Leases

The Company utilizes land and buildings in its operations under various lease agreements. The Company does not consider any one of these individual leases material to the Company's operations. Initial lease terms are generally for twenty years and, in many cases, provide for renewal options and in most cases rent escalations. Certain leases require contingent rent, determined as a percentage of sales as defined by the terms of the applicable lease agreement. For most locations, the Company is obligated for occupancy related costs including payment of property taxes, insurance and utilities.

During the years ended January 1, 2017, January 3, 2016 and December 28, 2014, the Company sold 38, 7 and 15 restaurant properties, respectively, in sale-leaseback transactions for net proceeds of $53,599, $9,148 and $19,565, respectively. These leases have been classified as operating leases and generally contain a twenty-year initial term plus renewal options.

Deferred gains from sale-leaseback transactions of restaurant properties of $1,480, $16 and $373 were recognized during the years ended January 1, 2017, January 3, 2016, and December 28, 2014, respectively, and are being amortized over the term of the related leases. The amortization of deferred gains from sale-leaseback transactions was $1,788, $2,535 and $1,793 for the years ended January 1, 2017, January 3, 2016 and December 28, 2014, respectively.

Minimum rent commitments under capital and non-cancelable operating leases at January 1, 2017 were as follows :



Fiscal year ending:	Capital			Operating
December 31, 2017	$	2,067		$	62,739
December 30, 2018	2,073			61,595
December 29, 2019	2,068			60,546
January 3, 2021	1,367			59,207
January 2, 2022	292			58,067
Thereafter	338			615,545
Total minimum lease payments	8,205			$	917,699
Less amount representing interest	(1,166		)
Total obligations under capital leases	7,039
Less current portion	(1,616		)
Long-term obligations under capital leases	$	5,423

Total rent expense on operating leases, including contingent rent on both operating and capital leases, was as follows:



	Year ended
	January 1, 2017		January 3, 2016		December 28, 2014
Minimum rent on real property	$	59,076	$	53,085	$	45,371
Contingent rent on real property	5,738		5,011		3,494
Restaurant rent expense	64,814		58,096		48,865
Administrative and equipment rent	267		276		264
	$	65,081	$	58,372	$	49,129