As of September 30, 2026, ARKO Parent and the Company collectively leased 566 dealer locations, 157 cardlock locations, former store locations, and certain office and storage spaces, including land and buildings in certain cases. Most of the lease agreements are for long-term periods, ranging from 15 to 20 years, and generally include several renewal options for extension periods for five to 25 years. Additionally, ARKO Parent and the Company lease certain store equipment, office equipment, automatic tank gauges and fuel dispensers.

As of September 30, 2026, out of the above, the Company directly leased a total of 176 dealer locations and cardlock locations. In addition, as of September 30, 2026, the Company or its subsidiaries leased jointly and severally with ARKO Parent from third party lessors 233 sites, of which 135 sites were attributable to the Business. As of September 30, 2026, the total lease liabilities related to such joint and several agreements were $334.7 million, of which $162.1 million related to the Business and was recorded on the condensed consolidated balance sheet. Refer to Note 13 for details on related party leases.

The components of lease cost recorded on the condensed consolidated statements of operations were as follows:


	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2026			2025		2026		2025
	(in thousands)
Finance lease cost:
Depreciation of right-of-use assets	$	1,016		$	714	$	2,962	$	1,650
Interest on lease liabilities		2,011			1,363		5,794		3,006
Operating lease costs included in site operating expenses		16,853			14,362		49,463		39,710
Operating lease costs included in general and administrative expenses		138			89		417		406
Lease cost related to variable lease payments, short-term leases and leases of low value assets		287			—		788		—
Right-of-use asset impairment charges and net (gain) loss on disposals of leases		(160	)		379		807		1,306
Total lease costs	$	20,145		$	16,907	$	60,231	$	46,078

The Company leases and subleases owned and leased properties to dealers and other tenants and subtenants, which are accounted for as operating or sales-type leases. The majority of these leases and subleases are for periods of up to 10 years, which may be a fixed period or a shorter period with an option or series of renewal options, and in certain cases with additional renewal options beyond 10 years. Some of the lease agreements include lease payments that are based upon the tenant’s or subtenant’s sales subject to fixed minimum lease payments. Lessees often post a security deposit as collateral at the time of lease inception. Total operating lease income was approximately $16.1 million, $12.4 million, $47.0 million and $32.5 million for the three and nine months ended September 30, 2026 and 2025, respectively. Lease income is included in other revenues, net, in the condensed consolidated statements of operations.