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Leases | 3 Months Ended
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Dec. 30, 2023
Leases [Abstract] |
Leases | J. LEASES Leases as Lessee The Company conducts part of its retail operations from leased facilities. The initial terms of the leases are generally 20 years. The majority of the leases include one or more renewal options and require that the Company pay property taxes, utilities, repairs and certain other costs incidental to occupation of the premises. Several leases contain clauses that require rental payments based on a percentage of gross sales of the supermarket occupying the leased space. Step rent provisions, escalation clauses and lease incentives are taken into account in computing minimum lease payments. Operating Leases – Rent expense for all operating leases totaled $2.4 million for the three months ended December 30, 2023. This amount included short-term (less than one year) leases, common area expenses, and variable lease costs, all of which were insignificant. Cash paid for lease liabilities in operating activities approximates operating lease cost. Finance Leases – Finance lease cost of $210.0 thousand included amortization expense of $178.5 thousand, which was included in operating and administrative expense, and $54.7 thousand of interest expense for the three months ended December 30, 2023. Future maturities of lease liabilities as of December 30, 2023 were as follows:
Fiscal Year | Operating Leases |  | Finance Leases
Remainder of 2024 | $ | 6,370,366 |  | $ | 630,000
2025 |  | 7,744,643 |  |  | 840,000
2026 |  | 6,583,312 |  |  | 840,000
2027 |  | 5,823,729 |  |  | 840,000
2028 |  | 4,281,763 |  |  | 840,000
Thereafter |  | 19,744,204 |  |  | 101,500
Total lease payments | $ | 50,548,017 |  | $ | 4,091,500
Less amount representing interest |  | 11,181,366 |  |  | 551,344
Present value of lease liabilities | $ | 39,366,651 |  | $ | 3,540,156
There were no lease extensions exercised to increase the line items “Operating lease right of use assets” and “Noncurrent operating lease liabilities” on the Condensed Consolidated Balance Sheets during the three months ended December 30, 2023. At December 30, 2023, the weighted average remaining lease term for the Company’s operating leases was 13.0 years. The weighted average discount rate used to determine the operating lease liability balances as of December 30, 2023 was 5.6%, and was 6.0% for finance lease liability balances. Leases as Lessor At December 30, 2023, the Company owned and operated 96 shopping centers in conjunction with its supermarket operations. The Company leases to others a portion of its shopping center properties. The leases are non-cancelable operating lease agreements for terms ranging up to 20 years. Rental income is included in the line item “Net sales” on the Consolidated Statements of Income. Depreciation on owned properties leased to others and other shopping center expenses are included in the line item “Cost of goods sold” on the Consolidated Statements of Income.
| Three Months Ended
| December 30, 2023
Rents earned on owned and subleased properties: |  |
Base rentals | $ | 6,881,658
Variable rentals |  | 50,956
Total |  | 6,932,614
Depreciation on owned properties leased to others |  | (1,996,250)
Other shopping center expenses |  | (789,604)
Total | $ | 4,146,760
Future minimum operating lease receipts at December 30, 2023 were as follows:
Fiscal Year |  |
Remainder of 2024 | $ | 14,872,994
2025 |  | 18,259,167
2026 |  | 14,703,033
2027 |  | 11,473,245
2028 |  | 8,751,955
Thereafter |  | 29,603,922
Total minimum future rental income | $ | 97,664,316

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- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 842 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//842-20/tableOfContent + Details
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