Property and Equipment

12 Months Ended

Dec. 31, 2024

Property, Plant and Equipment [Abstract]

8. PROPERTY AND EQUIPMENT

The cost basis and estimated useful lives of property and equipment as of December 31, 2024 and 2023 are as follows (dollars in thousands):


	December 31,
	2024 (1)			2023 (1)			Life
Computer hardware and software	$	53,963		$	41,844		3 years
Leasehold improvements		37,237			16,454		Shorter of Life of Lease or Useful Life
Furniture, fixtures and equipment		15,886			10,865		5-10 years
Building and improvements		9,163			9,163		15-35 years
Other		22			22		5-10 years
Construction in progress (2)		46,729			1,808
		163,000			80,156
Less-accumulated depreciation		(67,492	)		(58,785	)
Total property and equipment, net	$	95,508		$	21,371

___________________

(1)

Property and equipment which were fully depreciated and no longer in use by the Company were retired during the years ended December 31, 2024 and 2023; therefore, both the cost of the asset and the related accumulated depreciation balances were reduced to zero for these assets.

(2)

Construction in progress includes $45.2 million related to a BTS transaction for USAHS, with lease commencement in January 2025. See Note 9 "Leases" for further details.

Depreciation expense for the years ended December 31, 2024, 2023 and 2022 was $8.7 million, $9.3 million and $12.4 million, respectively.

During the year ended December 31, 2024, we recorded $0.8 million of asset impairments related to software assets that are not expected to be utilized. For the year ended December 31, 2023, we recognized $2.1 million in asset impairments, primarily related to software assets that were not expected to be utilized and leasehold improvements at leased facilities the Company chose not to continue using. For the year ended December 31, 2022, we recognized $0.8 million in asset impairment, mainly related to leasehold improvements at leased facilities the Company decided not to continue using.