Educational Development Corporation Completes Sale and Leaseback of Headquarters

Educational Development Corporation (EDC) completed the sale and leaseback of its headquarters and distribution warehouse located in Tulsa, Oklahoma, to 10Mark 10K Industrial, LLC for $32,200,000. The proceeds were used to pay off the company's outstanding term loans and revolving loan under its credit agreement. EDC assigned existing third-party tenant leases to the buyer and executed a separate triple-net lease for its occupied space in the complex. The lease term is 10 years with an initial rate of $8.00 per square foot, subject to 2.5% annual escalations. EDC also has two five-year renewal options with similar annual increases. Additionally, EDC repaid all outstanding indebtedness under its credit agreement with BOKF, NA, totaling approximately $30.0 million, without incurring early termination penalties.