with its non-controlling interests. However, the Company has a 70% interest in the FivePoint TRA Liability. Therefore, the Company did not include in Homebuilding’s equity in earnings (loss) from unconsolidated entities its pro-rata share of earnings related to the Company’s portion of the TRA Liability. As a result, the Company’s unconsolidated entities have net earnings, but the Company has an equity in loss from unconsolidated entities. Summarized condensed financial information on a combined 100% basis related to Multifamily's investments in unconsolidated entities that are accounted for by the equity method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 74,726 61,571 Operating properties and equipment 4,618,518 3,708,613 Other assets 66,960 40,899 $ 4,760,204 3,811,083 Liabilities and equity: Accounts payable and other liabilities $ 212,706 199,119 Notes payable (1) 2,113,696 1,381,656 Equity 2,433,802 2,230,308 $ 4,760,204 3,811,083 Multifamily investments in unconsolidated entities $ 561,190 481,129 (1) Notes payable are net of debt issuance costs of $26.8 million and $15.7 million , as of November 30, 2019 and 2018 , respectively. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 170,598 117,985 67,578 Costs and expenses 247,207 172,089 108,610 Other income, net 54,578 93,778 207,793 Net earnings (loss) of unconsolidated entities $ (22,031 ) 39,674 166,761 Multifamily equity in earnings from unconsolidated entities and other gain (1) $ 11,294 51,322 85,739 (1) During the year ended November 30, 2019 , the Multifamily segment sold, through its unconsolidated entities, two operating properties and an investment in an unconsolidated entity resulting in the segment's $28.1 million share of gains. The gain of $11.9 million recognized on the sale of the investment in an unconsolidated entity and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings (loss) from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2018 , the Multifamily segment sold, through its unconsolidated entities six operating properties and an investment in an unconsolidated entity resulting in the segment's $61.2 million share of gains. The gain of $15.7 million recognized on the sale of the investment in an operating property and recognition of the Company's share of deferred development fees that were capitalized at the joint venture level are included in Multifamily equity in earnings from unconsolidated entities and other gain, and are not included in net earnings of unconsolidated entities. During the year ended November 30, 2017 , the Multifamily segment sold seven operating properties, through its unconsolidated entities resulting in the segment's $96.7 million share of gains. Summarized condensed financial information on a combined 100% basis related to Lennar Other's investments in unconsolidated entities that are accounted for by the equity method or cost method was as follows: Balance Sheets November 30, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 122,089 50,775 Loans receivable 690,270 705,414 Real estate owned 282,832 298,332 Investment securities 2,404,987 2,296,768 Investments in partnerships 768,219 561,234 Other assets 204,009 39,818 $ 4,472,406 3,952,341 Liabilities and equity: Accounts payable and other liabilities $ 38,770 31,262 Notes payable (1) 775,648 605,208 Equity 3,657,988 3,315,871 $ 4,472,406 3,952,341 Lennar Other investments in unconsolidated entities $ 403,688 424,104 (1) Notes payable are net of debt issuance costs. Statements of Operations Years Ended November 30, (In thousands) 2019 2018 2017 Revenues $ 305,348 376,475 245,698 Costs and expenses 101,369 111,989 117,481 Other income, net (1) 138,443 7,605 116,740 Net earnings of unconsolidated entities $ 342,422 272,091 244,957 Lennar Other equity in earnings from unconsolidated entities $ 15,372 24,110 27,376 (1) Other income, net included realized and unrealized gains (losses) on investments. |
Schedule of Estimated Maximum Exposure To Loss | At November 30, 2019 and 2018 , the Company’s recorded investments in VIEs that are unconsolidated and its estimated maximum exposure to loss were as follows: November 30, 2019 2018 (In thousands) Investments in Unconsolidated VIEs Lennar’s Maximum Exposure to Loss Investments in Unconsolidated VIEs Lennar’s Maximum Exposure to Loss Homebuilding (1) $ 80,939 81,118 123,064 184,945 Multifamily (2) 533,018 768,651 463,534 710,754 Financial Services (3) 166,012 166,012 136,982 136,982 Lennar Other (4) 60,882 60,882 63,919 63,919 $ 840,851 1,076,663 787,499 1,096,600 (1) As of November 30, 2019 , the maximum exposure to loss of Homebuilding’s investments in unconsolidated VIEs was limited primarily to its investments in the unconsolidated VIEs. As of November 30, 2018 , the maximum exposure to loss of Homebuilding’s investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to repayment guarantees of one unconsolidated entity's debt of $54.8 million . (2) As of November 30, 2019 and 2018 , the maximum exposure to loss of Multifamily's investments in unconsolidated VIEs was limited to its investments in the unconsolidated VIEs, except with regard to the remaining equity commitment of $224.2 million and $237.0 million , respectively, to fund LMV I and LMV II for future expenditures related to the construction and development of its projects and $4.2 million and $4.6 million , respectively, of letters of credit outstanding for certain of the unconsolidated VIEs that could be drawn upon in the event of default under their debt agreements. (3) At both November 30, 2019 and 2018 , the maximum recourse exposure to loss of the Financial Services segment was limited to its investments in the unconsolidated entities VIEs. At November 30, 2019 and 2018 , investments in unconsolidated VIEs and Financial Services' maximum exposure to loss included $166.0 million and $137.0 million , respectively, related to the Financial Services' CMBS investments held-to-maturity. (4) At both November 30, 2019 and 2018 , the maximum recourse exposure to loss of Lennar Other’s segment was limited to its investments in the unconsolidated entities VIEs. At November 30, 2019 and 2018 , investments in unconsolidated VIEs and Lennar’s maximum exposure to loss included $54.1 million and $60.0 million , respectively, related to Lennar Other segment's investments held-to-maturity. |
Commitments And Contingent Li_2
Commitments And Contingent Liabilities (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule Of Operating Leases | The Company has entered into agreements to lease certain office facilities and equipment under operating leases. Future minimum payments under the noncancellable leases in effect at November 30, 2019 were as follows: (In thousands) Lease Payments 2020 $ 41,952 2021 41,076 2022 31,140 2023 22,507 2024 16,443 Thereafter 31,909 |
Supplemental Financial Inform_2
Supplemental Financial Information Supplemental Financial Information (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidating Balance Sheet | Supplemental information for the subsidiaries that were guarantor subsidiaries at November 30, 2019 was as follows: Consolidating Balance Sheet November 30, 2019 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total ASSETS Homebuilding: Cash and cash equivalents, restricted cash and receivables, net $ 722,172 794,588 22,894 — 1,539,654 Inventories — 17,396,139 380,368 — 17,776,507 Investments in unconsolidated entities — 1,006,541 2,494 — 1,009,035 Goodwill — 3,442,359 — — 3,442,359 Other assets 344,941 500,356 217,607 (41,220 ) 1,021,684 Investments in subsidiaries 10,453,165 26,773 — (10,479,938 ) — Intercompany 12,027,996 — — (12,027,996 ) — 23,548,274 23,166,756 623,363 (22,549,154 ) 24,789,239 Financial Services — 275,812 2,731,285 (1,073 ) 3,006,024 Multifamily — — 1,068,831 — 1,068,831 Lennar Other — 158,194 339,988 (2,765 ) 495,417 Total assets $ 23,548,274 23,600,762 4,763,467 (22,552,992 ) 29,359,511 LIABILITIES AND EQUITY Homebuilding: Accounts payable and other liabilities $ 760,981 1,935,366 318,845 (45,058 ) 2,970,134 Liabilities related to consolidated inventory not owned — 260,266 — — 260,266 Senior notes and other debts payable 6,837,776 885,783 53,079 — 7,776,638 Intercompany — 10,122,374 1,905,622 (12,027,996 ) — 7,598,757 13,203,789 2,277,546 (12,073,054 ) 11,007,038 Financial Services — 40,235 2,016,215 — 2,056,450 Multifamily — — 232,155 — 232,155 Lennar Other — — 30,038 — 30,038 Total liabilities $ 7,598,757 13,244,024 4,555,954 (12,073,054 ) 13,325,681 Total stockholders’ equity 15,949,517 10,356,738 123,200 (10,479,938 ) 15,949,517 Noncontrolling interests — — 84,313 — 84,313 Total equity 15,949,517 10,356,738 207,513 (10,479,938 ) 16,033,830 Total liabilities and equity $ 23,548,274 23,600,762 4,763,467 (22,552,992 ) 29,359,511 Consolidating Balance Sheet November 30, 2018 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total ASSETS Homebuilding: Cash and cash equivalents, restricted cash and receivables, net $ 637,083 886,059 63,905 — 1,587,047 Inventories — 16,679,245 389,459 — 17,068,704 Investments in unconsolidated entities — 866,395 3,806 — 870,201 Goodwill — 3,442,359 — — 3,442,359 Other assets 339,307 878,582 164,848 (26,955 ) 1,355,782 Investments in subsidiaries 10,562,273 89,044 — (10,651,317 ) — Intercompany 11,815,491 — — (11,815,491 ) — 23,354,154 22,841,684 622,018 (22,493,763 ) 24,324,093 Financial Services — 232,632 2,547,167 (889 ) 2,778,910 Multifamily — — 874,219 — 874,219 Lennar Other — 117,568 471,391 — 588,959 Total assets $ 23,354,154 23,191,884 4,514,795 (22,494,652 ) 28,566,181 LIABILITIES AND EQUITY Homebuilding: Accounts payable and other liabilities $ 804,232 1,977,579 303,473 (27,844 ) 3,057,440 Liabilities related to consolidated inventory not owned — 162,090 13,500 — 175,590 Senior notes and other debts payable 7,968,387 523,589 51,892 — 8,543,868 Intercompany — 10,116,590 1,698,901 (11,815,491 ) — 8,772,619 12,779,848 2,067,766 (11,843,335 ) 11,776,898 Financial Services — 51,535 1,816,667 — 1,868,202 Multifamily — — 170,616 — 170,616 Lennar Other — — 67,508 — 67,508 Total liabilities $ 8,772,619 12,831,383 4,122,557 (11,843,335 ) 13,883,224 Total stockholders’ equity 14,581,535 10,360,501 290,816 (10,651,317 ) 14,581,535 Noncontrolling interests — — 101,422 — 101,422 Total equity 14,581,535 10,360,501 392,238 (10,651,317 ) 14,682,957 Total liabilities and equity $ 23,354,154 23,191,884 4,514,795 (22,494,652 ) 28,566,181 |
Consolidating Statement of Operations and Comprehensive Income (Loss) | Consolidating Statement of Operations and Comprehensive Income (Loss) Year Ended November 30, 2019 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues: Homebuilding $ — 20,707,299 85,917 — 20,793,216 Financial Services — 165,498 679,887 (20,575 ) 824,810 Multifamily — — 604,700 — 604,700 Lennar Other — — 36,835 — 36,835 Total revenues — 20,872,797 1,407,339 (20,575 ) 22,259,561 Cost and expenses: Homebuilding — 18,154,739 89,352 1,609 18,245,700 Financial Services — 97,719 528,678 (26,229 ) 600,168 Multifamily — — 599,604 — 599,604 Lennar Other — — 11,794 — 11,794 Corporate general and administrative 328,014 8,039 — 5,061 341,114 Total costs and expenses 328,014 18,260,497 1,229,428 (19,559 ) 19,798,380 Homebuilding equity in (loss) earnings from unconsolidated entities — (13,716 ) 443 — (13,273 ) Homebuilding other income (expense), net (1,013 ) (41,119 ) 9,778 1,016 (31,338 ) Multifamily equity in earnings from unconsolidated entities and other gain — — 11,294 — 11,294 Lennar Other equity in earnings (loss) from unconsolidated entities — (12,609 ) 27,981 — 15,372 Lennar Other expense, net — — (8,944 ) — (8,944 ) Earnings (loss) before income taxes (329,027 ) 2,544,856 218,463 — 2,434,292 Benefit (provision) for income taxes 79,822 (613,579 ) (58,416 ) — (592,173 ) Equity in earnings from subsidiaries 2,098,257 110,943 — (2,209,200 ) — Net earnings (including net loss attributable to noncontrolling interests) 1,849,052 2,042,220 160,047 (2,209,200 ) 1,842,119 Less: Net loss attributable to noncontrolling interests — — (6,933 ) — (6,933 ) Net earnings attributable to Lennar $ 1,849,052 2,042,220 166,980 (2,209,200 ) 1,849,052 Other comprehensive income, net of tax: Net unrealized gain on securities available-for-sale $ — — 1,040 — 1,040 Reclassification adjustments for gains included in net earnings, net of tax — — (176 ) — (176 ) Total other comprehensive income, net of tax — — 864 — 864 Total comprehensive income attributable to Lennar $ 1,849,052 2,042,220 167,844 (2,209,200 ) 1,849,916 Total comprehensive loss attributable to noncontrolling interests $ — — (6,933 ) — (6,933 ) Consolidating Statement of Operations and Comprehensive Income (Loss) Year Ended November 30, 2018 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues: Homebuilding $ — 18,972,723 104,874 — 19,077,597 Financial Services — 371,063 603,491 (19,923 ) 954,631 Multifamily — — 421,132 — 421,132 Lennar Other — — 118,271 — 118,271 Total revenues — 19,343,786 1,247,768 (19,923 ) 20,571,631 Cost and expenses: Homebuilding — 16,831,780 104,880 143 16,936,803 Financial Services — 339,211 447,186 (31,482 ) 754,915 Multifamily — — 429,759 — 429,759 Lennar Other — — 124,417 (8,448 ) 115,969 Acquisition and integration costs related to CalAtlantic — 152,980 — — 152,980 Corporate general and administrative 336,355 2,417 — 5,162 343,934 Total costs and expenses 336,355 17,326,388 1,106,242 (34,625 ) 18,734,360 Homebuilding equity in earnings (loss) from unconsolidated entities — (91,013 ) 804 — (90,209 ) Homebuilding other income, net 14,740 192,951 10,913 (14,702 ) 203,902 Multifamily equity in earnings from unconsolidated entities and other gain — — 51,322 — 51,322 Lennar Other equity in earnings (loss) from unconsolidated entities — (1,304 ) 25,414 — 24,110 Lennar Other expense, net — — (60,119 ) — (60,119 ) Gain on sale of Rialto investment and asset management platform — — 296,407 — 296,407 Earnings (loss) before income taxes (321,615 ) 2,118,032 466,267 — 2,262,684 Benefit (provision) for income taxes 78,249 (498,424 ) (124,996 ) — (545,171 ) Equity in earnings from subsidiaries 1,939,197 93,612 — (2,032,809 ) — Net earnings (including net earnings attributable to noncontrolling interests) 1,695,831 1,713,220 341,271 (2,032,809 ) 1,717,513 Less: Net earnings attributable to noncontrolling interests — — 21,682 — 21,682 Net earnings attributable to Lennar $ 1,695,831 1,713,220 319,589 (2,032,809 ) 1,695,831 Other comprehensive loss, net of tax: Net unrealized loss on securities available-for-sale $ — — (1,634 ) — (1,634 ) Reclassification adjustments for losses included in net earnings, net of tax $ — — 234 — 234 Total other comprehensive loss, net of tax — — (1,400 ) — (1,400 ) Total comprehensive income attributable to Lennar $ 1,695,831 1,713,220 318,189 (2,032,809 ) 1,694,431 Total comprehensive income attributable to noncontrolling interests $ — — 21,682 — 21,682 Consolidating Statement of Operations and Comprehensive Income (Loss) Year Ended November 30, 2017 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues: Homebuilding $ — 11,118,553 70,323 — 11,188,876 Financial Services — 307,892 604,075 (20,010 ) 891,957 Multifamily — — 394,906 (135 ) 394,771 Lennar Other — — 170,761 — 170,761 Total revenues — 11,426,445 1,240,065 (20,145 ) 12,646,365 Cost and expenses: Homebuilding — 9,676,548 70,217 (3,617 ) 9,743,148 Financial Services — 280,349 437,212 (20,911 ) 696,650 Multifamily — — 407,078 — 407,078 Lennar Other — — 174,818 (213 ) 174,605 Corporate general and administrative 279,490 1,338 — 5,061 285,889 Total costs and expenses 279,490 9,958,235 1,089,325 (19,680 ) 11,307,370 Homebuilding equity in loss from unconsolidated entities — (63,567 ) (70 ) — (63,637 ) Homebuilding other income (expense), net (427 ) 17,488 5,719 465 23,245 Homebuilding loss due to litigation — (140,000 ) — — (140,000 ) Multifamily equity in earnings from unconsolidated entities — — 85,739 — 85,739 Lennar Other equity in earnings from unconsolidated entities — 2,167 25,209 — 27,376 Lennar Other expense, net — — (82,107 ) — (82,107 ) Earnings (loss) before income taxes (279,917 ) 1,284,298 185,230 — 1,189,611 Benefit (provision) for income taxes 95,228 (427,961 ) (85,124 ) — (417,857 ) Equity in earnings from subsidiaries 995,169 72,104 — (1,067,273 ) — Net earnings (including loss attributable to noncontrolling interests) 810,480 928,441 100,106 (1,067,273 ) 771,754 Less: Net loss attributable to noncontrolling interests — — (38,726 ) — (38,726 ) Net earnings attributable to Lennar $ 810,480 928,441 138,832 (1,067,273 ) 810,480 Other comprehensive income, net of tax: Net unrealized gain on securities available-for-sale $ — — 1,331 — 1,331 Reclassification adjustments for losses included in net earnings, net of tax $ — — 12 — 12 Total other comprehensive income, net of tax — — 1,343 — 1,343 Total comprehensive income attributable to Lennar $ 810,480 928,441 140,175 (1,067,273 ) 811,823 Total comprehensive loss attributable to noncontrolling interests $ — — (38,726 ) — (38,726 ) |
Consolidating Statement of Cash Flows | Consolidating Statement of Cash Flows Year Ended November 30, 2019 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Cash flows from operating activities: Net earnings (including net loss attributable to noncontrolling interests) $ 1,849,052 2,042,220 160,047 (2,209,200 ) 1,842,119 Distributions of earnings from guarantor and non-guarantor subsidiaries 2,098,257 110,943 — (2,209,200 ) — Other adjustments to reconcile net earnings (including net loss attributable to noncontrolling interests) to net cash provided by operating activities (2,061,774 ) (53,114 ) (454,088 ) 2,209,200 (359,776 ) Net cash provided by (used in) operating activities 1,885,535 2,100,049 (294,041 ) (2,209,200 ) 1,482,343 Cash flows from investing activities: (Investments in and contributions to) and distributions of capital from unconsolidated entities, net — (174,481 ) 143,833 — (30,648 ) Proceeds from sales of real estate owned — — 8,866 — 8,866 Proceeds from sale of investment in unconsolidated entity — — 17,790 — 17,790 Other (10,557 ) 81,993 (55,227 ) 7,379 23,588 Intercompany (111,809 ) — — 111,809 — Net cash (used in) provided by investing activities (122,366 ) (92,488 ) 115,262 119,188 19,596 Cash flows from financing activities: Net borrowings (repayments) under warehouse facilities — (20,472 ) 187,024 — 166,552 Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable (1,100,000 ) (131,737 ) 25,871 — (1,205,866 ) Net payments related to noncontrolling interests — — (15,875 ) — (15,875 ) Common stock: Issuances 493 — — — 493 Repurchases (523,074 ) — — — (523,074 ) Dividends (51,454 ) (2,042,220 ) (159,601 ) 2,201,821 (51,454 ) Intercompany — (2,431 ) 114,240 (111,809 ) — Net cash (used in) provided by financing activities (1,674,035 ) (2,196,860 ) 151,659 2,090,012 (1,629,224 ) Net increase (decrease) in cash and cash equivalents and restricted cash 89,134 (189,299 ) (27,120 ) — (127,285 ) Cash and cash equivalents and restricted cash at beginning of period 624,694 721,603 249,679 — 1,595,976 Cash and cash equivalents and restricted cash at end of period $ 713,828 532,304 222,559 — 1,468,691 Consolidating Statement of Cash Flows Year Ended November 30, 2018 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Cash flows from operating activities: Net earnings (including net earnings attributable to noncontrolling interests) $ 1,695,831 1,713,220 341,271 (2,032,809 ) 1,717,513 Distributions of earnings from guarantor and non-guarantor subsidiaries 1,939,197 93,612 — (2,032,809 ) — Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities (1,731,192 ) 579,779 (907,162 ) 2,032,809 (25,766 ) Net cash provided by (used in) operating activities 1,903,836 2,386,611 (565,891 ) (2,032,809 ) 1,691,747 Cash flows from investing activities: Proceeds from sale of operating properties — 38,633 — — 38,633 (Investments in and contributions to) and distributions of capital from unconsolidated entities, net — (94,937 ) 51,906 — (43,031 ) Proceeds from sales of real estate owned — — 32,221 — 32,221 Proceeds from sale of investment in unconsolidated entity — 199,654 25,613 — 225,267 Proceeds from sale of commercial mortgage-backed securities bonds — — 14,222 — 14,222 Proceeds from sale of Rialto investment and asset management platform — — 340,000 — 340,000 Purchases of commercial mortgage-backed securities bonds — — (31,068 ) — (31,068 ) Acquisitions, net of cash and restricted cash acquired (1,162,342 ) 44,711 39,349 — (1,078,282 ) Other (56,050 ) (35,982 ) 116 — (91,916 ) Distributions of capital from guarantor and non-guarantor subsidiaries 94,987 40,987 — (135,974 ) — Intercompany (728,546 ) — — 728,546 — Net cash (used in) provided by investing activities (1,851,951 ) 193,066 472,359 592,572 (593,954 ) Cash flows from financing activities: Net repayments under unsecured revolving credit facility — (454,700 ) — — (454,700 ) Net (repayments) borrowings under warehouse facilities — (108 ) 273,028 — 272,920 Debt issuance costs (9,189 ) — (5,472 ) — (14,661 ) Redemption of senior notes (1,010,626 ) (89,374 ) — — (1,100,000 ) Conversions and exchanges of convertible senior notes — (59,145 ) — — (59,145 ) Net payments on other borrowings, other liabilities, Rialto Senior Notes and other notes payable — (128,685 ) (294,250 ) — (422,935 ) Net payments related to noncontrolling interests — — (71,449 ) — (71,449 ) Common stock: Issuances 3,061 — — — 3,061 Repurchases (299,833 ) — — — (299,833 ) Dividends (49,159 ) (1,799,207 ) (369,576 ) 2,168,783 (49,159 ) Intercompany — 306,199 422,347 (728,546 ) — Net cash used in financing activities (1,365,746 ) (2,225,020 ) (45,372 ) 1,440,237 (2,195,901 ) Net increase (decrease) in cash and cash equivalents and restricted cash (1,313,861 ) 354,657 (138,904 ) — (1,098,108 ) Cash and cash equivalents and restricted cash at beginning of period 1,938,555 366,946 388,583 — 2,694,084 Cash and cash equivalents and restricted cash at end of period $ 624,694 721,603 249,679 — 1,595,976 Consolidating Statement of Cash Flows Year Ended November 30, 2017 (In thousands) Lennar Corporation Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Total Cash flows from operating activities: Net earnings (including net loss attributable to noncontrolling interests) $ 810,480 928,441 100,106 (1,067,273 ) 771,754 Distributions of earnings from guarantor and non-guarantor subsidiaries 995,169 72,104 — (1,067,273 ) — Other adjustments to reconcile net earnings (including net loss attributable to noncontrolling interests) to net cash provided by (used in) operating activities (740,008 ) (251,428 ) 134,783 1,067,273 210,620 Net cash provided by operating activities 1,065,641 749,117 234,889 (1,067,273 ) 982,374 Cash flows from investing activities: Proceeds from sale of operating properties — 60,326 — — 60,326 Investments in and contributions to unconsolidated entities, net of distributions of capital — (181,101 ) (41,876 ) — (222,977 ) Proceeds from sales of real estate owned — — 86,565 — 86,565 Receipts of principal payments on loans held-for-sale — — 11,251 — 11,251 Originations of loans receivable — — (98,375 ) — (98,375 ) Purchases of commercial mortgage-backed securities bonds — — (107,262 ) — (107,262 ) Acquisition, net of cash acquired (604,366 ) — — — (604,366 ) Other (35,251 ) (49,356 ) 114,365 — 29,758 Distributions of capital from guarantor and non-guarantor subsidiaries 115,000 80,000 — (195,000 ) — Intercompany (865,364 ) — — 865,364 — Net cash provided by (used in) investing activities (1,389,981 ) (90,131 ) (35,332 ) 670,364 (845,080 ) Cash flows from financing activities: Net repayments under warehouse facilities — (104 ) (199,580 ) — (199,684 ) Proceeds from senior notes, net of debt issuance costs 2,433,539 — (12,129 ) — 2,421,410 Redemption of senior notes (800,000 ) (258,595 ) — — (1,058,595 ) Net proceeds from Rialto notes payable — — 74,666 — 74,666 Net payments on other borrowings — (104,471 ) (4,024 ) — (108,495 ) Proceeds on other liabilities — — 195,541 — 195,541 Net payments related to noncontrolling interests — — (68,586 ) — (68,586 ) Excess tax benefits from share-based awards 1,981 — — — 1,981 Common stock: Issuances 720 — — — 720 Repurchases (27,054 ) — — — (27,054 ) Dividends (37,608 ) (1,018,441 ) (243,832 ) 1,262,273 (37,608 ) Intercompany — 700,197 165,167 (865,364 ) — Net cash provided by (used in) financing activities 1,571,578 (681,414 ) (92,777 ) 396,909 1,194,296 Net increase (decrease) in cash and cash equivalents and restricted cash 1,247,238 (22,428 ) 106,780 — 1,331,590 Cash and cash equivalents and restricted cash at beginning of period 691,317 389,374 281,803 — 1,362,494 Cash and cash equivalents and restricted cash at end of period $ 1,938,555 366,946 388,583 — 2,694,084 |
Quarterly Data (unaudited) (Tab
Quarterly Data (unaudited) (Tables) | 12 Months Ended |
Nov. 30, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule Of Quarterly Financial Information | First Second Third Fourth (In thousands, except per share amounts) 2019 Revenues $ 3,868,082 5,562,890 5,857,058 6,971,531 Gross profit from sales of homes $ 726,079 1,038,587 1,085,633 1,385,859 Earnings before income taxes $ 319,124 559,399 667,083 888,686 Net earnings attributable to Lennar $ 239,910 421,472 513,366 674,304 Earnings per share: Basic $ 0.74 1.31 1.60 2.13 Diluted $ 0.74 1.30 1.59 2.13 2018 Revenues $ 2,980,791 5,459,061 5,672,569 6,459,210 Gross profit from sales of homes $ 516,628 840,042 1,057,903 1,274,241 Earnings before income taxes $ 269,428 390,810 565,918 1,036,528 Net earnings attributable to Lennar $ 136,215 310,257 453,211 796,148 Earnings per share: Basic $ 0.53 0.95 1.37 2.42 Diluted $ 0.53 0.94 1.37 2.42 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) | 12 Months Ended | |||
Nov. 30, 2019USD ($)communitiescommunityhomes | Nov. 30, 2018USD ($)communitiescommunityhomes | Nov. 30, 2017USD ($) | Dec. 01, 2019USD ($) | |
Segment Reporting Information [Line Items] | ||||
Advertising costs | $ 84,300,000 | $ 72,100,000 | $ 47,000,000 | |
Cash held in escrow | $ 565,800,000 | $ 926,100,000 | ||
Escrow deposit period | 3 days | |||
Number of active communities | communities | 1,278 | 1,324 | ||
Number of communities with potential indicators of impairment | communities | 40 | 25 | ||
Number of homesites with potential indicators of impairment | homes | 1,720 | 1,121 | ||
Carrying value of homesites with potential indicators of impairment | $ 212,700,000 | $ 211,300,000 | ||
Valuation adjustments for homesites | $ 2,600,000 | $ 31,300,000 | ||
Number of homesites impaired | homes | 149 | 733 | ||
Number of communities impaired | community | 3 | 6 | ||
Trading securities | $ 0 | $ 0 | ||
Deferred tax assets, valuation allowance | 4,341,000 | 7,219,000 | ||
Self-insurance reserve | 109,600,000 | 101,400,000 | ||
Financial Services | ||||
Segment Reporting Information [Line Items] | ||||
Held-to-maturity securities | $ 190,289,000 | 189,472,000 | ||
Held-to-maturity securities, term | 3 years | |||
Available-for-sale securities | $ 3,732,000 | 4,200,000 | ||
Self-insurance reserve | 60,700,000 | 60,300,000 | ||
Lennar Other | ||||
Segment Reporting Information [Line Items] | ||||
Held-to-maturity securities | 54,117,000 | 59,974,000 | ||
Homebuilding | ||||
Segment Reporting Information [Line Items] | ||||
Interest incurred | 422,700,000 | 423,700,000 | 290,300,000 | |
Interest capitalized | 405,100,000 | 412,500,000 | $ 283,200,000 | |
Level 3 | ||||
Segment Reporting Information [Line Items] | ||||
Carrying value of homesites impaired | $ 10,500,000 | $ 64,600,000 | ||
Stock Option Awards | ||||
Segment Reporting Information [Line Items] | ||||
Expiration period | 10 years | |||
Discount rate | Minimum | ||||
Segment Reporting Information [Line Items] | ||||
Communities, unobservable inputs | 0.10 | |||
Discount rate | Maximum | ||||
Segment Reporting Information [Line Items] | ||||
Communities, unobservable inputs | 0.20 | |||
Operating properties | ||||
Segment Reporting Information [Line Items] | ||||
Estimated useful life | 30 years | |||
Furniture, fixtures and equipment | Minimum | ||||
Segment Reporting Information [Line Items] | ||||
Estimated useful life | 2 years | |||
Furniture, fixtures and equipment | Maximum | ||||
Segment Reporting Information [Line Items] | ||||
Estimated useful life | 10 years | |||
Leasehold improvements | ||||
Segment Reporting Information [Line Items] | ||||
Estimated useful life | 5 years | |||
Scenario, Forecast | Accounting Standards Update 2016-02 | ||||
Segment Reporting Information [Line Items] | ||||
Operating lease liability | $ 150,000,000 | |||
ROU assets | $ 150,000,000 |
Summary Of Significant Accoun_5
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies (Cash and Cash Equivalents) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2016 | |
Segment Reporting Information [Line Items] | |||||
Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows | $ 1,468,691 | $ 1,595,976 | $ 2,694,084 | $ 1,362,494 | |
Homebuilding | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | [1] | 1,200,832 | 1,337,807 | ||
Restricted cash | [1] | 9,698 | 12,399 | ||
Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows | 1,210,530 | 1,350,206 | 2,291,665 | ||
Financial Services | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 234,113 | 188,485 | |||
Restricted cash | 12,022 | 17,944 | |||
Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows | 246,135 | 206,429 | 129,416 | ||
Multifamily | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 8,711 | 7,832 | |||
Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows | 8,711 | 7,832 | 8,676 | ||
Lennar Other | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 2,340 | 24,334 | |||
Restricted cash | 975 | 7,175 | |||
Total cash and cash equivalents and restricted cash shown in the Consolidated Statements of Cash Flows | $ 3,315 | $ 31,509 | $ 264,327 | ||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. |
Summary Of Significant Accoun_6
Summary Of Significant Accounting Policies (Unobservable inputs) (Details) | Nov. 30, 2019USD ($)homes | Nov. 30, 2018USD ($)homes |
Average selling price | Level 3 | Discounted Cash Flow Model | Fair Value, Measurements, Nonrecurring | Minimum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | $ | 167,000 | 233,000 |
Average selling price | Level 3 | Discounted Cash Flow Model | Fair Value, Measurements, Nonrecurring | Maximum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | $ | 222,000 | 843,000 |
Absorption rate per quarter (homes) | Level 3 | Discounted Cash Flow Model | Fair Value, Measurements, Nonrecurring | Minimum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | homes | 4 | 4 |
Absorption rate per quarter (homes) | Level 3 | Discounted Cash Flow Model | Fair Value, Measurements, Nonrecurring | Maximum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | homes | 12 | 16 |
Discount rate | Minimum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | 0.10 | |
Discount rate | Maximum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | 0.20 | |
Discount rate | Level 3 | Discounted Cash Flow Model | Fair Value, Measurements, Nonrecurring | Minimum | ||
Segment Reporting Information [Line Items] | ||
Communities, unobservable inputs | 0.20 | 0.20 |
Summary Of Significant Accoun_7
Summary Of Significant Accounting Policies (Schedule Of Interest Expense) (Details) - Homebuilding - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Segment Reporting Information [Line Items] | |||
Other interest expense | $ 17,620 | $ 11,258 | $ 7,164 |
Total interest expense | 394,995 | 316,164 | 277,809 |
Inventory, Homes | |||
Segment Reporting Information [Line Items] | |||
Interest expense | 371,821 | 301,339 | 260,650 |
Inventory, Land | |||
Segment Reporting Information [Line Items] | |||
Interest expense | $ 5,554 | $ 3,567 | $ 9,995 |
Summary Of Significant Accoun_8
Summary Of Significant Accounting Policies (Schedule Of Warranty Reserve) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Nov. 30, 2019 | Nov. 30, 2018 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | ||
Warranty reserve, beginning of year | $ 319,109 | $ 164,619 |
Warranties issued | 189,105 | 175,410 |
Adjustments to pre-existing warranties from changes in estimates | (8,156) | 3,116 |
Standard Product Warranty Accrual, Additions from Business Acquisition | 0 | 140,959 |
Payments | (205,920) | (164,995) |
Warranty reserve, end of year | $ 294,138 | $ 319,109 |
Summary Of Significant Accoun_9
Summary Of Significant Accounting Policies (Loan Origination Liabilities) (Details) - Financial Services - Loan Origination Liabilities - USD ($) $ in Thousands | 12 Months Ended | |
Nov. 30, 2019 | Nov. 30, 2018 | |
Loan Origination Liabilities [Roll Forward] | ||
Loan origination liabilities, beginning of year | $ 48,584 | $ 22,543 |
Provision for losses | 3,813 | 5,787 |
Adjustments to pre-existing provisions for losses from changes in estimates | 0 | 4,625 |
Origination liabilities assumed related to CalAtlantic acquisition | 0 | 29,959 |
Payments/settlements | (43,033) | (14,330) |
Loan origination liabilities, end of year | 9,364 | 48,584 |
Litigation with Creditors of Former Investor | ||
Loan Origination Liabilities [Roll Forward] | ||
Loan origination liabilities, beginning of year | $ 42,000 | |
Loan origination liabilities, end of year | $ 42,000 |
Business Acquisition (Narrative
Business Acquisition (Narrative) (Details) $ in Thousands | Feb. 12, 2018USD ($)statemetropolitan_area | Nov. 30, 2019USD ($) | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | |
Business Acquisition [Line Items] | |||||
Transaction costs | $ 0 | $ 152,980 | $ 0 | ||
Financial Services | |||||
Business Acquisition [Line Items] | |||||
Goodwill | 215,516 | 237,688 | 59,838 | ||
Homebuilding | |||||
Business Acquisition [Line Items] | |||||
Goodwill | $ 3,442,359 | [1] | 3,442,359 | 136,566 | |
Interest rate | 7.50% | ||||
Homebuilding | 4.125% senior notes due 2022 | |||||
Business Acquisition [Line Items] | |||||
Interest rate | 4.125% | ||||
Senior Notes | Homebuilding | 4.125% senior notes due 2022 | |||||
Business Acquisition [Line Items] | |||||
Interest rate | 4.125% | ||||
CalAtlantic Group, Inc. | |||||
Business Acquisition [Line Items] | |||||
Number of metropolitan areas | metropolitan_area | 43 | ||||
Number of states | state | 19 | ||||
Goodwill | $ 3,300,000 | ||||
Revenue since acquisition | 7,000,000 | ||||
Pre-tax earnings since acquisition | 491,300 | ||||
Transaction costs | 153,000 | ||||
Consideration attributable to cash including fractional shares | 1,162,341 | ||||
CalAtlantic Group, Inc. | Financial Services | |||||
Business Acquisition [Line Items] | |||||
Goodwill | 175,000 | $ 175,400 | $ 175,400 | ||
CalAtlantic Group, Inc. | Homebuilding | |||||
Business Acquisition [Line Items] | |||||
Goodwill | $ 3,305,792 | ||||
WCI Communities, Inc. | Financial Services | |||||
Business Acquisition [Line Items] | |||||
Goodwill | $ 20,000 | ||||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. |
Business Acquisition (Purchase
Business Acquisition (Purchase Price) (Details) $ in Thousands | Feb. 12, 2018USD ($)shares |
CalAtlantic Group, Inc. | |
Business Acquisition [Line Items] | |
CalAtlantic shares assumed to elect cash conversion (in shares) | shares | 24,083,091 |
CalAtlantic shares assumed to exchange (in shares) | shares | 93,942,788 |
Consideration attributable to cash including fractional shares | $ | $ 1,162,341 |
Total purchase price | $ | $ 6,232,347 |
CalAtlantic Group, Inc. | Class A Common Stock | |
Business Acquisition [Line Items] | |
Exchange ratio for Class A common stock | 0.885 |
Number of shares of common stock to be issued in exchange (in shares) | shares | 83,138,277 |
Consideration attributable to common stock and equity awards (in shares) | $ | $ 4,933,425 |
CalAtlantic Group, Inc. | Class B Common Stock | |
Business Acquisition [Line Items] | |
Exchange ratio for Class A common stock | 0.0177 |
Number of shares of common stock to be issued in exchange (in shares) | shares | 1,662,172 |
Consideration attributable to common stock and equity awards (in shares) | $ | $ 77,823 |
CalAtlantic Group, Inc. | |
Business Acquisition [Line Items] | |
Common stock outstanding (in shares) | shares | 118,025,879 |
Equity Awards Convertible Upon Change in Control | CalAtlantic Group, Inc. | |
Business Acquisition [Line Items] | |
Consideration attributable to common stock and equity awards (in shares) | $ | $ 58,758 |
Business Acquisition (Schedule
Business Acquisition (Schedule of Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands | Feb. 12, 2018 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 10, 2017 | |
Homebuilding | ||||||
ASSETS | ||||||
Goodwill | $ 3,442,359 | [1] | $ 3,442,359 | $ 136,566 | ||
Financial Services | ||||||
ASSETS | ||||||
Goodwill | 215,516 | 237,688 | 59,838 | |||
CalAtlantic Group, Inc. | ||||||
ASSETS | ||||||
Goodwill | $ 3,300,000 | |||||
Total assets | 10,676,309 | |||||
LIABILITIES | ||||||
Total liabilities | 4,425,532 | |||||
Noncontrolling interests | 18,430 | |||||
Total purchase price | 6,232,347 | |||||
CalAtlantic Group, Inc. | Homebuilding | ||||||
ASSETS | ||||||
Cash and cash equivalents, restricted cash and receivables, net | 55,191 | |||||
Inventories | 6,239,147 | |||||
Intangible assets | 8,000 | |||||
Investments in unconsolidated entities | 151,900 | |||||
Goodwill | 3,305,792 | |||||
Other assets | 561,151 | |||||
Total assets | 10,321,181 | |||||
LIABILITIES | ||||||
Accounts payable | 306 | |||||
Senior notes payable and other debts | 3,926,152 | |||||
Other liabilities | 374,656 | |||||
Total liabilities | 4,301,114 | |||||
CalAtlantic Group, Inc. | Financial Services | ||||||
ASSETS | ||||||
Goodwill | 175,000 | $ 175,400 | $ 175,400 | |||
Total assets | 355,128 | |||||
LIABILITIES | ||||||
Total liabilities | 124,418 | |||||
CalAtlantic Group, Inc. | Homebuilding East | ||||||
ASSETS | ||||||
Goodwill | 1,100,000 | |||||
CalAtlantic Group, Inc. | Homebuilding Central | ||||||
ASSETS | ||||||
Goodwill | 495,000 | |||||
CalAtlantic Group, Inc. | Homebuilding Texas | ||||||
ASSETS | ||||||
Goodwill | 342,200 | |||||
CalAtlantic Group, Inc. | Homebuilding West | ||||||
ASSETS | ||||||
Goodwill | $ 1,400,000 | |||||
CalAtlantic Group, Inc. | Trade Name | Homebuilding | ||||||
LIABILITIES | ||||||
Amortization period | 6 months | |||||
WCI Communities, Inc. | Financial Services | ||||||
ASSETS | ||||||
Goodwill | $ 20,000 | |||||
WCI Communities, Inc. | Homebuilding East | ||||||
ASSETS | ||||||
Goodwill | $ 136,600 | |||||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. |
Operating And Reporting Segme_3
Operating And Reporting Segments (Schedule of Segment Assets, Investments in Unconsolidated Entities, and Goodwill) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Feb. 12, 2018 | Nov. 30, 2017 | Feb. 10, 2017 | |||
Segment Reporting Information [Line Items] | ||||||||
Assets | $ 29,359,511 | [1] | $ 28,566,181 | [1] | $ 18,745,034 | |||
Homebuilding | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | [1] | 24,789,239 | 24,324,093 | |||||
Investments in unconsolidated entities | 1,009,035 | [1] | 870,201 | [1] | 862,349 | |||
Goodwill | 3,442,359 | [1] | 3,442,359 | 136,566 | ||||
Investments in unconsolidated entities | (62,000) | 62,000 | ||||||
Lennar Other | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 495,417 | 588,959 | ||||||
Investments in unconsolidated entities | 403,688 | 424,104 | ||||||
Goodwill | 0 | 0 | 5,396 | |||||
Financial Services | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | [1] | 3,006,024 | 2,778,910 | |||||
Goodwill | 215,516 | 237,688 | 59,838 | |||||
Multifamily | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | [1] | 1,068,831 | 874,219 | |||||
Investments in unconsolidated entities | 561,190 | 481,129 | ||||||
Operating Segments | Homebuilding East | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 6,708,586 | 7,183,758 | 3,817,454 | |||||
Investments in unconsolidated entities | 162,108 | 76,627 | 68,670 | |||||
Operating Segments | Homebuilding Central | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 2,732,872 | 2,522,799 | 1,275,623 | |||||
Investments in unconsolidated entities | 6,520 | 6,510 | 2,971 | |||||
Operating Segments | Homebuilding Texas | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 2,246,893 | 2,311,760 | 1,199,971 | |||||
Investments in unconsolidated entities | 1,629 | 1,902 | 0 | |||||
Operating Segments | Homebuilding West | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 10,663,666 | 10,291,385 | 5,432,485 | |||||
Investments in unconsolidated entities | 270,931 | 311,200 | 225,803 | |||||
Operating Segments | Lennar Other | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 495,417 | 588,959 | 827,452 | |||||
Investments in unconsolidated entities | 303,839 | |||||||
Operating Segments | Financial Services | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 3,006,024 | 2,778,910 | 2,054,317 | |||||
Operating Segments | Multifamily | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 1,068,831 | 874,219 | 710,725 | |||||
Investments in unconsolidated entities | 561,190 | 481,129 | 407,544 | |||||
Homebuilding Other | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 1,173,163 | 1,013,367 | 1,086,739 | |||||
Investments in unconsolidated entities | 567,847 | 473,962 | 564,905 | |||||
Corporate and unallocated | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Assets | 1,264,059 | 1,001,024 | 2,340,268 | |||||
CalAtlantic Group, Inc. | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | $ 3,300,000 | |||||||
CalAtlantic Group, Inc. | Homebuilding East | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | 1,100,000 | |||||||
CalAtlantic Group, Inc. | Homebuilding Central | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | 495,000 | |||||||
CalAtlantic Group, Inc. | Homebuilding Texas | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | 342,200 | |||||||
CalAtlantic Group, Inc. | Homebuilding West | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | 1,400,000 | |||||||
CalAtlantic Group, Inc. | Homebuilding | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | 3,305,792 | |||||||
CalAtlantic Group, Inc. | Financial Services | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | $ 175,400 | $ 175,400 | $ 175,000 | |||||
WCI Communities, Inc. | Homebuilding East | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | $ 136,600 | |||||||
WCI Communities, Inc. | Financial Services | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Goodwill | $ 20,000 | |||||||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. |
Operating and Reporting Segme_4
Operating and Reporting Segments (Schedule of Segment Revenues, Operating Earnings (Loss), General and Administrative Expenses, and Earnings Before Income Taxes) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2019USD ($) | Aug. 31, 2019USD ($) | May 31, 2019USD ($) | Feb. 28, 2019USD ($) | Nov. 30, 2018USD ($) | Aug. 31, 2018USD ($) | May 31, 2018USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2019USD ($)property | Nov. 30, 2018USD ($)property | Nov. 30, 2017USD ($)property | |
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | $ 6,971,531 | $ 5,857,058 | $ 5,562,890 | $ 3,868,082 | $ 6,459,210 | $ 5,672,569 | $ 5,459,061 | $ 2,980,791 | $ 22,259,561 | $ 20,571,631 | $ 12,646,365 |
Operating earnings (loss) | 2,775,406 | 2,463,191 | 1,475,500 | ||||||||
Gain on sale of Rialto investment and asset management platform | 296,407 | ||||||||||
Acquisition and integration costs related to CalAtlantic | 0 | 152,980 | 0 | ||||||||
Corporate general and administrative expenses | 341,114 | 343,934 | 285,889 | ||||||||
Earnings (loss) before income taxes | $ 888,686 | $ 667,083 | $ 559,399 | $ 319,124 | $ 1,036,528 | $ 565,918 | $ 390,810 | $ 269,428 | 2,434,292 | 2,262,684 | 1,189,611 |
Loss on consolidation of previously unconsolidated entity | 48,874 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 2,528 | (30,518) | 49,478 | ||||||||
Financial Services | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 824,810 | 954,631 | 891,957 | ||||||||
Lennar Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 36,835 | 118,271 | 170,761 | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | 296,407 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 15,372 | 24,110 | 27,376 | ||||||||
Write-off of uncollectible receivables | 96,200 | ||||||||||
Write-off of uncollectible receivables, net of noncontrolling interest | 44,700 | ||||||||||
Multifamily | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 604,700 | 421,132 | 394,771 | ||||||||
Gain on sale of nonconsolidated entity | 10,865 | 15,741 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 | ||||||||
Gain on disposition of assets | $ 28,100 | $ 61,200 | $ 96,700 | ||||||||
Number of operating properties sold | property | 2 | 6 | 7 | ||||||||
Homebuilding | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | $ 20,793,216 | $ 19,077,597 | $ 11,188,876 | ||||||||
Loss due to litigation | 0 | 0 | 140,000 | ||||||||
Gain on sale of nonconsolidated entity | 0 | (164,880) | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | (13,273) | (90,209) | (63,637) | ||||||||
Operating Segments | Homebuilding East | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 7,098,937 | 6,249,864 | 4,054,849 | ||||||||
Operating earnings (loss) | 977,375 | 759,221 | 575,701 | ||||||||
Loss due to litigation | 140,000 | ||||||||||
Equity in earnings (loss) from unconsolidated entities | (793) | (818) | (754) | ||||||||
Operating Segments | Homebuilding Central | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 2,739,006 | 2,290,887 | 923,518 | ||||||||
Operating earnings (loss) | 284,616 | 182,608 | (52,301) | ||||||||
Equity in earnings (loss) from unconsolidated entities | 178 | 691 | (255) | ||||||||
Operating Segments | Homebuilding Texas | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 2,578,962 | 2,421,399 | 1,697,731 | ||||||||
Operating earnings (loss) | 285,874 | 172,449 | 180,212 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 569 | 469 | 8 | ||||||||
Operating Segments | Homebuilding West | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 8,227,304 | 8,059,850 | 4,447,084 | ||||||||
Operating earnings (loss) | 1,050,850 | 1,082,302 | 615,916 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 1,263 | (212) | (13,095) | ||||||||
Operating Segments | Financial Services | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 824,810 | 954,631 | 891,957 | ||||||||
Operating earnings (loss) | 224,642 | 199,716 | 195,307 | ||||||||
Operating Segments | Lennar Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 36,835 | 118,271 | 170,761 | ||||||||
Operating earnings (loss) | 31,469 | (33,707) | (57,633) | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | 296,407 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 15,372 | 24,110 | 27,376 | ||||||||
Operating Segments | Multifamily | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 604,700 | 421,132 | 394,771 | ||||||||
Operating earnings (loss) | 16,390 | 42,695 | 73,432 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 | ||||||||
Equity in earnings (loss) from disposed unconsolidated entities | 11,300 | 51,300 | 85,700 | ||||||||
Operating Segments | Homebuilding | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Loss on consolidation of previously unconsolidated entity | 48,900 | ||||||||||
Homebuilding Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 149,007 | 55,597 | 65,694 | ||||||||
Operating earnings (loss) | (95,810) | 57,907 | (55,134) | ||||||||
Equity in earnings (loss) from unconsolidated entities | $ (14,490) | (90,339) | $ (49,541) | ||||||||
Treasure Island Holdings | Homebuilding | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gain on sale of nonconsolidated entity | $ 164,900 | ||||||||||
Percentage ownership of nonconsolidated entity sold | 80.00% |
Operating and Reporting Segme_5
Operating and Reporting Segments (Schedule of Other Segment Financial Disclosures) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | $ 178,035 | $ 161,753 | $ 127,680 |
Net additions to (disposals of) operating properties and equipment | 46,910 | 170,394 | 111,773 |
Equity in earnings (loss) from unconsolidated entities | 2,528 | (30,518) | 49,478 |
Homebuilding | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 394,995 | 316,164 | 277,809 |
Equity in earnings (loss) from unconsolidated entities | (13,273) | (90,209) | (63,637) |
Lennar Other | |||
Segment Reporting Information [Line Items] | |||
Equity in earnings (loss) from unconsolidated entities | 15,372 | 24,110 | 27,376 |
Multifamily | |||
Segment Reporting Information [Line Items] | |||
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 |
Operating Segments | Homebuilding East | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 118,270 | 98,478 | 85,761 |
Depreciation and amortization | 23,969 | 20,614 | 17,258 |
Net additions to (disposals of) operating properties and equipment | (31,323) | 26,402 | (27) |
Equity in earnings (loss) from unconsolidated entities | (793) | (818) | (754) |
Operating Segments | Homebuilding Central | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 42,403 | 28,471 | 21,061 |
Depreciation and amortization | 8,010 | 5,285 | 3,879 |
Net additions to (disposals of) operating properties and equipment | 74 | 14,677 | 32 |
Equity in earnings (loss) from unconsolidated entities | 178 | 691 | (255) |
Operating Segments | Homebuilding Texas | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 37,144 | 32,930 | 34,237 |
Depreciation and amortization | 8,395 | 9,041 | 8,228 |
Net additions to (disposals of) operating properties and equipment | 950 | 200 | (40) |
Equity in earnings (loss) from unconsolidated entities | 569 | 469 | 8 |
Operating Segments | Homebuilding West | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 183,906 | 151,823 | 135,574 |
Depreciation and amortization | 45,456 | 36,013 | 27,403 |
Net additions to (disposals of) operating properties and equipment | 63,803 | 42,525 | 32,995 |
Equity in earnings (loss) from unconsolidated entities | 1,263 | (212) | (13,095) |
Operating Segments | Financial Services | |||
Segment Reporting Information [Line Items] | |||
Interest income, net | 22,800 | 19,774 | 20,359 |
Depreciation and amortization | 10,430 | 13,473 | 10,022 |
Net additions to (disposals of) operating properties and equipment | 6,942 | 7,703 | 11,185 |
Operating Segments | Lennar Other | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 587 | 557 | 1,761 |
Depreciation and amortization | 0 | 5,687 | 5,164 |
Net additions to (disposals of) operating properties and equipment | 0 | 6,416 | 4,115 |
Equity in earnings (loss) from unconsolidated entities | 15,372 | 24,110 | 27,376 |
Operating Segments | Multifamily | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | 6,209 | 4,357 | 2,910 |
Net additions to (disposals of) operating properties and equipment | 495 | 1,558 | 12,657 |
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 |
Corporate and unallocated | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | 75,197 | 66,261 | 50,369 |
Net additions to (disposals of) operating properties and equipment | 7,183 | 55,364 | 40,023 |
Homebuilding Other | |||
Segment Reporting Information [Line Items] | |||
Total interest expense | 13,272 | 4,462 | 1,176 |
Depreciation and amortization | 369 | 1,022 | 2,447 |
Net additions to (disposals of) operating properties and equipment | (1,214) | 15,549 | 10,833 |
Equity in earnings (loss) from unconsolidated entities | $ (14,490) | $ (90,339) | $ (49,541) |
Lennar Homebuilding Receivabl_3
Lennar Homebuilding Receivables (Schedule Of Lennar Homebuilding Receivables) (Details) - Homebuilding - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | $ 129,216 | $ 115,642 |
Mortgages and notes receivable | 203,230 | 123,796 |
Receivable, gross | 332,446 | 239,438 |
Allowance for doubtful accounts | (3,322) | (2,597) |
Receivable, net | $ 329,124 | $ 236,841 |
Lennar Homebuilding Investmen_3
Lennar Homebuilding Investments In Unconsolidated Entities (Statements Of Operations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Schedule of Equity Method Investments [Line Items] | |||
Homebuilding equity in loss from unconsolidated entities | $ 2,528 | $ (30,518) | $ 49,478 |
Homebuilding | |||
Schedule of Equity Method Investments [Line Items] | |||
Revenues | 303,963 | 522,811 | 465,182 |
Costs and expenses | 401,396 | 720,849 | 603,079 |
Other income, net | 78,406 | 120,620 | 16,440 |
Net earnings (loss) of unconsolidated entities | (19,027) | (77,418) | (121,457) |
Homebuilding equity in loss from unconsolidated entities | (13,273) | $ (90,209) | $ (63,637) |
Contingent consideration received by unconsolidated entity | 64,900 | ||
Company's share of contingent consideration received by unconsolidated entity | $ 25,900 | ||
FivePoint Unconsolidated Entity | Homebuilding | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest in TRA agreement | 70.00% |
Lennar Homebuilding Investmen_4
Lennar Homebuilding Investments In Unconsolidated Entities (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Nov. 30, 2019USD ($)investment | Aug. 31, 2019USD ($) | May 31, 2019USD ($) | Feb. 28, 2019USD ($) | Nov. 30, 2018USD ($) | Aug. 31, 2018USD ($) | May 31, 2018USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2019USD ($)investment | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($)homes | |||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Homebuilding equity in loss from unconsolidated entities | $ 2,528 | $ (30,518) | $ 49,478 | ||||||||||||
Additional investment | 436,325 | 405,547 | 430,304 | ||||||||||||
Total revenues | $ 6,971,531 | $ 5,857,058 | $ 5,562,890 | $ 3,868,082 | $ 6,459,210 | $ 5,672,569 | $ 5,459,061 | $ 2,980,791 | $ 22,259,561 | 20,571,631 | 12,646,365 | ||||
FivePoint Unconsolidated Entity | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Ownership percentage | 40.00% | 40.00% | |||||||||||||
Investments in unconsolidated entities | $ 374,000 | 342,700 | $ 374,000 | 342,700 | |||||||||||
Homebuilding | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Sale of homesites | 83,000 | 169,500 | 226,200 | ||||||||||||
Homebuilding equity in loss from unconsolidated entities | (13,273) | (90,209) | (63,637) | ||||||||||||
Investments in unconsolidated entities | 1,009,035 | [1] | 870,201 | [1] | 1,009,035 | [1] | 870,201 | [1] | 862,349 | ||||||
Underlying equity in unconsolidated partners' net assets | $ 1,300,000 | $ 1,200,000 | 1,300,000 | 1,200,000 | |||||||||||
Gain on sale of nonconsolidated entity | 0 | (164,880) | 0 | ||||||||||||
Total revenues | $ 20,793,216 | $ 19,077,597 | 11,188,876 | ||||||||||||
Homebuilding | Unconsolidated Entity One | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Sale of homesites | 11,900 | ||||||||||||||
Deferred equity in earnings | $ 4,900 | ||||||||||||||
Homebuilding | Joint Ventures Previously Managed by FivePoint Communities | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Strategic joint ventures contributed | investment | 3 | 3 | |||||||||||||
Homebuilding | Treasure Island Holdings | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Percentage ownership of nonconsolidated entity sold | 80.00% | ||||||||||||||
Gain on sale of nonconsolidated entity | $ 164,900 | ||||||||||||||
Variable Interest Entity, Not Primary Beneficiary | Homebuilding | Unconsolidated Entity One | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Number of properties sold | homes | 475 | ||||||||||||||
Fee Income | Homebuilding | Unconsolidated Entities | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Total revenues | $ 2,700 | $ 7,000 | $ 4,400 | ||||||||||||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. |
Lennar Homebuilding Investmen_5
Lennar Homebuilding Investments In Unconsolidated Entities (Balance Sheets) (Details) - Homebuilding - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | ||
Assets: | |||||
Cash and cash equivalents | $ 602,480 | $ 781,833 | |||
Inventories | 4,514,885 | 4,291,470 | |||
Other assets | 1,007,698 | 1,045,274 | |||
Assets | 6,125,063 | 6,118,577 | |||
Liabilities and equity: | |||||
Accounts payable and other liabilities | 816,719 | 874,355 | |||
Debt | 1,094,588 | 1,202,556 | |||
Equity | 4,213,756 | 4,041,666 | |||
Liabilities and equity | 6,125,063 | 6,118,577 | |||
Investments in unconsolidated entities | 1,009,035 | [1] | 870,201 | [1] | $ 862,349 |
Debt issuance costs | 12,956 | 12,403 | |||
Investments in unconsolidated entities | $ 62,000 | $ (62,000) | |||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. |
Lennar Homebuilding Investmen_6
Lennar Homebuilding Investments In Unconsolidated Entities (Total Debt Of Unconsolidated Entities) (Details) $ in Thousands | 12 Months Ended | |
Nov. 30, 2019USD ($)joint_venture | Nov. 30, 2018USD ($)joint_venture | |
Schedule of Equity Method Investments [Line Items] | ||
Number of repayment guarantees | joint_venture | 2 | 4 |
Homebuilding | ||
Schedule of Equity Method Investments [Line Items] | ||
Non-recourse bank debt and other debt (partner’s share of several recourse) | $ 52,007 | $ 48,313 |
Non-recourse debt with completion guarantees | 219,558 | 239,568 |
Non-recourse debt without completion guarantees | 825,192 | 861,371 |
Non-recourse debt to the Company | 1,096,757 | 1,149,252 |
The Company’s maximum recourse exposure | 10,787 | 65,707 |
Debt issuance costs | (12,956) | (12,403) |
Total debt | $ 1,094,588 | $ 1,202,556 |
The Company’s maximum recourse exposure as a % of total JV debt | 1.00% | 5.00% |
Lennar Homebuilding Operating_3
Lennar Homebuilding Operating Properties And Equipment (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Property, Plant and Equipment [Line Items] | ||
Operating properties and equipment, gross | $ 448,109 | $ 458,659 |
Accumulated depreciation and amortization | (168,582) | (138,798) |
Operating properties and equipment, net | 279,527 | 319,861 |
Operating properties | ||
Property, Plant and Equipment [Line Items] | ||
Operating properties and equipment, gross | 225,256 | 255,203 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Operating properties and equipment, gross | 63,846 | 61,990 |
Furniture, fixtures and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Operating properties and equipment, gross | $ 159,007 | $ 141,466 |
Lennar Homebuilding Senior No_3
Lennar Homebuilding Senior Notes And Other Debts Payable (Schedule Of Senior Notes And Other Debts Payable) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Jun. 30, 2019 | Nov. 30, 2018 | Feb. 12, 2018 | |
Homebuilding | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | [1] | $ 7,776,638 | $ 8,543,868 | ||
Interest rate | 7.50% | ||||
Homebuilding | 4.125% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.125% | ||||
Homebuilding | 4.500% senior notes due 2024 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.50% | ||||
Senior Notes | 6.625% senior notes due 2020 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 6.625% | ||||
Senior Notes | 2.95% senior notes due 2020 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 2.95% | ||||
Senior Notes | 8.375% senior notes due 2021 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 8.375% | ||||
Senior Notes | 4.750% senior notes due 2021 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.75% | ||||
Senior Notes | 6.25% senior notes due December 2021 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 6.25% | ||||
Senior Notes | 5.375% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.375% | ||||
Senior Notes | 4.750% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.75% | ||||
Senior Notes | 4.875% senior notes due December 2023 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.875% | ||||
Senior Notes | 5.875% senior notes due 2024 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.875% | ||||
Senior Notes | 4.750% senior notes due 2025 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.75% | ||||
Senior Notes | 5.25% senior notes due 2026 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.25% | ||||
Senior Notes | 5.00% senior notes due 2027 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 5.00% | ||||
Senior Notes | 4.75% senior notes due 2027 | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 4.75% | ||||
Senior Notes | Homebuilding | 6.625% senior notes due 2020 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 303,668 | 311,735 | |||
Interest rate | 6.625% | 6.625% | |||
Senior Notes | Homebuilding | 2.95% senior notes due 2020 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 299,421 | 298,838 | |||
Interest rate | 2.95% | ||||
Senior Notes | Homebuilding | 8.375% senior notes due 2021 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 418,860 | 435,897 | |||
Interest rate | 8.375% | 8.375% | |||
Senior Notes | Homebuilding | 4.750% senior notes due 2021 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 498,893 | 498,111 | |||
Interest rate | 4.75% | ||||
Senior Notes | Homebuilding | 6.25% senior notes due December 2021 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 310,252 | 315,283 | |||
Interest rate | 6.25% | 6.25% | |||
Senior Notes | Homebuilding | 4.125% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 597,885 | 596,894 | |||
Interest rate | 4.125% | ||||
Senior Notes | Homebuilding | 5.375% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 258,198 | 261,055 | |||
Interest rate | 5.375% | 5.375% | |||
Senior Notes | Homebuilding | 4.750% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 571,644 | 570,564 | |||
Interest rate | 4.75% | ||||
Senior Notes | Homebuilding | 4.875% senior notes due December 2023 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 396,553 | 395,759 | |||
Interest rate | 4.875% | ||||
Senior Notes | Homebuilding | 4.500% senior notes due 2024 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 646,802 | 646,078 | |||
Interest rate | 4.50% | ||||
Senior Notes | Homebuilding | 5.875% senior notes due 2024 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 448,158 | 452,833 | |||
Interest rate | 5.875% | 5.875% | |||
Senior Notes | Homebuilding | 4.750% senior notes due 2025 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 497,558 | 497,114 | |||
Interest rate | 4.75% | ||||
Senior Notes | Homebuilding | 5.25% senior notes due 2026 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 407,921 | 409,133 | |||
Interest rate | 5.25% | 5.25% | |||
Senior Notes | Homebuilding | 5.00% senior notes due 2027 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 352,892 | 353,275 | |||
Interest rate | 5.00% | 5.00% | |||
Senior Notes | Homebuilding | 4.75% senior notes due 2027 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 893,046 | 892,297 | |||
Interest rate | 4.75% | ||||
Senior Notes | Homebuilding | 0.25% convertible senior notes due 2019 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 0 | 1,291 | |||
Interest rate | 0.25% | ||||
Senior Notes | Homebuilding | 4.500% senior notes due 2019 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 0 | 499,585 | |||
Interest rate | 4.50% | 4.50% | |||
Senior Notes | Homebuilding | 4.50% senior notes due 2019 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 0 | 599,176 | |||
Interest rate | 4.50% | ||||
Mortgage notes on land and other debt | Homebuilding | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 874,887 | $ 508,950 | |||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 6.625% senior notes due 2020 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 267,700 | ||||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 8.375% senior notes due 2021 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | 397,600 | ||||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 6.25% senior notes due December 2021 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | 292,000 | ||||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 5.375% senior notes due 2022 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | 240,800 | ||||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 5.875% senior notes due 2024 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | 421,400 | ||||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 5.25% senior notes due 2026 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | 395,500 | ||||
CalAtlantic Group, Inc. | Senior Notes | Homebuilding | 5.00% senior notes due 2027 | |||||
Debt Instrument [Line Items] | |||||
Senior notes and other debts payable, net | $ 347,300 | ||||
[1] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
Lennar Homebuilding Senior No_4
Lennar Homebuilding Senior Notes And Other Debts Payable (Narrative) (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |||||||
Nov. 30, 2019 | Jun. 30, 2019 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | Sep. 30, 2019 | Apr. 30, 2019 | Jan. 31, 2018 | ||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | $ 899,900,000 | $ 899,900,000 | |||||||
Mortgages notes on land and other debt retired | 189,454,000 | $ 138,475,000 | $ 139,725,000 | ||||||
Surety Bond | |||||||||
Debt Instrument [Line Items] | |||||||||
Outstanding surety bonds | 2,900,000,000 | 2,900,000,000 | |||||||
Homebuilding | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes and other debts payable, net | [1] | $ 7,776,638,000 | $ 7,776,638,000 | 8,543,868,000 | |||||
Interest rate | 7.50% | 7.50% | |||||||
Minimum required guarantee of debt by subsidiaries to be a guarantor | $ 75,000,000 | ||||||||
Weighted average interest rate | 3.40% | 3.40% | |||||||
Homebuilding | Surety Bond | |||||||||
Debt Instrument [Line Items] | |||||||||
Outstanding surety bonds | $ 2,900,000,000 | $ 2,900,000,000 | |||||||
Anticipated future costs to complete site improvements | 1,400,000,000 | $ 1,400,000,000 | |||||||
Anticipated future costs to complete site improvements as a percent | 48.00% | ||||||||
Homebuilding | Unsecured Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowings | 2,800,000,000 | $ 2,800,000,000 | $ 2,500,000,000 | $ 2,400,000,000 | $ 2,000,000,000 | ||||
Accordion feature | 350,000,000 | 350,000,000 | |||||||
Senior notes and other debts payable, net | 0 | 0 | 0 | ||||||
Homebuilding | Unsecured Revolving Credit Facility | Credit Facility Due in June 2018 | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowings | $ 50,000,000 | ||||||||
Homebuilding | Unsecured Revolving Credit Facility | Credit Facility Due in June 2020 | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowings | $ 50,000,000 | ||||||||
Homebuilding | Letters of Credit | Letters of Credit Available for Issuance Under Unsecured Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowings | 500,000,000 | 500,000,000 | |||||||
Homebuilding | Letters of Credit | Letters of Credit Available for Issuance from Other Financial Institutions | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowings | 305,000,000 | 305,000,000 | |||||||
Homebuilding | Performance Letters Of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 715,800,000 | 715,800,000 | 598,400,000 | ||||||
Homebuilding | Financial Letters Of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 184,100,000 | 184,100,000 | 165,400,000 | ||||||
Homebuilding | Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt issuance costs | 22,900,000 | 22,900,000 | 31,200,000 | ||||||
Homebuilding | Senior Notes | 4.500% senior notes due 2019 | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes and other debts payable, net | $ 0 | $ 0 | 499,585,000 | ||||||
Interest rate | 4.50% | 4.50% | 4.50% | ||||||
Debt Instrument, Redemption, Principal Redeemed | $ 600,000,000 | $ 500,000,000 | |||||||
Redemption price percentage | 100.00% | 100.00% | |||||||
Homebuilding | Mortgage notes on land and other debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes and other debts payable, net | $ 874,887,000 | $ 874,887,000 | 508,950,000 | ||||||
Mortgages notes on land and other debt retired | $ 172,500,000 | $ 128,300,000 | |||||||
[1] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
Lennar Homebuilding Senior No_5
Lennar Homebuilding Senior Notes And Other Debts Payable (Schedule of Senior and Convertible Senior Notes) (Details) - USD ($) | 1 Months Ended | 7 Months Ended | 12 Months Ended | ||||||||
Nov. 30, 2017 | Apr. 30, 2017 | Jan. 31, 2017 | Mar. 31, 2016 | Nov. 30, 2015 | Apr. 30, 2015 | Apr. 30, 2013 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 12, 2018 | |
Debt Instrument [Line Items] | |||||||||||
Net Proceeds | $ 0 | $ 0 | $ 2,450,000,000 | ||||||||
Homebuilding | Senior Notes | 6.625% senior notes due 2020 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 300,000,000 | ||||||||||
Homebuilding | Senior Notes | 2.95% senior notes due 2020 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 300,000,000 | $ 300,000,000 | |||||||||
Net Proceeds | $ 298,800,000 | ||||||||||
Price | 100.00% | 100.00% | |||||||||
Homebuilding | Senior Notes | 8.375% senior notes due 2021 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | 400,000,000 | ||||||||||
Homebuilding | Senior Notes | 4.750% senior notes due 2021 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 500,000,000 | ||||||||||
Net Proceeds | $ 495,974,000 | ||||||||||
Price | 100.00% | ||||||||||
Homebuilding | Senior Notes | 6.25% senior notes due December 2021 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | 300,000,000 | ||||||||||
Homebuilding | Senior Notes | 4.125% senior notes due 2022 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 600,000,000 | ||||||||||
Net Proceeds | $ 595,160,000 | ||||||||||
Price | 100.00% | ||||||||||
Homebuilding | Senior Notes | 5.375% senior notes due 2022 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | 250,000,000 | ||||||||||
Homebuilding | Senior Notes | 4.750% senior notes due 2022 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 575,000,000 | ||||||||||
Net Proceeds | 567,585,000 | ||||||||||
Homebuilding | Senior Notes | 4.750% senior notes due 2022 issued at a price of 100% | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 350,000,000 | ||||||||||
Price | 100.00% | ||||||||||
Homebuilding | Senior Notes | 4.750% senior notes due 2022 issued at a price of 98.073% | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 175,000,000 | ||||||||||
Price | 98.073% | ||||||||||
Homebuilding | Senior Notes | 4.750% senior notes due 2022 issued at a price of 98.250% | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 50,000,000 | ||||||||||
Price | 98.25% | ||||||||||
Homebuilding | Senior Notes | 4.875% senior notes due December 2023 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 400,000,000 | ||||||||||
Net Proceeds | $ 393,622,000 | ||||||||||
Price | 99.169% | ||||||||||
Homebuilding | Senior Notes | 4.500% senior notes due 2024 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 650,000,000 | ||||||||||
Net Proceeds | $ 644,838,000 | ||||||||||
Price | 100.00% | ||||||||||
Homebuilding | Senior Notes | 5.875% senior notes due 2024 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | 425,000,000 | ||||||||||
Homebuilding | Senior Notes | 4.750% senior notes due 2025 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 500,000,000 | ||||||||||
Net Proceeds | $ 495,528,000 | ||||||||||
Price | 100.00% | ||||||||||
Homebuilding | Senior Notes | 5.25% senior notes due 2026 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | 400,000,000 | ||||||||||
Homebuilding | Senior Notes | 5.00% senior notes due 2027 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 350,000,000 | ||||||||||
Homebuilding | Senior Notes | 4.75% senior notes due 2027 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Principal Amount | $ 900,000,000 | $ 900,000,000 | |||||||||
Net Proceeds | $ 894,650,000 | ||||||||||
Price | 100.00% | 100.00% |
Lennar Homebuilding Senior No_6
Lennar Homebuilding Senior Notes And Other Debts Payable (Schedule Of Maturities Of Senior Notes And Other Debts Payable) (Details) - Homebuilding $ in Thousands | Nov. 30, 2019USD ($) |
Segment Reporting Information [Line Items] | |
2019 | $ 1,055,076 |
2020 | 1,131,303 |
2021 | 1,759,816 |
2022 | 72,419 |
2023 | 1,523,125 |
Thereafter | $ 2,187,082 |
Lennar Financial Services Seg_3
Lennar Financial Services Segment (Schedule of Assets and Liabilities) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Feb. 12, 2018 | Nov. 30, 2017 | |||
Assets: | |||||||
Total assets | $ 29,359,511 | [1] | $ 28,566,181 | [1] | $ 18,745,034 | ||
Liabilities: | |||||||
Total liabilities | [2] | 13,325,681 | 13,883,224 | ||||
Self insurance reserve | 109,600 | 101,400 | |||||
Financial Services | |||||||
Assets: | |||||||
Cash and cash equivalents | 234,113 | 188,485 | |||||
Restricted cash | 12,022 | 17,944 | |||||
Receivables, net | 500,847 | 731,169 | |||||
Loans held-for-sale | 1,644,939 | 1,213,889 | |||||
Loans held-for-investment, net | 73,867 | 70,216 | |||||
Investments held-to-maturity | 190,289 | 189,472 | |||||
Investments available-for-sale | 3,732 | 4,200 | |||||
Investments available-for-sale | 4,161 | ||||||
Goodwill | 215,516 | 237,688 | $ 59,838 | ||||
Other assets | 130,699 | 125,886 | |||||
Total assets | [1] | 3,006,024 | 2,778,910 | ||||
Liabilities: | |||||||
Notes and other debts payable | 1,745,755 | 1,558,702 | |||||
Other liabilities | 310,695 | 309,500 | |||||
Total liabilities | [2] | 2,056,450 | 1,868,202 | ||||
Self insurance reserve | 60,700 | 60,300 | |||||
Financial Services | Mortgage servicing rights | |||||||
Liabilities: | |||||||
Mortgage servicing rights | 24,700 | 37,200 | |||||
Financial Services | Mortgage loan commitments | |||||||
Liabilities: | |||||||
Other assets | 16,300 | 16,400 | |||||
Financial Services | Forward contracts | |||||||
Liabilities: | |||||||
Other assets | (3,900) | (10,400) | |||||
CalAtlantic Group, Inc. | |||||||
Assets: | |||||||
Goodwill | $ 3,300,000 | ||||||
CalAtlantic Group, Inc. | Financial Services | |||||||
Assets: | |||||||
Goodwill | $ 175,400 | $ 175,400 | $ 175,000 | ||||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. | ||||||
[2] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
Lennar Financial Services Seg_4
Lennar Financial Services Segment (Warehouse Repurchase Facilities) (Details) - Financial Services | 12 Months Ended | ||
Nov. 30, 2019USD ($)extension | Dec. 31, 2019USD ($) | Nov. 30, 2018USD ($) | |
Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 1,800,000,000 | ||
Warehouse repurchase facility that matures December 2019 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 500,000,000 | ||
Warehouse repurchase facility term | 364 days | ||
Maximum Aggregate Commitment, uncommitted amount | $ 500,000,000 | ||
Warehouse repurchase facility that matures March 2020 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 300,000,000 | ||
Warehouse repurchase facility term | 364 days | ||
Maximum Aggregate Commitment, uncommitted amount | $ 300,000,000 | ||
Warehouse repurchase facility that matures June 2020 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 500,000,000 | ||
Warehouse repurchase facility term | 364 days | ||
Maximum Aggregate Commitment, uncommitted amount | $ 400,000,000 | ||
Warehouse repurchase facility that matures October 2020 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 500,000,000 | ||
Warehouse repurchase facility term | 364 days | ||
Subsequent Event | Warehouse repurchase facility that matures December 2019 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment, uncommitted amount | $ 300,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility Due in December 2019 | |||
Line of Credit Facility [Line Items] | |||
Warehouse repurchase facility term | 364 days | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility Due in December 2019 | |||
Line of Credit Facility [Line Items] | |||
Warehouse repurchase facility term | 364 days | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility Due in December 2019 | |||
Line of Credit Facility [Line Items] | |||
Warehouse repurchase facility term | 364 days | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility Due in December 2019 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 200,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility Due in November 2020 | |||
Line of Credit Facility [Line Items] | |||
Warehouse repurchase facility term | 364 days | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility Due in November 2020 | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 200,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | 900,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility | Warehouse Repurchase Facility Due in December 2019 | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | 250,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility | Warehouse Repurchase Facility Due in December 2019 | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | 200,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility | Total - Loans origination and securitization business | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | 850,000,000 | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility | Warehouse Repurchase Facility Due in December 2019 | |||
Line of Credit Facility [Line Items] | |||
Maximum Aggregate Commitment | $ 50,000,000 | ||
Warehouse repurchase facility extension term | 1 year | ||
Warehouse repurchase facility number of extensions | extension | 2 | ||
Borrowings under facility | $ 11,400,000 | $ 0 |
Lennar Financial Services Seg_5
Lennar Financial Services Segment (Narrative) (Details) | 12 Months Ended | ||
Nov. 30, 2019USD ($)transaction | Nov. 30, 2018USD ($)transaction | Nov. 30, 2017USD ($) | |
Segment Reporting Information [Line Items] | |||
Origination of loans | $ 98,375,000 | ||
Financial Services | |||
Segment Reporting Information [Line Items] | |||
Borrowings under facilities | $ 1,745,755,000 | $ 1,558,702,000 | |
Collateralized loans | 1,400,000,000 | 1,300,000,000 | |
Investments held-to-maturity | 190,289,000 | 189,472,000 | |
Financial Services | Warehouse Repurchase Facility | |||
Segment Reporting Information [Line Items] | |||
Borrowings under facilities | $ 1,400,000,000 | 1,300,000,000 | |
Interest rate | 3.50% | ||
Commercial Mortgage-Backed Securities | Financial Services | |||
Segment Reporting Information [Line Items] | |||
Investments held-to-maturity | $ 166,000,000 | 137,000,000 | |
Impairment charges | 0 | $ 0 | |
Minimum | Commercial Mortgage-Backed Securities | Financial Services | |||
Segment Reporting Information [Line Items] | |||
Discount rate | 6.00% | ||
Coupon rate | 2.00% | ||
Maximum | Commercial Mortgage-Backed Securities | Financial Services | |||
Segment Reporting Information [Line Items] | |||
Discount rate | 84.00% | ||
Coupon rate | 5.30% | ||
Rialto Mortgage Finance | Financial Services | |||
Segment Reporting Information [Line Items] | |||
Origination of loans | $ 1,600,000,000 | 1,400,000,000 | |
Origination of loans, recorded as accrual loans | 15,300,000 | ||
Loans sold | $ 1,400,000,000 | $ 1,500,000,000 | |
Number of securitizations | transaction | 11 | 16 | |
Receivables from securitization | $ 158,400,000 | $ 218,400,000 | |
Percentage interest in loans | 75.00% | ||
Rialto Mortgage Finance | Warehouse Repurchase Facility | Financial Services | |||
Segment Reporting Information [Line Items] | |||
Borrowings under facilities that finance loan originations and securitization activities | $ 216,900,000 | $ 178,800,000 |
Lennar Multifamily Segment (Ass
Lennar Multifamily Segment (Assets and Liabilities Related to the Multifamily Segment) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |||
Assets: | ||||||
Total assets | $ 29,359,511 | [1] | $ 28,566,181 | [1] | $ 18,745,034 | |
Liabilities: | ||||||
Total liabilities | [2] | 13,325,681 | 13,883,224 | |||
Multifamily | ||||||
Assets: | ||||||
Cash and cash equivalents | 8,711 | 7,832 | ||||
Receivables, net | 76,906 | 73,829 | ||||
Land under development | 315,107 | 277,894 | ||||
Investments in unconsolidated entities | 561,190 | 481,129 | ||||
Assets held-for-sale, net | 48,206 | 0 | ||||
Other assets | 58,711 | 33,535 | ||||
Total assets | [1] | 1,068,831 | 874,219 | |||
Liabilities: | ||||||
Notes payable | 36,125 | 0 | ||||
Accounts payable and other liabilities | 196,030 | 170,616 | ||||
Total liabilities | [2] | $ 232,155 | $ 170,616 | |||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. | |||||
[2] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
Lennar Multifamily Segment (Nar
Lennar Multifamily Segment (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2019USD ($)apartment | Aug. 31, 2019USD ($) | May 31, 2019USD ($) | Feb. 28, 2019USD ($) | Nov. 30, 2018USD ($) | Aug. 31, 2018USD ($) | May 31, 2018USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2019USD ($)apartmentasset | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Letters of credit outstanding | $ 899,900 | $ 899,900 | |||||||||
Total revenues | 6,971,531 | $ 5,857,058 | $ 5,562,890 | $ 3,868,082 | $ 6,459,210 | $ 5,672,569 | $ 5,459,061 | $ 2,980,791 | 22,259,561 | $ 20,571,631 | $ 12,646,365 |
Distributions of capital from unconsolidated and consolidated entities | 405,677 | 362,516 | 207,327 | ||||||||
Multifamily | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Unconsolidated entities non-recourse debt with completion guarantees | 867,300 | 1,000,000 | 867,300 | 1,000,000 | |||||||
Total revenues | 604,700 | 421,132 | 394,771 | ||||||||
Investments in unconsolidated entities | 561,190 | 481,129 | 561,190 | 481,129 | |||||||
Multifamily | Variable Interest Entity, Not Primary Beneficiary | Equity Commitments | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Remaining equity commitment | 224,200 | 237,000 | 224,200 | 237,000 | |||||||
Multifamily | Financial Letters Of Credit | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Letters of credit outstanding | 4,200 | 4,600 | 4,200 | 4,600 | |||||||
Fee Income | Multifamily | Unconsolidated Entities | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 53,600 | 48,800 | 53,800 | ||||||||
General Contractor | Multifamily | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total revenues | 355,400 | 353,200 | 341,000 | ||||||||
Costs | 340,100 | 338,700 | $ 330,400 | ||||||||
Lennar Multifamily Venture II LP | Multifamily | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total equity commitments | 1,300,000 | 1,300,000 | |||||||||
Equity commitments | 381,000 | 381,000 | |||||||||
Equity commitments called | 330,200 | ||||||||||
Equity commitment called | 94,100 | ||||||||||
Distributions of capital from unconsolidated and consolidated entities | 96,900 | ||||||||||
Equity commitments called | 582,300 | 582,300 | |||||||||
Equity commitment, inventory and cash contributions | 191,000 | ||||||||||
Remaining equity commitment | 205,700 | 205,700 | |||||||||
Investments in unconsolidated entities | $ 153,300 | 63,000 | $ 153,300 | 63,000 | |||||||
Number of assets seeded | asset | 16 | ||||||||||
Number of apartments | apartment | 5,600 | 5,600 | |||||||||
Projected project costs | $ 2,400,000 | $ 2,400,000 | |||||||||
Lennar Multifamily Venture | Multifamily | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total equity commitments | 2,200,000 | 2,200,000 | |||||||||
Equity commitments | 504,000 | 504,000 | |||||||||
Equity commitments called | 184,700 | ||||||||||
Equity commitment called | 44,700 | ||||||||||
Distributions of capital from unconsolidated and consolidated entities | 35,500 | ||||||||||
Equity commitments called | 2,100,000 | 2,100,000 | |||||||||
Funds contributed by the company | 485,500 | 485,500 | |||||||||
Investments in unconsolidated entities | 371,000 | $ 383,400 | 371,000 | $ 383,400 | |||||||
Lennar Multifamily Venture | Multifamily | Variable Interest Entity, Not Primary Beneficiary | Equity Commitments | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Remaining equity commitment | $ 18,500 | $ 18,500 |
Lennar Multifamily Segment (Con
Lennar Multifamily Segment (Condensed Financial Information by Equity Method Investment) (Details) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019USD ($)property | Nov. 30, 2018USD ($)property | Nov. 30, 2017USD ($)property | |
Statement of Operations | |||
Equity in earnings (loss) from unconsolidated entities | $ 2,528 | $ (30,518) | $ 49,478 |
Multifamily | |||
Assets: | |||
Cash and cash equivalents | 74,726 | 61,571 | |
Operating properties and equipment | 4,618,518 | 3,708,613 | |
Other assets | 66,960 | 40,899 | |
Assets | 4,760,204 | 3,811,083 | |
Liabilities and equity: | |||
Accounts payable and other liabilities | 212,706 | 199,119 | |
Notes payable | 2,113,696 | 1,381,656 | |
Equity | 2,433,802 | 2,230,308 | |
Liabilities and equity | 4,760,204 | 3,811,083 | |
Investments in unconsolidated entities | 561,190 | 481,129 | |
Debt issuance costs | 26,800 | 15,700 | |
Statement of Operations | |||
Revenues | 170,598 | 117,985 | 67,578 |
Costs and expenses | 247,207 | 172,089 | 108,610 |
Other income, net | 54,578 | 93,778 | 207,793 |
Net earnings (loss) of unconsolidated entities | (22,031) | 39,674 | 166,761 |
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 |
Gain on disposition of assets | 28,100 | 61,200 | $ 96,700 |
Recognition of deferred development fees | $ 11,900 | $ 15,700 | |
Number of operating properties sold | property | 2 | 6 | 7 |
Lennar Other (Assets And Liabil
Lennar Other (Assets And Liabilities Related To The Other Segment) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |||
Assets: | ||||||
Total assets | $ 29,359,511 | [1] | $ 28,566,181 | [1] | $ 18,745,034 | |
Liabilities: | ||||||
Total liabilities | [2] | 13,325,681 | 13,883,224 | |||
Lennar Other | ||||||
Assets: | ||||||
Cash and cash equivalents | 2,340 | 24,334 | ||||
Restricted cash | 975 | 7,175 | ||||
Real estate owned, net | 2,033 | 25,632 | ||||
Investments in unconsolidated entities | 403,688 | 424,104 | ||||
Investments held-to-maturity | 54,117 | 59,974 | ||||
Other assets | 32,264 | 47,740 | ||||
Total assets | 495,417 | 588,959 | ||||
Liabilities: | ||||||
Notes and other debts payable | 15,178 | 14,488 | ||||
Other liabilities | 14,860 | 53,020 | ||||
Total liabilities | [2] | $ 30,038 | $ 67,508 | |||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. | |||||
[2] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
Lennar Other (Narrative) (Detai
Lennar Other (Narrative) (Details) - Lennar Other - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Segment Reporting Information [Line Items] | |||
Investments held-to-maturity | $ 54,117 | $ 59,974 | |
Commercial Mortgage-Backed Securities | |||
Segment Reporting Information [Line Items] | |||
Investments held-to-maturity | 54,100 | 60,000 | |
Impairment charges | 0 | 0 | $ 0 |
Outstanding borrowings | $ 13,300 | $ 12,600 | |
Commercial Mortgage-Backed Securities | Maximum | |||
Segment Reporting Information [Line Items] | |||
Discount rate | 86.00% | ||
Coupon rate | 4.00% | ||
Interest rate | 3.90% | ||
Commercial Mortgage-Backed Securities | Minimum | |||
Segment Reporting Information [Line Items] | |||
Discount rate | 6.00% | ||
Coupon rate | 1.30% |
Lennar Other (Condensed Financi
Lennar Other (Condensed Financial Information by Equity Method Investments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Statement of Operations | |||
Equity in earnings (loss) from unconsolidated entities | $ 2,528 | $ (30,518) | $ 49,478 |
Lennar Other | |||
Assets: | |||
Cash and cash equivalents | 122,089 | 50,775 | |
Equity Method Investment, Summarized Financial Information, Loans Receivable | 690,270 | 705,414 | |
Equity Method Investment, Summarized Financial Information, Real Estate Owned | 282,832 | 298,332 | |
Equity Method Investment, Summarized Financial Information, Investment Securities | 2,404,987 | 2,296,768 | |
Investments at fair value | 768,219 | 561,234 | |
Other assets | 204,009 | 39,818 | |
Assets | 4,472,406 | 3,952,341 | |
Liabilities and equity: | |||
Accounts payable and other liabilities | 38,770 | 31,262 | |
Notes payable | 775,648 | 605,208 | |
Equity | 3,657,988 | 3,315,871 | |
Liabilities and equity | 4,472,406 | 3,952,341 | |
Investments in unconsolidated entities | 403,688 | 424,104 | |
Statement of Operations | |||
Revenues | 305,348 | 376,475 | 245,698 |
Costs and expenses | 101,369 | 111,989 | 117,481 |
Other income, net | 138,443 | 7,605 | 116,740 |
Net earnings (loss) of unconsolidated entities | 342,422 | 272,091 | 244,957 |
Equity in earnings (loss) from unconsolidated entities | $ 15,372 | $ 24,110 | $ 27,376 |
Income Taxes (Component Of Inco
Income Taxes (Component Of Income Taxes Benefit (Provision) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Current: | |||
Federal | $ 298,701 | $ 246,604 | $ 309,235 |
State | 53,400 | 30,530 | 17,572 |
Current income tax benefit (expense) | 352,101 | 277,134 | 326,807 |
Deferred: | |||
Federal | 165,080 | 189,096 | 40,641 |
State | 74,992 | 78,941 | 50,409 |
Deferred income tax benefit (expense) | 240,072 | 268,037 | 91,050 |
Income tax benefit (expense) | $ 592,173 | $ 545,171 | $ 417,857 |
Income Taxes (Reconciliation Of
Income Taxes (Reconciliation Of Statutory Rate And Effective Tax Rate) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Income Tax Disclosure [Abstract] | |||
Statutory rate | 21.00% | 22.22% | 35.00% |
State income taxes, net of federal income tax benefit | 4.17% | 3.81% | 3.29% |
Nondeductible compensation | 0.45% | 0.00% | 0.00% |
Other | 0.18% | 0.44% | 0.09% |
Domestic production activities deduction | 0.00% | (1.71%) | (2.77%) |
Tax reserves and interest expense | (0.03%) | (0.39%) | 0.27% |
Deferred tax asset valuation reversal | (0.02%) | (0.03%) | 0.17% |
Accounting method changes | 0.00% | (1.47%) | 0.00% |
Changes in tax law | 0.00% | 3.06% | 0.00% |
Tax credits | (1.49%) | (1.60%) | (2.03%) |
Effective rate | 24.26% | 24.33% | 34.02% |
Impairment of deferred tax asset | $ 68.6 |
Income Taxes (Deferred Income T
Income Taxes (Deferred Income Taxes Assets And Liabilities, Carrying Amount) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Deferred tax assets: | ||
Inventory valuation adjustments | $ 201,408 | $ 315,006 |
Reserves and accruals | 148,477 | 175,626 |
Net operating loss carryforwards | 108,250 | 138,094 |
Investments in partnerships | 2,800 | 5,938 |
Capitalized expenses | 72,054 | 51,477 |
Investments in unconsolidated entities | 52,506 | 63,339 |
Other assets | 84,454 | 115,266 |
Total deferred tax assets | 669,949 | 864,746 |
Valuation allowance | (4,341) | (7,219) |
Total deferred tax assets after valuation allowance | 665,608 | 857,527 |
Deferred tax liabilities: | ||
Capitalized expenses | 152,208 | 153,392 |
Deferred income | 198,503 | 156,376 |
Other liabilities | 35,432 | 32,271 |
Total deferred tax liabilities | 386,143 | 342,039 |
Net deferred tax assets | $ 279,465 | $ 515,488 |
Income Taxes (Net Deferred Tax
Income Taxes (Net Deferred Tax Assets (Liabilities) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Segment Reporting Information [Line Items] | ||
Net deferred tax assets | $ 279,465 | $ 515,488 |
Homebuilding | ||
Segment Reporting Information [Line Items] | ||
Net deferred tax assets | 224,859 | 477,676 |
Financial Services | ||
Segment Reporting Information [Line Items] | ||
Net deferred tax assets | 17,551 | 5,075 |
Multifamily | ||
Segment Reporting Information [Line Items] | ||
Net deferred tax assets | 34,291 | 15,272 |
Lennar Other | ||
Segment Reporting Information [Line Items] | ||
Net deferred tax assets | $ 2,764 | $ 17,465 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Nov. 30, 2019 | Nov. 30, 2018 | |
Operating Loss Carryforwards [Line Items] | ||
Deferred tax assets, valuation allowance | $ 4,341 | $ 7,219 |
Unrecognized tax benefits that would impact effective tax rate if recognized | 10,200 | |
Federal | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 39,100 | 44,800 |
Net operating loss carryforward, term | 20 years | |
State | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 69,200 | $ 93,300 |
State | Minimum | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforward, term | 5 years | |
State | Maximum | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforward, term | 20 years |
Income Taxes (Summary Of Change
Income Taxes (Summary Of Changes In Gross Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Gross Unrecognized Tax Benefits [Roll Forward] | |||
Gross unrecognized tax benefits, beginning of year | $ 14,667 | $ 12,285 | $ 12,285 |
Lapse of statute of limitations | (1,811) | (2,052) | 0 |
Decreases due to tax positions taken during prior period | 0 | (2,805) | 0 |
Decreases due to settlements with tax authorities | 0 | (6,493) | 0 |
Increases due to the CalAtlantic acquisition | 0 | 13,510 | 0 |
Increases due to tax positions taken during prior period | 0 | 222 | 0 |
Gross unrecognized tax benefits, end of year | $ 12,856 | $ 14,667 | $ 12,285 |
Effective income tax rate | 24.26% | 24.33% | 34.02% |
Income Taxes (Accrued Interests
Income Taxes (Accrued Interests and Penalties) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Nov. 30, 2019 | Nov. 30, 2018 | |
Accrued Interests and Penalties [Roll Forward] | ||
Accrued interest and penalties, beginning of the year | $ 52,942 | $ 49,723 |
Additional interest and penalties (related to the acquisition of CalAtlantic) | 0 | 1,515 |
Accrual of interest and penalties (primarily related to state audits) | 3,029 | 1,894 |
Reduction of interest and penalties | (638) | (190) |
Accrued interest and penalties, end of the year | $ 55,333 | $ 52,942 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Numerator: | |||||||||||
Net earnings attributable to Lennar | $ 674,304 | $ 513,366 | $ 421,472 | $ 239,910 | $ 796,148 | $ 453,211 | $ 310,257 | $ 136,215 | $ 1,849,052 | $ 1,695,831 | $ 810,480 |
Less: distributed earnings allocated to nonvested shares | 420 | 429 | 377 | ||||||||
Less: undistributed earnings allocated to nonvested shares | 15,722 | 14,438 | 7,447 | ||||||||
Numerator for basic earnings per share | 1,832,910 | 1,680,964 | 802,656 | ||||||||
Less: net amount attributable to noncontrolling interests in Rialto's Carried Interest Incentive Plan | 4,204 | 3,320 | 1,009 | ||||||||
Plus: interest on convertible senior notes | 0 | 80 | 0 | ||||||||
Plus: undistributed earnings allocated to convertible shares | 0 | 2,904 | 0 | ||||||||
Less: undistributed earnings reallocated to convertible shares | 0 | 2,899 | 0 | ||||||||
Numerator for diluted earnings per share | $ 1,828,706 | $ 1,677,729 | $ 801,647 | ||||||||
Denominator: | |||||||||||
Denominator for basic earnings per share - weighted average common shares outstanding (in shares) | 318,419 | 307,968 | 237,155 | ||||||||
Effect of dilutive securities: | |||||||||||
Share-based payments (in shares) | 3 | 48 | 1 | ||||||||
Convertible senior notes (in shares) | 0 | 549 | 0 | ||||||||
Denominator for diluted earnings per share - weighted average common shares outstanding (in shares) | 318,422 | 308,565 | 237,156 | ||||||||
Basic earnings per share (in USD per share) | $ 2.13 | $ 1.60 | $ 1.31 | $ 0.74 | $ 2.42 | $ 1.37 | $ 0.95 | $ 0.53 | $ 5.76 | $ 5.46 | $ 3.38 |
Diluted earnings per share (in USD per share) | $ 2.13 | $ 1.59 | $ 1.30 | $ 0.74 | $ 2.42 | $ 1.37 | $ 0.94 | $ 0.53 | $ 5.74 | $ 5.44 | $ 3.38 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Stock Option Awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Options to purchase outstanding and anti-dilutive shares (in shares) | 0 | 0 | 0 |
Capital Stock (Details)
Capital Stock (Details) | Nov. 27, 2017 | Nov. 30, 2019USD ($)votes / shares$ / sharesshares | Nov. 30, 2018USD ($)$ / sharesshares | Nov. 30, 2017USD ($)$ / sharesshares | Jan. 31, 2019USD ($)shares |
Class of Stock [Line Items] | |||||
Stock dividend rate | 0.02 | ||||
Authorized amount under stock repurchase program | $ | $ 1,000,000,000 | ||||
Originally authorized shares under the stock repurchase program (in shares) | 20,000,000 | 25,000,000 | |||
Shares repurchased during period (in shares) | 9,800,000 | 6,000,000 | 0 | ||
Shares repurchased during period | $ | $ 492,900,000 | $ 249,900,000 | |||
Average cost of shares repurchased in period (in usd per share) | $ / shares | $ 50.41 | $ 41.63 | |||
Maximum dividend rate as a percentage of net income in the event of default | 50.00% | ||||
Compensation expense | $ | $ 24,500,000 | $ 25,300,000 | $ 17,200,000 | ||
Treasury Stock | |||||
Class of Stock [Line Items] | |||||
Shares repurchased during period | $ | $ 492,939,000 | $ 249,910,000 | $ 0 | ||
Increase in treasury stock during period (in shares) | 10,500,000 | 7,000,000 | |||
Chief Executive Officer | |||||
Class of Stock [Line Items] | |||||
Voting power | 34.00% | ||||
Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, shares authorized (in shares) | 500,000 | ||||
Preferred stock, par value (in usd per share) | $ / shares | $ 10 | ||||
Preferred stock, shares issued (in shares) | 0 | 0 | |||
Participating Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, shares authorized (in shares) | 100,000,000 | ||||
Preferred stock, par value (in usd per share) | $ / shares | $ 0.10 | ||||
Preferred stock, shares issued (in shares) | 0 | 0 | |||
Class A Common Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, per share annual dividend (in usd per share) | $ / shares | $ 0.16 | $ 0.16 | $ 0.16 | ||
Votes per share | votes / shares | 1 | ||||
Class B Common Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, per share annual dividend (in usd per share) | $ / shares | $ 0.16 | $ 0.16 | $ 0.16 | ||
Votes per share | votes / shares | 10 |
Share-Based Payments (Schedule
Share-Based Payments (Schedule of Compensation Expense Related to the Company's Share-Based Awards) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Total compensation expense for nonvested share-based awards | $ 86,940 | $ 72,655 | $ 61,356 |
Share-Based Payments (Narrative
Share-Based Payments (Narrative) (Details) - Nonvested shares - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average fair value of nonvested shares granted (in USD per share) | $ 48.26 | $ 55.84 | $ 51.92 |
Unrecognized compensation expense related to unvested share-based awards granted | $ 110.1 | ||
Weighted average remaining contractual life of unrecognized compensation expense related to unvested share-based awards | 1 year 9 months 18 days | ||
Nonvested shares vested (in shares) | 1,421,613 | 2,200,000 | 1,200,000 |
Share-Based Payments (Schedul_2
Share-Based Payments (Schedule Of Nonvested Shares Activity) (Details) - Nonvested shares - $ / shares | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Shares | |||
Beginning balance (in shares) | 2,737,352 | ||
Grants (in shares) | 2,081,935 | ||
Vested (in shares) | (1,421,613) | (2,200,000) | (1,200,000) |
Forfeited (in shares) | (106,811) | ||
Ending balance (in shares) | 3,290,863 | 2,737,352 | |
Weighted Average Grant Date Fair Value | |||
Beginning balance (in USD per share) | $ 52.37 | ||
Grants (in USD per share) | 48.26 | $ 55.84 | $ 51.92 |
Vested (in USD per share) | 50.43 | ||
Forfeited (in USD per share) | 51.50 | ||
Ending balance (in USD per share) | $ 50.64 | $ 52.37 |
Financial Instruments and Fai_3
Financial Instruments and Fair Value Disclosure (Carrying Amounts And Estimated Fair Value Of Financial Instruments) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Level 3 | Financial Services | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans Receivable, Fair Value Disclosure | $ 73,867 | $ 70,216 |
Investments held-to-maturity | 166,012 | 136,982 |
Level 3 | Financial Services | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans Receivable, Fair Value Disclosure | 69,708 | 63,794 |
Investments held-to-maturity | 195,962 | 149,767 |
Level 3 | Lennar Other | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments held-to-maturity | 54,117 | 59,974 |
Level 3 | Lennar Other | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments held-to-maturity | 56,415 | 72,986 |
Level 2 | Homebuilding | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes and other debts payable | 7,776,638 | 8,543,868 |
Level 2 | Homebuilding | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes and other debts payable | 8,144,632 | 8,336,166 |
Level 2 | Financial Services | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments held-to-maturity | 24,277 | 52,490 |
Notes and other debts payable | 1,745,755 | 1,558,702 |
Level 2 | Financial Services | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments held-to-maturity | 24,257 | 52,220 |
Notes and other debts payable | 1,745,782 | 1,559,718 |
Level 2 | Multifamily | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes and other debts payable | 36,125 | 0 |
Level 2 | Multifamily | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes and other debts payable | 36,125 | 0 |
Level 2 | Lennar Other | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes and other debts payable | 15,178 | 14,488 |
Level 2 | Lennar Other | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes and other debts payable | $ 15,178 | $ 14,488 |
Financial Instruments and Fai_4
Financial Instruments and Fair Value Disclosure (Fair Value Measured On Recurring Basis) (Details) - Financial Services - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Financial Instruments [Line Items] | ||
Investments available-for-sale | $ 3,732 | $ 4,200 |
Investments available-for-sale | 4,161 | |
Mortgage loan commitments | ||
Financial Instruments [Line Items] | ||
Derivative assets | 16,300 | 16,400 |
Forward contracts | ||
Financial Instruments [Line Items] | ||
Derivative assets | (3,900) | (10,400) |
Fair Value, Measurements, Recurring | Level 1 | ||
Financial Instruments [Line Items] | ||
Investments available-for-sale | 3,732 | |
Investments available-for-sale | 4,161 | |
Fair Value, Measurements, Recurring | Level 2 | ||
Financial Instruments [Line Items] | ||
Loans held-for-sale | 1,447,715 | 1,152,198 |
Fair Value, Measurements, Recurring | Level 2 | Loans held-for-sale | ||
Financial Instruments [Line Items] | ||
Aggregate principal balance of loans held-for-sale | 1,400,000 | 1,100,000 |
Aggregate fair value of loans held-for-sale in excess of principal balance | 42,200 | 37,300 |
Fair Value, Measurements, Recurring | Level 2 | Mortgage loan commitments | ||
Financial Instruments [Line Items] | ||
Derivative assets | 16,288 | 16,373 |
Fair Value, Measurements, Recurring | Level 2 | Forward contracts | ||
Financial Instruments [Line Items] | ||
Derivative assets (liabilities) | (3,856) | (10,360) |
Fair Value, Measurements, Recurring | Level 3 | ||
Financial Instruments [Line Items] | ||
Loans held-for-sale | 197,224 | 61,691 |
Mortgage servicing rights | 24,679 | 37,206 |
Fair Value, Measurements, Recurring | Level 3 | Loans held-for-sale | ||
Financial Instruments [Line Items] | ||
Aggregate principal balance of loans held-for-sale | 196,300 | 61,000 |
Aggregate fair value of loans held-for-sale in excess of principal balance | $ 900 | $ 700 |
Financial Instruments and Fai_5
Financial Instruments and Fair Value Disclosure (Narrative) (Details) $ in Billions | Nov. 30, 2019USD ($) |
Forward Commitments, Mortgage Backed Securities | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Open commitments to sell MBS | $ 1.7 |
Mortgage Prepayment Rate | Financial Services | Mortgage servicing rights | Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Mortgage servicing rights, key assumptions | 0.178 |
Discount Rate | Financial Services | Mortgage servicing rights | Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Mortgage servicing rights, key assumptions | 0.126 |
Delinquency Rate | Financial Services | Mortgage servicing rights | Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Mortgage servicing rights, key assumptions | 0.091 |
Financial Instruments and Fai_6
Financial Instruments and Fair Value Disclosure (Schedule Of Gains And Losses Of Financial Instruments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Debt and Equity Securities, FV-NI [Line Items] | |||
Changes in fair value included in other comprehensive income | $ 1,040 | $ (1,634) | $ 1,331 |
Fair Value, Measurements, Recurring | Financial Services | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Changes in fair value included in other comprehensive income | 1,040 | (1,634) | 1,331 |
Fair Value, Measurements, Recurring | Loans held-for-sale | Financial Services | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Changes in fair value included in revenue | 4,891 | 8,621 | 20,309 |
Fair Value, Measurements, Recurring | Mortgage loan commitments | Financial Services | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Changes in fair value included in revenue | (85) | 6,500 | 2,436 |
Fair Value, Measurements, Recurring | Forward contracts | Financial Services | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Changes in fair value included in revenue | 6,504 | (12,041) | (24,786) |
Fair Value, Measurements, Recurring | Investments available-for-sale | Financial Services | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Changes in fair value included in revenue | $ (176) | $ (234) | $ (12) |
Financial Instruments and Fai_7
Financial Instruments and Fair Value Disclosure (Reconciliation of Beginning and Ending Balance of the Company's Level 3 Recurring Fair Value Measurements (Details) - Financial Services - USD ($) $ in Thousands | 12 Months Ended | |
Nov. 30, 2019 | Nov. 30, 2018 | |
Mortgage servicing rights | ||
Fair Value Assets Measures on Recurring Basis, Unobservable Inputs [Roll Forward] | ||
Beginning of year | $ 37,206 | $ 31,163 |
Purchases/loan originations | 3,417 | 7,841 |
Sales/loan originations sold, including those not settled | 0 | 0 |
Disposals/settlements | (5,326) | (6,948) |
Changes in fair value | (10,618) | 5,150 |
Interest and principal paydowns | 0 | 0 |
End of year | 24,679 | 37,206 |
Loans held-for-sale | ||
Fair Value Assets Measures on Recurring Basis, Unobservable Inputs [Roll Forward] | ||
Beginning of year | 61,691 | 234,403 |
Purchases/loan originations | 1,593,655 | 1,350,091 |
Sales/loan originations sold, including those not settled | (1,447,818) | (1,504,554) |
Disposals/settlements | (9,920) | (19,600) |
Changes in fair value | 430 | 1,481 |
Interest and principal paydowns | (814) | (130) |
End of year | $ 197,224 | $ 61,691 |
Financial Instruments and Fai_8
Financial Instruments and Fair Value Disclosure (Fair Value Assets Measured On Nonrecurring Basis) (Details) - Fair Value, Measurements, Nonrecurring - Level 3 - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Lennar Other | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Impaired loans receivable, carrying value | $ 0 | $ 0 | $ 31,561 |
Impaired loans receivable, fair value | 0 | 0 | 18,885 |
Impaired loans receivable, total gains (losses) | 0 | 0 | (12,676) |
FDIC Portfolios loans held-for-sale, carrying value | 0 | 0 | 32,018 |
FDIC Portfolios loans held-for-sale, fair value | 0 | 0 | 12,072 |
FDIC Portfolios loans held-for-sale, total gains (losses) | 0 | 0 | (19,946) |
REO - held-for-sale upon acquisition/transfer, carrying value | 0 | 0 | 27,640 |
REO - held-for-sale upon acquisition/transfer, fair value | 0 | 0 | 26,591 |
REO - held-for-sale upon acquisition/transfer, total gains (losses) | 0 | 0 | (1,049) |
REO - held-for-sale upon management periodic valuations, carrying value | 0 | 58,721 | 145,251 |
REO - held-for-sale upon management periodic valuations, fair value | 0 | 25,632 | 81,677 |
REO - held-for-sale upon management periodic valuations, total gains (losses) | 0 | (33,089) | (63,574) |
Homebuilding | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Finished homes and construction in progress, carrying value | 218,942 | 4,019 | 8,601 |
Finished homes and construction in progress, fair value | 205,201 | 3,473 | 4,227 |
Finished homes and construction in progress, total gains and losses | (13,741) | (546) | (4,374) |
Land and land under development, carrying value | 121,564 | 96,093 | 6,771 |
Land and land under development, fair value | 82,816 | 62,850 | 3,094 |
Land and land under development, total gains (losses) | (38,748) | (33,243) | (3,677) |
Other assets, carrying value | 60,363 | 0 | 0 |
Other assets, fair value | 56,727 | 0 | 0 |
Other assets, total gains (loss) | $ (3,636) | $ 0 | $ 0 |
Consolidation Of Variable Int_3
Consolidation Of Variable Interest Entities (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019USD ($) | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | |
Variable Interest Entity [Line Items] | |||
VIE assets consolidated during period | $ 505,200 | ||
VIE liabilities consolidated during period | 602,100 | ||
Consolidated VIEs assets | 980,200 | $ 666,200 | |
Consolidated VIEs liabilities | 549,700 | 242,500 | |
Loss on consolidation of previously unconsolidated entity | 48,874 | 0 | $ 0 |
Letters of credit outstanding | 899,900 | ||
Variable Interest Entity, Not Primary Beneficiary | Homebuilding | |||
Variable Interest Entity [Line Items] | |||
Obligations related to VIEs | 54,800 | ||
Variable Interest Entity, Not Primary Beneficiary | Multifamily | Equity Commitments | |||
Variable Interest Entity [Line Items] | |||
Obligations related to VIEs | 224,200 | 237,000 | |
Variable Interest Entity, Not Primary Beneficiary | Multifamily | Letters of Credit | |||
Variable Interest Entity [Line Items] | |||
Obligations related to VIEs | 4,200 | 4,600 | |
Variable Interest Entity, Not Primary Beneficiary Including Third Parties | |||
Variable Interest Entity [Line Items] | |||
Increase in consolidated inventory not owned | 104,200 | ||
Non-refundable option deposits and pre-acquisition costs | 320,500 | 209,500 | |
Variable Interest Entity, Not Primary Beneficiary Including Third Parties | Letters of Credit | |||
Variable Interest Entity [Line Items] | |||
Letters of credit outstanding | 75,000 | $ 72,400 | |
Operating Segments | Homebuilding | |||
Variable Interest Entity [Line Items] | |||
Consolidated VIEs assets | 240,500 | ||
Consolidated VIEs liabilities | 373,500 | ||
Loss on consolidation of previously unconsolidated entity | $ 48,900 | ||
Discount rate | |||
Variable Interest Entity [Line Items] | |||
Unconsolidated entity, measurement input | 0.15 |
Consolidation Of Variable Int_4
Consolidation Of Variable Interest Entities (Estimated Maximum Exposure To Loss) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 |
Lennar Other | ||
Variable Interest Entity [Line Items] | ||
Investments held-to-maturity | $ 54,117 | $ 59,974 |
Financial Services | ||
Variable Interest Entity [Line Items] | ||
Investments held-to-maturity | 190,289 | 189,472 |
Variable Interest Entity, Not Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Investments in Unconsolidated VIEs | 840,851 | 787,499 |
Lennar’s Maximum Exposure to Loss | 1,076,663 | 1,096,600 |
Variable Interest Entity, Not Primary Beneficiary | Homebuilding | ||
Variable Interest Entity [Line Items] | ||
Investments in Unconsolidated VIEs | 80,939 | 123,064 |
Lennar’s Maximum Exposure to Loss | 81,118 | 184,945 |
Obligations related to VIEs | 54,800 | |
Variable Interest Entity, Not Primary Beneficiary | Lennar Other | ||
Variable Interest Entity [Line Items] | ||
Investments in Unconsolidated VIEs | 60,882 | 63,919 |
Lennar’s Maximum Exposure to Loss | 60,882 | 63,919 |
Investments held-to-maturity | 54,100 | 60,000 |
Variable Interest Entity, Not Primary Beneficiary | Multifamily | ||
Variable Interest Entity [Line Items] | ||
Investments in Unconsolidated VIEs | 533,018 | 463,534 |
Lennar’s Maximum Exposure to Loss | 768,651 | 710,754 |
Variable Interest Entity, Not Primary Beneficiary | Multifamily | Equity Commitments | ||
Variable Interest Entity [Line Items] | ||
Obligations related to VIEs | 224,200 | 237,000 |
Variable Interest Entity, Not Primary Beneficiary | Multifamily | Letters of Credit | ||
Variable Interest Entity [Line Items] | ||
Obligations related to VIEs | 4,200 | 4,600 |
Variable Interest Entity, Not Primary Beneficiary | Financial Services | ||
Variable Interest Entity [Line Items] | ||
Investments in Unconsolidated VIEs | 166,012 | 136,982 |
Lennar’s Maximum Exposure to Loss | $ 166,012 | $ 136,982 |
Commitments And Contingent Li_3
Commitments And Contingent Liabilities (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Other Commitments [Line Items] | |||
Non-refundable option deposits and pre-acquisition costs | $ 320.5 | ||
Rental expense | 92.2 | $ 98.4 | $ 74.6 |
Letters of credit outstanding | 899.9 | ||
Costs to Complete Related to Site Improvements | |||
Other Commitments [Line Items] | |||
Costs to complete related to site improvements | $ 1,400 | ||
Costs to complete related to site improvements as a percent | 48.00% | ||
Surety Bond | |||
Other Commitments [Line Items] | |||
Outstanding surety bonds | $ 2,900 |
Commitments And Contingent Li_4
Commitments And Contingent Liabilities (Schedule Of Operating Leases) (Details) $ in Thousands | Nov. 30, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2020 | $ 41,952 |
2021 | 41,076 |
2022 | 31,140 |
2023 | 22,507 |
2024 | 16,443 |
Thereafter | $ 31,909 |
Supplemental Financial Inform_3
Supplemental Financial Information (Narrative) (Details) - USD ($) | 12 Months Ended | |
Nov. 30, 2019 | Feb. 12, 2018 | |
Senior Notes | 6.625% senior notes due 2020 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.625% | |
Senior Notes | 2.95% senior notes due 2020 | ||
Debt Instrument [Line Items] | ||
Interest rate | 2.95% | |
Senior Notes | 8.375% senior notes due 2021 | ||
Debt Instrument [Line Items] | ||
Interest rate | 8.375% | |
Senior Notes | 4.750% senior notes due 2021 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Senior Notes | 6.25% senior notes due December 2021 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.25% | |
Senior Notes | 5.375% senior notes due 2022 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.375% | |
Senior Notes | 4.750% senior notes due 2022 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Senior Notes | 4.875% senior notes due December 2023 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.875% | |
Senior Notes | 5.875% senior notes due 2024 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.875% | |
Senior Notes | 4.750% senior notes due 2025 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Senior Notes | 5.25% senior notes due 2026 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.25% | |
Senior Notes | 5.00% senior notes due 2027 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.00% | |
Senior Notes | 4.75% senior notes due 2027 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Homebuilding | ||
Debt Instrument [Line Items] | ||
Interest rate | 7.50% | |
Guarantee by subsidiaries | $ 75,000,000 | |
Homebuilding | 4.125% senior notes due 2022 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.125% | |
Homebuilding | 4.500% senior notes due 2024 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.50% | |
Homebuilding | Senior Notes | 6.625% senior notes due 2020 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.625% | 6.625% |
Homebuilding | Senior Notes | 2.95% senior notes due 2020 | ||
Debt Instrument [Line Items] | ||
Interest rate | 2.95% | |
Homebuilding | Senior Notes | 8.375% senior notes due 2021 | ||
Debt Instrument [Line Items] | ||
Interest rate | 8.375% | 8.375% |
Homebuilding | Senior Notes | 4.750% senior notes due 2021 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Homebuilding | Senior Notes | 6.25% senior notes due December 2021 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.25% | 6.25% |
Homebuilding | Senior Notes | 4.125% senior notes due 2022 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.125% | |
Homebuilding | Senior Notes | 5.375% senior notes due 2022 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.375% | 5.375% |
Homebuilding | Senior Notes | 4.750% senior notes due 2022 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Homebuilding | Senior Notes | 4.875% senior notes due December 2023 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.875% | |
Homebuilding | Senior Notes | 4.500% senior notes due 2024 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.50% | |
Homebuilding | Senior Notes | 5.875% senior notes due 2024 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.875% | 5.875% |
Homebuilding | Senior Notes | 4.750% senior notes due 2025 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% | |
Homebuilding | Senior Notes | 5.25% senior notes due 2026 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.25% | 5.25% |
Homebuilding | Senior Notes | 5.00% senior notes due 2027 | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.00% | 5.00% |
Homebuilding | Senior Notes | 4.75% senior notes due 2027 | ||
Debt Instrument [Line Items] | ||
Interest rate | 4.75% |
Supplemental Financial Inform_4
Supplemental Financial Information (Consolidating Balance Sheet) (Details) - USD ($) $ in Thousands | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |||
Assets: | ||||||
Total assets | $ 29,359,511 | [1] | $ 28,566,181 | [1] | $ 18,745,034 | |
LIABILITIES AND EQUITY | ||||||
Total liabilities | [2] | 13,325,681 | 13,883,224 | |||
Total stockholders’ equity | [2] | 15,949,517 | 14,581,535 | |||
Noncontrolling interests | [2] | 84,313 | 101,422 | |||
Total equity | 16,033,830 | [2] | 14,682,957 | [2] | 7,986,132 | |
Total liabilities and equity | [2] | 29,359,511 | 28,566,181 | |||
Homebuilding | ||||||
Assets: | ||||||
Cash and cash equivalents, restricted cash and receivables, net | 1,539,654 | 1,587,047 | ||||
Inventories | 17,776,507 | 17,068,704 | ||||
Investments in unconsolidated entities | 1,009,035 | [1] | 870,201 | [1] | 862,349 | |
Goodwill | 3,442,359 | [1] | 3,442,359 | 136,566 | ||
Other assets | [1] | 1,021,684 | 1,355,782 | |||
Investments in subsidiaries | 0 | 0 | ||||
Intercompany | 0 | 0 | ||||
Total assets | [1] | 24,789,239 | 24,324,093 | |||
LIABILITIES AND EQUITY | ||||||
Accounts payable and other liabilities | 2,970,134 | 3,057,440 | ||||
Liabilities related to consolidated inventory not owned | [2] | 260,266 | 175,590 | |||
Senior notes and other debts payable, net | [2] | 7,776,638 | 8,543,868 | |||
Intercompany | 0 | 0 | ||||
Total liabilities | [2] | 11,007,038 | 11,776,898 | |||
Financial Services | ||||||
Assets: | ||||||
Goodwill | 215,516 | 237,688 | 59,838 | |||
Other assets | 130,699 | 125,886 | ||||
Total assets | [1] | 3,006,024 | 2,778,910 | |||
LIABILITIES AND EQUITY | ||||||
Total liabilities | [2] | 2,056,450 | 1,868,202 | |||
Multifamily | ||||||
Assets: | ||||||
Investments in unconsolidated entities | 561,190 | 481,129 | ||||
Other assets | 58,711 | 33,535 | ||||
Total assets | [1] | 1,068,831 | 874,219 | |||
LIABILITIES AND EQUITY | ||||||
Accounts payable and other liabilities | 196,030 | 170,616 | ||||
Total liabilities | [2] | 232,155 | 170,616 | |||
Lennar Other | ||||||
Assets: | ||||||
Investments in unconsolidated entities | 403,688 | 424,104 | ||||
Goodwill | 0 | 0 | $ 5,396 | |||
Other assets | 32,264 | 47,740 | ||||
Total assets | 495,417 | 588,959 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | [2] | 30,038 | 67,508 | |||
Reportable Legal Entities | Lennar Corporation | ||||||
Assets: | ||||||
Total assets | 23,548,274 | 23,354,154 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 7,598,757 | 8,772,619 | ||||
Total stockholders’ equity | 15,949,517 | 14,581,535 | ||||
Noncontrolling interests | 0 | 0 | ||||
Total equity | 15,949,517 | 14,581,535 | ||||
Total liabilities and equity | 23,548,274 | 23,354,154 | ||||
Reportable Legal Entities | Lennar Corporation | Homebuilding | ||||||
Assets: | ||||||
Cash and cash equivalents, restricted cash and receivables, net | 722,172 | 637,083 | ||||
Inventories | 0 | 0 | ||||
Investments in unconsolidated entities | 0 | 0 | ||||
Goodwill | 0 | 0 | ||||
Other assets | 344,941 | 339,307 | ||||
Investments in subsidiaries | 10,453,165 | 10,562,273 | ||||
Intercompany | 12,027,996 | 11,815,491 | ||||
Total assets | 23,548,274 | 23,354,154 | ||||
LIABILITIES AND EQUITY | ||||||
Accounts payable and other liabilities | 760,981 | 804,232 | ||||
Liabilities related to consolidated inventory not owned | 0 | 0 | ||||
Senior notes and other debts payable, net | 6,837,776 | 7,968,387 | ||||
Intercompany | 0 | 0 | ||||
Total liabilities | 7,598,757 | 8,772,619 | ||||
Reportable Legal Entities | Lennar Corporation | Financial Services | ||||||
Assets: | ||||||
Total assets | 0 | 0 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Reportable Legal Entities | Lennar Corporation | Multifamily | ||||||
Assets: | ||||||
Total assets | 0 | 0 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Reportable Legal Entities | Lennar Corporation | Lennar Other | ||||||
Assets: | ||||||
Total assets | 0 | 0 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Reportable Legal Entities | Guarantor Subsidiaries | ||||||
Assets: | ||||||
Total assets | 23,600,762 | 23,191,884 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 13,244,024 | 12,831,383 | ||||
Total stockholders’ equity | 10,356,738 | 10,360,501 | ||||
Noncontrolling interests | 0 | 0 | ||||
Total equity | 10,356,738 | 10,360,501 | ||||
Total liabilities and equity | 23,600,762 | 23,191,884 | ||||
Reportable Legal Entities | Guarantor Subsidiaries | Homebuilding | ||||||
Assets: | ||||||
Cash and cash equivalents, restricted cash and receivables, net | 794,588 | 886,059 | ||||
Inventories | 17,396,139 | 16,679,245 | ||||
Investments in unconsolidated entities | 1,006,541 | 866,395 | ||||
Goodwill | 3,442,359 | 3,442,359 | ||||
Other assets | 500,356 | 878,582 | ||||
Investments in subsidiaries | 26,773 | 89,044 | ||||
Intercompany | 0 | 0 | ||||
Total assets | 23,166,756 | 22,841,684 | ||||
LIABILITIES AND EQUITY | ||||||
Accounts payable and other liabilities | 1,935,366 | 1,977,579 | ||||
Liabilities related to consolidated inventory not owned | 260,266 | 162,090 | ||||
Senior notes and other debts payable, net | 885,783 | 523,589 | ||||
Intercompany | 10,122,374 | 10,116,590 | ||||
Total liabilities | 13,203,789 | 12,779,848 | ||||
Reportable Legal Entities | Guarantor Subsidiaries | Financial Services | ||||||
Assets: | ||||||
Total assets | 275,812 | 232,632 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 40,235 | 51,535 | ||||
Reportable Legal Entities | Guarantor Subsidiaries | Multifamily | ||||||
Assets: | ||||||
Total assets | 0 | 0 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Reportable Legal Entities | Guarantor Subsidiaries | Lennar Other | ||||||
Assets: | ||||||
Total assets | 158,194 | 117,568 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | ||||||
Assets: | ||||||
Total assets | 4,763,467 | 4,514,795 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 4,555,954 | 4,122,557 | ||||
Total stockholders’ equity | 123,200 | 290,816 | ||||
Noncontrolling interests | 84,313 | 101,422 | ||||
Total equity | 207,513 | 392,238 | ||||
Total liabilities and equity | 4,763,467 | 4,514,795 | ||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Homebuilding | ||||||
Assets: | ||||||
Cash and cash equivalents, restricted cash and receivables, net | 22,894 | 63,905 | ||||
Inventories | 380,368 | 389,459 | ||||
Investments in unconsolidated entities | 2,494 | 3,806 | ||||
Other assets | 217,607 | 164,848 | ||||
Investments in subsidiaries | 0 | 0 | ||||
Intercompany | 0 | 0 | ||||
Total assets | 623,363 | 622,018 | ||||
LIABILITIES AND EQUITY | ||||||
Accounts payable and other liabilities | 318,845 | 303,473 | ||||
Liabilities related to consolidated inventory not owned | 13,500 | |||||
Senior notes and other debts payable, net | 53,079 | 51,892 | ||||
Intercompany | 1,905,622 | 1,698,901 | ||||
Total liabilities | 2,277,546 | 2,067,766 | ||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Financial Services | ||||||
Assets: | ||||||
Total assets | 2,731,285 | 2,547,167 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 2,016,215 | 1,816,667 | ||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Multifamily | ||||||
Assets: | ||||||
Total assets | 1,068,831 | 874,219 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 232,155 | 170,616 | ||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Lennar Other | ||||||
Assets: | ||||||
Total assets | 339,988 | 471,391 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 30,038 | 67,508 | ||||
Consolidating Adjustments | ||||||
Assets: | ||||||
Total assets | (22,552,992) | (22,494,652) | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | (12,073,054) | (11,843,335) | ||||
Total stockholders’ equity | (10,479,938) | (10,651,317) | ||||
Noncontrolling interests | 0 | 0 | ||||
Total equity | (10,479,938) | (10,651,317) | ||||
Total liabilities and equity | (22,552,992) | (22,494,652) | ||||
Consolidating Adjustments | Homebuilding | ||||||
Assets: | ||||||
Cash and cash equivalents, restricted cash and receivables, net | 0 | 0 | ||||
Inventories | 0 | 0 | ||||
Investments in unconsolidated entities | 0 | 0 | ||||
Goodwill | 0 | 0 | ||||
Other assets | (41,220) | (26,955) | ||||
Investments in subsidiaries | (10,479,938) | (10,651,317) | ||||
Intercompany | (12,027,996) | (11,815,491) | ||||
Total assets | (22,549,154) | (22,493,763) | ||||
LIABILITIES AND EQUITY | ||||||
Accounts payable and other liabilities | (45,058) | (27,844) | ||||
Liabilities related to consolidated inventory not owned | 0 | 0 | ||||
Senior notes and other debts payable, net | 0 | 0 | ||||
Intercompany | (12,027,996) | (11,815,491) | ||||
Total liabilities | (12,073,054) | (11,843,335) | ||||
Consolidating Adjustments | Financial Services | ||||||
Assets: | ||||||
Total assets | (1,073) | (889) | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Consolidating Adjustments | Multifamily | ||||||
Assets: | ||||||
Total assets | 0 | 0 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | 0 | 0 | ||||
Consolidating Adjustments | Lennar Other | ||||||
Assets: | ||||||
Total assets | (2,765) | 0 | ||||
LIABILITIES AND EQUITY | ||||||
Total liabilities | $ 0 | $ 0 | ||||
[1] | Under certain provisions of Accounting Standards Codification ("ASC") Topic 810, Consolidations , ("ASC 810") the Company is required to separately disclose on its consolidated balance sheets the assets of consolidated variable interest entities ("VIEs") that are owned by the consolidated VIEs and liabilities of consolidated VIEs as to which there is no recourse against the Company. As of November 30, 2019 , total assets include $980.2 million related to consolidated VIEs of which $15.5 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $97.5 million in Homebuilding finished homes and construction in progress, $283.2 million in Homebuilding land and land under development, $301.0 million in Homebuilding consolidated inventory not owned, $2.5 million in Homebuilding investments in unconsolidated entities, $10.0 million in Homebuilding other assets, $221.2 million in Financial Services assets and $49.1 million in Multifamily assets. As of November 30, 2018 , total assets include $666.2 million related to consolidated VIEs of which $57.6 million is included in Homebuilding cash and cash equivalents, $0.2 million in Homebuilding receivables, net, $81.7 million in Homebuilding finished homes and construction in progress, $293.1 million in Homebuilding land and land under development, $209.0 million in Homebuilding consolidated inventory not owned, $3.8 million in Homebuilding investments in unconsolidated entities, $10.5 million in Homebuilding other assets and $10.3 million in Lennar Other assets. | |||||
[2] | As of November 30, 2019 , total liabilities include $549.7 million related to consolidated VIEs as to which there was no recourse against the Company, of which $13.7 million is included in Homebuilding accounts payable, $247.5 million in Homebuilding liabilities related to consolidated inventory not owned, $47.1 million in Homebuilding senior notes and other debts payable, $8.9 million in Homebuilding other liabilities, $231.1 million in Financial Services liabilities and $1.4 million in Multifamily liabilities. As of November 30, 2018 , total liabilities include $242.5 million related to consolidated VIEs as to which there was no recourse against the Company, of which $11.4 million is included in Homebuilding accounts payable, $175.6 million in Homebuilding liabilities related to consolidated inventory not owned, $51.9 million in Homebuilding senior notes and other debts payable, $2.6 million in Homebuilding other liabilities and $1.0 million in Lennar Other liabilities. |
Supplemental Financial Inform_5
Supplemental Financial Information (Condensed Consolidating Statement Of Operations and Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Revenues: | |||||||||||
Total revenues | $ 6,971,531 | $ 5,857,058 | $ 5,562,890 | $ 3,868,082 | $ 6,459,210 | $ 5,672,569 | $ 5,459,061 | $ 2,980,791 | $ 22,259,561 | $ 20,571,631 | $ 12,646,365 |
Costs and Expenses [Abstract] | |||||||||||
Acquisition and integration costs related to CalAtlantic | 0 | 152,980 | 0 | ||||||||
Corporate general and administrative expenses | 341,114 | 343,934 | 285,889 | ||||||||
Total costs and expenses | 19,798,380 | 18,734,360 | 11,307,370 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 2,528 | (30,518) | 49,478 | ||||||||
Gain on sale of Rialto investment and asset management platform | 296,407 | ||||||||||
Earnings (loss) before income taxes | 888,686 | 667,083 | 559,399 | 319,124 | 1,036,528 | 565,918 | 390,810 | 269,428 | 2,434,292 | 2,262,684 | 1,189,611 |
Benefit (provision) for income taxes | (592,173) | (545,171) | (417,857) | ||||||||
Equity in earnings from subsidiaries | 0 | 0 | 0 | ||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 1,842,119 | 1,717,513 | 771,754 | ||||||||
Less: Net earnings (loss) attributable to noncontrolling interests | (6,933) | 21,682 | (38,726) | ||||||||
Net earnings attributable to Lennar | $ 674,304 | $ 513,366 | $ 421,472 | $ 239,910 | $ 796,148 | $ 453,211 | $ 310,257 | $ 136,215 | 1,849,052 | 1,695,831 | 810,480 |
Other comprehensive income (loss), net of tax: | |||||||||||
Net unrealized gain (loss) on securities available-for-sale | 1,040 | (1,634) | 1,331 | ||||||||
Reclassification adjustments for (gains) loss included in net earnings | (176) | 234 | 12 | ||||||||
Total other comprehensive income (loss), net of tax | 864 | (1,400) | 1,343 | ||||||||
Total comprehensive income attributable to Lennar | 1,849,916 | 1,694,431 | 811,823 | ||||||||
Total comprehensive income (loss) attributable to noncontrolling interests | (6,933) | 21,682 | (38,726) | ||||||||
Homebuilding | |||||||||||
Revenues: | |||||||||||
Total revenues | 20,793,216 | 19,077,597 | 11,188,876 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 18,245,700 | 16,936,803 | 9,743,148 | ||||||||
Equity in earnings (loss) from unconsolidated entities | (13,273) | (90,209) | (63,637) | ||||||||
Other income (expense), net | (31,338) | 203,902 | 23,245 | ||||||||
Lennar Homebuilding loss due to litigation | 0 | 0 | (140,000) | ||||||||
Financial Services | |||||||||||
Revenues: | |||||||||||
Total revenues | 824,810 | 954,631 | 891,957 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 600,168 | 754,915 | 696,650 | ||||||||
Multifamily | |||||||||||
Revenues: | |||||||||||
Total revenues | 604,700 | 421,132 | 394,771 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 599,604 | 429,759 | 407,078 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 | ||||||||
Lennar Other | |||||||||||
Revenues: | |||||||||||
Total revenues | 36,835 | 118,271 | 170,761 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 11,794 | 115,969 | 174,605 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 15,372 | 24,110 | 27,376 | ||||||||
Other income (expense), net | (8,944) | (60,119) | (82,107) | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | 296,407 | 0 | ||||||||
Reportable Legal Entities | Lennar Corporation | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Acquisition and integration costs related to CalAtlantic | 0 | ||||||||||
Corporate general and administrative expenses | 328,014 | 336,355 | 279,490 | ||||||||
Total costs and expenses | 328,014 | 336,355 | 279,490 | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | ||||||||||
Earnings (loss) before income taxes | (329,027) | (321,615) | (279,917) | ||||||||
Benefit (provision) for income taxes | 79,822 | 78,249 | 95,228 | ||||||||
Equity in earnings from subsidiaries | 2,098,257 | 1,939,197 | 995,169 | ||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 1,849,052 | 1,695,831 | 810,480 | ||||||||
Less: Net earnings (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net earnings attributable to Lennar | 1,849,052 | 1,695,831 | 810,480 | ||||||||
Other comprehensive income (loss), net of tax: | |||||||||||
Net unrealized gain (loss) on securities available-for-sale | 0 | 0 | 0 | ||||||||
Reclassification adjustments for (gains) loss included in net earnings | 0 | 0 | 0 | ||||||||
Total other comprehensive income (loss), net of tax | 0 | 0 | 0 | ||||||||
Total comprehensive income attributable to Lennar | 1,849,052 | 1,695,831 | 810,480 | ||||||||
Total comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Lennar Corporation | Homebuilding | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Other income (expense), net | (1,013) | 14,740 | (427) | ||||||||
Lennar Homebuilding loss due to litigation | 0 | ||||||||||
Reportable Legal Entities | Lennar Corporation | Financial Services | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Lennar Corporation | Multifamily | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Lennar Corporation | Lennar Other | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Other income (expense), net | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Guarantor Subsidiaries | |||||||||||
Revenues: | |||||||||||
Total revenues | 20,872,797 | 19,343,786 | 11,426,445 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Acquisition and integration costs related to CalAtlantic | 152,980 | ||||||||||
Corporate general and administrative expenses | 8,039 | 2,417 | 1,338 | ||||||||
Total costs and expenses | 18,260,497 | 17,326,388 | 9,958,235 | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | ||||||||||
Earnings (loss) before income taxes | 2,544,856 | 2,118,032 | 1,284,298 | ||||||||
Benefit (provision) for income taxes | (613,579) | (498,424) | (427,961) | ||||||||
Equity in earnings from subsidiaries | 110,943 | 93,612 | 72,104 | ||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 2,042,220 | 1,713,220 | 928,441 | ||||||||
Less: Net earnings (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net earnings attributable to Lennar | 2,042,220 | 1,713,220 | 928,441 | ||||||||
Other comprehensive income (loss), net of tax: | |||||||||||
Net unrealized gain (loss) on securities available-for-sale | 0 | 0 | 0 | ||||||||
Reclassification adjustments for (gains) loss included in net earnings | 0 | 0 | 0 | ||||||||
Total other comprehensive income (loss), net of tax | 0 | 0 | 0 | ||||||||
Total comprehensive income attributable to Lennar | 2,042,220 | 1,713,220 | 928,441 | ||||||||
Total comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Guarantor Subsidiaries | Homebuilding | |||||||||||
Revenues: | |||||||||||
Total revenues | 20,707,299 | 18,972,723 | 11,118,553 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 18,154,739 | 16,831,780 | 9,676,548 | ||||||||
Equity in earnings (loss) from unconsolidated entities | (13,716) | (91,013) | (63,567) | ||||||||
Other income (expense), net | (41,119) | 192,951 | 17,488 | ||||||||
Lennar Homebuilding loss due to litigation | (140,000) | ||||||||||
Reportable Legal Entities | Guarantor Subsidiaries | Financial Services | |||||||||||
Revenues: | |||||||||||
Total revenues | 165,498 | 371,063 | 307,892 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 97,719 | 339,211 | 280,349 | ||||||||
Reportable Legal Entities | Guarantor Subsidiaries | Multifamily | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Guarantor Subsidiaries | Lennar Other | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | (12,609) | (1,304) | 2,167 | ||||||||
Other income (expense), net | 0 | 0 | 0 | ||||||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | |||||||||||
Revenues: | |||||||||||
Total revenues | 1,407,339 | 1,247,768 | 1,240,065 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Acquisition and integration costs related to CalAtlantic | 0 | ||||||||||
Corporate general and administrative expenses | 0 | 0 | 0 | ||||||||
Total costs and expenses | 1,229,428 | 1,106,242 | 1,089,325 | ||||||||
Gain on sale of Rialto investment and asset management platform | 296,407 | ||||||||||
Earnings (loss) before income taxes | 218,463 | 466,267 | 185,230 | ||||||||
Benefit (provision) for income taxes | (58,416) | (124,996) | (85,124) | ||||||||
Equity in earnings from subsidiaries | 0 | 0 | 0 | ||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | 160,047 | 341,271 | 100,106 | ||||||||
Less: Net earnings (loss) attributable to noncontrolling interests | (6,933) | 21,682 | (38,726) | ||||||||
Net earnings attributable to Lennar | 166,980 | 319,589 | 138,832 | ||||||||
Other comprehensive income (loss), net of tax: | |||||||||||
Net unrealized gain (loss) on securities available-for-sale | 1,040 | (1,634) | 1,331 | ||||||||
Reclassification adjustments for (gains) loss included in net earnings | (176) | 234 | 12 | ||||||||
Total other comprehensive income (loss), net of tax | 864 | (1,400) | 1,343 | ||||||||
Total comprehensive income attributable to Lennar | 167,844 | 318,189 | 140,175 | ||||||||
Total comprehensive income (loss) attributable to noncontrolling interests | (6,933) | 21,682 | (38,726) | ||||||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Homebuilding | |||||||||||
Revenues: | |||||||||||
Total revenues | 85,917 | 104,874 | 70,323 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 89,352 | 104,880 | 70,217 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 443 | 804 | (70) | ||||||||
Other income (expense), net | 9,778 | 10,913 | 5,719 | ||||||||
Lennar Homebuilding loss due to litigation | 0 | ||||||||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Financial Services | |||||||||||
Revenues: | |||||||||||
Total revenues | 679,887 | 603,491 | 604,075 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 528,678 | 447,186 | 437,212 | ||||||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Multifamily | |||||||||||
Revenues: | |||||||||||
Total revenues | 604,700 | 421,132 | 394,906 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 599,604 | 429,759 | 407,078 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 11,294 | 51,322 | 85,739 | ||||||||
Reportable Legal Entities | Non-Guarantor Subsidiaries | Lennar Other | |||||||||||
Revenues: | |||||||||||
Total revenues | 36,835 | 118,271 | 170,761 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 11,794 | 124,417 | 174,818 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 27,981 | 25,414 | 25,209 | ||||||||
Other income (expense), net | (8,944) | (60,119) | (82,107) | ||||||||
Consolidating Adjustments | |||||||||||
Revenues: | |||||||||||
Total revenues | (20,575) | (19,923) | (20,145) | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Acquisition and integration costs related to CalAtlantic | 0 | ||||||||||
Corporate general and administrative expenses | 5,061 | 5,162 | 5,061 | ||||||||
Total costs and expenses | (19,559) | (34,625) | (19,680) | ||||||||
Gain on sale of Rialto investment and asset management platform | 0 | ||||||||||
Earnings (loss) before income taxes | 0 | 0 | 0 | ||||||||
Benefit (provision) for income taxes | 0 | 0 | 0 | ||||||||
Equity in earnings from subsidiaries | (2,209,200) | (2,032,809) | (1,067,273) | ||||||||
Net earnings (including net earnings (loss) attributable to noncontrolling interests) | (2,209,200) | (2,032,809) | (1,067,273) | ||||||||
Less: Net earnings (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net earnings attributable to Lennar | (2,209,200) | (2,032,809) | (1,067,273) | ||||||||
Other comprehensive income (loss), net of tax: | |||||||||||
Net unrealized gain (loss) on securities available-for-sale | 0 | 0 | 0 | ||||||||
Reclassification adjustments for (gains) loss included in net earnings | 0 | 0 | 0 | ||||||||
Total other comprehensive income (loss), net of tax | 0 | 0 | 0 | ||||||||
Total comprehensive income attributable to Lennar | (2,209,200) | (2,032,809) | (1,067,273) | ||||||||
Total comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Consolidating Adjustments | Homebuilding | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 1,609 | 143 | (3,617) | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Other income (expense), net | 1,016 | (14,702) | 465 | ||||||||
Lennar Homebuilding loss due to litigation | 0 | ||||||||||
Consolidating Adjustments | Financial Services | |||||||||||
Revenues: | |||||||||||
Total revenues | (20,575) | (19,923) | (20,010) | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | (26,229) | (31,482) | (20,911) | ||||||||
Consolidating Adjustments | Multifamily | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | (135) | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | 0 | 0 | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Consolidating Adjustments | Lennar Other | |||||||||||
Revenues: | |||||||||||
Total revenues | 0 | 0 | 0 | ||||||||
Costs and Expenses [Abstract] | |||||||||||
Costs and expenses | 0 | (8,448) | (213) | ||||||||
Equity in earnings (loss) from unconsolidated entities | 0 | 0 | 0 | ||||||||
Other income (expense), net | $ 0 | $ 0 | $ 0 |
Supplemental Financial Inform_6
Supplemental Financial Information (Condensed Consolidating Statement Of Cash Flows) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Cash flows from operating activities: | |||
Net earnings (including net earnings attributable to noncontrolling interests) | $ 1,842,119 | $ 1,717,513 | $ 771,754 |
Distributions of earnings from guarantor and non-guarantor subsidiaries | 0 | 0 | 0 |
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities | (359,776) | (25,766) | 210,620 |
Net cash provided by (used in) operating activities | 1,482,343 | 1,691,747 | 982,374 |
Cash flows from investing activities: | |||
Proceeds from sale of operating properties | 38,633 | 60,326 | |
(Investments in and contributions to) and distributions of capital from unconsolidated entities, net | (30,648) | (43,031) | (222,977) |
Proceeds from sales of real estate owned | 8,866 | 32,221 | 86,565 |
Proceeds from sale of investments in unconsolidated entities | 17,790 | 225,267 | 0 |
Proceeds from sale of commercial mortgage-backed securities bonds | 14,222 | ||
Proceeds from sale of Rialto investment and asset management platform | 0 | 340,000 | 0 |
Receipts of principal payments on loans held-for-sale | 11,251 | ||
Originations of loans receivable | (98,375) | ||
Purchases of commercial mortgage-backed securities bonds | 0 | (31,068) | (107,262) |
Acquisitions, net of cash acquired | 0 | (1,078,282) | (604,366) |
Other | 23,588 | (91,916) | 29,758 |
Distributions of capital from guarantor and non-guarantor subsidiaries | 0 | 0 | 0 |
Intercompany | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 19,596 | (593,954) | (845,080) |
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 166,552 | 272,920 | (199,684) |
Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable | (1,205,866) | ||
Debt issuance costs | (25) | (14,661) | (28,590) |
Proceeds from senior notes, net of debt issuance costs | 2,421,410 | ||
Redemption of senior notes | (1,100,000) | (1,100,000) | (1,058,595) |
Conversions, exchanges and redemption of convertible senior notes | (1,288) | (59,145) | 0 |
Principal payments on Rialto notes payable including structured notes | 74,666 | ||
Net payments on other borrowings | (422,935) | (108,495) | |
Proceeds on other liabilities | 195,541 | ||
Net payments related to noncontrolling interests | (15,875) | (71,449) | (68,586) |
Excess tax benefits from share-based awards | 0 | 0 | 1,981 |
Common stock: | |||
Issuances | 493 | 3,061 | 720 |
Repurchases | (523,074) | (299,833) | (27,054) |
Dividends | (51,454) | (49,159) | (37,608) |
Intercompany | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | (1,629,224) | (2,195,901) | 1,194,296 |
Net increase (decrease) in cash and cash equivalents | (127,285) | (1,098,108) | 1,331,590 |
Cash and cash equivalents at beginning of year | 1,595,976 | 2,694,084 | 1,362,494 |
Cash and cash equivalents and restricted cash at end of year | 1,468,691 | 1,595,976 | 2,694,084 |
Lennar Other | |||
Common stock: | |||
Cash and cash equivalents at beginning of year | 31,509 | 264,327 | |
Cash and cash equivalents and restricted cash at end of year | 3,315 | 31,509 | 264,327 |
Reportable Legal Entities | Lennar Corporation | |||
Cash flows from operating activities: | |||
Net earnings (including net earnings attributable to noncontrolling interests) | 1,849,052 | 1,695,831 | 810,480 |
Distributions of earnings from guarantor and non-guarantor subsidiaries | 2,098,257 | 1,939,197 | 995,169 |
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities | (2,061,774) | (1,731,192) | (740,008) |
Net cash provided by (used in) operating activities | 1,885,535 | 1,903,836 | 1,065,641 |
Cash flows from investing activities: | |||
Proceeds from sale of operating properties | 0 | 0 | |
(Investments in and contributions to) and distributions of capital from unconsolidated entities, net | 0 | 0 | 0 |
Proceeds from sales of real estate owned | 0 | 0 | 0 |
Proceeds from sale of investments in unconsolidated entities | 0 | 0 | |
Proceeds from sale of commercial mortgage-backed securities bonds | 0 | ||
Proceeds from sale of Rialto investment and asset management platform | 0 | ||
Receipts of principal payments on loans held-for-sale | 0 | ||
Originations of loans receivable | 0 | ||
Purchases of commercial mortgage-backed securities bonds | 0 | 0 | |
Acquisitions, net of cash acquired | (1,162,342) | (604,366) | |
Other | (10,557) | (56,050) | (35,251) |
Distributions of capital from guarantor and non-guarantor subsidiaries | 0 | 94,987 | 115,000 |
Intercompany | (111,809) | (728,546) | (865,364) |
Net cash provided by (used in) investing activities | (122,366) | (1,851,951) | (1,389,981) |
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 0 | 0 | |
Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable | (1,100,000) | ||
Debt issuance costs | (9,189) | ||
Proceeds from senior notes, net of debt issuance costs | 2,433,539 | ||
Redemption of senior notes | (1,010,626) | (800,000) | |
Principal payments on Rialto notes payable including structured notes | 0 | ||
Net payments related to noncontrolling interests | 0 | 0 | 0 |
Excess tax benefits from share-based awards | 1,981 | ||
Common stock: | |||
Issuances | 493 | 3,061 | 720 |
Repurchases | (523,074) | (299,833) | (27,054) |
Dividends | (51,454) | (49,159) | (37,608) |
Intercompany | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | (1,674,035) | (1,365,746) | 1,571,578 |
Net increase (decrease) in cash and cash equivalents | 89,134 | (1,313,861) | 1,247,238 |
Cash and cash equivalents at beginning of year | 624,694 | 1,938,555 | 691,317 |
Cash and cash equivalents and restricted cash at end of year | 713,828 | 624,694 | 1,938,555 |
Reportable Legal Entities | Guarantor Subsidiaries | |||
Cash flows from operating activities: | |||
Net earnings (including net earnings attributable to noncontrolling interests) | 2,042,220 | 1,713,220 | 928,441 |
Distributions of earnings from guarantor and non-guarantor subsidiaries | 110,943 | 93,612 | 72,104 |
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities | (53,114) | 579,779 | (251,428) |
Net cash provided by (used in) operating activities | 2,100,049 | 2,386,611 | 749,117 |
Cash flows from investing activities: | |||
Proceeds from sale of operating properties | 38,633 | 60,326 | |
(Investments in and contributions to) and distributions of capital from unconsolidated entities, net | (174,481) | (94,937) | (181,101) |
Proceeds from sales of real estate owned | 0 | 0 | 0 |
Proceeds from sale of investments in unconsolidated entities | 0 | 199,654 | |
Proceeds from sale of commercial mortgage-backed securities bonds | 0 | ||
Proceeds from sale of Rialto investment and asset management platform | 0 | ||
Receipts of principal payments on loans held-for-sale | 0 | ||
Originations of loans receivable | 0 | ||
Purchases of commercial mortgage-backed securities bonds | 0 | 0 | |
Acquisitions, net of cash acquired | 44,711 | 0 | |
Other | 81,993 | (35,982) | (49,356) |
Distributions of capital from guarantor and non-guarantor subsidiaries | 0 | 40,987 | 80,000 |
Intercompany | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | (92,488) | 193,066 | (90,131) |
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | (20,472) | (104) | |
Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable | (131,737) | ||
Debt issuance costs | 0 | ||
Proceeds from senior notes, net of debt issuance costs | 0 | ||
Redemption of senior notes | (89,374) | (258,595) | |
Conversions, exchanges and redemption of convertible senior notes | (59,145) | ||
Principal payments on Rialto notes payable including structured notes | 0 | ||
Net payments on other borrowings | (128,685) | (104,471) | |
Net payments related to noncontrolling interests | 0 | 0 | 0 |
Excess tax benefits from share-based awards | 0 | ||
Common stock: | |||
Issuances | 0 | 0 | 0 |
Repurchases | 0 | 0 | 0 |
Dividends | (2,042,220) | (1,799,207) | (1,018,441) |
Intercompany | (2,431) | 306,199 | 700,197 |
Net cash (used in) provided by financing activities | (2,196,860) | (2,225,020) | (681,414) |
Net increase (decrease) in cash and cash equivalents | (189,299) | 354,657 | (22,428) |
Cash and cash equivalents at beginning of year | 721,603 | 366,946 | 389,374 |
Cash and cash equivalents and restricted cash at end of year | 532,304 | 721,603 | 366,946 |
Reportable Legal Entities | Non-Guarantor Subsidiaries | |||
Cash flows from operating activities: | |||
Net earnings (including net earnings attributable to noncontrolling interests) | 160,047 | 341,271 | 100,106 |
Distributions of earnings from guarantor and non-guarantor subsidiaries | 0 | 0 | 0 |
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities | (454,088) | (907,162) | 134,783 |
Net cash provided by (used in) operating activities | (294,041) | (565,891) | 234,889 |
Cash flows from investing activities: | |||
Proceeds from sale of operating properties | 0 | 0 | |
(Investments in and contributions to) and distributions of capital from unconsolidated entities, net | 143,833 | 51,906 | (41,876) |
Proceeds from sales of real estate owned | 8,866 | 32,221 | 86,565 |
Proceeds from sale of investments in unconsolidated entities | 17,790 | 25,613 | |
Proceeds from sale of commercial mortgage-backed securities bonds | 14,222 | ||
Proceeds from sale of Rialto investment and asset management platform | 340,000 | ||
Receipts of principal payments on loans held-for-sale | 11,251 | ||
Originations of loans receivable | (98,375) | ||
Purchases of commercial mortgage-backed securities bonds | (31,068) | (107,262) | |
Acquisitions, net of cash acquired | 39,349 | 0 | |
Other | (55,227) | 116 | 114,365 |
Distributions of capital from guarantor and non-guarantor subsidiaries | 0 | 0 | 0 |
Intercompany | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 115,262 | 472,359 | (35,332) |
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 187,024 | (199,580) | |
Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable | 25,871 | ||
Debt issuance costs | (5,472) | ||
Proceeds from senior notes, net of debt issuance costs | (12,129) | ||
Redemption of senior notes | 0 | 0 | |
Conversions, exchanges and redemption of convertible senior notes | 0 | ||
Principal payments on Rialto notes payable including structured notes | 74,666 | ||
Net payments on other borrowings | (294,250) | (4,024) | |
Proceeds on other liabilities | 195,541 | ||
Net payments related to noncontrolling interests | (15,875) | (71,449) | (68,586) |
Excess tax benefits from share-based awards | 0 | ||
Common stock: | |||
Issuances | 0 | 0 | 0 |
Repurchases | 0 | 0 | 0 |
Dividends | (159,601) | (369,576) | (243,832) |
Intercompany | 114,240 | 422,347 | 165,167 |
Net cash (used in) provided by financing activities | 151,659 | (45,372) | (92,777) |
Net increase (decrease) in cash and cash equivalents | (27,120) | (138,904) | 106,780 |
Cash and cash equivalents at beginning of year | 249,679 | 388,583 | 281,803 |
Cash and cash equivalents and restricted cash at end of year | 222,559 | 249,679 | 388,583 |
Consolidating Adjustments | |||
Cash flows from operating activities: | |||
Net earnings (including net earnings attributable to noncontrolling interests) | (2,209,200) | (2,032,809) | (1,067,273) |
Distributions of earnings from guarantor and non-guarantor subsidiaries | (2,209,200) | (2,032,809) | (1,067,273) |
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by operating activities | 2,209,200 | 2,032,809 | 1,067,273 |
Net cash provided by (used in) operating activities | (2,209,200) | (2,032,809) | (1,067,273) |
Cash flows from investing activities: | |||
Proceeds from sale of operating properties | 0 | 0 | |
(Investments in and contributions to) and distributions of capital from unconsolidated entities, net | 0 | 0 | 0 |
Proceeds from sales of real estate owned | 0 | 0 | 0 |
Proceeds from sale of investments in unconsolidated entities | 0 | 0 | |
Proceeds from sale of commercial mortgage-backed securities bonds | 0 | ||
Proceeds from sale of Rialto investment and asset management platform | 0 | ||
Receipts of principal payments on loans held-for-sale | 0 | ||
Originations of loans receivable | 0 | ||
Purchases of commercial mortgage-backed securities bonds | 0 | 0 | |
Acquisitions, net of cash acquired | 0 | 0 | |
Other | 7,379 | 0 | 0 |
Distributions of capital from guarantor and non-guarantor subsidiaries | 0 | (135,974) | (195,000) |
Intercompany | 111,809 | 728,546 | 865,364 |
Net cash provided by (used in) investing activities | 119,188 | 592,572 | 670,364 |
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 0 | 0 | |
Net borrowings (repayments) on convertible senior notes, other borrowings, other liabilities, and other notes payable | 0 | ||
Debt issuance costs | 0 | ||
Proceeds from senior notes, net of debt issuance costs | 0 | ||
Redemption of senior notes | 0 | 0 | |
Conversions, exchanges and redemption of convertible senior notes | 0 | ||
Principal payments on Rialto notes payable including structured notes | 0 | ||
Net payments on other borrowings | 0 | 0 | |
Proceeds on other liabilities | 0 | ||
Net payments related to noncontrolling interests | 0 | 0 | 0 |
Excess tax benefits from share-based awards | 0 | ||
Common stock: | |||
Issuances | 0 | 0 | 0 |
Repurchases | 0 | 0 | 0 |
Dividends | 2,201,821 | 2,168,783 | 1,262,273 |
Intercompany | (111,809) | (728,546) | (865,364) |
Net cash (used in) provided by financing activities | 2,090,012 | 1,440,237 | 396,909 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents and restricted cash at end of year | 0 | 0 | 0 |
Unsecured Revolving Credit Facility | |||
Cash flows from financing activities: | |||
Net repayments under unsecured revolving credit facility | (454,700) | ||
Net borrowings (repayments) under warehouse facilities | 0 | (454,700) | 0 |
Unsecured Revolving Credit Facility | Reportable Legal Entities | Lennar Corporation | |||
Cash flows from financing activities: | |||
Net repayments under unsecured revolving credit facility | 0 | ||
Unsecured Revolving Credit Facility | Reportable Legal Entities | Guarantor Subsidiaries | |||
Cash flows from financing activities: | |||
Net repayments under unsecured revolving credit facility | (454,700) | ||
Unsecured Revolving Credit Facility | Consolidating Adjustments | |||
Cash flows from financing activities: | |||
Net repayments under unsecured revolving credit facility | 0 | ||
Warehouse Repurchase Facility | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | $ 166,552 | 272,920 | $ (199,684) |
Warehouse Repurchase Facility | Reportable Legal Entities | Lennar Corporation | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 0 | ||
Warehouse Repurchase Facility | Reportable Legal Entities | Guarantor Subsidiaries | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | (108) | ||
Warehouse Repurchase Facility | Reportable Legal Entities | Non-Guarantor Subsidiaries | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | 273,028 | ||
Warehouse Repurchase Facility | Consolidating Adjustments | |||
Cash flows from financing activities: | |||
Net borrowings (repayments) under warehouse facilities | $ 0 |
Quarterly Data (unaudited) (Sch
Quarterly Data (unaudited) (Schedule Of Quarterly Financial Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $ 6,971,531 | $ 5,857,058 | $ 5,562,890 | $ 3,868,082 | $ 6,459,210 | $ 5,672,569 | $ 5,459,061 | $ 2,980,791 | $ 22,259,561 | $ 20,571,631 | $ 12,646,365 |
Gross profit from sales of homes | 1,385,859 | 1,085,633 | 1,038,587 | 726,079 | 1,274,241 | 1,057,903 | 840,042 | 516,628 | |||
Earnings before income taxes | 888,686 | 667,083 | 559,399 | 319,124 | 1,036,528 | 565,918 | 390,810 | 269,428 | 2,434,292 | 2,262,684 | 1,189,611 |
Net earnings attributable to Lennar | $ 674,304 | $ 513,366 | $ 421,472 | $ 239,910 | $ 796,148 | $ 453,211 | $ 310,257 | $ 136,215 | $ 1,849,052 | $ 1,695,831 | $ 810,480 |
Earnings per share: | |||||||||||
Basic (in USD per share) | $ 2.13 | $ 1.60 | $ 1.31 | $ 0.74 | $ 2.42 | $ 1.37 | $ 0.95 | $ 0.53 | $ 5.76 | $ 5.46 | $ 3.38 |
Diluted (in USD per share) | $ 2.13 | $ 1.59 | $ 1.30 | $ 0.74 | $ 2.42 | $ 1.37 | $ 0.94 | $ 0.53 | $ 5.74 | $ 5.44 | $ 3.38 |
Schedule II-Valuation And Qua_2
Schedule II-Valuation And Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Nov. 30, 2019 | Nov. 30, 2018 | Nov. 30, 2017 | |
Allowances for doubtful accounts and notes and other receivables | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | $ 2,793 | $ 2,849 | $ 328 |
Additions, Charged to costs and expenses | 1,404 | 246 | 260 |
Additions, Charged (credited) to other accounts | (344) | (156) | 2,463 |
Deductions | (474) | (146) | (202) |
Ending balance | 3,379 | 2,793 | 2,849 |
Allowance for loan losses and loans receivable | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | 6,154 | 3,192 | 33,575 |
Additions, Charged to costs and expenses | 485 | 2,177 | 32,850 |
Additions, Charged (credited) to other accounts | 0 | 3,890 | (1) |
Deductions | (2,517) | (3,105) | (63,232) |
Ending balance | 4,122 | 6,154 | 3,192 |
Allowance against net deferred tax assets | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | 7,219 | 6,423 | 5,773 |
Additions, Charged to costs and expenses | 0 | 796 | 650 |
Additions, Charged (credited) to other accounts | 0 | 0 | 0 |
Deductions | (2,878) | 0 | 0 |
Ending balance | $ 4,341 | $ 7,219 | $ 6,423 |
Uncategorized Items - len-20191
Label | Element | Value |
Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 9,753,000 |