AXOGEN, INC. (NASDAQ:AXGN) Files An 8-K Entry into a Material Definitive Agreement

AXOGEN, INC. (NASDAQ:AXGN) Files An 8-K Entry into a Material Definitive AgreementItem 1.01Entry into a Material Definitive Agreement.

The continued growth of AxoGen Corporation (“AC”), a Delaware corporation and wholly owned subsidiary of AxoGen,Inc. (“Inc.”) (collectively AC and Inc. are referred to herein as the “Company”), has resulted in developing an expansion plan for its corporate offices. As part of this plan, on September 20, 2018 AC provided to SNH Medical Office Properties Trust, a Maryland real estate investment trust, (“SNH”) a countersigned letter agreement that resulted in a Current Premises Election Notice (the “Notice”).AC and SNH are parties to that certain lease dated as of February 6, 2007, as amended (the “Lease”) to which AC leases its 11,761 square foot corporate headquarters facility in Alachua, Florida (the “Current Premises”). The Notice exercised AC’s right and option under the Lease to extend the Current Premises Term (as defined in the Lease)until October 31, 2021. A Fourth Amendment to Lease between AC and SNH was executed on March 16, 2016 that expanded the Current Premises by 7,050 square feet and terminates June 2021. As a result of the Notice and terms of the Fourth Amendment to Lease, AC’s corporate headquarter space in Alachua, Florida continues through at least the second quarter of 2021.

The foregoing summary of the material terms of the Notice is qualified in its entirety by reference to the full text of the Notice, which is attached hereto as Exhibit10.1 and incorporated herein by reference.

AC does not believe that it can satisfy its expected space requirements at the current headquarters in Alachua, Florida.As a result, AC has pursued additional expansionspace byentering into the Heights Union Lease (as such term is defined below) relating to the lease by the Company in Tampa, Florida. The Companyis pursuing additional lease space in Tampa, Florida to satisfy it’s space requirements while the Heights Union Premises are constructed.

Heights Union Lease

On September 20, 2018 (the “Heights Union Lease Effective Date”), the Company entered into a conditional agreement for the lease of certain office space (the “Heights Union Lease”) with Heights Union, LLC, a Florida limited liability company (“Heights Union”) to lease 75,000 square feet (the “Heights Union Premises”) of a 150,051 square foot office building that Heights Union intends to construct and complete on or before February 15, 2020, on an area of land in Tampa, Florida (the “Site”). to the Heights Union Lease, AC will use the Heights Union Premises for general office, medical laboratory, training and meeting purposes. Heights Union is expected to become the fee simple owner of the Site within sixty (60) days of the Heights Union Lease Effective Date.The Company has a termination right if Heights Union does not become the fee simple owner of the Site within such timeframe andwill be paid by Heights Union its actual expenses incurred in negotiating the Heights Union Lease to a maximum of $100,000.

The Heights Union Lease has a term of approximately fourteen (14)years (or 168 months) from the later of: (1) the date of Substantial Completion (as defined in the Heights Union Lease) of the Heights Union Premises; or (2) the date of substantial construction of the parking garage servicing the Heights Union Premises (the “Heights Union Lease Original Term”). It is currently anticipated that the Heights Union Lease Original Term will commence February 15, 2020. The Company’s rental cost of the Heights Union Premises during the Heights Union Lease is as follows: