Quarterly report [Sections 13 or 15(d)]

Property and Equipment

v3.25.1
Property and Equipment
 3 Months Ended
Mar. 31, 2025
Property, Plant and Equipment [Abstract]  
Property and Equipment
4. Property and Equipment
Property and equipment, net consists of the following:
March 31, 2025 December 31, 2024
(In millions)
Land $ 481.3  $ 484.3 
Buildings and improvements 1,519.6  1,510.7 
Furniture, fixtures and equipment 592.4  577.3 
Construction in progress 74.1  61.6 
Total, at cost 2,667.4  2,633.9 
Less accumulated depreciation (1,036.8) (1,003.6)
Subtotal 1,630.6  1,630.3 
Less assets held for sale (1) (15.5) (23.4)
Property and equipment, net $ 1,615.1  $ 1,606.9 
(1)Classified in other current assets in the accompanying unaudited condensed consolidated balance sheets.
Capital expenditures were approximately $45.0 million and $43.8 million in the three months ended March 31, 2025 and 2024, respectively. Capital expenditures in all periods were primarily related to construction of new franchised dealerships and powersports stores, and building improvements and equipment purchased for use in our franchised dealerships and EchoPark and powersports stores. Certain capital expenditures are recognized in the Franchised Dealerships Segment to better monitor project development costs prior to transferring the capitalized asset balance to the appropriate entity or operating segment upon project completion. Assets held for sale as of March 31, 2025 and December 31, 2024 consisted of real property not currently used in operations that we expect to dispose of in the next 12 months.
Fixed asset impairment charges for the three months ended March 31, 2025 were approximately $0.2 million, which was related to property held for sale. Fixed asset impairment charges for the three months ended March 31, 2024 were approximately $1.0 million,