Leases
The Company primarily leases office and laboratory facilities in Vancouver and Montreal, Canada, and Sydney, Australia.
The Company's operating leases have a fixed term with a remaining life between one year and twenty years, with renewal options included in the contracts ranging from five to ten years. The leases have varying contract terms, escalation clauses and renewal options. Generally, there are no significant restrictions placed upon the lessee by entering into these leases, other than restrictions on use of property, sub-letting and alterations.
The balance sheet classification of the Company's lease liabilities was as follows:
| | | | | | | | | | | |
| December 31, 2024 | | December 31, 2025 |
| Operating lease liabilities: | | | |
| Current portion, included in accounts payable and other liabilities | $ | 4,621 | | | $ | 5,815 | |
| Long-term portion | 60,743 | | | 137,403 | |
| Total operating lease liabilities | $ | 65,364 | | | $ | 143,218 | |
At December 31, 2025, the future minimum lease payments of the Company’s operating lease liabilities were as follows:
| | | | | |
| | Amount |
| 2026 | $ | 14,243 | |
| 2027 | 14,165 | |
| 2028 | 14,745 | |
| 2029 | 14,868 | |
| 2030 | 14,857 | |
| Thereafter | 160,412 | |
As of December 31, 2025, the weighted-average remaining lease term is 15.4 years and the weighted-average discount rate used to determine the operating lease liabilities was approximately 6.0%.
The Company incurred total operating lease expenses, including fixed lease payments, of $9.5 million, $9.1 million and $11.3 million, and variable lease payments of $1.1 million, $0.7 million and $0.5 million during the years ended December 31, 2023, 2024 and 2025, respectively, and are included within operating expenses.