Property and Equipment, Net

6 Months Ended

Jun. 30, 2020

Property, Plant and Equipment [Abstract]

Property and Equipment, Net

Property and Equipment, Net

Property and equipment, net consists of the following:

	June 30,		December 31,
	2020		2019
	(in thousands)
Land and land improvements	$	282,162	$	223,877
Buildings, building improvements, and leasehold improvements	514,050		435,214
Substation equipment	19,780		19,780
Data center equipment	1,156,184		1,021,056
Vehicles	1,933		1,732
Core network equipment	39,114		36,572
Fiber facilities	14,111		13,180
Computer equipment, furniture and fixtures	44,683		39,057
Finance lease right-of-use assets	72,951		72,569
Construction in progress	120,265		254,750
Property and equipment, gross	2,265,233		2,117,787
Less: accumulated depreciation and amortization	(635,114)		(566,670)
Property and equipment, net	$	1,630,119	$	1,551,117

Accumulated amortization for finance lease right-of-use assets totaled $13.0 million and $11.7 million as of June 30, 2020 and December 31, 2019, respectively.

During the six months ended June 30, 2020 and 2019, capitalized interest was $2.4 million and $2.3 million, respectively.

The Company capitalized internal use software costs of $0.4 million and $0.5 million during the three months ended June 30, 2020 and 2019, respectively, and $0.5 million and $1.0 million during the six months ended June 30, 2020 and 2019, respectively.

In May 2020, the Company closed on an agreement with an entity in which a member of its Board of Directors has a beneficial ownership interest for the purchase of approximately two acres of land in Las Vegas, Nevada for $2.5 million.

Total depreciation and amortization of property and equipment recognized on the consolidated statements of comprehensive income was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
	(in thousands)
Cost of revenue	$	34,883	$	29,014	$	66,111	$	56,824
Selling, general and administrative expense	1,130		843		2,420		1,591
Total depreciation and amortization of property and equipment	$	36,013	$	29,857	$	68,531	$	58,415