v3.25.2
OPERATING LEASES
 6 Months Ended
Jun. 30, 2025
Lessee Disclosure [Abstract]  
OPERATING LEASES OPERATING LEASES
Substantially all leases in which OFG is the lessee are comprised of real estate property for branches, ATM locations, and office space with terms extending through 2038. OFG’s leases do not contain residual value guarantees or material variable lease payments. All leases are classified as operating leases and are included on the consolidated statements of financial condition as a right-of-use asset and a corresponding lease liability. OFG leases to others certain space in its principal offices for terms extending through 2026 with two additional extension through to 2030; all are operating leases.
Operating Lease Cost
Quarter Ended June 30,Six-Month Period Ended June 30,Statement of Operations
2025202420252024Classification
(In thousands)
Lease costs$2,238 $2,261 $4,478 $4,914 Occupancy and equipment
Variable lease costs414 370 796 781 Occupancy and equipment
Short-term lease costs101 91 201 141 Occupancy and equipment
Lease income(8)(29)(21)(51)Occupancy and equipment
Total lease costs$2,745 $2,693 $5,454 $5,785 
Operating Lease Assets and Liabilities
June 30,December 31,Statement of Financial Condition
20252024Classification
(In thousands)
Right-of-use assets$17,284 $19,197 Operating lease right-of-use assets
Lease Liabilities$19,354 $21,388 Operating leases liabilities

June 30,December 31,
20252024
(In thousands)
Weighted-average remaining lease term4.6 years4.8 years
Weighted-average discount rate7.6 %7.6 %
Future minimum payments for operating leases with initial or remaining terms of one year or more as of June 30, 2025 were as follows:
Minimum Rent
As of June 30, 2025(In thousands)
2025$3,505 
20265,872 
20274,807 
20283,457 
20291,872 
Thereafter3,534 
Total lease payments$23,047 
Less imputed interest3,693 
Present value of lease liabilities$19,354 
OFG, as lessor, leases and subleases real property to tenants under operating leases. As of June 30, 2025, no material lease concessions have been granted to tenants. As of June 30, 2025, OFG, as lessee, has not requested any lease concessions.