Leases

12 Months Ended

Dec. 31, 2024

Note 8 — Leases

The Company has operating and finance leases for real estate, office equipment, automobiles, forklifts and certain other equipment. Certain real estate leases are for land which have a remaining lease term of one to 38 years, and some of these arrangements have an end date that is at the discretion of the lessee. Excluding land leases, our leases have remaining lease terms ranging from less than one year to nine years and may include options to extend the lease. We do not have lease arrangements with related parties.

Components of lease expense for the years ended December 31, 2024, 2023 and 2022 were as follows:


	Year Ended December 31,
	2024		2023		2022
Lease cost:
Operating lease cost	$	10,747	$	9,606	$	8,040
Amortization of ROU assets - finance leases		370		390		168
Interest on lease liabilities - finance leases		14		28		16
Short-term lease cost		3,684		2,651		1,773
Sublease income		—		—		(101	)
Total lease cost	$	14,815	$	12,675	$	9,896

Other information related to leases is as follows:


	Year Ended December 31,
	2024			2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	10,428		$	9,249
Operating cash flows for finance leases		14			81
Financing cash flows for finance leases		383			390
Right-of-use lease assets obtained in exchange for lease obligations:
Operating leases	$	30,720		$	4,704

	December 31, 2024			December 31, 2023
Weighted average remaining lease term:
Operating leases	9.3 years			5.6 years
Finance leases	1.5 years			1.9 years
Weighted average discount rate:
Operating leases		6.09	%		4.96	%
Finance leases		3.46	%		3.53	%

A summary of operating leases as of December 31, 2024, under all non-cancellable operating leases with terms exceeding one year is as follows:


2025	$	9,285
2026		7,450
2027		5,701
2028		5,208
2029		4,911
2030 or later		26,593
Total future minimum lease payments		59,148
Less imputed interest		(14,579	)
Total	$	44,569

A summary of finance leases as of December 31, 2024, under all non-cancellable finance leases with terms exceeding one year is as follows:


2025	$	137
2026		64
Total	$	201

As of December 31, 2024 the Company has various operating leases that have not yet commenced with future undiscounted payments of $19,878. These operating leases will commence in 2025 and have initial lease terms of two to 15 years. The most significant of these leases relates to the Company's new corporate headquarters building in Novi, Michigan. In connection with our move to a new location, we completed the sale of our former headquarters building in Northville, Michigan in January 2025. The sale resulted in cash proceeds of $3,740 and is expected to result in a loss on sale of $2,311 that will be recognized in the first quarter of 2025.