ARKO Corp. Quarterly report [Sections 13 or 15(d)]

Quarterly report [Sections 13 or 15(d)]

Leases

Leases

3 Months Ended

Mar. 31, 2025

4. Leases

As of March 31, 2025, the Company leased 1,100 of its retail convenience stores, 369 dealer locations, 154 cardlock locations, former store locations, and certain office and storage spaces, including land and buildings in certain cases. Most of the lease agreements are for long-term periods, ranging from 15 to 20 years, and generally include several renewal options for extension periods for five to 25 years. Additionally, the Company leases certain store equipment, office equipment, automatic tank gauges and fuel dispensers.

The components of lease cost recorded on the condensed consolidated statements of operations were as follows:


	For the Three Months Ended March 31,
	2025		2024
	(in thousands)
Finance lease cost:
Depreciation of right-of-use assets	$	2,511	$	2,452
Interest on lease liabilities		4,267		4,300
Operating lease costs included in site operating expenses		47,957		46,675
Operating lease costs included in general and administrative expenses		533		538
Lease cost related to variable lease payments, short-term leases and leases of low value assets		600		628
Right-of-use asset impairment charges and loss (gain) on disposals of leases, net		685		1,536
Total lease costs	$	56,553	$	56,129