Property and Equipment, net

9 Months Ended

Sep. 30, 2021

Property, Plant and Equipment [Abstract]

Property and Equipment, net

Property and Equipment, net

The following table summarizes the Company’s property and equipment (in thousands):

	September 30, 2021		December 31, 2020
Furniture and office equipment	$	1,163	$	315
Vehicle	393		229
Leasehold improvements	547		246
Machinery and equipment	277		—
Total property and equipment	2,380		790
Less: accumulated depreciation	(753)		(460)
Property and equipment, net	$	1,627	$	330
Fintech Village
Land	$	—	$	2,750
Assets retirement obligations - environmental remediation	—		4,500
Fintech Village	$	—	$	7,250

The Company recorded depreciation expense of $126,323 and $25,170, which is included in its operating expense, for the three months ended September 30, 2021 and 2020, respectively and $335,785 and $90,962 for the nine months ended September 30, 2021 and 2020, respectively.

In the three months ended June 30, 2020 the Company ceased to use the premises for its New York City headquarters at 55 Broadway, and vacated the premises. As a result, the Company recorded an impairment loss of $0.2 million related to leasehold improvements and other fixed assets at that location.

Global Headquarters for Technology and Innovation in Connecticut (“Fintech Village”)

On January 28, 2021, the Company’s Board of Directors accepted an offer of $2.75 million for Fintech Village, and subsequently signed a sale contract on March 15, 2021. The Company believes that Fintech Village met the criteria for held for sale classification on January 28, 2021. As the sale is expected to be completed within one year, the land with a carrying amount of $2.6 million and the asset retirement cost of $4.5 million are recorded as “Held for sale assets (Fintech Village”) in the current asset section of the condensed consolidated balance sheet. The Company has estimated the costs to sell Fintech Village to be $0.2 million and has recorded these costs in “Loss on disposal of subsidiaries, net.”

The Company recorded asset retirement obligations for environmental remediation matters in connection with the acquisition of Fintech Village. The asset retirement obligations are classified as held for sale as they will be derecognized upon the sale.

The following table summarizes the activity in the asset retirement obligation for the nine months ended September 30, 2021 (in thousands):

	January 1, 2021		Liabilities Incurred		Remediation Performed		Accretion Expense		Revisions		September 30, 2021
Asset retirement obligation	$	4,653	$	—	$	—	$	—	$	—	$	4,653