LEASES

3 Months Ended

Mar. 31, 2025

Cambridge Lease

Under the Cambridge Lease, the Company leases approximately 65,167 square feet of office, storage and lab space in Cambridge, Massachusetts. The term of the Cambridge Lease with respect to the 59,216 square feet of office and storage space expires on September 11, 2026, with one five-year extension option available. The term of the Cambridge Lease with respect to the 5,951 square feet of lab space expires on September 11, 2026, with one two-year extension option available.

The Cambridge Lease is non-cancelable and is classified as an operating lease. The renewal options with respect to the office, storage and the lab space of the Cambridge Lease were not included in the calculation of the right-of-use asset and operating lease liability as the renewals are not reasonably certain. The Cambridge Lease does not contain residual value guarantees. In arriving at the operating lease liabilities, the Company applied incremental borrowing rates ranging from 6.65% to 6.94%,

which were based on the remaining lease term at either the date of adoption of ASC 842 or the effective date of any subsequent lease term extensions. As of March 31, 2025, the remaining lease term for the Cambridge Lease was 1.45 years.

Operating lease costs were $1.2 million for each of the three months ended March 31, 2025 and 2024. Cash paid for amounts included in the measurement of operating lease liabilities was $1.5 million and $1.4 million for the three months ended March 31, 2025 and 2024, respectively. The security deposit in connection with the Cambridge Lease is $1.7 million in the form of a letter of credit, which is included as restricted cash in other long-term assets in the accompanying unaudited condensed consolidated balance sheets as of March 31, 2025 and December 31, 2024.

Future Lease Commitments

Future commitments under the Cambridge Lease are as follows (in thousands):


	Operating Lease Commitments
2025	$	4,367
2026	3,613
Total lease commitments	$	7,980
Less: present value adjustment	(343)
Current and long-term operating lease liabilities	$	7,637