Leases (Tables)

12 Months Ended

Dec. 31, 2022

The components of lease expense were as follows for the periods presented (in thousands):


		Year Ended December 31,
	Classification	2022		2021		2020
Operating lease cost: (1)
Real estate lease expense	Property operating expenses	$	22,150	$	22,642	$	23,472
Non-real estate investment lease expense	General and administrative expenses	5,794		4,596		4,745
Finance lease cost:
Amortization of leased assets	Property operating expenses	6,837		8,105		8,203
Interest on lease liabilities	Interest expense	6,164		6,574		6,411
Sublease income	Rental income	(11,487)		(8,687)		(4,173)
Total		$	29,458	$	33,230	$	38,658

(1) Includes short-term leases which are immaterial

Supplemental cash flow information related to leases was as follows for the periods indicated (in thousands):


		Year Ended December 31,
	Classification	2022		2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	Decrease (increase) in receivables and other assets	$	8,805	$	9,081	$	9,323
Operating cash flows from operating leases	Increase (decrease) in accrued expenses and other liabilities	(5,570)		(6,008)		(3,918)
Operating cash flows from financing leases	Decrease (increase) in receivables and other assets	8,672		8,336		8,263
Financing cash flows from financing leases	Other financing activities	(2,255)		(3,578)		(3,568)

Maturities of Lease Liabilities, Operating Leases

Maturities of lease liabilities as of December 31, 2022 are as follows (in thousands):


	Operating Leases		Financing Leases
2023	$	20,279	$	72,218
2024	19,444		3,791
2025	16,112		1,800
2026	15,516		1,790
2027	15,834		1,748
Thereafter	876,054		125,142
Total lease payments	963,239		206,489
Less: Imputed interest	(660,879)		(93,025)
Total present value of lease liabilities	$	302,360	$	113,464

Maturities of Lease Liabilities, Finance Leases

Maturities of lease liabilities as of December 31, 2022 are as follows (in thousands):


	Operating Leases		Financing Leases
2023	$	20,279	$	72,218
2024	19,444		3,791
2025	16,112		1,800
2026	15,516		1,790
2027	15,834		1,748
Thereafter	876,054		125,142
Total lease payments	963,239		206,489
Less: Imputed interest	(660,879)		(93,025)
Total present value of lease liabilities	$	302,360	$	113,464

Supplemental Balance Sheet Information Related to Leases

Supplemental balance sheet information related to leases was as follows for the periods presented (in thousands, except lease terms and discount rate):


	Classification	December 31, 2022			December 31, 2021
Right of use assets:
Operating leases - real estate	Right of use assets, net	$	287,984		$	367,068
Financing leases - real estate	Right of use assets, net	35,958			155,728
Real estate right of use assets, net		323,942			522,796
Operating leases - non-real estate investments	Receivables and other assets	10,119			9,627
Financing leases - held for sale(1)	Real property held for sale, net of accumulated depreciation	116,453			—
Total right of use assets, net		$	450,514		$	532,423

Lease liabilities:
Operating leases		$	302,360		$	434,261
Financing leases		113,464			111,683
Total lease liabilities		$	415,824		$	545,944

Weighted average remaining lease term (years):
Operating leases		46.0			36.6
Financing leases		19.8			19.8

Weighted average discount rate:
Operating leases		5.56		%	9.72		%
Financing leases		5.01		%	5.06		%

(1) At December 31, 2022, financing leases at seven properties were classified as held for sale.

Operating Lease, Lease Income

Rental income related to operating leases and the corresponding variable lease payments, which primarily represents the reimbursement of operating costs such as common area maintenance expenses, utilities, insurance and real estate taxes for the periods indicated were as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Fixed income from operating leases	$	1,258,238	$	1,193,837	$	1,240,012
Variable lease income	193,548		180,858		203,348

Undiscounted Cash Flows for Future Minimum Lease Payments Receivable

The following table sets forth the future minimum lease payments receivable for leases in effect at December 31, 2022 (excluding properties in our Seniors Housing Operating portfolio and excluding any operating expense reimbursements) (in thousands):


2023	$	1,176,306
2024	1,150,604
2025	1,118,044
2026	1,074,809
2027	1,018,400
Thereafter	8,802,365
Totals	$	14,340,528