AXOGEN,INC. (NASDAQ:AXGN) Files An 8-K Entry into a Material Definitive AgreementItem 1.01Entry into a Material Definitive Agreement.
Burleson, Texas Distribution Facility Expansion
On November21, 2018, AxoGen Corporation (“AC”), a wholly owned subsidiary of AxoGen,Inc. (“AxoGen” and together with AC, the “Company”), entered into Commercial Lease Amendment 3, to be effective as of January 1, 2019 (the “Burleson Amendment”), to the Commercial Lease dated,April21, 2015, as amended, with Ja-ColeL.P. Under the terms of the Burleson Amendment, ACwill lease an additional 2,500 square feet of warehouse/office space in Burleson, Texas (collectively with the space leased under the Commercial Lease with Ja-Cole L.P. prior to the effectiveness of the Burleson Amendment, the “Burleson Facility”). The Burleson Facility will comprise a total of 12,500 square feet, all of which, to the Burleson Amendment, will be leased until December31, 2021. The annual rental cost of the entire Burleson Facility will be approximately $112,500 for each of the calendar years 2019 and 2020, and $116,500 for the calendaryear 2021. The Burleson Facility houses raw material storage and product distribution.
The foregoing summary of the material terms of the Burleson Amendment is qualified in its entirety by reference to the full text of the Burleson Amendment, which is attached hereto as Exhibit10.1 and incorporated herein by reference.
Alachua, Florida Expansion
General
AC and SNH Medical Office Properties Trust, a Maryland real estate investment trust (“SNH”), are parties to that certain Lease dated as of February6, 2007, as amended, (the “Primary Lease”) to which AC leases its 11,761 square foot corporate headquarters facility in the Progress Center at 13631 Progress Boulevard, Alachua, Florida 32615 (the “Primary Premises”). On January23, 2017 AC entered into a Lease (the “First Expansion Lease”) with SNH for 1,431 square feet at 13709 Progress Boulevard, Alachua, Florida 32615 (the “First Expansion Premises”) adjacent to the Primary Premises. AC has entered into the Second Expansion Lease and Third Expansion Lease, as defined below, which are adjacent to the Primary Premises and First Expansion Premises resulting in the Company having approximately 18,069 square feet for its corporate headquarters and certain research space in the Progress Center in Alachua, Florida.
Second Expansion Lease
On November19, 2018, AC entered into a Lease (the “Second Expansion Lease”) with SNH for 2,810 square feet at 13709 Progress Boulevard, Suites S‑160, S‑162 and S‑164, Alachua, Florida 32615 (the “Second Expansion Premises”). to the Second Expansion Lease, AC is to use the Second Expansion Premises for general office uses. The term of the Second Expansion Lease is expected to commence prior to December1, 2018 and expireon November30, 2020 (the “Second Expansion Lease Term”). AC’s annual cost of the Second Expansion Premises will be approximately $44,960 for the first 12monthsof the Second Expansion LeaseTerm and $46,309 for the final 12months. AC is also obligated to pay for certain taxes, insurance costs and electricity costs incurred by SHN.
The foregoing summary of the material terms of the Second Expansion Lease is qualified in its entirety by reference to the full text of the Second Expansion Lease, which is attached hereto as Exhibit10.2 and incorporated herein by reference.
Third Expansion Lease
On November19, 2018, AC entered into a Lease (the “Third Expansion Lease”) with SNH for 2,067 square feet at 13709 Progress Boulevard, Suites S‑175, S‑177 and S‑179, Alachua, Florida 32615 (the “Third Expansion Premises”). to the Third Expansion Lease, AC is to use the Third Expansion Premises for general office and biomedical research uses. The term of the Third Expansion Lease is expected to commence prior to December1, 2018 and expire onNovember30, 2020 (the “Third Expansion Lease Term”). AC’s annual cost of the Third Expansion Premises will be approximately $37,206 for the first 12months of the Third Expansion Lease Term and $38,322 for the final 12months. AC is also obligated to pay for certain taxes, insurance costs and electricity costs incurred by SHN.
