Lease Income

12 Months Ended

Dec. 31, 2020

Leases [Abstract]

Lease Income

Lease Income

The Operating Partnership is the lessor and the sublessor to tenants under operating and sales-type leases. The minimum rental amounts due under the leases are generally subject to scheduled fixed increases or adjustments. The leases generally also require that the tenants reimburse us for increases in certain operating costs and real estate taxes above their base year costs.

Future minimum rents to be received over the next five years and thereafter for operating leases in effect at December 31, 2020 are as follows (in thousands):

2021	$	631,775
2022	598,226
2023	546,803
2024	511,087
2025	465,398
Thereafter	2,658,793
	5,412,082

The components of lease income from operating leases during the years ended December 31, 2020 and 2019 were as follows (in thousands):

	Twelve Months Ended December 31,
	2020		2019
Fixed lease payments	$	702,482	$	858,587
Variable lease payments	96,040		120,496
Total lease payments	$	798,522	$	979,083
Amortization of acquired above and below-market leases	5,901		4,474
Total rental revenue	$	804,423	$	983,557

The table below summarizes our investment in sales-type leases as of December 31, 2020:

Property	Year of Current Expiration	Year of Final Expiration (1)
712 Madison Avenue (2)	2021	2021
110 East 42nd Street Garage (3)	2069	2069
15 Beekman (4)	2089	2089

(1)Reflects exercise of all available renewal options.

(2)In January 2021, the Company closed on the sale of 712 Madison Avenue for a gross sales price of $43.0 million, pursuant to the exercise of a purchase option by the ground lessee of the property.

(3)In December 2020, the Company entered into a lease with its One Vanderbilt joint venture for use of the garage at 110 East 42nd Street.

(4)In August 2020, the Company formed a joint venture, which then entered into a long-term sublease with the Company for the building at 15 Beekman. See Note 6, "Investments in Unconsolidated Joint Ventures."

Future minimum lease payments to be received over the next five years and thereafter for our sales-type leases with initial terms in excess of one year as of December 31, 2020 are as follows (in thousands):

	Sales-type leases
2021	$	46,326
2022	3,375
2023	3,424
2024	3,474
2025	3,525
Thereafter	223,199
Total minimum lease payments	$	283,323
Amount representing interest	(133,924)
Investment in sales-type leases (1)	$	149,399

(1)This amount is included in other assets in our consolidated balance sheets.

The components of lease income from sales-type leases during the years ended December 31, 2020 and 2019 were as follows (in thousands):

	Twelve Months Ended December 31,
	2020		2019
Loss recognized at commencement, net (1)	$	(6,237)	$	—
Interest income (2)	$	1,817	$	—

(1)These amounts are included in gain on sale of real estate, net and depreciable real estate reserves and impairments in our consolidated statements of operations.

(2)These amounts are included in other income in our consolidated statements of operations.