Document:

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                                                                    EXHIBIT 10.5
                            INDUSTRIAL SPACE LEASE

                                    BETWEEN

                             RANCON INCOME FUND I
                       A CALIFORNIA LIMITED PARTNERSHIP

                                 ("LANDLORD")

                                      AND

                         WAKEFIELD ENGINEERING, INC.,
                            A DELAWARE CORPORATION

                                  ("TENANT")

                              September 29, 1995
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                               TABLE OF CONTENTS

                                                                           Page
                                                                           ----
1.   TERM..............................................................      4
2.   POSSESSION........................................................      4
3.   ANNUAL BASIC RENT.................................................      4
4.   RENTAL ADJUSTMENT.................................................      5
5.   SECURITY DEPOSIT..................................................      5
6.   USE...............................................................      6
7.   HAZARDOUS MATERIALS...............................................      6
8.   NOTICES...........................................................      9
9.   BROKERS...........................................................      9
10.  HOLDING OVER......................................................      9
11.  TAXES ON TENANT'S PROPERTY........................................      9
12.  CONDITION OF PREMISES.............................................     10
13.  ALTERATIONS.......................................................     10
14.  REPAIRS...........................................................     10
15.  ENTRY BY LANDLORD.................................................     11
16.  UTILITIES AND SERVICES............................................     11
17.  COMMON AREAS......................................................     12
18.  BANKRUPTCY........................................................     12
19.  INDEMNIFICATION...................................................     12
20.  DAMAGE TO TENANT'S PROPERTY.......................................     12
21.  TENANT INSURANCE..................................................     13
22.  DAMAGE OR DESTRUCTION.............................................     14
23.  EMINENT DOMAIN....................................................     15
24.  DEFAULTS AND REMEDIES.............................................     15
25.  GOVERNMENT ENERGY OR UTILITY CONTROLS.............................     17
26.  LIMITATION ON LIABILITY...........................................     17
27.  TENANT IMPROVEMENTS...............................................     17
28.  LANDLORD'S RESERVED RIGHTS........................................     17
29.  ASSIGNMENT AND SUBLETTING.........................................     17
30.  MISCELLANEOUS.....................................................     18
31.  OPTION TO RENEW...................................................     23
32.  CONSTRUCTION......................................................     24
33.  RENT RETROACTIVE TO DECEMBER 1, 1994..............................     24
34.  RULES AND REGULATIONS.............................................     24

                                      (i)
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                               TABLE OF EXHIBITS

EXHIBIT                         ITEM

A-1                             Site Plan of the Project

A-2                             Legal Description of the Premises

                                     (ii)
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                            INDUSTRIAL SPACE LEASE

  THIS INDUSTRIAL SPACE LEASE is made as of the 29th day of September, 1995 by
and between Rancon Income Fund I, a California limited partnership ("Landlord"),
and Wakefield Engineering, Inc., a Delaware corporation ("Tenant"), in
consideration of the Rent as defined in Sections 3 and 4 herein and the
provisions of this Lease. Landlord hereby leases to Tenant and Tenant hereby
leases from Landlord the "Premises" described below situated in those certain
buildings located at 28715 Via Montezuma and 27901 Front Street, Temecula,
California (collectively the "Building").

  The parties hereto agree that said letting and hiring is upon and subject to
the terms, covenants and conditions herein set forth. Each party covenants, as a
material part of the consideration of this Lease to keep and perform each and
all of said terms, covenants and conditions for which said party is liable and
that this Lease is made upon the condition of such performance.

                            BASIC LEASE PROVISIONS

  The following summary of the basic lease provisions ("Basic Lease Provisions")
is hereby made a part of the ("Lease") for the purpose of setting forth
information referred to in the Lease. In the event of any conflict,
inconsistency or ambiguity created by or between the Basic Lease Provisions and
the body of the Lease, which Landlord and Tenant acknowledge having read in
full, the terms and conditions of the Lease shall govern.

<TABLE>
<CAPTION>

<S>                                                           <C>
1.   Tenant's Trade Name:                                     Wakefield Engineering, Inc.

2.   Address of Premises, including Name of Office            28715 Via Montezuma & 27901 Front Street, Temecula,
     Building, Floor and Suite Number                         California 92590.

3.   Use of Premises:                                         Industrial and general office use, and for no other use without
                                                              the express written consent of Landlord.

4.   Lease Term:                                              Ten (10) years.

              Options:                                        Two (2) five (5) year options to renew.

5.   Commencement Date:                                       December 1, 1994.

6.   Initial Annual Basic Rent:                               $175,032.00 per year, payable in equal monthly installments of
                                                              $14,586.00 during the Term, subject to adjustment pursuant to
                                                              Section 3(b).

7.   Minimum Annual Increase in Basic Rent:                   Minimum two percent (2%) with a maximum of six percent
                                                              (6%) per annum, subject to adjustment pursuant to Section 3(b).

8.   Tenant's Percentage of Building Direct Expense           100%.
     (That portion of the Building occupied by Tenant
     divided by the total square footage of the Building
     available for occupancy):

9.   Floor Area of Premises And Building:                     Agreed to be approximately 44,200 rentable square feet.

10.  Security Deposit:                                        $14,586.00 (does not include prepaid rent).

11.  Prepaid Rent:                                            N/A.

12.  Tenant Improvement Allowance:                            N/A.

13.  Broker(s):                                               N/A.

</TABLE>
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<TABLE>
<CAPTION>

<S>                                                           <C>
14.  Address for Notice:                                      LANDLORD:
                                                              Rancon Income Fund I
                                                              c/o Glenborough Inland Realtv Corporation
                                                              400 South El Camino Real
                                                              San Mateo, CA  94402-1708
                                                              Attn: Legal Department

                                                              TENANT:

                                                              Wakefield Engineering
                                                              Attention: General Manager
                                                              28715 Via Montezuma
                                                              Temecula, CA 92590

     with copies to:                                          Robert W. Forman
                                                              Greenberger & Forman
                                                              1370 Avenue of the Americas
                                                              New York, NY  10019-4602

15.  Address for Rent Payments and Copies of Notices:         Rancom Income Fund I
                                                              c/o Glenborough Inland Realtv Corporation
                                                              2740 South Bristol Street
                                                              Suite 118
                                                              Santa Ana, CA  92704

16.  Guarantor:                                               N/A
</TABLE>

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                         ----------------------------

                            ADDITIONAL DEFINITIONS

    17. ADDITIONAL RENTAL. The term "Additional Rental" as used in this Lease
shall mean each and every payment described in this Lease which is required to
be paid by Tenant to Landlord other than the Annual Basic Rent.

    18. ADJUSTMENT DATE. The term "Adjustment Date" as used in this Lease shall
mean each anniversary of the Commencement Date.

    19. ALTERATIONS. The term "Alterations" as used in this Lease shall mean any
addition, modification or other alteration of the Premises.

    20. COMMON AREA. (Intentionally Omitted).

    21. DRIPLINE. The term "Dripline" as used in this Lease shall mean a line
surrounding a building which is defined by the point at which water dripping
from the roof of the building will naturally fall (i.e., a line which is located
directly below and follows the circumference of the outermost extension of the
eaves or other extension of the roof or of covered windows or entryways or other
extensions of the walls of such building).

    22. INDEX. The term "Index" as used in this Lease shall mean the United
States Department of Labor, Bureau of Labor Statistics Consumer Price Index for
All Urban Consumers, Los Angeles-Anaheim-Riverside Average Subgroup "All Items,"
(1982-84 = 100). If at any time the Index should not exist in the format recited
herein, Landlord shall substitute any official index published by the Bureau of
Labor Statistics, or successor or similar governmental agency, as may then be in
existence and shall, in Landlord's reasonable opinion, be most nearly equivalent
thereto.

    23. LANDLORD'S WORK. (Intentionally Omitted).

    24. PREMISES POSSESSION LETTER. The term "Premises Possession Letter" as
used in the Lease shall mean a Tenant's Estoppel Certificate in the form
attached hereto as Exhibit "F" to be delivered by Tenant within ten (10) days
following the date upon which possession of the Premises is delivered to Tenant.

    25. PROJECT. The term "Project" shall mean the development constructed on
real property located in Temecula, California as shown on the site plan attached
hereto as Exhibit "A-1".

    26. RENTAL. The term "Rental" as used in this Lease shall mean the total of
all payments described in this Lease which are required to be paid by Tenant to
Landlord, including but not limited to the Annual Basic Rent and all items
specifically described as Additional Rental Payments.

    27. RENTABLE AREA. The term "Rentable Area," as used in this Lease, shall
mean all areas designated by Landlord for the exclusive use of a Tenant of the
Project, measured from the Dripline and from the center of interior demising
walls, and shall include, but not be limited to, restrooms, mezzanines, patios,
warehouse or storage areas, clerical or office areas and employee areas.

    28. SUBSTANTIAL COMPLETION. (Intentionally Omitted).

    29. TENANT'S WORK. (Intentionally Omitted).

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                            INDUSTRIAL SPACE LEASE

                                   1.  TERM

  The term of this Lease shall be for the period shown in Item 4 of the Basic
Lease Provisions.

                                2.  POSSESSION

  If for any reason Landlord is unable to deliver possession of the Premises to
Tenant on the date scheduled for commencement of the term of this Lease, this
Lease shall not be void or voidable nor shall Landlord be liable to Tenant for
any loss or damage resulting therefrom, but in such event Tenant shall not be
liable for any Rental until Landlord tenders possession of the Premises to
Tenant ready for occupancy. Within ten (10) days after delivery of the Premises
to Tenant, Tenant shall deliver to Landlord an executed copy of Landlord's
standard form Premises Possession letter, as attached hereto as Exhibit "F". If
Landlord shall give Tenant permission to enter into possession of the Premises
before the Commencement Date, that possession shall be subject to all the
provisions of this Lease, including, without limitation, the payment of Annual
Basic Rent, except to the extent expressly stated to the contrary by Landlord in
writing.

                             3.  ANNUAL BASIC RENT

    (a)  Tenant agrees to pay Landlord the Annual Basic Rent for the Premises
shown in Item 6 of the Basic Lease Provisions, payable in advance on the first
day of each calendar month during the Term. If the term of this Lease commences
or ends on a day other than the first day of a calendar month, then the Rental
for such period shall be prorated in the proportion that the number of days this
Lease is in effect during such period bears to thirty (30). In addition to the
Annual Basic Rent, Tenant agrees to pay as additional Rental the amount of
Rental adjustments and other charges required by this Lease. All Rental shall be
paid to Landlord, without prior demand and without any deduction or offset, in
lawful money of the United States of America, at the address of Landlord
designated in the Basic Lease Provisions or to such other person or at such
other place as Landlord may from time to time designate in writing. No demand,
notice or invoice shall be required.

    (b)  The Rental payable by Tenant shall be increased for each year of the
term of this Lease by adjusting the Annual Basic Rent reserved in Section 3(a)
to reflect any increase in the cost of living, which adjustment shall be
determined as follows: On each Adjustment Date the most recently published Index
figure shall be determined (the "Comparison Index"). The monthly Rental payable
for the succeeding year of the Lease Term shall be the Annual Basic Rent
reserved under Section 3(a) increased by the same percentage, if any, by which
the Comparison Index figure shall have increased over the Consumer Price Index
figure for the month which is the most recently published prior to the
Commencement Date; provided, however, that the increase in Annual Basic Rent
shall in no event be less than two percent (2%) per annum nor more than six
percent (6%) per annum (pro-rated as required to account for any partial year
between the Commencement Date and the Adjustment Date).

    (c)  Tenant hereby acknowledges that the late payment by Tenant to Landlord
of Rental and other sums due hereunder will cause Landlord to incur costs not
contemplated by this Lease, the exact amount of which will be extremely
difficult to ascertain. Such costs may include, but are not limited to,
administrative, processing and accounting charges, and late charges which may be
imposed on Landlord by the terms of any mortgage or trust deed covering the
Building. Accordingly, if any installment of Rental or any other sum due from
Tenant shall not be received by Landlord or Landlord's designee within five (5)
days after the due date, then the unpaid amounts shall bear interest at the rate
of one and one-half percent (1-1/2%) per month from the date due to the date of
payment (the "Late Charge"). The parties agree that such late charge represents
a fair and reasonable estimate of the cost Landlord will incur by reason of late
payment by Tenant. Acceptance of such late charge by Landlord shall in no event
constitute a waiver of Tenant's default with respect to such overdue amount, nor
prevent Landlord from exercising any of the other rights and remedies granted
hereunder.

    (d)  In the event of any two consecutive late payments of Rental within any
twelve (12) month period, Landlord shall have the option (i) to require that
beginning with the first payment of Rental next due, Rental shall no longer be
paid in monthly installments but shall be payable quarterly three (3) months in
advance, and also to require that Tenant increase the amount, if any, of the
security deposit required under this Lease by: (i) one hundred percent (100%),
or (ii) one full month's Rental, whichever is greater, which additional security
deposit shall be retained by Landlord and may be applied by Landlord in the
manner provided in this Lease.

                                      -4-
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    (e)  In the event that at any time during the term of this Lease any
governmental law, rule or regulation prohibits or postpones in whole or in part
any increase in the Rental or in the payment of other sums payable by Tenant
hereunder to be made pursuant to this Lease, then, and in either of such events,
such increase or payment shall be made to the maximum extent permissible by law
at the time provided in this Lease, and/or at any time or times thereafter such
increase or payment, or any portion thereof, may lawfully be made and any such
increase in Rental, or any portion thereof, or the sums payable hereunder, or
portions thereof, the payment of which has been so prohibited or postponed,
shall thereafter become due and payable to the maximum extent and at the
earliest time or times permitted by law.

                             4. RENTAL ADJUSTMENT

    (a)  For the purpose of this Section 4, the following terms are defined as
follows:

         (i)   TENANT'S PERCENTAGE: The amount shown in Item 8 of the Basic
               Lease Provisions.

         (ii)  DIRECT EXPENSES: The term "Direct Expenses" shall include:

               (1) All real and personal property taxes and assessments
imposed by any governmental authority or agency on the Building and the land on
which the Building is located (including a pro rata portion of any taxes levied
on any common areas); any assessments levied in lieu of taxes; any non-
progressive tax on or measured by gross Rentals received from the Rental of
space in the Building; and other costs levied or assessed by, or at the
direction of, any federal, state, or local government authority or private
association in connection with the use or occupancy of the Premises or the
Common Area serving the Premises; the parking facilities serving the Premises;
any tax on this transaction or any document to which Tenant is a party creating
or transferring an interest in the Premises, and any expenses, including costs
of attorneys or experts, reasonably incurred by Landlord in seeking reduction by
the taxing authority of the above-referenced taxes, less tax refunds obtained as
a result of an application for review thereof; but shall not include any net
income, franchise, capital stock, estate or inheritance taxes.

               (2) All property and casualty insurance, including but not
limited to the perils of fire, flood, earthquake, extended coverage, vandalism,
malicious mischief, special extended coverage, ("All Risk") and sprinkler
leakage, insuring full replacement cost on the Building and the land on which
the Building is located in such amounts and against such hazards and
contingencies as necessary to fully insure and protect such interests; provided,
however, Landlord shall not be obligated to insure any furniture, equipment, or
other property placed in the Premises by or at the expense of Tenant. Tenant and
Landlord shall provide certification of insurance to the other party upon
request with thirty (30) days prior written notice.

               (3) Amortization of such capital improvements as Landlord may
have installed, which are mutually beneficial to Landlord and Tenant: (a) for
the purpose of reducing operating costs to the extent of savings or (b) to
comply with governmental rules and regulations promulgated after commencement of
construction of the Building.

    (b)  Within thirty (30) days of receipt of a statement from Landlord
specifying the Direct Expenses to be paid by Tenant, to which shall be attached
a copy of Landlord's receipt therefor, if any, Tenant shall pay such Direct
Expenses as Additional Rental.

    (c)  Even though the term has expired and Tenant has vacated the Premises,
when the final determination is made of Direct Expenses for the year in which
this Lease terminates, Tenant shall immediately pay to Landlord Tenant's
proportionate share of Direct Expenses not previously assessed for the portion
of the year that Tenant occupied the property.

                              5. SECURITY DEPOSIT

    Tenant has deposited with Landlord the sum shown in Item 10 of the Basic
Lease Provisions to be held by Landlord as security for the faithful performance
by Tenant of all of Tenant's obligations hereunder. If Tenant defaults with
respect to any provision of this Lease, including but not limited to the
provisions relating to the payment of Rental, Landlord may, but shall not be
required to, use, apply or retain all or any part of this security deposit for
the payment of any Rental or any other sum in default, or for the payment of any
other amount which Landlord may spend or become obligated to spend by reason of
Tenant's default or to compensate Landlord for any other loss or damage which
Landlord may suffer by reason of Tenant's default to the full extent permitted
by law. If any portion of the deposit is so used or applied, Tenant shall,
within five (5) days after written demand therefor, deposit cash with Landlord
in an amount sufficient to restore the security deposit to its original amount
so that the amount of security deposit held by Landlord shall be at all times
the sum proportionate to current Rental as the original security deposit was to
the original Rental. Tenant's failure to do so shall be a material breach of
this Lease. Landlord shall not be required to keep this security deposit
separate from its general funds, and Tenant shall not

                                      -5-
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be entitled to interest on such deposit. If Tenant shall fully and faithfully
perform all of its obligations under this Lease, the security deposit of any
balance thereof shall be returned to Tenant (or, at Landlord's option, to the
last transferee of Tenant's interest hereunder) within fourteen (14) days after
expiration of the Lease Term and Tenant's delivery of the Premises to Landlord,
provided that Landlord may retain the security deposit until such time as any
amount due from Tenant in accordance with Sections 4 and 13 hereof has been
determined and paid in full. Should Landlord sell its interest in the Premises
during the term hereof and if Landlord deposits with the purchaser thereof the
then unappropriated funds deposited by Tenant as set forth above, Landlord shall
then be fully and finally discharged from any further liability with respect to
such deposit. Landlord shall pay interest upon said deposit at the rate of 5%
per annum, simple interest; said interest shall be payable by landlord
simultaneously with the payment of the security deposit, as provided herein.

                                    6. USE

    Tenant shall use the Premises for that use shown as Item 3 of the Basic
Lease Provisions and shall not use or permit the Premises to be used solely for
any other purpose without the prior written consent of Landlord which consent
may be withheld in Landlord's sole discretion. Tenant shall not use or occupy
the Premises in violation of law or of the certificate of occupancy issued for
the Building, and shall, upon written notice from Landlord, discontinue any use
of the Premises which is declared by any governmental authority having
jurisdiction to be a violation of law or of said certificate of occupancy.
Tenant shall comply with any direction of any governmental authority having
jurisdiction which shall, by reason of the nature of Tenant's use or occupancy
of the Premises, impose any duty upon Tenant or Landlord with respect to the
Premises or with respect to the use or occupation thereof. A judgment of any
court of competent jurisdiction or the admission by Tenant in any action or
proceeding against Tenant that Tenant has violated any such laws, ordinances,
regulations, rules and/or directions in the use of the Premises shall be deemed
to be a conclusive determination of that fact as between Landlord and Tenant.
Tenant shall not do or permit to be done anything which will invalidate or
increase the cost of any fire, extended coverage or any other insurance policy
covering the Building and/or property located therein and shall comply with all
rules, orders, regulations and requirements of the National Fire Protection
Association or any other organization performing a similar function. Tenant
shall promptly, upon demand, reimburse Landlord for any additional premium
charged for such policy by reason of Tenant's failure to comply with the
provisions of this Section, but such reimbursement shall not be construed as
curing Tenant's default for failing to comply with the provisions of this
Section. Tenant shall not do or permit anything to be done in or about the
Premises which will in any way obstruct or interfere with the rights of other
tenants or occupants of the Building, or injure or annoy them, or use or allow
the Premises to be used for any improper, immoral, unlawful or objectionable
purpose, nor shall Tenant cause, maintain or permit any nuisance in, on or about
the Premises. Tenant shall not commit or suffer to be committed any waste in or
upon the Premises.

                            7. HAZARDOUS MATERIALS

    Tenant shall not engage in any activity on or about the Premises that
violates any Environmental Law, and shall promptly at Tenant's sole cost and
expense, take all investigatory and/or remedial action reasonably required by
Landlord or ordered or required by any governmental agency or Environmental Law
for clean-up and removal of any contamination involving any Hazardous Material
created, caused directly or indirectly or materially contributed to by Tenant.
The term "Environmental Law" shall mean any federal, state or local law,
statute, ordinance or regulation pertaining to health, industrial hygiene or the
environmental conditions on, under or about the Premises, including without
limitation, (i) the Comprehensive Environmental Response, Compensation and
Liability Act of 1980 ("CERCLA"), 42 USC Sections 9601 et seq.; (ii) the
Resource Conservation and Recovery Act of 1976 ("RCRA"), 42 USC Sections 6901 et
seq.; (iii) California Health and Safety Code Sections 25100 et seq.; (iv) the
Safe Drinking Water and Toxic Enforcement Act of 1986, California Health and
Safety Code Section 25249.5 et seq.; (v) the Federal Water Pollution Control
Act, 33 USC Sections 1251 et seq.; (vi) the Porter-Cologne Water Quality Control
Act, California Water Code Section 13000 et seq.; and (vii) California Civil
Code Section 3479 et seq.; (viii) the Toxic Substance Control Act, 15 USC
sections 2601 et seq.; (ix) the California Hazardous Substance Account Act,
Health and Safety Code sections 25330 et seq.; (x) the California Health and
Safety Code sections 25280 et seq. (Underground Storage of Hazardous
Substances); (xi) the California Hazardous Waste Management Act, Health and
Safety Code sections 25170g et seq.; and (xii) the California Health and Safety
Code Sections 2550 et seq. (Hazardous Materials Release Response Plans and
Inventory), all as amended, or any other federal, state or local statute, law,
ordinance, resolution, code, rule, regulation, order or decree regulating,
relating to, or imposing liability or standards of conduct concerning any
hazardous, toxic, or dangerous waste, substance or material, as now, or at any
time hereafter in effect. The term "Hazardous Material" includes, without
limitation, any material or substance which is (i) defined or listed as a
"hazardous waste," "extremely hazardous waste," "restrictive hazardous waste" or
"hazardous substance" or considered a waste, condition of pollution or nuisance
under the Environmental Laws; (ii) petroleum or a petroleum product or fraction
thereof; (iii) asbestos; (iv) substances known by the State of California to
cause cancer and/or reproductive toxicity; and/or (v) any substance, product,
waste or other material of any nature whatsoever which may give use to liability
under any of the above statutes or under any statutory or common law theory
based on negligence, trespass, intentional tort, nuisance or strict liability or
under any reported decisions of a state or federal court. It is the intent of
the parties hereto to construe the terms "Hazardous Materials" and
"Environmental Laws" in their broadest sense. Tenant shall provide all notices
required pursuant to the Safe Drinking Water and Toxic Enforcement Act of 1986,
California Health and Safety Code Section 25249.5 et seq. Tenant shall not bring
onto, create or dispose of, or store in or about the Premises or the Project,
including

                                      -6-
<PAGE>

but not limited to its sewage or storm drain systems, any Hazardous Materials,
in violation of any applicable environmental law, rule or regulation.

     Tenant shall promptly give Landlord (i) a copy of any notice,
correspondence or information it receives from any federal, state, or other
government authority regarding Hazardous Materials on, under or about the
Premises or Hazardous Materials which affect or may affect the Premises, or
regarding any action instituted, completed or threatened by any such
governmental authority concerning Hazardous Materials which affect or may affect
the Premises, (ii) written notice of any knowledge or information Tenant obtains
regarding Hazardous Materials on, under or about the Premises or expenses or
losses incurred or expected to be incurred by Tenant, third party or any
governmental agency to study, assess, contain, or remove any Hazardous Materials
on, under, about or near the Premises for which Tenant may be liable or for
which a lien may be imposed on the Premises, (iii) written notice of any
knowledge or information Tenant obtains regarding the release or discovery of
Hazardous Materials on, under or about the Premises of other sites owned,
occupied or operated by Tenant or any person for whose conduct Tenant is or may
be responsible, or whose liability may result in a lien on or otherwise affect
the Premises, (iv) written notice of all claims made or threatened by any third
party against Tenant or the Premises relating to damage, contribution, cost
recovery compensation, loss or injury resulting from any Hazardous Materials,
and (v) written notice of Tenant's discovery of any occurrence or condition on
any real property adjoining or in the vicinity of the Premises that could the
Premises to be classified as "border zone property" under the provisions of
California Health and Safety sections 25220 cl seq. or any regulation adopted
in accordance therewith, or to be otherwise subject to any restrictions on the
ownership, occupancy, transferability or use of the Premises under any of the
statutes cited above or any regulation adopted pursuant thereto.

    Tenant shall at its own expense procure, maintain in effect and comply with
all conditions of any and all permits, licenses and other governmental and
regulatory approvals required for Tenant's use of the Premises including,
without limitation, discharge of (appropriately treated) materials or wastes
into or through any sanitary sewer serving the Premises. Except as discharged
into the sanitary sewer in strict accordance and conformity with all applicable
Hazardous Materials Laws, Tenant shall not store any Hazardous Materials on the
Premises and shall cause any and all Hazardous Materials removed from the
Premises to be removed and transported solely by duly licensed haulers to duly
licensed facilities for final disposal of such materials and wastes. On any
manifest for removal of Hazardous Materials Tenant and not Landlord shall be
identified as the owner of the Hazardous Materials. Tenant shall in all respects
handle, treat, deal with and manage any and all Hazardous Materials in, on,
under or about the Premises in total conformity with all applicable Hazardous
Materials Laws and prudent industry practices regulating management of such
Hazardous Materials. Upon expiration or earlier termination of the term of the
Lease, Tenant shall cause all Hazardous Materials to be removed from the
Premises and transported for use, storage or disposal in accordance and
compliance with all applicable Hazardous Materials Laws. Tenant shall not take
any remedial action in response to the presence of any Hazardous Material in or
about the Premises nor enter into any settlement agreement consent degree or
other compromise in respect to any claims relating to any Hazardous Materials in
any way connected with the Premises without first notifying Landlord of Tenant's
intention to do so and affording Landlord ample opportunity to appear, intervene
or otherwise appropriately assert and protect Landlord's interest with respect
thereto.

    Tenant shall deliver to Landlord any and all documents and information
relating to any of the following:

      (i)  Any regulatory inquiry or non-routine inspection, formal or informal,
and all investigations and potential investigations by any private or
governmental representative, regarding any aspect of the Premises, including,
without limitation, the presence of any Hazardous Materials on the Premises or
the migration thereof from or to other property;

      (ii)  Any actual spills, releases or discharges of Hazardous Materials
(including, without limitation, any preexisting spills, release or discharges of
which Tenant may become aware): (i) occurring as a result of any activity
relating to the operation of the Premises, whether on or off the Premises, or
(ii) which have occurred on the Premises at any time:

      (iii)  Any enforcement, cleanup, removal or other governmental or
regulatory action instituted, completed or threatened pursuant to any Hazardous
Materials Laws;

      (iv)  Any claim made or threatened by any person against Tenant or the
Premises relating to damage, contribution, cost recovery, compensation, loss or
injury resulting from or claimed to result from any Hazardous Materials;

      (v)  All matters of which Tenant is required to give notice pursuant to
Section 25359.7 of the California Health and Safety Code; and

      (vi)  Any reports including draft reports made to any environmental agency
arising out of or in connection with any Hazardous Materials in or removed from
the Premises, including any complaints, notices, warnings or asserted violations
in connection therewith. Tenant shall also supply to Landlord as promptly as
possible, and in any event within three (3) business days after Tenant first
receives or sends the same, with copies of all claims, reports, complaints,
notices, warnings, or asserted violations relating in any way to the Premises or
Tenant's use thereof. Tenant shall promptly deliver to Landlord copies of
hazardous waste manifests reflecting the legal and proper disposal of all
Hazardous Materials removed from the Premises.

                                      -7-
<PAGE>

    Landlord shall have the right to join and participate in, as a party if it
so elects, any legal proceedings or actions affecting the Premises initiated in
connection with breach of any Hazardous Materials Law by Tenant and have its
attorneys' fees in connection therewith paid by Tenant.

    Tenant shall indemnify, defend (by counsel reasonably acceptable to
Landlord), protect, and hold Landlord, and each of Landlord's partners,
directors, officers, employees, agents, attorneys, lenders, successors and
assigns free and harmless from and against any and all claims, liabilities,
penalties, forfeitures, losses or expenses (including, without limitation, any
consequential damages), losses, liens, liabilities, penalties, fines, lawsuits,
other proceedings, costs and expenses including, without limitation, costs
incurred in connection with any administrative proceedings fees of environmental
engineers or consultants and attorneys' fees and court costs, or death of or
injury to any person or damage to any property whatsoever, arising from or
caused in whole or in part, directly or indirectly, by:

      (i) The presence in, on, under or about the Premises or discharge in or
from the Premises of any Hazardous Materials resulting from Tenant's use,
analysis, storage, transportation, disposal, release, threatened release,
discharge or generation of Hazardous Materials to, in, on, under about or from
the Premises, during the term of the Lease, or any residual discharges
thereafter due to Tenant's use or on behalf of tenant during the lease term;

      (ii) Tenant's violation or alleged violation of any Hazardous Materials
Law;

      (iii) All foreseeable and unforeseeable consequences including, without
limitation, loss of rents and liabilities arising in connection with third-party
claims and actions, directly or indirectly arising out of the tenant's use,
generation, handling, storage or disposal of Hazardous Materials by Tenant, or
on behalf of tenant, not otherwise reimbursed by insurance.

      (iv) Any required or necessary repair, removal, cleanup or detoxification
and the preparation of any closure or other required plans, whether such action
is required or necessary prior to or allowing transfer of title to the Property,
to the full extent that such action is attributable, directly or indirectly, to
the presence or use, generation, storage, handling, release, threatened release
or disposal of Hazardous Materials on or about the Premises, by tenant or on
behalf of tenant;

      (v) Any reduction in the realized or realizable value of the Property to
the full extent that any such reduction in the realized or realizable value of
the Property is attributable, directly or indirectly to the presence or use,
generation, storage, release, threatened release or disposal of Hazardous
Materials on the Premises, by tenant or on behalf of tenant; or

    Any action taken by Landlord to enforce the duties, liabilities and
obligations of Tenant under this Lease. Tenant's obligations hereunder shall
include, without limitation, and whether foreseeable or unforeseeable, all costs
of any required or necessary repair, cleanup or detoxification or
decontamination of the Premises and the preparation and implementation of any
closure, remedial action or other required plans in connection therewith, and
shall survive the expiration or earlier termination of the term of the Lease.
For purposes of the release and indemnity provisions hereof, any acts or
omissions of Tenant, or by employees, agents, assignees, contractors or
subcontractors of Tenant or others acting for or on behalf of Tenant (whether or
not they are negligent, intentional, willful or unlawful) shall be strictly
attributable to Tenant. This indemnification obligation shall survive the
termination of this Lease.

    The foregoing provisions shall not prohibit the ordinary use of Hazardous
Materials normally used in businesses similar to Tenant's, provided the amount
of such Hazardous Materials does not exceed permitted levels or reportable
quantities under applicable Environmental Laws and the use of such Hazardous
Materials strictly complies with all applicable Environmental Laws.

Environmental Audit:

    Within 30 days after Landlord delivers a request in writing to Tenant,
Tenant shall cause to be prepared and delivered to Landlord, at Tenant's
expense, a site assessment and report, or an update of any previously prepared
site assessment and report, for the Premises prepared by a qualified, state
registered, professional environmental auditor acceptable to Landlord. Landlord
may request such a report not more often than once in any two year period, or
more frequently in the event of default by Tenant or whatever Landlord knows of
or suspects the presence, release, threat of release, placement on, under or
about the Premises, or the use, manufacture, handling, generation, storage,
treatment, discharge, burial or disposal on, under or about the Premises, or the
transportation to or from the Premises, or any Hazardous Material. Unless the
Landlord waives in writing any particular element, the assessment and report or
update shall include, but not be limited to (i) a description of the presence,
location and amount of Hazardous Materials and underground storage tanks on,
under or about the Premises and any property adjacent to or in the vicinity of
the Premises, (ii) a review and audit of the books, records, permits, notices,
citations, orders and data of Tenant and all occupants of the Premises relating
to Hazardous Materials or underground storage tanks on, under or about the
Premises and any property adjacent to or in the vicinity of the Premises,
including historical data and records if not covered in any prior report
Landlord has received, (iii) a review and report on any records or listings of
any governmental agency concerning Hazardous Materials or underground storage
tanks on, under or about the Premises and any property adjacent to or in the
vicinity of the Premises, (iv) an investigation and report on the history of
ownership and use of the Premises and property adjacent to or in the vicinity of
the Premises, unless covered in any prior report Tenant has received, (v) a
report of interviews with the current tenants and occupants of the Premises
concerning the use of the Premises, (vi) an evaluation of the likelihood of any
soil

                                      -8-
<PAGE>

or groundwater contamination of the Premises with Hazardous Materials, (vii)
estimated costs of removing any Hazardous Materials and (viii) any other
information or recommendations Landlord may reasonable require. Notwithstanding
the foregoing, Landlord may request an environmental audit at any time during
the term of this Lease, or any extension thereof, at Landlord's expense.

                                  8. NOTICES

     Any notice, demand, consent, approval or other communication required or
permitted to be given hereunder must be in writing and may be given by personal
delivery or by mail, and if given by mail shall be deemed sufficiently given if
sent by U.S. mail, postage prepaid, or by overnight courier service such as
Federal Express, Express Mail or the like, addressed to Tenant at the Premises,
or to Landlord at its address set forth in the Basic Lease Provisions. Any
notice, request, demand, direction or other communication sent by facsimile
transmission must be confirmed within forty eight (48) hours by letter mailed or
delivered in accordance with the foregoing in order to be deemed effective.
Either party may specify a different address for notice purposes by written
notice to the other except that the Landlord may in any event use the Premises
as Tenant's address for notice purposes.

                                  9. BROKERS

     Tenant warrants that it has had no dealings with any real estate broker or
agent in connection with the negotiation of this Lease, except as set forth as
Item 13 of the Basic Lease Provisions, whose commission shall be payable by
Landlord, and that it knows of no other real estate broker or agent who is or
might be entitled to a commission in connection with this Lease. If Tenant has
dealt with any other person or real estate broker with respect to leasing or
renting space in the Building, Tenant shall be solely responsible for the
payment of any fees due said person or firm and tenant shall indemnify and hold
Landlord free and harmless against any liability in respect thereto, including
attorneys' fees and costs.

                               10. HOLDING OVER

     If Tenant holds over after the expiration or earlier termination of the
term hereof without the express written consent of Landlord, Tenant shall become
a Tenant at sufferance only, at a rental rate equal to one hundred fifty percent
(150%) of the Rental in effect upon the date of such expiration (subject to
adjustment as provided in Section 4 hereof and prorated on a daily basis), and
otherwise subject to the terms, covenants and conditions herein specified, so
far as applicable. Acceptance by Landlord of Rental after such expiration or
earlier termination shall not result in a renewal of this Lease. The foregoing
provisions of this Section 10 are in addition to and do not affect Landlord's
right of re-entry or any rights of Landlord hereunder or as otherwise provided
by law. If Tenant fails to surrender the Premises upon the expiration of this
Lease despite demand to do so by Landlord, Tenant shall indemnify and hold
Landlord harmless from all loss or liability, including without limitation, any
claim made by any succeeding tenant founded on or resulting from such failure to
surrender and any attorneys' fees and costs.

                        11. TAXES ON TENANT'S PROPERTY

     (a)     Tenant shall be liable for and shall pay, at least ten (10) days
before delinquency, all taxes, assessments, license fees and other similar
charges levied against any personal property or trade fixtures placed by Tenant
or at Tenant's direction in or about the Premises.  Within ten days of demand by
Landlord Tenant shall furnish Landlord with satisfactory evidence of these
payments.  If any such taxes on Tenant's personal property or trade fixtures are
levied against Landlord or Landlord's property or if the assessed value of the
Premises is increased by the inclusion therein of a value placed upon such
personal property or trade fixtures of Tenant and if Landlord, after written
notice to Tenant, pays the taxes based upon such increased assessment, which
Landlord shall have the right to do regardless of the validity thereof, but only
under proper protest if requested by Tenant. Tenant shall, within ten (10) days
of written demand, reimburse Landlord for the taxes so levied against Landlord,
or the portion of such taxes resulting from such increase in the assessment.

     (b)     If the tenant improvements in the Premises, whether installed,
and/or paid for by Landlord or Tenant and whether or not affixed to the real
property so as to become a part thereof, are assessed for real property tax
purposes at a valuation higher than the valuation at which Tenant Improvements
conforming to Landlord's average cost of construction of tenant improvements in
the Building ("Building Standard") in other space in the Building are assessed,
then the real property taxes and assessments levied against Landlord on
Landlord's Property as a result of such excess assessed valuation may, at the
Landlord's option, be deemed to be taxes levied against the

                                      -9-
<PAGE>

personal property of Tenant, and shall, under such circumstances, be governed by
the provisions of Section 11(a) above. If the records of the County Assessor are
available and sufficiently detailed to serve as a basis for determining whether
said tenant improvements are assessed at a higher valuation than Landlord's
"Building Standard," such records shall be binding on both the Landlord and the
Tenant. If the records of the County Assessor are not available or sufficiently
detailed to serve as a basis for making said determination, the actual cost of
construction shall be used.

                           12. CONDITION OF PREMISES

  By entry hereunder, Tenant accepts the Premises as being in good and sanitary
order, condition and repair. Tenant's taking of possession of the Premises shall
conclusively establish that as of the date of taking possession, the Premises
and the Building are in good order and satisfactory condition, except for such
matters as to which Tenant gave Landlord notice on or before the Commencement
Date. NO PROMISE OF LANDLORD TO ALTER, REMODEL, REPAIR OR IMPROVE THE PREMISES,
THE BUILDING OR THE PROJECT AND NO REPRESENTATION, EXPRESS OR IMPLIED,
RESPECTING ANY MATTER OR THING RELATED TO THE PREMISES, BUILDING, OR PROJECT OR
THIS LEASE, (INCLUDING, WITHOUT LIMITATION, THE CONDITION OF THE PREMISES,
Building OR PROJECT) OR THE SUITABILITY OF EITHER FOR THE CONDUCT OF TENANTS
BUSINESS HAVE BEEN MADE TO TENANT BY LANDLORD OR ITS BROKER OR SALES AGENT,
OTHER THAN AS MAY BE CONTAINED HEREIN OR IN A SEPARATE EXHIBIT OR RIDER SIGNED
BY LANDLORD AND TENANT.

                                13. ALTERATIONS

    (a)  Tenant shall make no Alterations, additions or improvements in or to
the Premises without Landlord's prior written consent and subject to such other
conditions which Landlord may reasonable require. Tenant agrees that there shall
be no construction of partitions or other obstructions which might interfere
with Landlord's free access to mechanical installations or service facilities of
the Building or interfere with the moving of Landlord's equipment to or from the
enclosures containing said installations and facilities. All such work shall be
done at such times and in such manner as Landlord may from time to time
designate, and, at the option of Landlord, under Landlord's supervision. Tenant
covenants and agrees that all work done by Tenant shall be performed in full
compliance with all laws, rules, orders, ordinances, regulations and
requirements of all governmental agencies, offices, and boards having
jurisdiction, and in full compliance with the rules, regulations and
requirements of the National Fire Protection Association, and of any similar
body. Before commencing any work, Tenant shall give Landlord at least twenty
(20) days written notice of the proposed commencement of such work and shall, if
required by Landlord, secure at Tenant's own cost and expense, a completion and
lien indemnity bond, satisfactory to Landlord, for said work. Tenant further
covenants and agrees that any mechanic's lien recorded against the Premises or
against the Building for work claimed to have been done for, or materials
claimed to have been furnished to, Tenant will be discharged by Tenant, by bond
or otherwise, within thirty (30) days after the filing thereof, at the cost and
expense of Tenant. All Alterations, additions or improvements upon the Premises
made by either party, including (without limiting the general of the foregoing)
all wall covering, built-in cabinet work, paneling and the like, shall, unless
Landlord elects otherwise, become the property of Landlord, and shall remain
upon, and be surrendered with the Premises, as a part thereof, at the end of the
term hereof, except that Landlord may, by written notice to Tenant, require
Tenant to remove all partitions, counters, railing and the like installed by
Tenant, and Tenant shall repair all damage resulting from such removal or, at
Landlord's option, shall pay to Landlord all costs arising from such removal.

    (b)  Unless Landlord otherwise agrees in writing, all such Alterations,
additions or improvements affixed or built into the Premises (but excluding
moveable trade fixtures and furniture) shall become the property of Landlord and
shall be surrendered with the Premises, as a part thereof, at the end of the
Lease term, except that Landlord may, by written notice to Tenant given at least
twenty (20) days prior to the end of the Lease term, require Tenant to remove
all or any Alterations, decorations, additions, improvements and the like
installed by Tenant, and to repair the Premises, or at Landlord's option to pay
all costs in relation to any damage to the Premises arising from such removal.
Any fixtures, furnishing or other personal property remaining after possession
of the premises is returned to Landlord shall be the sole and exclusive property
of Landlord and Tenant shall be liable for all costs incurred for removal.

                                  14. REPAIRS

    (a)  Tenant, at its expense, shall maintain and keep the Premises and each
and every part thereof (except only that portion of the Premises, if any, that
Landlord expressly elects to maintain and so notifies Tenant in writing, in
which case such maintenance shall be done at Tenant's expense), including,
without limitation, all utility pipes and conduit, fixtures, heating,
ventilating and air conditioning equipment exclusively serving the Premises, all
signs, locks, doors, door frames, door checks, windows, window frames,
storefronts, skylights

                                     -10-
<PAGE>

and other openings in the roof or exterior walls and floor coverings in a first
class order, condition and repair and shall make replacements necessary to keep
the Premises in this condition. All replacements shall be of quality equal to or
exceeding that of the original. Tenant shall make any and all repairs suggested
at the time of the annual maintenance/inspections. Should Tenant fail to
commence these repairs and replacements or otherwise maintain the Premises
within three (3) days after written demand by Landlord, or shall Tenant commence
but fail to complete any repairs or replacements within a twenty (20) day period
after written demand by Landlord, Landlord may make the repairs or replacements
and shall be promptly reimbursed by Tenant for the cost thereof, together with
interest at the maximum lawful rate from the date of commencement of the work.
Tenant shall repair promptly at its expense any damage to the Premises caused by
Tenant or its agents or employees or caused by installation or removal of
Tenant's personal property. Tenant shall maintain in good condition and repair
the roofs and HVAC system.

    (b)  Landlord shall maintain in good condition and repair the foundations
and exterior surfaces of the exterior walls of all buildings (exclusive of
doors, door frames, door checks, windows, window frames, store fronts, sky
lights and other openings therein). Tenant waives the provisions of Section 1941
and 1942 of the Civil Code of the State of California, or any superseding
statute, and of any other law permitting Tenant to make repairs at Landlord's
expense.

                             15. ENTRY BY LANDLORD

  Landlord reserves and shall at any and all times have the right to enter the
Premises upon twenty four (24) hours prior notice to Tenant (except in the case
of an emergency, in which case no notice is necessary) to inspect the same, and
any other service to be provided by Landlord to Tenant hereunder, including,
without limitation, to name the Building and Project and to change the name or
street address of the Building or Project to install and maintain all signs on
the exterior and interior of the Building and Project, to enter the Premises for
the purpose of making inspections, repairs, Alterations, additions or
improvements to the Premises or to the Building (including, without limitation,
checking, calibrating, adjusting or balancing controls and other parts of the
HVAC system), and to take all steps as may be necessary or desirable for the
safety, protection maintenance or preservation of the Premises or the Building
or Landlord's interest therein, or as may be necessary or desirable for the
operation or improvement of the Building or in order to comply with laws, orders
or requirements of governmental or other authority and to show the Premises to
prospective purchasers or tenants, to post notices of non-responsibility, all
without being deemed guilty of any eviction of Tenant without abatement of
Rental. Landlord may, in order to carry out such purposes, erect scaffolding and
other necessary structures where reasonably required by the character of the
work to be performed, provided that the business of Tenant shall be interfered
with as little as is reasonably practicable. Tenant hereby waives any claim for
damages for any injury or inconvenience to or interference with Tenant's
business, any loss of occupancy or quiet enjoyment of the Premises, and any
other loss in, upon and about the Premises. Landlord shall at all times have and
retain a key with which to unlock all doors in the Premises, excluding Tenant's
vaults and safes. Landlord shall have the right to use any and all means which
Landlord may deemed proper to open said doors in an emergency in order to obtain
entry to the Premises. Any entry to the Premises obtained by Landlord by any of
said means, or otherwise, shall not be construed or deemed to be a forcible or
the unlawful entry into the Premises, or an eviction of Tenant form the Premises
or any portion thereof, and any damages caused on account thereof, shall by paid
by Tenant.

                          16. UTILITIES AND SERVICES

  Tenant shall make all arrangements for and to pay directly to the appropriate
utility company all charges for utility services supplied to Tenant for Tenant's
use in or about the Premises including, but not limited to, gas, electricity,
water, sewer, trash, waste disposal and telephone, and for all connection
charges, fees or taxes. Landlord may contract with a trash disposal service
serving the entire Project, in which event Tenant shall dispose of all ordinary
and usual trash using containers designated by Landlord, and shall, in addition,
pay to Landlord Tenant's Percentage of the cost of such trash disposal services.
Tenant shall be responsible for all costs and expenses relating to the disposal
of extraordinary types or amounts of trash not included within a trash disposal
contract entered into by Landlord. The failure or interruption of any utility or
service shall neither render Landlord liable in damages or otherwise entitle
Tenant to terminate this Lease or discontinue making payments of Annual Basic
Rent or Additional Rental. If Tenant fails to pay any charges referred to in
this Article when due, Landlord may pay the charge, and Tenant agrees to
reimburse Landlord for any amount paid by Landlord plus interest thereon at the
maximum legal rate allowed under applicable law.

                                     -11-
<PAGE>

                               17. COMMON AREAS

                            (Intentionally Omitted)

                                18. BANKRUPTCY

    If Tenant shall file a petition for relief under any provision of the
Federal Bankruptcy Code as then in effect, or any involuntary bankruptcy
proceedings are initiated against Tenant and such proceeding shall not have been
dismissed within thirty (30) days from the date thereof, or if a receiver or
trustee shall be appointed of Tenant's property and the order appointing such
receiver or trustee shall not be set aside or vacated within thirty (30) days
after the entry thereof, or if Tenant shall assign Tenant's estate or assets for
the benefit of creditors, or if this Lease shall, by operation of law or
otherwise, pass to any person or person other than Tenant, then in any such
event Landlord may terminate this Lease, if Landlord so elects, with or without
notice of such election and with or without entry or action by Landlord. In such
case, notwithstanding any other provisions of this Lease, Landlord, in addition
to any and all rights and remedies allowed by law or equity, shall, upon such
termination, be entitled to recover damages in the amount provided in Section 24
hereof. Neither Tenant nor any person claiming through or under Tenant or by
virtue of any statute or order of any court shall be entitled to possession of
the Premises but shall surrender the Premises to Landlord. Nothing contained
herein shall limit or prejudice the right of Landlord to recover damages by
reason of any such termination equal to the maximum allowed by any statute or
rule of law in effect at the time when, and governing the proceedings in which,
such damages are to be provided; whether or not such amount is greater, equal
to, or less than the amount of damages recovered under the provisions of this
Section 18.

                              19. INDEMNIFICATION

    Tenant shall indemnify, defend and hold Landlord, its agents, employees, and
affiliates harmless from all claims arising from Tenant's use of the Premises or
the conduct of its business or from any activity, work, or thing done, permitted
or suffered by Tenant in or about Premises. Tenant shall further indemnify,
defend and hold Landlord, its agents, employees, and affiliates harmless from
all claims arising from any breach or default in the performance of any
obligation to be performed by Tenant under the terms of this Lease, or arising
from any act, neglect, fault or omission of Tenant or of its agents or
employees, and from and against all costs, attorneys' fees, expenses and
liabilities incurred in or about such claim or any action or proceeding brought
thereon. In case any action or proceeding shall be brought against Landlord, its
agents, employees, and affiliates by reason of any such claim, Tenant upon
notice from Landlord shall defend the same at Tenant's expense by counsel
approval in writing by Landlord. Tenant, as a material part of the consideration
to Landlord, hereby assumes all risk of damage to property or injury to person
in, upon or about the Premises caused by the negligence or misconduct of Tenant
or Tenant's employees, agents,and affiliates, except that which is caused by the
failure of Landlord to observe any of the terms and conditions of this Lease
where such failure has persisted for an unreasonable period of time after
written notice of such failure. Notwithstanding the foregoing, Tenant shall not
be required to defend, indemnify, and hold harmless Landlord from any liability
for injury, loss, accident, claims or damage to any person or property resulting
principally from the negligence or willful misconduct of Landlord, its agents,
contractors, servants, employees, or licensees in connection with Landlord's
activities on the Premises. Landlord agrees to defend, indemnify, and hold
harmless Tenant from and against any and all claim arising principally from the
negligence or willful misconduct of Landlord, its agents, contractors, servants,
employees and licensees. Such exclusion from Tenant's indemnity obligation and
such agreement by Landlord to indemnify Tenant are not intended to and shall not
relieve any insurance carrier of its obligations under policies required to be
carried by Tenant pursuant to this Lease to the extent such policies cover the
alleged negligence or willful misconduct of Landlord or its agents, contractors,
servants, employees or licensees; provided, however, that this sentence shall in
no way be construed to imply the availability of any double or duplicate
coverage following the primary liability of such carrier.

                        20. DAMAGE TO TENANT'S PROPERTY

    Notwithstanding anything contained in this Lease to the contrary, Landlord
or its agents shall not be liable for (i) any damage to any property entrusted
to employees of the building, (ii) loss or damage to any property by theft or
otherwise, (iii) any injury or damage to persons or property resulting from
fire, explosion, falling plaster, steam, gas, electricity, water or rain which
may leak from any part of the Building or from pipes, appliances or plumbing
work therein or from the roof, street or sub-surface or from any other place or
resulting from dampness or (iv) any other cause whatsoever except ins ofar as
the same may be caused by the negligence or willful misconduct of Landlord, its
agents, employees or affiliates. Landlord or its agents shall not be liable for
interference with light or other incorporated hereditaments, nor shall Landlord
be liable for any latent defect in the Premises or in the Building or in the
Project. Tenant shall give prompt notice to Landlord in case of fire or
accidents in the Premises or in the Building or of defects therein or in the
fixtures or equipment.

                                     -12-
<PAGE>

                             21. TENANT INSURANCE

    (a)  Tenant shall, during the term hereof and any other period of occupancy,
at its sole cost and expense, keep in full force and effect the following
insurance, with the Landlord as a named additional insured:

         (i)  Standard form property insurance insuring against the perils of
fire, extended coverage, vandalism, malicious mischief, special extended
coverage ("All Risk") and sprinkler leakage. This insurance policy shall be upon
all property owned by Tenant, for which Tenant is legally liable or that was
installed at Tenant's expense, and which is located in the Building including,
without limitation, furniture, fittings, installations, fixtures, and any other
personal property, in an amount not less than ninety percent (90%) of the full
replacement cost thereof. In the event that there shall be a dispute as to the
amount which comprises full replacement cost, such dispute shall be submitted by
the parties to arbitration before the American Arbitration Association for
resolution.

         (ii) Business Interruption Insurance in amounts acceptable to Landlord.

         (iii) Plate glass insurance covering all plate glass on the Premises
at full replacement value.

         (iv) Comprehensive General Liability Insurance insuring Tenant
against any liability arising out of the lease, use, occupancy or maintenance of
the Premises and all areas appurtenant thereto. Such insurance shall be in the
amount of not less than $1,000,000 Combined Single Limit for injury to, or death
of one or more persons in an occurrence, and for damage to tangible property
(including loss of use) in an occurrence, with such liability amount to be
adjusted from year to year to reflect increases in the Index. The policy shall
insure the hazards of premises and operations, independent contractors,
contractual liability (covering the Indemnity contained in Section 18 hereof)
and shall (1) name Landlord as an additional insured, (2) contain a cross
liability provision, and (3) contain a provision that "the insurance provided
the Landlord hereunder shall be primary and non-contributing with any other
insurance available to the Landlord."

         (v)  Workers' Compensation and Employer's Liability insurance as
required by state law.

         (vi) Any other form or forms of insurance as Landlord or any
mortgagees of Landlord may reasonably require from time to time in form, in
amounts and for insurance risks against which a prudent tenant would protect
itself.

         (vii) Any insurance policies deemed reasonably necessary by Landlord
with regard to Tenant's or Tenants' contractors' construction of Tenant's Work,
as well as with regard to the construction of Alterations allowed by this Lease,
including, but not limited to, contingent liability and "all risks" builders
risk insurance, in amounts determined by Landlord to be commercially reasonable.

    (b)  All policies shall be written in a form satisfactory to Landlord and
shall be taken out with insurance companies holding a General Policyholders
Rating of "A" and a Financial Rating of "V" or better, as set forth in the most
current issue of Bests Insurance Guide. Within ten (10) days after the execution
of this Lease, Tenant shall deliver to Landlord copies of policies or
certificates evidencing the existence of the amounts and forms of coverage
satisfactory to landlord. No such policy shall be cancelable or reducible in
coverage except after thirty (30) days prior written notice to Landlord, Tenant
shall, within ten (10) days prior to the expiration of such policies, furnish
Landlord with renewals or "binders" thereof, or Landlord may order such
insurance and charge the cost thereof to Tenant as additional Rental. If
Landlord obtains any insurance that is the responsibility of Tenant under this
section. Landlord shall deliver to Tenant a written statement setting forth the
cost of any such insurance and showing in reasonable detail the manner in which
it has been computed.

    (c)  Landlord makes no representation that the limits of liability specified
to be carried by Tenant under this Lease are adequate to protect Tenant against
Tenant's undertaking under this Lease, and in the event Tenant believes that any
such insurance coverage called for under this Lease is insufficient, Tenant
shall provide at its own expense such additional insurance as Tenant deems
adequate.

    (d)  Tenant hereby releases Landlord from any and all liability from or to
Tenant of every kind and nature which may result from the perils of fire,
lightning or extended coverage perils and which may cause damage to any property
of Tenant within the Building or the Project. Insurance carried by Tenant
against loss or damage by fire or other casualty shall contain a clause whereby
the insurer waives its right of subrogation against Landlord. Tenant shall also
obtain and furnish evidence to Landlord of the waiver by Tenant's worker's
compensation carrier of any right of subrogation against Landlord.

    Tenant and Landlord each hereby release and relieve the other, and waive
their entire right of recovery against the other for loss or damage arising out
of or incident to the perils insured against under Section 21 which perils occur
in, on or about the Premises, whether due to the negligence of Landlord or
Tenant or their agents, employees, contractors and/or invitees. Tenant and
Landlord shall, upon obtaining the policies of insurance required hereunder,
give notice to the insurance carrier or carriers that the foregoing mutual
waiver of subrogation is contained in this Lease.

                                     -13-
<PAGE>

                           22. DAMAGE OR DESTRUCTION

    (a)   In the event the Building is damaged by fire or other perils covered
by Landlord's insurance, Landlord shall:

          (i)   In the event of total destruction, at the Landlord's option,
as soon as reasonably possible thereafter, commence repair, reconstruction and
restoration of the Building and/or the Premises and prosecute the same
diligently to completion, in which event this Lease shall remain in full force
and effect; or within ninety (90) days after such damage, elect not to so
repair, reconstruct or restore the Building and/or the Premises, in which event
this Lease shall terminate. In either event, Landlord shall give Tenant written
notice of its intention within said ninety (90) day period. In the event
Landlord elects not the restore the Building and/or the Premises, this Lease
shall be deemed to have terminated as of the date of such total destruction.

          (ii)   In the event of a partial destruction of the Building and/or
Premises, to an extent not exceeding twenty five percent (25%) of the full value
thereof, and if the damage thereto is such that the Building and/or the Premises
may be repaired, reconstructed or restored within a period of ninety (90) days
from the date of the happening of such casualty and if Landlord will receive
insurance proceeds sufficient to cover the costs of such repairs, then Landlord
shall commence and proceed diligently with the work of repair, reconstruction
and restoration and this Lease shall continue in full force and effect. If such
work or repair, reconstruction and restoration shall require a period longer
than ninety (90) days or exceeds twenty five percent (25%) of the full insurance
value thereof, or if said insurance proceeds will not be sufficient to cover the
cost of such repairs, then Landlord either may elect to so repair, reconstruct
or restore and the Lease shall continue in full force and effect or Landlord may
elect not to repair, reconstruct or restore and the Lease shall then terminate.
Under any of the conditions of this Subsection 22(a)(ii), Landlord shall give
written notice to Tenant of its intention within said ninety (90) day period. In
the event Landlord elects not to restore the Building and/or the Premises, this
Lease shall be deemed to have terminated as of the date of such partial
destruction.

    (b)   Upon any termination of this Lease under any of the provisions of this
Section 22, the parties shall be released without further obligation to the
other from the date possession of the Premises is surrendered to Landlord except
for items which have therefore accrued and are then unpaid.

    (c)   In the event of repair, reconstruction and restoration by Landlord as
herein provided, the Rental payable under this Lease shall be abated
proportionally with the degree to which Tenant's use of the Premises is impaired
during the period of such repair, reconstruction or restoration. Tenant shall
not be entitled to any compensation or damages for loss in the use of the whole
or any part of the Premises and/or any inconvenience or annoyance occasioned by
such damage, repair, reconstruction or restoration.

    (d)   Tenant shall not be released from any of its obligations under this
Lease except to the extent and upon the conditions expressly stated in this
Section 22. Notwithstanding anything to the contrary contained in this Section
22, if Landlord is delayed or prevented from repairing or restoring the damaged
Premises within one hundred eighty (180) days after the occurrence of such
damage or destruction by reason of acts of God, war, governmental restrictions,
inability to procure the necessary labor or materials, or other cause beyond the
control of Landlord, Landlord shall be relieved of its obligation to make such
repairs or restoration and Tenant shall be released from its obligations under
this Lease as of the end of said one hundred eighty (180) day period.

    (e)   If damage is due to any cause other than fire or other peril covered
by extended coverage insurance, Landlord may elect to terminate this Lease.

    (f)   If Landlord is obligated to or elects to repair or restore as herein
provided, Landlord shall be obligated to make repair or restoration only of
those portions of the Building and the Premises which were originally provided
at Landlord's expense, and the repair and restoration of items not provided at
Landlord's expense shall be the obligation of Tenant.

    (g)   Notwithstanding anything to the contrary contained in this Section 22,
Landlord shall not have any obligation whatsoever to repair, reconstruct or
restore the Premises when the damage resulting from any casualty covered under
this Section 22 occurs during the last twenty four (24) months of the term of
this Lease or any extension hereof.

    (h)   If the then existing laws do not permit the restoration described
herein, Landlord may terminate this Lease by giving written notice to Tenant, in
which event this Lease shall terminate thirty (30) days following Tenant's
receipt of such notice.

    (i)   The provisions of Sections 1932(2) and 1933(4) of the California Civil
Code, which permit termination of a lease upon destruction of the Leased
Premises, are hereby waived by Tenant and the provisions of this Section shall
govern in cases of such destruction.

                                     -14-
<PAGE>

                              23. EMINENT DOMAIN

    (a)  In case all of the Premises, or such part thereof as shall
substantially interfere with Tenant's use and occupancy thereof, shall be taken
for any public or quasi-public purpose by any lawful power or authority by
exercise of the right of appropriation, condemnation or eminent domain, or sold
to prevent such taking, either party shall have the right to terminate this
Lease effective as of the date possession is required to be surrendered to said
authority by giving thirty (30) days written notice to the other party. The
Annual Basic Rent shall be prorated to the termination date. If this Lease
continues in force upon such partial taking, the Annual Basic Rent and Tenant's
Proportionate Share shall be equitably adjusted according to the remaining
Rentable Area of the Premises and Project. Landlord shall restore the Premises
to substantially their same condition prior to such partial taking, (except with
respect to property originally installed at Tenant's sole cost and expense) and
a proportionate allowance shall be made to Tenant for the Rental corresponding
to the time during which, and to the part of the Premises of which, Tenant shall
be so deprived on account of such taking and restoration. In the event of any
taking, partial or whole, all of the proceeds of any award, judgment or
settlement payable by the condemning authority shall be the exclusive property
of Landlord, and Tenant hereby assigns to landlord all of its right, title and
interest in any award, judgment or settlement from such condemning authority.
Tenant, however, shall have the right, to the extent that the right shall not
reduce or prejudice Landlord's award, to claim from the condemning authority,
but not from Landlord, such compensation as may be recoverable by Tenant in its
own right for relocation expenses and damage to Tenant's personal property.

    (b)  No temporary taking of the Premises and/or of Tenant's rights therein
or under this Lease shall terminate this Lease or give Tenant any right to
abatement of Rental hereunder, any award made to Tenant by reason of any such
temporary taking shall belong entirely to Tenant and Landlord shall not be
entitled to share therein. A temporary taking shall be deemed to be taking of
the use or occupancy of the Premises for a period of not to exceed one hundred
eighty (180) days.

    (c)  In the event there shall be a taking of the parking area such that
Landlord can no longer comply with the terms of this Lease, Landlord may
substitute therefor reasonably equivalent parking in a location reasonably close
to the Premises; provided that if landlord fails to make such substitution
within one hundred eighty (180) days following such taking. Tenant may, at its
option, terminate this Lease by notice to Landlord. If this Lease is not so
terminated by Tenant, there shall be no reduction, change or abatement of any
Rental or other charge payable by Tenant hereunder and this Lease shall continue
in full force and effect.

                           24. DEFAULTS AND REMEDIES

    (a)  The occurrence of any one or more of the following events shall
constitute a default hereunder by Tenant:

         (i)  The vacation or abandonment of the Premises by Tenant.
Abandonment is herein defined to include, but is not limited to, any absence by
Tenant from the Premises for five (5) business days or longer while in default
of any provision of this Lease.

         (ii)  The failure by Tenant to make any payment of Annual Basic Rent or
Additional Rental or any other payment required to be made by Tenant hereunder,
as and when due, where such failure shall continue for a period of three (3)
business days after receipt of written notice thereof by Tenants; provided
however, that any such notice shall be in lieu of and not in addition to, any
notice required under California Code of Civil Procedure Section 1161 regarding
unlawful detainer actions.

         (iii) The failure by Tenant, as may be determined by Landlord, to
observe or perform any of the express or implied non-monetary covenants or
provisions of this Lease to be observed or preformed by Tenant, other than as
specified in Subsection 24(a)(i) or (ii) above, where such failure shall
continue for a period of ten (10) days after written notice thereof from
Landlord to Tenant. Any such notice shall be in lieu of, and not in addition to,
any notice required under California Code of Civil Procedure Section 1161
regarding unlawful detainer actions. If the nature of Tenant's default is such
that more than ten (10) days are reasonably required for its cure, then Tenant
shall not be deemed to be in default if Tenant shall commence such cure within
said ten (10) day period and thereafter diligently prosecute such cure to
completion, which completion shall occur not later than sixty (60) days from the
date of such notice from Landlord.

         (iv)  (1) The making by Tenant of any general assignment for the
benefit of creditors: (2) the filing by or against Tenant of a petition for
relief under the Federal Bankruptcy Code (unless in the case of a petition filed
against Tenant, the same is dismissed within thirty (30) days): (3) the
appointment of a trustee or receiver to take possession of substantially all of
Tenant's assets located at the Premises or of Tenant's interest in this Lease,
where possession is not restored to Tenant within thirty (30) days: or (4) the
attachment, execution or other judicial seizure of substantially all of Tenant's
assets located at the Premises or of Tenant's interest in this Lease where such
seizure is not discharged within thirty (30) days.

                                     -15-
<PAGE>

    (b)  In the event of any such default by Tenant, in addition to any other
remedies available to Landlord at law or in equity, Landlord shall have the
immediate option to terminate this Lease and all rights of Tenant hereunder.  In
the event that Landlord shall elect to so terminate this Lease then Landlord may
recover from Tenant:

         (i)  the worth at the time of award of any unpaid Rental which has been
earned at the time of such termination; plus

         (ii) the worth at the time of award of the amount by which the unpaid
Rental which would have been earned after termination until the time of award
exceeds the amount of such Rental loss that Tenant proves could have been
reasonably avoided; plus

         (iii) the worth at the time of award of the amount by which the unpaid
Rental for the balance of the term after the time of award exceeds the amount of
such Rental loss that Tenant proves could be reasonably avoided; plus

         (iv) if Tenant shall fail to take possession of the Premises or fail to
commence the payment of monthly Rental payments as herein required, or if
Landlord terminates the Lease or terminates Tenant's right to possession of the
Premises by any lawful means, due to Tenant's default or breach of the Lease or
the covenants and obligations of Tenant, Landlord shall have the right, without
affecting any of its other rights under this Lease, to recover from Tenant all
broker commissions and fees, if any, paid by Landlord in connection with this
Lease; plus

         (v)  any other amount necessary to compensate Landlord for all the
detriment proximately caused by Tenant's failure to perform Tenant's obligations
under this Lease or which in the ordinary course of things would be likely to
result therefrom.

    As used in Subsection 24(b)(i) and (ii) above the "worth at the time of
award" is computed by allowing interest at a rate equal to two percent (2%) in
excess of the "prime rate" of the Bank of America N.T. & S.A. as of the time of
award, not to exceed, however, the maximum rate permitted by law. As used in
Subsection 24(b)(iii) above, the "worth at the time of award" is computed by
discounting such amount at the discount rate of the Federal Reserve Bank of San
Francisco at the time of award plus one percent (1%).

    (c)  In the event of any such default by Tenant, Landlord shall also have
the right, with or without terminating this Lease, to re-enter the Premises and
remove all persons and property from the Premises; such property may be removed
and stored in a public warehouse or elsewhere at the cost of and for the account
of Tenant. No re-entry or taking possession of the Premises by Landlord pursuant
to this Section 24(c) shall be construed as an election to terminate this lease
unless a written notice of such intention is given to Tenant or unless the
termination thereof is decreed by a court of competent jurisdiction; provided,
however, that Landlord may, at any time thereafter, elect to terminate this
Lease for such previous and uncured breach by notifying Tenant in writing that
Tenant's right to possession of the Premises has been terminated.

    (d)  Landlord shall also have the remedy described in California Civil Code
Section 1951.4 (Landlord may continue Lease in effect after Tenant's breach and
abandonment and recover Rental as it becomes due, if Tenant has right to sublet
or assign, subject only to reasonable limitations).

    (e)  All rights, options and remedies of Landlord contained in this Lease
shall be construed and held to be cumulative, and no one of them shall be
exclusive of the other, and Landlord shall have the right to pursue any or all
of such remedies or any other remedy or relief which may be provided by law,
whether or not stated in this Lease. No waiver of any default of Tenant
hereunder shall be implied from any acceptance by Landlord or any Rental or
other payments due hereunder or any omission by landlord to take any action on
account of such default if such default persists or is repeated, and no express
waiver shall affect defaults other than as specified in said waiver. The consent
or approval of Landlord to or of any act by Tenant requiring Landlord's consent
or approval shall not be deemed to waive or render unnecessary Landlord's
consent or approval to or of any subsequent similar acts by Tenant.

    (f)  Nothing in this Section shall be deemed to affect Tenant's indemnity of
Landlord for liability or liabilities based upon occurrences prior to the
termination of this Lease for personal injuries or property damage under the
indemnification clause or clauses contained in this Lease.  Such covenants of
indemnification shall survive the termination of this Lease.

                  25.  GOVERNMENT ENERGY OR UTILITY CONTROLS

    In the event of imposition of federal, state, or local government controls,
rules, regulations, or restrictions on the use of consumption of energy or water
or other utilities during the Term, both Landlord and Tenant shall be bound
thereby.  Landlord shall have the right to enforce compliance therewith
including the right of entry into the Premises to effect compliance.  Should any
government agency or subdivision thereof impose a tax or surcharge of any kind
on, against, or with respect to the use or consumption of energy, water or other
utilities or parking areas or the number of parking spaces in the Project, this
tax or surcharge shall be included as a Direct Expense

                                     -16-
<PAGE>

under Section 4 (a) (iii). If any governmental agency or subdivision thereof
imposes any restrictions or regulations on the use of vehicles by tenants in the
Project and/or by their employees, contractors and invitees. Tenant shall at no
cost to Landlord cooperate with and abide by those restrictions.

                          26. LIMITATION ON LIABILITY

    In consideration of the benefits accruing hereunder, Tenant and all
successors and assigns covenant and agree that, in the event of any actual or
alleged failure, breach or default hereunder by Landlord:

    (a)  The sole and exclusive remedy shall be against the Landlord's interest
in the Building:

    (b)  No partner of Landlord, either general or limited, shall be sued or
named as a party in any suit or action (except as may be necessary to secure
jurisdiction of the partnership);

    (c)  No partner of Landlord, either general or limited, shall be required to
answer or otherwise plead to any service of process;

    (d)  No judgment will be taken against any partner of Landlord, either
general or limited;

    (e)  Any judgment taken against any partner of Landlord may be vacated and
 set aside at any time nune pro tune;

    (f)  No writ of execution will ever be levied against the assets of any
partner of Landlord, either general or limited; and

    (g)  These covenants and agreements are enforceable both by Landlord and
also by any partner of Landlord.

                           27.  TENANT IMPROVEMENTS

                            (Intentionally Omitted)

                            See Section 32 hereof.

                       28.  LANDLORD'S RESERVED RIGHTS.

    Provided Landlord does not unreasonably interfere with Tenant's use of the
Premises, Landlord reserves the right to use the exterior demising walls of the
Premises and the area between the finished ceiling of the Premises and the slab
of the Building floor or roof thereabove and between the finished floor of the
Premises and the foundation or finished ceiling of the portion of the Building
therebelow together with the right to locate or relocate (both vertically and
horizontally), install, use, maintain, repair, replace pipes, utility lines,
ducts, conduits, flues, refrigerant lines, drains, sprinkler mains and valves,
access panels, wires and apportenant meters and equipment included in the
Premises or outside the Premises; change the boundary lines of the Project.

                        29.  ASSIGNMENT AND SUBLETTING

    Except as set forth in this Section 29, Tenant agrees for itself and its
permitted successors and assigns that it will not (a) assign or otherwise
transfer, mortgage or otherwise encumber this Lease or any of its rights
hereunder; (b) sublet the Premises or any part thereof or permit the occupancy
or use of the Premises or any part thereof by any person other than Tenant;
and/or (c) permit the assignment or other transfer of this Lease or any of
Tenant's rights hereunder by operation of law (each of the events referred to in
the foregoing clauses [a], [b] and [c] being hereinafter referred to as a
"Transfer"), without the prior written consent of Landlord in each instance
first obtained, which consent shall not be unreasonably denied, delayed, or
withheld, and any consent given shall not constitute a consent to any subsequent
Transfer. If Tenant is a partnership any change in the makeup of the
partnership, whether voluntary or involuntary, which results in an ownership
interest in the partnership of more than fifty percent (50%) being held by
parties who were not partners as of the commencement of this Lease, or the
dissolution of the partnership, shall be deemed a Transfer. Any attempt to
Transfer without Landlord's

                                     -17-
<PAGE>

consent shall not null and void and shall not confer any rights upon any
purported transferee, assignee, mortgagee, sublessee, or occupant. No Transfer,
regardless of whether Landlord's consent has been granted or withheld, shall be
deemed to release Tenant from any of its obligations hereunder or to alter,
impair or release the obligations of any person guaranteeing the obligations of
Tenant hereunder.

    Not withstanding the foregoing, Landlord's consent shall not be deemed to be
unreasonably withheld if consent is withheld for failure to satisfy each of the
following conditions: (a) Tenant shall remain fully liable during the unexpired
term of this Lease; (b) any such assignment, sublease or transfer shall be
subject to all of the terms, covenants and conditions of this Lease; (c) such
assignee, sublessee, or transferee shall expressly assume the obligations of
Tenant under the Lease by a document reasonably satisfactory to Landlord;
(d) the assignee, sublessee or transferee shall be at least as credit worthy as
is Tenant as of the date of this Lease; and (e) the assignee, sublessee or
transferee's proposed use of the Premises shall be substantially equivalent to
Tenant's use of the Premises.

    Notwithstanding anything contained in this section, in the event that, at
any time during the Term, Tenant desires to transfer this Lease in whole or in
part, by operation of law or otherwise, Tenant shall submit to Landlord in
writing, in the form and content acceptable to Landlord in Landlord's sole
discretion (a) the name and address of the proposed subtenant or assignee;
(b) a reasonably detailed statement of the proposed subtentant's or assignee's
business; (c) reasonably detailed financial references and information
concerning the financial condition of the proposed subtenant or assignee
covering such time periods as requested by Landlord; and (d) a copy of the
proposed sublease or assignment.

    Tenant shall deliver to Landlord, within thirty (30) days after Landlord's
written consent has been received, (a) a duplicate original sublease, duly
executed by Tenant and the subtenant, or instrument of assignment duly executed
by Tenant, as the case may be, in form and substance as approved by Landlord and
(b) in case of an assignment, as instrument in form and substance as approved by
Landlord, duly executed by the assignee and the Tenant, in which such assignee
shall agree to assume, observe, perform and to be personally bound by, all of
Tenant's obligations under this Lease.

    Any sums or other economic consideration received by Tenant as a result of
subleasing or assignment, however demonstrated under the assignment or sublease
which exceed in the aggregate (i) the total sums which Tenant is obligated to
pay to Landlord is under this Lease (prorated to reflect obligations allowable
to any portion of the Premises subleased) plus (ii) any real estate brokerage
commissions or fees payable in connection with such assignment or subleasing and
provided that Tenant is not in default under any other term or condition of this
Lease shall be paid to Tenant.

                           MISCELLANEOUS PROVISIONS

    30.1  ATTORNEYS' FEES

    (a)     If Landlord shall bring suit for possession of the Premises, for the
recovery of any sum due under this Lease, or because of the breach of any
provision of this Lease, or for any other relief against Tenant hereunder, or in
the event of any other litigation between the parties with respect to this
Lease, then all costs and expenses, including reasonable attorneys' fees,
incurred by the prevailing party therein shall be paid by the other party, which
obligation on the part of the other party shall be deemed to have accrued on the
date of the commencement of such action and shall be enforceable whether or not
the action is prosecuted to judgment.

    (b)     If either party (the "Named Party") is named as a defendant in any
action arising out of a matter with respect to which the other party (the "Other
Party") is obligated to indemnify the Named Party pursuant to the terms of this
Lease, the Other Party shall pay to the Named Party its costs and expenses
incurred in such suit, including reasonable attorneys' fees.

    30.2  CONFIDENTIALITY

    Tenant acknowledges and agrees that the terms of this Lease are confidential
and constitute proprietary information of Landlord. Tenant agrees that it, and
its partners, directors, employees and attorneys shall not disclose the terms
and conditions of this Lease to any other person (except disclosures as required
by regulations) without the prior written consent of Landlord; provided,
however, that Tenant may disclose the terms hereof to the independent
accountants who audit its financial statements, or as otherwise required in the
ordinary course of Tenant's business. It is understood and agreed that damages
would be an inadequate remedy for the breach of this provision by Tenant, and
Landlord shall have the right to specific performance of this provision and to
injunctive relief to prevent its breach or continued breach.

                                     -18-
<PAGE>

    30.3 DEFINITION OF LANDLORD

    The term "Landlord," as used in this Lease, so far as covenants or
obligations on the part of Landlord are concerned, shall be limited to mean and
include only the owner or owners, at the time in question, of the fee title of
the Premises or the lessees under any ground lease, if any. In the event of any
transfer, assignment or other conveyance or transfers of any such title.
Landlord herein named (and in case of any subsequent transfers or conveyances,
the then grantor) shall be automatically freed and relieved from and after the
date of such transfer, assignment or conveyance of all liability as respects the
performance of any covenants or obligations on the part of Landlord contained in
this Lease thereafter to be performed. Without further agreement, the transferee
of such titles shall be deemed to have assumed and agreed to observe and perform
any and all obligations of Landlord hereunder, during its ownership of the
Premises. Landlord may transfer its interest in the Premises without the consent
of Tenant and such transfer or subsequent transfer shall not be deemed a
violation on Landlord's part of any of the terms and conditions of this Lease.

    30.4 ESTOPPEL CERTIFICATE

    (a)  Within ten (10) days following any written request which Landlord may
make from time to time, Tenant shall execute and deliver to Landlord its most
recent quarterly financial statement of Tenant in a form acceptable to Landlord
(including both a balance sheet and an income statement), together with a
written statement certifying:

         (i)    The date of commencement of this Lease;

         (ii)   The fact that this Lease is unmodified and in full force and
effect (or, if there have been modifications hereto, that this Lease is in full
force and effect, and stating the date and nature of such modifications);

         (iii)  The date to which the Rental and other sums payable under this
Lease have been paid;

         (iv)   That there are no current defaults under this Lease by either
Landlord or Tenant except as specified in Tenant's statement;

         (v)    That Tenant has accepted possession of the Premises; and

         (vi)   Such other matters reasonably requested by Landlord.

    Landlord and Tenant intend that any statement delivered pursuant to this
Section 30.4 may be relied upon by any mortgagee, beneficiary, purchaser or
prospective purchaser of the Building of any interest therein.

    (b)  Tenant's failure to deliver such statement within such time shall be
conclusive upon Tenant:

         (i)    That this Lease is in full force and effect, without
modification except as may be represented by Landlord;

         (ii)   That there are no uncured defaults in Landlord's performance
and that Tenant has no rights of offset against Landlord; and

         (iii)  That no more than one (1) month's Rental has been paid in
advance.

         (iv)   That Tenant has accepted possession of the Premises.

    30.5 EXAMINATION OF LEASE

    Submission of this instrument for examination or signature by Tenant does
not constitute a reservation of or option for lease, and it is not effective as
a lease or otherwise until approved by the General Partner of Landlord and
execution by and delivery to both Landlord and Tenant.

    30.6 FORCE MAJEURE

    Any prevention, delay or stoppage of work to be performed by Landlord or
Tenant which is due to strikes, labor disputes, inability to obtain labor,
materials, equipment or reasonable substitutes therefor, acts of God,
governmental restrictions or regulations or controls, judicial orders, enemy or
hostile government actions, civil commotion, fire or other casualty, or other
causes beyond the reasonable

                                     -19-
<PAGE>

control of the party obligated to perform hereunder, shall excuse performance of
the work by that party for a period equal to the duration of that prevention,
delay or stoppage, except where such performance is the payment of Basic Rent or
other charges to be paid by Tenant pursuant to the provisions of this Lease.

    30.7  FUTURE PLANNING

    Landlord may adopt any name it may select for the Building and/or the
Project, and Landlord reserves the right to change the name and/or address of
the Building and/or Project at any time. Tenant shall not use the name of the
Building, the Project or such development for any purpose other than as the
address of the business to be conducted by Tenant in the Premises, and Tenant
shall not acquire any property right in or to any name which contains said word
combination as a part thereof.

    30.8  GOVERNING LAW

    This Lease shall be construed and enforced in accordance with the laws of
the State of California. The language in all parts of this Lease shall in all
cases be construed as a whole according to its fair meaning and not strictly for
or against either Landlord or Tenant.

    30.9  GUARANTY

          (Intentionally Omitted).

    30.10 IDENTIFICATION OF TENANT

    If Tenant is a corporation or partnership, each individual executing this
Lease on behalf of the corporation or partnership represents and warrants that
he or she is duly authorized to execute and deliver this Lease on behalf of the
corporation or partnership, and that this Lease is binding upon the corporation
or partnership. If Tenant is a corporation, the person executing this Lease on
behalf of Tenant hereby covenants and warrants that (a) Tenant is a duly
qualified corporation and all steps have been taken prior to the date hereof to
qualify Tenant to do business in the State where the Project is situated,
(b) all franchise and corporate taxes have been paid to date.

    30.11 MODIFICATION FOR LENDER

    If, in connection with obtaining construction, interim or permanent
financing for the Building or the Building, the lender shall request reasonable
modifications in this Lease as a condition to such financing, Tenant will not
unreasonably withhold, delay or defer its consent thereto, provided that such
modifications do not increase the obligations of Tenant hereunder or adversely
affect the leasehold interest hereby created or Tenant's rights hereunder.

    30.12 MORTGAGE PROTECTION

    In the event of any default on the part of Landlord, Tenant will give notice
by registered or certified mail to any beneficiary of a deed of trust or
mortgage covering the Premises whose address shall have been furnished to
Tenant, and shall offer such beneficiary, or mortgagee a reasonable opportunity
to cure the default, including time to obtain possession of the Premises by
power of sale or a judicial foreclosure, if such should prove necessary to
effect a cure.

    30.13 PARKING

    The use by Tenant, its employees and invitees, of the parking facilities of
the Building shall be subject to such other agreement between Landlord and
Tenant as may hereinafter be established.

    Nothing contained herein shall be deemed to create liability upon Landlord
for any damage to motor vehicles of customers or employees or from loss of
property from within such motor vehicles.

                                     -20-
<PAGE>

    30.14 PERFORMANCE BY TENANT

    All covenants and agreements to be performed by Tenant under any of the
terms of this Lease shall be performed by Tenant at Tenant's sole cost and
expense and without any abatement of Rental. If Tenant shall fail to perform any
other act on its part to be performed hereunder, and such failure shall continue
for ten (10) days after notice thereof by Landlord, Landlord may, without
waiving or releasing Tenant from obligations of Tenant, but shall not be
obligated to, make any such payment or perform any such other act to be made or
performed by Tenant (unless there is a reasonable likelihood of imminent harm to
person or property as a result of Tenant's failure, in which event Landlord may
act immediately). All sums so paid by Landlord and all necessary incidental
costs together with interest thereon at the maximum rate permissible by law,
from the date of such payment by Landlord, shall be payable to Landlord on
demand. Tenant covenants to pay any such sums, and Landlord shall have (in
addition to any other right or remedy of Landlord) all rights and remedies in
the event of the non-payment thereby Tenant as are set forth in Section 24
hereof.

    30.15 PRIOR AGREEMENT/AMENDMENTS

    This Lease contains all of the Agreements of the parties hereto with respect
to any matter covered or mentioned in this Lease, and no prior agreement or
understanding pertaining to any such matter shall be effective for any purpose.
No provisions of this Lease may be amended or added in except by an agreement in
writing signed by the parties hereto or their respective successors in interest.

    30.16 QUIET ENJOYMENT

    Upon Tenant paying the Rental required to be paid under this Lease, and
paying all other charges and performing and/or complying with all terms and
conditions contained herein to be performed or complied with by Tenant, Tenant
shall be entitled to the peaceful and quiet enjoyment of the Premises during the
term of this Lease subject to the terms of this Lease and to any mortgage, lease
or other agreement to which this Lease may subordinate.

    30.17 RECORDING

    Neither Landlord not Tenant shall record this Lease nor a short form
memorandum thereof without the consent of the other.

    30.18 RIDERS

    Clauses, plats and riders, if any signed by Landlord and Tenant and affixed
in this Lease are a part hereof.

    30.19 RIGHT TO SHOW PREMISES

    During the last one hundred twenty (120) days of the Term, Landlord shall
have the right to enter upon the Premises to show same to prospective tenants
and to post appropriate "for rent" signs. Landlord shall have the right to enter
upon the Premises at any time during the term to show the same to prospective
purchasers of all or any portion of the Project.

    30.20 RULES AND REGULATIONS

    Tenant shall faithfully observe and comply with the "Rules and Regulations,"
identified in Section 34 hereof, and all reasonable and nondiscriminatory
modifications thereof and additions thereto from time to time put into effect by
Landlord.

    30.21 SEVERABILITY

    Any provision of this Lease which shall prove to be invalid, void or illegal
in no way affects, impairs or invalidates any other provision hereof, and such
other provisions shall remain in full force and effect.

                                     -21-
<PAGE>

    30.22  SIGNS

    Landlord may affix a sign (restricted solely to Tenant's name as set forth
in Item 1 of the Basic Lease Provisions or such other name as may be consented
to in advance in writing, by Landlord), to the exterior surface entryway of the
Premises. Except with the prior written approval of Landlord, which approval may
be withheld in Landlord's sole discretion. Tenant shall not place or allow to be
placed, erected or maintained any sign, decal, placard name, insignia, trade
name, description, flashing, moving or hanging lettering, or any other
descriptive words or advertising matter of any kind or description (herein
collectively, "sign" or "signs") on any exterior door, wall, window or roof of
the Premises or of the Building, or on the glass of any window or door of the
Building, or on any sidewalk or other location outside the Building, or within
any entrance to the Premises. If Tenant places or causes to be placed or
maintained any of the foregoing, the same may be removed by Landlord at Tenant's
expense without notice and without such removal constituting a breach of this
Lease or entitling Tenant to claim damages on account thereof.

    30.23  SUBORDINATION

    Without the necessity of any additional document being executed by Tenant
for the purpose of effecting a subordination, and at the election of Landlord or
any mortgagee with a lien on the Building, or any ground Lessor with respect to
the Building, this Lease shall be subject and subordinate at all times to:

    (a)  All ground Leases or underlying leases which may now exist or hereafter
be executed affecting the Building or the land upon which the Building is
situated or both, and

    (b)  The lien of any mortgage or deed of trust which may now exist or
hereafter be executed in any amount for which the Building, land, ground leases,
or Landlord's interest or estate in any of said items is specified as security.

         Notwithstanding the foregoing, Landlord shall have the right to
subordinate or cause to be subordinated any such ground leases or underlying
leases or any such liens to this Lease. In the event that any ground lease or
underlying lease terminates for any reason or any mortgage or deed of trust is
foreclosed or a conveyance in lieu of foreclosure is made for any reason, Tenant
shall, notwithstanding any subordination, attorn and become the Tenant of the
successor in interest to Landlord. Tenant covenants and agrees to execute and
deliver, upon demand by Landlord, and in the form reasonably requested by
Landlord, any additional documents evidencing the priority or subordination of
this Lease with respect to any such ground leases or underlying leases or the
lien of any such mortgage or deed of trust. Any subordination or atornement by
Tenant hereunder shall entitle Tenant to receive a non-disturbance agreement
from the Landlord's successor in interest, which terms and provisions shall
comply with the provisions of this Lease.

                         30.24  SUCCESSORS AND ASSIGNS

    Except as otherwise provided in this Lease, all of the covenants, conditions
and provisions of this Lease shall be binding upon and shall inure to the
benefit of the parties hereto and their respective heirs, personal
representatives, successors and assigns.

                         30.25  SURRENDER OF PREMISES

    The voluntary or other surrender of the Lease by Tenant, or a mutual
cancellation thereof, shall not work a merger, and shall, at the option of the
Landlord, operate as an assignment to it of any or all subleases or subtenancies
and all fixtures located within the Premises.

    Tenant, on the expiration date, shall peaceably surrender the Premises to
Landlord in broom clean condition and in as good condition as when Tenant took
possession, except for (a) reasonable wear and tear, (b) loss by fire or other
casualty, and (c) loss by condemnation.  Tenant shall, on Landlord's request,
remove Tenant's property on or before the expiration date and promptly repair
all damage to the Premises or Building caused by such removal.

    If Tenant shall abandon or surrender the Premises, or be dispossessed by
process of law, or otherwise, after notice to Tenant in accordance with
California Law, any of Tenant's property left on the Premises shall be deemed to
be abandoned and, at Landlord's option, Landlord may treat such property in
accordance with law.  If Landlord elects to remove all or any part of Tenant's
property, the cost of removal, including repairing any damage to the Premises or
Building caused by that removal, shall be paid by Tenant.  On the Expiration
Date Tenant shall surrender all keys to the Premises.

                                     -22-
<PAGE>

    30.26  TERMS AND HEADINGS

    The words "Landlord" and "Tenant" as used herein shall include the plural as
well as the singular. Words used in any gender include other genders. The
Section headings of this Lease are not a part of this Lease and shall have no
effect upon the construction or interpretation of any part hereof.

    30.27  TIME

    Time is of the essence with respect to the performance of every provision of
this Lease in which time or performance is a factor, provided, however, either
party shall be excused for any delays or defaults by that party in the
performance of this Lease unavoidably caused by the act of the other, the act of
any agent of the other, the act of any governmental authority, the act of any
public enemy, acts of God, the elements, war, war defense conditions,
litigation, strikes, walkouts, or other causes beyond that party's control
(other than financial inability). Each party shall use reasonable diligence to
avoid any such delay or default and to resume performance under this Lease as
promptly as possible after any such delay or default.

    30.28  WAIVER

    The waiver by either party of any breach of any term, covenant or condition
herein contained shall not be deemed to be a waiver of any subsequent breach of
the same or any other term, covenant or condition herein contained, nor shall
any custom or practice which may grow up between the parties in the
administration of the term hereby be deemed a waiver of or in any way affect the
right of either party to insist upon the performance by the other party in
strict accordance with said terms. The subsequent acceptance of Rental hereunder
by Landlord shall not be deemed to be a waiver of any preceding breach by Tenant
of any term, covenant or condition of this Lease, other than the failure of
Tenant to pay the particular Rental so accepted, regardless of Landlord's
knowledge of such preceding breach at the time of acceptance of such Rental.

                             31.  OPTION TO RENEW

    Tenant is hereby granted the option to extend the term of this Lease for two
(2) five (5) year periods, hereinafter referred to a the "First Extended Term"
and the "Second Extended Term", respectively, by giving notice of exercise of
the option ("Option Notice") to Landlord at least six (6) months, but not more
than one (1) year, before the expiration of the Basic Term or the First Extended
Term, as the case may be; provided, however, that if Tenant is in default on the
date of giving any such Option Notice, or if any event has occurred that but for
the passage of time or the giving of notice, or both, would constitute a
material default, the Option Notice shall be totally ineffective, and provided
further, that if Tenant is in default or if any event has occurred that but for
the passage of time or the giving of notice, or both, would constitute a
default, on the date that the First Extended Term or the Second Extended Term
(collectively the "Extended Terms") would otherwise commence, at Landlord's
option, such Extended Term shall not commence and this Lease shall expire at the
end of the Basic Term, or at the end of the First Extended Term, as the case may
be. In the event Tenant gives notice of exercise of option, which notice is
ineffective for any reason stated herein, Landlord shall provide Tenant with
prompt written notice of rejection of such notice of exercise of option. Tenant
shall have no other right to extend the term beyond the Second Extended Term
described herein. During the Extended Terms all of the terms and provisions
contained herein shall apply except that commencing at the beginning of each
Extended Term, the Annual Basic Rent shall be increased to an amount equal to
ninety-five percent (95%) of the fair market Rental ("FMR") for the Premises
unless Tenant elects to arbitrate the fair market rental, as set forth herein.
Landlord shall notify Tenant of the FMR within sixty (60) days after receipt of
Tenant's Option Notice. Tenant shall then have sixty (60) days following
Tenant's receipt of Landlord's determination of the FMR within which to confirm
or to revoke its election to renew the Lease. If Tenant fails to revoke its
election, Tenant's consent to FMR shall be deemed given and the Lease shall be
deemed extended. If Tenant elects arbitrate the issue of FMR, such dispute shall
be resolved by means of banding arbitration in accordance with the commercial
arbitration rules of the American Arbitration Association. Arbitration shall be
conducted by a sole M.A.I. appraiser appointed by the American Arbitration
Association. Landlord and Tenant shall split the cost of arbitration.
Thereafter, Rental shall be increased annually (the "Extended Term Adjustment
Date") based upon increases (if any) in the Index, but in no event shall the
increase be less than two percent (2%) or greater than six percent (6%). The
most recent Index in publication prior to the Extended Term, shall be the Base
Index. On each Extended Term Adjustment Date, the Annual Rental shall be
increased by a percentage equal to the percentage increase, if any, in the most
recent Index in publication prior to the Extended Term Adjustment Date (the
"Comparison Index") over the Base Index ("Adjusted Annual Rental"). When the
Adjusted Annual Rental payable as of each Extended Term Adjustment Date is
determined, Landlord shall give Tenant written notice of such Adjusted Annual
Rental and the manner in which it was computed.

                                     -23-
<PAGE>

                               32.  CONSTRUCTION

    (a)  Tenant shall submit plans and specifications for the installation of a
new roof and HVAC system at the premises and shall select the contractors to
perform such work, which will be subject to Landlord's approval. Landlord shall
contract with the contractors and will pay for the roof and HVAC installation up
to a combined total expenditure of $150,000. Any cost in excess of $150,000
shall be borne by Tenant.

    (b)  Landlord and Tenant agree that Tenant shall have the right to expand
the existing premises by approximately 20,000 feet. If Tenant makes such
election, Landlord and Tenant shall confer and negotiate with respect to the
terms and conditions of such expansion.

                   33.  RENT RETROACTIVE TO DECEMBER 1, 1994

    Tenant has been paying rent at the rate of $17,061.20 from 1/1/94 to
12/31/94 and $18,397.10 from 1/1/95 to 10/31/95 per month, which is in excess of
the rent provided for this Lease, which is to be effective December 1, 1994.
Tenant shall receive credit for the full amount of the excess rent paid from
December 1, 1994 through the present, and such credit shall be applied against
the next rent payments that become due.

                          34.  RULES AND REGULATIONS

    Neither Tenant nor any of Tenant's Employees shall at any time bring or keep
within the Premises or the Building any flammable, combustible or explosive
fluid, chemical substance, or material, except to the extent that the same may
be required for the use expressly permitted in the Lease for the Premises. To
the extent that flammable, combustible or explosive fluids, chemical substances
or materials are maintained by Tenant within the Premises, the quantities
maintained shall be reasonably limited and the manner of storage shall be that
which is appropriate under the circumstances to maintain the safety and well
being of the Premises, the Building and any individuals occupying either the
Premises or the Building. The manner of storage shall be subject to Landlord's
reasonable approval. Electric space heaters shall not be used at any time by
Tenant.

    Tenant shall faithfully observe and comply with the terms of any and all
covenants, conditions and restrictions recorded against the Property.

    The term Tenant shall be defined to include and encompass Tenant's
Employees and Tenant's contractors.

    IN WITNESS WHEREOF, the parties have executed this Lease as of the date
first above written.

    By execution hereof, each signatory certifies that this document has been
approved by the party for which he is signing, and that he is duly authorized to
execute this document on behalf of such party.

LANDLORD:                 RANCON INCOME FUND I,
                   a California limited partnership

                          Rancon Income Partners I, L.P.
                   -------------------------------------------------
                          Rancon Income Partners I, L.P.,
                          General Partner

                          By:      Glenborough Inland Realty Corporation
                                   a California Corporation,
                                   Its Attorney in Fact

                                   By: /s/ Sandra L. Boyle
                                      ------------------------------
                             Its:     Senior Vice President
                                      -----------------------------

                                     -24-
<PAGE>

   TENANT:         WAKEFIELD ENGINEERING, INC.
                   a Delaware corporation

                   By: /s/ Harry Chase
                      ------------------------------------------
                      President

                   Its:
                      -----------------------------------------
                      [Title]

                   By:
                      ------------------------------------------
                      [Type Name]

                   Its:
                      -----------------------------------------
                      [Title]

    PLEASE NOTE:  If Tenant is a corporation, the authorized officers must sign
on behalf of the corporation and indicate the capacity in which they are
signing.  The Lease must be executed by the president or vice-president and the
secretary or assistant secretary, unless the bylaws or a resolution of the board
of directors shall otherwise provide, in which event the bylaws or a certified
copy of the resolution, as the case may be, must be attached to this Lease.

                                     -25-<PAGE>

                                                                    Exhibit 10.9
                       STANDARD INDUSTRIAL LEASE -- NET

                  AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION

1.  Parties. This Lease, dated, for reference purposes only, September 1, 1993,
is made by and between B & K Investment Company (herein called "Lessor") and
Specialty Extrusions Limited (herein called "Lessee").

2.  Premises. Lessor hereby leases to Lessee and Lessee leases from Lessor for
the term, at the rental, and upon all of the conditions set forth herein, that
certain real property situated in the County of Orange State of California
commonly known as 801 South Acacia Avenue (Portion of larger) and described as
an approximately 15,000 square foot metal building and adjacent mobile office on
approximately one (1) acre of land as shown on Exhibit A attached hereto and
made a part hereof. Said real property including the land and all improvements
therein, is herein called "the Premises".

3.  Term.

    3.1  Term. The term of this Lease shall be for five (5) years commencing on
September 1, 1993 and ending on August 31, 1998 unless sooner terminated
pursuant to any provision hereof.

    3.2  Delay in Possession. Notwithstanding said commencement date, if for any
reason Lessor cannot deliver possession of the Premises to Lessee on said date,
Lessor shall not be subject to any liability therefor, nor shall such failure
affect the validity of this Lease or the obligations of Lessee hereunder or
extend the term hereof, but in such case, Lessee shall not be obligated to pay
rent until possession of the Premises is tendered to Lessee; provided, however,
that if Lessor shall not have delivered possession of the Premises within sixty
(60) days from said commencement date, Lessee may, at Lessee's option, by notice
in writing to Lessor within ten (10) days thereafter, cancel this Lease, in
which event the parties shall be discharged from all obligations hereunder;
provided further, however, that if such written notice of Lessee is not received
by Lessor within said ten (10) day period, Lessee's right to cancel this Lease
hereunder shall terminate and be of no further force or effect.

    3.3  Early Possession. If Lessee occupies the Premises prior to said
commencement date, such occupancy shall be subject to all provisions hereof,
such occupancy shall not advance the termination date, and Lessee shall pay rent
for such period at the initial monthly rates set forth below.

4.  Rent.  Lessee shall pay to Lessor as rent for the Premises, monthly payments
of $7,717.00, in advance, on the first day of each month of the term hereof.
Lessee shall pay Lessor upon the execution hereof $7,717.00 as rent for the
month of September, 1993. Rent for any period during the term hereof which is
for less than one month shall be a pro rata portion of the monthly installment.
Rent shall be payable in lawful money of the United States to Lessor at the
address stated herein or to such other persons or at such other places as Lessor
may designate in writing.

5.  Security Deposit. Lessee's $5,000.00 security deposit shall remain as
security for Lessee's faithful performance of Lessee's obligations hereunder. If
Lessee fails to pay rent or other charges due hereunder, or otherwise defaults
with respect to any provision of this Lease, Lessor may use, apply or retain all
or any portion of said deposit for the payment of any rent or other charge in
default or for the payment of any other sum to which Lessor may become obligated
by reason of Lessee's default, or to compensate Lessor for any loss or damage
which Lessor may suffer thereby. If Lessor so uses or applies all or any portion
of said deposit Lessee shall within ten (10) days after written demand therefor
deposit cash with Lessor in an amount sufficient to restore said deposit to the
full amount hereinabove stated and Lessee's failure to do so shall be a
<PAGE>

material breach of this Lease. If the monthly rent shall, from time to time,
increase during the term of this Lease, Lessee shall thereupon deposit with
Lessor additional security deposit so that the amount of security deposit held
by Lessor shall at all times bear the same proportion to current rent as the
original security deposit bears to the original monthly rent set forth in
paragraph 4 hereof. Lessor shall not be required to keep said deposit separate
from its general accounts. If Lessee performs all of Lessee's obligations
hereunder, said deposit, or so much thereof as has not theretofore been applied
by Lessor, shall be returned, without payment of interest or other increment for
its use, to Lessee (or, at Lessor's option, to the last assignee, if any, of
Lessee's interest hereunder) at the expiration of the term hereof, and after
Lessee has vacated the Premises. No trust relationship is created herein between
Lessor and Lessee with respect to said Security Deposit.

6.  Use.

    6.1  Use. The Premises shall be used and occupied only for aluminum
extrusion and related legal activities or any other use which is reasonably
comparable and for no other purpose.

    6.2  Compliance with Law.

    (a) Lessor warrants to Lessee that the Premises, in its state existing on
the date that the Lease term commences, but without regard to the use for which
Lessee will use or has used the Premises, does not violate any covenants or
restrictions of record, or any applicable building code, regulation or ordinance
in effect on such Lease term commencement date. In the event it is determined
that this warranty has been violated, then it shall be the obligation of the
Lessor, after written notice from Lessee, to promptly, at Lessor's sole cost and
expense, rectify any such violation. In the event Lessee does not give to Lessor
written notice of violation of this warranty within six months from the date
that the Lease term commences, the correction of same shall be the obligation of
the Lessee at Lessee's sole cost. The warranty contained in this paragraph 6.2
(a) shall be of no force or effect if, prior to the date of this Lease, Lessee
was the owner or occupant of the Premises, and, in such event, Lessee shall
correct any such violation at Lessee's sole cost.

    (b) Except as provided in paragraph 6.2(a), Lessee shall, at Lessee's
expense, comply promptly with all applicable statutes, ordinances, rules,
regulations, orders, covenants and restrictions of record, and requirements in
effect during the term or any part of the term hereof, regulating the use by
Lessee of the Premises. Lessee shall not use nor permit the use of the Premises
in any manner that will tend to create waste or a nuisance or, if there shall be
more than one tenant in the building containing the Premises, shall tend to
disturb such other tenants.

    6.3  Condition of Premises.

    (a)  Lessor shall deliver the Premises to Lessee clean and free of debris on
lease commencement date (unless Lessee is already in possession) and Lessor
further warrants to Lessee that the plumbing, lighting, air conditioning,
heating, and loading doors in the Premises shall be in good operating condition
on the Lease commencement date. In the event that it is determined that this
warranty has been violated, then it shall be the obligation of Lessor, after
receipt of written notice from Lessee setting forth with specificity the nature
of the violation, to promptly, at Lessor's sole cost, rectify such violation.
Lessee's failure to give such written notice to Lessor within thirty (30) days
after the Lease commencement date shall cause the conclusive presumption that
Lessor has complied with all of Lessor's obligations hereunder. The warranty
contained in this paragraph 6.3(a) shall be of no force or effect if prior to
the date of this Lease, Lessee was the owner or occupant of the Premises.

    (b) Except as otherwise provided in this Lease, Lessee hereby accepts the
Premises in their condition existing as of the Lease commencement date or the
date that Lessee takes possession of the Premises, whichever is earlier, subject
to all applicable

                                       2
<PAGE>

zoning, municipal, county and state laws, ordinances and regulations governing
and regulating the use of the Premises, and any covenants or restrictions of
record and accepts this Lease subject thereto and to all matters disclosed
thereby and by any exhibits attached hereto. Lessee acknowledges that neither
Lessor nor Lessor's agent has made any representation or warranty as to the
present or future suitability of the Premises for the conduct of Lessee's
business.

    7.  Maintenance, Repairs and Alterations.

    7.1  Lessee's Obligations. Lessee shall keep in good order, condition and
repair the Premises and every part thereof, structural and non structural,
(whether or not such portion of the Premises requiring repair, or the means of
repairing the same are reasonably or readily accessible to Lessee, and whether
or not the need for such repairs occurs as a result of Lessee's use, any prior
use, the elements or the age of such portion of the Premises) including, without
limiting the generality of the foregoing, all plumbing, heating, air
conditioning, (Lessee shall procure and maintain, at Lessee's expense, an air
conditioning system maintenance contract) ventilating, electrical, lighting
facilities and equipment within the Premises, fixtures, walls (interior and
exterior), foundations, ceilings, roofs (interior and exterior), floors,
windows, doors, plate glass and skylights located within the Premises, and all
landscaping, driveways, parking lots, fences and signs located on the Premises
and sidewalks and parkways adjacent to the Premises.

    7.1.1  Toxic Waste Inspection. Lessee at Lessee's expense during the period
between ninety (90) and forty-five (45) days prior to the expiration of the
lease shall cause the premises to be inspected for toxic materials by a licensed
environmental inspection service approved in writing by Lessor and shall provide
Lessor with a written report issued by such a licensed environmental inspection
service showing the results of the inspection and a determination of what
corrective measures should be taken, if any, to eliminate such toxic materials,
if any, to the extent necessary to meet the standards set out in the federal,
state, county or municipal codes as to the presence of such materials. Lessee
agrees that at its own expense, it will have such corrective measures performed
and completed before the expiration of the lease.

    7.2  Surrender. On the last day of the term hereof, or on any sooner
termination, Lessee shall surrender the Premises to Lessor in the same condition
as when received, ordinary wear and tear expected, clean and free of debris.
Lessee shall repair any damage to the Premises occasioned by the installation or
removal of Lessee's trade fixtures, furnishings and equipment. Notwithstanding
anything to the contrary otherwise stated in this Lease, Lessee shall leave the
air lines, power panels, electrical distribution systems, lighting fixtures,
space heaters, air conditioning, plumbing and fencing on the premises in good
operating condition.

    7.3  Lessor's Rights. If Lease fails to perform Lessee's obligations under
this Paragraph 7, or under any other paragraph of this Lease, Lessor may at its
option (but shall not be required to) enter upon the Premises after ten (10)
days' prior written notice to Lessee (except in the case of any emergency, in
which case no notice shall be required), perform such obligations on Lessee's
behalf and put the same in good order, condition and repair, and the cost
thereof together with interest thereon at the maximum rate then allowable by law
shall become due and payable as additional rental to Lessor together with
Lessee's next rental installment.

    7.4  Lessor's Obligations. Except for the obligations of Lessor under
Paragraph 6.2(a) and 6.3(a) (relating to Lessor's warranty), Paragraph 9
(relating to destruction of the Premises) and under Paragraph 14 (relating to
condemnation of the Premises), it is intended by the parties hereto that Lessor
have no obligations, in any manner whatsoever, to repair and maintain the

                                       3
<PAGE>

Premises nor the building located thereon nor the equipment therein, whether
structural or non structural, all of which obligations are intended to be that
of the Lessee under Paragraph 7.1 hereof. Lessee expressly waives the benefit of
any statute now or hereinafter in effect which would otherwise afford Lessee the
right to make repairs at Lessor's expense or to terminate this Lease because of
Lessor's failure to keep the premises in good order, condition and repair.

    7.5  Alterations and Additions.

    (a) Lessee shall not, without Lessor's prior written consent make any
alterations, improvements, additions, or Utility Installations in, on or about
the Premises, except for nonstructural alterations not exceeding $2,500 in
cumulative costs during the term of this Lease. In any event, whether or not in
excess of $2,500 in cumulative cost, Lessee shall make no change or alteration
to the exterior of the Premises nor the exterior of the building(s) on the
Premises without Lessor's prior written consent. As used in this Paragraph 7.5
the term "Utility Installation" shall mean carpeting, window coverings, air
lines, power panels, electrical distribution systems, lighting fixtures, space
heaters, air conditioning, plumbing, and fencing. Lessor may require that Lessee
remove any or all of said alterations, improvements, additions or Utility
Installations at the expiration of the term, and restore the Premises to their
prior condition. Lessor may require Lessee to provide Lessor, at Lessee's sole
cost and expense, a lien and completion bond in an amount equal to one and one-
half times the estimated cost of such improvements, to insure Lessor against any
liability for mechanic's and materialmen's liens and to insure completion of the
work. Should Lessee make any alterations, improvements, additions or Utility
Installations without the prior approval of Lessor, Lessor may require that
Lessee remove any or all of the same.

    (b) Any alterations, improvements, additions or Utility Installations in, or
about the Premises that Lessee shall desire to make and which requires the
consent of the Lessor shall be presented to Lessor in written form, with
proposed detailed plans. If Lessor shall give its consent, the consent shall be
deemed conditioned upon Lessee acquiring a permit to do so from appropriate
governmental agencies, the furnishing of a copy thereof to Lessor prior to the
commencement of the work and the compliance by Lessee of all conditions of said
permit in a prompt and expeditious manner.

    (c) Lessee shall pay, when due, all claims for labor or materials furnished
or alleged to have been furnished to or for Lessee at or for use in the
Premises, which claims are or may be secured by any mechanics' or materialmen's
lien against the Premises or any interest therein. Lessee shall give Lessor not
less than ten (10) days' notice prior to the commencement of any work in the
Premises, and Lessor shall have the right to post notices of non-responsibility
in or on the Premises as provided by law. If Lessee shall, in good faith,
contest the validity of any such lien, claim or demand, then Lessee shall, at
its sole expense defend itself and Lessor against the same and shall pay and
satisfy any such adverse judgment that may be rendered thereon before the
enforcement thereof against the Lessor or the Premises, upon the condition that
if Lessor shall require, Lessee shall furnish to Lessor a surety bond
satisfactory to Lessor in an amount equal to such contested lien claim or demand
indemnifying Lessor against liability for the same and holding the Premises free
from the effect of such lien or claim. In addition, Lessor may require Lessee to
pay Lessor's attorneys fees and costs in participating in such action if Lessor
shall decide it is to its best interest to do so.

    (d) Unless Lessor requires their removal, as set forth in Paragraph 7.5(a),
all alterations, improvements, additions and Utility Installations (whether or
not such Utility Installations constitute trade fixtures of Lessee), which may
be made on the Premises, shall become the property of Lessor and remain upon and
be surrendered with the Premises at the expiration of the term.

                                       4
<PAGE>

Notwithstanding the provisions of this Paragraph 7.5(d), Lessee's machinery and
equipment, other than that which is affixed to the Premises so that it cannot be
removed without material damage to the Premises, shall remain the property of
Lessee and may be removed by Lessee subject to the provisions of Paragraph 7.2.

8.  Insurance Indemnity.

    8.1  Insuring Party. As used in this Paragraph 8, the term "insuring party"
shall mean the party who has the obligation to obtain the Property Insurance
required hereunder. The insuring party shall be designated in Paragraph 46
hereof. In the event Lessor is the insuring party, Lessor shall also maintain
the liability insurance described in paragraph 8.2 hereof, in addition to, and
not in lieu of, the insurance required to be maintained by Lessee under said
paragraph 8.2, but Lessor shall not be required to name Lessee as an additional
insured on such policy. Whether the insuring party is the Lessor or the Lessee,
Lessee shall, as additional rent for the Premises, pay the cost of all insurance
required hereunder, except for that portion of the cost attributable to Lessor's
liability insurance coverage in excess of $1,000,000 per occurrence. If Lessor
is the insuring party Lessee shall, within ten (10) days following demand by
Lessor, reimburse Lessor for the cost of the insurance so obtained.

    8.2  Liability Insurance. Lessee shall, at Lessee's expense obtain and keep
in force during the term of this Lease a policy of Combined Single Limit, Bodily
Injury and Property Damage insurance insuring Lessor and Lessee against any
liability arising out of the ownership, use, occupancy or maintenance of the
Premises and all areas appurtenant thereto. Such insurance shall be a combined
single limit policy in an amount not less than $500,000 per occurrence. The
policy shall insure performance by Lessee of the indemnity provisions of this
Paragraph 8. The limits of said insurance shall not, however, limit the
liability of Lessee hereunder.

    8.3  Property Insurance.

    (a) The insuring party shall obtain and keep in force during the term of
this Lease a policy or policies of insurance covering loss or damage to the
Premises, in the amount of the full replacement value thereof, as the same may
exist from time to time, which replacement value is now $1,000,000.00, but in no
event less than the total amount required by lenders having liens on the
Premises, against all perils included within the classification of fire,
extended coverage, vandalism, malicious mischief, flood (in the event same is
required by a lender having a lien on the Premises), and special extended perils
("all risk" as such term is used in the insurance industry). Said insurance
shall provide for payment of loss thereunder to Lessor or to the holders of
mortgages or deeds of trust on the Premises. The insuring party shall, in
addition, obtain and keep in force during the term of this Lease a policy of
rental value insurance covering a period of one year, with loss payable to
Lessor, which insurance shall also cover all real estate taxes and insurance
costs for said period. A stipulated value or agreed amount endorsement deleting
the coinsurance provision of the policy shall be procured with said insurance as
well as an automatic increase in insurance endorsement causing the increase in
annual property insurance coverage by 2% per quarter. If the insuring party
shall fail to procure and maintain said insurance the other party may, but shall
not be required to, procure and maintain the same, but at the expense of Lessee.
If such insurance coverage has a deductible clause, the deductible amount shall
not exceed $1,000 per occurrence, and Lessee shall be liable for such deductible
amount.

    (b) If the Premises are part of a larger building, or if the Premises are
part of a group of buildings owned by Lessor which are adjacent to the Premises,
then Lessee shall pay for any increase in the property insurance of such other
building or buildings if said increase is caused by Lessee's acts, omissions,
use or occupancy of the Premises.

    (c) If the Lessor is the insuring party the Lessor will not

                                       5
<PAGE>

insure Lessee's fixtures, equipment or tenant improvements unless the tenant
improvements have become a part of the Premises under paragraph 7, hereof. But
if Lessee is the insuring party the Lessee shall insure its fixtures, equipment
and tenant improvements.

    8.4  Insurance Policies. Insurance required hereunder shall be in companies
holding a "General Policyholders Rating" of at least B plus, or such other
rating as may be required by a lender having a lien on the Premises, as set
forth in the most current issue of "Best's Insurance Guide". The insuring party
shall deliver to the other party copies of policies of such insurance or
certificates evidencing the existence and amounts of such insurance with loss
payable clauses as required by this paragraph 8. No such policy shall be
cancelable or subject to reduction of coverage or other modification except
after thirty (30) days' prior written notice to Lessor. If Lessee is the
insuring party Lessee shall, at least thirty (30) days prior to the expiration
of such policies, furnish Lessor with renewals or "binders" thereof, or Lessor
may order such insurance and charge the cost thereof to Lessee, which amount
shall be payable by Lessee upon demand. Lessee shall not do or permit to be done
anything which shall invalidate the insurance policies referred to in Paragraph
8.3. If Lessee does or permits to be done anything which shall increase the cost
of the insurance policies referred to in Paragraph 8.3, then Lessee shall
forthwith upon Lessor's demand reimburse Lessor for any additional premiums
attributable to any act or omission or operation of Lessee causing such increase
in the cost of insurance. If Lessor is the insuring party, and if the insurance
policies maintained hereunder cover other improvements in addition to the
Premises, Lessor shall deliver to Lessee a written statement setting forth the
amount of any such insurance cost increase and showing in reasonable detail the
manner in which it has been computed.

    8.5  Waiver of Subrogation. Lessee and Lessor each hereby release and
relieve the other, and waive the entire right of recovery against the other for
loss or damage arising out of or incident to the perils insured against under
paragraph 8.3, which perils occur in, on or about the Premises, whether due to
the negligence of Lessor or Lessee or their agents, employees, contractors
and/or invitees. Lessee and Lessor shall, upon obtaining the policies of
insurance required hereunder, give notice to the insurance carrier or carriers
that the foregoing mutual waiver of subrogation is contained in this Lease.

    8.6  Indemnity. Lessee shall indemnify and hold harmless Lessor from and
against any and all claims arising from Lessee's use of the Premises, or from
the conduct of Lessee's business or from any activity, work or things done,
permitted or suffered by Lessee in or about the Premises or elsewhere and shall
further indemnify and hold harmless Lessor from and against any and all claims
arising from any breach or default in the performance of any obligation on
Lessee's part to be performed under the terms of this Lease, or arising from any
negligence of the Lessee, or any of Lessee's agents, contractors, or employees,
and from and against all costs, attorney's fees, expenses and liabilities
incurred in the defense of any such claim or any action or proceeding brought
thereon; and in case any action proceeding be brought against Lessor be reason
of any such claim, Lessee upon notice from Lessor shall defend the same at
Lessee's expense by counsel satisfactory to Lessor. Lessee, as a material part
of the consideration to Lessor, hereby assume all risk of damage to property or
injury to persons, in, upon or about the Premises arising from any cause and
Lessee hereby waives all claims in respect thereof against Lessor.

    8.7  Exemption of Lessor from Liability. Lessee hereby agrees that Lessor
shall not be liable for injury to Lessee's business or any loss of income
therefrom or for damage to the goods, wares, merchandise or other property of
Lessee, Lessee's employees, invitees, customers, or any other person in or about
the Premises, nor shall Lessor be liable for injury to the person of Lessee,
Lessee's employees, agents or contractors, whether such

                                       6
<PAGE>

damage or injury is caused by or results from fire, steam, electricity, gas,
water or rain, or from the breakage, leakage, obstruction or other defects of
pipes, sprinklers, wires, appliances, plumbing, air conditioning or lighting
fixtures, or from any other cause, whether the said damage or injury results
from conditions arising upon the Premises or upon other portions of the building
of which the Premises are a part, or from other sources or places and regardless
of whether the cause of such damage or injury or the means of repairing the same
is inaccessible to Lessee. Lessor shall not be liable for any damages arising
from any act or neglect of any other tenant, if any, of the building in which
the Premises are located.

9.  Damage of Destruction.

    9.1  Definitions.

    (a) "Premises Partial Damage" shall herein mean damage or destruction to the
Premises to the extent that the cost of repair is less than 50% of the then
replacement cost of the Premises. "Premises Building Partial Damage" shall
herein mean damage or destruction to the building of which the Premises are a
part to the extent that the cost of repair is less than 50% of the then
replacement cost of such building as a whole.

    (b) "Premises Total Destruction" shall herein mean damage or destruction to
the Premises to the extent that the cost of repair is 50% or more of the then
replacement cost of the Premises. "Premises Building Total Destruction" shall
herein mean damage or destruction to the building of which the Premises are a
part to the extent that the cost of repair is 50% or more of the then
replacement cost of such building as a whole.

    (c) "Insured Loss" shall herein mean damage or destruction which was caused
by an event required to be covered by the insurance described in paragraph 8.

    9.2  Partial Damage -- Insured Loss. Subject to the provisions of paragraphs
9.4, 9.5, and 9.6, if at anytime during the term of this Lease there is damage
which is an Insured Loss and which fails into the classification of Premises
Partial Damage or Premises Building Partial Damage, then Lessor shall, at
Lessor's expense, repair such damage, but not Lessee's fixtures, equipment or
tenant improvements unless the same become a part of the Premises pursuant to
Paragraph 7.5 hereof as soon as reasonably possible and this Lease shall
continue in full force and effect. Notwithstanding the above, if the Lessee is
the insuring party, and if the insurance proceeds received by Lessor are not
sufficient to effect such repair, Lessor shall give notice to Lessee of the
amount required in addition to the insurance proceeds to effect such repair.
Lessee shall contribute the required amount to Lessor within ten days after
Lessee has received notice from Lessor of the shortage in the insurance. When
Lessee shall contribute such amount to Lessor, Lessor shall make such repairs as
soon as reasonably possible and this Lease shall continue in full force and
effect. Lessee shall in no event have any right to reimbursement for any such
amounts so contributed.

    9.3  Partial Damage -- Uninsured Loss. Subject to the provisions of
Paragraphs 9.4, 9.5 and 9.6, at any time during the term of this Lease there is
damage which is not an Insured Loss and which falls within the classification of
Premises Partial Damage or Premises Building Partial Damage, unless caused by a
negligent or willful act of Lessee (in which event Lessee shall make the repairs
at Lessee's expense). Lessor may at Lessor's option either (i) repair such
damage as soon as reasonably possible at Lessor's expense, in which event this
Lease shall continue in full force and effect, or (ii) give written notice to
Lessee within thirty (30) days after the date of the occurrence of such damage
of Lessor's intention to cancel and terminate this Lessee, as of the date of the
occurrence of such damage. In the event Lessor elects to give such notice of
Lessor's intention to cancel and terminate this Lease, Lessee shall have the
right within ten (10) days after the receipt of such notice to give

                                       7
<PAGE>

written notice to Lessor of Lessee's intention to repair such damage at Lessee's
expense, without reimbursement from Lessor, in which event this Lease shall
continue in full force and effect, and Lessee shall proceed to make such repairs
as soon as reasonably possible. If Lessee does not give such notice within such
10-day period this Lease shall be canceled and terminated as of the date of the
occurrence of such damage.

    9.4  Total Destruction. If at any time during the term of this Lease there
is damage, whether or not an Insured Loss (including destruction required by any
authorized public authority), which falls into the classification of Premises
Total Destruction or Premises Building Total Destruction, this lease shall
automatically terminate as of the date of such total destruction.

    9.5  Damage Near End of Term.

    (a) If at any time during the last six months of the term of this Lease
there is damage, whether or not an Insured Loss, which falls within the
classification of Premises Partial Damage, Lessor may at Lessor's option cancel
and terminate this Lease as of the date of occurrence of such damage by giving
written notice to Lessee of Lessor's election to do so within 30 days after the
date of occurrence of such damage.

    (b) Notwithstanding paragraph 9.5(a), in the event that Lessee has an option
to extend or renew this Lease, and the time within which said option may be
exercised has not yet expired, Lessee shall exercise such option, if it is to be
exercised at all, no later than 20 days after the occurrence of an Insured Loss
falling within the classification of Premises Partial Damage during the last six
months of the term of this Lease. If Lessee duly exercises such option during
said 20 day period, Lessor shall, at Lessor's expense, repair such damage as
soon as reasonably possible and this Lease shall continue in full force and
effect. If Lessee fails to exercise such option during said 20 day period, then
Lessor may at Lessor's option terminate and cancel this Lease as of the
expiration of said 20 day period by giving written notice to Lessee of Lessor's
election to do so within 10 days after the expiration of said 20 day period,
notwithstanding any term or provision in the grant of option to the contrary.

    9.6  Abatement of Rent; Lessee's Remedies.

    (a) In the event of damage described in paragraphs 9.2 or 9.3, through no
fault of Lessee, and Lessor or Lessee repairs or restores the Premises pursuant
to the provisions of this Paragraph 9, the rent payable hereunder for the period
during which such damage, repair or restoration continues shall be abated in
proportion to the degree to which Lessee's use of the Premises is impaired.
Except for abatement of rent, if any, Lessee shall have no claim against Lessor
for any damage suffered by reason of any such damage, destruction, repair or
restoration.

     (b) If Lessor shall be obligated to repair or restore the Premises under
the provisions of this Paragraph 9 and shall not commence such repair or
restoration within 90 days after such obligations shall accrue, Lessee may at
Lessee's option cancel and terminate this Lease by giving Lessor written notice
of Lessee's election to do so at any time prior to the commencement of such
repair or restoration. In such event this Lease shall terminate as of the date
of such notice.

    9.7  Termination -- Advance Payments. Upon termination of this Lease
pursuant to this Paragraph 9, an equitable adjustment shall be made concerning
advance rent and any advance payments made by Lessee to Lessor. Lessor shall, in
addition, return to Lessee so much of Lessee's security deposit as has not
theretofore been applied by Lessor.

    9.8  Waiver. Lessor and Lessee waive the provisions of any statutes which
relate to termination of lease when leased property is destroyed and agree that
such event shall be governed by the terms of this Lease.

10.  Real Property Taxes.

    10.1  Payment of Taxes. Lessee shall pay the real property tax

                                       8
<PAGE>

as defined in paragraph 10.2, applicable to the Premises during the term of this
Lease. All such payments shall be made at least ten (10) days prior to the
delinquency date of such payment. Lessee shall promptly furnish Lessor with
satisfactory evidence that such taxes have been paid. If any such taxes paid by
Lessee shall cover any period of time prior to or after the expiration of the
term hereof, Lessee's share of such taxes shall be equitably prorated to cover
only the period of time within the tax fiscal year during which this Lease shall
be in effect and Lessor shall reimburse Lessee to the extent required. If Lessee
shall fail to pay any such taxes, Lessor shall have the right to pay the same,
in which case Lessee shall repay such amount to Lessor with Lessee's next rent
installment together with interest at the maximum rate then allowable by law.

    10.2  Definition of "Real Property Tax". As used herein, the term "real
property tax" shall include any form of real estate tax or assessment, general,
special, ordinary or extraordinary and any license fee, commercial rental tax,
improvement bond or bonds, levy or tax (other than inheritance, personal income
or estate taxes) imposed on the Premises by any authority having the direct or
indirect power to tax, including any city, state or federal government, or any
school, agricultural, sanitary, fire, street, drainage or other improvement
district thereof, as against any legal or equitable interest of Lessor in the
Premises or in the real property of which the Premises are a part, as against
Lessor's right to rent or other income therefrom, and as against Lessor's
business of leasing the Premises. The term "real property tax" shall also
include any tax, fee, levy, assessment or charge (i) in substitution of,
partially or totally, any tax, fee, levy, assessment or charge hereinabove
included within the definition of "real property tax," or (ii) the nature of
which was hereinbefore included within the definition of "real property tax," or
(iii) which is imposed for a service or right not charged prior to June 1, 1978,
or, if previously charged, has been increased since June 1, 1978, or (iv) which
is imposed as a result of a transfer, either partial or total, of Lessor's
interest in the Premises or which is added to a tax or charge hereinbefore
included within the definition of real property tax by reason of such transfer,
or (v) which is imposed by reason of this transaction, any modifications or
changes hereto, or any transfers hereof.

    10.3  Joint Assessment. If the Premises are not separately assessed,
Lessee's liability shall be an equitable proportion of the real property taxes
for all of the land and improvements included within the tax parcel assessed,
such proportion to be determined by Lessor from the respective valuations
assigned in the assessor's work sheets or such other information as may be
reasonably available. Lessor's reasonable determination thereof, in good faith,
shall be conclusive.

    10.4  Personal Property Taxes.

    (a) Lessee shall pay prior to delinquency all taxes assessed against and
levied upon trade fixtures, furnishings, equipment and all other personal
property of Lessee contained in the Premises or elsewhere. When possible, Lessee
shall cause said trade fixtures, furnishings, equipment and all other personal
property to be assessed and billed separately from the real property of Lessor.

    (b) If any of Lessee's said personal property shall be assessed with
Lessor's real property, Lessee shall pay Lessor the taxes attributable to Lessee
within 10 days after receipt of a written statement setting forth the taxes
applicable to Lessee's property.

    11.  Utilities. Lessee shall pay for all water, gas, heat, light, power,
telephone and other utilities and services supplied to the Premises, together
with any taxes thereon. If any such services are not separately metered to
Lessee, Lessee shall pay a reasonable proportion to be determined by Lessor of
all charges jointly metered with other Premises.

    12.  Assignment and Subletting.

    12.1 Lessor's Consent Required. Lessee shall not voluntarily

                                       9
<PAGE>

or by operation of law assign, transfer, mortgage, sublet, or otherwise transfer
or encumber all or any part of Lessee's interest in this Lease or in the
Premises, without Lessor's prior written consent, which Lessor shall not
unreasonably withhold. Lessor shall respond to Lessee's request for consent
hereunder in a timely manner and any attempted assignment, transfer, mortgage,
encumbrance or subletting without such consent shall be void, and shall
constitute a breach of this Lease.

    12.2  Lessee Affiliate. Notwithstanding the provisions of paragraph 12.1
hereof, Lessee may assign or sublet the Premises, or any portion thereof,
without Lessor's consent, to any corporation which controls, is controlled by or
is under common control with Lessee, or to any corporation resulting from the
merger or consolidation with Lessee, or to any person or entity which acquires
all the assets of Lessee as a going concern of the business that is being
conducted on the Premises, provided that said assignee assumes, in full, the
obligations of Lessee under this Lease. Any such assignment shall not, in any
way, affect or limit the liability of Lessee under the terms of this Lease even
if after such assignment or subletting the terms of this Lease are materially
changed or altered without the consent of Lessee, the consent of whom shall not
be necessary.

    12.3  No Release of Lessee. Regardless of Lessor's consent, no subletting or
assignment shall release Lessee of Lessee's obligation or alter the primary
liability of Lessee to pay the rent and to perform all other obligations to be
performed by Lessee hereunder. The acceptance of rent by Lessor from any other
person shall not be deemed to be a waiver by Lessor of any provision hereof.
Consent to one assignment or subletting shall not be deemed consent to any
subsequent assignment or subletting. In the event of default by any assignee of
Lessee or any successor of Lessee, in the performance of any of the terms
hereof, Lessor may proceed directly against Lessee without the necessity of
exhausting remedies against said assignee. Lessor may consent to subsequent
assignments or subletting of this Lease or amendments or modifications to this
Lease with assignees of Lessee, without notifying Lessee, or any successor of
Lessee, and without obtaining its or their consent thereto and such action shall
not relieve Lessee of liability under this Lease.

    12.4  Attorney's Fees. In the event Lessee shall assign or sublet the
Premises or request the consent of Lessor to any assignment or subletting or if
Lessee shall request the consent of Lessor for any act Lessee proposes to do
then Lessee shall pay Lessor's reasonable attorneys fees incurred in connection
therewith, such attorneys fees not to exceed $350.00 for each such request.

    13.  Defaults; Remedies.

    13.1  Defaults. The occurrence of any one or more of the following events
shall constitute a material default and breach of this Lease by Lessee:

    (a) The vacating or abandonment of the Premises by Lessee.

    (b) The failure by Lessee to make any payment of rent or any other payment
required to be made by Lessee hereunder, as and when due, where such failure
shall continue for a period of three days after written notice thereof from
Lessor to Lessee. In the event that Lessor serves Lessee with a Notice to Pay
Rent or Quit pursuant to applicable Unlawful Detainer statutes such Notice to
Pay Rent or Quit shall also constitute the notice required by this subparagraph.

    (c) The failure by Lessee to observe or perform any of the covenants,
conditions or provisions of this Lease to be observed or performed by Lessee,
other than described in paragraph (b) above, where such failure shall continue
for a period of 30 days after written notice hereof from Lessor to Lessee;
provided, however, that if the nature of Lessee's default is such that more than
30 days are reasonably required for its cure, then Lessee shall not be deemed to
be in default if Lessee commenced such cure within said 30-day period and
thereafter diligently prosecutes

                                       10
<PAGE>

such cure to completion.

    (d) (i) The making by Lessee of any general arrangement or assignment for
the benefit of creditors; (ii) Lessee becomes a "debtor" as defined in 11 U.S.C.
(S)101 or any successor statute thereto (unless, in the case of a petition filed
against Lessee, the same is dismissed within 60 days); (iii) the appointment of
a trustee or receiver to take possession of substantially all of Lessee's
asset's located at the Premises or of Lessee's interest in this Lease, where
possession is not restored to Lessee within 30 days; or (iv) the attachment,
execution or other judicial seizure of substantially all of Lessee's assets
located at the Premises or of Lessee's interest in this Lease, where such
seizure is not discharged within 30 days. Provided, however, in the event that
any provision of this paragraph 13.1(d) is contrary to any applicable law, such
provision shall be of no force or effect.

    (e) The discovery by Lessor that any financial statement given to Lessor by
lessee, any assignee of Lessee, any subtenant of Lessee, any successor in
interest of Lessee or any guarantor of Lessee's obligation hereunder, and any of
them, was materially false.

    13.2  Remedies. In the event of any such material default or breach by
Lessee, Lessor may at any time thereafter, with or without notice or demand and
without limiting Lessor in the exercise of any right or remedy which Lessor may
have by reason of such default or breach:

    (a) Terminate Lessee's right to possession of the Premises by any lawful
means, in which case this Lease shall terminate and Lessee shall immediately
surrender possession of the Premises to Lessor. In such event Lessor shall be
entitled to recover from Lessee all damages incurred by Lessor by reason of
Lessee's default including, but not limited to, the cost of recovering
possession of the Premises; expenses of reletting, including time of award by
the court having jurisdiction thereof of the amount by which the unpaid rent for
the balance of the term after the time of such award exceeds the amount of such
rental loss for the same period that Lessee proves could be reasonably avoided;
that portion of the leasing commission paid by Lessor pursuant to Paragraph 15
applicable to the unexpired term of this Lease.

    (b) Maintain Lessee's right to possession in which case this Lease shall
continue in effect whether or not Lessee shall have abandoned the Premises. In
such event Lessor shall be entitled to enforce all of Lessor's rights and
remedies under this Lease, including the right to recover the rent as it becomes
due hereunder.

    (c) Pursue any other remedy now or hereafter available to Lessor under the
laws or judicial decisions of the state wherein the Premises are located. Unpaid
installments of rent and other unpaid monetary obligations of Lessee under the
terms of this Lease shall bear interest from the date due at the maximum rate
then allowable by law.

    13.3  Default by Lessor. Lessor shall not be in default unless Lessor fails
to perform obligations required of Lessor within a reasonable time, but in no
event later than thirty (30) days after written notice by Lessee to Lessor and
to the holder of any first mortgage or deed of trust covering the Premises whose
name and address shall have theretofore been furnished to Lessee in writing,
specifying wherein Lessor has failed to perform such obligation; provided,
however, that if the nature of Lessor's obligation is such that more than thirty
(30) days are required for performance then Lessor shall not be in default if
Lessor commences performance within such 30-day period and thereafter diligently
prosecutes the same to completion.

    13.4  Late Charges. Lessee hereby acknowledges that late payment by Lessee
to Lessor of rent and other sums due hereunder will cause Lessor to incur costs
not contemplated by this Lease, the exact amount of which will be extremely
difficult to ascertain. Such costs include, but are not limited to, processing
and accounting charges, and late charges which may be imposed on Lessor by the
terms of any mortgage or trust deed covering the

                                       11
<PAGE>

Premises. Accordingly, if any installment of rent or any other sum due from
Lessee shall not be received by Lessor or Lessor's designee within ten (10) days
after such amount shall be due, then, without any requirement for notice to
Lessee, Lessee shall pay to Lessor a late charge equal to 6% of such overdue
amount. The parties hereby agree that such late charge represents a fair and
reasonable estimate of the costs Lessor will incur by reason of late payment by
Lessee. Acceptance of such late charge by Lessor shall in no event constitute a
waiver of Lessee's default with respect to such overdue amount, nor prevent
Lessor from exercising any of the other rights and remedies granted hereunder.
In the event that a late charge is payable hereunder, whether or not collected,
for three (3) consecutive installments of rent, then rent shall automatically
become due and payable quarterly in advance, rather than monthly,
notwithstanding paragraph 4 or any other provision of this Lease to the
contrary.

    13.5  Impounds. In the event that a late charge is payable hereunder,
whether or not collected, for three (3) installments of rent or any other
monetary obligation of Lessee under the terms of this Lease, Lessee shall pay to
Lessor, if Lessor shall so request, in addition to any other payments required
under this Lease, a monthly advance installment, payable at the same time as the
monthly rent, as estimated by Lessor, for real property tax and insurance
expenses on the Premises which are payable by Lessee under the terms of this
Lease. Such fund shall be established to insure payment when due, before
delinquency, of any or all such real property taxes and insurance premiums. If
the amounts paid to Lessor by Lessee under the provisions of this paragraph are
insufficient to discharge the obligation of Lessee to pay such real property
taxes and insurance premiums as the same become due, Lessee shall pay to Lessor,
upon Lessor's demand, such additional sums necessary to pay such obligations.
All moneys paid to Lessor under this paragraph may be intermingled with other
moneys of Lessor and shall not bear interest. In an event of a default in the
obligations of Lessee to perform under this Lease, then any balance remaining
from funds paid to Lessor under the provisions of this paragraph may, at the
option of Lessor, be applied to the payment of any monetary default of Lessee in
lieu of being applied to the payment of real property tax and insurance
premiums.

    14.  Condemnation. If the Premises or any portion thereof are taken under
the power of eminent domain, or sold under the threat of the exercise of said
power (all of which are herein called "condemnation"), this Lease shall
terminate as to the part so taken as of the date the condemning authority takes
title or possession, whichever first occurs. If more than 10% of the floor area
of the building on the Premises, or more than 25% of the land area of the
Premises which is not occupied by any building, is taken by condemnation, Lessee
may, at Lessee's option, to be exercised in writing only within ten (10) days
after Lessor shall have given Lessee written notice of such taking (or in the
absence of such notice, within ten (10) days after the condemnating authority
shall have taken possession) terminate this Lease as of the date the condemning
authority takes such possession. If Lessee does not terminate this Lease in
accordance with the foregoing, this Lease shall remain in full force and effect
as to the portion of the Premises remaining, except that the rent shall be
reduced in the proportion that the floor area of the building taken bears to the
total floor area of the building situated on the Premises. No reduction of rent
shall occur if the only area taken is that which does not have a building
located thereon. Any award for the taking of all or any part of the Premises
under the power of eminent domain or any payment made under threat of the
exercise of such power shall be the property of Lessor, whether such award shall
be made as compensation for diminution in value of the leasehold or for the
taking of the fee, or as severance damages; provided, however, that Lessee shall
be entitled to any award for loss of or damage to Lessee's trade fixtures and
removable personal property. In the event that this Lease is not terminated

                                       12
<PAGE>

by reason of such condemnation, Lessor shall to the extent of severance damages
received by Lessor in connection with such condemnation, repair any damage to
the Premises caused by such condemnation except to the extent that Lessee has
been reimbursed therefor by the condemning authority. Lessee shall pay any
amount in excess of such severance damages required to complete such repair.

15.  Broker's Fee.

    (a) Upon execution of this Lease by both parties, Lessor shall pay to Lee
and Associates Commercial Brokerage Company (John Sullivan) Licensed real estate
broker(s), a fee as set forth in a separate agreement between Lessor and said
broker(s), or in the event there is no separate agreement between Lessor and
said broker(s), the sum as agreed, for brokerage services rendered by said
broker(s) to Lessor in this transaction.

    (b) Lessor further agrees that if Lessee exercises any Option as defined in
paragraph 39.1 of this Lease, which is granted to Lessee under this Lease, or
any subsequently granted option which is substantially similar to an option
granted to Lessee under this Lease or if Lessee acquires any rights to the
Premises or other premises described in this Lease which are substantially
similar to what Lessee would have acquired had an Option herein granted to
Lessee been exercised, or if Lessee remains in possession of the Premises after
the expiration of the term of this Lease after having failed to exercise an
Option, or if said broker(s) are the procuring cause of any other lease or sale
entered into between the parties pertaining to the Premises and/or any adjacent
property in which Lessor has an interest, then as to any of said transactions,
Lessor shall pay said broker(s) a fee in accordance with the schedule of said
broker(s) in effect at the time of execution of this Lease.

    (c) Lessor agrees to pay said fee not only on behalf of Lessor but also on
behalf of any person, corporation, association, or other entity having an
ownership interest in said real property or any part thereof, when such fee is
due hereunder. Any transferee of Lessor's interest in this Lease, whether such
transfer is by agreement or by operation of law, shall be deemed to have assumed
Lessor's obligation under this Paragraph 15. Said broker shall be a third party
beneficiary of the provisions of this Paragraph 15.

16.  Estoppel Certificate.

    (a) Lessee shall at any time upon not less than ten (10) days prior written
notice from Lessor execute, acknowledge and deliver to Lessor a statement in
writing (i) certifying that this Lease is unmodified and in full force and
effect (or, if modified, stating the nature of such modification and certifying
that this Lease, so modified, is in full force and effect) and the date to which
the rent and other charges are paid in advance, if any, and (ii) acknowledging
that there are not, to Lessee's knowledge, any uncured defaults on the part of
Lessor hereunder, or specifying such defaults if any are claimed. Any such
statement may be conclusively relied upon by any prospective purchaser or
encumbrancer of the Premises.

    (b) At Lessor's option, Lessee's failure to deliver such statement within
such time shall be a material breach of this lease or shall be conclusive upon
Lessee (i) that this Lease is in full force and effect, without modification
except as may be represented by Lessor, (ii) that there are no uncured defaults
in Lessor's performance, and (iii) that not more than one month's rent has been
paid in advance or such failure may be considered by Lessor as a default by
Lessee under this Lease.

    (c) If Lessor desires to finance, refinance, or sell the Premises, or any
part thereof, Lessee hereby agrees to deliver to any lender or purchaser
designated by Lessor such financial statements of Lessee as may be reasonably
required by such lender or purchaser. Such statements shall include the past
three years' financial statements of Lessee. All such financial statements

                                       13
<PAGE>

shall be received by Lessor and such lender or purchaser in confidence and shall
be used only for the purposes herein set forth.

17.  Lessor's Liability. The term "Lessor" as used herein shall mean only the
owner or owners at the time in question of the fee title or a lessee interest in
a ground lease of the Premises, and except as expressly provided in Paragraph
15, in the event of any transfer of such title or interest, Lessor herein named
(and in case of any subsequent transfers then the grantor) shall be relieved
from and after the date of such transfer of all liability as respects Lessor's
obligations thereafter to be performed, provided that any funds in the hands of
Lessor or the then grantor at the time of such transfer, in which Lessee has an
interest, shall be delivered to the grantee. The obligations contained in this
Lease to be performed by Lessor shall, subject as aforesaid, be binding on
Lessor's successors and assigns, only during their respective periods of
ownership.

18.  Severability. The invalidity of any provision of this Lease as determined
by a court of competent jurisdiction, shall in no way affect the validity of any
other provision hereof.

19.  Interest on Past-due Obligations. Except as expressly herein provided, any
amount due to Lessor not paid when due shall bear interest at the maximum rate
then allowable by law from the date due. Payment of such interest shall not
excuse or cure any default by Lessee under this Lease, provided, however, that
interest shall not be payable on late charges incurred by Lessee nor on any
amounts upon which late charges are paid by Lessee.

20.  Time of Essence. Time is of the essence.

21.  Additional Rent. Any monetary obligations of Lessee to Lessor under the
terms of this Lease shall be deemed to be rent.

22.  Incorporation of Prior Agreements; Amendments. This Lease contains all
agreements of the parties with respect to any matter mentioned herein. No prior
agreement or understanding pertaining to any such matter shall be effective.
This Lease may be modified in writing only, signed by the parties in interest at
the time of the modification. Except as otherwise stated in this Lease, Lessee
hereby acknowledges that neither the real estate broker listed in Paragraph 15
hereof or any cooperating broker on this transaction nor the Lessor or any
employees or agents of any of said persons has made any oral or written
warranties or representations to Lessee relative to the condition or use by
Lessee of said Premises and Lessee acknowledges that Lessee assumes all
responsibility regarding the Occupational Safety Health Act, the legal use and
adaptability of the Premises and the compliance thereof with all applicable laws
and regulations in effect during the term of this Lease except as otherwise
specifically stated in this Lease.

23.  Notices. Any notice required or permitted to be given hereunder shall be in
writing and may be given by personal delivery or by certified mail, and if given
personally or by mail, shall be deemed sufficiently given if addressed to Lessee
or to Lessor at the address noted below the signature of the respective parties,
as the case may be. Either party may by notice to the other specify a different
address for notice purposes except that upon Lessee's taking possession of the
Premises, the Premises shall constitute Lessee's address for notice purposes. A
copy of all notices required or permitted to be given to Lessor hereunder shall
be concurrently transmitted to such party or parties at such addresses as Lessor
may from time to time hereafter designate by notice to Lessee.

24.  Waivers. No waiver by Lessor or any provison hereof shall be deemed a
waiver of any other provision hereof or of any

                                       14
<PAGE>

subsequent breach by Lessee of the same or any other provision. Lessor's consent
to, or approval of, any act shall not be deemed to render unnecessary the
obtaining of Lessor's consent to or approval of any subsequent act by Lessee.
The acceptance of rent hereunder by Lessor shall not be a waiver of any
preceding breach by Lessee of any provision hereof, other than the failure of
Lessee to pay the particular rent so accepted, regardless of Lessor's knowledge
of such preceding breach at the time of acceptance of such rent.

25.  Recording. Either Lessor or Lessee shall, upon request of the other,
execute, acknowledge and deliver to the other a "short form" memorandum of this
Lease for recording purposes.

26.  Holding Over. If Lessee, with Lessor's consent, remains in possession of
the Premises or any pad thereof after the expiration of the term hereof, such
occupancy shall be a tenancy from month to month upon all the provisions of this
Lease pertaining to the obligations of Lessee, but all options and rights of
first refusal, if any, granted under the terms of this Lease shall be deemed
terminated and be of no further effect during said month to month tenancy.

27.  Cumulative Remedies. No remedy or election hereunder shall be deemed
exclusive but shall, wherever possible, be cumulative with all other remedies at
law or in equity.

28.  Covenants and Conditions. Each provision of this Lease performable by
Lessee shall be deemed both a covenant and a condition.

29.  Binding Effect; Choice of Law. Subject to any provisions hereof restricting
assignment or subletting by Lessee and subject to the provisions of Paragraph
17, this Lease shall bind the parties, their personal representatives,
successors and assigns. This Lease shall be governed by the laws of the State
wherein the Premises are located.

30.  Subordination.

     (a) This Lease, at Lessor's option, shall be subordinate to any ground
lease, mortgage, deed of trust, or any other hypothecation or security now or
hereafter placed upon the real property of which the Premises are a part and to
any and all advances made on the security thereof and to all renewals,
modifications, consolidations, replacements and extensions thereof.
Notwithstanding such subordination, Lessee's right to quiet possession of the
Premises shall not be disturbed if Lessee is not in default and so long as
Lessee shall pay the rent and observe and perform all of the provisions of this
Lease, unless this Lease is otherwise terminated pursuant to its terms. If any
mortgage, trustee or ground lessor shall elect to have this Lease prior to the
lien of its mortgage, deed of trust or ground lease, and shall give written
notice thereof to Lessee, this Lease shall be deemed prior to such mortgage,
deed of trust, or ground lease, whether this Lease is dated prior or subsequent
to the date of said mortgage, deed of trust or ground lease or the date of
recording thereof.

    (b) Lessee agrees to execute any documents required to effectuate an
attornment, a subordination or to make the Lease prior to the lien of any
mortgage, deed of trust or ground lease, as the case may be. Lessee's failure to
execute such documents within 10 days after written demand shall constitute a
material default by Lessee hereunder, or, at Lessor's option, Lessor shall
execute such documents on behalf of Lessee as Lessee's attorney-in-fact. Lessee
does hereby make, constitute and irrevocably appoint Lessor as Lessee's
attorney-in-fact and in Lessee's name, place and stead, to execute such
documents in accordance with this paragraph 30(b).

                                       15
<PAGE>

31.  Attorney's Fees. If either party or the broker named herein brings an
action to enforce the terms hereof or declare rights hereunder, the prevailing
party in any such action, on trial or appeal, shall be entitled to his
reasonable attorney's fees to be paid by the losing party as fixed by the court.
The provisions of this paragraph shall inure to the benefit of the broker named
herein who seeks to enforce a right hereunder.

32.  Lessor's Access. Lessor and Lessor's agents shall have the right to enter
the Premises at reasonable times for the purpose of inspecting the same, showing
the same to prospective purchasers, lenders, or lessees, and making such
alterations, repairs, improvements or additions to the Premises or to the
building of which they are a part as Lessor may deem necessary or desirable.
Lessor may at any time place on or about the Premises any ordinary "For Sale"
signs and Lessor may at any time during the last 120 days of the term hereof
place on or about the Premises any ordinary "For Lease" signs, all without
rebate of rent or liability to Lessee.

33.  Auctions. Lessee shall not conduct, nor permit to be conducted, either
voluntarily or involuntarily, any auction upon the Premises without first having
obtained Lessor's prior written consent. Notwithstanding anything to the
contrary in this Lease, Lessor shall not be obligated to exercise any standard
of reasonableness in determining whether to grant such consent.

34.  Signs. Lessee shall not place any sign upon the Premises without Lessor's
prior written consent except that Lessee shall have the right, without the prior
permission of Lessor, to place ordinary and usual for rent or sublet signs
thereon.

35.  Merger. The voluntary or other surrender of this Lease by Lessee, or a
mutual cancellation thereof, or a termination by Lessor, shall not work a
merger, and shall, at the option of Lessor, terminate all or any existing
subtenancies or may, at the option of Lessor, operate as an assignment to Lessor
of any or all of such subtenancies.

36.  Consents. Except for paragraph 33 hereof, wherever in this Lease the
consent of one party is required to an act of the other party such consent shall
not be unreasonably withheld.

37.  Guarantor. In the event that there is a guarantor of this Lease, said
guarantor shall have the same obligations as Lessee under this Lease.

38.  Quiet Possession. Upon Lessee paying the rent for the Premises and
observing and performing all of the covenants, conditions and provisions on
Lessee's part to be observed and performed hereunder, Lessee shall have quiet
possession of the Premises for the entire term hereof subject to all of the
provisions of this Lease. The individuals executing this Lease on behalf of
Lessor represent and warrant to Lessee that they are fully authorized and
legally capable of executing this Lease on behalf of Lessor and that such
execution is binding upon all parties holding an ownership interest in the
Premises.

39.  Options.

    39.1  Definition. As used in this paragraph the word "Options" has the
following meaning: (1) the right or option to extend the term of this Lease or
to renew this Lease or to extend or renew any lease that Lessee has on other
property of Lessor; (2) the option or right of first refusal to lease the
Premises or the right of first offer to lease the Premises or the right of first
refusal to lease other property of Lessor or the right of first offer to lease
other property of Lessor; (3) the right or option to purchase the Premises, or
the right of first refusal to purchase the Premises, or the right of first offer
to purchase the

                                       16
<PAGE>

Premises or the right or option to purchase other property of Lessor, or the
right of first refusal to purchase other property of Lessor or the right of
first offer to purchase other property of Lessor.

    39.2  Options Personal. Each Option granted to Lessee in this Lease are
personal to Lessee and may not be exercised or be assigned, voluntarily or
involuntarily, by or to any person or entity other than Lessee, provided,
however, the Option may be exercised by or assigned to any Lessee Affiliate as
defined in paragraph 12.2 of this Lease. The Options herein granted to Lessee
are not assignable separate and apart from this Lease.

    39.3  Multiple Options. In the event that Lessee has any multiple options to
extend or renew this Lease a later option cannot be exercised unless the prior
option to extend or renew his Lease has been so exercised.

    39.4  Effect of Default on Options.

    (a) Lessee shall have no right to exercise an Option, notwithstanding any
provision in the grant of Option to the contrary, (i) during the time commencing
from the date Lessor gives to Lessee a notice of default pursuant to paragraph
13.1(b) or 13.1(c) and continuing until the default alleged in said notice of
default is cured or (ii) during the period of time commencing on the day after a
monetary obligation to Lessor is due from Lessee and unpaid (without any
necessity for notice thereof to Lessee) continuing until the obligation is paid,
or (iii) at any time after an event of default described in paragraphs 13.1(a),
13.1(d), or 13.1(e) (without any necessity of Lessor to give notice of such
default to Lessee), or (iv) in the event that Lessor has given to Lessee three
or more notices of default under paragraph 13.1(b), where a late charge has
become payable under paragraph 13.4 for each of such defaults, or paragraph
13.1(c), whether or not the defaults are cured, during the 12 month period prior
to the time that Lessee intends to exercise the subject Option.

    (b) The period of time within which an Option may be exercised shall not be
extended or enlarged by reason of Lessee's inability to exercise an Option
because of the provisions of paragraph 39.4(a).

    (c) All rights of Lessee under the provisions of an Option shall terminate
and be of no further force or effect, notwithstanding Lessee's due and timely
exercise of the Option, if, after such exercise and during the term of this
Lease, (i) Lessee fails to pay to Lessor a monetary obligation of Lessee for a
period of 30 days after such obligation becomes due (without any necessity of
Lessor to give notice thereof to Lessee), or (ii) Lessee fails to commence to
cure a default specified in paragraph 13.1(c) within 30 days after the date that
Lessor gives notice to Lessee of such default and/or Lessee fails thereafter to
diligently prosecute said cure to completion, or (iii) Lessee commits a default
described in paragraph 13.1(a), 13.1(d) or 13.1(e) (without any necessity of
Lessor to give notice of such default to Lessee), or (iv) Lessor gives to Lessee
three or more notices of default under paragraph 13.1(b), where a late charge
becomes payable under paragraph 13.4 for each such default, or paragraph
13.1(c), whether or not the defaults are cured.

40.  Multiple Tenant building. In the event that the Premises are part of a
larger building or group of buildings then Lessee agrees that it will abide by,
keep and observe all reasonable rules and regulations which Lessor may make from
time to time for the management, safety, care and cleanliness of the building
and grounds, the parking of vehicles and the preservation of good order therein
as well as for the convenience of other occupants and tenants of the building.
The violations of any such rules and regulations shall be deemed a material
breach of this Lease by Lessee..

41. Security Measures. Lessee hereby acknowledges that the rental

                                       17
<PAGE>

payable to Lessor hereunder does not include the cost of guard service or other
security measures, and that Lessor shall have no obligation whatsoever to
provide same. Lessee assumes all responsibility for the protection of Lessee,
its agents and invitees from acts of third parties.

42.  Easements. Lessor reserves to itself the right, from time to time, to grant
such easements, rights and dedications that Lessor deems necessary or desirable,
and to cause the recordation of Parcel Maps and restrictions, so long as such
easements, rights, dedications, Maps and restrictions do not unreasonably
interfere with the use of the Premises by Lessee. Lessee shall sign any of the
aforementioned documents upon request of Lessor and failure to do so shall
constitute a material breach of this Lease.

43.  Performance Under Protest. If at any time a dispute shall arise as to any
amount or sum of money to be paid by one party to the other under the provisions
hereof, the party against whom the obligation to pay the money is asserted shall
have the right to make payment "under protest" and such payment shall not be
regarded as a voluntary payment, and there shall survive the right on the part
of said party to institute suit for recovery of such sum. If it shall be
adjudged that there was no legal obligation on the part of said party to pay
such sum or any part thereof, said party shall be entitled to recover such sum
or so much thereof as it was not legally required to pay under the provisions of
this Lease.

44.  Authority. If Lessee is a corporation, trust, or general or limited
partnership, each individual executing this Lease on behalf of such entity
represents and warrants that he or she is duly authorized to execute and deliver
this Lease on behalf of said entity. If Lessee is a corporation, trust or
partnership, Lessee shall, within thirty (30) days after execution of this
Lease, deliver to Lessor evidence of such authority satisfactory to Lessor.

45.  Conflict. Any conflict between the printed provisions of this Lease and the
typewritten or handwritten provisions shall be controlled by the typewritten or
handwritten provisions.

46.  Insuring Party. The insuring party under this lease shall be the Lessee.

47.  Addendum. Attached hereto is an addendum or addenda containing
paragraphs 1, 2 and 3 which constitutes a part of this lease.

LESSOR AND LESSEE HAVE CAREFULLY READ AND REVIEWED THIS LEASE AND EACH TERM AND
PROVISION CONTAINED HEREIN AND, BY EXECUTION OF THIS LEASE, SHOW THEIR INFORMED
AND VOLUNTARY CONSENT THERETO. THE PARTIES HEREBY AGREE THAT, AT THE TIME THIS
LEASE IS EXECUTED, THE TERMS OF THIS LEASE ARE COMMERCIALLY REASONABLE AND
EFFECTUATE THE INTENT AND PURPOSE OF LESSOR AND LESSEE WITH RESPECT TO THE
PREMISES.

IF THIS LEASE HAS BEEN FILLED IN IT HAS BEEN PREPARED FOR SUBMISSION TO YOUR
ATTORNEY FOR HIS APPROVAL. NO REPRESENTATION OR RECOMMENDATION IS MADE BY THE
AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION OR BY THE REAL ESTATE BROKER OR ITS
AGENTS OR EMPLOYEES AS TO THE LEGAL SUFFICIENCY, LEGAL EFFECT, OR TAX
CONSEQUENCES OF THIS LEASE OR THE TRANSACTION RELATING THERETO; THE PARTIES
SHALL RELY SOLELY UPON THE ADVICE OF THEIR OWN LEGAL COUNSEL AS TO THE LEGAL AND
TAX CONSEQUENCES OF THIS LEASE.

                                       18
<PAGE>

The parties hereto have executed this Lease at the place on the dates specified
immediately adjacent to their respective signatures.

Executed at Fullerton, CA                  B & K Investment Company
on March 11, 1994
                                           By   /s/ Gordon Bagne
                                            -----------------------------------
                                                    Gordon Bagne
Address  801 S. Acacia Avenue
         Fullerton, CA 92631

                                           By   /s/ Robert Klinger
                                            -----------------------------------
                                                    Robert Klinger

                                           "LESSOR" (Corporate Seal)

Executed at SPECIALTY EXTRUSION, LTD.      Speciality Extrusions Limited
on March 11, 1994
                                           By
                                            ----------------------------------
                                                     Ronald Safer
Address  801 S. Acacia Avenue
         Fullerton, CA 92631               By    /s/ Walter M. Hastie
                                            ----------------------------------
                                                      Walter M. Hastie

                                           By    /s/ William Esparza
                                            -----------------------------
                                                     William Esparza

                                       19
<PAGE>

                                   GUARANTY

  THIS IS A GUARANTY by each of the undersigned (hereinafter referred to as
"Guarantor") to B & K Investment company (hereinafter referred to as "Lessor").

  Negotiations between Specialty Extrusions Limited (hereinafter referred to as
"Lessee"), and Lessor have culminated in the execution concurrently herewith, of
a Lease dated September 1, 1993 by and between Lessor and Lessee (hereinafter
referred to as the "Lease").

  In consideration of Lessor entering into the Lease, each Guarantor hereby
unconditionally guarantees to Lessor the full and prompt payment by Lessee of
all sums to be paid, expended and disbursed by Lessee and the full and prompt
performance of any of the other covenants and conditions of the Lease at the
times and in the manner and mode as provided by the Lease.

  This is a continuing Guaranty, and shall not be affected by any change,
modification, alteration, assignment, renewal, compromise, extension,
acceleration or supplement of the Lease or any part thereof. This Guaranty shall
be irrevocable throughout the term of the Lease and any extension thereof. No
act or omission on the part of Lessor and no agreement of any kind between
Lessor and Lessee shall in any manner or to any extent releases or change or
modify or affect the obligation and liability of each Guarantor.

  This Guaranty shall be an independent obligation of each Guarantor and is
independent of the obligation and liability of each Guarantor.

  This Guaranty shall be an independent obligation of each Guarantor and is
independent of the obligation and liabilities of Lessee. A separate action or
actions may be brought against Lessee and whether Lessee be joined in any such
action or actions. Each Guarantor waives all statutes of limitations affecting
his obligations or liabilities hereunder or the enforcement thereof.

  Each Guarantor expressly waives any and all demands and notices of every type,
nature, kind and description whatsoever to which such Guarantor might otherwise
be entitled by law, including, but not limited to, notice of acceptance hereof,
protests, presentment, notice of protest, notice of the incurring by Lessee of
obligations or liabilities, defaults, notice of default, or breach of non-
payment.

  Each Guarantor agrees to pay reasonable attorneys' fees and costs incurred by
Lessor in enforcing this Guaranty whether or not suit is brought.

  This Guaranty shall inure to the benefit of Lessor and shall be binding upon
each Guarantor and their respective heirs, administrators, executors, successors
and assigns.

Dated: March 11, 1994.

                             Guarantor: ____________________________________
                                               Ronald Safer

                                           /s/ Walter M. Hastie
                                       ------------------------------------
                                               Walter M. Hastie

                                          /s/ William Esparza
                                       ------------------------------------
                                              William Esparza

                                       20
<PAGE>

                                  ADDENDUM TO
                           STANDARD INDUSTRIAL LEASE

                            Dated September 1, 1993

                  By and Between B & K Investment Company and
                         Specialty Extrusions Limited

1   RENT ESCALATIONS

(a) At the commencement of the 7th month, 25th month and 43rd month respectively
of the Lease term, the monthly rent payable under paragraph 4 of the attached
Lease shall be adjusted by the increase, if any, from the date this lease
commenced, in the Consumer Price Index of the Bureau of Labor Statistics of the
U.S. Department of Labor for Urban Wage Earners and Clerical Workers, Los
Angeles-Long Beach-Anaheim, California (1967=100), "All Items", herein referred
to as "C.P.I."

(b) The monthly rent payable in accordance with paragraph (a) of the Addendum
shall be calculated as follows: the rent payable for the first month of the term
of this Lease, as set forth in paragraph 4 of the attached Lease, shall be
multiplied by a fraction, the numerator of which shall be C.P.I. of the month
immediately preceding the effective date of the subject rent escalation and the
denominator of which shall be the C.P.I. for the first month of the Lease term.
The sum so calculated shall constitute the new monthly rent hereunder, but, in
no event, shall such new monthly rent be less than the rent payable for the
month immediately preceding the date for rent adjustment. In no event shall this
increase amount to less than a 7-1/2 percent increase of the base amount, every
eighteen months.

(c) In the event the compilation and/or publication of the C.P.I. shall be
transferred to any other governmental department or bureau or agency or shall be
discontinued, then the index most nearly the same as the C.P.I. shall be used to
make such calculation. In the event that Lessor and Lessee cannot agree on such
alternative index, then the matter shall be submitted for decision to the
American Arbitration Association in accordance with the then rules of said
association and the decision of the arbitrators shall be binding upon the
parties. The cost of said Arbitrators shall be paid equally by Lessor and
Lessee.

                                       21
<PAGE>

                                  ADDENDUM TO

                           STANDARD INDUSTRIAL LEASE

                            Dated September 1, 1993

                    By and Between B & K Investment Company

                       and Specialty Extrusions Limited

2    OPTION TO EXTEND

A.   Lessor hereby grants to Lessee the option to extend the term of this Lease
for a 5 year period commencing when the prior term expires upon each and all of
the following terms and conditions:

     (i)  Lessee gives to Lessor and Lessor receives written notice of the
exercise of the option to extend this Lease for said additional term no earlier
than nine months and no later than six months prior to the time that the option
period would commence if the option were exercised, time being of the essence.
If said notification of the exercise of said option is not so given and
received, this option shall automatically expire;

     (ii) At the time said written notification of exercise of option is given
and received, Lessee shall not be in default under any of the material
obligation of this Lease to be performed by Lessee and this Lease shall not have
previously terminated nor terminated prior to the commencement of the option
term;

     (iii) All of the terms and conditions of this Lease except where
specifically modified by this option shall apply;

     (iv) The monthly rent for each month of the option period shall be
calculated in accordance with the preceding Rent Escalation's and renewal term
rental adjustments and shall be made at the commencement of the 61st month,
61st, 79th, 97th and 115th month, respectively.

                                       22
<PAGE>

                                  ADDENDUM TO

                           STANDARD INDUSTRIAL LEASE

                            Dated September 1, 1993

                    By and Between B & K Investment Company

                       and Specialty Extrusions Limited

3   OPTION FOR NEW OWNER TO TERMINATE

    In the event that Lessee sells and transfers the extrusion business being
conducted on the Premises to an unaffiliated third party then the new owner
shall have the option to terminate this lease on the anniversary of the transfer
date of the business by giving notice of the intention to terminate within
thirty days of the transfer date. This option to terminate the lease on the sale
of the business shall apply to Lessee's purchaser only and not to any subsequent
purchaser of the business.

                                       B & K INVESTMENT COMPANY
                                       --------------------------------------

                                       By    /s/ Gordon Bagne
                                       ------------------------------------
                                                 Gordon Bagne

                                       By    /s/ Robert Klinger
                                       ------------------------------------
                                                 Robert Klinger

                                                 "LESSOR"

                                       SPECIALTY EXTRUSION, LIMITED
                                       --------------------------------------

                                       By    /s/ Walter M. Hastie
                                       ------------------------------------
                                                 Walter M. Hastie

                                       By    /s/ William Esparza
                                       ------------------------------------
                                                 William Esparza

                                       23

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