The way I read this Sunniva still owns it though. Seems like Baker could put a lean on it, but I don't have any training in this:
Is the lessee the accounting owner?Under current US GAAP, a lessee involved in the construction or design of an asset before lease commencement is the accounting owner during the construction period if it either:[840-40-55-2 – 55-16]takes on substantially all of the construction-period risks, determined through a ‘maximum guarantee test’; orengages in one or more specifically prohibited activities, such as directly funding construction costs, making in-substance equity investments in the project, providing prohibited indemnifications, or taking title to the asset or land on which the asset is built.A lessee who is the accounting owner of a construction project recognizes a construction-in-progress asset on its balance sheet with a corresponding liability for construction costs funded by the lessor. When construction is complete and the lease term begins, the lessee evaluates the transaction as a sale-leaseback transaction. If the transaction qualifies as a sale based on the sale-leaseback guidance, the lessee derecognizes the construction asset and recognizes profit or loss in the same manner as it would for other sale-leaseback transactions. If the transaction does not qualify as a salebased on the sale-leaseback guidance, the lessee continues to report the constructed asset and any asset funding from the lessor on its balance sheet. Once the asset is in service, the lessee begins depreciating the asset in the same manner as its owned property, plant and equipment. It accounts for the lease payments as debt service payments towards the asset funding liability. For many lessees, build-to-suit assets and liabilities remain on their balance sheets long after construction is complete because the transaction fails to qualify for sale-leaseback accounting.
