Leases

6 Months Ended

Jun. 30, 2021

Leases

Leases

8. Leases

Leasing revenue consists of rental revenue from multi-family, senior living, 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 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:

	Three Months Ended June 30,				Six Months Ended June 30,
	2021		2020		2021		2020
Leasing revenue
Lease payments	$	5,156	$	3,772	$	9,637	$	7,154
Variable lease payments		1,215		1,135		2,329		2,052
Total leasing revenue	$	6,371	$	4,907	$	11,966	$	9,206

Minimum future base rental revenue on non-cancelable leases subsequent to June 30, 2021, for the years ending December 31 are:

2021	$	9,629
2022		13,342
2023		9,932
2024		8,072
2025		5,273
Thereafter		14,878
	$	61,126

As of June 30, 2021, 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 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. 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:

	Three Months Ended June 30,				Six Months Ended June 30,
	2021		2020		2021			2020
Lease cost
Finance lease cost:
Amortization of right-of-use assets	$	28	$	13	$	55		$	25
Interest on lease liability		4		2		9			5
Operating lease cost		79		72		156			137
Short-term lease cost		550		277		743			351
Total lease cost	$	661	$	364	$	963		$	518
Other information
Weighted-average remaining lease term - finance lease (in years)						3.9			4.1
Weighted-average remaining lease term - operating leases (in years)						3.6			2.6
Weighted-average discount rate - finance lease						4.5	%		5.0	%
Weighted-average discount rate - operating leases						4.9	%		5.0	%

The aggregate payments of finance lease liability subsequent to June 30, 2021, for the years ending December 31 are:

2021	$	62
2022		126
2023		126
2024		79
2025		42
Thereafter		2
Total		437
Less imputed interest		(33)
Total finance lease liability	$	404

The aggregate payments of operating lease liabilities subsequent to June 30, 2021, for the years ending December 31 are:

2021	$	151
2022		261
2023		220
2024		108
2025		51
Thereafter		281
Total		1,072
Less imputed interest		(209)
Total operating lease liabilities	$	863