LendingClub CorpLC

LendingClub Corp Leases Disclosure

10-KFiled Feb 12, 20263 min read
Leases
Lessee Arrangements

The Company has various operating leases, including with respect to its headquarters in San Francisco, California, and office spaces in the Salt Lake City, Utah area, Boston, Massachusetts, and New York, New York. In April 2025, the Company acquired an office building located in San Francisco, California, which will be used as its headquarters beginning in the second quarter of 2026, following the expiration of its current San Francisco lease. As of December 31, 2025, the remaining leases have lease terms ranging from approximately two to three years. As of December 31, 2025, the Company pledged $0.5 million of cash and $1.1 million in letters of credit as security deposits in connection with its lease agreements.

Balance sheet information related to leases was as follows:
ROU Assets and Lease Liabilities
Balance Sheet Classification
December 31, 2025December 31, 2024
Operating lease assetsOther assets$12,942 $21,304 
Operating lease liabilities
Other liabilities$15,826 $28,502 

Net lease costs were $10.9 million, $10.5 million and $12.0 million during the years ended December 31, 2025, 2024 and 2023, respectively. Such costs are recorded within “Occupancy” expense on the Income Statement.

Supplemental cash flow information related to the Company’s operating leases was as follows:
Year Ended December 31,202520242023
Non-cash activity:
Leased assets remeasured resulting from new, amended or modified operating lease liabilities$— $1,987 $(29,745)
The Company’s future minimum undiscounted lease payments under operating leases as of December 31, 2025 were as follows:
Operating Lease
Payments
2026$7,973 
20275,010 
20284,046 
2029909 
2030— 
Total lease payments$17,938 
Discount effect(2,112)
Present value of future minimum lease payments$15,826 

The weighted-average remaining lease term and discount rate used in the calculation of the Company’s operating lease assets and liabilities were as follows:
Lease Term and Discount RateDecember 31, 2025December 31, 2024
Weighted-average remaining lease term (in years)2.642.98
Weighted-average discount rate4.56 %4.87 %

Lessor Arrangements

Operating Leases

The Company leases space in its office building to third-party tenants under operating lease agreements with initial term expiration dates ranging from 2025 to 2034. Some of the agreements include options to extend the lease term for an additional five years.

Rental income earned from such leases was as follows for the periods presented:
Year Ended December 31,202520242023
Rental income (1)
$7,459 $— $— 
(1)    Recorded in “Other non-interest income” on the Income Statement.

Future fixed lease payments to be received by the Company as of December 31, 2025, under non-cancelable operating leases, were as follows:
2026$4,654 
20273,356 
20282,460 
20291,932 
20301,990 
Thereafter6,215 
Total lease payments
$20,607 
Sales-type Leases

The Company has sales-type leases for equipment (Equipment Finance). Such arrangements may include options to renew or to purchase the leased equipment at the end of the lease term.

Interest earned on Equipment Finance was as follows for the periods presented:
Year Ended December 31,202520242023
Interest earned (1)
$2,776 $5,152 $8,929 
(1)    Recorded in “Interest and fees on loans and leases held for investment” on the Income Statement.

The components of Equipment Finance assets are as follows:
December 31,20252024
Lease receivables$25,384 $49,290 
Unguaranteed residual asset values17,907 20,728 
Unearned income(3,690)(6,125)
Deferred costs
156 339 
Total$39,757 $64,232 

Future minimum lease payments based on maturity of the Company’s sales-type leases as of December 31, 2025 were as follows:
2026$13,420 
20277,469 
20283,823 
20291,476 
2030— 
Total lease payments$26,188 
Discount effect(804)
Present value of future minimum lease payments$25,384 

Historical Timeline

Fiscal YearFiled
2025Feb 12, 2026Showing above
2024Feb 13, 2025
2023Feb 16, 2024
2022Feb 9, 2023
2021Feb 11, 2022
2020Mar 11, 2021
2019Feb 19, 2020

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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