Leases

3 Months Ended

Mar. 31, 2020

Leases:

Lessor Leases:

The Company leases its Centers under agreements that are classified as operating leases. These leases generally include minimum rents, percentage rents and recoveries of real estate taxes, insurance and other shopping center operating expenses. Minimum rental revenues are recognized on a straight-line basis over the terms of the related leases. Percentage rents are recognized and accrued when tenants' specified sales targets have been met. Estimated recoveries from certain tenants for their pro rata share of real estate taxes, insurance and other shopping center operating expenses are recognized as revenues in the period the applicable expenses are incurred. Other tenants pay a fixed rate and these tenant recoveries are recognized as revenues on a straight-line basis over the term of the related leases.

The following table summarizes the components of leasing revenue for the three months ended March 31, 2020 and 2019:


	For the Three Months Ended March 31,
	2020		2019
Leasing revenue—fixed payments	$	159,557	$	164,061
Leasing revenue—variable payments	51,164		46,947
	$	210,721	$	211,008

The following table summarizes the future rental payments to the Company:


Twelve months ending March 31,
2021	$	472,786
2022	395,136
2023	338,346
2024	287,879
2025	226,663
Thereafter	635,939
	$	2,356,749

Lessee Leases:

The Company has certain properties that are subject to non-cancelable operating leases. The leases expire at various times through 2098, subject in some cases to options to extend the terms of the lease. Certain leases provide for contingent rent payments based on a percentage of base rental income, as defined in the lease. In addition, the Company has five finance leases that expire at various times through 2024.

The following table summarizes the lease costs:


	For the Three Months Ended March 31,
	2020		2019
Operating lease costs	$	3,938	$	4,347
Finance lease costs:
Amortization of ROU assets	475		919
Interest on lease liabilities	142		154
	$	4,555	$	5,420

The following table summarizes the future rental payments required under the leases:


	March 31, 2020									December 31, 2019
Year ending December 31,	Operating Leases			Finance Leases			Operating Leases			Finance Leases
2020	$	13,037		$	2,043		$	17,149		$	2,106
2021	17,004			10,784			17,004			10,441
2022	16,867			2,762			16,867			2,418
2023	11,055			344			11,055			—
2024	9,068			3,085			9,068			—
Thereafter	131,347			—			131,347			—
Total undiscounted rental payments	198,378			19,018			202,490			14,965
Less imputed interest	(100,100)			(1,397)			(102,085)			(1,169)
Total lease liabilities	$	98,278		$	17,621		$	100,405		$	13,796
Weighted average remaining term	31.0 years			1.3 years			31.0 years			1.6 years
Weighted average incremental borrowing rate	7.7		%	3.2		%	7.7		%	4.2		%

Leases