Leases

For the Company, material leases consist of operating leases on our facilities, mainly branch leases; leases 12-months or less and immaterial equipment leases have been excluded. As of March 31, 2020, the Company had 15 operating real estate leases. The Company's leased facilities are contracted under various non-cancelable operating leases, most of which provide options to the Company to extend the lease periods and include periodic rent adjustments. While the Company typically exercises its option to extend lease terms, the lease contains provisions that allow the Company, upon notification, to terminate the lease at the end of the lease term, or any option period. Several real estate leases also provide the Company the right of first refusal should the property be offered for sale. During the third quarter of 2019, the Company finalized the purchase of one of the leased buildings in its main campus.

Lease expenses for the three months ended March 31, 2020 and March 31, 2019 were $325 thousand and $334 thousand, respectively. Variable lease costs and short-term lease expenses included in lease expense during this period were immaterial.

The weighted average remaining lease term for operating leases at March 31, 2020 was 27.1 years, and the weighted average discount rate was 3.79%.

At March 31, 2020, the remaining undiscounted cash flows by year of these lease liabilities were as follows:



(Dollars in thousands)	Operating Leases
2020 (nine remaining months)	$	939
2021	1,242
2022	1,244
2023	1,251
2024	1,256
Thereafter	23,344
Total lease payments	$	29,276
Less: Imputed interest	11,308
Total lease liability	$	17,968

In addition, the Company currently collects rent through non-cancellable leases for a small portion of the overall square-footage within its Lowell, Massachusetts campus headquarters and at one of its branch locations. These leases are deemed immaterial.

See also Item (k), "Leases," contained in Note 1, "Summary of Significant Accounting Policies," to the Company's consolidated financial statements contained in the Company's 2019 Annual Report on Form 10-K, for further information regarding the accounting for the Company's leases.