Property and Equipment

12 Months Ended

Jan. 28, 2023

Property and Equipment

Property and Equipment

NOTE 5—PROPERTY AND EQUIPMENT

Property and equipment consists of the following:

	JANUARY 28,		JANUARY 29,
	2023		2022
	(in thousands)
Finance lease right-of-use assets(1)	$	1,303,133	$	958,148
Leasehold improvements(2)		391,912		389,179
Computer software		147,553		122,552
Land		97,670		20,614
Building and building improvements(3)		94,508		54,061
Furniture, fixtures and equipment		86,456		86,058
Machinery, equipment and aircraft		79,836		73,968
Built-to-suit property		37,057		37,057
Total property and equipment		2,238,125		1,741,637
Less—accumulated depreciation and amortization(4)		(602,141)		(513,717)
Total property and equipment—net	$	1,635,984	$	1,227,920

(1) Refer to “Lease Accounting” within Note 3—Significant Accounting Policies and Note 11—Leases.

(2) Includes construction in progress of $8.0 million and $48 million as of January 28, 2023 and January 29, 2022, respectively. The balance as of January 29, 2022 was disclosed as $11 million in our fiscal 2021 Form 10-K and has been updated with the amount presented herein.

(3) Includes $92 million and $51 million of owned buildings under construction related to future Design Galleries as of January 28, 2023 and January 29, 2022, respectively.

(4) Includes accumulated amortization related to finance lease right-of-use assets of $224 million and $174 million as of January 28, 2023 and January 29, 2022, respectively. Refer to Note 11—Leases.

We recorded depreciation and amortization of property and equipment, excluding amortization for finance lease right-of-use assets, of $56 million, $52 million and $59 million in fiscal 2022, fiscal 2021 and fiscal 2020, respectively.