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LEASES
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
LEASES
10. LEASES
The Company leased office space beginning in March 2021 at One Main Street, Cambridge, Massachusetts to serve as its corporate headquarters (the “Cambridge office”). The 4.5 year lease includes a base rent of $2 million per year. In December 2024, the Company closed the Cambridge office and relocated its corporate headquarters to office space already leased in Waltham, Massachusetts (the “Waltham office”), effective January 1, 2025. The Company recorded a restructuring expense of $3.7 million as a result of closing the Cambridge office.
The Waltham office is 131 thousand square feet of leased office space located at 225 Wyman Street, Waltham, Massachusetts. The lease term of 11 years began on August 1, 2021, with no rent due until August 1, 2022. The annual rent equals the base rent of approximately $6 million, with 3% annual increases, plus a portion of building operating costs and real estate taxes. In addition, the Company received an improvement allowance from the landlord of $11.8 million.
Expense
(in thousands)202420232022
Fixed lease costs
$21,422 $19,718 $20,186 
Short-term lease costs1,746 2,884 3,356 
Variable lease costs
6,901 8,148 3,894 
$30,069 $30,750 $27,436 
Right of use assets and lease liabilities
(in thousands)December 31, 2024December 31, 2023
Right of use assets (1)
$62,429 $64,198 
Operating lease liabilities (2)
$14,551 $15,000 
Long-term operating lease liabilities$67,647 $66,901 
(1) Represents the Company’s right to use the leased asset during the lease term. Included in other long-term assets.
(2) Included in other current liabilities.
The weighted-average remaining lease term and discount rate for the Company’s leases were:
December 31, 2024December 31, 2023
Weighted-average remaining lease term6.2 years6.8 years
Weighted-average discount rate (1)
4.8 %4.0 %
(1) The rates implicit in the Company’s leases are not readily determinable. Therefore, the Company uses its incremental borrowing rate as the discount rate when measuring operating lease liabilities. The incremental borrowing rate represents an estimate of the interest rate the Company would incur to borrow an amount equal to the lease payments on a collateralized basis over the lease term in a similar economic environment.
Maturities of lease liabilities:
(in thousands)December 31, 2024
2025$18,106 
202615,404 
202713,972 
202813,367 
202910,742 
Thereafter23,535 
Total lease payments95,126 
Less: imputed interest (1)
(12,928)
$82,198 
(1) Lease liabilities are measured at the present value of the remaining lease payments using a discount rate determined at lease commencement unless the discount rate is updated due to a lease reassessment event.
Cash flow information
(in thousands)20242023
Cash paid for operating leases, net of tenant improvement allowances$18,444 $20,045 
Right of use assets recognized for new leases and amendments (non-cash)$16,682 $1,460