James P. Kelly , Senior Vice President, Chief Financial Officer, Secretary, and Treasurer of Vanda Pharmaceuticals Inc (NASDAQ:VNDA) filled the following July 27, 2011.
On July 25, 2011, Vanda Pharmaceuticals Inc. (“Vanda”) and Square 54 Office Owner LLC (the “Landlord”) entered into a lease for Vanda’s future headquarters, consisting of 21,400 square feet at 2200 Pennsylvania Avenue, N.W. in Washington, DC (the “Lease”). Under the Lease, which will have an 11 year term commencing on April 1, 2012, Vanda will pay approximately $1.625 million in annual rent over the term of the Lease, however rent will be abated for the first 12 months. The Landlord will provide Vanda with an allowance of approximately $1.873 million for construction of the premises to Vanda’s specifications. Subject to the prior rights of other tenants in the building, Vanda will have the right to renew the Lease for five years following the expiration of its original term. Vanda will also have the right to sublease or assign all or a portion of the premises, subject to standard conditions. The Lease may be terminated early by either the Landlord or Vanda upon certain conditions. Vanda paid a security deposit of $500,000 upon execution of the Lease. Vanda will likely incur a termination fee and other costs in connection with an early termination of its lease for its current headquarters in Rockville, Maryland.