Leases

12 Months Ended

Dec. 31, 2022

Our operating leases that have commenced have terms that expire beginning 2024 through 2031 and consist of office space and research and development laboratories, including our corporate headquarters. Certain of these lease agreements contain clauses for renewal at our option. As we were not reasonably certain to exercise any of these renewal options at commencement of the associated leases, no such options were recognized as part of our operating lease right-of-use, or ROU, assets or operating lease liabilities.

On February 8, 2022, we entered into a lease agreement for a four-building campus facility to be constructed in San Diego, California, pursuant to which we also secured a six-year option for the construction of a fifth building and an option to purchase the entire campus facility, which will consist of office space and research and development laboratories, in the future. Upon completion of construction, we expect to utilize the campus facility as our new corporate headquarters. This lease has not commenced for accounting purposes. Under the terms of the lease, on a building-by-building basis, base rent will be subject to a 10-month rent abatement period following the respective lease commencement date, which dates will be determined in the future based upon achievement of substantial completion of construction with respect to each such building in the condition suitable for the installation of our furniture, fixtures, and equipment, and on which date we will record a lease liability, corresponding right-of-use asset, and begin lease expense recognition with respect to each such building. After the rent abatement period, monthly base rent will be $6 per square foot, subject to annual escalations of 3% during the initial 13.6-year lease term, which term we have the option to renew for two additional terms of five years each.

The following tables present supplemental operating lease information.


	Year Ended December 31,
(in millions)	2022		2021			2020
Operating lease cost	$	16.3	$	15.3		$	10.1
Cash paid for amounts included in the measurement of operating lease liabilities	$	16.9	$	12.6		$	8.6

			December 31,
(in millions, except weighted average data)			2022			2021
Weighted average remaining lease term			7.9 years			8.8 years
Weighted average discount rate			5.3		%	5.2		%
Restricted cash related to letters of credit issued in lieu of cash security deposits			$	7.8		$	3.2

Approximate future minimum lease payments under operating leases were as follows:


(in millions)	Amount (1)
Year ending December 31, 2023	$	17.9
Year ending December 31, 2024	17.4
Year ending December 31, 2025	15.9
Year ending December 31, 2026	15.7
Year ending December 31, 2027	16.0
Thereafter	54.4
Total operating lease payments	137.3
Less accreted interest	26.4
Total operating lease liabilities	110.9
Less current operating lease liabilities included in other current liabilities	17.4
Noncurrent operating lease liabilities	$	93.5

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(1) Amounts presented in the table above exclude $17.2 million for 2024, $33.3 million for 2025, $41.9 million for 2026, and $479.7 million thereafter of approximate non-cancelable future minimum lease payments under operating leases that have not yet commenced.