Supplemental Agreement No.1



 Exhibit 10.16 
  
 Translation of original document executed in Russian. 
  
 SUPPLEMENTARY AGREEMENT No. 1 
 to the land sublease Agreement dated April 18, 2000 
  
 This Supplementary Agreement No. 1 to the Land Sublease Agreement dated as of April 18, 2000 (hereinafter “Sublease Agreement”),
registered June 02, 2000 by Moscow Municipal Committee of Real Estate Dealerships Registration by number 77-01/00-07/2000-41955, is entered into on May 03, 2005 in Moscow between: 
  
 Open Joint-Stock Company “PIOGLOBAL Real Estate Investment
Fund” (formerly known as PIOGLOBAL Investment Fund, PIONEER First Investment Fund, First Investment Voucher Fund), legal entity incorporated under the laws of Russian Federation, OSRN 1027739441971, having its legal address at: Russian
Federation, 125445, Moscow, ul. Smolnaya, 24/D, represented by Closed Joint-Stock Company “PIOGLOBAL Asset Management”, its Management company, acting pursuant to the Federal Law “About Investment Funds” p. 3 art. 3 and
Management Agreement No. B-322 dated as of July 24, 2002, duly represented by Management company General Director Andrei M. Uspensky, acting on the basis of Closed Joint-Stock Company “PIOGLOBAL Asset Management” Charter (hereinafter
“Lessee”) and 
  
 PREA, L.L.C. (formerly known as
Pioneer Real Estate Advisors, Inc.), legal entity incorporated under the laws of State of Delaware, USA, having its principle place of business at: One Faneuil Hall Marketplace, Boston, Massachusetts, 02109, U.S.A.), duly represented by James
Sheppard, its Managing Director, acting on the power of attorney dated as of December 08, 2004 (hereinafter “Sublessee”) 
  
 Hereinafter jointly referred to as the “Parties”. 
  
 PREAMBLE 
  

	 	(A)	Whereas, as on April 02, 2000 the Parties entered into Land Sublease Agreement concerning the whole land plot with total area 12,696 sq.m., located at: Russian Federation,
125445, Moscow, ul. Smolnaya, 24 (“Land plot”), Cadastral number of the Land plot 77:09:01010:010, for which Lessee has the right of long-time leasehold according to the Lease Land Agreement with the City of Moscow No. M-09-000979, dated
September 06, 1994, including all the subsequent amendments and additions; 

  

	 	(B)	Whereas, the Parties agreed to introduce amendments and additions into the Sublease Agreement to reflect the new names of the Parties and to make amendments to other sections of
Sublease Agreement; 

  

	 	(C)	Whereas, the Parties agree that the present Supplementary Agreement No. 1 to the Sublease Agreement in accordance with Civil Codex of Russian Federation art. 425 p. 2 conforms
to the Parties’ relations evolved from the moment when the Sublease Agreement came into force. 

  
 Herewith, the Parties agree to make following amendments and additions to the Sublease Agreement: 
  

	 	1.	The name of Lessee in the text shall be replaced with Open Joint-Stock Company “PIOGLOBAL Real Estate Investment Fund” and the name of Sublessee shall be replaced with
“PREA, L.L.C.” correspondingly. 

  

	 	2.	Section 6.2. shall be amended with the second paragraph as follows: 

  
 “6.2. Sublessee, at its own expense shall implement building, erection, exploitation, maintenance and capital repairs of projects necessary for
operation of business center, including car parking, Sublessee shall also at its own expense conduct all Land plot maintenance including landscaping, cleaning the area, snow removal and environmental improvements. All together
(“Improvements”)” 








	 	3.	Section 6.7. of Sublease Agreement shall be stated as follows: 

  
 “6.7. On expiration of Sublease term determined by the present Sublease Agreement, Sublessee undertakes to return the Land plot to Lessee in the same
condition as it was received from Lessee according to the present Agreement, other than changes from normal use and effected Improvements”. 
  

	 	4.	Section 15.2. of Sublease Agreement shall read: 

  
 “15.2. Parties have the following addresses: 
  
 15.2.1. Lessee: 
  
 To General Director 
 of OJSC
“PIOGLOBAL” 
 Management Company 
  
 Russia, 103918, Moscow, 
 Gazetny pereylok, 5

 Fax: + 7 495 960 2905 
  
 15.2.2. Sublessee: 
  
 To Managing Director 
 Commercial Tower
Meridian 
 Ul. Smolnaya, 24/D 
 125445, Moscow, Russia 
  
 Fax: +7 495 960
2920 
  
 The Parties shall notify each other about all changes in
their addresses and telephone numbers promptly. 
  

	 	5.	The Present Supplementary Agreement No. 1 to the Sublease Agreement shall be an integral part hereof. Sublease Agreement remains in effect as amended by Supplementary Agreement
No. 1. 

  

	 	6.	The Present Supplementary Agreement No. 1 comes into force from the date of its state registration. 

  

	 	7.	The Parties signed the present Supplementary Agreement No. 1 to the Land Sublease Agreement in six originals, three in English and three in Russian. In the event of any
inconsistency between the English and the Russian versions, the Russian version shall prevail. 

  

					
	 Open Joint-Stock Company
 “PIOGLOBAL
Real Estate
 Investment Fund”
	 	 	 	PREA, L.L.C.
			
	/s/    A. USPENSKY        	 	 	 	/s/    JAMES SHEPPARD        
	 A. Uspensky
 CEO of Management Company
 CJSC “PIOGLOBAL Asset Management”
	 	 	 	 James Sheppard
 Managing Director


  
 Main
Department 
 Of the Federal Registration Service, Moscow 
  
 Registration circuit #77/14 
  
 The state registration was made 
 July 27, 2005 
 Registration number 77-77-14/005/2005 989 
 The registering clerk: Bulavintsev 







 Exhibit 10.16  Supplemental Agreement No. 1 registered July 27, 2005

 to Land Sublease Agreement dated as of April 18, 2000 
 by and between Open Joint-Stock Company 
 “PIOGLOBAL Investment Fund”
and PREA, LLC 
  
 [HARBOR GLOBAL COMPANY LTD. LETTERHEAD]

  
 The undersigned hereby certifies that the translation of
Exhibit 10.16—Supplemental Agreement No. 1 registered July 27, 2005 to Land Sublease Agreement dated as of April 18, 2000 by and between Open Joint-Stock Company “PIOGLOBAL Investment Fund” and PREA, LLC to which this
certification is attached is a fair and accurate translation of the original document executed in Russian. 
  
 Dated: February 22, 2006 
  


	
	/s/    DONALD H. HUNTER        
	 Name: Donald H. Hunter
 Title: Chief Financial Officer