Business Context and Reporting Period
Company: Achieve Life Sciences, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: January 4, 2019
Event: Entry into a Material Definitive Agreement (New Office Lease)
Key Financial Metrics
This filing does not report revenue, profit, cash flow, margins, debt, or liquidity metrics. It details specific lease financial terms:
- Monthly Base Rent: Approximately $7,000 commencing February 1, 2019.
- Rent Increase: Approximately $7,200 commencing February 1, 2021.
- Security Deposit: Approximately $25,000 (half applied to first month's rent; remainder held without interest).
- Construction Allowance: Approximately $19,000 provided by the Landlord.
Material Changes
The Company's subsidiary, Achieve Life Sciences Technologies Inc., executed a new lease for approximately 2,367 square feet at The Grosvenor Building in Vancouver, B.C. This follows the expiration of the Company's prior lease in Vancouver in January 2019.
Outlook, Risks, and Unusual Items
Lease Terms: The initial term expires on January 31, 2023, with an option to extend for one further four-year period. The extension rent shall be no less than the base rent payable in the last year of the initial term.
Management Commentary: The filing notes that the description provided is a summary and is qualified by the actual lease terms, which will be filed as an exhibit to the Annual Report on Form 10-K for the year ended December 31, 2018.
Investor Verification Checklist
- Verify the full text of the New Lease agreement in the upcoming Form 10-K exhibit.
- Confirm the exact square footage and specific location details (Suite 1030, 1040 West Georgia Street).
- Monitor the utilization of the $19,000 construction allowance.
- Track the impact of the new rent obligation on future operating expenses.