construction and land development utah began in 1900 as a construction company and came to be known inter nationally for its expertise in building large heavy earthworks projects for 69 years construction represented a very substantial portion of the company's activities then because of a commitment to a sizeable capital spending program for new mines and the need to dramati cally broaden the financial base of the company it was concluded that the unpredictability of the construction busi ness constituted an unacceptable risk consequently in 1969 all of utah's heavy construction activities were sold followed in 1971 by the sale of all dredging assets today the only investment in construction is as a limited partner in an enterprise which builds commercial and light indus trial structures primarily in the western united states an interest in land development ven tures was generated at utah during the early 1950's since that time a wide variety of projects have been pursued including industrial parks residential developments retirement residences golf courses shopping centers and commer cial buildings those projects in which the company still maintains a significant investment are all in california and include harbor bay isle 900 acres of undeveloped property on san francisco bay a pro posal by utah and a partner for residential and commercial development of this property is under review by various interested local government groups vandenberg village a residential de velopment including a shopping center and golf course near vandenberg air force base sales of residential property which began in 1959 continued with 820 acres still unsold at year end south shore center an attractive shopping center on 49 acres in the san francisco bay area built in 1956 this project is owned and operated as an investment pauma valley a picturesque setting of residential properties surrounding a private golf course at the base of mount palomar near san diego sales of homesites completed houses and con dominiums have characterized the development of the 1771 acres acquired since 1959 moraga ranch a residential property east of oakland although the entire 4,000 acres at moraga have been sold the receipt of installment payments continued to yield current profits land development operations realized a loss in 1973 as investment income and profitability from current and deferred sales arrangements were not adequate to offset the costs of holding and maintaining unsold properties adding to these costs in 1973 was an expense incurred for the preparation of an earlier development plan for harbor bay isle these develop ment costs were being capitalized until march when as a result of the passage of an initiative proposition which limits residential development in the city of alameda it became appropriate to ex pense the amounts so capitalized a modi fied plan for the area based on ihe concepts of the initiative proposition and in keeping with the anticipated lifestyle of the project's residents is being readied for approval by appropriate city agencies considering the demands of existing projects and the many frustrations of the land development business resulting from the need to satisfy hosts of govern mental agencies utah international is not aggressively seeking opportunities to participate in new large-scale land development projects at this time ownership of shopping centers develop ment of home building sites and sales of completed homes comprise utah's active real estate projects