In June 2022, the Company entered into an operating lease of approximately 285,000 square feet of office and laboratory space that now serves as its corporate headquarters located in Millbrae, California. The lease commenced in February 2024 and expires in January 2040. The lessor provided the Company a tenant improvement allowance of $64.2 million and the Company constructed leasehold improvements, which were concluded to be lessee assets, in the space. The lease liability at lease commencement was calculated to be $159.5 million, which is equal to the present value of the future lease payments, discounted at an incremental borrowing rate of 13.0%. The lease agreement also includes a renewal option allowing the Company to extend this lease for an additional ten years at the prevailing rental rate, which the Company is not reasonably certain to exercise.

In addition, the lease agreement provides for up to $57.0 million in additional tenant improvement allowances that may be utilized by the Company and is repayable over the term of the lease with interest. $49.7 million of additional tenant improvement allowances had been drawn down as of March 31, 2026, and the Company constructed leasehold improvements, which were concluded to be lessee assets, in the space. The Company is accounting for the repayment obligation related to these additional tenant improvement allowances as part of the lease with the amounts included in operating lease liability, current and non-current. The Company has an irrevocable standby letter of credit for $6.6 million held as security for the Millbrae lease deposit.

The Company had leases for other office and laboratory facilities of between approximately 25,000 and 72,000 square feet in Hayward, California, New York, New York and Jersey City, New Jersey as of March 31, 2026. The leases will expire between October 2026 and July 2029 unless their terms are extended where allowed under the leases. In January 2026, the Company notified the landlord of one of its Hayward properties of its intention to early terminate the lease in October 2026. The Company remeasured the operating lease liabilities, which resulted in a reduction of the carrying value of the operating lease liability and a corresponding reduction in the operating lease right-of-use assets of $5.6 million as of December 31, 2025.

The Company’s leases had weighted average remaining lease terms of 13.1 years and 13.3 years, and weighted average discount rates of 12.8% and 12.8% as of March 31, 2026 and December 31, 2025, respectively.

Future minimum lease payments under non-cancellable leases as of December 31, 2026 were as follows (in thousands):


Year Ending December 31,
2026 (remainder of year)	$	30,988
2027		39,310
2028		38,286
2029		36,777
2030		35,913
Thereafter		370,302
Total future minimum lease payments		551,576
Less: Imputed interest		(296,745	)
Present value of future lease payments		254,831
Less: Operating lease liability, current		(9,740	)
Operating lease liability, net of current portion	$	245,091

Rent expense for operating leases was $7.8 million and $8.4 million for the three months ended March 31, 2026 and 2025, respectively. There were no variable lease costs and short-term lease costs were not material for the three months ended March 31, 2026 and 2025.