Quarterly report pursuant to Section 13 or 15(d)

Leases

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Leases
 3 Months Ended
Mar. 31, 2024
Leases [Abstract]  
Leases Leases
Lessor Arrangements

We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. These leases encompass all, or a portion, of properties, with various expiration dates. Our lease revenue is comprised of: fixed-lease revenue, including contractual rent billings under leases recognized on a straight-line basis over lease terms and amortization of lease incentives and above- and below-market lease intangibles; and variable-lease revenue, including tenant expense recoveries, lease termination revenue and other revenue from tenants that is not fixed under leases. The table below sets forth our composition of lease revenue recognized between fixed- and variable-lease revenue (in thousands):
For the Three Months Ended March 31,
Lease revenue 2024 2023
Fixed $ 126,198  $ 116,039 
Variable 39,235  34,521 
$ 165,433  $ 150,560 
Lessee Arrangements

As of March 31, 2024, our balance sheet included $42.9 million in right-of-use assets associated primarily with land leased from third parties underlying certain properties that we are operating with various expiration dates. Our property right-of-use assets and property lease liabilities on our consolidated balance sheets consisted of the following (in thousands):
Leases Balance Sheet Location March 31,
2024		 December 31,
2023
Right-of-use assets
Operating leases - Property Property - operating right-of-use assets $ 40,368  $ 41,296 
Finance leases - Property Prepaid expenses and other assets, net 2,547  2,565 
Total right-of-use assets $ 42,915  $ 43,861 
Lease liabilities
Operating leases - Property Property - operating lease liabilities $ 33,141  $ 33,931 
Finance leases - Property Other liabilities 409  415 
Total lease liabilities $ 33,550  $ 34,346 

As of March 31, 2024, our operating leases had a weighted average remaining lease term of 51 years and a weighted average discount rate of 7.32%, while our finance leases had a weighted average remaining lease term of nine years and a weighted average discount rate of 9.14%. The table below presents our total property lease cost (in thousands):
Statement of Operations Location For the Three Months Ended March 31,
Lease cost 2024 2023
Operating lease cost
Property leases - fixed Property operating expenses $ 1,859  $ 1,535 
Property leases - variable Property operating expenses 34  17 
Finance lease cost
Amortization of property right-of-use assets Property operating expenses 19  20 
Interest on lease liabilities Interest expense 9  13 
$ 1,921  $ 1,585 

The table below presents the effect of property lease payments on our consolidated statements of cash flows (in thousands):
For the Three Months Ended March 31,
Supplemental cash flow information 2024 2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases $ 1,724  $ 1,185 
Operating cash flows for financing leases $ 9  $ 13 
Financing cash flows for financing leases $ 6  $ 4 
Payments on property leases were due as follows (in thousands):
March 31, 2024
Year Ending December 31, Operating Leases Finance Leases
2024 (1)
 $ 5,099  $ 46 
2025 2,403  63 
2026 1,815  65 
2027 1,830  66 
2028 1,847  69 
Thereafter 139,906  297 
Total lease payments 152,900  606 
Less: Amount representing interest (119,759) (197)
Lease liability $ 33,141  $ 409 
(1)Represents the nine months ending December 31, 2024.
Leases Leases
Lessor Arrangements

We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. These leases encompass all, or a portion, of properties, with various expiration dates. Our lease revenue is comprised of: fixed-lease revenue, including contractual rent billings under leases recognized on a straight-line basis over lease terms and amortization of lease incentives and above- and below-market lease intangibles; and variable-lease revenue, including tenant expense recoveries, lease termination revenue and other revenue from tenants that is not fixed under leases. The table below sets forth our composition of lease revenue recognized between fixed- and variable-lease revenue (in thousands):
For the Three Months Ended March 31,
Lease revenue 2024 2023
Fixed $ 126,198  $ 116,039 
Variable 39,235  34,521 
$ 165,433  $ 150,560 
Lessee Arrangements

As of March 31, 2024, our balance sheet included $42.9 million in right-of-use assets associated primarily with land leased from third parties underlying certain properties that we are operating with various expiration dates. Our property right-of-use assets and property lease liabilities on our consolidated balance sheets consisted of the following (in thousands):
Leases Balance Sheet Location March 31,
2024		 December 31,
2023
Right-of-use assets
Operating leases - Property Property - operating right-of-use assets $ 40,368  $ 41,296 
Finance leases - Property Prepaid expenses and other assets, net 2,547  2,565 
Total right-of-use assets $ 42,915  $ 43,861 
Lease liabilities
Operating leases - Property Property - operating lease liabilities $ 33,141  $ 33,931 
Finance leases - Property Other liabilities 409  415 
Total lease liabilities $ 33,550  $ 34,346 

As of March 31, 2024, our operating leases had a weighted average remaining lease term of 51 years and a weighted average discount rate of 7.32%, while our finance leases had a weighted average remaining lease term of nine years and a weighted average discount rate of 9.14%. The table below presents our total property lease cost (in thousands):
Statement of Operations Location For the Three Months Ended March 31,
Lease cost 2024 2023
Operating lease cost
Property leases - fixed Property operating expenses $ 1,859  $ 1,535 
Property leases - variable Property operating expenses 34  17 
Finance lease cost
Amortization of property right-of-use assets Property operating expenses 19  20 
Interest on lease liabilities Interest expense 9  13 
$ 1,921  $ 1,585 

The table below presents the effect of property lease payments on our consolidated statements of cash flows (in thousands):
For the Three Months Ended March 31,
Supplemental cash flow information 2024 2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases $ 1,724  $ 1,185 
Operating cash flows for financing leases $ 9  $ 13 
Financing cash flows for financing leases $ 6  $ 4 
Payments on property leases were due as follows (in thousands):
March 31, 2024
Year Ending December 31, Operating Leases Finance Leases
2024 (1)
 $ 5,099  $ 46 
2025 2,403  63 
2026 1,815  65 
2027 1,830  66 
2028 1,847  69 
Thereafter 139,906  297 
Total lease payments 152,900  606 
Less: Amount representing interest (119,759) (197)
Lease liability $ 33,141  $ 409 
(1)Represents the nine months ending December 31, 2024.
Leases Leases
Lessor Arrangements

We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. These leases encompass all, or a portion, of properties, with various expiration dates. Our lease revenue is comprised of: fixed-lease revenue, including contractual rent billings under leases recognized on a straight-line basis over lease terms and amortization of lease incentives and above- and below-market lease intangibles; and variable-lease revenue, including tenant expense recoveries, lease termination revenue and other revenue from tenants that is not fixed under leases. The table below sets forth our composition of lease revenue recognized between fixed- and variable-lease revenue (in thousands):
For the Three Months Ended March 31,
Lease revenue 2024 2023
Fixed $ 126,198  $ 116,039 
Variable 39,235  34,521 
$ 165,433  $ 150,560 
Lessee Arrangements

As of March 31, 2024, our balance sheet included $42.9 million in right-of-use assets associated primarily with land leased from third parties underlying certain properties that we are operating with various expiration dates. Our property right-of-use assets and property lease liabilities on our consolidated balance sheets consisted of the following (in thousands):
Leases Balance Sheet Location March 31,
2024		 December 31,
2023
Right-of-use assets
Operating leases - Property Property - operating right-of-use assets $ 40,368  $ 41,296 
Finance leases - Property Prepaid expenses and other assets, net 2,547  2,565 
Total right-of-use assets $ 42,915  $ 43,861 
Lease liabilities
Operating leases - Property Property - operating lease liabilities $ 33,141  $ 33,931 
Finance leases - Property Other liabilities 409  415 
Total lease liabilities $ 33,550  $ 34,346 

As of March 31, 2024, our operating leases had a weighted average remaining lease term of 51 years and a weighted average discount rate of 7.32%, while our finance leases had a weighted average remaining lease term of nine years and a weighted average discount rate of 9.14%. The table below presents our total property lease cost (in thousands):
Statement of Operations Location For the Three Months Ended March 31,
Lease cost 2024 2023
Operating lease cost
Property leases - fixed Property operating expenses $ 1,859  $ 1,535 
Property leases - variable Property operating expenses 34  17 
Finance lease cost
Amortization of property right-of-use assets Property operating expenses 19  20 
Interest on lease liabilities Interest expense 9  13 
$ 1,921  $ 1,585 

The table below presents the effect of property lease payments on our consolidated statements of cash flows (in thousands):
For the Three Months Ended March 31,
Supplemental cash flow information 2024 2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases $ 1,724  $ 1,185 
Operating cash flows for financing leases $ 9  $ 13 
Financing cash flows for financing leases $ 6  $ 4 
Payments on property leases were due as follows (in thousands):
March 31, 2024
Year Ending December 31, Operating Leases Finance Leases
2024 (1)
 $ 5,099  $ 46 
2025 2,403  63 
2026 1,815  65 
2027 1,830  66 
2028 1,847  69 
Thereafter 139,906  297 
Total lease payments 152,900  606 
Less: Amount representing interest (119,759) (197)
Lease liability $ 33,141  $ 409 
(1)Represents the nine months ending December 31, 2024.