In the ordinary course of business, from time to time, we may be subject to legal claims and administrative proceedings. As of June 30, 2024, we are not subject to any litigation that we believe could have, individually or in the aggregate, a material adverse effect on our business, financial condition or results of operations, liquidity or cash flows.

•Operating Lease Commitments. We are liable under various operating leases for: (i) land at the Cascata golf course, which expires in 2038 and has three 10-year extension options, and (ii) our corporate headquarters in New York, NY, which expires in 2035 and has one five-year renewal option.

•Sub-Lease Commitments. Certain of our acquisitions necessitate that we assume, as the lessee, ground and use leases that are integral to the operations of the property, the cost of which is passed to our tenants through our lease agreements, which require the tenants to pay all costs associated with such ground and use leases and provide for their direct payment to the landlord.

We have determined we are the primary obligor of certain of such ground and use leases and, accordingly, have presented these leases on a gross basis on our Balance Sheet and Statement of Operations.

For the ground and use leases determined to be operating leases, we recorded a sub-lease right-of-use assets in Other assets and sub-lease liabilities in Other liabilities. For ground and lease uses determined to be finance leases, we recorded a sales-type sub-lease in Other assets and finance sub-lease liability in Other liabilities.

The following table details the balance and location in our Balance Sheet of the ground and use sub-leases as of June 30, 2024 and December 31, 2023:


(In thousands)	June 30, 2024		December 31, 2023
Others assets (operating lease and sub-leases right-of-use assets)	$	40,787	$	38,345
Other liabilities (operating lease and sub-lease liabilities)	41,192		38,345
Others assets (sales-type sub-leases, net) (1)	845,866		847,330
Other liabilities (finance sub-lease liabilities)	865,886		866,052

(1) As of June 30, 2024 and December 31, 2023, sales-type sub-leases are net of $20.0 million and $18.7 million of allowance for credit losses, respectively. Refer to Note 5 – Allowance for Credit Losses for further details.

Total rental expense for operating lease commitments and total rental income and rental expense for operating and Finance sub-lease commitments and contractual rent expense under these agreements were as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
(In thousands)	2024		2023		2024		2023
Operating leases
Rental expense (1)	$	341	$	508	$	1,073	$	1,006
Contractual rent	143		483		856		956
Operating sub-leases
Rental income and expense (2)	1,712		1,712		3,424		3,424
Contractual rent	1,686		1,637		3,365		3,268
Finance sub-leases
Rental income and expense (2)	16,009		14,430		32,015		28,859
Contractual rent	15,800		14,281		31,503		28,562

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(1) Total rental expense is included in golf operations and general and administrative expenses in our Statement of Operations.

(2) Total rental income and rental expense for operating and finance sub-lease commitments are presented gross and included in Other income and Other expenses in our Statement of Operations.

The future minimum lease commitments relating to the base lease rent portion of noncancelable operating leases and ground and use sub-leases at June 30, 2024 are as follows:


(In thousands)	Operating Lease Commitments		Operating Sub-Lease Commitments		Financing Sub-Lease Commitments
2024 (remaining)	$	496	$	3,188	$	33,587
2025	1,082		5,129		65,255
2026	2,772		3,934		65,255
2027	1,921		4,009		65,255
2028	2,813		3,034		65,318
2029	1,921		2,094		65,881
Thereafter	20,825		—		2,694,882
Total minimum lease commitments	$	31,830	$	21,388	$	3,055,433
Discounting factor	10,693		1,334		2,189,547
Lease liability	$	21,137	$	20,054	$	865,886

Discount rates (1)	5.3% – 7.0%		2.6% – 2.9%		5.6% – 8.3%

Weighted average remaining lease term	12.8 years		4.4 years		52.2 years

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(1) The discount rates for the leases were determined based on the yield of our then current secured borrowings, adjusted to match borrowings of similar terms.