Leases

12 Months Ended

Dec. 31, 2020

Leases

Leases

8. Leases

Leasing revenue consists of rental revenue from multi-family, retail, office and commercial property and other assets, which is recognized as earned, using the straight-line method over the life of each lease. The Company’s leases have remaining lease terms up to the year 2036, some of which include options to terminate or extend.

The components of leasing revenue are as follows:

	Year Ended December 31,
	2020		2019		2018
Leasing revenue
Lease payments	$	14,710	$	11,637	$	10,660
Variable lease payments		4,109		3,944		3,067
Total leasing revenue	$	18,819	$	15,581	$	13,727

Minimum future base rental revenue on non-cancelable leases subsequent to December 31, 2020, for the years ending December 31 are:

2021	$	14,820
2022		11,204
2023		8,967
2024		7,505
2025		5,076
Thereafter		14,656
	$	62,228

As of December 31, 2020, the Company leased certain office and other equipment under finance leases and had operating leases for property and equipment used in corporate, hospitality and commercial operations with remaining lease terms up to the year 2049. 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 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 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, Leases 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 Company recognizes short-term (twelve months or less) lease payments in profit or loss on a straight-line basis over the term of the lease and variable lease payments in the period in which the obligation for those payments is incurred.

The components of lease expense are as follows:

	Year Ended December 31,
	2020			2019
Lease cost
Finance lease cost:
Amortization of right-of-use assets	$	57		$	40
Interest on lease liability		11			9
Operating lease cost		289			238
Short-term lease cost		1,016			721
Total lease cost	$	1,373		$	1,008
Other information
Weighted-average remaining lease term - finance lease (in years)		3.9			4.2
Weighted-average remaining lease term - operating leases (in years)		3.9			3.1
Weighted-average discount rate - finance lease		5.0	%		5.0
Weighted-average discount rate - operating leases		4.9	%		5.0

The aggregate payments of finance lease liability subsequent to December 31, 2020, for the years ending December 31 are:

2021	$	94
2022		94
2023		94
2024		47
2025		12
Total		341
Less imputed interest		(25)
Total finance lease liability	$	316

The aggregate payments of operating lease liabilities subsequent to December 31, 2020, for the years ending December 31 are:

2021	$	256
2022		201
2023		158
2024		88
2025		37
Thereafter		281
Total		1,021
Less imputed interest		(213)
Total operating lease liabilities	$	808