Related Party Transactions

12 Months Ended

Sep. 27, 2019

Related Parties

We maintain contractual agreements relating to certain entities affiliated with the Dolby family, who is considered a related party as our principal stockholder. These jointly-owned entities were established for the purpose of acquiring and leasing commercial property in the U.S. and U.K. primarily for our operational use. Although the entities affiliated with the Dolby family are the limited member or LP in each of these entities, they have a controlling interest based on holding majority economic ownership. We are the managing member or general partner in each of these affiliated entities, and with the exception of isolated instances where portions of these facilities are leased to third parties, we occupy the majority of the space. Therefore, we have consolidated the entities’ assets and liabilities and results of operations in our consolidated financial statements. The share of earnings and net assets of the entities attributable to the limited member or LP, as the case may be, is reflected as controlling interest in our consolidated financial statements.

Our interests in these consolidated affiliated entities and the location of the property leased to Dolby Laboratories as of September 27, 2019 were as follows:



Entity Name	Minority Ownership Interest		Location Of Properties
Dolby Properties Brisbane, LLC	49.0	%	Brisbane, California
Dolby Properties Burbank, LLC	49.0	%	Burbank, California
Dolby Properties, LP	10.0	%	Wootton Bassett, England

We lease from our principal stockholder a commercial office building located at 100 Potrero Avenue in San Francisco, California under a term that expires on October 31, 2024. In fiscal 2019, we ceased occupancy of the facility, and do not intend to re-occupy the locations. As a result of our ceased occupancy, we incurred $33.5 million in restructuring charges recorded as operating expenses in our consolidated statement of operations. Related party rent expense included in operating expenses in our consolidated statements of operations were as follows (in thousands):



	Fiscal Year Ended
	September 27, 2019		September 28, 2018		September 29, 2017
Related party rent expense and restructuring charges included in operating expenses	$	16,360	$	3,483	$	3,142

Distributions. Distributions made by the jointly-owned real estate entities to our principal stockholder were as follows (in thousands):



	Fiscal Year Ended
	September 27, 2019			September 28, 2018			September 29, 2017
Distributions to principal stockholder	$	(1,015	)	$	(1,022	)	$	(2,094	)