Business
Phoenix Announces the Sale and Leaseback of its Old Town, Maine Facility
Phoenix Announces the Sale and Leaseback of its Old Town, Maine Facility.
About this update from Phoenix Footwear Group, Inc.
[{"type":"text","content":"Phoenix Footwear \nAnnounces the sale and leaseback of the old town facility \n \n \n \nCARLSBAD, Calif., July 08, 2013 -- Phoenix Footwear Group, Inc. (OTCMarkets.com: PXFG) today announced the sale and leaseback of its Old Town facility. \n \nPhoenix Footwear Group announced today that on July 1, 2013, Penobscot Shoe Company (?Penobscot?), a Maine corporation and wholly owned subsidiary of Phoenix Footwear Group, Inc., a Delaware corporation (?Phoenix Footwear?), entered into a purchase and sale agreement (the ?Agreement?) with Old Town Partners, LLC (?Buyer?) relating to transactions which include, among other things, the sale and leaseback of Phoenix Footwear's warehouse facility located in Old Town, Maine. \n \nUnder the terms set forth in the Agreement, Penobscot sold to Buyer an approximately 75,000 square foot commercial building located on approximately 3.379 acres (collectively, the ?Property?). Currently, Phoenix Footwear utilizes the Property as its warehouse for inventory. Under the Agreement, Penobscot is required to lease the Property back from the Buyer pursuant to the terms of a Commercial Lease (Net Lease) between the Buyer, as landlord, and Penobscot, as tenant, and guaranteed by Phoenix Footwear. The lease term is ten years. The purchase price under the Agreement is $620,000. The proceeds from the closing of the transaction will be used by Phoenix Footwear to pay off its $250,000 term loan with AloStar Bank of Commerce, an Alabama bank (?AloStar?), and pay down its $700,000 subordinated term note with Gibraltar Business Capital, LLC, and its $7.0 million revolving credit facility with AloStar.\n \n \nAbout Phoenix Footwear Group, Inc. \n \nPhoenix Footwear Group, Inc., headquartered in Carlsbad, California, specializes in quality comfort women?s footwear with a design focus on fitting features. Phoenix Footwear designs, develops, markets and sells footwear in a wide range of sizes and widths under the brands Trotters? and SoftWalk?, These brands are primarily sold through department stores, leading specialty and independent retail stores, mail order catalogues and internet retailers and are carried by approximately 659 customers in over 997 retail locations throughout the U.S. Phoenix Footwear has been engaged in the manufacture or importation and sale of quality ...