SQL TECHNOLOGIES CORP. : Entering into a Material Definitive Agreement, Creating a Direct Financial Obligation or Obligation Under an Off-Balance Sheet Registrant Arrangement, Financial Statements and Exhibits (Form 8-K)

Section 1.01 Entering into a Material Definitive Agreement.

On April 28, 2022, SQL Technologies Corp. (d/b/a Sky Technologies) (the “Company”), as sub-tenant, has entered into a sub-lease agreement (the “Sub-lease Agreement”) with Sicart Associates LLCa Delaware limited liability company (the “Sub-Lessor”), as sub-landlord, to sub-lease approximately 3,400 square feet of office space located on the 54th floor of the building known as Carnegie Hall Towerlocated at 152 West 57th Street, New York, New York (the locals, the residents”). The Sublease Agreement is subject to and subordinated to this Rental Agreement entered into by and between the Sublandlord, as Lessee, and the Landlord, dated August 31, 2016
(the Lease”). The Company intends to use the Premises to support its general and administrative functions, sales and marketing, and business development.

The term of the Sublease Agreement (the “Sublease Term”) will begin upon the signing of the Consent to Sublease Agreement by the Premises Owner and will expire on February 27, 2027, unless terminated early in accordance with the terms of the sublease agreement. Delivery of the Premises is subject to the landlord’s consent and, if not obtained within 45 days of the date of execution of the Sublease Agreement, the Company shall have the right to terminate the Sublease Agreement. .

Pursuant to the Sublease Agreement, the Company will lease the Premises at a fixed annual base rent of $322,715 per year, i.e. a monthly base rent of approximately $26,893, during the first year of the term of the sublease, with cumulative compound annual increases of 3% for each year of the term of the sublease. The Company will also pay a fixed electricity charge of approximately $920 per month and certain other costs or amounts arising from the lease. As part of the conclusion of the sublease agreement, the Company paid a refundable security deposit of approximately $161,358 and the first month’s rent and the fixed electricity charge of approximately $27,813. The sublease agreement does not provide for any rent due for the second and third months of the sublease term.

The above summary of the Sublease Agreement does not purport to be complete and is submitted and qualified in its entirety by reference to the full text of the Sublease Agreement, a copy of which is filed as Exhibit 10.1 of this current report on Form 8-K and is incorporated herein by reference.

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under a

          Off-Balance Sheet Arrangement of a Registrant

The information set forth in Section 1.01 of this Current Report on Form 8-K is incorporated by reference into this Section 2.03.

Item 9.01 Financial statements and supporting documents.

(d) Exhibits.



  10.1+†   Sublease Agreement, executed as of April 28, 2022, by and between SQL
         Technologies Corp. and Sicart Associates LLC.

  104    Cover Page Interactive Data File (embedded within the Inline XBRL
         document).

  +      Certain of the exhibits and schedules to this exhibit have been omitted
         in accordance with Regulation S-K Item 601(a)(5). The Company agrees to
         furnish a copy of all omitted exhibits and schedules to the Securities
         and Exchange Commission (the "SEC") upon its request.

  †      Portions of this exhibit (indicated by bracketed asterisks) are omitted
         in accordance with the rules of the SEC because they are both not
         material and the Company customarily and actually treats such information
         as private or confidential.

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