It was the sale of the land alongside the highway for expansion.  It was bare land, but it was fenced, the fencing was however moved back onto their new property line.  So no improvements??  Extra twist: They also received "rent" from the state for storage of equipment while construction was occurring.  Just another more to the twist, the property owner sold said property on 01/10/2020 and gave the rent to the new owners (still waiting to see if they gave it to them through escrow or an actual check).  So they have to declare the rent (do we have to go the Sch E route or can we just do a Income not subject to SE?) and then 1099 the new owners?  My next to last return and I'm just so over this.  Thanks for your help, it sounds like it would be clean to be able to "add it to the basis" at the sale.