Spark Therapeutics, Inc. (NASDAQ:ONCE) Files An 8-K Entry into a Material Definitive Agreement

On November 20, 2017, Spark Therapeutics, Inc. (the “Company”), entered into a lease with Brandywine 3025 Market, LP, a Pennsylvania limited partnership (the “Landlord”) for approximately 107,669 rentable square feet (the “Lease”) in the building located at 3001-3025 Market Street, Philadelphia, Pennsylvania (the “Premises”).

The term of the Lease will commence on the earliest of: (i) the date on which the Company first conducts business on the Premises; (ii) substantial completion of certain leasehold improvements; and (iii) June 1, 2018 (the “Commencement Date”), and will expire on the 187-month anniversary of the Commencement Date (the “Initial Term”).

Following a seven-month abatement period, the Company will be obligated to pay base rent of between $17.50 per square foot and $35.00 per square foot per annum, in monthly installments, depending upon the nature of the space leased, and subject to certainannual base rent increases of 2.5%.

In addition, the Company is responsible under the Lease for customary annual costs and charges, including certain variable operating expenses, utilities, taxes and insurance, in monthly installments. The Lease also provides the Company a tenant improvement allowance of $6,697,034.70.

The Lease contains customary provisions allowing the Landlord to terminate the Lease for certain events of default, including if the Company fails to remedy a breach of any of its obligations within specified time periods, or upon bankruptcy or insolvency of the Company.

Subject to certain conditions set forth in the Lease, the Company has a fixed option to lease the fourth floor of the Premises exercisable at any time prior to September 1, 2018. The Company also has a right of first offer to lease the fourth floor and certain space on the garden level of the Premises from September 1, 2018 through the end of the Initial Term; provided that, there are at least 36 months remaining in the term of the Lease, and subject to certain other conditions set forth in the Lease.

The Company has the option to enter into three consecutive renewal terms of 60 months each beyond the end of the Initial Term and the option to terminate one or more contiguous floors of the Premises after the 127-month anniversary of the Commencement Date; provided, that it gives at least 30 months’ and no less than 24 months’ prior written notice to Landlord depending on the amount of space the Company is then occupying, and subject to certain other conditions set forth in the Lease.

The foregoing description of the Lease does not purport to be complete and is subject to, and qualified in its entirety by reference to, the full text of the Lease. The Company intends to file a copy of the Lease with the Company’s Annual Report on Form 10-K for the year ended December 31, 2017.

The information set forth in Item 1.01 above is incorporated by reference into this Item 1.01.

About Spark Therapeutics, Inc. (NASDAQ:ONCE)
Spark Therapeutics, Inc. (Spark) is engaged in developing products in the field of gene therapy. The Company focuses on treating orphan diseases. It has a pipeline of product candidates targeting multiple rare blinding conditions, hematologic disorders and neurodegenerative diseases. Its SPK-RPE65 (voretigene neparvovec) targets genetic blinding conditions known as inherited retinal dystrophies (IRDs). Its product candidates include SPK-CHM and SPK-FIX. Its product development portfolio includes product candidates targeting expression of genes in the liver, with an initial focus on hematologic disorders. It is engaged in the development and commercialization of SPK-FIX product candidates for the treatment of hemophilia B. The Company is developing a lead product candidate for the treatment of a form of Batten disease in SPK-TPP1 program. The Company is also conducting preclinical studies on a product candidate for the treatment of Huntington’s disease, a hereditary genetic disorder.