Company: GAME
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023589
Chunk: 32

Company: GameSquare Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 32
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 agreement does not contain any material
residual value guarantees or material restrictive covenants.

On
April 1, 2024, GameSquare Holdings, Inc. leased a building in Culver City, CA, which it later assigned to Faze Media Inc. on May 15,
2024. The lease has an original lease period expiring in March 2027. The lease agreement does not contain any material residual value
guarantees or material restrictive covenants. The Company disposed of Faze Media Inc. on April 1, 2025, including the lease right-of-use
assets and lease liabilities (see Note 19).

The
components of operating lease expense are as follows:

Schedule of components operating lease expense 

    2025  
    2024  
    2025  
    2024 

    Three months ended September 30,  
    Nine months ended September 30, 

    2025  
    2024  
    2025  
    2024 
  
    Operating lease expense 
     135,772  
     229,509  
     501,052  
     501,052 
  
    Variable lease expense 
     60,120  
     105,513  
     210,069  
     230,023 
  
    Total operating lease costs 
     195,892  
     335,022  
     711,121  
     731,075 

As
of September 30, 2025, the remaining lease-term and discount rate on the Frisco, TX lease was 3.6 years and 8.3%, respectively.

Maturities
of the lease liability are as follows:

Schedule of maturities of lease liability 

    2025 
     136,452 
  
    2026 
     545,808 
  
    2027 
     545,808 
  
    2028 
     545,808 
  
    2029 
     181,936 
  
    Thereafter 
     - 
  
    Total lease payments 
     1,955,812 
  
    Less: Interest 
     (257,090)
  
    Total lease liability 
    $1,698,722 

9.
Line of credit

On
September 14, 2023, the Company entered into