Item 1.01 Entry into a Material Definitive Agreement.
Pro-Dex, Inc. (the "Company") entered into a lease agreement on September 30, 2007, (dated for reference purposes September 24, 2007), with PS Business Parks L.P. (the Lease). The Lease is for approximately 7,482 square feet of office and industrial space located at NW Greenbrier Parkway, Beaverton, Oregon 97006. The original term of the lease is 76 months, commencing November 1, 2007. The monthly base rental rate is $6,060.00 per month, with a 3% annual increase in monthly base rent beginning at $182.00 per month, plus initial common area expenses estimated to be approximately $2,244.60 per month. The Company has an option to extend the Lease for an additional 5 years.