LEASES

12 Months Ended

Dec. 31, 2024

Rithm Capital, through its wholly-owned subsidiaries, has leases on office space expiring through 2033. Rent expense, net of sublease income for the years ended December 31, 2024, 2023 and 2022 totaled $35.4 million, $45.8 million and $45.2 million,

respectively. The Company has leases that include renewal options and escalation clauses. The terms of the leases do not impose any financial restrictions or covenants.

Operating lease ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent obligations to make lease payments arising from the lease. In addition, the Company has finance leases for computer hardware. As of December 31, 2024, the Company has pledged collateral related to its lease obligations of $7.2 million, which is presented as part of restricted cash on the consolidated balance sheets. Operating lease ROU assets and lease liabilities are presented as part of other assets and accrued expenses and other liabilities, respectively, on the consolidated balance sheets (Note 12).

The table below summarizes the future commitments under the non-cancelable leases:


Year Ending	Operating Leases		Finance Leases		Total
2025	$	43,449	$	228	$	43,677
2026	36,578		228		36,806
2027	37,682		228		37,910
2028	27,978		—		27,978
2029	26,323		—		26,323
2030 and thereafter	14,967		—		14,967
Total remaining undiscounted lease payments	186,977		684		187,661
Less: imputed interest	27,172		52		27,224
Total Remaining Discounted Lease Payments	$	159,805	$	632	$	160,437

The future commitments under the non-cancelable leases have not been reduced by the sublease rentals of $33.7 million due in the future periods.

Other information related to leases is summarized below:


	December 31,
	2024		2023
Weighted Average Remaining Lease Term (Years):
Operating leases	5.1		5.8
Finance leases	2.5		3.5

Weighted Average Discount Rate:
Operating leases	6.5	%	6.2	%
Finance leases	7.9	%	7.9	%


	Year Ended December 31,
Supplemental Information	2024		2023		2022
Cash Paid for Amounts Included in the Measurement of Lease Liabilities:
Operating cash flows - operating leases	$	51,289	$	34,655	$	51,005
Operating cash flows - finance leases	4		—		—
Finance cash flows - finance leases	224		—		—
Supplemental Non-Cash Information on Lease Liabilities Arising from Obtaining ROU Assets:
ROU obtained in exchange for new operating lease liabilities	$	20,465	$	1,449	$	5,773