AMREP CORPORATION (NYSE:AXR) Files An 8-K Other Events
Item 8.01 Other Events.
Reference is made to the settlement agreement, dated February 18, 2020 (the “Settlement Agreement”), among Palm Coast Data LLC (“PCD”), Palm Coast Data Holdco, Inc. (“Seller”) and Studio Membership Services, LLC (“Buyer”) described in the current report on Form 8-K, which was filed with the Securities and Exchange Commission on February 19, 2020. Seller is a subsidiary of the Company.
PCD failed to timely make a payment of $325,000 to Seller on or before March 20, 2020 to the Settlement Agreement. As a result, PCD is in default under (a) the Settlement Agreement, (b) the Industrial Lease, dated effective April 26, 2019, by and between Commerce Blvd Holdings, LLC (“CBH”), as landlord, and PCD, as tenant, with respect to the real property known as 11 Commerce Boulevard, Palm Coast, Florida and the related lease amendment contained in Exhibit C to the Settlement Agreement, (c) the Industrial Lease, dated effective April 26, 2019, by and between Two Commerce LLC (“TC”), as landlord, and PCD, as tenant, with respect to the real property known as 2 Commerce Boulevard, Palm Coast, Florida and the related lease amendment contained in Exhibit B to the Settlement Agreement and (d) the purchase agreement, dated February 18, 2020, between CBH, as seller, and 11 Commerce Blvd Holdings, LLC, as purchaser, with respect to the real property known as 11 Commerce Boulevard, Palm Coast, Florida contained in Exhibit A to the Settlement Agreement. CBH and TC are subsidiaries of the Company.
On March 23, 2020, CBH filed the stipulated judgment of eviction (Exhibit I of the Settlement Agreement) with the Circuit Court of the Seventh Judicial District in and for Flagler County, Florida with respect to the real property known as 11 Commerce Boulevard, Palm Coast, Florida and TC filed the stipulated judgment of eviction (Exhibit J of the Settlement Agreement) with the Circuit Court of the Seventh Judicial District in and for Flagler County, Florida with respect to the real property known as 2 Commerce Boulevard, Palm Coast, Florida.
About AMREP CORPORATION (NYSE:AXR)
Amrep Corporation is a holding company. The Company, through its subsidiaries, operates through two segments: real estate operations and fulfillment services. The Company conducts its real estate business through AMREP Southwest Inc. (AMREP Southwest) and its subsidiaries, with its activities occurring primarily in the City of Rio Rancho and certain adjoining areas of Sandoval County, New Mexico. The real estate operations include land sales and lease activities. Its fulfillment services is offered through its subsidiary Palm Coast Data LLC (Palm Coast) and its affiliates. Its fulfillment services business performs fulfillment and contact center services, including subscriber list and database management, payment and order processing and accounting, subscriber mailing services, customer service and contact center management, data processing and business intelligence solutions, print and digital marketing solutions, and product fulfillment warehousing, processing and distribution.