[Jayfar]

Originally Posted by DudeGuy

I listened to Toll's earnings call today. It doesn't sound like they're going to start this project. I will post the relevant components from the earnings call once the transcript comes out, but I believe the phrasing was "We have some land inventory for projects that we have chosen not to start in this environment", and they later mentioned Philadelphia and Seattle as markets where they have land they are sitting on.

Here's that transcript of the Toll Bros Q2 earnings call, including Q7A: https://seekingalpha.com/article/435...pt?part=single

The segment of the Q&A where Philadelphia is mentioned:

Operator

Next question comes from Jade Rahmani of KBW. Please go ahead.

Ryan Tomasello

This is Ryan Tomasello for Jade. Jut regarding apartments and City Living. You gave some color in your prepared remarks on the former. But can you speak a bit more about how you’re thinking about the outlook for those businesses post the dust settling? Can you remind us how much equity you currently have allocated in each of those segments? And you mentioned you’ll be closing a few apartment JVs in the second half of the year. I was wondering how much capital that relates to and what the intention is to do with those proceeds, if you expect to reinvest those back into the apartment business.

Marty Connor

Sure. I think with respect to the apartment business, we have around $700 million invested in that business, and we hope to recoup $400 million through the balance of the next 12 months or so through JV formations. With respect to City Living, we’re actually at a good time in terms of where we have investments. We have around $170 million net invested in existing inventory, active communities. We have another $30 million in our couple off balance sheet joint ventures, and then we have some land inventory for projects that we have chosen not to start in this environment.

Ryan Tomasello

And just in terms of outlook, particularly in City Living, post this environment becoming a bit more certain if you expect City Living demand to be -- continue to be a driver for the business?

Douglas Yearley

Yes. I think, short term, we’re going to be very cautious. Right now, we only have five buildings in City Living, three are completed and the other two are nearing completion. But, we do have some land for future buildings that where we have not started any construction. And right now we are just sitting on the land. It’s not just in New York. We have some land in Seattle and Philadelphia as two examples. So, as Marty said, I think we’re at a good time in terms of our City Living business, which had been shrinking significantly. And in those five buildings that I mentioned, which are in -- two are in New Jersey, Hoboken, Jersey City and the other three are in Manhattan. They’re all positioned sort of mid-market. We talked about kind of $2,000 a foot, $1,800 a foot in New Jersey. They’re down at a $1,000 a foot. And so, they had been performing fairly well for us through what we all know, has been a difficult a few years in New York.

And short term, I think we’re very realistic that it will take some time to see where New York City falls out on this. And then, longer term, I’m comforted by what I just described, which was limited inventory in these five buildings that are all kind of mid market. But longer term, we will be very cautious with our expansion, of City Living in and around New York City until we have more clarity on where the long-term market stands. Today, only about 3% of our business is in Toll Brothers City Living.