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Leases
 12 Months Ended
Jan. 01, 2023
Leases [Abstract]  
Leases Leases
During the years ended January 1, 2023, January 2, 2022 and January 3, 2021, the Company sold two, 13 and 12 restaurant properties, respectively, in sale-leaseback transactions for net proceeds of $4.1 million, $22.3 million and $22.5 million, respectively. These leases have been classified as operating leases and generally contain a twenty-year initial term plus renewal options.
Rent commitments under finance and non-cancelable operating leases at January 1, 2023 were as follows:
Fiscal year ending:Operating LeasesFinance Leases
December 31, 2023$102,764 $3,840 
December 29, 2024101,867 3,453 
December 28, 202599,971 3,332 
December 27, 202698,252 3,242 
January 2, 202896,010 763 
Thereafter774,129 4 
Total lease payments1,272,993 14,634 
Less: imputed interest(449,120)(1,808)
Present value of lease liabilities823,873 12,826 
Less: current portion(47,408)(3,091)
Total long-term lease liabilities$776,465 $9,735 
Lease Cost
    The components and classification of lease expense for the years ended January 1, 2023, January 2, 2022 and January 3, 2021 are as follows:
Year ended
Lease costClassificationJanuary 1, 2023January 2, 2022January 3, 2021
Operating lease cost (1)
Restaurant rent expense$105,285 $103,733 $102,651 
Operating lease cost (2)
General and administrative853 946 606 
Variable lease cost - variable rentRestaurant rent expense20,196 18,929 15,793 
Variable lease cost - common area maintenance Other restaurant operating expenses578 585 521 
Finance lease cost:
Amortization of right-of-use assetsDepreciation and amortization2,798 755 1,233 
Interest on lease liabilitiesInterest expense723 133 130 
Total lease cost$130,433 $125,081 $120,934 
(1)Includes short-term leases which are not material.
(2)Represents operating lease costs for property and equipment not directly related to restaurant operations.
Lease Position
    Supplemental balance sheet information related to leases was as follows as of January 1, 2023 and January 2, 2022:
LeasesClassificationJanuary 1, 2023January 2, 2022
Assets
Operating leasesOperating right-of-use assets, net$763,935 $791,763 
Finance leasesProperty and equipment, net12,429 6,153 
Total leased assets$776,364 $797,916 
Liabilities
Current
Operating leasesCurrent portion of operating lease liabilities$47,408 $44,688 
Finance leasesCurrent portion of long-term debt and finance lease liabilities3,091 1,544 
Long-term
Operating leasesOperating lease liabilities776,465 802,959 
Finance leasesLong-term debt and finance lease liabilities9,735 4,762 
Total lease liabilities$836,699 $853,953 
Weighted Average Remaining Lease Term
Operating leases12.9 years13.5 years
Finance leases4.1 years4.3 years
Weighted Average Discount Rate
Operating leases7.0 %7.0 %
Finance leases6.7 %5.8 %
Leases Leases
During the years ended January 1, 2023, January 2, 2022 and January 3, 2021, the Company sold two, 13 and 12 restaurant properties, respectively, in sale-leaseback transactions for net proceeds of $4.1 million, $22.3 million and $22.5 million, respectively. These leases have been classified as operating leases and generally contain a twenty-year initial term plus renewal options.
Rent commitments under finance and non-cancelable operating leases at January 1, 2023 were as follows:
Fiscal year ending:Operating LeasesFinance Leases
December 31, 2023$102,764 $3,840 
December 29, 2024101,867 3,453 
December 28, 202599,971 3,332 
December 27, 202698,252 3,242 
January 2, 202896,010 763 
Thereafter774,129 4 
Total lease payments1,272,993 14,634 
Less: imputed interest(449,120)(1,808)
Present value of lease liabilities823,873 12,826 
Less: current portion(47,408)(3,091)
Total long-term lease liabilities$776,465 $9,735 
Lease Cost
    The components and classification of lease expense for the years ended January 1, 2023, January 2, 2022 and January 3, 2021 are as follows:
Year ended
Lease costClassificationJanuary 1, 2023January 2, 2022January 3, 2021
Operating lease cost (1)
Restaurant rent expense$105,285 $103,733 $102,651 
Operating lease cost (2)
General and administrative853 946 606 
Variable lease cost - variable rentRestaurant rent expense20,196 18,929 15,793 
Variable lease cost - common area maintenance Other restaurant operating expenses578 585 521 
Finance lease cost:
Amortization of right-of-use assetsDepreciation and amortization2,798 755 1,233 
Interest on lease liabilitiesInterest expense723 133 130 
Total lease cost$130,433 $125,081 $120,934 
(1)Includes short-term leases which are not material.
(2)Represents operating lease costs for property and equipment not directly related to restaurant operations.
Lease Position
    Supplemental balance sheet information related to leases was as follows as of January 1, 2023 and January 2, 2022:
LeasesClassificationJanuary 1, 2023January 2, 2022
Assets
Operating leasesOperating right-of-use assets, net$763,935 $791,763 
Finance leasesProperty and equipment, net12,429 6,153 
Total leased assets$776,364 $797,916 
Liabilities
Current
Operating leasesCurrent portion of operating lease liabilities$47,408 $44,688 
Finance leasesCurrent portion of long-term debt and finance lease liabilities3,091 1,544 
Long-term
Operating leasesOperating lease liabilities776,465 802,959 
Finance leasesLong-term debt and finance lease liabilities9,735 4,762 
Total lease liabilities$836,699 $853,953 
Weighted Average Remaining Lease Term
Operating leases12.9 years13.5 years
Finance leases4.1 years4.3 years
Weighted Average Discount Rate
Operating leases7.0 %7.0 %
Finance leases6.7 %5.8 %