Sixth Modification Agreement of Lease dated November 17, 2000



 Exhibit 10.7 
 SIXTH LEASE MODIFICATION AGREEMENT 
 AGREEMENT made this 17th day of
November 2000, by and between 250 WEST 57TH ST. ASSOCIATES, a joint venture having its office at 60 East 42nd Street, New York, New York 10165 (hereinafter called “Landlord”) and FISK BUILDING ASSOCIATES, a partnership having its office at
60 East 42nd Street, New York, New York 10165 (hereinafter called “Tenant”). 
 W I T N E S S E T H :

 WHEREAS, on September 30, 1953 a net lease covering the entire premises known as the Fisk Building, located at 250 West
57th Street, New York, New York (the “Building”), was made between Landlord and Tenant’s predecessor, a partnership also known as Fisk Building Associates, which lease was assigned on May 1, 1954 by said predecessor to Tenant;
and 
 WHEREAS, said lease was modified by Modification Agreement dated June 12, 1961, by Second Modification Agreement
dated June 10, 1965, by Third Lease Modification Agreement dated as of May 1, 1975, by Fourth Lease Modification Agreement dated November 12, 1985 and by Fifth Lease Modification Agreement dated as of September 1, 1999 (which
lease, as so modified, is hereinafter called the “Lease”); and 
 WHEREAS, a modernization program is necessary in
order to maintain the competitive position of the Building; and 
 WHEREAS, Landlord is willing to make funds available for
improvements required by such program, and Tenant is willing to apply such funds, as agent for Landlord, to the making of such improvements; and 
 WHEREAS, Landlord and Tenant desire to modify the Lease as hereinafter set forth. 

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto hereby agree as follows: 

1. Landlord and Tenant agree that improvements substantially as shown on Exhibit A attached hereto and made a part hereof constitute the
modernization program (the “Improvement Program”) referred to herein and shall be substantially made to the demised premises. All work performed by Tenant in furtherance of the Improvement Program shall be done as agent for Landlord and
for the account of Landlord, and when completed, shall become the property of Landlord. 







 2. Landlord agrees to obtain a loan in the amount of $15,500,000 from Emigrant Savings Bank
secured by a mortgage (the “New Fee Mortgage”) on the demised premises. The net proceeds of the New Fee Mortgage shall be used to refinance the existing fee mortgages on the demised premises and pay for costs of the Improvement Program.
Pursuant to the terms of the New Fee Mortgage, loan proceeds used to pay for costs of the Improvement Program shall be advanced in stages. Such loan proceeds shall be deposited by Landlord in an interest-bearing money market or similar account and
disbursed to Tenant upon submission of documents reasonably required by Landlord. All interest earned by Landlord on amounts so held by it shall belong to and be retained by Landlord, and Tenant’s Basic Rent (as defined below in
Section 2(A) of the Lease) shall be deemed reduced monthly by the amount of such earned interest. 
 3. Paragraph 2(A) of
the Lease shall be deleted and restated in its entirety as follows: 
 “2.(A) Commencing on November 17, 2000, Tenant
covenants to pay during the term of this Lease and any renewal term of this Lease, a basic rent (hereinafter called “Basic Rent”) at an annual rate equal to (i) $28,000 plus (ii) the installment payments of interest and
amortization (excluding any balloon principal payment due at maturity) payable during such year under the New Fee Mortgage. Basic Rent shall be payable in monthly installments on the first day of each calendar month in an amount equal to $2,333.33
plus the projected debt service due on the New Fee Mortgage on the first day of the ensuing calendar month (with a reconciliation to be made as soon as practicable thereafter); provided, however, that Basic Rent due on December 1,
2000 shall include interest prepaid at the closing of the New Fee Mortgage or accrued thereafter. Basic Rent shall be adjusted on a dollar-for-dollar basis by changes in the annual debt service on the New Fee Mortgage. It is further understood and
agreed that the amount of Basic Rent shall be adjusted upon a refinancing of any Mortgage (as defined in Paragraph 29), subject to and in accordance with the provisions of Paragraph 29.” 

4. Paragraph 13 of the Lease shall be deleted and restated in its entirety as follows: 

“13. Tenant agrees that its rights hereunder are subordinate to (i) the New Fee Mortgage and (ii) any future mortgages
placed on the demised premises by Landlord having an aggregate principal balance of up to $15,500,000 plus refinancing costs in connection therewith, provided that such new mortgage(s) are made by an institutional lender on a non-recourse basis and
(b) the net proceeds of the loan(s) secured by such new mortgage(s) are used to refinance the then existing mortgage(s) on the demised premises and/or in connection with the demised premises (each mortgage to which Tenant’s rights
hereunder are subordinate is hereinafter a “Permitted Mortgage”). Tenant agrees to execute, upon demand, any documents required to evidence such subordination. Tenant further agrees that it will not do or suffer to be done any act upon the
demised premises which will violate any of the terms of any Permitted Mortgage or the obligations secured thereby.” 







 5. Paragraph 29 of the Lease shall be deleted and restated in its entirety as follows:

 “29. For the purpose of this Paragraph 29, the term “Mortgage” shall mean (i) the New Fee Mortgage and
(ii) any fee mortgage to which the Lease is subordinate under the provisions of Paragraph 13 of this Lease, and the term ‘refinancing’ shall include any consolidation, modification, renewal, extension or replacement of any Mortgage
made subsequent to the date hereof. In the event that there shall be one or more refinancings of any Mortgage, the annual Basic Rent will be in an amount equal to the sum of Twenty-Eight Thousand Dollars ($28,000.00) plus an amount equal to the
installment payments for interest and amortization (not including any balloon principal payment due at maturity) required annually under any such Mortgage immediately subsequent to refinancing.” 

6. Any costs, fees and expenses incurred in connection with the execution of this Agreement or the completion of the transactions
contemplated herein, shall be paid from proceeds advanced under the Emigrant Mortgage. Any such costs, fees, and expenses paid by Tenant from sources other than the loan secured by the Emigrant Mortgage may be deducted in the year expended in
calculating Tenant’s net income for purposes of determining Overage Rent and Secondary Overage Rent under the Lease. 
 7.
Capitalized terms used and not otherwise defined herein shall have the respective meanings ascribed thereto in the Lease. 
 8.
Except as herein modified and as otherwise agreed between Landlord and Tenant, the Lease shall remain in full force and effect, and the parties hereby ratify and confirm all of the other terms, covenants and conditions thereof. 







 9. This Agreement shall be binding upon and inure to the benefit of the parties hereto and
their respective legal representatives, successors and assigns. 
 IN WITNESS WHEREOF, the parties hereto have hereunto set
their hands as of the day and year first above written. 
  

			
	 Landlord:
  

250 WEST 57TH ST. ASSOCIATES

		
	By:	 	/s/ Anthony E. Malkin        
		 	Anthony E. Malkin, Joint Venturer
	
	 Tenant:
  

FISK BUILDING ASSOCIATES

		
	By:	 	/s/ Peter L. Malkin
		 	Peter L. Malkin, Partner









 Exhibit A 
 Fisk Building-250 West 57th Street 
 Property Improvement Schedule 

 

					
	 Project/Item
	  	Budget	 
	 Public corridors and elevator lobby improvements
	  	$	1,068,000	  
	 Air conditioning for public corridors
	  	 	500,000	  
	 Elevator cab replacement
	  	 	360,000	  
	 Elevator equipment and system upgrade & replacement
	  	 	320,000	  
	 Tenant door replacements
	  	 	316,250	  
	 Building standard signage in corridors
	  	 	30,000	  
	 Class “E” upgrade
	  	 	37,500	  
	 Main lobby improvements
	  	 	2,000,000	  
	 Marketing office upgrade
	  	 	31,500	  
	 Window replacement
	  	 	1,800,000	  
	 Façade renovation
	  	 	1,524,228	  
	 New energy efficient chiller plant
	  	 	982,000	  
	 House tanks replacement & capacity upgrade
	  	 	190,000	  
	 Sidewalk elevator replacement
	  	 	120,000	  
	 CCTV installation @ elevator cabs
	  	 	20,000	  
	 Roof replacement
	  	 	500,000	  
	 Fire escape repair & painting
	  	 	200,000	  
	 Backflow preventers
	  	 	90,000	  
	 Toilet exhaust riser
	  	 	275,000	  
	 DC electric conversion
	  	 	300,000	  
	 New energy efficient burner
	  	 	75,000	  
	 Security & communication system improvements
	  	 	105,000	  
	 Other building improvement costs
	  	 	575,000	  
	 Contingency
	  	 	780,522	  
		  	  
	  
	 
	 Total
	  	$	12,200,000	  
		  	  
	  
	 









			
	STATE OF NEW YORK	  	)
		  	) s.s.:
	COUNTY OF NEW YORK	  	)

 On the 17 day of November in the year 2000 before me, the undersigned, a Notary Public in and said State,
personally appeared Peter L. Malkin, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his
capacity, and that by his signature on the instrument, the individual, or the person upon behalf of which the individual acted, executed the instrument. 

 

	
	/s/ Stuart Jay Rappaport        
	 Notary Public
  

Stuart J. Rappaport
 Notary Public, State of New
York
 No. 474xxxx
 Qualified in
New York County
 Commission Expires February 28, 2002



  

			
	STATE OF NEW YORK	  	)
		  	) s.s.:
	COUNTY OF NEW YORK	  	)

 On the 17 day of November in the year 2000 before me, the undersigned, a Notary Public in and said State,
personally appeared Anthony E. Malkin, personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his
capacity, and that by his signature on the instrument, the individual, or the person upon behalf of which the individual acted, executed the instrument. 

 

	
	/s/ Stuart Jay Rappaport        
	 Notary Public
  

Stuart J. Rappaport
 Notary Public, State of New
York
 No. 474xxxx
 Qualified in
New York County
 Commission Expires February 28, 2002