Note 5. Balance Sheet Components

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consisted of the following (in thousands):

	April 30,		January 31,
	2015		2015
Tenant incentives receivable under our new headquarters lease in Redwood City (see Note 8)	$	23,395	$	—
Other		15,861		12,132
Total prepaid expenses and other current assets	$	39,256	$	12,132

Property and Equipment, Net

Property and equipment, net consisted of the following (in thousands):

	April 30,			January 31,
	2015			2015
Servers	$	86,857		$	81,068
Leasehold improvements		13,899			13,400
Computer hardware and software		9,105			8,724
Furniture and fixtures		5,334			5,046
Construction in progress		6,691			4,815
Total property and equipment		121,886			113,053
Less: accumulated depreciation		(62,627	)		(54,607	)
Total property and equipment, net	$	59,259		$	58,446

As of April 30, 2015, the gross carrying amount of property and equipment includes $2.4 million of servers and $1.3 million of construction in progress acquired under capital leases, and the accumulated depreciation of property and equipment acquired under these capital leases was $355,000. As of January 31, 2015, the gross carrying amount of property and equipment includes $1.9 million of servers and $69,000 of construction in progress acquired under capital leases, and the accumulated depreciation of property and equipment acquired under these capital leases was $140,000.

Depreciation expense related to property and equipment was $8.0 million and $5.2 million for the three months ended April 30, 2015 and 2014, respectively. Included in these amounts was depreciation expense for servers acquired under capital leases in the amount of $214,000 and $0, respectively. Construction in progress primarily consists of servers, networking equipment and storage infrastructure being provisioned in our third party datacenter hosting facilities as well as leasehold improvements. In addition, the amounts of interest capitalized to property and equipment were $6,000 and 89,000 for the three months ended April 30, 2015 and 2014, respectively.