# ASC 360-970-35: Property, Plant, and Equipment — Real Estate—General — 35 Subsequent Measurement Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/360/970/#35-subsequent-measurement) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T00:12:11.808Z to 2026-09-10T00:12:11.808Z Record version: sha256:41e6a45cfe2050fe2ce670705a59471e2e82a1075acd7a5ba8d90003d5f62518 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-970-35: 35 Subsequent Measurement [Read section](https://asc.understandingaccounting.org/asc/360/970/#35-subsequent-measurement) SEC content: no ### Real Estate Project Costs #### Real Estate Donated to Government Agencies ##### [360-970-35-1](https://asc.understandingaccounting.org/asc/360/970/#360-970-35-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:11.808Z to 2026-09-10T00:12:11.808Z Record version: sha256:6ecc486090fdb45557bab99fc5f2adea46663f4750c12055e869e73bd1ee3bd7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Real estate donated to municipalities or other governmental agencies for uses that will benefit the project are not abandonments. The cost of the real estate donated shall be allocated as a common cost of the project. #### Changes in Use of Real Estate Acquired for Development ##### [360-970-35-2](https://asc.understandingaccounting.org/asc/360/970/#360-970-35-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:11.808Z to 2026-09-10T00:12:11.808Z Record version: sha256:cc2e7e77f87a54fa90b103e39697582eead6f58f85c7481fa72a0898393fed11 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Changes in the use of real estate comprising a project or a portion of a project may arise after significant development and construction costs have been incurred. If the change in use is made pursuant to a formal plan for a project that is expected to produce a higher economic yield (as compared to its yield based on use before change), the development and construction costs to be charged to expense shall be limited to the amount by which the capitalized costs incurred and to be incurred exceed the estimated value of the revised project when it is substantially complete and ready for its intended use. #### Recoverability ##### [360-970-35-3](https://asc.understandingaccounting.org/asc/360/970/#360-970-35-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:11.808Z to 2026-09-10T00:12:11.808Z Record version: sha256:4ab037850175d82be2c61049a21155dc063051a253997dca258ed205d5cab067 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The provisions in Subtopic 360-10 for long-lived assets to be disposed of by sale shall apply to a real estate project, or parts thereof, that is substantially completed and that is to be sold. The provisions in that Topic for long-lived assets to be held and used shall apply to real estate held for development, including property to be developed in the future as well as that currently under development, and to a real estate project, or parts thereof, that is substantially completed and that is to be held and used (for example, for rental). Determining whether the carrying amounts of real estate projects require recognition of an impairment loss shall be based on an evaluation of individual projects. An individual project, for this purpose, consists of components that are relatively homogeneous, integral parts of a whole (for example, individual houses in a residential tract, individual units in a condominium complex, and individual lots in a subdivision and [amenities](https://asc.understandingaccounting.org/glossary/a/#amenities "Features that enhance the attractiveness or perceived value of a time-sharing interval. Examples of amenities include golf courses, utility plants, clubhouses, swimming pools, tennis courts, indoor recreational facilities, and parking facilities. See also Promised Amenities.")). Therefore, a multiphase development consisting of a tract of single-family houses, a condominium complex, and a lot subdivision generally would be evaluated as three separate projects. ##### [360-970-35-4](https://asc.understandingaccounting.org/asc/360/970/#360-970-35-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:12:11.808Z to 2026-09-10T00:12:11.808Z Record version: sha256:6e5429fb49f89e5a740f5787ae2af2f7b4249e9a85440e4a55bc8cf4d2a68525 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [360-10-35-21](https://asc.understandingaccounting.org/asc/360/10/#360-10-35-21) provides examples of events or changes in circumstances that indicate that the recoverability of the carrying amount of a long-lived asset shall be assessed. Insufficient rental demand for a rental project currently under construction is an additional example that indicates that the recoverability of the real estate project shall be assessed in accordance with the provisions of Subtopic 360-10.