LEASES

The Company’s operations utilize property, facilities, equipment and vehicles owned by the Company or leased from others. Buildings and facilities leased from others are primarily for restaurants and support facilities. Restaurants are operated under lease arrangements that generally provide for a fixed base rent and, in some instances, contingent rent based on a percentage of gross operating profit or net revenues in excess of a defined amount. Initial terms of land and restaurant building leases generally have terms of 20 years, exclusive of options to renew. Leases of equipment primarily consist of restaurant equipment, computer systems and vehicles. The Company subleases facilities to certain franchisees and other non-related parties which are recorded on a straight-line basis.

Information regarding the Company’s future lease obligations at December 26, 2018 is as follows (in thousands):



	Capital Leases			Operating Leases
For the Years Ending	Minimum Lease Payments			Minimum Lease Payments		Minimum Sublease Income
December 25, 2019	$	95		$	25,388	$	1,443
December 30, 2020	54			24,437		1,108
December 29, 2021	54			23,342		1,078
December 28, 2022	45			22,338		1,001
December 28, 2023	—			20,634		989
Thereafter	—			150,342		2,612
Total	$	248		$	266,481	$	8,231
Less: imputed interest (11.0% to 11.1%)	(64		)
Present value of capital lease obligations	184
Less: current maturities	(68		)
Noncurrent portion	$	116

Net rent expense is as follows (in thousands):



For the Years Ended	December 26, 2018			December 27, 2017			December 28, 2016
Base rent	$	25,591		$	24,384		$	22,089
Contingent rent	282			259			209
Less: sublease income	(2,218		)	(2,334		)	(2,540		)
Net rent expense	$	23,655		$	22,309		$	19,758

Base rent and contingent rent are included in occupancy and other operating expenses, while sublease income is included in franchise revenue in the accompanying consolidated statements of operations. Sublease income includes contingent rental income of $0.7 million, $0.8 million, and $1.0 million for fiscal 2018, 2017, and 2016, respectively.

The Company is a lessor for certain property, facilities and equipment owned by the Company and leased to others, principally franchisees, under noncancelable leases with initial terms ranging from 3 to 20 years. The lease agreements generally provide for a fixed base rent and, in some instances, contingent rent based on a percentage of gross operating profit or net revenues. Total rental income included in franchise revenue in the accompanying consolidated statements of operations for leased property was $0.5 million, $0.5 million and $0.5 million for fiscal 2018, 2017, and 2016, respectively.

Minimum future rental income for company-owned properties under noncancelable operating leases, which is recorded on a straight-line basis, in effect as of December 26, 2018, is as follows (in thousands):



For the Years Ending
December 25, 2019	$	334
December 30, 2020	349
December 29, 2021	301
December 28, 2022	276
December 28, 2023	276
Thereafter	2,673
Total future minimum rental income	$	4,209