7. Property, Equipment and Capital Leases

Property, equipment and capital leases consist of the following at August 31:


	Estimated Useful Life	2012			2011
Property and equipment:
Home office:
Leasehold improvements	Life of lease	$	4,541		$	4,541
Computer and other equipment	2 – 5 yrs		61,492			52,736
Drive-ins, including those leased to others:
Land			171,102			171,813
Buildings	8 – 25 yrs		358,887			356,536
Equipment	5 – 7 yrs		118,975			126,487
Property and equipment, at cost			714,997			712,113
Accumulated depreciation			(295,735	)		(273,209	)
Property and equipment, net			419,262			438,904

Capital Leases:
Leased home office building	Life of lease		9,990			9,990
Leased drive-in buildings, equipment and other assets under capital leases, including those held for sublease	Life of lease		39,906			38,675
Accumulated amortization			(26,150	)		(22,694	)
Capital leases, net			23,746			25,971
Property, equipment and capital leases, net		$	443,008		$	464,875

Depreciation expense for property and equipment was $37.2 million, $37.3 million and $38.6 million for fiscal years 2012, 2011 and 2010, respectively. Land, buildings and equipment with a carrying amount of $219.8 million at August 31, 2012 were leased under operating leases to franchisees and other parties. The accumulated depreciation related to these buildings and equipment was $69.7 million at August 31, 2012. Amortization expense related to capital leases is included within "depreciation and amortization" on the Consolidated Statements of Income. As of August 31, 2012, the Company had no drive-ins under construction with costs to complete.