Leases:

The Company leases the majority of its retail store locations, two distribution sites, its Merchandise Innovation Center, transportation equipment and other equipment under various non-cancellable operating leases. The leases have varying terms and expire at various dates through 2037. Store leases typically have initial terms of between 10 and 15 years, with two to four optional renewal periods of five years each. Some leases require the payment of contingent rent that is based upon store sales above agreed-upon sales levels for the year. The sales levels vary for each store and are established in the lease agreements. Generally, most of the leases also require that the Company pays associated taxes, insurance and maintenance costs.

Total rent expense for fiscal 2017, 2016 and 2015 was approximately $319.5 million, $293.0 million and $262.1 million, respectively. Total contingent rent expense for fiscal 2017, 2016 and 2015 was insignificant.

Future minimum payments, by year and in the aggregate, under leases with initial or remaining terms of one year or more consist of the following (in thousands):



	Capital Leases			Operating Leases
2018	$	5,201		$	324,813
2019	5,215			315,062
2020	5,234			296,773
2021	5,294			273,932
2022	4,172			251,059
Thereafter	23,149			1,219,048
Total minimum lease payments	48,265			$	2,680,687
Amount representing interest	(12,103		)
Present value of minimum lease payments	36,162
Less: current portion	(3,545		)
Long-term capital lease obligations	$	32,617

Assets under capital leases were as follows (in thousands):



	2017			2016
Building and improvements, gross	$	29,324		$	29,324
Computer software and hardware	11,388			—
Less: accumulated depreciation and amortization	(6,462		)	(3,381		)
Assets under capital lease, net	$	34,250		$	25,943