SANGAMO THERAPEUTICS, INC : Entry into a Material Definitive Agreement (form 8-K)

Published: 2021-10-22 16:06:08 ET SGMO

Item 1.01 Entry into a Material Definitive Agreement. On October 18, 2021, Sangamo Therapeutics, Inc. (the "Company" or "Sangamo") entered into an Amended and Restated Office/Laboratory Lease (the "Lease") with Point Richmond R&D Associates II, LLC (the "Landlord") for the lease of approximately 51,488 square feet of rentable area of the building located at 501 Canal Boulevard, Point Richmond, California (the "Premises"), which the Company currently occupies and utilizes as research and office space. The initial term of the Lease runs from October 1, 2021 through August 31, 2031 (the "Initial Term"), extending the expiration date of the Company's preexisting lease for the Premises for an additional five years. In addition, the Company will lease an additional 7,997 square feet of office space at the same location (together with the Premises, the "Combined Premises") from November 1, 2021 through the expiration of the Initial Term. Monthly base rent for the Combined Premises will escalate from approximately $125,275, the base rent for the month of October 2021, to approximately $187,250 over the course of the Initial Term. The aggregate estimated rent payments due over the Initial Term of the Lease is approximately $19.6 million. The Landlord will contribute approximately $2.6 million during the Initial Term toward tenant improvements. Subject to certain conditions, Sangamo shall have the option to extend the Term of the Lease one time for an additional period of 60 months (the "Extension Option"). The Extension Option will be upon the same material terms and conditions as the Lease, except that the initial monthly base rent for the Combined Premises will be equal to the greater of (i) the then-prevailing market rent as determined pursuant to the terms of the Lease and (ii) the monthly base rent in effect as of the expiration of the Initial Term, in each case subject to a three percent (3%) annual increase during the term of the Extension Option. The foregoing description of the material terms of the Lease does not purport to be a complete description of the rights and obligations of the parties thereunder and is qualified in its entirety by reference to the Lease that will be filed as an exhibit to the Company's next Annual Report on Form 10-K. Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The information set forth under Item 1.01 of this Current Report on Form 8-K is incorporated herein by reference.

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