7. Leases

Leasing revenue consists of rental revenue from multi-family, retail, office and commercial property, cell towers and other assets, which is recognized as earned, using the straight-line method over the life of each lease.

The components of leasing revenue are as follows:


	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Leasing revenue
Lease payments	$	2,724	$	5,404
Variable lease payments		950		1,777
Total leasing revenue	$	3,674	$	7,181

Minimum future base rental revenue on non-cancelable leases subsequent to June 30, 2019, for the next five years ending December 31 are:



2019	$	5,725
2020		11,016
2021		9,810
2022		8,977
2023		7,010
	$	42,538

As of June 30, 2019, the Company leased certain office equipment under a finance lease and had operating leases for property and equipment used in hospitality operations with remaining lease terms up to the year 2024. Certain leases include options to purchase, terminate or renew for one or more years, which are included in the lease term used to establish right-of-use assets and lease liabilities when it is reasonably certain that the option will be exercised. Finance lease right-of-use assets are included within property, plant and equipment and operating lease right-of-use assets are included within other assets on the condensed consolidated balance sheets, which represent the Company’s right to use an underlying asset during a lease term for leases in excess of one year. Corresponding finance lease liability and operating lease liabilities are included within other liabilities on the condensed consolidated balance sheets and are related to the Company’s obligation to make lease payments for leases in excess of one year. Prior to the adoption ASU 2016-02 on January 1, 2019 lease assets and liabilities for operating leases were not recognized. The Company uses its incremental borrowing rate to determine the present value of the lease payments since the rate implicit in each lease is not readily determinable.

The components of lease expense are as follows:



	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Lease cost
Finance lease cost:
Amortization of right-of-use assets	$	12	$	16
Interest on lease liability		3		4
Operating lease cost		53		105
Short-term lease cost		237		301
Total lease cost	$	305	$	426

Other information
Weighted-average remaining lease term - finance lease (in years)				4.7
Weighted-average remaining lease term - operating leases (in years)				1.7
Weighted-average discount rate - finance lease				5.0%
Weighted-average discount rate - operating leases				5.0%

The aggregate payments of finance lease liability subsequent to June 30, 2019, for the years ending December 31 are:


2019	$	27
2020		54
2021		54
2022		54
2023		54
Thereafter		10
Total		253
Less imputed interest		(27)
Total finance lease liability	$	226

The aggregate payments of operating lease liabilities subsequent to June 30, 2019, for the years ending December 31 are:


2019	$	91
2020		149
2021		82
2022		5
2023		2
Total		329
Less imputed interest		(17)
Total operating lease liabilities	$	312