X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MARLBOROUGH, MA-Axiowave Networks Inc. has defaulted on its 100,000-sf lease obligation at Marlborough Corporate Place, according to San Mateo, CA-based Glenborough Realty Trust Inc., the office REIT that owns the property. On Tuesday, Glenborough said it has commenced legal action against the tenant, which accounts for 1.5% ($2.9 million) of the REIT’s annual revenues. Axiowave was not immediately available for comment Tuesday afternoon. Last month, the company slashed its workforce from 156 to 25. “This action was required to reduce the company’s operating expenditures while the company secures additional financing,” according to a statement by CEO Mukesh Chatter that was posted to the company’s website. Since starting up in 2000, the router maker has received $120 million in venture capital. As a result of the lease default, Glenborough will take a charge of $1.4 million or $0.04 per diluted common share during the fourth quarter representing an allowance for uncollectible rent and related straight line rent receivable.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2022 ALM Global, LLC. All Rights Reserved.