Leases (Tables)

9 Months Ended

Sep. 30, 2019

As of September 30, 2019, our leased assets and liabilities consisted of the following (in thousands):



	September 30, 2019
Assets
Operating lease right-of-use assets	$	82,976
Liabilities
Operating lease liabilities	$	61,168

Lease Cost and Other Information

We incurred the following lease costs related to our operating leases (in thousands):



		Three Months Ended		Nine Months Ended
	Classification	September 30, 2019		September 30, 2019
Operating lease cost ⁽¹⁾	Hotel operating expenses - other	$	1,510	$	4,312

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⁽¹⁾For the three and nine months ended September 30, 2019, operating lease cost includes approximately $445,000 and $1.1 million of variable lease cost associated with the ground leases and $129,000 and $366,000 of amortization costs related to the intangible assets that were reclassified to “operating lease right-of-use assets” upon adoption of ASC 842. Short-term lease costs in aggregate are immaterial.

Other information related to leases is as follows:



	Nine Months Ended
	September 30, 2019
Supplemental Cash Flows Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases (in thousands)	$	2,417
Weighted Average Remaining Lease Term
Operating leases ⁽¹⁾	47 years
Weighted Average Discount Rate
Operating leases ⁽¹⁾	4.98		%

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⁽¹⁾Calculated using the lease term, excluding extension options, and discount rates of the ground leases.

Maturities of Operating Lease Liabilities

Future minimum lease payments due under non-cancellable leases as of September 30, 2019 were as follows (in thousands):



	Operating Leases
2019	$	806
2020	3,258
2021	3,269
2022	3,224
2023	3,227
Thereafter	151,666
Total future minimum lease payments	165,450
Less: interest	(104,282		)
Present value of lease liabilities	$	61,168

Future Minimum Lease Payments

Future minimum lease payments due under non-cancellable leases under ASC 840 as of December 31, 2018 were as follows (in thousands):



2019	$	3,161
2020	3,156
2021	3,152
2022	3,164
2023	3,177
Thereafter	151,244
Total	$	167,054