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Other assets (Notes)
 12 Months Ended
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Other Assets The following table summarizes the components of other assets as of December 31, 2024 and 2023 (in thousands):
December 31,
2024
2023
Acquired in-place leases
$305,144
$461,613
Deferred compensation plan
47,727
40,365
Deferred financing costs – unsecured senior line of credit
49,056
(1)
30,897
Deposits
21,768
25,863
Furniture, fixtures, equipment, and software
39,558
26,560
Net investment in direct financing lease
41,503
40,097
Notes receivable
120,546
(2)
15,841
Operating lease right-of-use assets
764,472
(3)
516,452
Other assets
96,690
88,453
Prepaid expenses
33,567
30,969
Property, plant, and equipment
141,275
144,784
Total
$1,661,306
$1,421,894
(1)Increase is primarily due to the amendment and restatement of our unsecured senior line of credit to extend the maturity date from January 22, 2028 to January 22,
2030, which was completed in September 2024. Refer to Note 10 – “Secured and unsecured senior debt” to our consolidated financial statements for additional
information.
(2)Increase is attributable to the seller financing provided in December 2024 to the buyers of our real estate assets. Refer to "Notes receivable” below for additional
information.
(3)Includes the operating lease right-of-use asset related to an amendment executed in July 2024 to our existing ground lease agreement at the Alexandria Technology
Square® Megacampus. Refer to “Leases in which we are the lessee” in Note 5 – “Leases” to our consolidated financial statements for additional information.
Notes receivable
Our notes receivable as of December 31, 2024 consisted of the following (dollars in thousands): 
Notes Receivable
Effective
Interest Rate
Maturity Date
Balance
Secured by real estate assets in San Diego
8.6%
7/5/29
$103,427
Other
17,356
Less: provision for expected credit losses
(237)
Notes receivable
$120,546
Our notes receivable represent held-to-maturity debt securities carried at amortized costs and are generally secured by real
estate. Under the current expected credit losses accounting standard, we are required to estimate and, if necessary, recognize
expected credit losses related to these notes. We do not have a history of losses on such securities; therefore, we utilize available
information on historical losses for the commercial real estate industry. We determine expected credit losses for our notes receivable
using historical industry losses and considering loan-specific information, including credit ratings of the borrowers, estimated fair values
of underlying real estate assets, loan-to-value ratios, the presence of guarantors, and/or other available information. During the three
months ended December 31, 2024, we recognized a provision for expected credit losses of $237 thousand related to our notes
receivable, reducing the notes receivable balance in our consolidated balance sheet and other income in our consolidated statement of
operations accordingly. This provision will be reevaluated periodically, with any necessary adjustments recognized in the corresponding
period.