The estimated useful life of each asset group is summarized below:
Asset GroupEstimated Useful Lives
Furniture and fixtures
5 to 7 years
Model home furnishings
Lesser of 3 years or the life of the community
Buildings40 years
Leasehold improvements
Lesser of 40 years or the lease term
Machinery and equipment
5 to 7 years
Office equipment
5 to 7 years
Vehicles5 years
The following table summarizes the Company’s property and equipment (in thousands):
Asset GroupDecember 31, 2025December 31, 2024
Buildings$171 $171 
Model home furnishings2,480 505 
Land63 63 
Leasehold improvements 97 97 
Machinery and equipment 72 72 
Office equipment 58 50 
Vehicles290 430 
Total Property and equipment3,231 1,388 
Less: Accumulated depreciation(1,106)(629)
Property and equipment, net$2,125 $759 

Historical Timeline

Fiscal YearFiled
2025Mar 13, 2026Showing above
2024Mar 14, 2025
2023Mar 15, 2024

About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.