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Leases | 12 Months Ended
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Sep. 30, 2020
Leases [Abstract] |
Leases | 19. Leases Our headquarters are located at 121 Seaport Boulevard, Boston, Massachusetts (the Boston lease). The Boston lease is for approximately 250,000 square feet and runs from January 1, 2019 through June 30, 2037. Base rent for the first year of the lease is $11.0 million and will increase by $1 per square foot per year thereafter ($0.3 million per year). Base rent first became payable on July 1, 2020. In addition to the base rent, we are required to pay our pro rata portions of building operating costs and real estate taxes (together, “Additional Rent”). Annual Additional Rent is estimated to be approximately $7.1 million. The lease provides for $25 million in landlord funding for leasehold improvements ($100 per square foot). The leasehold improvement funding provision was fully utilized by us and was reflected as a derecognition adjustment to the right-of-use asset. The components of lease cost reflected in the Consolidated Statement of Operations for the year ended September 30, 2020 were as follows:
(in thousands) |  | Year ended September 30, 2020 |
Operating lease cost |  | $ | 38,687 |
Short-term lease cost |  |  | 4,430 |
Variable lease cost |  |  | 5,247 |
Sublease income |  |  | (4,267 | )
Total lease cost |  | $ | 44,097 |
Supplemental cash flow and right-of use assets information for the year ended September 30, 2020 was as follows:
(in thousands) |  | Year ended September 30, 2020 |
Cash paid for amounts included in the measurement of lease liabilities |  |  |  |
Operating cash flows from operating leases |  | $ | 38,553 |
Right-of-use assets obtained in exchange for new operating lease liabilities |  | $ | 7,632 |
Right-of-use assets obtained in exchange for new financing lease liabilities |  | $ | 1,500 |
Supplemental balance sheet information related to the leases as of September 30, 2020 was as follows:
|  | As of September 30, 2020 |
Weighted-average remaining lease term - operating leases |  | 12.41 years |
Weighted-average remaining lease term - financing leases |  | 5 years |
Weighted-average discount rate - operating leases |  |  | 5.5 | %
Weighted-average discount rate - financing leases |  |  | 3.0 | %
Maturities of lease liabilities as of September 30, 2020 are as follows:
(in thousands) |  | Operating Leases |
2021 |  | $ | 44,710 |
2022 |  |  | 30,993 |
2023 |  |  | 22,326 |
2024 |  |  | 19,686 |
2025 |  |  | 17,051 |
Thereafter |  |  | 170,303 |
Total future lease payments |  |  | 305,069 |
Less: imputed interest |  |  | (90,046 | )
Total |  | $ | 215,023 |
Under the prior lease standard (ASC 840), as of September 30, 2019 future minimum lease payments under non-cancellable operating leases were as follows:
(in thousands) |  | Operating Leases |
2020 |  | $ | 31,868 |
2021 |  |  | 33,094 |
2022 |  |  | 25,624 |
2023 |  |  | 19,279 |
2024 |  |  | 16,909 |
Thereafter |  |  | 186,037 |
Total minimum lease payments |  | $ | 312,811 |
Exited (Restructured) Facilities As of September 30, 2020, we have net liabilities of $11.3 million related to excess facilities (compared to $16.5 million at September 30, 2019), representing $3.2 million of right-of-use assets and $14.5 million of lease obligations, of which $9.7 million is classified as short term and $4.8 million is classified as long term. In determining the amount of right-of-use assets for restructured facilities, we are required to estimate such factors as future vacancy rates, the time required to sublet properties, and sublease rates. Updates to these estimates may result in revisions to the value of right-of-use assets recorded. The amounts recorded are based on the net present value of estimated sublease income. As of September 30, 2020, the right-of-use assets for exited facilities reflect discounted committed sublease income of approximately $2.8 million and uncommitted sublease income of approximately $0.4 million. As a result of changes in our sublease income assumptions and an incremental obligation to exit a portion of our former headquarters facility early, in the year ended September 30, 2020, we recorded a facility impairment charge of $4.4 million. In addition, in the year ended September 30, 2020, we exited the former Onshape headquarters lease and recorded a related $1.2 million impairment charge. In the year ended September 30, 2020, we made payments of $10.5 million related to lease costs for exited facilities.

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- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
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