Deferred Revenue

9 Months Ended

Sep. 30, 2023

Deferred Revenue

Deferred Revenue

11. Deferred Revenue

As of September 30, 2023 and December 31, 2022, deferred revenue includes club initiation fees of $40.7 million and $25.1 million, respectively, and other deferred revenue of $14.8 million and $13.8 million, respectively.

Club initiation fees are recognized as revenue over the estimated average duration of membership, which is evaluated periodically. The following table presents the changes in club initiation fees related to contracts with customers:

	September 30, 2023		September 30, 2022
Balance at beginning of period	$	25,088	$	22,850
New club memberships		22,025		7,335
Revenue from amounts included in contract liability opening balance		(5,243)		(4,663)
Revenue from current period new memberships		(1,149)		(535)
Balance at end of period	$	40,721	$	24,987

Remaining performance obligations represent contracted revenue that has not been recognized related to club initiation fees. As of September 30, 2023, remaining performance obligations were $40.7 million, of which the Company expects to recognize as revenue $2.3 million in 2023, $17.9 million in 2024 through 2025, $14.6 million in 2026 through 2027 and $5.9 million thereafter.

Other deferred revenue as of both September 30, 2023 and December 31, 2022, includes $10.9 million related to a 2006 agreement pursuant to which the Company agreed to sell land to the Florida Department of Transportation. Revenue is recognized when title to a specific parcel is legally transferred.