Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 1999

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7
Chunk 1999
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 potential conflict of interest, the terms and conditions of the Lease were negotiated on behalf of Lifted by Vincent J. Mesolella, the Lead Outside Director of the Company. Landlord and Lifted were represented by their own independent legal counsel in connection with the Lease. Under the terms of the Lease, NWarrender was able to benefit through his entity, Holdings, by receiving rent and by eventually selling the 5511 Building to Lifted.

The purpose of the Lease was to replace Lifted’s current 3,300 square foot leased manufacturing facility and warehouse located in Zion, Illinois, as well as the space that Lifted has been temporarily using located adjacent to that rented space. Lifted built out the newly-leased space in Kenosha, including a clean room, and moved into that space during the first quarter of 2021. Lifted also expanded the parking lot of the 5511 Building because there was not enough parking space. Neither of these building improvements had an impact on the 5511 Purchase Price that Lifted had committed to pay for, and did pay for, the 5511 Building on December 14, 2023.

Under the terms of the “triple-net” Lease, starting on January 1, 2021, Lifted had leased approximately 11,238 square feet at the Premises at $6.13 per square foot per year in base rent ($68,888.94 in 2021), which was subject to a 2% increase in base rent each year, plus certain operating expenses and taxes. 

Rent Schedule

Date Base Monthly Rent January 1, 2021 – December 31, 2021 $5,740.75 January 1, 2022 – December 31, 2022 $5,855.57 January 1, 2023 – December 31, 2023 $5,972.68 January 1, 2024 – December 31, 2024 $6,092.13 January 1, 2025 – December 31, 2025 $6,213.97 

On December 30, 2021, LIFD, NWarrender, Holdings, GJacobs, and WJacobs entered into an agreement effective as of December 30, 2021 (“Omnibus Agreement”) that, among other things described in the section “Omnibus Agreement and Amended Omnibus Agreement