Cambridge-based AVEO Oncology is reportedly leaving its current Kendall Square digs in Cambridge for an unspecified location within the realm of Greater Boston.

AVEO terminated its lease agreement over the 125,000-square foot headquarters at 650 East Kendall Street owned by BioMed Realty Trust and shared by fellow tenant Ipsen Biosciences.

The move won’t come cheap for AVEO, though, as the notes further that they’ll have to pony up $7.8 million in termination fees and a similar sum to BioMed over the upcoming nine months. If they opted to remain in Kendall, the company would’ve paid some $110 million per the lease – the duration of which is unclear.

“Maximizing our financial strength and flexibility is a key component of AVEO’s overall strategy, and success in amending our debt facility gave us the ability to terminate our lease for unused office and research space as part of our continued efforts to reduce operating costs,” said Tuan Ha-Ngoc, president and chief executive officer of AVEO, in statement. “Together, these agreements simplify our capital commitments and provide greater operating flexibility. This allows us to continue to execute on our strategy, which is to focus our internal resources to advance AV-380 in cancer cachexia while leveraging partner resources to further the  development of our  pipeline.”

AVEO has occupied the Cambridge space since May 9, 2012 and will immediately vacate the under utilized portions of the space, subsequently abandoning it entirely within one year’s time.

The Boston Business Journal speculates that the move, intended to “decrease operational expenses” as explained by AVEO, is likely to have been fueled by the fact that its landmark kidney cancer drug, tivozanib, was not recommended for approval by an advisory panel to the U.S. Food and Drug Administration. During that time, the company also laid off 140 employees.

By terminating the lease, AVEO will retain a year-end cash balance between $50 and $55 million.