Caribou Biosciences, Inc.CRBU

Caribou Biosciences, Inc. Leases Disclosure

10-KFiled Mar 10, 20252 min read
Leases
Operating Lease Obligations
We lease laboratory and office space under two noncancellable operating agreements. In March 2021, we entered into a ten-year lease agreement, which superseded and replaced our prior lease, as amended, for our corporate headquarters and the new lease included additional office and laboratory space located within the same building in Berkeley, California. This lease agreement contains a renewal option for an additional term of five years. In addition to base rent, we pay our share of operating expenses and taxes.
In January 2022, we entered into a ten-and-a-half-year lease agreement for approximately 10,000 square feet of office and laboratory space in Berkeley, California, near our current corporate headquarters. In connection with signing this lease, we paid a deposit in the amount of $0.4 million to the lessor, and we will receive a total of $1.8 million in tenant improvement allowances. This lease agreement contains an escalation clause for increased base rent over the term and a renewal option for an additional term of five years. In addition to base rent, we pay our share of operating expenses and taxes. The leasehold improvements constructed are presented under property and equipment on our consolidated balance sheets and are depreciated on a straight-line basis over the shorter of remaining lease term or estimated useful life.
The components of lease costs, which are included in our statements of operations and comprehensive loss, were as follows (in thousands):
Years Ended December 31,
20242023
Operating lease cost(1)
$7,679 $7,628 
Short-term lease cost250 250 
Total lease cost$7,929 $7,878 
(1)Includes $2.5 million of variable lease cost related to operating expenses and taxes for each of the years ended December 31, 2024, and 2023.
Supplemental information related to our leases was as follows (in thousands):
Years Ended December 31,
 20242023
Cash paid for amounts included in the measurement of lease liabilities: 
Operating cash flows from operating leases$3,522 $3,732 
The following table summarizes the weighted-average remaining lease term and weighted-average discount rate for our corporate laboratory and office leases:
Years Ended December 31,
 20242023
Weighted-average remaining lease term (years)
6.57.4
Weighted-average discount rate
11.3 %11.3 %
The following table summarizes a maturity analysis of our operating lease liabilities showing the aggregate lease payments as of December 31, 2024:
Year ending December 31:
 (in thousands)
2025(1)
$4,310 
20265,720 
20275,922 
20286,122 
20296,336 
Thereafter9,657 
Total future undiscounted lease payments38,067 
Less imputed interest(11,580)
Total discounted lease payments26,487 
Less current portion of lease liability(1,426)
Noncurrent portion of lease liability$25,061 

(1)Reflects an offset of $0.1 million related to incentives expected to be received in 2025.

Historical Timeline

Fiscal YearFiled
2024Mar 10, 2025Showing above
2023Mar 11, 2024
2022Mar 9, 2023

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.

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