Leases

9 Months Ended

Sep. 30, 2023

Leases:

The Company has an operating lease for research laboratories and office space in Burnaby, British Columbia which expires on June 30, 2032. In July 2022, the Company entered into an additional operating lease agreement for office space in Needham, Massachusetts ("Needham Lease"), which commenced on October 1, 2022. The Needham Lease is for a 62-month term and an option to terminate one year prior to the expiry date, which was not considered in the determination of the right-of-use asset and lease liability.

The cost components of the operating leases were as follows for the three and nine months ended September 30, 2023 and 2022:


	Three Months Ended September 30,						Nine Months Ended September 30,
	2023			2022			2023			2022
Lease Cost
Operating lease expense	$	412		$	238		$	1,235		$	714
Variable lease expense(1)		198			195			593			578
Lease Term and Discount Rate
Weighted average remaining lease term (years)		7.52			9.75			7.52			9.75
Weighted average discount rate		3.89	%		3.42	%		3.89	%		3.42	%

(1)

Variable lease costs are payments that vary because of changes in facts or circumstances and include common area maintenance and property taxes related to the premises. Variable lease costs are excluded from the calculation of minimum lease payments.

Future minimum lease payments as of September 30, 2023 were as follows:


Year ending December 31:
2023	$	406
2024		1,676
2025		1,743
2026		1,811
2027		1,797
2028 and thereafter		5,278
Total future minimum lease payments	$	12,711
Less: imputed interest		(1,708	)
Present value of lease liabilities	$	11,003