	December 31,
(in thousands)	2020			2019
Land and improvements	$	62,131		$	66,609
Buildings and improvements		224,942			221,139
Furniture and equipment		106,501			102,171
Total cost		393,574			389,919
Accumulated depreciation and amortization		(200,214	)		(187,437	)
Right of use assets		56,061			58,532
Total premises and equipment, net	$	249,421		$	261,014

Depreciation and amortization expense of premises and equipment charged to operations for the years ended December 31, 2020, 2019 and 2018 was $14.1 million, $11.5 million and $10.5 million, respectively.

Operating leases are recorded as a right of use (“ROU”) asset and operating lease liability, included in premises and equipment, net and other liabilities, respectively, on the consolidated balance sheet beginning January 1, 2019 when Wesbanco adopted ASU 2016-02 (Leases-Topic 842) prospectively. Operating lease ROU assets represent the right to use an underlying asset during the lease term and operating lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using a discount rate that represents our incremental borrowing rate at the lease commencement date. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term, and is recorded primarily in net occupancy expense in the consolidated statements of comprehensive income. Wesbanco initially capitalized $20 million upon adoption for right-of-use assets and lease liabilities, net of existing straight-line lease liabilities and unfavorable acquired lease liabilities.

Operating leases relate primarily to bank branches, office space and license agreements with remaining lease terms of generally 1 to 30 years, which include options for multiple five- and ten- year extensions, with a weighted-average lease term of 15.7 years. As of December 31, 2020, operating lease ROU assets and liabilities were $51.5 million and $56.0 million, respectively, and as of December 31, 2019, operating lease ROU assets and liabilities were $53.6 million and $56.5 million, respectively, of which $37.2 million of operating ROU assets and liabilities were acquired from OLBK. The lease expense for operating leases was $5.8 million, $5.4 million and $4.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. The weighted average discount rate was 2.81% as of December 31, 2020.

Finance leases relate primarily to bank branches and office space with remaining lease terms of generally 5 to 20 years, which include options for multiple five-and ten-year extensions, with weighted-average lease terms of 13.5 years. As of December 31, 2020, the finance lease ROU assets and liabilities were $4.5 million and $5.2 million, respectively and were $5.0 million and $5.6 million, respectively, as of December 31, 2019. The weighted average discount rate was 3.78% and 3.77% as of December 31, 2020 and 2019, respectively. Amortization cost related to finance lease ROU assets was $0.4 million for each of the years ended December 31, 2020, 2019 and 2018, respectively. Interest expense related to finance lease ROU assets was $0.2 million for each of the years ended December 31, 2020, 2019 and 2018, respectively.

Future minimum lease payments under non-cancellable leases with initial or remaining lease terms in excess of one year at December 31, 2020 are as follows (in thousands):

Year	Operating Leases			Finance Leases			Total
2021	$	6,358		$	855		$	7,213
2022		5,566			873			6,439
2023		5,010			885			5,895
2024		4,526			890			5,416
2025		4,365			861			5,226
2026 and thereafter		45,676			3,778			49,454
Total lease payments	$	71,501		$	8,142		$	79,643
Less: capitalized interest		(15,465	)		(2,962	)		(18,427	)
Present value of lease liabilities	$	56,036		$	5,180		$	61,216