COHO COLLECTIVE KITCHENS INC. FINALIZES LEASE AND CREDIT FACILITY IN CONNECTION WITH 26,000 SQUARE FOOT RICHMOND LOCATION
Vancouver, British Columbia (July 26, 2022) - Coho Collective Kitchens Inc. (TSXV: COHO) ("Coho" or the "Company"), a commercial real estate and food technology company that provides private and shared kitchen and food production space to a variety of businesses, is pleased to announce it has executed a lease agreement (the "Crestwood Lease") among Peterson Crestwood Limited Partnership ("Peterson"), as landlord, Richmond By Coho Collective Kitchens Inc. (the "Tenant"), as tenant, and Coho, Amrit Maharaj (COO), and Andrew Barnes (CEO), as indemnifiers. The Tenant is a wholly owned subsidiary of Coho.
"We are excited to work with Peterson on this extraordinary project," said Andrew Barnes, Chief Executive Officer of Coho. "Our focus continues to be managing capital wisely, while growing smartly. Despite uncertainty and volatility in the broader economy, proceeds from our recent initial public offering have allowed us to continue to pursue our previously disclosed growth strategy," adds Barnes. "Coho Crestwood is a significant achievement, particularly in light of the current market climate. Richmond is a diverse and fast-growing city. Coho Crestwood will be centrally located - just five minutes from urban Vancouver and 30 minutes from Vancouver city centre. Coho Crestwood will be one of the largest facilities of its kind in Canada, featuring an expansive commissary space, food hall, and grocery concept. It's something new to the industry, and we look forward to getting started."
Execution of Crestwood Lease
The new facility ("Coho Crestwood") includes commissary, grocery, and food hall premises to support Coho's expansion in the region and is expected to open by Spring 2023. Coho Crestwood is comprised of approximately:
19,000 square feet of commissary space at 130-13711 International Place, Richmond, British Columbia;
1,500 square feet of grocery space at 120A-13711 International Place, Richmond, British Columbia; and
5,500 square feet of food hall space at 120-13711 International Place, Richmond, British Columbia.
The Crestwood Lease will commence immediately following the expiration of a standard fixturing period (the "Commencement Date"). The Crestwood Lease has a term of fifteen years (plus the balance of the applicable calendar month, if the Commencement Date occurs on a day other than the first day of a calendar month) (the "Term"). Peterson will be providing the Tenant with improvement allowances in connection with the Crestwood Lease and overall pricing is consistent in all material respects with figures previously disclosed by Coho.
Coho is a growth stage, community-driven, commercial real estate and food technology company that provides private and shared kitchen and production space to food companies from start-ups to restaurant groups seeking turnkey solutions and business services. Each of the Company's customers, called "Members", are revenue generating companies that have signed a membership agreement with Coho for an agreed upon term. The concept falls in line with a rapidly growing trend in the food-delivery industry for delivery-only and/or virtual restaurant concepts. For more information about how Coho is growing and innovating in the commissary space, visit https://www.cohocommissary.com.
Andrew Barnes, Chief Executive Officer
This press release may contain forward-looking information within the meaning of applicable securities legislation, which reflect management's current expectations regarding future events. Forward‐looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company's control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward‐looking information. Such risks and uncertainties include, but are not limited to, the ability of the Company to execute on its strategy and the factors discussed under "Risk Factors" in the final long-form prospectus of the Company dated May 27, 2022. Coho disclaims any obligation to update these forward-looking statements.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.