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| **BASIC LEASE INFORMATION** |
|-----------------------------|
|                        |   |
| Tenant:                     | ReoStar Energy Corporation |
|                        |   |
| Address of Tenant:          | 3880 Hulen Street       Suites 500 and 510       Fort Worth, Texas 76107 |
|                        |   |
| Tenant Contact              | Scott Allen Telephone: 817-989-7367 |
|                        |   |
| Landlord:                   | Hulen South Tower Limited |
|                        |   |
| Address of Landlord:        | Hulen South Tower Limited       c/o Isenberg Management Associates, Inc.       400 S. Zang Blvd., Suite 1020       Dallas, 75208 |
|                        |   |
| Landlord Contact:           | Susan Burns Telephone: (214) 948-0500 |
|                        |   |
| Premises:                   | Suite No. 500 containing approximately 11,822      rentable square feet in the office building known as Frost Bank Tower (the      "Building"), located at 3880 Hulen Street in the City of Fort Worth, Tarrant      County, Texas, on the land (the "Land") described on Exhibit B. The Premises      are outlined on the plan attached to the Lease as Exhibit A. |
|                        |   |
| Commencement Date:          | February 1, 2010 |
|                        |   |
| Term:                       | Six (6) months commencing on the "Commencement      Date" and ending at 5:00 p.m., on the last day of the sixth (6th) full calendar      month following the Commencement Date, subject to adjustment and earlier      termination as provided in the Lease. |
|                        |   |

| Basic Rental: | Months      1-6 | Annual Rate (per rsf)       $15.15 | Monthly Rate      $14,927.28 |
|---------------|-----------------|------------------------------------|------------------------------|

|                          |                                                                                                                                                                                                     |
|-------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Base Year:                    | 2010                                                                                                                                                                                                     |
|                          |                                                                                                                                                                                                     |
| Tenant's Proportionate Share: | A percentage, the numerator of which is the      rentable square feet in the Premises, and the denominator of which is therentable square feet in the Building (i.e., 71,532 rentable      square feet). |

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| Security Deposit:  | $15,762.67                                                                            |
|--------------------|---------------------------------------------------------------------------------------|
|               |                                                                                  |
| Rent:              | Basic Rental and all other sums that Tenant      may owe to Landlord under the Lease. |
|               |                                                                                  |
| Permitted Use:     | General Office.                                                                       |
|               |                                                                                  |
| Tenant's Broker:   | Stream Realty Partners, L.P.                                                          |
|               |                                                                                  |
| Landlord's Broker: | MinkerTrahant & Associates (Richard D. Minker)                                        |

| **LANDLORD**    | **HULEN SOUTH TOWER LIMITED,**      a Texas limited partnership                                                                                                                                                                                                                                                                                                               |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|            |                                                                                                                                                                                                                                                                                                                                                                          |
| By:   | **Isenberg Management Associates, Inc.,**      a Texas corporation, its sole general partner                                                                                                                                                                                                                                                                                  |
|            |                                                                                                                                                                                                                                                                                                                                                                          |
|            |                                                                                                                                                                                                                                                                                                                                                                          |
|            | By: /s/ Ralph Isenberg                                                           Ralph Isenberg, President       Date: January 31, 2010 |
|            |                                                                                                                                                                                                                                                                                                                                                                          |
|            |                                                                                                                                                                                                                                                                                                                                                                          |
|            |                                                                                                                                                                                                                                                                                                                                                                          |
|            |                                                                                                                                                                                                                                                                                                                                                                          |
|            |                                                                                                                                                                                                                                                                                                                                                                          |

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| **TENANT******                          | REOSTAR ENERGY CORPORATION,       a Nevada corporation                                                                                                                                                                                                                                                                                                                                          |
|-----------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                    |                                                                                                                                                                                                                                                                                                                                                                                            |
| By:       | /s/ Scott Allen                                                                                         |
|                                    |                                                                                                                                                                                                                                                                                                                                                                                            |
| Name:                                   | Scott Allen                                                               |
|                                    |                                                                                                                                                                                                                                                                                                                                                                                            |
| Title:                        | Chief Financial Officer                                                                                                                                                       |
|                                    |                                                                                                                                                                                                                                                                                                                                                                                            |
| Date:                              | January 31, 2010                                                                                                                                                                                                                                                                                                                                                                                |
|                                    |                                                                                                                                                                                                                                                                                                                                                                                            |
|                                    |                                                                                                                                                                                                                                                                                                                                                                                            |

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| **TABLE OF CONTENTS**                                         |
|---------------------------------------------------------------|
|                                                          |   |
|                                                          | Page |
|                                                          |   |
| Definitions and Basic Provisions                              | 1 |
|                                                          |   |
| Lease Grant                                                   | 1 |
|                                                          |   |
| Delivery of Premises and Term                                 | 1 |
|                                                          |   |
| Rent                                                          | 1 |
|                                                          |   |
| Delinquent Payment; Handling Charges                          | 2 |
|                                                          |   |
| Security Deposit                                              | 2 |
|                                                          |   |
| Landlord's Obligations                                        | 2 |
|                                                          |   |
| Improvements; Alterations; Repairs; Maintenance               | 4 |
|                                                          |   |
| Use; Smoke-Free Environment                                   | 6 |
|                                                          |   |
| Assignment and Subletting                                     | 6 |
|                                                          |   |
| Insurance; Waivers; Subrogation; Indemnity                    | 7 |
|                                                          |   |
| Subordination Attornment; Notice to Landlord's      Mortgagee | 8 |
|                                                          |   |
| Rules and Regulations                                         | 9 |
|                                                          |   |
| Condemnation                                                  | 9 |
|                                                          |   |
| Fire or Other Casualty                                        | 10 |
|                                                          |   |
| Taxes                                                         | 11 |
|                                                          |   |
| Events of Default                                             | 11 |
|                                                          |   |
| Remedies                                                      | 12 |
|                                                          |   |
| Payment by Tenant; Non-Waiver                                 | 13 |

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|                                |   |
|-------------------------------------|--------|
| Landlord's Lien                     | 13     |
|                                |   |
| Surrender of Premises               | 14     |
|                                |   |
| Holding Over                        | 14     |
|                                |   |
| Certain Rights Reserved by Landlord | 14     |
|                                |   |
| Substitution Space                  | 15     |
|                                |   |
| Miscellaneous                       | 15     |
|                                |   |
| Special Provisions                  | 18     |

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|   | Exhibit A - Outline of Premises       Exhibit B - Property Description       Exhibit C - Building Rules and Regulations       Exhibit D - Operating Expense Escalator       Exhibit E - Parking       Exhibit F - Monument Signage       Exhibit G - Renewal Option |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| **LANDLORD**    | **HULEN SOUTH TOWER LIMITED,**      a Texas limited partnership                                                                                                                                                                                                                                                                                                 |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|            |                                                                                                                                                                                                                                                                                                                                                            |
| By:   | **Isenberg Management Associates, Inc.,**      a Texas corporation, its sole general partner                                                                                                                                                                                                                                                                    |
|            |                                                                                                                                                                                                                                                                                                                                                            |
|            |                                                                                                                                                                                                                                                                                                                                                            |
|            | By: /s/ Ralph Isenberg                                                            Ralph Isenberg, President          |
|            |                                                                                                                                                                                                                                                                                                                                                            |
|            |                                                                                                                                                                                                                                                                                                                                                            |
| **TENANT**      | **REOSTAR ENERGY CORPORATION,**      a Nevada corporation                                                                                                                                                                                                                                                                                                       |
|            |                                                                                                                                                                                                                                                                                                                                                            |
| By:             | /s/ Scott Allen                                                         |
|            |                                                                                                                                                                                                                                                                                                                                                            |
| Name/Title:     | Scott Allen, Chief Financial Officer                                                                                                                                                                                                                   |
|            |                                                                                                                                                                                                                                                                                                                                                            |
|            |                                                                                                                                                                                                                                                                                                                                                            |

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| 1.     | Upon initial occupancy, Tenant will receive      two (2) suite keys, two (2) restroom keys (where applicable), and one (1)      post office box key, free of charge. Tenant agrees to pay a charge, in an      amount fixed by Landlord from time to time, for any additional keys issued      by Landlord to Tenant. Tenant shall not duplicate any keys. No locks shall      be allowed on any door of the Premises except those installed by Landlord.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 2.     | Landlord will provide and maintain a directory      board in the ground floor of the Building and allot one (1) name strip for      Tenant's use.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 3.     | Tenant will refer all contractor, contractors'      representatives and installation technicians, rendering any service to Tenant,      to Landlord for Landlord's supervision, approval and control before performance      of any contractual service. This provision shall apply to all work performed      in the Building, including installations of telephones, telegraph equipment      or any other physical portion of the Building.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| 4.     | Movement in or out of the Building of furniture      or office equipment, or dispatch or receipt by Tenant of any merchandise      or materials which requires use of elevators or stairways, or movement through      the Building entrances or lobby shall be restricted to hours designated      by Landlord, and all persons in or entering the Building shall observe Landlord's      security procedures. All such movements through the Building entrances,      lobby or building common areas shall be conducted under Landlord's supervision      at such times and in such a manner as Landlord may reasonably require. Tenant      is to assume all risk as to damage to article moved and injury to persons      or public engaged or not engaged in such movement, including equipment,      property and personnel of Landlord if damaged or injured as a result of      acts in connection with carrying out this service for Tenant from time of      entering the property to completion of work; and Landlord shall not be liable      for acts of any person engaged in, or any damage or loss to any said property      or persons resulting from any act in connection with such performed for      Tenant. |

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| 5.     | No signs will be allowed in any form on the        exterior of the Building or windows inside or out, and no signs except        in location and style fixed by Landlord will be permitted in the public        corridors or on corridor doors or entrances to the Premises. All signs        shall be contracted for by Landlord for Tenant at the rate fixed by Landlord        from time to time, and Tenant will be billed and pay for such service        accordingly.          |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 6.     | No portion of the Premises or any other part        of the Building shall at any time be used or occupied as sleeping or lodging        quarters.                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 7.     | Tenant shall not place, install        or operate on the Premises or in any part of the Building, any engine,        stove, or machinery or conduct mechanical operations or cook thereon or        therein, or place or use in or about the Premises any explosive, gasoline,        kerosene, oil, acids, caustics or any other flammable, explosive or hazardous        material without written consent of Landlord. Tenant will, however, be        allowed to use a microwave. |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 8.     | Landlord will not be responsible for lost,        damaged or stolen property in the Premises or in the common areas, regardless        of whether such loss or damage occurs when such area is locked against        entry or not.                                                                                                                                                                                                                                                   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 9.     | No fish, dogs (except seeing-eye dogs), cats,        reptiles or other pets or animals shall be brought into or kept in or        about the Building, and no cages, pens, aquariums or the like for any        such animals shall be brought into or kept in the Building.                                                                                                                                                                                                           |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.    | Employees of Landlord shall not receive or        carry messages for or to any Tenant or other person, nor contract with        or render free or paid services to any Tenant or Tenant's agents, employees        or invitees.                                                                                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 11.    | None of the entryways, passages, doors, elevators,        elevator doors, hallways or stairways shall be blocked or obstructed,        nor shall any rubbish, litter, trash or material of any nature be placed,        emptied or thrown into these areas, or such areas be used at any time        except for access or egress by Tenant's agents, employees or invitees.                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 12.    | The slatted mini-blinds on the exterior windows        shall remain in place and not be moved or removed by Tenant. No curtains        or other window treatments shall be placed between the glass and the Building        standard window treatment, nor added to the Building standard window treatment.                                                                                                                                                                          |

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| 13.    | No smoking shall be allowed in the Building,      including common areas and the Premises.                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| 14.    | Landlord may prescribe weight limitations and      determine the locations for safes and other heavy equipment or items, which      shall in all cases be placed in the Building so as to distribute weight      in a manner acceptable to Landlord which may include the use of such supporting      devices as Landlord may require. All damages to the Building caused by the      installation or removal of any property of a tenant, or done by a tenant's      property while in the Building, shall be repaired at the expense of such      tenant. |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| 15.    | Tenant shall not make or permit any improper,      objectionable or unpleasant noises or odors in the Building or otherwise      interfere in any way with other tenants or persons having business with      them.                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| 16.    | The current established Building hours will      be between the hours of 7:00 a.m. to 6:00 p.m. Monday through Friday (excluding      Building holidays), and 8:00 a.m. to 1:00 p.m. on Saturdays (excluding Building      holidays). Building holidays are: New Year's Day, Memorial Day, Independence      Day, Labor Day, Thanksgiving Day and Christmas Day.                                                                                                                                                                                            |

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| (a)    | Tenant shall pay an amount (per each rentable      square foot in the Premises) equal to the excess ("**Excess**") from      time to time of actual Basic Cost per rentable square foot in the Building      over the basic cost per rentable square foot for calendar year 2010 (the      "**Base Year**"). Landlord may collect such amount in a lump sum, to      be due within thirty (30) days after Landlord furnishes to Tenant the Annual      Cost Statement (as defined in paragraph (c) of this Exhibit). Alternatively,      Landlord may make a good faith estimate of the Excess to be due by Tenant      for any calendar year or part thereof during the Term, and, unless Landlord      delivers to Tenant a revision of the estimated Excess, Tenant shall pay      to Landlord, on the Commencement Date and on the first day of each calendar      month thereafter, an amount equal to the estimated Excess for such calendar      year or part thereof divided by the number of months in such calendar year      during the Term. From time to time during any calendar year, Landlord may      estimate and re-estimate the Excess to be due by Tenant for that calendar      year and deliver a copy of the estimate or re-estimate to Tenant. Thereafter,      the monthly installments of Excess payable by Tenant shall be appropriately      adjusted in accordance with the estimations so that, by the end of the calendar      year in question, Tenant shall have paid all of the Excess as estimated      by Landlord. Any amounts paid based on such an estimate shall be subject      to adjustment pursuant to paragraph (c) of this Exhibit when actual Basic      Cost is available for each calendar year. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (b)    | For the purposes of this Exhibit, the term      "**Basic Cost**" shall mean all expenses and disbursements of every kind      (subject to the limitations set forth below) which Landlord incurs, pays      or becomes obligated to pay in connection with the ownership, operation,      and maintenance of the Building (including appurtenant rights and easements      and the associated parking facilities), determined in accordance with generally      accepted federal income tax basis accounting principles consistently applied,      including but not limited to the following:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |

|   | (i)    | Wages and salaries (including management fees)      of all employees engaged in the operation, repair, maintenance, and security      of the Building, including taxes, insurance and benefits relating thereto; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                             |
|   | (ii)   | All supplies and materials used in the operation,      maintenance, repair, and security of the Building;                                                                                                        |

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|   | (iii)  | Amortization of the cost of capital items which      (a) are required by governmental requirements, and (b) are acquired or installed      by Landlord for the purpose of reducing operating expenses; all such costs      shall be amortized over the reasonable life of the capital item under generally      accepted accounting principles, consistently applied;                                                                                                                                                                                                                                                                                                                                                     |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | (iv)   | Cost of all utilities, other than the cost      of utilities actually reimbursed to Landlord by the Building's tenants;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | (v)    | Cost of any insurance or insurance related      expense applicable to the Building and Landlord's personal property used      in connection therewith;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | (vi)   | All taxes and assessments and governmental      charges whether federal, state, county or municipal, and whether they be      by taxing districts or authorities presently taxing or by others, subsequently      created or otherwise, and any other taxes and assessments attributable to      the Building (or its operation), and the grounds, parking areas, driveways,      and alleys around the Building, including all sales, use or other tax, including      margin tax (but excluding, however, federal and state net income tax) now      or hereafter levied by any governmental authority upon rents or other revenues      received by Landlord attributable to the Property (collectively, "**Taxes**"); |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | (vii)  | Cost of repairs and general maintenance of      the Building; and (viii) Cost of service or maintenance contracts with independent      contractors for the operation, maintenance, repair, or security of the Building      (including, without limitation, elevator maintenance, alarm service, window      cleaning, HVAC maintenance, fountain and sprinkler system maintenance, and      interior and exterior landscaping).                                                                                                                                                                                                                                                                                         |

|   | (i) | expenditures classified as capital expenditures      for federal income tax purposes except as set forth in subparagraph (b)(iii)      above; |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (ii)   | costs for which Landlord is entitled to specific      reimbursement by Tenant, by any other tenant of the Building or by any other      third party;                                                                                                                                                                                                                                                                                                                                                         |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   | (iii)  | leasing commissions, or other costs incurred      by Landlord in connection with the leasing of space, including legal fees,      tenant inducements or incentives, architectural and engineering fees and      construction costs expenses relating to leasehold improvements, relocation      costs or other costs or expenses incurred in the decorating, refurbishing      or other preparation of leasable space for occupancy, including any allowances      for any of the foregoing;                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   | (iv)   | costs to correct defects (including latent      defects), including any allowances for same, in the construction of the      Building or its related facilities, except conditions resulting from ordinary      wear and tear;                                                                                                                                                                                                                                                                               |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   | (v)    | depreciation or amortization except as set      forth above;                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   | (vi)   | cost or expenses (including overtime, fines,      penalties and legal fees) incurred due to the negligent or intentional violation      by Landlord, its employees, agents or contractors, of any valid, applicable      laws, rules, regulations and codes of any federal, state, county, municipal      or other governmental authority having the jurisdiction over the Building      that would not have been incurred but for such violation by Landlord, it      employees, agents or contractors; and |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   | (vii)  | the following matters:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

|   | (1)    | Costs of repairs or other work occasioned      by fire, windstorm, or other casualty of an insurable nature, whether or      not Landlord carries such insurance, and costs reimbursable to Landlord      by governmental authorities in eminent domain or condemnation proceedings.    |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                    |
|   | (2)    | Rental and other related expenses, if any,      incurred in leasing air conditioning systems, elevators, or other equipment      ordinarily considered to be of a capital nature, except equipment used in      providing janitorial services and which is not affixed to the Building. |
|   |   |                                                                                                                                                                                                                                                                                    |
|   | (3)    | Losses due to uncollected rent or fees or      reserves for bad debts.                                                                                                                                                                                                                  |
|   |   |                                                                                                                                                                                                                                                                                    |
|   | (4)    | Specific costs incurred for third parties (including      other tenants), including without limitations, above Building standard electrical                                                                                                                                             |

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|   |   | and/or janitorial services, and other services      above Building standard.                                                                                                                                                                                                                                                                                         |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (5)    | All utility costs for which Tenant directly      contracts with local utility companies.                                                                                                                                                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (6)    | Costs, fines, interest penalties, attorneys'      fees, and costs of litigation incurred due to late payment of taxes (except      for penalties associated with Landlord's good faith contest of real estate      taxes), utility bills, ground rentals, or mortgage debt, and other such      costs incurred by Landlord's failure to make such payments when due. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (7)    | Penalties, fines, and other costs incurred      due to violations or alleged violations by any other tenant, or any third      party of any laws, rules, regulations, codes, or ordinances.                                                                                                                                                                          |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (8)    | Costs incurred due to violations or alleged      violations by Landlord, any other tenant, or other occupant of the Building      of the terms and conditions of any lease or other rental agreement covering      space in the Building.                                                                                                                            |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (9)    | Overhead and profit increments paid to subsidiaries      or affiliates of Landlord for services on or to the Building (or any portion      thereof), to the extent such overhead and profit increments exceed that      which would have been earned by or paid to an independent, third-party provider      of the same or similar services.                        |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (10)   | Any overhead, administrative, and general office      expenses other than the management fee specifically provided for above.                                                                                                                                                                                                                                        |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (11)   | Any overhead, administrative, and general office      expenses for off-leased premises managers or owners and any such expenses      for services not specifically performed for the Building other than the      management fee specifically provided for above.                                                                                                    |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (12)   | Wages, salaries, and other compensation of      any kind or nature paid to any executive employees above the grade of building      manager other than the management fee specifically provided for above.                                                                                                                                                           |
|   |   |                                                                                                                                                                                                                                                                                                                                                                 |
|   | (13)   | Profit of Landlord in the furnishing of goods      and services to the Building.                                                                                                                                                                                                                                                                                     |

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|   | (14)   | Costs incurred in the operation of any concession      serving the Building, including, without limitation, parking facilities.                                                                                                                                                                                                                                                                                                                                                             |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   | (15)   | Compensation paid to clerks, attendants, and      other persons in any concessions operated by Landlord.                                                                                                                                                                                                                                                                                                                                                                                    |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   | (16)   | Ground rentals, payment of principal and interest      on debt (and other debt costs), amortization payments on any mortgage executed      by Landlord covering the Building or the Land (or any portion thereof) (except      to the extent that any of the foregoing may include payments or prepayments      of insurance premiums or taxes that would be included in operating expenses      if paid directly by Landlord), rental concessions, and negative cash flow      guarantees. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   | (17)   | Costs incurred in connection with the sale,      refinancing, mortgaging, or selling, or change of ownership of the Building      or the Land, including, without limitations, brokerage commissions, attorneys'      and accountants' fees, loan brokerage fees, closing costs, interest charges,      and taxes.                                                                                                                                                                          |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   | (18)   | State, local, federal, personal, and corporate      income taxes measured by the income of Landlord from all sources or from      sources other than rent alone; estate and inheritance taxes; franchise,      succession and transfer taxes.                                                                                                                                                                                                                                               |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   | (19)   | Any increased monetary obligations connected      with the reassessment of the Building or the Land that are caused as a result      of Landlord's sale of all or a part of its interest in the Building or the      Land, or additions and improvements added to the Building or the Land.                                                                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   | (20)   | All costs incurred by Landlord in connection      with any dispute relating to the Landlord's title to or ownership of the      Building or the Land.                                                                                                                                                                                                                                                                                                                                       |
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|   | (21)   | Advertising and promotional expenditures.                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
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|   | (22)   | Costs and expenses for owning, leasing, and      maintaining sculpture, painting, and other works of art installed in and/or      on the Building or the Land other than those in place on the effective date.                                                                                                                                                                                                                                                                              |

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|   | (23)   | Contributions to charitable organizations.                                                                                                                                                                   |
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|   | (24)   | Costs and expenses incurred in connection with      the any floor of the Building on which the leased space thereon is devoted      exclusively to retail, restaurant, health club or other non-office uses. |

| (c)    | The term "**Annual Cost Statement**" shall      mean a statement of Landlord's actual Basic Cost for the previous year adjusted      as provided in paragraph (d) of this Exhibit. By April 1 of each calendar      year, Landlord shall furnish to Tenant the Annual Cost Statement. If the      Annual Cost Statement reveals that Tenant paid more for Basic Cost than      the actual Excess in the year for which such statement was prepared, then      Landlord shall promptly credit or reimburse Tenant for such excess; likewise,      if Tenant paid less than the actual Excess, then Tenant shall promptly pay      Landlord such deficiency.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
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| (d)    | With respect to any calendar year or partial      calendar year in which the Building is not occupied to the extent of ninety-five      percent (95%) of the rentable area thereof, the Basic Cost for such period      shall, for the purposes hereof, be increased to the amount which would have      been incurred had the Building been occupied to the extent of ninety-five      percent (95%) of the rentable area thereof. In making the foregoing determination      and gross-up adjustment, only those cost components of the Basic Cost actually      incurred for such calendar year that are considered to be variable costs      under generally accepted accounting principles (i.e., those costs that vary      directly with the level of occupancy of the Building) shall be adjusted      to reflect the amount thereof that would have been incurred if the Building      were 95% occupied for the entire calendar year. Such gross-up adjustment      shall be made separately with respect to each such item of cost on the basis      that each such item of cost varies with Building occupancy, as, for example      and not by way of limitation, on the basis of the number of tenant-occupied      square feet of the Building receiving janitorial services as to the cost      of such services, and on the basis of the number of floors served by elevators      as to the cost of elevator maintenance. If any such item of cost is subject      to a contract for the provision of such service, such adjustment shall be      based upon the level of services and the cost of such services under such      contract. In no event shall the application of the foregoing provisions      result in any profit to Landlord. |
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| e.     | Notwithstanding anything to the contrary contained      herein, in no event will the amount per rentable square foot paid by Tenant      for Controllable Basic Costs increase by more than six percent (6%) over      the amount of per rentable square foot paid by Tenant for Controllable Basic      Costs for the previous calendar year. As used herein, the term "Controllable      Basic Costs" means all items of Basic                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |

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|   | Costs other than Uncontrollable Basic Costs.      As used herein, the term "Uncontrollable Basic Costs" means (i) all taxes      and assessments and governmental charges whether federal state, county or      municipal, and whether they be by taxing districts or authorities presently      taxing or by others, subsequently created or otherwise, and any other taxes      and assessments attributable to the Building (or its operation), and the      grounds, parking areas, driveways, and alleys around the Building, excluding,      however, federal and state taxes on income (ii) dues, taxes or assessments      payable under covenants applicable to the Land and the Building, (iii) cost      of any insurance or insurance related expense applicable to the Building      and Landlord's personal property used in connection therewith, and (iv)      cost of all utilities, including without limitation, the cost of water,      sewer, trash removal, gas and telephone, and (v) management fees associated      with the Building calculated as a percentage of gross revenues or as a fixed      minimum rate. |
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