Leases

3 Months Ended

Mar. 31, 2024

4. Leases

The Company has a single operating lease for its corporate headquarters and laboratory space in San Diego, California. The lease expires in July 2025 and the Company has an option to extend the term of the lease for an additional five years. Additionally, the lease includes certain rent abatement, rent escalations, tenant improvement allowances and additional charges for common area maintenance and other costs.

The components of lease expense included in the Company’s statements of operations and loss include (in thousands):


	Three Months Ended March 31,
	2024		2023
Operating lease expense	$	261	$	261
Variable lease expense		159		147
Total lease expense, net	$	420	$	408

Variable lease costs are primarily related to payments made to lessors for common area maintenance, property taxes, insurance, and other operating expenses. The Company did not have any short-term leases or finance leases for the three months ended March 31, 2024 and 2023, respectively.

The weighted average remaining lease term and weighted average discount rate for operating leases were as follows:


	As of March 31,
	2024			2023
Weighted average remaining lease term (in years)		1.25			2.25
Weighted average discount rate percentage		3.50	%		3.50	%

Supplemental cash flow information related to leases under which the Company is the lessee was as follows (amounts in thousands):


	Three Months Ended March 31,
	2024		2023
Cash paid for amounts included in the measurement of operating leases	$	557	$	407

Maturities of operating lease liabilities as of March 31, 2024 were as follows (in thousands):


	Operating lease
Nine months ending December 31, 2024		1,128
2025		845
Thereafter		—
Total future lease payments		1,973
Less: imputed interest		(49	)
Total operating lease liabilities	$	1,924