Acquires 8.858-acre property with 153,928 sq ft building for $26.8M cash

Applied Optoelectronics, Inc. has acquired an 8.858-acre property in Houston, Texas, including a 153,928 square foot building. The company paid $26,783,472.00 in cash for the acquisition. This transaction stems from a one-time purchase option granted under a lease agreement with Blue Ridge Commerce Center West LLC, which became effective on February 10, 2026. The lease and purchase option were previously disclosed by the company in an SEC filing on February 27, 2026.

The property, located at 16851 Blue Ridge Commerce Dr., Building 3, Houston, Texas 77489, is intended for various uses including office space, warehousing, and light manufacturing and assembly purposes. The acquisition includes not only the land and building but also certain related tangible and intangible personal property.

As part of the agreement, the existing lease between Applied Optoelectronics as tenant and Blue Ridge Commerce Center West as landlord automatically terminated upon the closing of the sale on September 4, 2026. The company also paid a construction management fee of $135,000.00 to TC Houston Industrial Development, Inc. and reimbursed the seller up to $10,500.00 for third-party engineering review fees and consulting costs. These fees supersede previous arrangements under the lease for construction management and reimbursement for tenant improvements.

The company will receive a fixed property tax credit of $733.70 per day for the period between February 10, 2026, and the closing date, acknowledging that property taxes were the tenant's responsibility under the lease. The seller is also responsible for basic title insurance premiums and certain recording fees, while the buyer covers costs for endorsements and modifications to the title policy.