v3.25.2
LEASES (Tables)
 6 Months Ended
Jun. 30, 2025
Leases [Abstract]  
Schedule of Operating Lease Expenses
The components of operating lease expense are as follows:
Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
Rent - cost of services(1)
$57,195 $53,272 $114,271 $105,148 
Cost of services(2)
6,611 5,649 13,040 11,419 
General and administrative expense214 181 413 334 
Depreciation and amortization(3)
272 303 414 606 
$64,292 $59,405 $128,138 $117,507 
(1)Rent - cost of services includes deferred rent expense adjustments of $199 and $407 for the three and six months ended June 30, 2025, respectively, and $190 and $385 for the three and six months ended June 30, 2024, respectively. Additionally, rent - cost of services includes other variable lease costs such as CPI increases and short-term leases of $4,634 and $8,638 for the three and six months ended June 30, 2025, respectively, and $3,300 and $6,357 for the three and six months ended June 30, 2024, respectively.
(2)Cost of services includes variable lease costs consisting of property taxes and insurance.
(3)Depreciation and amortization is related to the amortization of favorable and direct lease costs.
Schedule of Future Minimum Lease Payments
Future minimum lease payments for all third-party leases as of June 30, 2025 are as follows:
YearAmount
2025 (remainder)$108,371 
2026216,519 
2027215,728 
2028214,656 
2029210,795 
2030206,617 
Thereafter1,686,729 
TOTAL LEASE PAYMENTS$2,859,415 
Less: present value adjustment (963,372)
PRESENT VALUE OF TOTAL LEASE LIABILITIES$1,896,043 
Less: current lease liabilities(103,825)
LONG-TERM OPERATING LEASE LIABILITIES$1,792,218 
Schedule of Rental Income from Third-Party Sources
Total rental income from all third-party sources for the three and six months ended June 30, 2025 and 2024 is as follows:

Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
Pennant(1)
$4,082 $3,824 $8,204 $7,644 
Other third-party(2)
2,273 1,887 4,152 3,754 
TOTAL$6,355 $5,711 $12,356 $11,398 
(1) Pennant rental income includes variable rent such as property taxes of $270 and $580 during the three and six months ended June 30, 2025 and $314 and $632 for the three and six months ended June 30, 2024.
(2) Other third-party includes rental revenue associated with the Company's subleases to third parties of $1,116 and $2,223 for the three and six months ended June 30, 2025, respectively, and $1,089 and $2,169 for the three and six months ended June 30, 2024, respectively.
Schedule of Annual Rental Income
Future annual rental income for all third-party leases as of June 30, 2025 were as follows:
Year
Amount(1)
2025 (remainder)$13,218 
202625,822 
202725,278 
202824,933 
202924,821 
203023,829 
Thereafter112,200 
TOTAL$250,101 
(1) Annual rental income includes base rents and variable rental income pursuant to existing leases as of June 30, 2025.