Quarterly report pursuant to Section 13 or 15(d)

Lease Commitments Lease Commitments

v3.19.1
Lease Commitments Lease Commitments
 3 Months Ended
Mar. 31, 2019
Leases [Abstract]  
Lease Commitments
Leases Commitments

The Company has ground leases and an administrative office lease, both of which are accounted for as operating leases. Most leases include one or more options to renew, with renewal terms that can extend the lease term from 5 to 50 years. The following properties are subject to leases which require the Company to make fixed annual rental payments and variable lease payments, which are immaterial and include escalation clauses and renewal options as follows (unaudited, in thousands):
 
Three Months Ended March 31,
 
 
 
 
2019
 
2018
 
Expiration Year
 
Amscot
$
6

 
$
5

 
2045
 
Beaver Ruin Village
14

 
11

 
2054
 
Beaver Ruin Village II
6

 
5

 
2056
 
Leased office space Charleston, SC
25

 
25

 
2019
 
Moncks Corner
30

 
30

 
2040
 
Devine Street
99

 
63

 
2051
(1) 
JANAF (2)
67

 
60

 
2069
 
    Total ground leases
$
247

 
$
199

 
 
 
(1) Lease options are exercised through 2035 with options which are reasonably certain to be exercised through 2051.
(2) Includes $30 thousand and $24 thousand in variable percentage rent, during the three months ended March 31, 2019 and 2018, respectively.

Supplemental information related to leases is as follows (in thousands, unaudited):
 
Three Months Ended March 31, 2019
Cash paid for amounts included in the measurement of operating lease liabilities
$
170

Leased assets obtained in exchange for new operating lease liabilities
$
11,904


 
March 31, 2019
 
(unaudited)
Weighted-average remaining lease term
36 years
Weighted-average discount rate
4.84%


Undiscounted cash flows of our scheduled obligations for future minimum lease payments due under the operating leases, including applicable automatic extension options and options reasonably certain of being exercised, as of March 31, 2019 and a reconciliation of those cash flows to the operating lease liabilities at March 31, 2019 are as follows (in thousands, unaudited):
 
For the remaining nine months ended December 31, 2019
$
475

December 31, 2020
583

December 31, 2021
637

December 31, 2022
640

December 31, 2023
642

December 31, 2024
644

Thereafter
23,109

    Total minimum lease payments (1)
26,730

Discount
(14,768
)
    Operating lease liabilities
$
11,962

(1) Operating lease payments include $7.54 million related to options to extend lease terms that are reasonably certain of being exercised