Beam Therapeutics Inc.BEAM

Beam Therapeutics Inc. Leases Disclosure

10-KFiled Feb 24, 20263 min read

7. Leases

Operating leases

The Company’s operating leases are as follows:

•
A February 2018 lease for office and laboratory space as amended, which commenced in March 2018 and terminates in September 2029. The lease is subject to fixed-rate rent escalations and provided for $6.1 million in tenant improvements allowances and a term extension option.
•
An October 2018 lease for laboratory space as amended, which commenced in April 2019 and terminates in December 2028. The amended lease is subject to fixed-rate rent escalations and provides an option to extend the lease for two additional two-year periods through December 31, 2031.
•
An April 2019 lease for office and laboratory space that was built over the course of 2020 and 2021. Pursuant to the terms of the original lease agreement, the first phase of the lease commenced in October 2020 (rent payments for the first phase began in August 2021) and the second phase of the lease commenced in January 2021 (rent payments for the second phase began in February 2022). The lease is subject to fixed-rate rent escalations and provides for $23.4 million in tenant improvements and the option to extend the lease for two terms of five years each. The Company determined that it is the accounting owner of all tenant improvements. In August 2021, the Company executed an amendment to this lease to occupy additional space. The term of this lease runs concurrent with the term of the April 2019 lease through February 2034.
•
An August 2020 lease for a 100,000 square foot manufacturing facility in Research Triangle Park, North Carolina. Construction of the manufacturing facility began in 2020 and the Company began making rent payments in the fourth quarter of 2022. The lease will terminate 15 years from the rent commencement date, December 2022. The lease is subject to fixed-rate rent escalations and provides for $20.0 million in tenant improvements and the option to extend the lease for two terms of five years each, which were not reasonably certain of exercise as of December 31, 2025.

The following table summarizes operating lease costs as well as sublease income (in thousands):

 

 

Year Ended
December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Operating lease costs

 

$

21,311

 

 

$

21,649

 

 

$

22,063

 

Variable lease costs

 

 

6,795

 

 

 

6,295

 

 

 

5,777

 

Short-term lease costs

 

 

4,893

 

 

 

9,000

 

 

 

9,000

 

Sublease income

 

 

(487

)

 

 

—

 

 

 

—

 

Total

 

$

32,512

 

 

$

36,944

 

 

$

36,840

 

The following table summarizes the lease term and discount rate for operating leases:

 

 

December 31,
2025

 

 

December 31,
2024

 

Weighted-average remaining lease term (years)

 

8.5

 

 

 

9.5

 

Weighted-average discount rate

 

 

7.3

%

 

 

7.3

%

The following table summarizes the lease costs included in the measurement of lease liabilities (in thousands):

 

 

Year Ended
December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Operating cash flows used for operating leases

 

$

24,428

 

 

$

24,981

 

 

$

22,603

 

Operating lease liabilities arising from obtaining ROU assets

 

 

6,203

 

 

 

(1,626

)

 

 

3,852

 

At December 31, 2025, the future maturity of the Company’s operating leases for each of the next five years and total thereafter were as follows (in thousands):

2026

 

$

24,727

 

2027

 

 

25,436

 

2028

 

 

25,664

 

2029

 

 

22,147

 

2030

 

 

21,009

 

Thereafter

 

 

91,158

 

Undiscounted lease payments

 

 

210,141

 

Less: imputed interest

 

 

(56,018

)

Total operating lease liabilities

 

$

154,123

 

Historical Timeline

Fiscal YearFiled
2025Feb 24, 2026Showing above
2023Feb 27, 2024
2021Feb 28, 2022

About Leases Disclosures

Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.

Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.

Other Available Disclosures

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