<PAGE>   1
                                                               Exhibit 10.52 (e)


                   LEASE MODIFICATION AND EXTENSION AGREEMENT

            THIS AGREEMENT made this 24TH day of January, 1985, by and between
TETERBORO ASSOCIATES, a New Jersey limited partnership, having its principal
office at 84 Orient Way, Rutherford, New Jersey 07070 (the "Landlord") and MISS
ERIKA, INC., having an office at 1407 Broadway, New York, New York (the
"Tenant").

                              W I T N E S S E T H:

            WHEREAS, on April 1, 1975, Empire Carpet Corporation ("Empire") and
Tenant entered into a lease for premises (the "Demised Premises") located at 333
North Street, Teterboro, New Jersey (said lease and all letters amending said
lease being hereinafter referred to as the "Lease"); and

            WHEREAS, by letter dated January 17, 1978, the Lease was extended
for a three-year period commencing April 1, 1978; and

            WHEREAS, by letter dated February 17, 1981, the Lease was extended
for an additional five-year period commencing April 1, 1981; and

            WHEREAS, by letter dated March 5, 1982, the Lease was amended to
provide that the Demised Premises include an additional 9,600 square feet of
warehouse space; and

            WHEREAS, by letter dated August 15, 1983, the Lease was amended to
provide that the Demised Premises include an additional 21,600 square feet of
warehouse space (i.e., a total of 52,800 square feet); and
<PAGE>   2

            WHEREAS, the Lease was assigned by Armstrong World Industries, Inc.
(as the successor-in-interest to Empire) to Landlord by Assignment dated March
7, 1984; and

            WHEREAS, it is the desire of Landlord and Tenant to modify and
extend the Leases hereinafter set forth.

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

            1. Section 1 of the Lease is amended to provide that the Demised
Premises be deemed to include the 52,800 square feet of space in that portion of
the building known as 333 North Street, Teterboro, New Jersey, designated on
Exhibit A attached hereto and made a part hereof.

            2. Section 2 is amended to provide that the term of the Lease is
extended for a period of five (5) years commencing on April 1, 1986 and expiring
at midnight on March 31, 1991. Notwithstanding any provision in the Lease or
this Agreement to the contrary, any reference to "the first calendar year within
the Lease term", and other words of like import shall mean the one-year period
commencing April 1, 1975 and terminating March 31, 1976; any reference to
"commencement of the term" and other words of like import shall mean April 1,
1975.

            3. Effective April 1, 1986, the first and second paragraphs of
Section 4 are amended to read as follows:


                                       -2-
<PAGE>   3

            Tenant covenants to pay Landlord, without previous demand therefor,
            a minimum annual rental (the "Minimum Rent") of $237,600.00, payable
            in equal monthly installments of $19,800.00, based upon the payment
            of $4.50 per square foot, in advance on the first day of each month
            commencing on April 1, 1986, provided, however, that the Minimum
            Rent shall be increased five percent (5%) per annum as follows:
            Commencing on April 1, 1987, the Minimum Rent shall be $249,480.00;
            commencing on April 1, 1988, the Minimum Rent shall be $261,954.00;
            commencing on April 1, 1989, the Minimum Rent shall be $275,051.70;
            commencing on April 1, 1990, the Minimum Rent shall be $288,804.29.

            5. Effective April 1, 1986, the Lease is hereby amended to include
the following Section 4A:

            4A. Additional Rent.

            (a) In addition to the Minimum Rent provided for in Section 4 of
            this Lease, the Tenant agrees to pay as Additional Rent its
            proportionate share of: (i) all insurance premium costs incurred by
            Landlord; and (ii) all costs and expenses incurred by Landlord in
            connection with Landlord's operation, maintenance and repair of the
            common areas, in accordance with the provisions of the Lease,
            including, but not limited to, the grounds, parking areas,
            utilities, landscaping, sprinkler system, if the same shall be
            furnished by the Landlord, as well as all other costs, fees and
            expenses incurred by the Landlord in performing its obligations
            hereunder, but excluding all payroll and administrative costs of
            Landlord.

            (b) The Additional Rent shall be paid by Tenant to Landlord within
            ten (10) days of Tenant's receipt of invoice therefore from
            Landlord.

            (c) Tenant's proportionate share is agreed to be 24.22%, based on
            the ratio of square footage of the Demised Premises (52,800 sq. ft.)
            to the square footage of the entire building (218,000 sq. ft.).

            6. Effective April 1, 1986, Section 6 is amended to read as follows:


                                      -3-
<PAGE>   4

            6. Repairs.

            (a) Landlord's Obligation: Landlord shall be responsible for the
            structural integrity of the Building and shall make all repairs
            thereto and shall also make all repairs to the exterior walls,
            exterior building and roof except where said repairs are
            necessitated by the negligence, default or abuse by Tenant or where
            said repairs are the responsibility of Tenant as set forth below.

            (b) Tenant's Obligation:

            (1) Tenant shall, throughout the term, take good care of the
            Premises and shall not do or suffer or permit any waste with respect
            thereto. Tenant shall keep and maintain all interior portions of the
            Premises including, without limitation, all building equipment,
            windows, doors, loading bay doors and shelters, plumbing and
            electrical systems, heating, ventilating and air conditioning
            ("HVAC") systems in a clean and orderly condition. Tenant shall keep
            and maintain all floors, sidewalks, curbing or paving. The phrase
            "keep and maintain" as used herein includes repairs, replacement
            and/or restoration as appropriate. Tenant shall maintain the
            exterior area adjoining the Premises free of accumulation of snow,
            ice, dirt and rubbish.

            (2) Tenant shall promptly notify Landlord of any condition of which
            Tenant is, or should be aware, for which Landlord has the
            responsibility of maintenance and repair.

            (3) Tenant shall be responsible to Landlord for all expenses
            incurred by Landlord due to (i) failure to Tenant to promptly notify
            Landlord of required repairs, (ii) negligence or abuse (whether
            accidental or intentional) by Tenant which requires additional
            maintenance or repairs beyond normal wear and tear, and (iii)
            Tenant's failure to repair and maintain those items set forth in
            Paragraph 6(b) above.

            7. Effective April 1, 1986, the Lease is hereby amended to include
the following Section 10A:

            10A. Impositions. If at any time during the term of this Lease the
            methods of taxation prevailing at the execution hereof shall be


                                       -4-
<PAGE>   5

            changed or altered so that in lieu of or as a supplement to or a
            substitute for the whole or any part of the real estate taxes or
            assessments now or from time to time hereafter levied, assessed or
            imposed by applicable taxing authorities, there shall be imposed (i)
            a tax, assessment, levy, imposition or charge wholly or partially as
            a capital levy or otherwise, on the rents received from the
            Premises, or (ii) a tax, assessment, levy (including but not limited
            to any municipal, state or federal levy), imposition or charge
            measured by or based in whole or in part upon the Premises and
            imposed upon Landlord, (iii) a tax or excise on rent, or any other
            tax however described, against Landlord on account of rentals
            payable to Landlord hereunder, or (iv) a license fee measured by the
            rent payable under this Lease, then all such taxes, assessments,
            levies, impositions and/or charges, or the part thereof so measured
            or based shall be deemed to be included in the general real estate
            taxes and assessments payable by Tenant pursuant to Section 10 of
            the Lease, to the extent, that such taxes, assessments, levies,
            impositions and charges would be payable if the Premises were the
            only property of Landlord subject thereto, and Tenant shall pay and
            discharge the same as herein provided in respect of the payment of
            general real estate taxes and assessments.

            8. Effective April 1, 1986, Section 12 of the Lease is amended to
read as follows:

            12. Public Liability Insurance. Tenant shall at all times during the
            term hereof, at its sole expense, maintain general public liability
            insurance against claims for bodily injury, death or property damage
            occuring in, on, or about the Demised Premises. Such insurance shall
            afford protection to Landlord and Tenant, with coverage in amounts
            of not less than $1,000,000 with respect to bodily injury or death
            of any one person, $3,000,000 with respect to bodily injury or death
            of more than one person in any one incident, and $100,000 with
            respect to damage to property of others in one incident. The
            policies for such insurance shall name Landlord as a co-insured
            thereunder.

            9. Section 22 of the Lease is hereby amended to include the
following paragraph:


                                       -5-
<PAGE>   6

            Tenant shall promptly execute such documents, including amendments
            to this Lease, as may be reasonably requested by Landlord's
            mortgagee.

            10. Except as herein, amended, all of the terms and conditions of
the Lease are ratified and confirmed.

            IN WITNESS WHEREOF, the parties have executed this Agreement as of
the day and year first above written.

WITNESS:                            TETERBORO ASSOCIATES


/s/ Margaret T. McAuley             By: /s/ [ILLEGIBLE]
----------------------------            --------------------

ATTEST:                             MISS ERIKA, INC.


/s/ A.S. Goldberg                   By: /s/ Sid Goldstein
----------------------------            --------------------
                                        /s/ Stuart Alpert


                                       -6-
<PAGE>   7

                                [GRAPHIC OMITTED]

                                   FLOOR PLAN