In June 2015, the Company executed a noncancelable operating lease for approximately 13,000 square feet of laboratory, research and development, and office space in Cranbury, New Jersey for an initial base rent of $20.00 per square foot. This location operates as the Company’s current headquarters.

In June 2017, the Company obtained an additional noncancelable operating lease for about 6,000 square feet of laboratory space in the same corporate center at an initial rental rate at $22.00 per square foot. As a result of the additional space, both leases will expire June 2022, with an option to renew on a month-to-month basis, with an increase in base rent as per the lease, for up to an additional year. Both leases include a common area maintenance expense for $3.00 per square foot with an increase of 3% on the first month of each calendar year during the lease term and a management fee of 3% of the base rent. The Company is obligated to pay, on a pro-rata basis, real estate taxes and operating costs related to the premises.

In August 2018, the Company executed two noncancelable operating leases. One lease for approximately 6,000 square feet for vivarium, laboratory and general office space in South Brunswick, New Jersey. The initial annual base rent is $15.50 per square foot and a management fee of 3% of the base rent. The Company is obligated to pay, on a pro-rata basis, insurance premiums, real estate taxes and operating costs related to the premises. The

lease expires in July 2022, with an option to renew on a month-to-month basis, with an increase in base rent as per the lease, for up to an additional year. The second lease is for office space in Lexington, Massachusetts, that expires August 2023, with an option to renew for a one-time, three-year extension. The initial annual base rent is $28.50 per square foot and will increase $1.00 per square foot at the end of each rent year.

In 2018, the company received a lease incentive for the buildout of 420 Bedford Street in Lexington, MA. The Company was given an allowance for $165 on behalf of the lessor for construction of office space. Management recognizes this allowance as a lease incentive in its Right-of-Use asset and straight-lines the allowance throughout the term of the lease. As of December 31, 2021, the remaining rent incentive pertaining to the Lexington, MA lease totaled $64.

In January 2021, the Company signed a lease for 50,581 square feet of office and laboratory space at One Research Way in Princeton, New Jersey. The Company intends to complete the relocation of their headquarters from Cranbury, NJ to One Research Way in Princeton NJ in late 2022. That lease term extends through 2032, has a five-year extension option, and is intended to replace our two existing facilities and the space is expected to become the Company’s future headquarters. Payment under this lease will total $19.6 million through May 2032. The Company received a lease incentive of $4.1 million from the lessor for a buildout of laboratory, vivarium, and office space, to be reimbursed to the Company in 2022. Management estimated the timing and amounts of reimbursements and included them as a reduction of lease payments when initially measuring the lease liability and right-of-use asset upon commencement.

The components of lease cost for the year ended December 31, 2021 are as follows:

(in thousands)	Year Ended December 31, 2021
Operating lease cost	$	1,691
Variable lease cost		704
Total lease cost	$	2,395

Amounts reported in the balance sheet for leases where the Company is the lessee as of December 31, 2021 were as follows, in thousands:

Operating Leases:	Year Ended December 31, 2021
Right-of-use assets, operating leases	$	10,060

Operating lease liabilities, current	$	403
Operating lease liabilities, non-current		10,790
Total operating lease liabilities	$	11,193

Weighted-average remaining lease term (years)		10.02
Weighted-average discount rate		5.75	%

Other information related to leases for the year ended December 31, 2021 is as follows, in thousands:

Cash paid for amounts included in the measurement of lease liabilities		$	717
Leased assets obtained in exchange for new operating lease liabilities			10,318

Future minimum lease payments, net of reimbursements, remaining as of December 31, 2021 under operating leases by fiscal year were as follows, in thousands:

Fiscal year
2022	$	(2,609	)
2023		1,833
2024		1,814
2025		1,869
2026		1,925
Thereafter		11,477
Total minimum lease payments	$	16,309
Less: Amounts representing imputed interest		(5,116	)
Present value of lease liabilities	$	11,193

Rent expense recorded for the years ended December 31, 2021 and 2020 were $1,691 and $561, respectively.

The company currently subleases the office space at 420 Bedford Street in Lexington, MA to another company. This sublease agreement expires in August, 2023. In April 2021, the company entered into a sublease agreement with the previous tenants of the office space at One Research Way in Princeton, NJ, from April 2021 to July 2021. As of December 31, 2021, sublease income for the Company was $116.

From time to time, the Company may have certain contingent liabilities that arise in the ordinary course of its business activities. The Company accrues a liability for such matters when future expenditures are probable and such expenditures can be reasonably estimated.

As of December 31, 2021, there were no purchase commitments with third-party suppliers.