Premises and Equipment

12 Months Ended

Dec. 31, 2017

9.Premises and Equipment

The following table presents the components of premises and equipment at December 31, 2017 and 2016:



(in thousands)	2017		2016
Land	$	7,035	$	7,383
Land Improvements		1,203		1,201
Premises		25,150		25,696
Furniture and Equipment		20,246		17,506
Capital Lease		534		534
		54,168		52,320
Less accumulated depreciation		(23,287)		(25,160)
Total	$	30,881	$	27,160

The Corporation recorded depreciation expense of $1.9 million in 2017 and $1.7 million in 2016.

Pursuant to the terms of non-cancelable operating lease agreements for banking and subsidiaries’ offices and for data processing and telecommunications equipment in effect at December 31, 2017, future minimum rent commitments under these leases for future years are as follows: (i) $3.4 million for 2018; (ii) $3.1 million for 2019; (iii) $3.1 million for 2020; (iv) $3.0 million for 2021; (v) $3.0 million for 2022; and (vi) $6.0 million thereafter. The leases contain options to extend for periods from one to five years, which are not included in the aforementioned amounts.

Total building and land rental expense amounted to $.5 million in 2017 and 2016.