Childrens Place, Inc. 10-K

ITEM 2. PROPERTIES. We lease all of our existing store locations in the United States, Puerto Rico, and Canada, with lease terms expiring through 2032. The average unexpired lease term for our stores is approximately 1.9 years in the United States, Puerto Rico, and Canada. Generally, we enter into initial lease terms for our stores ranging between 1 - 10 years at inception and provide for contingent rent based on sales in excess of specific minimums. We anticipate that we will be able to extend those leases which we wish to extend on satisfactory terms as they expire or relocate to more desirable locations. The following table sets forth information with respect to certain of our non-store locations as of February 1, 2025: Location Use Approximate Sq. Footage Current Lease Term Expiration Fort Payne, AL (1) Store Distribution Center / E-commerce Fulfillment Center 700,000 Owned Stevenson, AL (1) Offsite Storage 450,000 1/31/2026 Oxford, AL (1) (5) Offsite Storage 122,000 3/31/2025 Scottsboro, AL (1) Offsite Storage 303,000 7/31/2026 Fort Payne, AL (1) (2) Offsite Storage 569,000 1/31/2027 Hong Kong, China (3) Product Support 11,000 4/30/2027 500 Plaza Drive, Secaucus, NJ (3) Corporate Offices 120,000 5/31/2037 Lahore, Pakistan (4) Corporate Offices 20,000 11/30/2034 ____________________________________________ (1) Supports our stores, wholesale, and e-commerce business in both the U.S. and Canada. (2) Includes four separate offsite storage facility locations. 28 Table of Contents (3) Supports our U.S. stores, our e-commerce business, our Canadian stores, our international franchisees, and wholesale business. (4) Supports back-office functions, sourcing services and other business and corporate matters as needed. The corporate office is expected to be fully operational in the second quarter of Fiscal 2025. (5) The current lease expired on March 31, 2025 and is expected to be renewed until June 30, 2025. We also use a third-party provider operating a 315,000 square foot distribution center in Indiana and 184,000 square foot distribution center in Ontario, Canada to support our U.S. and Canadian e-commerce fulfillment operations, respectively.