In November 2022, the Company entered into a long-term lease agreement lease for new office space in New York, NY. This operating lease expires two years from the commencement date and has the option to be renewed for an additional year. The Company recognized ROU lease asset and lease liability based on the present value of the future minimum lease payments at the lease commencement date. The Company did not include the renewal options as part of the ROU lease asset and lease liability at the commencement date as it was not reasonably certain that the renewal option will be exercised. The Company used incremental borrowing rates based on the estimated rate of interest for collateralized borrowing over a similar term of the lease payments at commencement date in determining the present value of future payments. As of December 31, 2022, the weighted-average remaining lease term was 1.83 years and weighted-average discount rate was 7.17%. As of December 31, 2022, the ROU lease asset was of $0.4 million and is included within the "Other assets" line item in the consolidated balance sheet. As of December 31, 2022, the short-term portion of the lease liability was $0.2 million and is included within the "Accrued expenses and other current liabilities" line item in the consolidated balance sheet. As of December 31, 2022, the long-term portion of the lease liability was $0.3 million and is included within the "Other liabilities" line item in the consolidated balance sheet. Operating lease costs recognized for the year ended December 31, 2022 were immaterial.

In addition, the Company's wholly owned subsidiary, Groop Internet Platform LTD, located in Israel, leases its operating facilities under a month-to-month operating lease agreement. Leases with an initial term of 12 months or less are not recorded on the balance sheet. The Company recognizes rent expense for these leases on a straight-line basis over the lease term. Rent expense related to these leases for the years ended December 31, 2022, 2021 and 2020 was $0.2 million, $0.1 million and $0.5 million, respectively.

The following table outlines the maturities of the Company’s lease liabilities as of December 31, 2022:


December 31,	In thousands
2023	$	270
2024		225
Total undiscounted lease payments	$	495
Less interest		(29	)
Present value of operating lease liability	$	466