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Commitments and Contingencies | 12 Months Ended
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Dec. 31, 2019
Commitments And Contingencies Disclosure [Abstract] |
Commitments and Contingencies | Note 12—Commitments and Contingencies Leases The Company subleases certain office and laboratory space under a non-cancelable operating lease expiring in January 2025 for the initial leased space and December 2022 for expansion space leased pursuant to an amendment to the lease agreement entered into in August 2018. The sublease agreement included options to extend for the entire premises through October 2028. The options to extend must be exercised prior to the termination of the original lease agreement. The period covered by the options was not included in the non-cancellable lease term as it not was not determined to be reasonably certain to be executed. The lease agreement also includes a one-time termination option for the expansion space only whereby the Company can terminate the lease with advance written notice. The termination option was not determined to be reasonably certain to be executed. The lease is subject to charges for common area maintenance and other costs, and base rent is subject to an annual 3% increase each subsequent year. Costs determined to be variable and not based on an index or rate were not included in the measurement of the operating lease liabilities. In November 2019, the Company entered into an additional non-cancelable lease agreement for certain office and laboratory space (the “permanent space”) in San Diego, California, commencing on May 1, 2020 and expiring on December 31, 2021. The lease agreement includes a lease for temporary space commencing on January 1, 2020 and expiring on the commencement date of the lease of the permanent space. The monthly base rent for the permanent and temporary space is $63,425 and $28,745, respectively. The lease agreement included an option to extend the term of the permanent space for twelve months. The option to extend must be exercised nine months prior to the termination of the original lease agreement. The period covered by the option was not included in the non-cancellable lease term as it not was not determined to be reasonably certain to be executed. The lease is subject to charges for common area maintenance and other costs, and base rent is subject to an annual 3% increase each subsequent year. Monthly rent expense is recognized on a straight-line basis over the term of the leases. The operating leases are included in the balance sheet at the present value of the lease payments at a weighted average discount rate of 7% using the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment as the leases do not provide an implicit rate. The weighted average remaining lease term was 4.0 years. Lease costs were comprised of the following (in thousands):
|  | Year ended December 31, 2019 |
Operating lease cost |  | $ | 3,011 |
Short-term lease cost |  |  | 133 |
Total lease cost |  | $ | 3,144 |
Cash paid for amounts included in the measurement of operating lease liabilities for the year ended December 31, 2019 was $3.0 million. Gross future minimum annual rental commitments as of December 31, 2019, were as follows (in thousands):
|  | Undiscounted Rent Payments |
Year ending December 31, |  |  |  |
2020 |  |  | 3,038 |
2021 |  |  | 3,127 |
2022 |  |  | 3,220 |
2023 |  |  | 1,694 |
2024 |  |  | 1,745 |
Total undiscounted rent payments |  | $ | 12,824 |
Present value discount |  |  | (1,733 | )
Present value |  | $ | 11,091 |
Current portion of operating lease liabilities (included as a component of accrued expenses and other current liabilities) |  | $ | 2,354 |
Noncurrent operating lease liabilities |  |  | 8,737 |
Total operating lease liability |  | $ | 11,091 |
Future minimum payments under the non-cancelable operating lease as of December 31, 2018 were as follows (in thousands):
Years ending December 31, |  |  |  |
2019 |  |  | 2,944 |
2020 |  |  | 3,035 |
2021 |  |  | 3,123 |
2022 |  |  | 3,216 |
2023 |  |  | 1,690 |
Thereafter |  |  | 1,741 |
|  | $ | 15,749 |
For the years ended December 31, 2019 and December 31, 2018, the Company recorded approximately $3.1 million and $1.5 million, respectively, in rent expense. The sublease did not commence until January 15, 2018, therefore there was no rent expense for the year ended December 31, 2017. Litigation The Company is not a party to any material legal proceedings and is not aware of any pending or threatened claims. From time to time, the Company may be subject to various legal proceedings and claims that arise in the ordinary course of its business activities.

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- Definition The entire disclosure for commitments and contingencies. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 450 -URI http://asc.fasb.org/topic&trid=2127136 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 440 -URI http://asc.fasb.org/topic&trid=2144648 + Details
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