12. CAPITAL LEASES

We record capital lease obligations and leased property and equipment at the lesser of the present value of future lease payments based upon the terms of the related lease agreement or the fair value of the assets held under capital leases. As of December 31, 2011, our capital leases had expiration dates ranging from 2013 to 2023.

During 2011, we entered into leases for network equipment for $2.4 million and new company-controlled data center space in Dallas, Texas and Los Angeles, California for $17.2 million. As a result, property and equipment and corresponding capital lease obligations increased by $19.6 million. In addition, we assumed capital lease obligations of $1.3 million in the Voxel acquisition (see note 3).

Future minimum capital lease payments and the present value of the minimum lease payments for all capital leases as of December 31, 2011, are as follows (in thousands):

2012	$	5,845
2013		6,692
2014		6,864
2015		6,944
2016		6,123
Thereafter		30,939
Remaining capital lease payments		63,407
Less: amounts representing imputed interest		(22,330	)
Present value of minimum lease payments		41,077
Less: current portion		(2,154	)
	$	38,923