Document:

LEASE

                         47TH AND 6TH ASSOCIATES L.L.C.

                                  as Landlord,

                                       to

                      AMERICAN HOME MORTGAGE HOLDINGS, INC.

                                    as Tenant

                             Date: December 8, 1999

                                    Premises:

                              114 West 47th Street

                            New York, New York 10036

Neither this draft lease, nor any other draft lease, nor any correspondence,
writings, communications or other documents delivered or exchanged between
Landlord and Tenant shall be deemed to be an offer or agreement to lease or to
enter into a lease, on the terms set forth herein or otherwise and no lease, or
agreement to lease, shall be binding on either party except and until as set
forth in Section 32.11 of this draft.

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                                TABLE OF CONTENTS

                                                                            Page

ARTICLE 1.  PREMISES; TERM.....................................................1

ARTICLE 2.  COMMENCEMENT OF TERM...............................................1

ARTICLE 3.  RENT...............................................................3

ARTICLE 4.  ADJUSTMENT OF RENT, ESCALATION.....................................5

ARTICLE 5.  USE...............................................................13

ARTICLE 6.  SERVICES AND EQUIPMENT............................................14

ARTICLE 7.  ELECTRIC..........................................................16

ARTICLE 8.  ASSIGNMENT, SUBLETTING, MORTGAGING................................19

ARTICLE 9.  SUBORDINATION, NON-DISTURBANCE, ESTOPPEL CERTIFICATE..............23

ARTICLE 10. ENTRY; RIGHT TO CHANGE
            PUBLIC PORTIONS OF THE BUILDING...................................25

ARTICLE 11. LAWS, ORDINANCES,
            REQUIREMENTS OF PUBLIC AUTHORITIES................................26

ARTICLE 12. REPAIRS...........................................................27

ARTICLE 13. ALTERATIONS; FIXTURES.............................................28

ARTICLE 14. LANDLORD'S RIGHT TO PERFORM TENANT'S OBLIGATIONS..................32

ARTICLE 15. NO LIABILITY OF LANDLORD..........................................32

ARTICLE 16. INSURANCE.........................................................34

ARTICLE 17. DAMAGE BY FIRE OR OTHER CAUSE.....................................35

ARTICLE 18. CONDEMNATION......................................................37

ARTICLE 19. BANKRUPTCY........................................................38

ARTICLE 20. DEFAULTS AND REMEDIES; WAIVER OF REDEMPTION.......................40

ARTICLE 21. COVENANT OF QUIET ENJOYMENT.......................................42

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ARTICLE 22. SURRENDER OF PREMISES.............................................42

ARTICLE 23. DEFINITION OF LANDLORD............................................43

ARTICLE 24. NOTICES...........................................................43

ARTICLE 25. ARBITRATION.......................................................44

ARTICLE 26. RULES AND REGULATIONS.............................................44

ARTICLE 27. BROKER............................................................45

ARTICLE 28. ZONING RIGHTS.....................................................45

ARTICLE 29. SECURITY DEPOSIT..................................................46

ARTICLE 30. WINDOW CLEANING...................................................48

ARTICLE 31. CONSENTS..........................................................48

ARTICLE 32. MISCELLANEOUS.....................................................49

ARTICLE 33. SUCCESSORS AND ASSIGNS............................................52

ARTICLE 34. HAZARDOUS MATERIALS...............................................52

ARTICLE 35. PARTNERSHIP TENANT................................................52

ARTICLE 36. SUBMISSION TO JURISDICTION........................................54

EXHIBIT A   FLOOR PLAN
EXHIBIT B   INTENTIONALLY OMITTED
EXHIBIT C   CLEANING SPECIFICATIONS
EXHIBIT D   RULES AND REGULATIONS
EXHIBIT D-1 RULES AND REGULATIONS FOR
            TENANT ALTERATIONS
EXHIBIT E   LIST OF APPROVED CONTRACTORS
EXHIBIT E-1 BUILDING STANDARDS
EXHIBIT F   LETTER OF CREDIT
EXHIBIT G   SAMPLE INSURANCE CERTIFICATE

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          INDENTURE OF LEASE, dated as of this ____ day of December, 1999,
between 47TH AND 6TH ASSOCIATES L.L.C., a New York limited liability company,
with offices at 1155 Avenue of the Americas, New York, New York 10036
(hereinafter referred to as "Landlord") and AMERICAN HOME MORTGAGE HOLDINGS,
INC., a Delaware corporation having offices at 12 East 49 Street, New York, New
York 10017 (hereinafter referred to as "Tenant").

                              W I T N E S S E T H:
                               - - - - - - - - - -

                                   ARTICLE 1.

                                 PREMISES; TERM
                                 --------------

          1.1   Landlord hereby leases to Tenant and Tenant hereby hires from
Landlord Room 1716-25 (as shown on the floor plans annexed hereto as Exhibit A
and made a part hereof) in the building known as 114 West 47th Street,
hereinafter called the "Building," in the Borough of Manhattan, City, County and
State of New York, (herein called the "Premises" or the "Demised Premises.")
Floor references are designated rental floor numbers, there being no rental
floor designated as the 13th floor.

          1.2    The Demised Premises are leased, together with the
appurtenances, including without limitation the right to use in common with
others, the lobbies, elevators and other public portions of the Building.

          TO HAVE AND TO HOLD unto Tenant, its successors and permitted assigns,
for the term to commence on a date (the "Commencement Date") which is the
earlier to occur of:

               (i)   the date Landlord's Work is Substantially Complete as
          provided in Section 2.1, or

              (ii)   the date Tenant or anyone claiming by, under or through
          Tenant shall first occupy any part of the Demised Premises for any
          purpose including the preparation of the same for Tenant's initial
          occupancy;

and shall end on November 30, 2006 ("Expiration Date") unless the term shall
terminate sooner pursuant to any of the terms of this Lease or pursuant to law,
YIELDING AND PAYING the rents and additional rents hereinafter set forth, all on
the covenants, conditions and agreements hereinbefore and hereinafter stated.

                                   ARTICLE 2.

                              COMMENCEMENT OF TERM
                              --------------------

               2.1    The term of this Lease and the payment of rent hereunder
shall commence on the Commencement Date. Landlord shall give Tenant ten (10)
days' prior written notice of the anticipated date of substantial completion of
the work to be performed by Landlord in the

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deemed substantially complete when Landlord has Substantially Completed (as
defined below) Landlord's Work.

          Landlord, at its sole cost and expense, shall perform the following
work in or to the Demised Premises in order to prepare the same for Tenant's
occupancy (collectively, "Landlord's Work"), using materials of
Building-standard quality, color and design:

               (i)  Paint the Demised Premises;

              (ii)  Remove the existing pantry, cabinets and appliances per the
          plan attached hereto as Exhibit B and install carpeting in the pantry
          area;

             (iii)  Steam clean the existing carpet;

              (iv)  Broom clean any other flooring; and

               (v)  Re-key locks on outer door.

          Landlord shall use reasonable efforts (without being obligated to
employ overtime labor or to incur any extraordinary expenses in connection
therewith, and subject to delays caused by Tenant or by force majeure) to
complete Landlord's Work in a timely manner. Tenant acknowledges, however, that
the performance by Landlord of Landlord's Work may disturb Tenant's quiet
enjoyment of, and access to, the Demised Premises. Tenant hereby accepts such
conditions as modifications and limitations on its right to use the Demised
Premises and hereby waives any and all claims for damages to its property or its
business which may be caused by the effects of any such work.

          If there is a delay in the Substantial Completion of Landlord's Work,
or any portion thereof, due to (a) any act or omission of Tenant, its
contractors, sub-contractors, architects, space designers, agents or employees,
including, without limitation, delays due to changes in Landlord's Work, or any
other work to be done by Landlord or delays in submission of information,
approving working drawings or estimates or giving authorizations or approvals,
(b) any additional time for completion of such work which may be required
because of the inclusion in such work of any work which may hereinafter be
referred to in this Lease as "Additional Work" or (c) the noncompletion by
Landlord of any work, whether in connection with the layout or finish of the
Demised Premises or otherwise, which Landlord is not required to do by the terms
hereof until after the Commencement Date; then Landlord's Work, or such portion,
shall be deemed Substantially Complete on the date when Landlord's Work or such
portion would have been Substantially Complete but for such delay even though
work to be done by Landlord has not been commenced or completed. Any additional
cost to Landlord to complete Landlord's Work occasioned by such delay shall be
paid as additional rent upon demand. For the purposes of the preceding sentence
"additional cost to Landlord" shall mean the total cost incurred in excess of
the aggregate cost which Landlord would have incurred to complete Landlord's
Work if there had been no such delay.

          2.2    The taking of possession of the Demised Premises shall be
deemed an acceptance of the same by Tenant and shall be deemed Substantial
Completion by Landlord of all of Landlord's Work for the purposes of determining
the Commencement Date.  For the

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purposes of this Article, the work to be done by Landlord shall be deemed
"Substantially Complete" even though minor details or adjustments which shall
not materially interfere with Tenant's use and occupancy of the Demised Premises
may not then have been completed, but which work Landlord agrees, will
thereafter be completed. In the event that there shall be any such minor details
or adjustments in connection with Landlord's Work (collectively, "Punch List
Items"), Tenant shall give written notice to Landlord of such Punch List Items
within twenty (20) days after the Commencement Date. Landlord shall use
reasonable efforts (without being obligated to employ overtime labor or to incur
any extraordinary costs in connection therewith) to complete such Punch List
Items within thirty (30) business days after Landlord's receipt of such notice.
Landlord shall have no obligation to perform any work in the Demised Premises
other than Landlord's Work.

          2.3    Promptly after the Commencement Date, Landlord and Tenant
will execute an agreement in recordable form, hereafter referred to as the
"Commencement Date Agreement" stating among other things the Commencement Date
and the Expiration Date of the term of this Lease. Tenant's failure or refusal
to sign the same shall in no event affect Landlord's designation of the
Commencement Date.

          2.4      Tenant expressly waives any right to rescind this Lease under
Section 223-a of the New York Real Property Law or under any present or future
statute of similar import then in force and further expressly waives the right
to recover any damages, direct or indirect, which may result from Landlord's
failure to deliver possession of the Demised Premises on the Commencement Date.
The Commencement Date shall not be postponed or delayed by reason of or arising
out of delays occasioned by Tenant as described herein. Tenant agrees that the
provisions of this Article and Article 3 are intended to constitute "an express
provision to the contrary" within the meaning of said Section 223-a.

                                   ARTICLE 3.

                                      RENT
                                      ----

          3.1    During the term of this Lease, Tenant covenants and agrees to
pay to Landlord a fixed minimum rent, inclusive of electricity (the "Fixed
Rent") in lawful money of the United States, at an annual rate of:

               (i)  Three Hundred Seventy Thousand Three Hundred and 00/100
          Dollars ($370,300.00) per annum ($30,858.33 per month) from the
          Commencement Date until and including the last day of the month in
          which occurs the day preceding the third (3rd) anniversary of the
          Commencement Date; and

               (ii)  Three Hundred Eighty Four Thousand Three Hundred and 00/100
          Dollars ($384,300.00) Dollars per annum ($32,025.00 per month) from
          the first day of the month following the month in which occurs the day
          preceding the third (3rd) anniversary of the Commencement Date and the
          Expiration Date.

          Fixed Rent shall be payable in equal monthly installments in advance
on the first day of each month during the term of this Lease at the office of
Landlord or such other place as

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Landlord may designate, without any setoff or deduction whatsoever (except as
otherwise expressly set forth herein), the first installment to be paid on the
delivery of this Lease. All Fixed Rent and additional rent payable under this
Lease shall be paid by check of Tenant drawn on a bank which is a member of the
New York Clearing House Association. Failure to pay rent by such a check shall
be deemed a material default by Tenant under this Lease.

          3.2.   All adjustments of rent, costs, charges and expenses which
Tenant assumes, agrees or is obligated to pay to Landlord pursuant to this Lease
shall be deemed additional rent which Tenant covenants to pay when due. In the
event of nonpayment, Landlord shall have all the rights and remedies with
respect thereto as is herein provided for in case of nonpayment of Fixed Rent.
All rent shall be payable by Tenant to Landlord without offset, reduction,
counterclaim and/or deduction (except as otherwise expressly set forth herein).

          3.3.   If any of the rent payable under the terms of this Lease
shall be or become uncollectible, reduced or required to be refunded because of
any rent control, federal, state or local law, regulation, proclamation or other
legal requirement, Tenant shall enter into such agreement(s) and take such other
steps (without additional expense to Tenant) as Landlord may request and as may
be legally permissible to permit Landlord to collect the maximum rent which,
from time to time, during the continuance of such legal rent restriction may be
legally permissible (and not in excess of the amounts then reserved therefor
under this Lease). Upon the termination of such legal rent restriction, (a) the
Fixed Rent and additional rent shall become and shall thereafter be payable in
accordance with the amounts reserved herein for the periods following such
termination and (b) Tenant shall promptly pay in full to Landlord, unless
expressly prohibited by law, an amount equal to (i) rentals which would have
been paid pursuant to this Lease but for such legal rent restriction less (ii)
the rent actually paid by Tenant during the period such legal rent restriction
was in effect.

          3.4.   If any installment of Fixed Rent or additional rent is not
paid within five (5) days of the date due, Tenant shall also pay Landlord
interest thereon from the due date until paid at 2% per annum above the then
published prime interest rate upon unsecured loans charged by Chemical Bank (or
The Chase Manhattan Bank, N.A. if Chemical Bank shall not then have an announced
prime rate) on loans of 90 days (herein such announced rate plus 2% per annum
being herein called the "Prime Rate"). The term "rents" shall include all Fixed
Rent, additional rent or other charges payable under this Lease, for nonpayment
of which Landlord shall have the same remedies as for a default in the payment
of Fixed Rent. If Tenant shall be more than ten days late in making any payment
due under this Lease more than three times in any twelve month period, Landlord
shall in addition to the remedies provided for in this Section 3.4, be entitled
to demand from Tenant, and Tenant agrees promptly to deposit with Landlord,
additional cash lease security in the amount of one month's then current annual
Fixed Rent, to be held and applied in accordance with the terms of Article 29
hereof

          3.5.   Anything to the contrary provided for hereinabove
notwithstanding, so long as Tenant shall not be in default of any of the terms
and provisions of this Lease beyond any applicable notice or grace periods,
Tenant shall have no obligation to pay a portion of the Fixed Rent provided for
hereinabove in the amount of $29,166.67 per month for that sixty (60) day period
of time commencing on the Commencement Date. Tenant shall, however, continue to
be obligated to pay the ERIF and any and all additional rent (including, but not
limited to, additional

                                      -4-
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rent payable under Article 4 and Article 7 hereof) and
other charges payable by Tenant hereunder in accordance with the terms of this
Lease commencing on the Commencement Date.

                                   ARTICLE 4.

                         ADJUSTMENT OF RENT, ESCALATION

          4.1.     The annual rental rate hereinbefore set forth shall be
adjusted from time to time as in this Article provided to reflect the decrease
or increase in Landlord's expenses incurred in operating the Building and Tenant
shall pay such rental, as adjusted pursuant to the provisions hereof, as
hereinbefore provided. Landlord shall have all of the rights and remedies for
Tenant's failure to make a payment under this Article as Landlord has for
Tenant's failure to pay Fixed Rent.

          A.      For the purposes of the Article:

          (1)      "Base Tax" shall mean the Taxes, as finally determined, for
the Base Tax Year.

          (2)      "Base Tax Year" shall mean the fiscal year July 1, 1999 to
June 30, 2000, inclusive.

          (3)      "Tax Year" shall mean each successive New York City real
estate fiscal year commencing on July 1st and expiring on June 30th. If the
present use of July 1 to June 30 real estate tax year shall change, then such
changed tax year shall be used with appropriate adjustment for the transition.

          (4)      "Taxes" shall mean (a) the product of the total assessed
valuation (all references in this Article to "assessed valuation" shall be
deemed to refer to the lesser of the so-called transitional value assessed
valuation and the actual assessed valuation) of the Land and Building of which
the Demised Premises are a part (without taking into consideration any
abatement, exemption and/or deferral because of the Industrial Commercial
Development Incentive Program ("ICIP") applicable to such Land and Building) for
any Tax Year multiplied by the applicable real estate tax rate for such Tax Year
plus (b) any assessments, special and extraordinary assessments, and government
levies imposed upon or with respect to the Land and Building (exclusive of any
ICIP deferrals) and (c) any franchise, income, profit, value added, use, or
other tax imposed in addition to, in whole or partial substitution for, or in
lieu of an increase (in whole or part) in such real estate taxes, whether due to
a change in the method of taxation or otherwise (exclusive of any ICIP
deferrals), it being understood and agreed that the portion of the Taxes so
computed under clause (a) above may be a different amount than the real estate
taxes actually payable by Landlord in any Tax Year because of the ICIP program.
Except as set forth in clause (c) above, Taxes shall not include (i) any taxes
on Landlord's income, (ii) franchise taxes, or (iii) estate or inheritance taxes
imposed upon Landlord. Provided that Tenant shall have paid Tenant's Percentage
of the Taxes in question in a timely manner, such Taxes shall exclude late fees
or penalties imposed upon Landlord as a result of Landlord's late payment of
such Taxes.

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          (5)      "Expense Year" shall mean the 2000 calendar year and each
subsequent calendar year.

          (6)      "Tenant's Percentage" shall mean for purposes of this Lease
and all calculations in connection therewith one and 25/100 percent (1.25%)
which has been computed on the basis of a fraction, the numerator of which is
the agreed rentable square foot area of the Demised Premises and the denominator
of which is the agreed rentable square foot area of the Building, both as set
forth below. The parties agree that the agreed rentable square foot area of the
Demised Premises shall be deemed to be 7,000 square feet, and that the agreed
rentable square foot area of the Building shall be deemed to be 561,352 square
feet.

          (7)      "Expense Base" shall mean the Expenses (as hereinafter
defined) for the 2000 Expense Year.

          (8)      "Expenses" shall mean the total of all the costs and
expenses incurred or borne by Landlord with respect to the operation and
maintenance of the Land and Building and all appurtenances thereto, and the
services provided to the tenants thereof, including, but not limited to, the
costs and expenses incurred for and with respect to: electricity (other than
electricity purchased by or for individual tenants for consumption in such
tenants' space); steam and any other fuel, water rates and sewer charges; air
conditioning, ventilation and heating; metal, elevator and elevator cab, lobby,
sidewalk and plaza maintenance; equipment, services and personnel for protection
and security; messenger service; lobby decoration and interior and exterior
landscape maintenance; sprinkler maintenance and alarm service; maintenance,
repairs, replacements, and improvements (except as otherwise expressly provided
below), which are appropriate for the continued operation of the Building as a
first-class office building in Manhattan; rental (or depreciation) of vacuums,
window washing rigs and other equipment used in cleaning and maintenance;
painting and decoration of non-tenant areas; cleaning and window washing
(interior and exterior) of the Building by contract or otherwise; garbage and
trash removal; premiums for fire and extended coverage insurance, special
extended coverage insurance, owner's protective insurance, and other casualty
insurance coverage, boiler and machinery insurance, sprinkler, apparatus
insurance, public liability and umbrella liability insurance, property damage
insurance, rent, or rental value insurance, plate glass insurance, environmental
peril insurance and any other insurance which Landlord may deem necessary or
which is required by the lessor under any superior lease and/or the holder of
any superior mortgage; supplies, wages, salaries, disability benefits, pensions,
hospitalization, retirement plans, and group insurance and other direct or
indirect expenses respecting employees of the Landlord and Landlord's
contractors up to and including the grade of building manager; uniforms and
working clothes for such employees and the cleaning thereof; expenses imposed on
Landlord pursuant to laws, orders, rules, regulations, and other legal
requirements or pursuant to any collective bargaining agreement with respect to
such employees; worker's compensation insurance, payroll, social security,
unemployment, and other similar taxes with respect to such employees; a
bookkeeper and an accountant; telephone and other Building office expenses;
professional and consulting fees, including legal and auditing fees; association
fees or dues; computer time; the expenses, including payments to attorneys,
experts and appraisers, incurred by Landlord in connection with any application,
proceeding or settlement wherein Landlord obtains or seeks to obtain reduction
or refund of Taxes; an annual fee for management of the Building in the sum of
$842,000. Said management fee shall be increased for each Expense

                                      -6-
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Year, by adding to $842,000 an amount equal to the product of $842,000 and the
percentage of increase in the Expenses for such Expense Year over the Base
Expense, both exclusive of such management fees.

          Expenses shall exclude or have deducted from them, as the case may be
and as shall be appropriate:

                (i) leasing commissions;

                (ii) salaries of personnel above the grade of building manager
        (except for personnel employed by Landlord or by any parent, affiliate,
        subsidiary or successor of Landlord (collectively, "Landlord Entities")
        which provides services typically performed by a third party in first
        class office buildings such as cleaning, security and messenger services
        to the Building and/or other buildings owned by Landlord or other
        Landlord Entities (provided that the cost of such services, including
        the salaries, fringe benefits, payroll taxes, and other compensation for
        such personnel, does not exceed competitive market rates charged by
        independent third parties for services comparable to such services being
        provided at the Building) in which case such salaries, fringe benefits,
        payroll taxes and compensation shall be equitably apportioned among all
        such buildings);

                (iii) expenditures for capital improvements except (a) those
        which under generally applied real estate practice are expenses or
        regarded as deferred costs, (b) capital expenditures or expenses for
        equipment designed to result in savings or reduction of Expense (e.g.,
        energy saving devices), and (c) capital expenditures required by any law
        that either (x) is not in effect as of the Commencement Date or (y) is
        in effect as of the Commencement Date, but only to the extent that such
        existing law requires capital expenditures in the future (e.g., due to
        new interpretations of, or future amendments of, any existing law or
        recurring obligations such as those currently required under Local Law
        11), in any of which cases the cost thereof shall be included in
        Expenses for the Expense Year in which the costs are incurred and
        subsequent Expense Years, on a straight line basis, to the extent that
        such items are depreciated over an appropriate period, but not more than
        ten (10) years, with an interest factor equal to the Prime Rate at the
        time of Landlord's having incurred said expenditure. If Landlord shall
        lease any such item of capital equipment designed to result in savings
        or reductions in Expenses, then the rentals and other costs paid
        pursuant to such leasing shall be included in Expenses for the Expense
        Year in which they are incurred;

                (iv) cost of repairs or replacements incurred by reason of fire
        or other casualty or by the exercise of the right of eminent domain, to
        the extent to which Landlord is compensated therefor through proceeds of
        insurance or a condemnation award;

                (v) advertising and promotional expenditures;

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                (vi) legal fees incurred in disputes with tenants and legal and
        auditing fees, other than legal and auditing fees reasonably incurred
        (a) in connection with the maintenance and operation of the Land and
        Building or (b) in connection with the preparation of statements
        required pursuant to additional rent or rental escalation provisions;

                (vii) costs incurred in performing work or furnishing services
        to or for individual tenants (including Tenant) other than work or
        services of a kind and scope which Landlord would be obligated to
        furnish Tenant without charge if such work were required in the Demised
        Premises;

                (viii) the cost incurred by Landlord in performing work or
        furnishing any service to or for a tenant of space in the Building
        (including Tenant) for which a separate charge is made, including
        without limitation, the supply of overtime air-conditioning, ventilation
        and heating at Landlord's cost and expense, regardless of the amount
        billed or received by Landlord for performing such work or furnishing
        such service;

                (ix)Depreciation and amortization of the Building, except as
        otherwise provided herein;

                (x) Advertising and promotional expenses incurred for the
        purpose of marketing space in the Building;

                (xi)Any rental under any ground or underlying lease;

                (xii) Interest, including interest on debt, debt service or
        amortization payments on any mortgage encumbering the Building and any
        financing and refinancing costs with respect thereto;

                (xiii) Amounts received by Landlord through proceeds of
        insurance to the extent they are compensation for sums previously
        included in Expenses;

                (xiv) Taxes;

                (xv)Landlord's income taxes and franchise, gains or estate taxes
        imposed upon the income of Landlord;

                (xvi) Costs with respect to the creation of a mortgage or a
        superior lease or in connection with a sale of the Building including,
        without limitation, survey, legal fees and disbursements, transfer taxes
        or stamps and appraisals, engineering and inspection reports associated
        with the contemplated sale;

                (xvii) The costs of installing, operating and maintaining any
        specialty business at the Building, e.g., parking facilities,
        restaurants, and/or clubs, provided same are not available to
        tenants generally;

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<PAGE>

                (xviii) Lease takeover or termination costs incurred by Landlord
        in connection with any lease in the Building, including any payments
        required to be made in connection with the termination of a lease
        pursuant to Article 31-B of the Tax Law of the State of New York or
        other similar statute, and legal fees incurred by Landlord in connection
        with the preparation and negotiation of specific leases in the Building;
        and

                (xix) Fines and penalties incurred because of violations of
        laws, orders, rules, regulations or other legal requirements that arise
        by reason of Landlord's failure to construct, maintain or operate the
        Building or any part thereof in compliance with such requirements
        (excluding the costs of permits and approvals required to comply with
        such laws, orders, rules, regulations or other legal requirements in the
        ordinary course of the operation and maintenance of the Building and
        excluding fines and penalties that are reasonably unavoidable in the
        operation of a first class office building in Manhattan or which are
        assessed in the ordinary course of business, including by way of example
        and not by limitation, sidewalk violations and trash fines).

If, during all or part of any Expense Year, Landlord shall not furnish any
cleaning service to portions of the Building, due to the fact that construction
of the Building is not completed or such portions are not occupied or leased, or
because such cleaning service is not required or desired by the tenant of such
portion, or such tenant is itself obtaining and providing such cleaning service,
or for other reasons, then, for the purposes of computing the additional rent
payable hereunder, the amount of such cleaning service included in Expenses for
such period shall be increased by an amount equal to the additional expenses
which would reasonably have been incurred during such period by Landlord if it
had at its own expense furnished such cleaning service to such portion of the
Building.

                  B        (1) If the Expenses for any Expense Year shall be
greater than the Expense Base, Tenant shall pay to Landlord, as additional rent
for such Expense Year, in the manner hereinafter provided, an amount equal to
Tenant's Percentage of the excess of the Expenses for such Expense Year over the
Expense Base (such amount being hereinafter called the "Expense Payment").

                  (2)      Landlord shall, prior to or following the
commencement of each Expense Year, deliver to Tenant a statement of the
projected Expenses for such Expense Year and Tenant shall pay on the first day
of each month as additional rent, together with payment of Fixed Rent, an
"Estimated Expense Payment" which shall be equal to one-twelfth (1/12th) of
Tenant's Percentage of the amount by which such projected Expenses exceed the
Expense Base. At any time during any Expense Year, Landlord may deliver a
revised statement of projected Expenses to reflect, if Landlord can reasonably
so estimate, known increases in rates for the current Expense Year applicable to
the categories involved in computing Expenses and thereafter Tenant's monthly
Estimated Expense Payment shall be adjusted accordingly.

                  (3)      To the extent that at the time of furnishing of any
statement of projected Expenses the aggregate monthly payments made during the
preceding months of the Expense Year in question are less than the amount which
would have been paid if the installment required

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pursuant to such statement had been made for such preceding months, the
deficiency shall be due and payable in full as additional rent together with the
regular monthly installment of rent next coming due.

                  (4)      Within one (1) year after the expiration of each
Expense Year, Landlord shall submit to Tenant an "Expense Statement" prepared by
Landlord, setting forth the Expenses for the preceding Expense Year and the
Expense Payment, if any, due to Landlord from Tenant for such Expense Year. In
the event Tenant's Expense Payment shall be greater than or less than
respectively the aggregate of Tenant's Estimated Expense Payments for such
Expense Year, then within thirty (30) days after receipt of such Expense
Statement Tenant shall make payment of any unpaid portion of its Expense Payment
as additional rent, or any excess paid by Tenant shall be, at Landlord's option,
either refunded to Tenant or credited against the payment(s) of Estimated
Expense Payment next coming due.

                  (5)      Until a new statement of projected Expenses is
rendered, Tenant's Estimated Expense Payment for any Expense Year shall be
deemed to be one-twelfth (1/12th) of the total Estimated Expense Payment for the
preceding Expense Year.

                  (6)      The Expense Statements furnished to Tenant shall
constitute a final determination as between Landlord and Tenant of the Expenses
for the periods represented thereby, unless Tenant, within forty-five (45) days
after they are furnished, shall give a notice to Landlord that it disputes the
accuracy or appropriateness of any of same, which notice shall specify the
particular respects in which the disputed Statement is inaccurate or
inappropriate, but only to the extent such information is within Tenant's actual
knowledge. Pending the resolution of such dispute, Tenant shall pay the
Estimated Expense Payments, as well as the Expense Payment in dispute, to
Landlord in accordance with the statements of projected Expenses furnished by
Landlord. Tenant shall have the right, during reasonable business hours and upon
not less than ten (10) business days' prior written notice to Landlord, to
examine Landlord's books and records with respect to any Statement, provided (a)
such examination is commenced within ninety (90) days and concluded within one
hundred twenty (120) days following the rendition of the Statement in question
(b) such examination may only be conducted by full-time, regular employees of an
independent and reputable, certified public accounting firm, and such firm is
not being compensated by Tenant for such services on a contingency or success
fee basis and (c) Tenant delivers a confidentiality agreement to Landlord with
respect to such dispute and such examination in form and substance reasonably
satisfactory to Landlord and Tenant.

                  (7)      In no event shall the Fixed Rent under this Lease be
reduced by virtue of this Section.

                  (8)      If the Commencement Date is not the first day of an
Expense Year or if the date of expiration or termination of this Lease (except
for termination for Tenant's default), whether or not same is the Expiration
Date or another date prior or subsequent thereto, is not the last day of an
Expense Year then the Expense Payment shall be prorated based upon the number of
days of the applicable Expense Year within the Term. With respect to the year in
which the term of this Lease expires or terminates, such pro rata portion shall
become immediately due and payable by Tenant to Landlord, if it has not
theretofore already been paid, and Landlord, as soon as reasonably practicable,
shall cause the annual statements of the Expenses for that Expense

                                      -10-
<PAGE>

Year to be prepared and furnished to Tenant. Landlord and Tenant thereupon shall
make appropriate adjustments of all amounts then owing.

                  (9)      If the first Expense Year is not a full calendar
year, then the Expenses for such first Expense Year shall be annualized by
Landlord, giving effect to seasonal variations, to obtain the amounts thereof
which would have been incurred had said first Expense Year been a full calendar
year, and the Expense Payment shall be computed by Landlord based upon such
annualized amounts.

                  C        (1) The annual rental rate shall be increased for
each Tax Year during the term of this Lease by Tenant's Percentage of the amount
by which the Taxes in each such Tax Year exceed the Base Tax. Landlord shall
advise Tenant, by a written statement by Landlord's accountant or by Landlord or
its agent, of any change in Taxes and the effective date thereof (the "Tax
Statement"). The Tax Statement shall show the Tenant's new annual rental rate
caused by each change and the monthly installments shall be one-twelfth (1/12th)
thereof, and the manner in which the adjustment is computed, including any
adjustments in real estate tax assessments affecting the Taxes for any Tax Year.
Said one-twelfth (1/12th) of such increase shall be due and payable with monthly
installments of Fixed Rent. Notwithstanding the foregoing, if Taxes are required
to be paid prior to the expiration of the appropriate calendar half or any other
applicable fiscal period or the expiration of any Tax Year to avoid a penalty or
late charge, then Landlord may immediately elect to bill Tenant for its above
specified percentage of any increase in Taxes in excess of the Base Tax with
respect to such calendar half or any other applicable fiscal period or Tax Year,
as the case may be, and Tenant shall pay same within thirty (30) days
thereafter. Any decrease in annual rental rate under this Paragraph C can be
applied only to reduce prior increases under this Paragraph. To the extent that
the change is relevant to a period for which Tenant has paid its monthly
installments of Fixed Rent, a retroactive lump sum payment shall be made by
Tenant as and when billed for the same by Landlord.

                  (2)      The Tax Statements furnished to Tenant shall
constitute a final determination as between Landlord and Tenant of the Taxes for
the periods represented thereby, unless (a) the Taxes for any such period are
subsequently reduced by tax certiorari proceedings or otherwise (in which event
the Tax Statement for such adjusted Taxes shall be conclusive and binding,
subject to subsection (b) of this paragraph), or (b) Tenant, within forty-five
(45) days after they are furnished, shall give a notice to Landlord that it
disputes the accuracy or appropriateness of any of same, which notice shall
specify the particular respects in which the disputed Tax Statement is
inaccurate or inappropriate to the extent Tenant has such information. Pending
the resolution of such dispute, Tenant shall pay Tenant's Percentage of the
Taxes to Landlord in accordance with the Tax Statements furnished by Landlord.
Tenant shall have the right to receive a copy of any tax bill or statement from
the applicable taxing authority upon which the disputed Tax Statement is based
within twenty (20) days after demand therefor.

                  (3)      It is understood and agreed that, although the real
estate taxes for the Building are subject to certain abatements, exemptions
and/or deferrals under the ICIP, Tenant shall pay Tenants' percentage of any
increase in Taxes over the Base Tax, in accordance with Section 4.1C(l), without
taking any such ICIP abatement, exemption or deferral into consideration.

                                      -11-
<PAGE>

                  (4)      It is further understood and agreed that (in order to
enable Landlord to comply with certain requirements of the ICIP):

               (i) Landlord is seeking, or has obtained, benefits under the ICIP
          program.

               (ii)Tenant agrees to report to Landlord the number of workers
          permanently engaged in employment in the space leased, the nature of
          each worker's employment and the New York City residency of each
          worker.

               (iii) Tenant agrees to provide access to the Demised Premises by
          employees and agents of the Department of Finance of the City of New
          York, the Office of Labor Services, or any such other agency at the
          request of Landlord at all reasonable times and, to the extent
          practicable, upon reasonable prior notice (which may be oral).

               (iv)Tenant shall not be required to pay taxes or charges which
          become due because of the willful neglect or fraud by Landlord in
          connection with the ICIP program or otherwise relieve or indemnify
          Landlord from any personal liability arising under Administrative Code
          ss.11-265, except where imposition of such taxes, charges or liability
          is occasioned by actions of Tenant in violation of this Lease.

                  (5)      With respect to Tenant's work set forth below, and in
connection with Landlord's ICIP application, Tenant, at its sole cost and
expense, shall be obligated to timely and fully comply with the requirements of
(i) Executive Order No. 50 of 1980; (ii) Executive Order No. 108 of 1986; (iii)
Section 11-260 of the Administrative Code of the City of New York; (iv) Article
22 of the ICIP Regulations; (v) the New York City Charter; and (vi) any other
additional or successor executive orders, statutes, rules or regulations bearing
on Landlord's ICIP application. Such compliance shall include, but shall not be
limited to, the filing with the Department of Labor Services ("DLS") of
Construction Employment Reports, Supply and Service Construction Employment
Reports, Less Than $750,000 Subcontract Certificates, and certified payroll
records. Tenant shall also be solely responsible for the compliance of any
contractor, subcontractor, consultant, agent or party employed by Tenant in
connection with Tenant's work. Tenant further agrees that copies of all such
filings shall currently be sent by certified mail to the Owner's ICIP counsel:
Rosenberg & Estis, P.C., 733 Third Avenue, New York, New York 10017, Attention:
Jeffrey Turkel, Esq. Tenant, as well as any contractor, subcontractor,
construction manager, general contractor, consultant, agent or any party
employed by Tenant in connection with Tenant's work, shall cooperate with
Landlord and will supply such information and comply with such reporting
requirements as Landlord advises Tenant are reasonably necessary to comply with
the ICIP, and Tenant will assist Landlord in connection with maintaining its
eligibility under the ICIP.

          Tenant also agrees that at the commencement of its work, and as the
work progresses, Tenant (or its agent) shall provide Landlord's ICIP counsel
with the names of all contractors or subcontractors retained by Tenant with
respect to the work, as well as the dollar value of each contract or
subcontract. Tenant further agrees that with respect to any contractors or
subcontractors performing work pursuant to a contract or subcontract with a
value of

                                      -12-
<PAGE>

$750,000 or more, a retainage in the amount of 10% of the value of said contract
or subcontract shall be withheld until DLS gives written approval that final
payment may be released to said contractor or subcontractor.

                                   ARTICLE 5.

                                       USE
                                       ---

          5.1      Tenant shall use and occupy the Demised Premises for
executive and general offices (which may include such offices in connection with
Tenant's mortgage banking business, provided that such use shall not involve
patronage of the general public) and for a pantry (provided that no cooking
shall be allowed) and for no other purpose. Tenant will not at any time use or
occupy the Demised Premises, or permit same to be used or occupied in violation
of the certificate of occupancy for the Building.

          5.2      The use of the Demised Premises for the purposes specified in
Section 5.1 shall not include:

          (1)      the sale to the public of any products kept in the Demised
Premises, or any demonstrations to the public, or the sale (whether by persons
or by vending machines) of alcoholic beverages, candy, cigarettes, cigars,
tobacco, narcotics or other controlled or prohibited substances, newspapers,
magazines, beverages, or similar items,

          (2)      the rendition of medical, psychological, or therapeutic
services;

          (3)      the conduct of an auction;

          (4)      the conduct of any gambling activities, or any political
activities, or of an employment agency;

          (5)      offices of a governmental agency, or government (including,
without limitation, an autonomous governmental corporation or any entity having
governmental immunity), or a diplomatic or trade mission;

          (6)      the operation of any school or college; or

          (7)      any use prohibited by the Rules and Regulations attached
hereto and made a part hereof as Exhibit D.

          5.3      Tenant shall not use, occupy, suffer or permit the Demised
Premises (or any part thereof) to be used in any manner, or suffer or permit
anything to be brought into or kept therein, which would, in Landlord's
reasonable judgment, (a) make unobtainable at standard rates from any reputable
insurance company authorized to do business in New York State any fire insurance
with extended coverage or liability, elevator, boiler, umbrella or other
insurance, (b) cause, or be likely to cause, injury or damage to the Building or
to any Building equipment or to the Demised Premises, (c) constitute a public or
private nuisance, (d) violate any certificate of occupancy in the Building, (e)
emit objectionable noise, fumes, vibrations, heat, chilled air,

                                      -13-
<PAGE>

vapors or odors into or from the Building or the Building equipment, or (f)
impair or interfere with any of the Building services, including the furnishing
of electrical energy, or the proper and economical cleaning, heating,
ventilating, air conditioning or other servicing of the Building, Building
equipment, or the Demised Premises.

          5.4      If any governmental license or permit shall be required for
the proper and lawful conduct of Tenant's business in (or any subtenant's
business) or occupancy of the Demised Premises, then Tenant, at its sole
expense, shall procure and thereafter maintain (or cause to be maintained) such
license or permit and submit the same to Landlord for inspection upon Landlord's
request. Tenant shall comply with the terms and conditions of each such license
and/or permit.

          5.5      No licensing of desk space shall be permitted.

                                   ARTICLE 6.

                             SERVICES AND EQUIPMENT

          6.1      Landlord shall, at its cost and expense:

                  A.       Provide elevator service during business hours on
business days. As used in this Lease, the term "business days" means Monday
through Friday exclusive of holidays, and the term "business hours" means 8:00
A.M. to 6:00 P.M. At all times other than during business hours on business
days, only one elevator shall be on call to the Demised Premises and to other
tenants of the Building.

                  B.       Maintain and keep in good order and repair the
central heating, ventilating and air-conditioning system installed by Landlord.
The aforesaid system will be operated by Landlord during business hours on
business days.

                  C.       Provide Building standard cleaning services to the
Demised Premises and public portions of the Building on business days. The
Cleaning Specifications are annexed hereto and made a part hereof as Exhibit C.
If any space may, under the terms of this Lease, be used for the consumption of
food, such space will receive only Exhibit C office space cleaning
specifications, and Tenant shall have such space periodically exterminated.

                  D.       Furnish water for ordinary lavatory, drinking and
office cleaning purposes. If Tenant requires, uses or consumes water for any
other purposes, Tenant agrees that Landlord may install a meter or meters or
other means to measure Tenant's water consumption, and Tenant further agrees to
reimburse Landlord for the cost of the meter or meters and the installation
thereof, and to pay for the maintenance of said meter equipment and/or to pay
Landlord's costs of other means of measuring such water consumption by Tenant.
Tenant shall reimburse Landlord for the cost of all water consumed as measured
by said meter or meters or as otherwise measured, including sewer rents.

          6.2      Holidays shall be deemed to mean all Federal holidays, State
holidays and Building Service Employees Union Contract holidays.

                                      -14-
<PAGE>

          6.3      Landlord reserves the right to interrupt, curtail or suspend
the services required to be furnished by Landlord under this Article 6 when the
necessity therefor arises by reason of required maintenance, accident, labor
dispute, riot, insurrection, emergency, mechanical breakdown, Acts of God, or
when required by any law, order or regulation of any federal, state, county or
municipal authority, or for any other cause beyond the reasonable control of
Landlord. Landlord shall exercise good faith to complete all required repairs or
other necessary work so that Tenant's inconvenience resulting therefrom may be
for as short a period of time as circumstances will permit. No diminution or
abatement of rent or other compensation shall or will be claimed by Tenant as a
result thereon nor shall this Lease or any of the obligations of Tenant be
affected or reduced by reason of such interruption, curtailment or suspension.
Anything herein contained to the contrary notwithstanding, if as a result of
Landlord's negligence in connection with any repairs or other work by Landlord
in the Building or the Demised Premises, any utility or service is not provided
to all or part of the Demised Premises (except if such utility or service is not
provided due to the failure of the utility company), and therefore Tenant for
ten (10) consecutive business days cannot and does not use all or any part of
the Demised Premises for such entire ten (10) business day period, then Tenant
shall be entitled to a pro rata abatement of the rent attributable to the
portion of the Demised Premises that Tenant cannot and does not use for each day
after said ten (10) business day period, until such utility or service is
restored and Tenant can use the entire Demised Premises. Notwithstanding the
foregoing, Tenant shall not be entitled to any rent abatement if any utility
service for which Tenant is a direct customer of the utility providing such
service is not provided to all or part of the Demised Premises by said utility.

          6.4      Tenant shall reimburse Landlord for the cost to Landlord of
removal from the Demised Premises and the Building of any refuse and rubbish of
Tenant except normal office trash, and Tenant shall pay all bills therefor
promptly after rendered.

          6.5      If Tenant shall require HVAC service at any time other than
during business hours on business days, Landlord shall furnish such service
(herein called "after-hours air-conditioning service") upon advance written
notice from Tenant as specified below and Tenant shall pay Landlord's then
established charges therefor on Landlord's within fifteen (15) days after demand
as additional rent. If Tenant shall not pay the same, Tenant shall also pay
interest thereon at the then Prime Rate. Requests for after-hours
air-conditioning service shall be submitted in writing to the Building manager,
by a person designated by Tenant as authorized to make such requests, before
1:00 P.M. on a non-holiday weekday for such weekday and at least thirty-six (36)
hours prior to a holiday or weekend. Landlord's currently established charges
for such after-hours air-conditioning service are as follows: air conditioning
-- $250 per hour and heat-- $180 per hour.

          6.6      Notwithstanding anything in this Lease to the contrary,
Landlord agrees that Tenant may install, at Tenant's own cost and expense in
accordance with, and subject to, the applicable provisions of this Lease
(including, without limitation, Article 13 hereof) an additional heating,
ventilating and air-conditioning system (hereinafter referred to as the
"Supplemental Air-Conditioning System"). The costs of installation (including,
without limitation, connection to any condenser water source), maintenance and
operation of the Supplemental Air-Conditioning System shall be borne by Tenant,
and Tenant shall be responsible for the design and installation of its own
condenser water pumps, capable of

                                      -15-
<PAGE>

delivering the required flow to Tenant's equipment. Tenant (or at Landlord's
option, Landlord) shall install, at Tenant's sole cost and expense, valved
outlets into the condenser water riser, the cost of which valves are to be paid
for by Tenant. Whenever Tenant shall make a connection to any condenser water
source, Tenant shall also leave additional valved outlets of a size to be
determined by Landlord. All facilities, equipment, machinery and ducts installed
by Tenant in connection with the Supplemental Air-Conditioning System shall (a)
be subject to Landlord's prior written approval, (b) comply with Landlord's
reasonable requirements as to installation, maintenance and operation, and (c)
comply with all other terms, covenants and conditions of this Lease applicable
thereto. Landlord shall have no liability or responsibility whatsoever for any
interruption in service of the Supplemental Air-Conditioning System (if any) for
any cause whatsoever, nor shall any such interruption be construed as an actual
or constructive eviction of Tenant, or entitle Tenant to any abatement of Fixed
Rent or additional rent, or relieve or release Tenant from any of its
obligations under this Lease. Tenant agrees to cooperate fully with Landlord and
to abide by all reasonable regulations and requirements which Landlord may
prescribe for the proper connection, functioning and protection of the
Supplemental Air-Conditioning System.

                                   ARTICLE 7.

                                    ELECTRIC

          7.1      Landlord shall furnish to the Tenant electricity for normal
business purposes as provided in Paragraph 7.2 hereof in the Demised Premises at
no additional charge or rental, subject however to future adjustments after the
date hereof, in the event that there is an increase or decrease in the utility
rate schedule or utility or sales taxes thereon pursuant to which electricity
shall be furnished to Owner by the utility company serving the Building in which
the Demised Premises are located and the Tenant shall have the right to use
electricity on an unmetered basis as an additional service. Each such adjustment
shall be computed by multiplying the electrical rent inclusion factor ("ERIF")
set forth in Paragraph 7.2 hereof, as adjusted, by the percentage of increase or
decrease, as the case may be, in the utility rate schedule or utility or sales
taxes thereon applicable to the Building and by adding or subtracting the
product thereof to or from said ERIF to determine the amount of the adjusted
rent and the adjusted ERIF. In no event, however, may the ERIF be reduced below
the amount set forth in Section 7.2 below.

          7.2      As of the date of this Lease, the ERIF is $1,691.67 per month
which factor is based upon the Tenant's use, during regular business hours, of
lighting fixtures and electrically operated equipment which operates on a
standard 120 volt convenience receptacle on a 15 Amp general purpose branch
circuit with not less than eight (8) outlets on such circuit. The use of
electricity on other than regular business hours or for fixtures or equipment
which are not accommodated by such base receptacles may be permitted within the
limitation of Paragraph 7.3 provided that the ERIF shall be increased in an
amount to be determined from a survey made by a reputable independent electrical
engineer or consultant selected by Owner.

          7.3      Tenant's use of electrical energy shall never exceed the
capacity of the then existing feeders to the Building or the then existing
risers or wiring installation serving the Demised Premises; in furtherance
thereof, Tenant's connected electrical load in the Demised

                                      -16-
<PAGE>

Premises shall at no time exceed five (5) watts (average) per usable square foot
without Landlord's prior written approval. Tenant understands that if the
connected load exceeds four (4) watts (average) per usable square foot in any
area that the HVAC system will not be able to perform within the limits
specified therefor in Exhibit E-1 attached hereto and made a part hereof. Any
additional risers required by Tenant to supply Tenant's electrical requirements
and all other equipment proper and necessary in connection therewith, upon
request of Tenant, will be installed by Landlord, at Tenant's sole cost and
expense, if in Landlord's judgment, the same are necessary and will not cause or
create a hazardous condition or entail excessive or unreasonable alterations,
repairs or expense or interfere with or disturb other tenants. Rigid conduit
only will be allowed. In order that personal safety and property of Landlord and
the tenants and occupants of the Demised Premises and the Building may not be
imperiled by the over taxing of the capacity of the electrical distribution
system of the Demised Premises or the Building, and to avert possible adverse
effect upon the Building's electrical system, Tenant shall not, without prior
consent of Landlord, make or perform or permit any changes in or alterations to
wiring installations or other electrical facilities in or serving the Demised
Premises (as such installations or facilities shall be indicated by the final
electrical plans submitted by Tenant to Landlord in connection with the initial
construction of the Demised Premises) or any additions to the electric fixtures,
business machines or office equipment or appliances (other than personal
computers, fax machines and similar low energy consuming office machines) in the
Demised Premises which utilize electrical energy. Any such alterations or
changes performed by Tenant shall be in compliance with all codes and legal
requirements. Should Landlord grant such consent, all additional risers, wiring
or other equipment required therefor shall be provided by Landlord and the cost
thereof shall be paid by Tenant as additional rent within 15 days after being
billed therefor. Landlord's approval of any electrical alterations or changes
shall not be deemed a representation that the same comply with applicable codes
or other legal requirements. Landlord, its agents and engineers and consultants
may survey the electrical fixtures, appliances and equipment in the Demised
Premises and Tenant's use of electrical energy therein from time to time to
determine whether Tenant is complying with its obligations under this Article.
In the event that Landlord causes any such survey to be performed to determine
whether there should be an increase in the ERIF as a result of Tenant's
installation of additional equipment that utilizes electrical energy, and if
Tenant shall dispute the findings of such survey, Tenant, within sixty (60) days
of receipt of Landlord's findings, may cause a like survey to be made by an
electric consultant selected and paid by Tenant. If Tenant so elects, upon
completion of the second survey Tenant shall notify Landlord of the results
thereof. If such determination differs from that of Landlord by 10% or less,
Landlord's findings shall be conclusive and binding upon the parties. If such
determination differs from that made by Landlord's electric consultant by more
than 10% and Landlord and Tenant cannot agree on the amount of the increase in
the ERIF, if any, the dispute shall be resolved by arbitration in accordance
with Article 25 hereof. Pending a final determination pursuant to such
arbitration however, Tenant shall pay to Landlord for such electrical energy
based on the determination of Landlord's engineer or consultants; and if it is
determined that Tenant has overpaid, Landlord shall reimburse Tenant for any
overpayment at the conclusion of such arbitration. If Tenant shall not dispute
the findings as provided in this Section, the determination by Landlord's
engineer or consultants shall be deemed final and conclusive. Notwithstanding
the provisions of Article 25 hereof, the losing party in any such arbitration
proceeding shall bear the fees and expenses of the arbitrator and all other
expenses of arbitration (other than the fees and disbursements of attorneys or
witness for each party).

                                      -17-
<PAGE>

          7.4      Landlord shall have no liability to Tenant for any loss,
damage or expense which Tenant may sustain or incur by reason of any change,
failure, inadequacy or defect in the supply or character of the electrical
energy furnished to the Demised Premises or if the quantity or character of the
electrical energy is no longer available or suitable for Tenant's requirements,
except for any actual damage suffered by Tenant by reason of any such failure,
inadequacy or defect caused by Landlord's gross negligence or willful
misconduct, and then only after prior actual notice has been given to Landlord
as provided in Article 24.

          7.5      In addition to the foregoing, Landlord shall have the right
on five (5) days' prior notice to Tenant (whenever possible) to "shut down"
electrical energy to the Demised Premises when necessitated by the need for
repairs, alterations, connections or reconnections, with respect to the Building
electrical system (singularly or collectively, "Electrical Work"), regardless of
whether the need for such Electrical Work arises in respect of the Demised
Premises, any other tenant space, or any Building common areas. Landlord may
not, however, shut down Tenant's electrical energy for such Electrical Work
during business hours unless such Electrical Work shall be required because of
an emergency or required by the utility company servicing the Building. Landlord
shall have no liability to Tenant for any loss, damage, or expense which Tenant
may sustain due to such "shut down" or Electrical Work.

          7.6      Landlord reserves the right to terminate the furnishing of
electrical energy at any time, upon 30 days' notice to Tenant unless such notice
is not feasible under the circumstances, in which event Landlord will give
Tenant such reasonable notice as is possible. If Landlord shall so discontinue
the furnishing of electrical energy, (a) Tenant shall arrange to obtain
electrical energy directly from the utility company furnishing electrical energy
to the Building, (b) Landlord shall permit the existing feeders, risers, wiring
and other electrical facilities serving the Demised Premises to be used by
Tenant for such purpose to the extent that they are available, suitable and
safe, (c) from and after the effective date of such discontinuance Landlord
shall not be obligated to furnish electric energy to Tenant, (d) such
discontinuance shall be without liability of Landlord to Tenant, and (e) if
Landlord shall discontinue the furnishing of electrical energy as a result of
any legal requirement or insurance requirement, Landlord shall, at Tenant's
expense, install and maintain at locations in the Building reasonably selected
by Landlord any necessary electrical meter equipment, panel boards, feeders,
risers, wiring and other conductors and equipment which may be required to
obtain electrical energy directly from the utility supplying the same.
Commencing with the date when Tenant receives such direct service, and as long
as Tenant shall continue to receive such service, the Fixed Rent payable under
this Lease shall be reduced to what the Fixed Rent would then have been but for
the adjustments under this Article 7 and the original ERIF payable by Tenant
included in the Fixed Rent as set forth in Article 3 hereof. Landlord, at its
option, before commencing any work to be paid for by Tenant hereunder or at any
time thereafter, may require Tenant to furnish to Landlord such security,
whether by surety bond issued by a corporation satisfactory to Landlord, in form
and amount and licensed to do business in New York State or otherwise, as
Landlord shall deem necessary to assure the payment for such work by Tenant.
Landlord shall be promptly given by Tenant a copy of each electric utility bill
of Tenant if Tenant should become a direct customer of the local utility.

                                      -18-
<PAGE>

          7.7      In the event that any tax shall be imposed upon Landlord's
receipts from the sale, use or resale of electrical energy to Tenant, the pro
rata share allocable to the electrical energy service received by Tenant shall
be passed onto, included in the bill of, and paid by Tenant if and to the extent
not prohibited by law.

          7.8      Landlord shall, at Tenant's option, furnish and install all
replacement lighting, tubes, lamps, starters, bulbs and ballasts required in the
Demised Premises and Tenant shall pay to Landlord (or its designated contractor)
upon demand the then established charges therefor as additional rent on demand.

                                   ARTICLE 8.

                       ASSIGNMENT, SUBLETTING, MORTGAGING

          8.1      A.  Tenant or its legal representatives will not by operation
of law or otherwise, assign (in whole or in part), mortgage or encumber this
Lease, or sublet or permit the Demised Premises or any part thereof to be used
or occupied by others, without Landlord's prior written consent in each
instance. The consent by Landlord to any assignment or subletting, whether by
Tenant or any other tenant in the Building, shall not be a waiver of or
constitute a diminution of Landlord's right to withhold its consent to any other
assignment or subletting and shall not be construed to relieve Tenant from
obtaining Landlord's express written consent to any other or further assignment
or subletting. Such reasonable attorneys' fees as may be incurred by Landlord in
connection with Tenant's request for consent to an assignment or subletting
shall be paid by Tenant.

          B.       If Tenant or its legal representatives desires to assign this
Lease or sublet all or any portion of the Demised Premises, Tenant shall
promptly notify the then managing agent of the Building in writing of its desire
to assign or sublet. Upon obtaining a proposed assignee or subtenant upon
acceptable terms, Tenant shall submit to Landlord in writing:

               (i) the name and address of the proposed assignee or sublessee;
          and

               (ii)the terms of the proposed assignment or sublease; and

               (iii) the nature and character of the business which the proposed
          assignee or subtenant will conduct in the Demised Premises;

               (iv) if the proposed assignee or sublessee is a corporation, the
          names and addresses of all directors and officers thereof and the
          names and addresses of each stockholder who or which has beneficial
          ownership of 10% or more of the proposed assignee or sublessee entity,
          setting forth for each such stockholder his, her or its percentage of
          such beneficial ownership; if a partnership, joint venture or other
          business or unincorporated association, the name and address of each
          general partner (and limited partner, if any), joint venturer or
          member thereof, who or which has beneficial ownership of 10% or more
          of the proposed assignee or sublessee entity, setting forth for each
          such general partner, limited partner,

                                      -19-
<PAGE>

          joint venturer and member his, her or its percentage of such
          beneficial ownership; and

               (v) a complete financial statement (not more than 12 months old),
          for the proposed assignee or sublessee, certified by certified public
          accountants regularly employed by the proposed assignee or sublessee,
          together with a more current interim financial statement for the
          proposed assignee or sublessee, if available; and

               (vi)the names and business experience of the management level
          personnel of the proposed assignee or sublessee who will be active in
          the actual day to day operation of the business to be continued in the
          Demised Premises by the proposed assignee or sublessee and their
          respective percentages of beneficial ownership in the proposed
          assignee or sublessee; and

               (vii) an executed copy of the proposed assignment or sublease
          (which is conditioned upon Landlord's rights and consent as provided
          in this Article 8); and

               (viii) any other information concerning the assignment or
          sublease which Landlord may reasonably request.

          Landlord shall have the option to be exercised within thirty (30) days
from the submission of the aforesaid information: (i) to cancel this Lease with
respect to the space to be sublet for the duration of the proposed sublease; or
(ii) to require Tenant to execute and deliver an assignment or sublease to
Landlord (or its designee) upon the same terms as submitted by Tenant to
Landlord, except that Landlord shall have the unrestricted right to assign or
sublet and/or alter the space. In the event of a proposed assignment, or of a
proposed sublease which, in the aggregate with all other subleases, demises 50%
or more of the Demised Premises, Landlord shall have the further option to be
exercised within the said thirty (30) day period, to cancel and terminate this
Lease effective on the date of Tenant's proposed assignment or sublease, in
which event this Lease and the term hereof shall expire and terminate on that
date as if it were the date herein fixed for the termination and expiration of
the term of this Lease. Notwithstanding any provision of this Lease to the
contrary, 75% any rentals and/or consideration paid or payable by the subtenant
or assignee in excess of the rentals (pro-rated on a square foot basis if the
sublease is for less than all of the Demised Premises) reserved and/or payable
under this Lease shall be paid by Tenant as and when received by Tenant to
Landlord as additional rent, deducting from such excess, the reasonable expenses
proven to have been incurred by Tenant in effecting the sublease or assignment,
appropriately pro rated (if a sublease) over the term of the sublease. Said
reasonable expenses shall include, but not be limited to, brokerage fees,
attorneys' fees and disbursements, advertising costs, reasonable concessions to
the assignee or subtenant, including, without limitation, free rent or work
contributions to the assignee or subtenant, and the costs incurred in connection
with alterations, decorations and installations made by Tenant pursuant to its
subject assignment or sublease to prepare the space for occupancy by the
assignee or the subtenant. Tenant may not assign all or any part of this Lease,
nor sublet all or any part of the Demised Premises, if Tenant is in default
under this Lease beyond applicable notice and cure periods (if any). In
addition, Tenant may not request

                                      -20-
<PAGE>

Landlord to consider and/or approve any proposed subletting or assignment if
Tenant is in default under this Lease beyond applicable notice and cure periods
(if any).

          C.       If Tenant has complied with the provisions of Section 8.1B
and Landlord has not exercised either of its foregoing options within the time
set forth above, its consent to the proposed assignment or subletting shall not
be unreasonably withheld; provided, however, that it may withhold consent
thereto if in the reasonable exercise of its judgment it determines that:

          (1)      The financial condition and general reputation for good
character of the proposed assignee or subtenant are insufficient or not
consistent with the obligation and responsibility undertaken by the proposed
assignment or sublease; or

          (2)      The proposed business to be conducted in the Demised Premises
is not appropriate for the Building or in the keeping with the character of the
existing tenancies or permitted by this Lease, or the use is not expressly
permitted by this Lease; or

          (3)      The nature of the occupancy of the proposed assignee or
subtenant will cause a greater density of employees or traffic or make greater
demands on the Building's services or facilities than that made by Tenant; or

          (4)      Tenant proposes to assign or sublet to one who at the time is
a tenant (or subsidiary or affiliate of a tenant) or to a person in possession
of premises in the Building, or another building located on the West side of
Manhattan owned by Landlord or an entity affiliated with Landlord or to one with
whom Landlord is negotiating for a lease or sublease for space in any building
owned by Landlord or an entity affiliated with Landlord located on the West side
of Manhattan; or

          (5)      The assignee or subtenant shall have or enjoy diplomatic
immunity; or

          (6)      Such proposed subletting would result in the Demised Premises
being divided into more than two (2) rental units in the aggregate; or

          (7)      Any combination of the foregoing conditions exist.

          8.2      If this Lease shall be assigned or sublet in accordance with
this Article, such assignee or subtenant shall not be permitted to further
assign or sublet in whole or in part.

          8.3      If this Lease shall be assigned, or if the Demised Premises
or any part thereof be sublet or occupied by any person or persons other than
Tenant, Landlord may, after default by Tenant, collect rent from the assignee,
subtenant or occupant and apply the net amount collected to the rent herein
reserved, but no such assignment, subletting, occupancy or collection of rent
shall be deemed a waiver of the covenants in this Article, nor shall it be
deemed acceptance of the assignee, subtenant or occupant as a tenant, or a
release of Tenant from the full performance by Tenant of all terms, conditions
and covenants of this Lease. Notwithstanding the foregoing, in the event of an
assignment or sublease to Landlord or its designee pursuant to Section 8.2B
above, the performance by Landlord or its designee under such assignment or
sublease shall be deemed to be the performance by the Tenant of a similar
obligation under this

                                      -21-
<PAGE>

Lease, and any default by the subtenant or assignee under any such sublease or
assignment shall not give rise to a default by Tenant under a similar obligation
included in this Lease.

          8.4      Each permitted assignee or transferee shall assume and be
deemed to have assumed this Lease and shall be and remain liable jointly and
severally with Tenant for the payment of the Fixed Rent and additional rent and
for the due performance of all the terms, covenants, conditions and agreements
herein contained on Tenant's part to be performed for the term of this Lease. No
assignment shall be effective unless Tenant shall promptly deliver to Landlord a
duplicate original of the instrument of assignment, in form reasonably
satisfactory to Landlord, containing a covenant of assumption by the assignee of
all of the obligations aforesaid and shall obtain from Landlord the aforesaid
written consent, prior thereto.

          8.5      Anything herein contained to the contrary notwithstanding:

                  (1)      Tenant shall not advertise (but may list with
brokers) its space for assignment or subletting at a rental rate lower than the
greater of the then Building rental rate for such space or the rental rate then
being paid by Tenant to Landlord.

                  (2)      The transfer of a majority of the issued and
outstanding capital stock of any corporate tenant or subtenant of this Lease or
a majority of the total interest in any partnership tenant or subtenant, however
accomplished, and whether in a single transaction or in a series of related or
unrelated transactions, shall be deemed an assignment of this Lease or of such
sublease. The transfer of outstanding capital stock of any corporate tenant, for
purposes of this Article, shall not include sale of such stock by persons other
than those deemed "insiders" within the meaning of the Securities Exchange Act
of 1934 as amended, and which sale is effected through "over-the-counter market"
or through any recognized stock exchange.

                  (3)      Anything to the contrary in the foregoing
notwithstanding, Tenant may sublet all or any portion of the Premises or assign
this Lease to any Subsidiary, Parent Company, Affiliate or successor by merger
or consolidation or a person to whom all or substantially all of Tenant's assets
are transferred (such successor or person being herein called a "Successor")
without the consent of Landlord (but only if (a) the Successor has a net worth
on the date of such assignment or sublease equal to or greater than the greater
of (i) the net worth of Tenant on the date hereof and (ii) the net worth of
Tenant at the date which is twelve (12) months prior to the proposed assignment
or sublease and (b) such merger, consolidation or transfer of assets is not
effected for the primary purpose of transferring this Lease or subleasing the
Premises). For purposes of this Section 8.5(3), a "Subsidiary", "Parent Company"
and "Affiliate" of Tenant shall mean the following: (i) "Subsidiary" shall mean
any corporation not less than 51% of whose outstanding stock shall, at the time,
be owned directly or indirectly, by Tenant; (ii) "Parent Company" shall mean any
corporation which shall own, directly or indirectly, at least 50% of the
outstanding stock of Tenant at the time; and (iii) "Affiliate" shall mean any
corporation or other entity which, directly or indirectly, controls or is
controlled by, or is under common control with Tenant. For this purpose,
"control" shall mean the possession, directly or indirectly, of the power to
direct or cause the direction of the management and policies of such corporation
or other entity, whether through the ownership of voting securities or by
contract or otherwise. Section 8.1B shall not apply to a proposed assignment or
sublease pursuant to this Section 8.5(3). No such assignment or sublease shall
be permitted or effective unless (x) Tenant

                                      -22-
<PAGE>

cures any existing default under the Lease, (y) Tenant gives Landlord at least
ten (10) days' prior written notice of such assignment or sublease together with
a copy of the proposed assignment or sublease and reasonably acceptable proof of
the compliance of such transaction with the conditions set forth in this Section
8.5(3) and (z) Tenant gives Owner a signed copy of the final assignment or
sublease within ten (10) days after it is executed. No such assignment or
sublease by Tenant shall be deemed to release the Tenant from any of its
obligations and liabilities hereunder and such assignee or subtenant shall
execute an agreement, in form or substance reasonably satisfactory to Owner,
assuming all Tenant's obligations and liabilities hereunder.

          8.6      With respect to each and every sublease or subletting
authorized by Landlord under the provisions of this Lease, it is further agreed
as follows:

          (a) no subletting shall be for a term ending later than one day prior
     to the Expiration Date of this Lease;

          (b) no sublease shall be valid, and no subtenant shall take possession
     of the Demised Premises or any part thereof, until an executed counterpart
     of such sublease has been delivered to Landlord and approved by Landlord
     (where such approval is required);

          (c) each sublease shall provide that it is subject and subordinate to
     this Lease and to the matters to which this Lease is or shall be
     subordinate, and that, in the event of termination, re-entry or dispossess
     by Landlord under this Lease, Landlord may, at its option, either terminate
     such sublease or take over all of the right, title and interest of Tenant,
     as sublessor, under such sublease, and such subtenant shall, at Landlord's
     option, attorn to Landlord pursuant to the then executory provisions of
     such sublease, except that Landlord shall not (i) be liable for any
     previous act or omission of Tenant under such sublease, (ii) be subject to
     any offset, not expressly provided in such sublease, which theretofore
     accrued to such subtenant against Tenant, or (iii) be bound by any previous
     modification of such sublease or by any previous prepayment of more than
     one month's rent.

                                   ARTICLE 9.

              SUBORDINATION, NON-DISTURBANCE, ESTOPPEL CERTIFICATE

          9.1      Landlord's right, title and interest in and to its leasehold
estate and to the Building are derived from and under a lease or leases
(sometimes referred to as the "Over Lease").

          9.2      This Lease is and shall be subject and subordinate in all
respects to the Over Lease, and any other ground leases, overriding leases and
underlying leases of the Land and/or the Building now or hereafter existing and
to all mortgages which may now or hereafter affect the Land and/or the Building
and/or such leases, to each and every advance made or hereafter to be made under
such mortgages and to all renewals, modifications, consolidations, replacements
and extensions of such Over Lease or leases or mortgages. This section shall be
self-operative and no further instrument of subordination shall be required. In
confirmation of such subordination, Tenant agrees to promptly execute and
deliver any instrument that Landlord,

                                      -23-
<PAGE>

the lessor of any such lease or the holder of any such mortgage or any of their
respective successors in interest may request to evidence such subordination,
and Tenant hereby irrevocably appoints Landlord the attorney-in-fact of Tenant
to execute and deliver such instrument on behalf of Tenant, should Tenant refuse
or fail to do so promptly after request. The leases to which this Lease is, at
the time referred to, subject and subordinate pursuant to this Article are
hereinafter sometimes called "superior leases", and references to the lessors of
superior leases are intended to include the successors in interest of the
lessors of superior leases and their successors in interest as may be
appropriate. The mortgages to which this Lease is, at the time referred to,
subject and subordinate are hereinafter sometimes collectively called "superior
mortgages".

          9.3      In the event of any act or omission of Landlord which would
give Tenant the right, immediately or after lapse of a period of time, to cancel
or terminate this Lease, or to claim a partial or total eviction, Tenant shall
not exercise such right (i) until it has given written notice of such act or
omission to the holder of each superior mortgage and the lessor of each superior
lease whose name and address shall previously have been furnished to Tenant in
writing, and (ii) unless such act or omission shall be one which is not capable
of being remedied by Landlord or such mortgage holder or lessor within a
reasonable period of time, until a reasonable period for remedying such act or
omission shall have elapsed following the giving of such notice and following
the time when such holder or lessor shall have become entitled under such
superior mortgage or superior lease, as the case may be, to remedy the same
(which reasonable period shall in no event be less than the period to which
Landlord would be entitled under this Lease or otherwise, after similar notice,
to effect such remedy), provided such holder or lessor shall with due diligence
give Tenant written notice of intention to, and commence and continue to, remedy
such act or omission.

          9.4      In the event of a termination of the Over Lease, or if the
interests of Landlord under this Lease are transferred by reason of or assigned
in lieu of foreclosure or other proceedings for enforcement of any such
mortgage, or if the holder of any such mortgage acquires a lease in substitution
therefor, then Tenant under this Lease will, at the option to be exercised in
writing by the lessor under said Over Lease or such purchaser, assignee or
lessee, as the case may be, (i) attorn to it and will perform for its benefit
all the terms, covenants and conditions of this Lease on Tenant's part to be
performed with the same force and effect as if said lessor or such purchaser,
assignee or lessee, were the landlord originally named in this Lease, or (ii)
enter into a new lease with said lessor or such purchaser, assignee or lessee,
as landlord, for the remaining term of this Lease and otherwise on the same
terms and conditions and with the same options then remaining.

          9.5      In the event of the enforcement by the holder of any mortgage
of the remedies provided for by law or by any security instrument, Tenant will,
upon request of any person succeeding to the interest of Landlord as a result of
such enforcement, automatically become the Tenant of said successor in interest,
without change in the terms or other provisions of this Lease; provided,
however, that said successor in interest shall not be bound by (i) any payment
of Fixed Rent or additional rent for more than one month in advance, except
prepayments in the nature of security for the performance by Tenant of its
obligations under this Lease, (ii) any amendment or modification of this Lease
made without the consent of the holder of such mortgage or such successor in
interest, or (iii) any obligation or liability of Landlord

                                      -24-
<PAGE>

thereunder arising prior to the date the holder of such mortgage shall succeed
to the interest of Landlord. Upon request by said successor in interest, Tenant
shall execute and deliver an instrument or instruments confirming such
attornment. Anything to the contrary in the foregoing notwithstanding, any
cancellation, abridgment, surrender, modification or amendment of this Lease,
without the prior written consent of the holder of any superior mortgage, except
as may be permitted by the provisions of any such superior mortgage or
assignment of leases and rents granted in connection with such superior mortgage
shall be voidable as against the holder of the superior mortgage, at its option.

          9.6      If, in connection with obtaining financing (or
condominiumizing) for the Land and/or Building, or of any ground or underlying
lease, a banking, insurance or other recognized institutional lender shall
request reasonable modifications in this Lease as a condition to such financing
(or condominiumizing), Tenant will not unreasonably withhold, delay or defer its
consent thereto, provided that such modifications do not increase the
obligations or materially adversely affect the rights of Tenant hereunder or
materially adversely affect the leasehold interest hereby created or Tenant's
use and enjoyment of the Demised Premises.

          9.7      Tenant agrees, at any time and from time to time, upon not
less than ten days' prior notice by Landlord, to execute, acknowledge and
deliver to Landlord, a statement in writing addressed to Landlord certifying
that this Lease is unmodified and in full force and effect (or, if there have
been modifications, that the same is in full force and effect as modified and
stating the modifications), stating the dates to which the Fixed Rent,
additional rental and other charges have been paid, and stating whether or not
to the best knowledge of the signer of such certificate, there exists any
default in the performance of any covenant, agreement, term, provision or
condition contained in the Lease, and, if so, specifying each such default of
which the signer may have knowledge, it being intended that any such statement
delivered pursuant hereto may be relied upon by Landlord and by any mortgagee or
prospective mortgagee of any mortgage affecting the Building or the Building and
the Land, and by any landlord under a ground or underlying lease affecting the
Land or Building, or both.

          9.8      Tenant agrees to submit to Landlord on or before March 31 in
each calendar year a copy of the latest annual financial statements of Tenant
(and any guarantor of Tenant's obligations under this Lease), certified by an
independent certified public accountant.

                                   ARTICLE 10.

                             ENTRY; RIGHT TO CHANGE

                         PUBLIC PORTIONS OF THE BUILDING

          10.1     Tenant shall permit Landlord to erect, use and maintain pipes
and conduits in and through the Demised Premises, provided same does not reduce
the usable area of the Demised Premises by more than a de minimis amount or
materially interfere with Tenant's conduct of business in the Demised Premises.
Landlord or its agents or designees shall have the right to enter the Demised
Premises upon reasonable notice to Tenant (except in case of an emergency in
which case no notice shall be required), for the purpose of making such repairs
or alterations as Landlord shall be required or shall have the right to make by
the provisions of this Lease and, subject to the foregoing, shall also have the
right to enter the Demised Premises upon

                                      -25-
<PAGE>

reasonable notice to Tenant for the purpose of inspecting them or exhibiting
them to prospective purchasers or lessees of the Building or to prospective
mortgagees or to prospective assignees of any such mortgagees. Landlord shall be
allowed to take all material into and upon the Demised Premises that may be
required for the repairs or alterations above mentioned without the same
constituting an eviction of Tenant in whole or in part and the rent reserved
shall in no wise abate, except as otherwise provided in this Lease, while said
repairs or alterations are being made. Landlord shall use commercially
reasonable efforts to minimize any interference with the conduct of Tenant's
business operations in the Demised Premises in connection with any such repairs
or alterations, without, however, being obligated to employ overtime labor or to
incur any extraordinary expense in connection therewith.

          10.2     During the twelve (12) months prior to the expiration of the
term of this Lease, Landlord may exhibit the Demised Premises to prospective
tenants.

          10.3     Landlord shall have the right at any time without thereby
creating an actual or constructive eviction or incurring any liability to Tenant
therefor, to change the arrangement or location of entrances, passageways, doors
and doorways, corridors, stairs, toilets and other like public service portions
of the Building, provided that Tenant shall have reasonable access to the
Demised Premises.

          10.4     Landlord shall have the right at any time to name the
Building for any person(s) or tenant(s) and to change any and all such names at
any time thereafter.

                                   ARTICLE 11.

                                LAWS, ORDINANCES,

                       REQUIREMENTS OF PUBLIC AUTHORITIES

          11.1     Tenant shall, at its expense, comply with all laws, orders,
ordinances and regulations of Federal, State, County and Municipal authorities
including, but not limited to, the Americans with Disabilities Act, Title III,
42 U.S.C.S. ss. 12181-12189 and with any direction made pursuant to law or any
public officers which shall, with respect to the occupancy, use or manner of use
of the Demised Premises or to any abatement of nuisance, impose any violation,
order or duty upon Landlord or Tenant arising from Tenant's occupancy, use or
manner of use of the Demised Premises or any installations made therein by or at
Tenant's request or required by reason of a breach of any of Tenant's covenants
or agreements hereunder. However, Tenant shall not be required to perform any
structural modifications in the Demised Premises or to the Building in order to
comply with the requirements of this Section 11.1, except where such structural
modifications have become necessary as a result of either Tenant's (i)
particular manner of use of the Demised Premises (as opposed to the mere use of
the Demised Premises for offices), (ii) negligence or (iii) alterations to the
Demised Premises.

          11.2     If Tenant receives written notice of any violation of law,
ordinance, rule, order or regulation applicable to the Demised Premises, it
shall give prompt notice thereof to Landlord.

                                      -26-
<PAGE>

          11.3     Except as aforesaid, Landlord shall, at its expense comply
with or cause to be complied with, all laws, orders, ordinances and regulations
of Federal, State, County and Municipal authorities and any direction, made
pursuant to law, of any public officer or officers which shall, with respect to
the public portions of the Building, or which affect Tenant's use or enjoyment
of, or access to, the Demised Premises, impose any violation, order or duty upon
Landlord or Tenant and with respect to which Tenant is not obligated by Section
11.1 to comply. Landlord may at its expense contest the validity of any such
law, ordinance, rule, order or regulation.

                                   ARTICLE 12.

                                     REPAIRS

          12.1     Tenant shall take good care of the Demised Premises and the
fixtures and appurtenances therein and at its sole cost and expense make all
repairs thereto as and when needed to preserve them in good working order and
condition (except to the extent such repair is required due to Landlord's
negligence or willful misconduct). All damage or injury to the Demised Premises,
whether structural or non-structural, and to its fixtures, glass, appurtenances
and equipment or to the Building or to its fixtures, glass, appurtenances and
equipment caused by Tenant moving property in or out of the Building or by
installation or removal of furniture, fixtures or other property, or resulting
from fire, explosion, air-conditioning unit or system, short circuits, flow or
leakage of water, steam, illuminating gas, sewer gas, sewerage or odors or by
frost or by bursting or leaking of pipes or plumbing works or gas, or from any
other cause of any other kind or nature whatsoever due to the negligence or
willful misconduct of Tenant, its servants, employees, agents, visitors or
licensees, shall be repaired, restored or replaced promptly by Tenant at its
sole cost and expense to the reasonable satisfaction of Landlord. All aforesaid
repairs, restorations and replacements shall be in quality and class equal to
the original work or installations and shall be done in a good and workmanlike
manner. If Tenant fails to make such repairs, restorations or replacements, same
may be made by Landlord at expense of Tenant and all sums so spent and expenses
incurred by Landlord shall be collectible as additional rent and shall be paid
by Tenant within ten (10) days after rendition of a bill or statement therefor.

          12.2     Landlord shall, at its expense, make all repairs and
replacements, structural and otherwise, necessary or desirable in order to keep
in good order and repair the exterior of the Building and the public portions of
the Building the need for which Landlord may have knowledge (including the
public halls and stairways, plumbing, wiring and other Building equipment for
the general supply of water, heat, air-conditioning, gas and electricity) except
repairs hereinabove provided to be made by Tenant. Tenant agrees to notify
Landlord of the necessity of repairs of which Tenant may have knowledge, for
which Landlord may be responsible under the provisions of the preceding
sentence. Landlord shall use commercially reasonable efforts to minimize
interference with Tenant's use and occupancy of the Demised Premises in making
such repairs, without, however, being obligated to employ overtime labor or to
incur any extraordinary expense in connection therewith.

                                      -27-
<PAGE>

                                   ARTICLE 13.

                              ALTERATIONS; FIXTURES

          13.1     Tenant shall make no alterations, decorations, installations,
additions or improvements in or to the Demised Premises or the electrical,
plumbing, mechanical or heating, ventilating and air-conditioning systems
serving the Demised Premises, including but not limited to, a water cooler, an
air-conditioning or cooling system, mechanical or electrical equipment, or any
unit or part thereof or other apparatus of like or other nature, without
Landlord's prior written consent, which consent, with respect to non-structural
alterations that do not adversely affect any of the Building systems, shall not
be unreasonably withheld or delayed, provided Tenant complies with the
provisions herein, and then only by contractors or mechanics approved by
Landlord, which approval shall not be unreasonably withheld or delayed as to any
proposed general contractor to be retained by Tenant or subcontractors proposed
to be retained by Tenant's contractor. All such work, alterations, decorations,
installations, additions or improvements shall be done at Tenant's sole expense
and at such times and in such manner as Landlord may from time to time designate
and in full compliance with all governmental bodies having jurisdiction
thereover. As a condition precedent to Landlord's consent to the making by
Tenant of alterations, decorations, installations, additions or improvements to
Demised Premises costing in excess of $50,000, Tenant agrees to obtain and
deliver to Landlord a performance bond and a labor and materials payment bond
issued by a surety company satisfactory to Landlord and licensed to do business
in the State of New York, each in an amount equal to 100% of the cost of all
work, labor, and such services to be performed and materials to be furnished in
connection with such work, signed by such surety and a receipt of payment in
full of the premium for such bond. Landlord and Landlord's designees shall be
obligee(s) or insured(s) under such surety bond. Notwithstanding the foregoing,
if any mechanic's lien is filed against the Demised Premises or the Building for
work claimed to have been done for or materials claimed to have been furnished
to Tenant, it shall be discharged by Tenant within twenty (20) days after Tenant
is given notice of such lien, at Tenant's expense, by filing the bond required
by law or payment or otherwise. If Tenant fails to discharge such lien, then
Landlord (upon ten (10) days prior notice to Tenant) shall have the right to
discharge same (by filing the bond required by law or by payment in full of the
mechanic's lien or otherwise) and Landlord's costs and expense in obtaining such
discharge shall be repaid in full by Tenant to Landlord as additional rent
within ten (10) days after written demand therefor. In addition, Tenant shall
defend, save and hold Landlord harmless from any such mechanic's lien or claim,
including, without limitation, Landlord's reasonable attorneys' fees, costs and
expenses. Landlord shall not be liable for any failure of any Building
facilities or services including, but not limited to, the heating, ventilating
and air-conditioning installations, and/or additions by Tenant and Tenant shall
correct any such faulty installation. Upon Tenant's failure to correct same,
Landlord may make such correction and charge Tenant for the cost thereof. Such
sum due Landlord shall be deemed additional rent and shall be paid by Tenant
promptly upon being billed therefor and unless so paid, Tenant shall also pay
Landlord the then Prime Rate on such additional rent.

          13.2     Prior to commencing any work pursuant to the provisions of
Section 13.1, Tenant shall furnish to Landlord:

                                      -28-
<PAGE>

                  A.       Copies of all governmental permits and authorizations
which may be required in connection with such work.

                  B.       A certificate evidencing that Tenant (or Tenant's
contractors) has (have) procured workmen's compensation insurance in statutory
limits covering all persons employed in connection with the work who might
assert claims for death or bodily injury against the holder of the Over-Lease,
Landlord, Tenant or the Building.

                  C.       Such additional personal injury and property damage
insurance (over and above the insurance required to be carried by Tenant
pursuant to the provision of Section 16.3 of Article 16) and general liability
insurance (with completed operations endorsement) for any occurrence in or about
the Building, in such limits as Landlord may reasonably require because of the
nature of the work to be done by Tenant and with insurers satisfactory to
Landlord.

          13.3     All alterations, decorations, installations, additions or
improvements upon the Demised Premises, made by or for the benefit of Tenant,
including all paneling, decoration, partitions, railing, and the like, affixed
to the realty so that they cannot be removed without material damage, or for
which Tenant has received a credit shall, except as otherwise provided in this
Section 13.3, become the property of Landlord and shall remain upon, and be
surrendered with, the Demised Premises, as a part thereof, at the end of the
term or renewal terms, as the case may be. All alterations, installations,
additions or improvements upon the Demised Premises which are of a specialized
nature, however, including, but not limited to, pre-action sprinkler system,
raised floors, private bathrooms, pantries, outside louvers, and any other
improvements not generally usable by office tenants shall be deemed to be
"Specialty Alterations", and unless Landlord elects otherwise, shall be removed
from the Demised Premises by Tenant at Tenant's expense, with all damage caused
by such removal repaired by Tenant at its expense, and leaving the Demised
Premise otherwise in "broom clean" condition at or prior to the expiration of
the term. Landlord shall have the right to postpone its election as to such
Specialty Alterations until the date which is six (6) months after the end of
the term or renewal terms, as the case may be, in which case such items shall
remain upon, and be surrendered with, the Demised Premises at the end of such
term or renewal terms; if Landlord elects not to retain any of such Specialty
Alterations and gives notice thereof to Tenant within such six (6) month period,
then (a) Landlord shall remove such item(s) and repair any damage caused by such
removal and restore the Demised Premises as set forth above, (b) Tenant shall
promptly reimburse Landlord upon demand for Landlord's reasonable costs of such
removal and/or restoration, (c) if Landlord is holding a Security Deposit under
Article 29 of this Lease, Landlord shall retain such portion of that Security
Deposit as Landlord deems reasonably necessary in order to secure Tenant's
payment obligations under clause (b) above (but the same shall not constitute a
limit on Tenant's obligation under such clause (b) above) and (d) the provisions
of this sentence shall survive the expiration or earlier termination of this
Lease. Where furnished by or at the expense of Tenant (except where same is a
replacement of an item theretofore furnished and paid for by Landlord or against
which Tenant has received a credit), all movable property, furniture,
furnishings and trade fixtures, not affixed to the realty so that they can be
removed without material damage shall remain the property of Tenant, shall be
removed by Tenant on or before the expiration of the term or sooner termination
thereof and, in case of damage by reason of their removal, Tenant shall repair
any damage and restore the Demised Premises to good order and condition. In case
Tenant shall decide not to remove any part of such property, it shall notify
Landlord in writing

                                      -29-
<PAGE>

not less than sixty (60) days prior to the expiration of the term of this Lease
specifying the items of property which it has decided not to remove. If within
thirty (30) days after the service of such notice Landlord shall request Tenant
to remove any of the said Tenant's property, and/or if Landlord shall elect, not
less than 30 days prior to the expiration of this Lease, to require the removal
of any alterations, decorations, installations, additions or improvements
referred to above, Tenant shall at its expense, at or before the expiration of
the term of this Lease, remove said property, and in case of damage by reason of
such removal, restore the Demised Premises to good order and condition.
Notwithstanding anything to the contrary contained in this Lease, Tenant shall
not be required to obtain the consent or approval of Landlord for decorative,
nonstructural alterations (such as painting, wallcovering and carpeting) which:
(a) shall be located wholly within the Demised Premises; (b) shall not affect
the structural integrity of the Building or the operation of the HVAC, plumbing,
electrical, or water and sewer or other systems of the Building and (c) shall
not cost more than $10,000 in the aggregate, provided that Tenant gives Landlord
reasonable prior notice of such work.

          13.4     A. Before proceeding with any alteration and/or addition,
Tenant shall submit to Landlord three copies of detailed plans and
specifications therefor, for Landlord's review and approval. In no event by
reason thereof shall Tenant's connected electrical load exceed the capacity of
the distribution system in and to the Demised Premises. Provided Tenant so
requests in writing when submitting its plans to Landlord, Landlord shall advise
Tenant as to whether any of the alterations set forth in such plans shall be
required by Landlord to be removed by Tenant at the end of the term or renewed
terms.

                  B.       Tenant shall promptly reimburse Landlord for all
reasonable expenses incurred by Landlord in connection with (i) its decision and
the decision of any superior lessor and superior mortgagee as to whether to
approve the proposed alterations and/or additions and (ii) inspecting the
alterations and/or additions to determine whether the same are being or have
been performed in accordance with the approved plans and specifications therefor
and with all legal requirements and insurance requirements, including the fees
and expenses of any attorney, architect or engineer employed for such purpose.
Landlord shall exercise its good faith efforts to obtain consents from any
superior lessor and superior mortgagee. If such alterations and/or additions
require consent by or notice to the superior lessor, or the superior mortgagee,
Tenant, notwithstanding anything to the contrary contained in this Article,
shall not proceed with the same until such consent has been received, or such
notice has been given, as the case may be, and all applicable conditions and
provisions of the superior lease and/or additions for which consent has been
received shall be performed in accordance with the approved plans and
specifications therefor, and no changes thereto shall be made without the prior
consent of Landlord.

                  C.       Tenant shall not be permitted to install and make
part of the Demised Premises any materials, fixtures or articles which are
subject to liens, chattel mortgages or security interests (as such term is
defined in the Uniform Commercial Code as then in effect in New York) but Tenant
shall be permitted to lease normal office equipment, e.g., typewriter, photocopy
machines and telex machines, which are not to be built into the Demised
Premises.

                                      -30-
<PAGE>

                  D.       No alterations and/or additions shall be undertaken
(i) except under the supervision of a licensed architect or licensed
professional engineer satisfactory to Landlord (except for minor, decorative
alterations such as painting) and (ii) except after at least 15 days' prior
notice to Landlord.

                  E.       All alterations and/or additions shall at all times
comply with all legal requirements and insurance requirements and all rules and
regulations including any Landlord may adopt with respect to the making of any
improvements and shall be made at such times and in such manner as Landlord may
from time to time direct. Tenant, at its expense, shall (a) obtain all necessary
municipal and other governmental permits, authorizations, approvals and
certificates for the commencement and prosecution of such alterations and/or
improvements and for final approval thereof upon completions, (b) deliver three
copies to Landlord and (c) cause all alterations and/or improvements to be
performed in a good and first class workmanlike manner, using new materials and
equipment at least equal in quality to the original installations of the
Building or the then standards for the Building established by Landlord. All
alterations and/or additions shall be promptly commenced and completed and shall
be performed in such manner so as not to interfere with the occupancy of any
other tenant nor delay or impose any additional expense upon Landlord in the
maintenance, cleaning, repair, safety, management, or security of the Building
(or the Building's equipment) or in the performance of any improvements. If any
additional expense is incurred Landlord may collect the same as additional rent
from Tenant and Tenant's failure to promptly pay the same when billed shall
entitle Landlord to treat the nonpayment thereof as a non-payment of rent under
this Lease and until paid to Landlord such additional rent shall bear interest
at the then Prime Rate. Upon completion of Tenant's improvements, Tenant shall
deliver a complete set of "As Built" drawings and plans to Landlord. No
improvements shall involve the removal of any fixtures, equipment or other
property in the Demised Premises which are not Tenant's sole and exclusive
property without Landlord's prior written consent and unless they shall be
promptly replaced, at Tenant's expense, with fixtures, equipment or other
property, of like utility and at least equal value (which thereupon shall become
the property of Landlord).

                  F.       Tenant, at its sole expense, promptly shall procure
the cancellation or discharge of all notices of violation arising from or
otherwise connected with its alterations and/or additions which shall be issued
by any public authority having or asserting jurisdiction.

                  G.       Only Landlord or persons first reasonably approved by
Landlord shall be permitted to act as contractor for any work to be performed in
accordance with this Article. Landlord reserves the right to exclude from the
Building any person attempting to act as construction contractor in violation of
this Article. In the event Tenant shall employ any contractor permitted in this
Article, such contractor or any subcontractor may have use of the Building
facilities subject to the provisions of this Lease and the Rules and Regulations
governing construction. Tenant will advise Landlord of the names of any such
contractor and subcontractor Tenant proposes to use in the Demised Premises at
least 30 days prior to the beginning of work by such contractor or
subcontractor.

                  H.       Tenant agrees that it will not at any time prior to
or during the term of this Lease, either directly or indirectly employ or permit
the employment of any contractor, mechanic or laborer, or permit any materials
in the Demised Premises, if the use of such contractor,

                                      -31-
<PAGE>

mechanic or laborer or such materials would, in Landlord's sole and exclusive
opinion, create any difficulty, work slowdown, sabotage, wild-cat strike, strike
or jurisdictional dispute with other contractors, mechanics and/or laborers
engaged by Tenant or Landlord or others, or would in any way disturb the
peaceful and harmonious construction, maintenance, cleaning, repair, management,
security or operation of the Building or any part thereof or in any other
building owned by Landlord (or an affiliate of Landlord or co-venturer of
Landlord). In the event of any interference or conflict, or perceived
interference or conflict, Tenant, upon demand of Landlord, shall cause all
contractors, mechanics or laborers, or all materials causing, in Landlord's sole
and exclusive opinion, such interference, difficulty or conflict, to leave or be
removed from the Building immediately and Tenant does hereby agree to defend,
save and hold Landlord harmless from any and all loss arising thereby,
including, without limitation, any attorney's fees and any claims made by
contractors, mechanics and/or laborers so precluded from having access to the
Building.

                  I.       No approval of any plans or specifications by
Landlord or consent by Landlord allowing Tenant to make any improvements or any
inspection of improvements made by or for Landlord shall in any way be deemed to
be an agreement by Landlord that the contemplated improvements comply with any
legal requirements or insurance requirements or the certificate of occupancy for
the Building nor shall it be deemed to be a waiver by Landlord of the compliance
by Tenant of any provision of this Lease.

                                   ARTICLE 14.

                LANDLORD'S RIGHT TO PERFORM TENANT'S OBLIGATIONS

          14.1     If Tenant shall default beyond applicable notice and cure
periods in the observance or performance of any term or covenant on its part to
be observed or performed under or by virtue of any of the terms or provisions in
any Article of this Lease, Landlord, without being under any obligation to do so
and without thereby waiving such default, may remedy such default for the
account and at the expense of Tenant. If Landlord makes any expenditures or
incurs any obligations for the payment of money in connection therewith,
including, but not limited to, attorney's fees in instituting, prosecuting or
defending any action or proceeding, such sums paid or obligations incurred with
interest and costs shall be deemed to be additional rent hereunder and shall be
paid to it by Tenant promptly after demand.

                                   ARTICLE 15.

                            NO LIABILITY OF LANDLORD

          15.1     Landlord or Landlord's agents have made no representations or
promises with respect to the Building, the Land or the Demised Premises except
herein expressly set forth and no rights, easements or licenses are acquired by
Tenant by implication or otherwise except as expressly set forth in the
provision of this Lease. The taking possession of the Demised Premises by Tenant
shall be conclusive evidence, as against Tenant, that Tenant accepts said
premises and that same were in good and satisfactory condition, except as
otherwise provided in this Lease, at the time such possession was so taken
subject to Punch List Items, and to latent

                                      -32-
<PAGE>

defects (of which Landlord must be given notice within two (2) months after the
date of delivery of possession of the Demised Premises to Tenant).

          15.2     This Lease and the obligation of Tenant to pay rent hereunder
and perform all of the other covenants and agreements hereunder on the part of
Tenant to be performed shall in no way be affected, impaired or excused because
Landlord is unable to fulfill any of its obligations under this Lease or is
unable to supply or is to make or is delayed in making any repairs, additions,
alterations or decorations or is unable to supply or is delayed in supplying any
equipment or fixtures, if Landlord is prevented or delayed from so doing by
reason of strike or labor trouble or any other cause whatsoever beyond
Landlord's reasonable control including, but not limited to, governmental
pre-emption in connection with a National Emergency or by reason of any rule,
order or regulation of any department or subdivision thereof of any government
agency or by reason of the conditions of supply and demand which have been or
are affected by war or other emergency.

          15.3     Landlord and its agents shall not be liable for any damage to
property of Tenant or of others entrusted to employees of the Building, nor for
the loss of or damage to any property of Tenant by theft or otherwise. Landlord
and its agents shall not be liable for any injury or damage to persons or
property resulting from fire, explosion, falling plaster, steam, gas,
electricity, water, rain or snow leaks from any part of the Building or from the
pipes, appliances or plumbing works or from the roof, street or sub-surface or
from any other place or by dampness or by any other cause of whatsoever nature,
unless caused by or due to the negligence of Landlord, its agents, servants or
employees; nor shall Landlord and its agents be liable for any such damage
caused by other tenants or persons in the Building or caused by operations in
construction of any private, public or quasi-public work; nor shall Landlord be
liable for any patent defect in the Demised Premises or in the Building. If at
any time any windows of the Demised Premises are temporarily closed, darkened or
bricked up for any reason whatsoever including, but not limited to, Landlord's
own acts (or permanently closed or bricked up if required by law), Landlord
shall not be liable for any damage Tenant may sustain thereby and Tenant shall
not be entitled to any compensation therefor nor abatement of rent nor shall the
same release Tenant from its obligations hereunder nor constitute an eviction.
In the case of a temporary closing or darkening, Landlord shall use commercially
reasonable efforts to minimize the duration of such closing or darkening,
without, however, being obligated to employ overtime labor or to incur any
extraordinary expense in connection therewith. Tenant shall reimburse and
compensate Landlord as additional rent within ten (10) days after rendition of a
statement for all expenditures made by or damages or fines sustained or incurred
by Landlord due to non-performance or non-compliance with or breach or failure
to observe any term, covenant or condition of this Lease upon Tenant's part to
be kept, observed, performed or complied with. If Tenant shall fail to make such
payment within said ten (10) days, Tenant shall also be liable for interest on
such additional rent at the then Prime Rate until Landlord shall be fully
reimbursed. Tenant shall give immediate notice to Landlord in case of fire or
accidents in the Demised Premises or in the Building or of defects therein or in
any fixtures or equipment.

          15.4     No recourse shall be had on any of Landlord's obligations
under this Lease or for any claim based thereon or otherwise in respect thereof
against any incorporator of Landlord, subscriber to Landlord's capital stock,
shareholder, employee, agent, officer or director, past, present or future, of
any corporation, or any partner or joint venturer of any

                                      -33-
<PAGE>

partnership or joint venture which shall be Landlord hereunder or included in
the term "Landlord" or of any successor of any such corporation, or against any
principal, disclosed or undisclosed, or any such corporation, or against any
principal, disclosed or undisclosed, or any affiliate of any party which shall
be Landlord or included in the term "Landlord," whether directly or through
Landlord or through any receiver, assignee, agent, trustee in bankruptcy or
through any other person, firm or corporation, whether by virtue of any
constitution, statute or rule of law or by enforcement of any assessment or
penalty or otherwise, all such liability being expressly waived and released by
Tenant.

          15.5     Tenant shall look only and solely to Landlord's leasehold
estate and interest in and to the Building and the rents and profits therefrom
and the proceeds of any sale thereof for the satisfaction of any right of Tenant
arising out of this Lease or for the collection of judgment or other judicial
process or arbitration award requiring the payment of money by Landlord and no
other property or assets of Landlord, Landlord's agents, incorporators,
shareholders, employees, officers, directors, partners, agents, principal
(disclosed or undisclosed), joint venturers, or affiliates shall be subject to
levy, lien, execution, attachment, or other enforcement procedure for the
satisfaction of Tenant's rights and remedies under or with respect to this
Lease, the relationship of Landlord and Tenant hereunder or under law, or
Tenant's use and occupancy of the Demised Premises or any other liability of
Landlord to Tenant.

                                   ARTICLE 16.

                                    INSURANCE

          16.1     Tenant shall not do or permit to be done any act or thing in
or upon the Demised Premises which will invalidate or be in conflict with the
Certificate of Occupancy or the terms of the New York State standard form of
fire, boiler, sprinkler, water damage or other insurance policies covering the
Building and the fixtures and property therein; and Tenant shall, at its own
expense, comply with all rules, orders, regulations or requirements of the New
York Board of Fire Underwriters or any other similar body having jurisdiction,
and shall not knowingly do or permit anything to be done in or upon the Demised
Premises or bring or keep anything therein or use the Demised Premises in a
manner which increases the rate of fire insurance upon the Building or on any
property or equipment located therein over the rate in effect at the
commencement of the term of this Lease.

          16.2     If, by reason of any failure of Tenant to comply with the
provisions of this Lease, the rate of fire, boiler, sprinkler, water damage or
other insurance (with extended coverage) on the Building or on the property and
equipment of Landlord or any other tenant or subtenant in the Building shall be
higher than it otherwise would be, Tenant shall reimburse Landlord and the other
tenants in the Building for that part of the fire, boiler, sprinkler, water
damage or other insurance premiums thereafter paid by Landlord which shall have
been charged because of such failure by Tenant and Tenant shall make the
reimbursement on the first day of the month following such payment by Landlord.
If Tenant shall fail to make such reimbursement when billed for the same,
Landlord may treat the same as a default in the payment of rental and shall also
be entitled to interest on the unpaid sum at the then Prime Rate until such sum
shall be fully paid to Landlord. In any action or proceeding wherein Landlord

                                      -34-
<PAGE>

and Tenant are parties, a schedule or "make up" of rates for the Building or
Demised Premises issued by the New York Fire Insurance Exchange or other body
making fire insurance rates for said premises, shall be conclusive evidence of
the facts therein stated and of the several items and charges in the fire
insurance rate then applicable to said Building or Demised Premises.

          16.3     Tenant shall obtain and keep in full force and effect during
the term, at its own cost and expense, to protect Tenant as the insured and
Landlord, Landlord's agents, any superior lessor, and any superior mortgagee as
additional insureds (a) public liability insurance to afford protection against
any and all claims for personal injury, death or property damage occurring in,
upon, adjacent to or connected with the Demised Premises, or any part thereof in
an amount of not less than $5,000,000 in the aggregate combined single limit
bodily injury and property damage arising out of any one occurrence or in any
increased amount reasonably required by Landlord; and (b) insurance against loss
or damage by fire, and such other risks and hazards as are insurable under then
available standard forms of fire insurance policies with extended coverage, to
Tenant's property for the full insurable value thereof. During such time as
Tenant shall be constructing any improvements, alterations and/or additions to
the Demised Premises, Tenant shall carry builder's risk insurance, completed
value form, covering all physical loss, in an amount reasonably satisfactory to
and to specifically protect the Landlord and any superior lessor.

          All such insurance shall be written in form and substance reasonably
satisfactory to Landlord by an insurance company of recognized responsibility
licensed to do business in New York State. Upon failure of Tenant to procure,
maintain and pay all premiums therefor, Landlord may, at its option do so, and
Tenant agrees to pay the cost thereof to Landlord upon demand as additional
rent, together with interest thereon at the then Prime Rate. Tenant shall cause
to be included in all such insurance policies a provision to the effect that the
same will be noncancellable and not permitted to lapse or be modified except
upon 30 days' prior notice to Landlord. Attached hereto as Exhibit G is a sample
insurance certificate showing the lower right-hand "Cancellation" section
requirements which must be met to conform the certificate to the provisions of
this Section. On the Commencement Date the original insurance policies or
appropriate endorsements thereto shall also be deposited.

          16.4     Tenant shall indemnify and hold Landlord harmless from and
against all claims or damage (including attorneys' fees) to person or property
occurring in or about the Demised Premises or arising from, related to or in
connection with the use or occupancy of the Demised Premises or the conduct of
Tenant's business therein or therefrom.

                                   ARTICLE 17.

                          DAMAGE BY FIRE OR OTHER CAUSE

          17.1     If the Demised Premises shall be partially damaged by fire or
other cause without the default or neglect of Tenant, Tenant's servants,
employees, agents, visitors or licensees, the damages shall be repaired by and
at the expense of Landlord and until such repairs shall be completed the Fixed
Rent shall be apportioned according to the part of the Demised Premises which is
usable by Tenant. But if partial damage is due to the fault or neglect of
Tenant, Tenant's servants, employees, agents, visitors or licensees, without
prejudice to any

                                      -35-
<PAGE>

other rights and remedies of Landlord and without prejudice to the rights of
subrogation of Landlord's insurer, the damages shall be repaired by Landlord but
there shall be no apportionment or abatement of rent. No penalty shall accrue
for reasonable delay which may arise by reason of adjustment of insurance on the
part of the Landlord, or for reasonable delay on account of "labor troubles," or
for Acts of God, or any other cause beyond Landlord's control, or any
combination thereof. If the Demised Premises are totally or substantially
damaged or are rendered wholly or substantially untenantable by fire or other
cause, then the rent shall be proportionately paid up to the time of the
casualty and thenceforth shall cease until the date when the Demised Premises
shall have been repaired and restored by Landlord, subject to Landlord's right
to elect not to restore the same as hereinafter provided. If the Demised
Premises are rendered substantially unusable or (whether or not the Demised
Premises are damaged in whole or in part) if the Building shall be so damaged
that Landlord shall decide to demolish it or to rebuild it, then or in any of
such events Landlord may, within ninety (90) days after such fire or other
cause, give Tenant a notice in writing of such decision, which notice shall be
given as in Article 24 hereof provided, and thereupon the term of this Lease
shall expire by lapse of time upon the third day after such notice is given, and
Tenant shall vacate the Demised Premises and surrender the same to Landlord.
Upon the termination of this Lease under the conditions provided for in the
sentence immediately preceding, Tenant's liability for rent shall cease as of
the day following the casualty. Tenant hereby expressly waives the provision of
Section 227 of the Real Property Law and agrees that the foregoing provision of
this Article shall govern and control in lieu thereof, this Article being an
express agreement. If the damage or destruction be due to the fault or neglect
of Tenant the debris shall be removed by, and at the expense of Tenant.

          17.2     No damage, compensation or claims shall be payable by
Landlord for inconvenience, loss of business or annoyance arising from any
repair or restoration of any portion of the Demised Premises or of the Building.
Landlord shall use its reasonable efforts (which reasonable efforts shall in no
event obligate Landlord to pay overtime pay or other premium rates) to effect
such repairs promptly and in such a manner as not unreasonably to interfere with
Tenant's occupancy.

          17.3     The parties hereto shall each procure and maintain in force
and effect an appropriate clause in, or endorsement on, any fire or extended
coverage insurance covering the Demised Premises and the Building and the
personal property, fixtures and equipment located therein or thereon, pursuant
to which, the insurance companies waive subrogation, provided such waiver is
procurable without additional premium, and having obtained such clause or
endorsement of waiver of subrogation, each party hereby agrees that it will not
make any claims against or seek to recover from the other for any loss or damage
to its property or the property of the other, covered by such fire and extended
coverage insurance; provided, however, that the release, discharge, exoneration
and covenant not to sue herein contained shall be limited by the terms and
provisions of the waiver of subrogation clause and/or endorsements and shall be
co-extensive therewith. If such waiver of subrogation shall be procurable only
by payment of an additional premium therefor, notice of such requirements shall
be furnished to the other party, and if such other party fails to pay such
additional premium, or if such waiver of subrogation shall no longer be
obtainable, then the provisions hereof shall not be applicable to such other
party. Tenant acknowledges that Landlord will not carry insurance on Tenant's
furniture, equipment, improvements, furnishings or other Tenant appurtenances
removable by Tenant, and

                                      -36-
<PAGE>

Tenant agrees that Landlord will not be obligated to repair any damage thereto
or to replace the same. Tenant agrees to carry and maintain insurance on all of
its property equal to 100% of the full insurable value thereof.

          17.4     If more than 15% of the Demised Premises or a substantial
portion of the Building shall be damaged by fire or other casualty during the
last two (2) years of the terms of this Lease, Landlord may, upon 90 days
written notice to Tenant, cancel and terminate this Lease as of the date set
forth in such notice, as if such date were the stated Expiration Date of this
Lease and Landlord shall have no duty to repair and/or restore the Demised
Premises.

          17.5     Notwithstanding anything herein to the contrary, if the
Demised Premises are totally or substantially damaged, then Landlord (if it has
not theretofore cancelled this Lease pursuant to the provisions of this Article)
shall within ninety (90) days after such fire or casualty obtain and deliver to
Tenant an estimate from a reliable contractor as to whether or not the Demised
Premises can be repaired and restored under a normal working schedule within
twelve (12) months from the date of such fire or casualty. If such estimate
states that the Demised Premises cannot be so restored, Tenant may, within
thirty (30) days after receipt of the estimate, upon thirty (30) days written
notice to Landlord, elect to terminate this Lease as of the date set forth in
such notice. If within twelve (12) months (such period to be extended to the
extent of delays caused by Tenant or due to force majeure) after the fire or
casualty, the Demised Premises have not been substantially restored by Landlord,
Tenant may, within thirty (30) days after the end of such period, upon thirty
(30) days written notice to Landlord, cancel and terminate this Lease as of the
date set forth in such notice. If Tenant exercises its right to terminate this
Lease pursuant to this paragraph, this Lease shall terminate as of the date set
forth in Tenant's notice as if such date were the stated expiration date of this
Lease and Landlord shall have no further duty to repair and/or restore the
Demised Premises.

                                   ARTICLE 18.

                                  CONDEMNATION

          18.1     In the event that the whole of the Demised Premises shall be
condemned or taken in any manner for any public or quasi-public use, this Lease
and the term and estate hereby granted shall forthwith cease and terminate as of
the date of vesting of title. In the event that only a part of the Demised
Premises shall be so condemned or taken, then, effective as of the date of
vesting of title, the rent hereunder for such part shall be equitably abated and
this Lease shall continue as to such part not so taken. In the event that only a
part of the Building shall be so condemned or taken, then (a) if substantial
structural alteration or reconstruction of the Building shall, in the reasonable
opinion of Landlord, be necessary or appropriate as a result of such
condemnation or taking (whether or not the Demised Premises be affected),
Landlord may, at its option, terminate this Lease and the term and estate hereby
granted as of the date of such vesting of title by notifying Tenant in writing
of such termination within 60 days following the date on which Landlord shall
have received notice of vesting of title, or (b) if Landlord does not elect to
terminate this Lease, as aforesaid, this Lease shall be and remain unaffected by
such condemnation or taking, except that the rent shall be abated to the extent,
if any, hereinbefore provided. In the event that only a part of the Demised
Premises shall be so condemned or taken and this Lease and the terms and estate
hereby granted are not terminated as hereinbefore

                                      -37-
<PAGE>

provided, Landlord will, at its expense, restore with reasonable diligence the
remaining structural portions of the Demised Premises as nearly as practicable
to the same condition as it was in prior to such condemnation or taking.

          18.2     In the event of termination in any of the cases hereinabove
provided, this Lease and the term and estate hereby granted shall expire as of
the date of such termination with the same effect as if that were the date
hereinbefore set for the expiration of the term of this Lease, and the rent
hereunder shall be apportioned as of such date.

          18.3     In the event of any condemnation or taking hereinabove
mentioned of all or a part of the Building, Landlord shall be entitled to
receive the entire award in the condemnation proceeding, including any award
made for the value of the estate vested by this Lease in Tenant, and Tenant
hereby expressly assigns to Landlord any and all right, title and interest of
Tenant now or hereafter arising in or to any such award or any part thereof, and
Tenant shall be entitled to receive no part of such award. Tenant shall have no
claim for the value of any unexpired term of this Lease.

          18.4     If more than 15% of the Demised Premises shall be taken in
condemnation during the last two (2) years of the term of this Lease, Landlord
may give Tenant a 90 day notice terminating and canceling this Lease as if the
date set forth in the notice were the Expiration Date hereof.

                                   ARTICLE 19.

                                   BANKRUPTCY

          19.1     If at any time prior to the date herein fixed as the
Commencement Date there shall be filed by or against Tenant in any court
pursuant to any statute either of the United States or of any State a petition
in bankruptcy, or there shall be commenced a case under the United States
Bankruptcy Code, 11 U.S.C. ss.101 et. seg., as amended (the "Bankruptcy Code")
by or against Tenant, or a petition filed for insolvency or for reorganization
or for the appointment of a receiver or trustee of all or a portion of Tenant's
property, and within sixty (60) days thereof Tenant fails to secure a discharge
thereof, or if Tenant makes an assignment for the benefit of creditors, or
petitions for or enters into an arrangement with its creditors, (any or all of
the foregoing being herein called a "Bankruptcy Event") this Lease shall be
cancelled and terminated, in which event neither Tenant nor any person claiming
through or under Tenant or by virtue of any statute or of an order of any court
shall be entitled to possession of the Demised Premises and Landlord, in
addition to the other rights and remedies given by Section 19.3 hereof and by
virtue of any other provision herein or elsewhere in this Lease contained or by
virtue of any statute or rule of law, may retain as liquidated damages any rent,
security, deposit or monies received by it from Tenant or others on behalf of
Tenant upon the execution hereof.

          19.2     If at the date fixed as the Commencement Date or if at any
time during the term hereby demised there shall be filed by or against Tenant in
any court pursuant to any statute either of the United States or of any State a
petition in bankruptcy, or there shall be commenced a case by or against Tenant
under the Bankruptcy Code, or a petition filed in insolvency or for
reorganization or for the appointment of a receiver or trustee of all or a
portion of Tenant's

                                      -38-
<PAGE>

property, and within sixty (60) days thereafter Tenant fails to secure a
discharge thereof, or if Tenant makes an assignment for the benefit of creditors
or petitions for or enters into an arrangement with its creditors, this Lease,
at the option of Landlord, exercised within a reasonable time after notice of
the happening of any one or more of such events, may be cancelled and
terminated, in which event neither Tenant nor any person claiming through or
under Tenant by virtue of any statute or of an order of any court shall be
entitled to possession or to remain in possession of the Demised Premises but
shall forthwith quit and surrender the Demised Premises, and Landlord, in
addition to the other rights and remedies Landlord has by virtue of any other
provision herein or elsewhere in this Lease contained or by virtue of any
statute or rule of law, may retain as liquidated damages any rent, security,
deposit or monies received by it from Tenant or others on behalf of Tenant.

          19.3     It is stipulated and agreed that in the event of the
termination of this Lease pursuant to Sections 19.1 or 19.2 hereof, Landlord
shall forthwith, notwithstanding any other provisions of this Lease to the
contrary, be entitled to recover from Tenant as and for liquidated damages an
amount equal to the difference between the rent reserved hereunder for the
unexpired portion of the term demised and the then fair and reasonable rental
value of the Demised Premises for the same period. In the computation of such
damages the difference between any installment of rent becoming due hereunder
after the date of termination and the fair and reasonable rental value of the
Demised Premises for the period for which such installment was payable shall be
discounted to the date of termination at the rate of four per cent (4%) per
annum. If such premises or any part thereof be re-let by the Landlord for the
unexpired term of this Lease, or any part thereof, before presentation of proof
of such liquidated damages to any court, commission or tribunal, the amount of
rent reserved upon such reletting shall be deemed prima facie to be the fair and
reasonable rental value for the part or the whole of the premises so re-let
during the term of the re-letting. Nothing herein contained shall limit or
prejudice the right of the Landlord to prove for and obtain as liquidated
damages by reason of such termination, an amount 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 proved, whether or not such amount
be greater, equal to or less than the amount of the difference referred to
above.

          19.4     Without limiting any of the foregoing provisions of this
Article, if pursuant to the Bankruptcy Code, Tenant is permitted to assign or
otherwise transfer this Lease (whether in whole or in part in disregard of the
restrictions contained in this Article and/or Article 8), Tenant agrees that
adequate assurance of future performance by the assignee or transferee permitted
under such Code shall mean the deposit of cash security with Landlord in an
amount equal to the sum of one year's Fixed Rent then reserved hereunder plus an
amount equal to all additional rent payable under Articles 4, 6, 7 or other
provisions of this Lease for the calendar year preceding the year in which such
assignment is intended to become effective, which deposit shall be held by
Landlord, without interest, for the balance of the term as a security for the
full and faithful performance of all of the obligations under this Lease on the
part of Tenant yet to be performed. If Tenant receives or is to receive any
valuable consideration for such an assignment or transfer (in part or in whole)
of this Lease, such consideration, after deducting therefrom any portion of such
consideration reasonably designated by the assignee or transferee as paid for
the purchase of Tenant's personal property in the Demised Premises, shall be and
become the sole exclusive property of Landlord and shall be paid over to
Landlord directly by such assignee or transferee. Any such assignee or
transferee may only use the

                                      -39-
<PAGE>

Demised Premises as executive offices for an assignee or transferee whose main
business is the same as Tenant's and such occupancy may not increase the number
of individuals occupying the Demised Premises at the time a petition for
bankruptcy (or reorganization) is filed by or against Tenant. In addition,
adequate assurance shall mean that any such assignee or transferee of this Lease
shall have a net worth (exclusive of good will) equal to at least fifteen (15)
times the aggregate of the annual Fixed Rent reserved hereunder plus all
additional rent for the preceding calendar year as aforesaid. Such assignee or
transferee shall expressly assume this Lease by an agreement in recordable form.

                                   ARTICLE 20.

                   DEFAULTS AND REMEDIES; WAIVER OF REDEMPTION

          20.1     A.  If Tenant defaults in fulfilling any of the covenants of
this Lease, other than the covenants for the payment of Fixed Rent or additional
rent, or if the Demised Premises become abandoned, or if the Demised Premises
are damaged by reason of negligence or carelessness of Tenant, its agents,
employees or invitees, then, in any one or more of such events, upon Landlord
serving a written fifteen (15) days' notice upon Tenant specifying the nature of
said default, and upon the expiration of said fifteen (15) days, if Tenant shall
have failed to comply with or remedy such default, or if the said default or
omission complained of shall be of such a nature that the same cannot be
completely cured or remedied within said fifteen (15) day period, and if Tenant
shall not have diligently commenced curing such default within such fifteen (15)
day period, and shall not thereafter with reasonable diligence and in good faith
proceed to remedy or cure such default or, if Tenant shall default in the
performance of any term or condition of this Lease (other than the payment of
Fixed Rent or additional rent) more than three times in any period of nine
months, or, with respect to the payment of any item of Fixed Rent or additional
rent, more than two times in any period of six months, and notwithstanding that
such defaults shall have each been cured within the applicable period, as above
provided, if any further similar default shall occur, then Landlord may serve a
written three (3) day notice of cancellation of this Lease upon Tenant, and upon
the expiration of said three (3) days, this Lease and the term hereunder shall
end and expire as fully and completely as if the date of expiration of such
three (3) day period were the day herein definitely fixed for the end and
expiration of this Lease and the term thereof and Tenant shall then quit and
surrender the Demised Premises to Landlord but Tenant shall remain liable as
hereinafter provided.

          B.       If the notice provided for in A hereof shall have been given,
and the term shall expire as aforesaid; or (1) if Tenant shall make default in
the payment of the Fixed Rent reserved herein or any item of additional rent
herein mentioned or any part of either or in making any other payment herein
provided; or (2) if any execution or attachment shall be issued against Tenant
or any of Tenant's property whereupon the Demised Premises shall be taken or
occupied or attempted to be taken or occupied by someone other than Tenant; or
(3) if Tenant shall make default with respect to any other lease between
Landlord and Tenant; or (4) if Tenant shall fail to move into or take possession
of the Demised Premises within sixty (60) days after commencement of the term of
the Lease, of which fact Landlord shall be the sole judge; then and in any of
such events Landlord may without notice, re-enter the Demised Premises by legal
means and dispossess Tenant by summary proceedings or otherwise, and the legal
representative

                                      -40-
<PAGE>

of Tenant or other occupant of the Demised Premises and remove their effects and
hold the Demised Premises as if this Lease had not been made but Tenant shall
remain liable hereunder as hereinafter provided, and Tenant hereby waives the
service of notice of intention to re-enter or to institute legal proceedings to
that end. If Tenant shall make default hereunder that remains uncured on the
date fixed as the commencement of any renewal or extension of this Lease,
Landlord may cancel and terminate such renewal or extension agreement by written
notice, but Tenant shall remain liable as hereinafter provided.

          20.2     In the case of any such default, re-entry, expiration and/or
dispossession by summary proceedings or otherwise, (a) the Fixed Rent and
additional rent shall become due thereupon and be paid to the time of such
re-entry, dispossession and/or expiration, together with such expenses as
Landlord may incur for legal expenses, attorneys' fees, brokerage, and/or
putting the Demised Premises in good order, or for preparing the same for
re-rental; (b) Landlord may re-let the Demised Premises or any part or parts
thereof, either in the name of Landlord or otherwise, for a term or terms, which
may at Landlord's option be less than or exceed the period which would otherwise
have constituted the balance of the term of this Lease and may grant concessions
or free rent; and/or (c) Tenant or the legal representative of Tenant shall also
pay Landlord as liquidated damages for the failure of Tenant to observe and
perform said Tenant's covenants herein contained, any deficiency between the
rent and additional rents hereby reserved and/or covenanted to be paid and the
net amount, if any, of the rents collected or to be collected on account of the
lease or leases of the Demised Premises for each month of the period which would
otherwise have constituted the balance of the term of this Lease. The failure or
refusal of Landlord to re-let the Demised Premises or any part or parts thereof
shall not release or affect Tenant's liability for damages. In computing such
damages there shall be added to the said deficiency such expenses as Landlord
may incur in connection with re-letting, such as legal expenses, attorneys'
fees, brokerage and for keeping the Demised Premises in good order or for
preparing the same for re-letting. Any such damages shall be paid in monthly
installments by Tenant on the rent days specified in this Lease and any suit
brought to collect the amount of the deficiency for any month or months shall
not prejudice in any way the rights of Landlord to collect the deficiency for
any subsequent month or months by a similar proceeding. In lieu thereof,
Landlord may immediately accelerate such deficiency for the entire balance of
the term, discounted in the same manner as specified in Section 19.3. Landlord
at Landlord's option may make such alterations, repairs, replacements and/or
decorations in the Demised Premises as Landlord in Landlord's sole judgement
considers advisable and necessary for the purpose of re-letting the Demised
Premises; and the making of such alterations and/or decorations shall not
operate or be construed to release Tenant from liability hereunder as aforesaid.
Landlord shall in no event be liable in any way whatsoever for failure to re-let
the Demised Premises, or in the event that the Demised Premises are re-let, for
failure to collect the rent thereof under such re-letting. Any such action may
be an action for the full amount of all rents and damages suffered or to be
suffered by Landlord. In the event of a breach or threatened breach by Tenant of
any of the covenants or provisions hereof, Landlord shall have the right of
injunction and the right to invoke any remedy allowed at law or in equity as if
re-entry, summary proceedings and other remedies were not herein provided for.
Mention in this Lease of any particular remedy, shall not preclude Landlord from
any other remedy, in law or in equity. The foregoing remedies and rights of
Landlord are cumulative. Tenant hereby expressly waives any and all rights of
redemption granted by or under any present or future laws in the event of
Tenant's being evicted or dispossessed for any cause, or in the event of
Landlord's obtaining possession of the Demised

                                      -41-
<PAGE>

Premises by reason of the violation by Tenant of the covenants and conditions of
this Lease, or otherwise.

                                   ARTICLE 21.

                           COVENANT OF QUIET ENJOYMENT

          21.1     Landlord covenants and agrees with Tenant that upon Tenant's
paying the rent and additional rent and observing and performing all the terms,
covenants and conditions on Tenant's part to be observed and performed, Tenant
may peaceably and quietly enjoy the premises hereby demised, subject,
nevertheless, to the terms and conditions of this Lease (including, but not
limited to, Article 23 hereof) and the Over Lease, ground leases, underlying
leases and mortgages hereinbefore and hereinafter mentioned.

                                   ARTICLE 22.

                              SURRENDER OF PREMISES

          22.1     Upon the expiration or other termination of the term of this
Lease, Tenant shall quit and surrender the Demised Premises in good order and
condition, ordinary wear and tear and damage by fire or other casualty, the
elements and any cause beyond Tenant's control excepted, and shall remove all
its property therefrom, except as otherwise provided in this Lease. Tenant's
obligation to observe or perform this covenant shall survive the expiration or
other termination of the term of this Lease.

          22.2     Tenant acknowledges that possession of the Demised Premises
must be surrendered to Landlord at the expiration or sooner termination of the
term hereof. The parties recognize and agree that the damage to Landlord
resulting from any failure by Tenant timely to surrender possession of the
Demised Premises as aforesaid will be substantial, will exceed the amount of
annual Fixed Rent and additional rent theretofore payable hereunder, and will be
impossible accurately to measure. Tenant therefore agrees that if possession of
the Demised Premises is not surrendered to Landlord upon the expiration or
sooner termination of the term of this Lease, then notwithstanding anything to
the contrary contained in this Lease, Tenant shall pay to Landlord for each
month and for each portion of any month during which Tenant holds over in the
Demised Premises after the expiration or sooner termination of the term hereof,
for use and occupancy, the aggregate sum of (i) two times the amount of the
installment of the annual Fixed Rent that was payable under this Lease for the
last month of the term hereof, plus (ii) one-twelfth of all items of annual
additional rent which would have been payable monthly pursuant to this Lease had
its term not expired or been terminated, plus (iii) those items of additional
rent (not annual additional rent) which would have been payable monthly pursuant
to this Lease had its term not expired or been terminated, which aggregate sum
Tenant agrees to pay to Landlord upon demand, in full without setoff, and no
extension or renewal of this Lease shall be deemed to have occurred by such
holding over, nor shall Landlord be precluded by accepting such aggregate sum
for use and occupancy from exercising all rights and remedies available to it to
obtain possession of the Demised Premises. Further, Tenant shall be liable to
Landlord for all losses and damages which Landlord may reasonably incur or
sustain by reason

                                      -42-
<PAGE>

of such holding over, including, but not limited to, damages incurred or
sustained by reason of Landlord's inability to timely place a new tenant in
possession of the Demised Premises.

                                   ARTICLE 23.

                             DEFINITION OF LANDLORD

          23.1     The term "Landlord" wherever used in this Lease shall be
limited to mean and include only the owner or owners at the time in question of
the Building or the tenant under the ground lease or under the Over Lease
affecting the Land and the Building or the Building, to whom this Lease may be
assigned, or a mortgagee in possession, so that in the event of any sale,
assignment or transfer of the Building, or Landlord's interest as a lessee under
the Over Lease, or of such ground or underlying lease, such owner, tenant under
the ground or Over Lease or mortgagee in possession shall thereupon be released
and discharged from all covenants, conditions and agreements of Landlord
hereunder; but such covenants, conditions and agreements shall be binding upon
each new owner, tenant under the ground or underlying lease, or Over Lease, or
mortgagee in possession for the time being of the Building, until sold, assigned
or transferred.

                                   ARTICLE 24.

                                     NOTICES

          24.1     Any notice, request or demand permitted or required to be
given by the terms and provisions of this Lease, or by any law or governmental
regulation, either by Landlord to Tenant or by Tenant to Landlord, shall be in
writing. Unless otherwise required by such law or regulation such notice,
request or demand shall be given, and shall be deemed to have been served and
given by Landlord and received by Tenant, 3 days after Landlord shall have
deposited such notice, request or demand by certified or registered mail, return
receipt requested, enclosed in a securely closed postpaid wrapper, in a United
States Government general or branch post office, addressed to Tenant at 520
Broadhollow Road, Melville, New York 11747, and until Tenant has moved its
offices to the Demised Premises, shall have deposited such notice, request or
demand by certified or registered mail, enclosed in a securely closed postpaid
wrapper in such a post office addressed to Tenant at its address as stated on
the first page of this Lease. Such notice, request or demand shall be given, and
shall be deemed to have been served and given by Tenant and received by
Landlord, 3 days after Tenant shall have deposited such notice, request or
demand by certified or registered mail, return receipt requested, enclosed in a
securely closed postpaid wrapper in such a post office addressed to Landlord at
1155 Avenue of the Americas, New York, N.Y. 10036, with a copy to Richards &
O'Neil, LLP, 885 Third Avenue, New York, New York 10022-4873, Attention: Robert
M. Safron, Esq., or to such other or further address or addresses as Landlord
may designate for such purpose by like notice. Either party may, by notice as
aforesaid designate a different address or addresses for notices, requests or
demands to it.

                                      -43-
<PAGE>

                                   ARTICLE 25.

                                   ARBITRATION

          25.1     Whenever in this Lease, it is provided that a dispute shall
be determined by arbitration, the arbitration shall be conducted as provided in
this Article. The party desiring such arbitration shall give written notice to
that effect to the other, specifying the dispute to be arbitrated and the name
and address of the person designated to act as the arbitrator in its behalf.
Within ten days after said notice is given, the other party shall give written
notice to the first party, specifying the name and address of the person
designated to act as arbitrator on its behalf. If the second party fails to
notify the first party of the appointment of its arbitrator as aforesaid by the
time above specified, then the appointment of the second arbitrator shall be
made in the same manner as hereinafter provided for the appointment of a third
arbitrator. The arbitrators so chosen shall meet within ten days after the
second arbitrator is appointed and within thirty days thereafter shall decide
the dispute. If within said period they cannot agree upon their decision, they
shall appoint a third arbitrator and if they cannot agree upon said appointment,
then the third arbitrator shall be appointed upon their application or upon the
application of either party, by the American Arbitration Association in the City
of New York. The three arbitrators shall meet and decide the dispute. A decision
in which two of the three arbitrators concur shall be binding and conclusive
upon the parties. In designating arbitrators and in deciding the dispute, the
arbitrators shall act in accordance with the rules then in force of the American
Arbitration Association, subject, however, to such limitations as may be placed
upon them by the provisions of this Lease. Judgment may be had on the decision
and award of the arbitrators so rendered in any court.

          25.2     The obligation of Landlord and Tenant to submit a dispute to
arbitration is limited to disputes arising under those Articles of this Lease
which specifically provide for arbitration.

                                   ARTICLE 26.

                              RULES AND REGULATIONS

          26.1     Tenant, its servants, employees, agents, visitors and
licensees shall observe faithfully and comply strictly with the Rules and
Regulations attached hereto and incorporated herein as Exhibits D and D-1.
Landlord shall have the right from time to time during the term of this Lease to
make reasonable changes in and additions to the said Rules and Regulations with
the same force and effect as if they were originally attached hereto and
incorporated herein.

          26.2     Any failure by Landlord to enforce any Rules and Regulations
now or hereafter in effect, either against Tenant or any other tenant in the
Building, shall not constitute a waiver of the enforceability of any such Rules
and Regulations. Landlord shall not enforce the Rules and Regulations against
Tenant in a discriminatory manner. In case of a conflict or inconsistency
between the Rules and Regulations and this Lease, this Lease shall govern.

                                      -44-
<PAGE>

                                   ARTICLE 27.

                                     BROKER

          27.1     Each of Landlord and Tenant warrants and represents that the
sole broker in this transaction is Colliers ABR, Inc. (the "Broker"). Each of
Landlord and Tenant agrees to defend, save and hold the other harmless from any
claims for fees and commissions and against any liability (including reasonable
attorneys' fees and disbursements) arising out of any conversations or
negotiations had by the indemnifying party with any broker or party acting as
such other than the Broker. Landlord shall be responsible for payment of any
commission or other fee earned by the Broker pursuant to separate agreement
between them only if, as and when this Lease is fully and unconditionally
executed and delivered by Landlord and Tenant and all conditions to its
effectiveness and validity have been satisfied or waived.

                                   ARTICLE 28.

                                  ZONING RIGHTS

          28.1     During the Term of this Lease, Landlord shall have the right,
and Tenant shall not have the right, (i) to cause all or any part of the Demised
Premises and/or the zoning lot upon which the Building is located in whole or in
part (hereinafter referred to solely for purposes of this Article as the "Land")
and/or the Building, to be combined with any other land or premises so as to
constitute the combined premises into a single zoning "lot" or "development" or
"enlargement" as those terms are now, or may hereafter be, defined in the Zoning
Resolution of The City of New York (the "Zoning Resolution"), (ii) to cause any
lot, development or enlargement at any time constituting or including all or any
part of the Demised Premises, the Land or the Building to be subdivided into two
or more lots, developments or enlargements, (iii) to cause development rights
(whether from the Land or other premises) to be transferred to any such lot,
development or enlargement, (iv) to cause other combinations, subdivisions and
transfers to be effected, whether similar or dissimilar to those now permitted
by law or (v) to exploit, sell, convey, lease or otherwise transfer any so
called "air rights", "air space", "zoning rights" or "development rights" above
or appurtenant to the Land or the Building. Tenant hereby acknowledges that it
is not a "party in interest" as defined in the Zoning Resolution, and shall not
and cannot become a "party in interest" under any circumstances by virtue of its
leasehold interest hereunder. Tenant further acknowledges that neither Tenant
nor the estate or interest of Tenant hereunder would be "adversely affected"
(within the meaning of the Zoning Resolution) by any development of the Land or
the Building or any such combined premises nor by the filing of any declaration
combining all or a part of the Land or the Building with any other premises and
that Tenant's estate and interest hereunder are not and would not be superior to
any such declaration.

          28.2     Notwithstanding the provisions of Section 28.1, above, in the
event that Tenant is deemed to have any of the rights disclaimed in Section
28.1, above, or is deemed to be a party in interest, Tenant hereby transfers
such rights and any rights as a party in interest to Landlord. In furtherance
thereof, Tenant will within three (3) days after written request by Landlord
execute and deliver to Landlord a waiver of its right to join in a Declaration
of Restrictions pursuant to Section 12-10 of the Zoning Resolution (a "Waiver").
Upon each

                                      -45-
<PAGE>

assignment of this Lease by Tenant (no consent thereto being implied hereby) the
assignee shall execute, acknowledge and deliver to Landlord, and at any time or
times, within three (3) days after written request of Landlord, Tenant and each
assignee shall execute, acknowledge and deliver to Landlord, (i) any further
Waiver, and (ii) if requested by Landlord, any Declaration of Restrictions
pursuant to said Section 12-10 (or any successor provision thereto), and (iii)
any other instrument in form and substance satisfactory to the parties intended
to evidence the fact that Tenant (or such assignee) has no right and asserts no
claim, and/or has transferred to Landlord any such right or claim, to
participate in any way in the matters reserved to Landlord pursuant to Section
28.1, above. If Tenant (or such assignee) fails to so execute any such
instrument within ten (10) days after Landlord's written request therefor,
Tenant (or such assignee) hereby irrevocably appoints Landlord its agent and
attorney-in-fact, coupled with an interest, to execute and deliver the same in
its name.

                                   ARTICLE 29.

                                SECURITY DEPOSIT

          29.1     Tenant has deposited with Landlord that sum of money equal to
three (3) months of Fixed Rent (the "Security Deposit") as security for the
full, faithful and punctual performance by Tenant of all of the terms of this
Lease. In the event the annual Fixed Rent payable under Article 3 of this Lease
shall increase at any time, and from time to time, pursuant to the provisions of
said Article 3, Tenant shall, on the same day that any such increase in the
annual Fixed Rent shall be effective, deposit with Landlord a sum sufficient to
increase the then current Security Deposit to an amount equal to three (3)
months of annual Fixed Rent then payable hereunder, as so increased pursuant to
Article 3 hereof. In the event Tenant defaults in the performance of any of the
terms of this Lease, including the payment of rent, or in the event of a
Bankruptcy Event, Landlord may use, apply or retain the whole or any part of the
Security Deposit to the extent required for the payment of any rent or for any
sum which Landlord may expend or may be required to expend by reason of Tenant's
default in respect of any of the terms of this Lease, including any damages or
deficiency in the re-letting of the Demised Premises, whether accruing before or
after summary proceedings or other re-entry by Landlord. In the case of every
such use, application or retention, Tenant shall, on demand, pay to Landlord the
sum so used, applied or retained which shall be added to the Security Deposit so
that the same shall be replenished to its former amount. If Tenant shall fully
and punctually comply with all of the terms of this Lease, the Security Deposit,
without interest, shall be returned to Tenant promptly after the termination of
this Lease and delivery of exclusive possession of the Demised Premises to
Landlord. In the event of a sale or lease of the Building, Landlord shall have
the right to transfer the Security Deposit to the vendee or lessee and Landlord
shall immediately be released by Tenant from all liability for the return of the
Security Deposit; and Tenant agrees to look solely to the new owner or landlord
for the return of the Security Deposit; and it is agreed that the provisions
hereof shall apply to every transfer or assignment made of the Security Deposit
to a new owner or landlord. Tenant shall not assign or encumber or attempt to
assign or encumber the monies deposited herein as security and neither Landlord
nor its successors or assigns shall be bound by any such assignment,
encumbrance, attempted assignment or encumbrance.

                                      -46-
<PAGE>

          29.2     In lieu of a cash deposit, Tenant may deliver to Landlord a
clean, irrevocable and unconditional Letter of Credit (the "Letter of Credit")
issued by and drawn upon any commercial bank which is a member of the New York
Clearing House Association (hereinafter referred to as the "Issuing Bank") with
offices for banking purposes in the City of New York and having a net worth of
not less than One Billion and 00/100 ($1,000,000,000.00) Dollars, which Letter
of Credit shall have a term of not less than one year, be in the form attached
hereto as Exhibit F, be for the account of Landlord and be in the amount of the
Security Deposit. The Letter of Credit shall provide that:

               (i) The Issuing Bank shall pay to Landlord or its duly authorized
          representative an amount up to the face amount of the Letter of Credit
          upon presentation of the Letter of Credit and a sight draft in the
          amount to be drawn;

               (ii)The Letter of Credit shall be deemed to be automatically
          renewed, without amendment, for consecutive periods of one year each
          during the term of this Lease, unless the Issuing Bank sends written
          notice (hereinafter referred to as the "Non-Renewal Notice") to
          Landlord by certified or registered mail, return receipt requested,
          not less than thirty (30) days next preceding the then expiration date
          of the Letter of Credit, that it elects not to have such Letter of
          Credit renewed;

               (iii) Landlord, within twenty (20) days of its receipt of the
          Non-Renewal Notice, shall have the right, exercisable by a sight
          draft, to receive the monies represented by the Letter of Credit
          (which monies shall be held by Landlord as a cash deposit pursuant to
          the terms of this Article 29 pending the replacement of such Letter of
          Credit or Tenant's default after notice and the expiration of any
          applicable cure period hereunder);

               (iv)Upon Landlord's sale of Landlord's interest in the land and
          the Building, the Letter of Credit shall be transferable, without
          charge, by Landlord, as provided in Section 29.3 hereof; and

               (v) If a Bankruptcy Event occurs, Landlord shall have the right,
          exercisable by a sight draft, to receive monies represented by the
          Letter of Credit.

          29.3     In the event of a sale of Landlord's interest in the land and
the Building, Landlord shall have the right to transfer (at no expense to
Landlord) the cash security or Letter of Credit, as the case may be, deposited
hereunder to the vendee or lessee, and Landlord shall, after notice to Tenant of
such transfer, sent by certified mail, return receipt requested, including the
name and address of the transferee, be released by Tenant from all liability for
the return of such cash security or Letter of Credit. In such event, Tenant
agrees to look solely to the new landlord for the return of said cash security
or Letter of Credit. It is agreed that the provisions hereof shall apply to
every transfer or assignment made of said cash security or Letter of Credit to a
new landlord.

          29.4     Tenant covenants that it will not assign or encumber, or
attempt to assign or encumber, the monies or Letter of Credit deposited
hereunder as security, and that neither

                                      -47-
<PAGE>

Landlord nor its successors or assigns shall be bound by any such assignment,
encumbrance, attempted assignment, or attempted encumbrance.

          29.5     Landlord agrees that it will not draw down the proceeds of
the Letter of Credit except in the event of a default, after notice and the
expiration of any applicable cure period, by Tenant hereunder or a Bankruptcy
Event or the non-renewal of such Letter of Credit by the Issuing Bank.

          29.6     In the event that at any time during the term of this lease,
Landlord, in Landlord's reasonable opinion, believes (a) that the net worth of
the Issuing Bank shall be less than the minimum amount specified in Section 29.2
hereof, or (b) that circumstances have occurred indicating that the Issuing Bank
may be incapable of, unable to, or prohibited from honoring the then existing
Letter of Credit (hereinafter referred to as the "Existing L/C") in accordance
with the terms thereof, then, upon the happening of either of the foregoing,
Landlord may send written notice to Tenant (hereinafter referred to as the
"Replacement Notice") requiring Tenant within ten (10) days to replace the
Existing L/C with a new letter of credit (hereinafter referred to as the
"Replacement L/C") from an Issuing Bank meeting the qualifications described in
Section 29.2 hereof. Upon receipt of a Replacement L/C meeting the
qualifications of Section 29.2 hereof, Landlord shall forthwith return the
Existing L/C to Tenant. In the event that (i) a Replacement L/C meeting the
qualifications of Section 29.2 hereof is not received by Landlord within the
time specified, or (ii) Landlord reasonably believes an emergency exists, then
in either event, the Existing L/C may be presented for payment by Landlord and
the proceeds thereof shall be held by Landlord in accordance with Section 29.1
hereof, subject, however, to Tenant's right, at any time thereafter prior to a
Tenant's default hereunder, to replace such cash security with a new letter of
credit meeting the qualifications of Section 29.2 hereof.

                                   ARTICLE 30.

                                 WINDOW CLEANING

          30.1     Tenant will not clean any window in the Premises from the
outside (within the meaning of Section 202 of the New York Labor Law or any
successor statute thereto). In addition, unless the equipment and safety devices
required by all legal requirements including Section 202 of the New York Labor
Law or any successor statute thereto are provided and used, Tenant will not
require, permit, suffer or allow the cleaning of any window in the Premises from
the outside (within the meaning of said Section). Tenant hereby indemnifies
Landlord against liability as a result of any violation of the foregoing.

                                   ARTICLE 31.

                                    CONSENTS

          31.1     Tenant hereby waives any claim against Landlord which it may
have based upon any assertion that Landlord has unreasonably withheld or
unreasonably delayed any such consent or approval, and Tenant agrees that its
sole remedy shall be an action or proceeding

                                      -48-
<PAGE>

to enforce any such provision or for specific performance, injunction or
declaratory judgment (which proceeding for specific performance solely in
connection with any such dispute involving Tenant's sublease or assignment
rights pursuant to Article 8 hereof or the making of any alterations or
improvements to the Demised Premises by Tenant pursuant to Article 13 hereof, at
Tenant's option, may be an arbitration pursuant to Article 25 hereof). In the
event of a determination favorable to Tenant, the requested consent or approval
shall be deemed to have been granted; however, Landlord shall have no personal
or other liability to Tenant for its refusal to give such consent or approval.
The sole remedy for Landlord's unreasonably withholding or delaying of consent
or approval shall be as set forth in this Article 31.

          31.2     Notwithstanding anything to the contrary provided in this
Lease, in any instance where the consent or approval of the over lessor and/or
the superior mortgagee is required, Landlord shall not be required to give its
consent or approval until and unless such over lessor and/or such superior
mortgagee has given its consent or approval.

                                   ARTICLE 32.

                                  MISCELLANEOUS

          32.1     Tenant shall not move any safe, heavy equipment or bulky
matter in or out of the Building without Landlord's written consent, which
consent Landlord agrees not unreasonably to withhold or delay. If the movement
of such items requires special handling, Tenant agrees to employ only persons
holding a Master's Rigger's License to do said work and all such work shall be
done in full compliance with the Administrative Code of the City of New York and
other municipal requirements. All such movements shall be made during hours
which will least interfere with the normal operations of the Building, and all
damage caused by such movement shall be promptly repaired by Tenant at Tenant's
expense. Tenant shall not place a load upon any floor of the Demised Premises
which exceeds the load per square foot which such floor was designated to carry
and which is allowed by law.

          32.2     Business machines and mechanical equipment belonging to
Tenant which may cause noise, vibration or any other nuisance that may be
transmitted to the structure or other portions of the Building or to the Demised
Premises to such a degree as to be objectionable to Landlord or which may
interfere with the use or enjoyment by other tenants of their premises or the
public portions of the Building, shall be placed and maintained by Tenant at
Tenant's cost and expense, in settings of cork, rubber or spring type vibration
eliminators sufficient to eliminate noise or vibration.

          32.3     In the event that an excavation or any construction should be
made for building or other purposes upon land adjacent to the Building, or
should be authorized to be made, Tenant shall, if necessary, afford to the
person or persons causing or authorized to cause such excavation or construction
or other purpose, license to enter upon the Demised Premises for the purpose of
doing such work as shall reasonably be necessary to protect or preserve the wall
or walls of the Building, or the Building, from injury or damage and to support
them by proper foundations, pinning and/or underpinning, or otherwise.

                                      -49-
<PAGE>

          32.4     Tenant waives the right to trial by jury in any summary
proceeding that may hereafter be instituted against it or in any action that may
be brought hereunder, provided such waiver is not prohibited by law. Tenant
shall not interpose any counterclaim in any summary proceeding.

          32.5     The failure of Landlord to seek redress for violation of, or
to insist upon the strict performance of, any covenant or condition of this
Lease, or any of the Rules and Regulations attached hereto or hereafter adopted
by Landlord, shall not prevent a subsequent act, which would have originally
constituted a violation, from having all the force and effect of an original
violation. No employee of Landlord or of Landlord's agents shall have any power
to accept the keys of the Demised Premises prior to the termination of this
Lease. The delivery of keys to any employee of Landlord or of Landlord's agent
shall not operate as a termination of this Lease or a surrender of the Demised
Premises. In the event of Tenant at any time desiring to have Landlord sublet
the Demised Premises, Landlord or Landlord's agents are authorized to receive
said keys for such purpose without releasing Tenant from any of the obligations
under this Lease. The receipt or acceptance by Landlord of rent with knowledge
of the breach of any covenant of this Lease shall not be deemed a waiver of such
breach. No provision of this Lease shall be deemed to have been waived by
Landlord, unless such waiver be in writing signed by Landlord. No payment by
Tenant or receipt by Landlord of a lesser amount than the monthly rent required
to be paid shall be deemed to be other than on account of the earliest such
rent, nor shall any endorsement or statement on any check or any letter
accompanying any check or payment as rent be deemed an accord and satisfaction,
and Landlord may accept such check or payment without prejudice to Landlord's
right to recover the balance of such rent or pursue any other remedy in this
Lease provided.

          32.6     This Lease with its schedules and annexes contain the entire
agreement between Landlord and Tenant and any executory agreement hereafter made
between Landlord and Tenant shall be ineffective to change, modify, waive,
release, discharge, terminate or effect an abandonment of this Lease, in whole
or in part, unless such executory agreement is signed by the party to be
charged. This Lease may not be orally waived, terminated, changed or modified.

          32.7     The captions of Articles in this Lease and its Table of
Contents and Index are inserted only as a convenience and for reference and they
in no way define, limit or describe the scope of this Lease or the intent of any
provision thereof. References to Articles and Sections are to those in this
Lease unless otherwise noted.

          32.8     If any term, covenant, condition or provision of this Lease
or the application thereof to any circumstance or to any person, firm or
corporation shall be invalid or unenforceable to any extent, the remaining
terms, covenants, conditions and provisions of this Lease or the application
thereof to any circumstances or to any person, firm or corporation other than
those as to which any term, covenant, condition or provision is held invalid or
unenforceable, shall not be affected thereby and each remaining term, covenant,
condition and provision of this Lease shall be valid and shall be enforceable to
the fullest extent permitted by law.

          32.9     If any term, covenant, condition or provision of this Lease
is found invalid or unenforceable to any extent, by a final judgement or award
which shall not be subject to

                                      -50-
<PAGE>

change by any appeal, then, either party to this Lease may initiate an
arbitration in accordance with the provisions of Article 25, which arbitration
shall be by three (3) arbitrators each of which shall have at least ten (10)
years' experience in the supervision of the operation and management of major
office buildings in Manhattan. Said arbitrators shall devise a valid and
enforceable substitute term, covenant, condition or provision for this Lease
which shall as nearly as possible carry out the intention of the parties with
respect to the terms, covenant, condition or provisions theretofore found
invalid or unenforceable. Such substitute term, covenant, condition or
provision, as determined by the arbitrators, shall thereupon be deemed a part of
this Lease.

          32.10    Landlord shall have the right from time to time, to
substitute for the basement space, if any, then occupied by Tenant, comparable
space in the basement, provided Landlord shall give at least thirty (30) days'
prior written notice to Tenant of its intention so to do. No vault or basement
space not within the property line of the Building is leased hereunder, anything
to the contrary indicated elsewhere in this Lease notwithstanding. Any vault or
basement space not within the property line of the Building, which Tenant may be
permitted to use or occupy, shall be used or occupied under revocable license
and if the amount of such space be diminished or required by any governmental
authority having jurisdiction, Landlord shall not be subject to any liability
nor shall Tenant be entitled to abatement of rent, nor shall such diminution or
abatement be deemed a constructive or actual eviction. Any fee or license charge
or tax of municipal authorities for such vault or basement space shall be paid
by Tenant to Landlord as additional rent within five (5) days after written
demand therefor. In such fee, tax or charge shall be for vault or basement space
greater in area than that occupied by Tenant, the charge to Tenant shall be
pro-rated.

          32.11    This Lease is submitted to Tenant on the understanding that
it shall not be considered an offer and shall not bind Landlord in any way until
(i) Tenant has duly executed and delivered duplicate originals to Landlord, (ii)
Landlord has executed and unconditionally delivered one of said originals to
Tenant and the mortgagee (if required) and lessor of the Over Lease (if
required) shall consent thereto in writing.

          32.12    Landlord shall provide Tenant with (i) up to ten (10)
Building-standard listings in the directory located in the lobby of the
Building; and (ii) one (1) Building-standard listing on the directory plaque
located in each passenger elevator serving the Demised Premises (provided
Landlord has installed and is then maintaining such directory plaques in such
elevators). Tenant acknowledges that Building-standard signage is not available
for the entrance door to the Demised Premises, as such door is made of glass.
Instead, Landlord shall reimburse Tenant for the cost to purchase and install
one sign for the entrance door of the Demised Premises, upon presentation of
invoices evidencing such costs, provided that such reimbursement shall not
exceed the cost to purchase and install one Building-standard sign, and provided
that the materials used for such sign, as well as the content and appearance
thereof, shall be subject to Landlord's prior written approval.

                                      -51-
<PAGE>

                                   ARTICLE 33.

                             SUCCESSORS AND ASSIGNS

          33.1     The covenants, conditions and agreements contained in this
Lease shall bind and inure to the benefit of the parties hereto and their
respective heirs, legal representatives, successors and, except as otherwise
provided herein, their assigns.

                                   ARTICLE 34.

                               HAZARDOUS MATERIALS

          34.1     Tenant shall not cause or permit "Hazardous Materials" (as
defined below) to be used, transported, stored, released, handled, produced or
installed in, on or from, the Demised Premises or the Building, except for small
quantities normally used for routine office cleaning purposes. The term
"Hazardous Materials" shall, for the purposes hereof, mean any flammable,
explosive or radioactive materials; hazardous wastes; hazardous and toxic
substances or related materials; asbestos or any material containing asbestos;
or any other such substance or material; as defined by any federal, state or
local law, ordinance, rule or regulation, including, without limitation, the
Comprehensive Environmental Response Compensation and Liability Act of 1980, as
amended, the Hazardous Materials Transportation Act, as amended, the Resource
Conservation and Recovery Act, as amended, and in the regulations adopted and
publications promulgated pursuant to each of the foregoing. In the event of a
breach of the provisions of this Article 34, Landlord shall, in addition to all
of its rights and remedies under this Lease and pursuant to law, require Tenant
to remove any such Hazardous Materials from the Demised Premises or the Building
in the manner prescribed for such removal by all requirements of law. The
provisions of this Article 34 shall survive the expiration or sooner termination
of this Lease.

          34.2     Landlord represents to Tenant that, to the best of Landlord's
knowledge as of the date hereof, the Demised Premises is free of Hazardous
Materials.

                                   ARTICLE 35.

                               PARTNERSHIP TENANT

          35.1     A. If Tenant is a partnership or a professional corporation
(or is comprised of two (2) or more persons, individually or as co-partners of a
partnership or shareholders of a professional corporation) or if Tenant's
interest in this Lease shall be assigned to a partnership or a professional
corporation (or to two (2) or more persons, individually or as co-partners of a
partnership or shareholders of a professional corporation) pursuant to Article 8
hereof (any such partnership, professional corporation and such persons are
referred to in this Article 35 as "Partnership Tenant"), the following
provisions shall apply to such Partnership Tenant: (a) the liability of each of
the parties comprising Partnership Tenant for the observance and performance of
all the terms, covenants and conditions of this Lease shall be joint and
several; (b) each of the parties comprising Partnership Tenant hereby consents
in advance to, and agrees to be bound by (x) any written instrument which may
hereafter be executed by

                                      -52-
<PAGE>

Partnership Tenant or any successor entity, changing, modifying, extending or
discharging this Lease, in whole or in part, or surrendering all or any part of
the Premises to Landlord, and (y) any notices, demands, requests or other
communications which may hereafter be given by Partnership Tenant or by any of
the parties comprising Partnership Tenant; (c) any bills, statements, notices,
demands, requests or other communications given or rendered to Partnership
Tenant or to any of such parties shall be binding upon Partnership Tenant and
all such parties; (d) if Partnership Tenant shall admit new partners or
shareholders, as the case may be, all of such new partners or shareholders, as
the case may be, shall, by their admission to Partnership Tenant, be deemed to
have assumed joint and several liability for the performance of all of the
terms, covenants and conditions of this Lease on Tenant's part to be observed
and performed; and (e) Partnership Tenant shall give prompt notice to Landlord
of the admission of any such new partners or shareholders, as the case by be,
and upon demand of Landlord, shall cause each such new partner or shareholder,
as the case may be, to execute and deliver to Landlord an agreement in form
satisfactory to Landlord, wherein each such new partner or shareholder, as the
case may be, shall assume joint and several liability for the observance and
performance of all the terms, covenants and conditions of this Lease on Tenant's
part to be observed and performed (but neither Landlord's failure to request any
such agreement nor the failure of any such new partner or shareholder, as the
case may be, to execute or deliver any such agreement to Landlord shall vitiate
the provisions of clause (d) of this Article 35).

          B.       Anything herein to the contrary notwithstanding, if Tenant is
a limited or general partnership (or is comprised of two (2) or more persons,
individually or as co-partners), the change or conversion of Tenant to (i) a
limited liability company, (ii) a limited liability partnership, or (iii) any
other entity which possesses the characteristics of limited liability (any such
limited liability company, limited liability partnership, or entity is
collectively referred to as a "Successor Entity") shall be prohibited unless the
prior written consent of Landlord is obtained, which consent may be withheld in
Landlord's sole discretion.

                  C.       Notwithstanding the foregoing in Section 35.1 B,
Landlord agrees not to unreasonably withhold or delay its consent provided that:

          (1)      The Successor Entity succeeds to all or substantially all of
Tenant's business and assets;

          (2)      The Successor Entity shall have a net worth ("Net Worth"),
determined in accordance with generally accepted accounting principles,
consistently applied, of not less than the greater of the Net Worth of Tenant on
(i) the date of execution of the Lease, or (ii) the day immediately preceding
the proposed effective date of such conversion;

          (3)      Tenant is not in default of any of the terms, covenants or
conditions of this Lease on the proposed effective date of such conversion;

          (4)      Tenant shall cause each partner of Tenant to execute and
deliver to Landlord an agreement, in form and substance satisfactory to
Landlord, wherein each such partner agrees to remain personally liable for all
of the terms, covenants and conditions of the Lease that are to be observed and
performed by the Successor Entity; and

                                      -53-
<PAGE>

          (5)      Tenant shall reimburse Landlord within ten (10) days
following demand by Landlord for any and all reasonable costs and expenses that
may be incurred by Landlord in connection with said conversion of Tenant to a
Successor Entity, including, without limitation, any attorney's fees and
disbursements.

                                   ARTICLE 36.

                           SUBMISSION TO JURISDICTION

          36.1     Tenant hereby (a) irrevocably consents and submits to the
jurisdiction of any Federal, state, county or municipal court sitting in the
State and County of New York in respect to any action or proceeding brought
therein by Landlord against Tenant concerning any matters arising out of or in
any way relating to this Lease; (b) irrevocably waives all objections as to
venue and any and all rights it may have to seek a change of venue with respect
to any such action or proceedings; (c) agrees that the laws of the State of New
York shall govern in any such action or proceeding and waives any defense to any
action or proceeding granted by the laws of any other country or jurisdiction
unless such defense is also allowed by the laws of the State of New York; and
(d) agrees that any final judgment rendered against it in any such action or
proceeding shall be conclusive and may be enforced in any other jurisdiction by
suit on the judgment or in any other manner provided by law. Tenant further
agrees that any action or proceeding by Tenant against Landlord in respect to
any matters arising out of or in any way relating to this Lease shall be brought
only in the State of New York, county of New York. In furtherance of the
foregoing, Tenant hereby agrees that its address for notices by Landlord and
service of process under this Lease shall be the Premises.

                                      -54-
<PAGE>

          IN WITNESS WHEREOF, Landlord and Tenant have respectively signed and
sealed this Lease as of the date first above written.

                                           47TH AND 6TH ASSOCIATES L.L.C.
                                               Landlord

                                           By: /s/ Douglas Durst
                                               ---------------------------------
                                               Name:  Douglas Durst
                                               Title: President

                                           AMERICAN HOME MORTGAGE HOLDINGS, INC.
                                               Tenant

                                           By: /s/ Michael Strauss
                                               ---------------------------------
                                               Name:  Michael Strauss
                                               Title: President

                                      -55-
<PAGE>

                                 ACKNOWLEDGMENT

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

          On the 3rd day of December, 1999, before me personally came Michael
Strauss, to me known, who, being by me duly sworn, did depose and say that he
resides as 53 E 75th Street, New York, NY 10021; that he is the President of
American Home Mortgage, the corporation described in and which executed the
foregoing instrument as Tenant; and that he signed his name thereto by order of
the board of directors of said corporation.

                                                    ----------------------------
                                                            Notary Public

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

          On the 8th day of December, 1999, before me personally came Douglas
Durst, to me known, who, being by me duly sworn, did depose and say that he is a
member of 47th AND 6th ASSOCIATES, L.L.C., a New York limited liability company
as Landlord; that the execution of the foregoing instrument was duly authorized
by said limited liability company; and acknowledged that he executed the same as
the act and deed of said limited liability company pursuant to such
authorization.

                                                    ----------------------------
                                                             Notary Public

                                     -56-EXHIBIT A

                              520 Broadhollow Road

                               AGREEMENT OF LEASE

                                     BETWEEN

                       RECKSON OPERATING PARTNERSHIP, L.P.

                                       AND

                          CHOICECARE LONG ISLAND, INC.

<PAGE>

                                TABLE OF CONTENTS

                                                                            Page

SPACE........................................................................1

TERM.........................................................................1

RENT.........................................................................2

USE..........................................................................2

tenant's initial construction................................................3

SERVICES.....................................................................5

LANDLORD'S REPAIRS...........................................................6

WATER SUPPLY.................................................................6

parking field................................................................6

DIRECTORY....................................................................7

TAXES AND OTHER CHARGES......................................................7

TENANT'S REPAIRS.............................................................8

FIXTURES & INSTALLATIONS.....................................................9

ALTERATIONS..................................................................9

REQUIREMENTS OF LAW.........................................................12

END OF TERM.................................................................14

QUIET ENJOYMENT.............................................................15

SIGNS.......................................................................15

RULES AND REGULATIONS.......................................................16

RIGHT TO SUBLET OR ASSIGN...................................................16

LANDLORD'S ACCESS TO PREMISES...............................................18

SUBORDINATION...............................................................19

                                      -i-
<PAGE>

PROPERTY LOSS, DAMAGE REIMBURSEMENT.........................................21

TENANT'S INDEMNITY..........................................................22

DESTRUCTION - FIRE OR OTHER CASUALTY........................................22

INSURANCE...................................................................24

EMINENT DOMAIN..............................................................26

NONLIABILITY OF LANDLORD....................................................27

DEFAULT.....................................................................27

TERMINATION ON DEFAULT......................................................29

DAMAGES.....................................................................30

SUMS DUE LANDLORD...........................................................31

NO WAIVER...................................................................31

WAIVER OF TRIAL BY JURY.....................................................32

NOTICES.....................................................................32

INABILITY TO PERFORM........................................................33

INTERRUPTION OF SERVICE.....................................................33

CONDITIONS OF LANDLORD'S LIABILITY..........................................34

TENANT'S TAKING POSSESSION..................................................34

ENTIRE AGREEMENT............................................................34

DEFINITIONS.................................................................35

PARTNERSHIP TENANT..........................................................35

SUCCESSORS, ASSIGNS, ETC....................................................36

BROKER......................................................................36

CAPTIONS....................................................................36

NOTICE OF ACCIDENTS.........................................................36

TENANT'S AUTHORITY TO ENTER LEASE...........................................37

                                      -ii-

<PAGE>

RENEWAL OPTION..............................................................37

RIGHT OF FIRST OFFER........................................................39

BUILDING IMPROVEMENTS.......................................................41

REASONABLE CONSENT..........................................................41

TENANT'S REMEDY.............................................................41

ROOF ANTENNA................................................................41

SCHEDULE "A"................................................................44

SCHEDULE "B"................................................................46

SCHEDULE "C"................................................................47

SCHEDULE "E"................................................................50

EXHIBIT 1  RENTAL PLAN......................................................54

EXHIBIT 2  PRELIMINARY PLANS................................................55

                                     -iii-

<PAGE>

            AGREEMENT OF LEASE, made as of this 20th day of October, 1995,
between RECKSON OPERATING PARTNERSHIP, L.P., a limited partnership, having its
principal office at 225 Broadhollow Road, Suite 212 W, CS 5341, Melville, New
York 11747-0983 (hereinafter referred to as "Landlord"), and CHOICECARE LONG
ISLAND, INC. a corporation, having its principal place of business at 395 North
Service Road, Melville, New York 11747 (hereinafter referred to as "Tenant").

            WITNESSETH:  Landlord  and  Tenant  hereby  covenant  and agree as
follows:

                                      SPACE

            1. Landlord hereby leases to Tenant and Tenant hereby hires from
Landlord the space substantially as shown on the Rental Plan initialed by the
parties and made part hereof as Exhibit "l" ("Demised Premises" or "Premises")
in the building located at 520 Broadhollow Road, Melville, New York (hereinafter
referred to as the "Building") which space the parties agree contains
approximately 43,200 square feet in a Building containing approximately 83,176
square feet which constitutes 51.94 percent of the area of the Building
("Tenant's Proportionate Share").

                                      TERM

            2. The term ("Term" or "Demised Term" or "term") of this lease shall
commence and, subject to Article 5(F) below, Tenant's obligation to pay Rent
shall commence on the date (the "Term Commencement Date") that the Contractor
(defined below) shall substantially complete Tenant's Initial Construction
(defined below) in the Demised Premises. The Term of this lease shall expire on
the date (the "Expiration Date") which is seven (7) years after the last day of
the month in which the Term Commencement Date shall have occurred, unless the
Term shall sooner terminate pursuant to any of the terms, covenants or
conditions of this lease or pursuant to law.

            A "Lease Year" shall comprise a period of twelve (12) consecutive
months. Notwithstanding the foregoing, the first Lease Year shall commence upon
the Term Commencement Date and if the Term Commencement Date is not the first
day of a month shall include the additional period from the Term Commencement
Date to the end of the then current month. Each succeeding Lease Year shall end
on the anniversary date of the last day of the preceding Lease Year. For
example, if the Term Commencement Date is January 1, 1996, the first Lease Year
would end on December 31, 1996 and each succeeding Lease Year would end on
December 31st. If, however, the Term Commencement Date is January 2, 1996 the
first Lease Year would end on January 31, 1997, the second Lease Year would
commence on February 1, 1997 and each succeeding Lease Year would end on January
31st.

<PAGE>

                                      RENT

            3.    The annual minimum rental ("Rent" or "rent") is as follows:

During the first Lease Year, the Rent shall be $734,400.00, payable in monthly
installments of $61,200.00.

During the second Lease Year, the Rent shall be $756,432.00, payable in monthly
installments of $63,036.00.

During the third Lease Year, the Rent shall be $779,124.96, payable in monthly
installments of $64,927.08.

During the fourth Lease Year, the Rent shall be $802,498.68, payable in monthly
installments of $66,874.89.

During the fifth Lease Year, the Rent shall be $826,573.68, payable in monthly
installments of $68,881.14.

During the sixth Lease Year, the Rent shall be $851,370.84, payable in monthly
installments of $70,947.57.

During the seventh Lease Year, the Rent shall be $876,912.00, payable in monthly
installments of $73,076.00.

Tenant agrees to pay the Rent to Landlord, without notice or demand, in lawful
money of the United States which shall be legal tender in payment of the debts
and dues, public and private, at the time of payment in advance on the first day
of each calendar month during the Demised Term at the office of the Landlord, or
at such other place as Landlord shall designate, except that Tenant shall pay
the first monthly installment on the Term Commencement Date. Tenant shall pay
the Rent as above and as hereinafter provided, without any set off or deduction
whatsoever except as otherwise specifically permitted under this lease. Should
the Term Commencement Date be a date other than the first day of a calendar
month, the Tenant shall pay a pro rata portion of the Rent on a per diem basis,
based upon the fourth full calendar month of the first Lease Year, from such
date to and including the last day of that current calendar month, and the first
Lease Year shall include said partial month. The Rent payable for such partial
month shall be in addition to the Rent payable pursuant to the Rent schedule set
forth above.

Notwithstanding the foregoing, provided Tenant is not then in default under any
provision of this lease, Tenant shall be relieved of its obligations to pay Rent
for the first, second and third full calendar months of the Term of this lease.

                                       USE

            4. (A) Tenant shall use and occupy the Demised Premises only for
executive, administrative and general office purposes and for no other purpose.

                                      -2-
<PAGE>

            (B) Tenant shall not use or occupy, suffer or permit the Premises,
or any part thereof, to be used in any manner which would in any way, in the
reasonable judgment of Landlord, (i) violate any laws or regulations of public
authorities; (ii) make void or voidable any insurance policy then in force with
respect to the Building; (iii) impair the appearance, character or reputation of
the Building; (iv) discharge objectionable fumes, vapors or odors into the
Building, air-conditioning systems or Building flues or vents in such a manner
as to offend other occupants. The provisions of this Section shall not be deemed
to be limited in any way to or by the provisions of any other Section or any
Rule or Regulation.

            (C) The emplacement of any equipment which will impose an evenly
distributed floor load in excess of 100 pounds per square foot shall be done
only after written permission is received from the Landlord. Such permission
will be granted only after adequate proof is furnished by a professional
engineer that such floor loading will not endanger the structure. Business
machines and mechanical equipment in the Premises shall be placed and maintained
by Tenant, at Tenant's expense, in such manner as shall be sufficient in
Landlord's judgment to absorb vibration and noise and prevent annoyance or
inconvenience to Landlord or any other tenants or occupants of the Building.

            (D) Tenant will not at any time use or occupy the Demised Premises
in violation of the certificate of occupancy (temporary or permanent) issued for
the Building or portion thereof of which the Demised Premises form a part.

            (E) Tenant shall not conduct medical examinations or any other
activities which shall generate "red-bag" medical waste or install any MRI or
X-ray equipment in the Demised Premises.

            (F) Tenant shall be permitted access to the Demised Premises
twenty-four (24) hours a day, seven (7) days a week.

                          tenant's initial construction

            5. (A) At Tenant's expense, Landlord shall cause Reckson
Construction Group, Inc. (the "Contractor") to perform, on a turn-key basis,
pursuant to a separate contract, the work (including architectural services) and
make the installations required to provide the Demised Premises with
substantially the same finishes as currently exist in the premises presently
leased by Tenant in the building located at 395 North Service Road, Melville,
New York (except for extraordinary finishes, including, without limitation,
interior stairwells) ("Tenant's Initial Construction"). The tenant's finish work
which constitutes Tenant's Initial Construction shall substantially conform to
the specifications for Tenant's Initial Construction set forth on Schedule "E"
annexed hereto and made a part hereof.

            Landlord hereby agrees to pay to Tenant a work allowance
(hereinafter referred to as "Landlord's Contribution") of $1,080,000.00 to be
used by Tenant toward the cost of Tenant's Initial Construction. Tenant shall
draw down Landlord's Contribution by use of A1A Application for Payment forms
(hereinafter referred to as "Requisition" in the singular and "Requisitions" in
the plural). In the format set forth in the Requisitions, Tenant shall be
entitled to draw down, from time to time, that percentage of Landlord's
Contribution which equals the

                                      -3-
<PAGE>

percentage of Tenant's Initial Construction that has been completed by or on
behalf of Tenant or by the Contractor. Tenant shall submit a Requisition to
Landlord's architect no more frequently than monthly and Landlord's architect
shall verify the percentage of completion claimed by Tenant on the Requisition
in question. Landlord shall pay Tenant that portion of Landlord's Contribution
requested by a Requisition within ten (10) days after Landlord's receipt of such
Requisition, provided Landlord's architect confirms that the percentage of
completion set forth on such Requisition is correct.

            (B) Landlord and Tenant acknowledge that Tenant has delivered to
Landlord its Program of Space Requirements for the Premises and they have agreed
upon and signed the preliminary plans (the "preliminary plans") prepared by
Landlord based upon Tenant's Program of Space Requirements. A copy of the
preliminary plans is annexed hereto as Exhibit "2". Landlord and Tenant also
acknowledge Tenant has given to Landlord its furniture plan and a description of
Tenant's power, data and telephone requirements (hereinafter referred to as the
"Supplemental Information").

            (C) Landlord shall cause the Contractor to deliver the Tenant's
Initial Construction in a substantially completed condition (the date of such
delivery being referred to herein as the "Delivery Date") on or before January
30, 1996 provided Tenant shall comply with the following schedule:

            (i) Landlord shall prepare working plans on the basis of the
preliminary plans within thirty (30) days after Tenant shall have delivered the
Supplemental Information to Landlord.

            (ii) Tenant shall comment on Landlord's working plans and approve
such working plans, subject to such comments, within seven (7) days after
Tenant's receipt of such working plans from Landlord.

            (iii) Contractor shall substantially complete Tenant's Initial
Construction within sixty-four (64) days after Tenant shall have so approved
Landlord's working plans and delivered such approval to Landlord.

            (D) The Delivery Date referred to in Paragraph (C) above shall be
extended by the period of any delay in the foregoing schedule resulting from
Tenant's non-compliance with such schedule. Such delay shall not, however, delay
the commencement of the Term or the Tenant's obligation to pay Rent as otherwise
provided hereunder.

            (E) (i) If Landlord shall fail to cause the Contractor to deliver
the Premises in a substantially completed condition on or before March 30, 1996,
Tenant shall receive a rent credit equal to $2,0l2.05 per day for each day
beyond March 30, 1996, until Landlord causes the Contractor to deliver the
Premises in a substantially completed condition. Such rent credit shall be
applied against the Rent payable pursuant to this lease beginning with the
fourth (4th) full calendar month of the term of this lease. Notwithstanding the
foregoing, the effective date of Tenant's receipt of the foregoing rent credit
shall be delayed beyond March 30, 1996 by one (1) day (a) for each day that
Tenant shall delay in complying with its obligations under the plan schedule set
forth in Paragraph (C) above, or (b) for each day that Tenant shall

                                      -4-
<PAGE>

delay the substantial completion of Tenant's Initial Construction by reason of
any of the causes set forth in Paragraph (F) below.

            (ii) In the event Landlord shall fail to cause the Contractor to
deliver the Premises in a substantially completed condition on or before March
30, 1996 and neither Landlord nor the Contractor shall cure such default within
thirty (30) days after Landlord shall have received from Tenant written notice
of such default (or, if such default cannot reasonably be cured within such
thirty (30) day period, Landlord or the Contractor shall not have commenced the
cure of such default within such thirty (30) day period and thereafter
diligently pursued such cure to completion), then Tenant shall have the right to
complete Tenant's Initial Construction and deduct the reasonable cost thereof
from the next payments of Rent due under this Lease.

            (iii) Receipt by Tenant of the rent credit set forth in Subparagraph
(i) above and Tenant's right of setoff set forth in Subparagraph (ii) above
shall be Tenant's sole remedies in the event Landlord or the Contractor shall
fail to deliver the Premises as required under this lease and Tenant waives any
right to rescind this lease under Section 223-a of the New York Real Property
Law or any successor statute of similar import then in force and further waives
the right to recover any damages which may result from Landlord's or the
Contractor's failure to deliver possession of the Premises on the Term
Commencement Date. Notwithstanding the foregoing, the remedies waived by Tenant
in the foregoing sentence shall be deemed reinstated in the event neither
Landlord nor the Contractor shall deliver the Demised Premises to Tenant in a
substantially completed condition on or before December 31, 1996.

            (F) For purposes of this Article, the ten "substantially completed"
shall mean when the only items to be completed are those which do not materially
interfere with the Tenant's use and occupancy of the Demised Premises
(including, without limitation, minor construction details, mechanical
adjustments and decorations). Subject to any applicable rent concession set
forth in this lease, the commencement of the Term and Tenant's obligation to pay
Rent shall commence upon the substantial completion of Tenant's Initial
Construction; but if Landlord or the Contractor shall be delayed in such
"substantial completion" as a result of (i) Tenant's failure to approve
Landlord's working plans within the time schedule set forth in Paragraph (C)
above; (ii) Tenant's request for materials, finishes or installations other than
Landlord or Contractor's standard; (iii) Tenant's changes in its Program of
Space Requirements, Supplemental Information, the preliminary plans or
Landlord's working plans; or (iv) the performance or completion of any work,
labor or services by a party employed by Tenant (other than the Contractor);
then the commencement of the Term of this lease and the payment of Rent
hereunder with respect to the space in question shall be accelerated by the
number of days of such delay.

                                    SERVICES

            6. (A) As long as Tenant is not in default under any covenants of
this lease, Landlord, during the hours of 8:00 A.M. to 7:00 P.M. on weekdays and
8:00 A.M. to 5:00 P.M. on Saturdays ("Working Hours"), excluding legal holidays,
shall provide normal services to the "Common Area" of the Building, which normal
services shall include lighting and heating, ventilation and air conditioning as
required by the respective season. During all other hours,

                                      -5-
<PAGE>

Landlord shall provide only limited lighting to the parking area servicing the
Demised Premises as may be necessary for Tenant's employees and agents to gain
access to the Demised Premises.

            (B) Landlord shall provide, at its expense, an electric meter which
shall measure Tenant's consumption of electricity in the Demised Premises for
all purposes, including, without limitation, lighting, office equipment,
heating, ventilation and air conditioning. Tenant shall make arrangements to
secure electricity for such purposes directly from the utility servicing the
Building and Tenant shall pay the charges for such electricity directly to such
utility in a timely manner. Upon completion by Landlord of the conversion of the
Demised Premises to gas heat pursuant to Article 46 below and the installation
by Landlord of a separate gas meter to measure the consumption of gas in the
Demised Premises, Tenant shall make arrangements to secure gas directly from the
utility servicing the Building and Tenant shall pay the charges for such gas
directly to such utility in a timely manner. Landlord shall cause the Contractor
to install the above-referenced electric and gas meters and the conversion to
gas heat as part of Tenant's Initial Construction and the time periods and
remedies referred to in Article 5 above shall pertain thereto.

                               LANDLORD'S REPAIRS

            7. Landlord, at its expense, will make all necessary structural and
nonstructural repairs to and provide maintenance for the Building and all
mechanical systems servicing the Building, and generally keep the Building in
good order and repair, and make all the structural and nonstructural repairs to
and provide the maintenance for the Demised Premises (excluding painting and
decorating) and for all public areas and facilities as set forth in Schedules A
and B, except such repairs and maintenance as may be necessitated by the
negligence, improper care or use of such premises and facilities by Tenant, its
agents, employees, licensees or invitees, which will be made by Landlord at
Tenant's expense.

                                  WATER SUPPLY

            8. Landlord, at its expense, shall furnish hot and cold or tempered
water for lavatory purposes and for the kitchenette and other sinks permitted in
the Demised Premises and for no other purpose.

                                  parking field

            9. Tenant shall have the right to use one hundred seventy-two (172)
parking spaces for the parking of automobiles of the Tenant, its employees and
invitees, in the parking areas servicing the Building (hereinafter sometimes
referred to as "Building Parking Area"), twenty-five (25) of which shall be
marked "reserved" for use by Tenant, subject to the reasonable Rules and
Regulations now or hereafter adopted by Landlord. Such reserved parking spaces
shall include all those spaces located adjacent to the Route 110 side of the
Building with the balance located as shown on the Rental Plan annexed as Exhibit
1. Tenant shall not use nor permit any of its officers, agents or employees to
use any parking spaces in excess of Tenant's allotted number of spaces therein.

                                      -6-
<PAGE>

                                    DIRECTORY

            10. Landlord will furnish on the building directory listings
requested by Tenant, not to exceed five (5) listings. The initial listings will
be made at Landlord's expense and any subsequent changes by Tenant shall be made
at Tenant's expense. Landlord's acceptance of any name for listing on the
directory will not be deemed, nor will it substitute for, Landlord's consent, as
required by this lease, to any sublease, assignment or other occupancy of the
Premises.

                             TAXES AND OTHER CHARGES

            11.   (A) As  used in and for the  purposes  of this  Article  11,
the following definitions shall apply:

            (i) "Taxes" shall be the real estate taxes, assessments, special or
otherwise, sewer rents, rates and charges, and any other governmental charges,
general, specific, ordinary or extraordinary, foreseen or unforeseen, levied on
a calendar year or fiscal year basis against the Real Property. If at any time
during the Term the method of taxation prevailing at the date hereof shall be
altered so that there shall be levied, assessed or imposed in lieu of, or as in
addition to, or as a substitute for, the whole or any part of the taxes, levies,
impositions or charges now levied, assessed or imposed on all or any part of the
Real Property (a) a tax, assessment, levy, imposition or charge based upon the
rents received by Landlord, whether or not wholly or partially as a capital levy
or otherwise, or (b) a tax, assessment, levy, imposition or charge measured by
or based in whole or in part upon all or any part of the Real Property and
imposed on Landlord, or (c) a license fee measured by the rent payable by Tenant
to Landlord, or (d) any other tax, levy, imposition, charge or license fee
however described or imposed (excluding income, capital levy, estate,
inheritance and transfer taxes imposed on any corporate owner and any tax on
rental income), then all such taxes, levies, impositions, charges or license
fees or any part thereof, so measured or based, shall be deemed to be Taxes.

            (ii) "Base Year Taxes" shall be the taxes actually due and payable
in the 1995/96 tax year. Notwithstanding the foregoing, Base Year Taxes
applicable to each Offer Space shall be the taxes actually due and payable for
the fiscal tax year in which such Offer Space is added to the Premises.

            (iii) "Escalation Year" shall mean each calendar year which shall
include any part of the Demised Ten.

            (iv) "Real Property" shall be the land upon which the Building
stands and any part or parts thereof utilized for parking, landscaped areas or
otherwise used in connection with the Building, and the Building and other
improvements appurtenant thereto.

            (B) Tenant shall pay Landlord increases in Taxes levied against the
Real Property as follows: If the Taxes actually due and payable with respect to
the Real Property in any Escalation Year shall be increased above the Base Year
Taxes, then Tenant shall pay to Landlord, as additional rent for such Escalation
Year, a sum equal to Tenant's Proportionate Share of said increase ("Tenant's
Tax Payment" or "Tax Payment").

                                      -7-
<PAGE>

            (C) Landlord shall render to Tenant, together with the then current
tax bill, a statement containing a computation of Tenant's Tax Payment
("Landlord's Statement"). Within fifteen (15) days after the rendition of the
Landlord's Statement, Tenant shall pay to Landlord the amount of Tenant's Tax
Payment. On the first day of each month following the rendition of each
Landlord's Statement, Tenant shall pay to Landlord, on account of Tenant's next
Tax Payment, a sum equal to one-twelfth (1/12th) of Tenant's last Tax Payment
due hereunder, which sum shall be subject to adjustment for subsequent increases
in Taxes.

            (D) If during the Term Taxes are required to be paid as a tax escrow
payment to a mortgagee, then, at Landlord's option, the installments of Tenant's
Tax Payment shall be correspondingly accelerated so that Tenant's Tax Payment or
any installment thereof shall be due and payable by Tenant to Landlord at least
thirty (30) days prior to the date such payment is due to such mortgagee.

            (E) Tenant shall not, without Landlord's prior written consent,
institute or maintain any action, proceeding or application in any court or body
or with any governmental authority for the purpose of changing the Taxes.
However, if Landlord fails to commence such a proceeding within thirty (30) days
prior to the final date to file challenges for the tax year in question and
Landlord has not provided a reasonable justification for not doing so by such
thirtieth (30th) day, then Tenant shall be permitted to commence such a
proceeding for the tax year in question at Tenant's sole cost and expense and
upon prior notice to Landlord. In the event Tenant commences such a proceeding
as permitted by this Article, Tenant shall furnish Landlord with copies of all
documents delivered and received by or on behalf of Tenant in connection with
said proceeding. In the event any such action initiated by Landlord or Tenant is
successful, then Landlord and Tenant shall share any tax refund or credit
obtained thereby (after reimbursement to the appropriate party for reasonable
legal fees and other customary out of pocket expenses) on the basis of the Taxes
paid by each such party.

            (F) Landlord's failure to render a Landlord's Statement with respect
to any Escalation Year shall not prejudice Landlord's right to render a
Landlord's Statement with respect to any Escalation Year, unless more than three
(3) years have transpired since the expiration or sooner termination of this
lease. The obligation of Landlord and Tenant under the provisions of this
Article with respect to any additional rent for any Escalation Year shall
survive the expiration or any sooner termination of the Demised Term.

                                TENANT'S REPAIRS

            12. Tenant shall take good care of the Demised Premises and, subject
to the provisions of Article 7 hereof, Landlord, at the expense of Tenant, shall
make as and when needed as a result of misuse or neglect by Tenant or Tenant's
servants, employees, agents or licensees, all repairs in and about the Demised
Premises necessary to preserve them in good order and condition. Except as
specifically provided in this lease, there shall be no allowance to Tenant for a
diminution of rental value and no liability on the part of Landlord by reason of
inconvenience, annoyance or injury to business arising from Landlord, Tenant or
others making any repairs, alterations, additions or

                                      -8-
<PAGE>

improvements in or to any portion of the Building or of Demised Premises, or in
or to the fixtures, appurtenances or equipment thereof, and no liability upon
Landlord for failure of Landlord or others to make any repairs, alterations,
additions or improvements in or to any portion of the Building or of the Demised
Premises, or in or to the fixtures, appurtenances or equipment thereof, except
that Landlord shall be subject to a claim for damages to Tenant (without a right
of rent setoff except as specifically provided in this lease) if Landlord shall
be negligent in the performance of any repairs Landlord shall elect or be
required to make to the Building or the Demised Premises or if Landlord shall
unreasonably interfere with the conduct of Tenant's business when performing
such repairs. Any rights which Tenant may have at law to claim constructive
eviction by reason of the foregoing shall be subject to Article 35(C) (i) below.

                            FIXTURES & INSTALLATIONS

            13. All appurtenances, fixtures, improvements, additions and other
property attached to or built into the Demised Premises whether by Landlord or
Tenant or others, and whether at Landlord's expense, or Tenant's expense, or the
joint expense of Landlord and Tenant, shall be and remain the property of
Landlord (except for purposes of sales tax which shall remain Tenant's
obligation), except that any trade fixtures, furniture, furnishings and other
articles of movable personal property belonging to Tenant, and which are
removable without material damage to the Demised Premises or the Building
("Tenant's Property"), may be removed by Tenant on condition that Tenant shall
repair, at its expense, any damage to the Demised Premises or the Building
resulting from such removal. Tenant, before so removing Tenant's Property, shall
establish to Landlord's reasonable satisfaction that no structural damage or
change will result from such removal and that Tenant can and promptly will
repair and restore any damage caused by such removal without cost or charge to
Landlord. Any such repair and removal shall itself be deemed an Alteration (as
defined in Article 14 below) within the purview of this lease. All the outside
walls of the Demised Premises including corridor walls and the outside entrance
doors to the Demised Premises, any balconies, terraces or roofs adjacent to the
Demised Premises, and any space in the Demised Premises used for shafts, stacks,
pipes, conduits, ducts or other building facilities, and the use thereof, as
well as access thereto in and through the Demised Premises for the purpose of
operation, maintenance, decoration and repair, are expressly reserved to
Landlord, and Landlord does not convey any rights to Tenant therein.
Notwithstanding the foregoing, Tenant shall enjoy full right of access to the
Demised Premises through the public entrances, public corridors and public areas
within the Building.

                                   ALTERATIONS

            14. (A) Tenant shall make no alterations, decorations,
installations, additions or improvements (hereinafter collectively referred to
as "Alterations") in or to the Demised Premises without Landlord's prior written
consent, which consent shall not be unreasonably withheld or delayed, and then
only by contractors or mechanics reasonably approved by Landlord and at such
times and in such manner as Landlord may from time to time reasonably designate.
Notwithstanding the foregoing, Tenant shall be permitted to paint and install
wall coverings and floor coverings and make other similar decorative alterations
in the Premises ("Decorative Alterations") without Landlord's prior consent, but
Tenant must notify Landlord prior to performing such Decorative Alterations.

                                      -9-
<PAGE>

            (B) All Alterations done by Tenant shall at all times comply with
(i) laws, rules, orders and regulations of governmental authorities having
jurisdiction thereof, and (ii) rules and regulations of the Landlord attached as
Schedule D.

            (C) With respect to all Alterations, except Decorative Alterations,
plans and specifications prepared by and at the expense of Tenant shall be
submitted to Landlord for its prior written approval which shall not be
unreasonably withheld or delayed in accordance with the following requirements:

            (i) With respect to any Alterations to be performed by Tenant
pursuant to this lease, except Decorative Alterations, Tenant shall, at its
expense, furnish Landlord with all drawings, plans, layouts and specifications
for work to be performed by Tenant, including, without limitation,
architectural, plumbing, electrical, mechanical and heating, ventilating and air
conditioning plans (the "Tenant's Plans"). All of the Tenant's Plans shall: (a)
be compatible with the Landlord's building plans, (b) comply with all applicable
laws and the rules, regulations, requirements and orders of any and all
governmental agencies, departments or bureaus having jurisdiction, and (c) be
fully detailed, including locations and complete dimensions;

            (ii)  Tenant's  Plans  shall be subject to  approval  by  Landlord
which shall not be unreasonably withheld or delayed;

            (iii) Tenant shall, at Tenant's expense, (a) cause Tenant's Plans to
be filed with the governmental agencies having jurisdiction thereover, (b)
obtain when necessary all governmental permits, licenses and authorizations
required for the work to be done in connection therewith, and (c) obtain all
necessary certificates of occupancy, both temporary and permanent. Landlord
shall execute such documents as may be reasonably required in connection with
the foregoing and Landlord shall otherwise cooperate with Tenant in connection
with obtaining the foregoing, but without any expense to Landlord. Tenant shall
make no amendments or additions to Tenant's Plans without the prior written
consent of Landlord in each instance;

            (iv) No work shall commence in the Premises until (a) Tenant has
procured all necessary permits therefor and has delivered copies of same to
Landlord, (b) Tenant has procured a paid builder's risk insurance policy naming
Landlord as an additional insured and has delivered to Landlord a certificate of
insurance evidencing such policy, and (c) Tenant or its contractor has procured
a workmen's compensation insurance policy covering the activities of all persons
working at the Premises naming Landlord as an additional insured and has
delivered to Landlord a certificate of insurance evidencing such policy;

            (v) Tenant may use any licensed architect or engineer to prepare its
plans and to file for permits. However, all such plans and permit applications
shall be subject to review, revision and approval by Landlord or its architect
which approval shall not be unreasonably withheld or delayed;

            (vi) Tenant, at its expense, shall perform all work in accordance
with Tenant's Plans (except Decorative Alterations), and all Alterations, unless
Landlord performs same, shall be subject to Landlord's supervisory fee charge of
10% of the cost thereof (excluding the cost of

                                      -10-
<PAGE>

Decorative Alterations). In receiving such fee, Landlord assumes no
responsibility for the quality or manner in which such work has been performed;
and

            (vii) Tenant agrees that it will not, either directly or indirectly,
use any contractors and/or labor and/or materials if the use of such contractors
and/or labor and/or materials would or will create any difficulty with other
contractors and/or labor engaged by Tenant or Landlord or others in the
construction, maintenance or operations of the Building or any part thereof.
Tenant hereby agrees that only "AFL-ClO Building Trades" workers and contractors
shall be used for any work to be performed by or on behalf of Tenant.

            (D) Tenant's right to make Alterations shall be subject to the
following additional conditions: (i) the Alterations will not result in a
violation of, or require a change in, any Certificate of Occupancy applicable to
the Premises or the Building; (ii) the outside appearance, character or use of
the Building shall not be affected; (iii) no part of the Building outside of the
Premises shall be physically affected; (iv) subject to Landlord's consent
provisions set forth in this Article, functioning of any air-conditioning,
elevator, plumbing, electrical, sanitary, mechanical and other service or
utility system of the Building shall not be affected.

            (E) Except if arising out of the Contractor's performance of
Tenant's Initial Construction, Tenant shall defend, indemnify and save harmless
Landlord against any and all mechanics' and other liens filed in connection with
its Alterations, repairs or installations, including the liens of any
conditional sales of, or Chattel mortgages upon, any materials, fixtures or
articles so installed in and constituting part of the Premises and against any
loss, cost, liability, claim, damage and expense, including reasonable counsel
fees, penalties and fines incurred in connection with any such lien, conditional
sale or chattel mortgage or any action or proceeding brought thereon.

            (F) Tenant, at its expense, shall procure the satisfaction or
discharge of all such liens within thirty (30) days of the filing of such lien
against the Premises or the Building. If Tenant shall fail to cause such lien to
be discharged within the aforesaid period, then, in addition to any other right
or remedy, Landlord may, but shall not be obligated to, discharge the same
either by paying the amount claimed to be due or by procuring the discharge of
such lien by deposit or by bonding proceedings, and in any such event Landlord
shall be entitled, if Landlord so elects, to compel the prosecution of an action
for the foreclosure of such lien by the lienor and to pay the amount of the
judgment in favor of the lienor with interest, costs and allowances. Any amount
so paid by Landlord, and all costs and expenses incurred by Landlord in
connection therewith, together with interest thereon at the maximum rate
permitted by law from the respective dates of Landlord's making of the payments
or incurring of the cost and expense, shall constitute additional rent and shall
be paid on demand.

            (G) Nothing in this lease contained shall be construed in any way as
constituting the consent or request of Landlord, expressed or implied, to any
contractor, subcontractor, laborer or materialman for the performance of any
labor or the furnishing of any material for any improvement, alteration or
repair of the Premises, nor as giving any right or authority to contract for the
rendering of any services or the furnishing of any materials that would give
rise to the filing of any mechanics' liens against the Premises.

                                      -11-
<PAGE>

                               REQUIREMENTS OF LAW

            15. (A) Except with respect to violations existing as of the date of
this lease, Tenant, as Tenant's sole cost and expense, shall comply with all
statutes, laws, ordinances, orders, regulations and notices of Federal, State,
County and Municipal authorities, and with all directions, pursuant to law, of
all public officers, which shall impose any duty upon Landlord or Tenant with
respect to the Demised Premises or the use or occupation thereof, if arising out
of Tenant's use or manner of use thereof, except that Tenant shall not be
required to make any structural alterations in order so to comply unless such
alterations shall be necessitated or occasioned, in whole or in part, by the
acts, omissions, or negligence of Tenant or any person claiming through or under
Tenant or any of their servants, employees, contractors, agents, visitors or
licensees, or by the specific use or occupancy or specific manner of use or
occupancy of the Demised Premises by Tenant, or any such person.

            (B) The parties acknowledge that there are certain Federal, State
and local laws, regulations and guidelines now in effect and that additional
laws, regulations and guidelines may hereafter be enacted, relating to or
affecting the Premises, the Building, and the land of which the Premises and the
Building may be a part, concerning the impact on the environment of
construction, land use, the maintenance and operation of structures and the
conduct of business. Tenant will not cause, or permit to be caused, any act or
practice, by negligence, omission, or otherwise, that would adversely affect the
environment or do anything or permit anything to be done that would violate any
of said laws, regulations, or guidelines. Any violation of this covenant shall
be an event of default under this lease.

            (C) Tenant shall keep or cause the Premises to be kept free of
Hazardous Materials (hereinafter defined). Without limiting the foregoing,
Tenant shall not cause or permit the Premises to be used to generate,
manufacture, refine, transport, treat, store, handle, dispose, transfer, produce
or process Hazardous Materials, except in compliance with all applicable
Federal, State and Local laws or regulations, nor shall Tenant cause or permit,
as a result of any intentional or unintentional act or omission on the part of
Tenant or any person or entity claiming through or under Tenant or any of their
employees, contractors, agents, visitors or licensees (collectively, "Related
Parties"), a release of Hazardous Materials onto the Premises or onto any other
property. Tenant shall comply with and ensure compliance by all Related Parties
with all applicable Federal, State and Local laws, ordinances, rules and
regulations, whenever and by whomever triggered, and shall obtain and comply
with, and ensure that all Related Parties obtain and comply with, any and all
approvals, registrations or permits required thereunder. With respect to
Hazardous Materials for which Tenant is responsible hereunder, Tenant shall (i)
conduct and complete all investigations, studies, samplings, and testing, and
all remedial removal and other actions necessary to clean up and remove such
Hazardous Materials, on, from, or affecting the Premises (a) in accordance with
all applicable Federal, State and Local laws, ordinances, rules, regulations,
policies, orders and directives, and (b) to the reasonable satisfaction of
Landlord, and (ii) defend, indemnify, and hold harmless Landlord, its employees,
agents, officers, and directors, from and against any claims, demands,
penalties, fines, liabilities, settlements, damages, costs, or expenses of
whatever kind or nature, known or unknown, contingent or otherwise, arising out
of, or in any way related to, (a) the presence, disposal, release, or threatened
release of such Hazardous Materials which are on, from, or affecting the soil,
water, vegetation, buildings, personal property, persons, animals, or otherwise;
(b) any

                                      -12-
<PAGE>

personal injury (including wrongful death) or property damage (real or personal)
arising out of or related to such Hazardous Materials; (c) any lawsuit brought
or threatened, settlement reached, or government order relating to such
Hazardous Materials; and/or (d) any violation of laws, orders, regulations,
requirements, or demands of government authorities, or any policies or
requirements of Landlord which are based upon or in any way related to such
Hazardous Materials, including, without limitation, reasonable attorney and
consultant fees, investigation and laboratory fees, court costs, and litigation
expenses. In the event this lease is terminated, or Tenant is dispossessed,
Tenant shall deliver the Premises to Landlord free of any and all Hazardous
Materials so that the conditions of the Premises shall conform with all
applicable Federal, State and Local laws, ordinances, rules or regulations
affecting the Premises. For purposes of this paragraph, "Hazardous Materials"
includes, without limitation, any flammable explosives, radioactive materials,
hazardous materials, hazardous wastes, hazardous or toxic substances, or related
materials defined in the Comprehensive Environmental Response, Compensation, and
Liability Act of 1980, as amended (42 U.S.C. Sections 9601, et seq.), the
Hazardous Materials Transportation Act, as amended (49 U.S.C. Sections 1801 et
seq.), the Resource Conservation and Recovery Act, as amended (42 U.S.C.
Sections 9601, et seq.), and in the regulations adopted and publications
promulgated pursuant thereto, or any other Federal, State or Local environmental
law, ordinance, rule, or regulation.

            (D) Landlord hereby covenants, warrants and represents as follows:

            (i) to the best of its knowledge, the Demised Premises are currently
in full compliance with all applicable federal, state and local governmental
laws, rules and regulations relating to environmental and occupational hygiene
matters; (ii) Landlord has not received any notice of and has no knowledge of
any claim, suit or other action or investigation with respect to the violation
of any federal, state or local environmental or occupational hygiene laws, rules
or regulations due to the presence of Hazardous Materials in or about the
Demised Premises. In addition, the Landlord shall indemnify and save Tenant
harmless from and against any and all claims, obligations, liabilities,
violations, penalties, fines, suits, governmental orders, causes of actions,
judgments, damages, whether civil or criminal or both, of any and all kind or
nature in connection with any remedial action required of Tenant for the
existence of toxic or Hazardous Materials at the premises which are not covered
by Tenant's Indemnification as provided above, including, without limitation,
claims caused by actions or omissions of persons other than Tenant prior to the
commencement of the Term of this lease or by Landlord or other tenants during
the Term of this lease. This indemnification shall include, but not be limited
to, reasonable legal fees and other charges to which Tenant may be put,
including cleanup costs, in defending against any proceeding in connection with
the foregoing.

            (E) If a written notice or order shall be received by Landlord or
Tenant relating to requirements to conform to the Americans with Disabilities
Act ("A.D.A.") from any governmental body or agency having jurisdiction thereof:
(i) Tenant, at its own expense, shall be obligated to comply and cure any
violation thereof caused or occasioned by work in the Demised Premises completed
by or on behalf of Tenant (with the exception of work completed by Landlord or
the Contractor as part of Tenant's Initial Construction); and (ii) Landlord
shall be obligated to comply and cure any violation within the Demised Premises
caused or occasioned by work in the Demised Premises completed by Landlord or
the Contractor and within portions of the Building beyond the Demised Premises.
In any such instance, the affected party need not

                                      -13-
<PAGE>

commence compliance until a court of final jurisdiction (or a court whose
decision is not appealed) shall determine that such compliance is mandatory;
provided however, that the expense of any such contest shall be borne by the
party to be charged as above provided and further provided that such contest
shall not cause or result in the party not so contesting (or its employees and
agents) being subject to fines or other criminal penalties.

            (F) Tenant will have the right to contest, by appropriate
proceedings diligently conducted in good faith in the name of Tenant or, with
the prior consent of the Landlord (which will not be unreasonably withheld or
delayed), in the name of Landlord, or both, without cost or expense to Landlord,
the validity or application of any law, ordinance, order, rule, regulation or
legal requirement of any nature. If compliance with any law, ordinance, order,
rule, regulation, or requirement may legally be delayed pending the prosecution
of any proceeding without incurring any lien, charge, or liability of any kind
against the Premises, or Tenant's interest in the Premises, and without
subjecting Tenant or Landlord to any liability, civil or criminal, for failure
to comply, Tenant may delay compliance until the final determination of the
proceeding. Landlord will not be required to join any proceedings pursuant to
this Paragraph unless the provision of any applicable law, rule, or regulation
at the time in effect requires that the proceedings be brought by or in the name
of Landlord, or both. In that event, Landlord will join the proceedings or
permit them to be brought in its name if Tenant pays all related expenses,
including, without limitation, Landlord's reasonable attorney's fees.

                                   END OF TERM

            16. (A) Upon the expiration or other termination of the Term of this
lease, Tenant shall, at its own expense, quit and surrender to Landlord the
Demised Premises, broom clean, in good order and condition, ordinary wear, tear
and damage by fire or other insured casualty excepted, and Tenant shall remove
all of its property and shall pay the cost to repair all damage to the Demised
Premises or the Building occasioned by such removal. Any property not removed
from the Premises shall be deemed abandoned by Tenant and may be retained by
Landlord, as its property, or disposed of in any manner deemed appropriate by
the Landlord. Any expense incurred by Landlord in removing or disposing of such
property shall be reimbursed to Landlord by Tenant on demand. Tenant expressly
waives, for itself and for any person claiming through or under Tenant, any
rights which Tenant or any such person may have under the provisions of Section
2201 of the New York Civil Practice Law and Rules and of any successor law of
like import then in force, in connection with any holdover or summary proceeding
which Landlord may institute to enforce the foregoing provisions of this
Article. Tenant's obligation to observe or perform this covenant shall survive
the expiration or other termination of the Term of this lease. If the last day
of the Term of this lease or any renewal hereof falls on Sunday or a legal
holiday, this lease shall expire on the business day immediately preceding.
Tenant's obligations under this Article 16 shall survive the Expiration Date or
sooner termination of this lease.

            (B) In the event of any holding over by Tenant after the expiration
or termination of this Lease without the consent of Landlord, Tenant shall:

            (i) pay as holdover rental for each month of the holdover tenancy an
amount equal to the greater of (a) the fair market rental value of the Premises
for such month (as

                                      -14-
<PAGE>

reasonably determined by Landlord) or (b) one hundred fifty (150%) percent of
the Rent payable by Tenant for the third month prior to the Expiration Date of
the term of this lease for the first three (3) months of said holdover and two
hundred (200%) percent of the Rent payable by Tenant for such third month prior
to the Expiration Date thereafter, and otherwise observe, fulfill and perform
all of its obligations under this lease, including but not limited to, those
pertaining to additional rent, in accordance with its terms; and

            (ii) be liable to Landlord for any payment or rent concession which
Landlord may be required to make to any tenant in order to induce such tenant
not to terminate an executed lease covering all or any portion of the Premises
by reason of the holdover over by Tenant less an amount equal to the holdover
rent paid by Tenant pursuant to Paragraph (B) (i) above minus 100% of the
monthly Rent payable by Tenant for the third month prior to the Expiration Date
of the term of this lease.

            No holding over by Tenant after the Term shall operate to extend the
Term.

            The holdover, with respect to all or any part of the Premises, of a
person deriving an interest in the Premises from or through Tenant, including,
but not limited to, an assignee or subtenant, shall be deemed a holdover by
Tenant.

            Notwithstanding anything in this Article contained to the contrary,
the acceptance of any Rent paid by Tenant pursuant to this Paragraph 16(B),
shall not preclude Landlord from commencing and prosecuting a holdover or
eviction action or proceeding or any action or proceeding in the nature thereof.
The preceding sentence shall be deemed to be an "agreement expressly providing
otherwise" within the meaning of Section 232-c of the Real Property Law of the
State of New York and any successor law of like import.

            (C) If at any time during the last month of the Term Tenant shall
have removed all or substantially all of Tenant's property from the Premises,
Landlord may, and Tenant hereby irrevocably grants to Landlord a license to,
immediately enter and alter, renovate and redecorate the Premises, without
elimination, diminution or abatement of Rent, or incurring liability to Tenant
for any compensation, and such acts shall have no effect upon this lease.

                                 QUIET ENJOYMENT

            17. Landlord covenants and agrees with Tenant that upon Tenant
paying the Rent and additional rent and observing and performing all the terms,
covenants and conditions on Tenant's part to be observed and performed, Tenant
may peaceably and quietly enjoy the Demised Premises during the Term of this
lease without hindrance or molestation by anyone claiming by or through
Landlord, subject, nevertheless, to the terms, covenants and conditions of this
lease including, but not limited to, Article 22.

                                      SIGNS

            18. No signs or lettering of any nature may be put on or in any
window or on the exterior of the Building or elsewhere within the Demised
Premises such as will be visible from the street. No sign or lettering in the
public corridors or on the doors is permitted except

                                      -15-
<PAGE>

Landlord's standard name plaque. Notwithstanding the foregoing, to the extent
permitted by applicable laws and regulations, Landlord, at Landlord's sole
expense, shall provide Tenant with two (2) monument signs on the side of the
Building which faces Route 110. Tenant's right to such monument signage shall
not be exclusive. To the extent permitted by applicable laws and regulations,
such monument signs shall each have an area equal to fifty (50%) percent larger
than the Ernst & Young monument sign currently located at 395 North Service
Road, Melville, New York, and shall be located at the north and south entrances
to the Real Property along Route 110. If the number of such monuments signs is
limited by applicable laws and regulations, Tenant shall be entitled to the
first two (2) monument signs excluding any Building monument sign used by
Landlord. In connection with the monument signs to be provided to Tenant, in the
event it becomes necessary to obtain a variance in order to maintain either or
both monument signs outside the Building, Tenant shall be responsible for and
shall pay for such variance application(s) and proceeding(s) but Landlord agrees
to cooperate with Tenant's variance application(s) provided Tenant shall afford
Landlord a reasonable period to review and approve Tenant's variance
application(s) and other submittals relating thereto (which approval shall not
be unreasonably withheld or delayed).

                              RULES AND REGULATIONS

            19. Tenant and Tenant's agents, employees, visitors, and licensees
shall faithfully observe and comply with, and shall not permit violation of, the
Rules and Regulations set forth on Schedule C annexed hereto and made part
hereof, and with such further reasonable Rules and Regulations as Landlord at
any time may make and communicate in writing to Tenant which, in Landlord's
judgment, shall be necessary for the reputation, safety, care and appearance of
the Building and the land allocated to it or the preservation of good order
therein, or the operation or maintenance of the Building, and such land, its
equipment, or the more useful occupancy or the comfort of the tenants or others
in the Building. Landlord shall not be liable to Tenant for the violation of any
of said Rules and Regulations, or the breach of any covenant or condition, in
any lease by any other tenant in the Building. Landlord agrees to apply Rules
and Regulations in a manner which does not discriminate against Tenant.

                            RIGHT TO SUBLET OR ASSIGN

            20. (A) Tenant covenants that it shall not assign this lease nor
sublet the Demised Premises or any part thereof by operation of law or
otherwise, including, without limitation, an assignment or subletting as defined
in (C) below, without the prior written consent of Landlord in each instance
which consent shall not be unreasonably withheld or delayed, except on the
conditions hereinafter stated. Tenant may assign this lease or sublet all or a
portion of the Demised Premises with Landlord's written consent which consent
shall not be unreasonably withheld or delayed, provided:

            (i)   That such  assignment  or  sublease is for a use which is in
compliance  with the then existing  zoning  regulations and the Certificate of
Occupancy;

                                      -16-
<PAGE>

            (ii) That, at the time of such assignment or subletting, there is no
default under the terms of this lease on the Tenant's part beyond any applicable
notice and cure periods provided herein for the cure thereof;

            (iii) That,  in the event of an  assignment,  the  assignee  shall
assume in writing the  performance of all of the terms and  obligations of the
within lease;

            (iv) That a duplicate original of said assignment or sublease shall
be delivered by certified mail to the Landlord at the address herein set forth
within ten (10) days from the said assignment or sublease and within ninety (90)
days of the date that Tenant first advises Landlord of the name and address of
the proposed subtenant or assignee, as required pursuant to subparagraph (B)
hereof;

            (v) Such assignment or subletting shall not, however, release the
within Tenant or any successor tenant or any guarantor from their liability for
the full and faithful performance of all of the terms and conditions of this
lease;

            (vi) If this lease be assigned, or if the Demised Premises or any
part thereof be underlet or occupied by anybody other than Tenant, Landlord may
after default by Tenant collect rent from the assignee, undertenant or occupant,
and apply the net amount collected to the rent herein reserved.

            (B) Notwithstanding anything contained in this Article 20 to the
contrary, no assignment or underletting shall be made by Tenant in any event
until, with respect to an assignment, Tenant has offered to terminate this
entire lease and, with respect to a sublease, Tenant has offered to terminate
this lease with respect to the portion of the Demised Premises which is the
subject of the proposed sublease, as of the last day of any calendar month
during the Term hereof and to vacate and surrender the Demised Premises, or the
portion of the Demised Premises which is the subject of the proposed sublease,
as the case may be, to Landlord on the date fixed in the notice served by Tenant
upon Landlord (which date shall be prior to the date of such proposed assignment
or the commencement date of such proposed lease). Simultaneously with said offer
to terminate this lease in whole or in part, as the case may be, Tenant shall
advise the Landlord, in writing, of the name and address of the proposed
assignee or subtenant, a reasonably detailed statement of the proposed
subtenant/assignee's business, reasonably detailed financial references, and all
the terms, covenants, and conditions of the proposed sublease or assignment.
Within thirty (30) days after Landlord shall have received from Tenant such
offer to terminate and the information on the proposed assignee or subtenant
required in the preceding sentence, Landlord shall advise Tenant of its election
as to whether it shall recapture the applicable space.

            (C) Except as otherwise permitted in Paragraph (D) below, for
purposes of this Article 20, (i) the transfer of a majority of the issued and
outstanding capital stock of any corporate tenant, or of a corporate subtenant,
or the transfer of a majority of the beneficial interest in any noncorporate
tenant or subtenant, however accomplished, whether in a single transaction or in
a series of related or unrelated transactions, shall be deemed an assignment of
this lease, or of such sublease, as the case may be; (ii) any person or legal
representative of Tenant, to whom Tenant's interest under this lease passes by
operation of law or otherwise, shall

                                      -17-
<PAGE>

be bound by the provisions of this Article 20; and (iii) a modification or
amendment of a sublease shall be deemed a sublease. Notwithstanding the
foregoing, the conversion of Tenant from a not-for-profit corporation to a
for-profit corporation, and the issuance of shares in connection therewith to
substantially the same persons that currently hold membership interests in
Tenant, shall not be deemed to be an assignment of this lease which requires
Landlord's consent.

            (D) Tenant may, without the consent of Landlord, assign this lease
to an affiliate (i.e., a corporation or other entity 20% or more of whose
capital stock or beneficial interest is owned by the same stockholders or
beneficial owners owning 20% or more of Tenant's capital stock or beneficial
interest), parent or subsidiary corporation or entity of Tenant or (whether
through a private or public offering) to a corporation or entity to which it
sells or assigns all or substantially all of its assets or stock or beneficial
interest or with which it may be consolidated or merged, provided such
purchasing, consolidated, merged, affiliated or subsidiary corporation or entity
shall have assets and good will having a fair market value of at least
$10,000,000 over such corporation or entity's liabilities and shall, in writing,
assume and agree to perform all of the obligations of Tenant under this lease
and it shall deliver such assumption with a copy of such assignment to Landlord
within ten (10) days thereafter, and provided further than Tenant shall not be
released or discharged from any liability under this lease by reason of such
assignment. The right of recapture set forth in Paragraph B above shall not
apply to any assignments which are permitted under this paragraph to be made
without Landlord's consent.

            (E) Whenever Tenant shall claim under this Article or any other part
of this lease that Landlord has unreasonably withheld or delayed its consent to
some request of Tenant, Tenant shall have no claim for damages by reason of such
alleged withholding or delay, and Tenant's sole remedy thereof shall be a right
to obtain specific performance or injunction but in no event with recovery of
damages.

            (F) Tenant shall not mortgage, hypothecate, pledge, or otherwise
encumber its interest in this lease, without Landlord's prior written consent
which shall not be unreasonably withheld or delayed.

                          LANDLORD'S ACCESS TO PREMISES

            21. (A) Landlord or Landlord's agents shall have the right to enter
and/or pass through the Demised Premises at all reasonable times on reasonable
notice, except in an emergency, to examine the same, and to show them to ground
lessors, prospective purchasers or lessees or mortgagees of the Building, and to
make such repairs, improvements or additions as Landlord may deem necessary or
desirable, and Landlord shall be allowed to take all material into and upon
and/or through said Demised Premises that may be required therefor. When
entering the Demised Premises pursuant to this Article 21, Landlord will use
reasonable efforts to minimize disruption of Tenant's business operations (but
such obligation shall not require Landlord to use overtime or after hour
services unless Tenant shall pay Landlord the additional cost for such
services). During the twelve (12) months prior to the expiration of the Term of
this lease, or any renewal term, Landlord may exhibit the Demised Premises to
prospective tenants or purchasers at all reasonable hours and without
unreasonably interfering with Tenant's business. If Tenant shall not be
personally present to open and permit an entry into said premises at any

                                      -18-
<PAGE>

time after the notice required hereunder, when for any reason an entry therein
shall be necessary or permissible, Landlord or Landlord's agents may enter the
same by a master key, or forcibly in an emergency situation, without rendering
Landlord or such agent liable therefor (if during such entry Landlord or
Landlord's agents shall accord reasonable care to Tenant's property).

            (B) Landlord shall also have the right, at any time, to change the
arrangement and/or location of entrances or passageways, doors and doorways, and
corridors, elevators, stairs, toilets, or other public parts of the Building,
provided, however, that Landlord shall make no change in the arrangement and/or
location of entrances or passageways or other public parts of the Building which
will adversely affect in any material manner Tenant's use and enjoyment of the
Demised Premises. Landlord shall also have the right, at any time, to install
signs and/or lettering on any or all entrances to the Building, and to change
the number or designation by which the Building is commonly known.

            (C) Neither this lease nor any use by Tenant shall give Tenant any
right or easement to the use of any door or passage or concourse connecting with
any other building or to any public conveniences, and the use of such doors and
passages and concourse and of such conveniences may be regulated and/or
discontinued at any time and from time to time by Landlord without notice to
Tenant.

            (D) The exercise by Landlord or its agents of any right reserved to
Landlord in this Article shall not constitute an actual or constructive
eviction, in whole or in part, or entitle Tenant to any abatement or diminution
of rent, or relieve Tenant from any of its obligations under this lease, or
impose any liability upon Landlord, or its agents, or upon any lessor under any
ground or underlying lease, by reason of inconvenience or annoyance to Tenant,
or injury to or interruption of Tenant's business, or otherwise.

                                  SUBORDINATION

            22. (A) Subject to the provisions of this Section 22 set forth
below, this lease and all rights of Tenant hereunder are, and shall be, subject
and subordinate in all respects to all ground leases and/or underlying leases
and to all mortgages and building loan agreements which may now or hereafter be
placed on or affect such leases and/or the Real Property of which the Demised
Premises form a part, or any part or parts of such Real Property, and/or
Landlord's interest or estate therein, and to each advance made and/or hereafter
to be made under any such mortgages, and to all renewals, modifications,
consolidations, replacements and extensions thereof and all substitutions
therefor. This Section A shall be self-operative and no further instrument of
subordination shall be required. In confirmation of such subordination, Tenant
shall execute and deliver promptly any certificate that Landlord and/or any
mortgagee and/or the lessor under any ground or underlying lease and/or their
respective successors in interest may request.

            (B) Without limitation of any of the provisions of this lease, in
the event that any mortgagee or its assigns shall succeed to the interest of
Landlord or of any successor-Landlord and/or shall have become lessee under a
new ground or underlying lease, then, at the option of such mortgagee, this
lease shall nevertheless continue in full force and effect and

                                      -19-
<PAGE>

Tenant shall and does hereby agree to attorn to such mortgagee or its assigns
and to recognize such mortgagee or its respective assigns as its Landlord.

            (C) Either party shall, at any time and from time to time, upon not
less than ten (10) days prior notice by the other party, execute, acknowledge
and deliver to the requesting party a statement in writing certifying that this
lease is unmodified and in full force and effect (or if there have been
modifications, that the same is in full force and effect as modified and stating
the modification) and the dates to which the Rent, additional rent and other
charges have been paid in advance, if any, and stating whether or not to the
best knowledge of the signer of such certificate, the other party is in default
in performance of any covenant, agreement, term, provision or condition
contained in this lease, and if so, specifying each such default of which the
signer may have knowledge. In the case of any such statement requested of Tenant
by Landlord, Tenant acknowledges that it is intended that any such statement
delivered pursuant hereto may be relied upon by any prospective purchaser or
lessee of the Building or the land on which it is situated or any interest or
estate therein, any mortgagee or prospective mortgagee thereof, or any
prospective assignee of any mortgage thereof. If, in connection with obtaining
financing for the Building and the land allocated to it, a banking, insurance or
other recognized institutional lender shall request reasonable modifications in
this lease as a condition to such financing, Tenant will not unreasonably
withhold, delay or defer its consent thereof, provided that such modifications
do not increase the obligations of Tenant hereunder or materially adversely
affect the leasehold interest hereby created. If, in connection with such
financing, such institutional lender shall reasonably require financial audited
information on the Tenant, Tenant shall promptly comply with such request.

            (D) The Tenant covenants and agrees that if by reason of a default
under any underlying lease (including an underlying lease through which the
Landlord derives its leasehold estate in the premises), such underlying lease
and the leasehold estate of the Landlord in the premises demised hereby is
terminated, providing notice has been given to the Tenant and leasehold
mortgagee, the Tenant will attorn to the then holder of the reversionary
interest in the premises demised by this lease or to anyone who shall succeed to
the interest of the Landlord or to the lessee of a new underlying lease entered
into pursuant to the provisions of such underlying lease, and will recognize
such holder and/or such lessee as the Tenant's landlord of this lease. The
Tenant agrees to execute and deliver, at any time and from time to time, upon
the request of the Landlord or of the lessor under any such underlying lease,
any instrument which may be necessary or appropriate to evidence such
attornment. The Tenant further waives the provision of any statute or rule of
law now or hereafter in effect which may give or purport to give the Tenant any
right of election to terminate this lease or to surrender possession of the
premises hereby in the event any proceeding is brought by the lessor under any
underlying lease to terminate the same, and agrees that unless and until any
such lessor, in connection with any such proceeding, shall elect to terminate
this lease and the rights of the Tenant hereunder, this lease shall not be
affected in any way whatsoever by any such proceeding.

            (E) Landlord represents that there are currently no mortgages or
ground or underlying leases (herein referred to as "ground leases") affecting
the Building or the Real Property appurtenant thereto. With respect to future
mortgages and ground leases, Landlord shall deliver to Tenant a subordination,
attornment and nondisturbance agreement ("Nondisturbance Agreement") from such
future mortgage lender or ground lessor which shall

                                      -20-
<PAGE>

be in recordable form and shall provide, inter alia, that the leasehold estate
granted to Tenant under this lease will not be terminated or disturbed by reason
of the foreclosure of any such mortgage or by reason of the termination of any
such ground lease, so long as Tenant shall not be in default under this lease
beyond any applicable notice or cure period, and shall pay all sums due under
this lease without offsets (unless specifically permitted under this lease) or
defenses thereto, and shall fully perform and comply with all of the terms,
covenants, and conditions of this lease on the part of Tenant to be performed
and/or complied with, and in the event a mortgagee or ground lessor or its
respective successors or assigns shall enter into and lawfully become possessed
of the Premises covered by this lease and shall succeed to the rights of
Landlord hereunder, Tenant will attorn to the successor as its landlord under
this lease and, upon the request of such successor landlord, Tenant will execute
and deliver an attornment agreement in favor of the successor landlord. Such
Nondisturbance Agreement shall also provide that, in the event Tenant shall not
be in default under this lease beyond any applicable notice and cure period,
neither the holder of any such mortgage nor any ground lessor shall name or join
Tenant as a party-defendant or otherwise in any suit, action or proceeding to
enforce such mortgagee's rights under such mortgage or to terminate any such
ground lease, nor will this lease nor the term hereof be terminated (except as
permitted by the provisions of this lease), nor will the rights and obligations
of Tenant under this lease be adversely affected by any enforcement action
against Landlord under such mortgage or ground lease by the holder of any such
mortgage or the lessor under any such ground lease. In addition, the
Nondisturbance Agreement which the holder of any future mortgage or ground
lessor shall deliver to Tenant shall provide that condemnation awards and
insurance proceeds covered by this lease shall be applied in the manner provided
in this lease. Tenant hereby acknowledges that such Nondisturbance Agreements
may contain other reasonable provisions in favor of the lender or ground lessor
or their respective designee including, without limitation, reasonable
limitations on such lender's or ground lessor's or designee's liability after
such party shall become a successor landlord under this lease for the prior acts
or defaults of Landlord under this lease, and reasonable limitations on Tenant's
ability to terminate this lease prior to giving such lender or ground lessor or
designee a reasonable opportunity to cure the default giving rise to such
termination right. In the event such mortgagee or ground lessor shall be
unwilling to enter into a Nondisturbance Agreement substantially in the form
required hereunder, this lease shall remain in full force and effect and the
obligations of Tenant shall not in any manner be affected except that, anything
to the contrary contained in this lease notwithstanding, this lease shall not be
subject and subordinate to such mortgage or ground lease.

                       property loss, damage reimbursement

            23. (A) Landlord or its agents shall not be liable for any damages
to property of Tenant or of others entrusted to employees of the Building, nor
for the loss of or damage to any property of Tenant by theft. Unless due to the
negligence of Landlord, its agents, servants or employees and not covered by
Tenant's insurance, Landlord or its agents shall not be liable for any injury or
damage to persons or property resulting from fire, explosion, falling plaster,
steam, gas, electricity, electrical disturbance, water, rain or snow or leaks
from any part of the Building or from the pipes, appliances or plumbing works or
from the roof, street or subsurface or from any other place or by dampness or by
any other cause of whatsoever nature; nor shall Landlord or its agents be liable
for any such damage caused by other tenants or persons

                                      -21-
<PAGE>

in the Building or caused by operations in construction of any private, public
or quasi-public work; nor shall Landlord be liable for any latent defect in the
Demised Premises or in the Building. If at any time any windows of the Demised
Premises are temporarily closed or darkened incident to or for the purpose of
repairs, replacements, maintenance and/or cleaning in, on, to or about the
Building or any part or parts thereof, Landlord shall not be liable for any
damage Tenant may sustain thereby and Tenant shall not be entitled to any
compensation therefor nor abatement of rent nor shall the same release Tenant
from its obligations hereunder nor constitute an eviction. Tenant shall
reimburse and compensate Landlord as additional rent for all expenditures
(including, without limitation, reasonable attorneys' fees) made by, or damages
or fines sustained or incurred by, Landlord due to non-performance or
non-compliance with or breach or failure to observe any term, covenant or
condition of this lease upon Tenant's part to be kept, observed, performed or
complied with. Tenant shall give immediate notice to Landlord in case of fire or
accidents in the Demised Premises or in the Building or of defects therein or in
any fixtures or equipment.

                               TENANT'S INDEMNITY

            (B) To the extent Landlord is not reimbursed for same by insurance,
Tenant shall indemnify and save harmless Landlord against and from any and all
claims by or on behalf of any person or persons, firm or firms, corporation or
corporations arising from the conduct or management of or from any work or
breach of lease, negligence or willful misconduct (other than by Landlord or its
contractors or the agents or employees of either) in and on the Demised Premises
during any other period of occupancy by Tenant including the Term of this lease
and during the period of time, if any, prior to the specified commencement date
that Tenant may have been given access to the Demised Premises for the purpose
of making installations, and will further indemnify and save harmless Landlord
against and from any and all claims arising from any condition of the Demised
Premises or Tenant's occupancy thereof due to or arising from any act or
omissions or negligence of Tenant or any of its agents, contractors, servants,
employees, licensees or invitees and against and from all costs, expenses, and
liabilities incurred in connection with any such claim or claims or action or
proceeding brought thereon; and in case any action or proceeding be brought
against Landlord by reason of any such claim, Tenant, upon notice from Landlord,
agrees that Tenant, at Tenant's expense, will resist or defend such action or
proceeding and will employ counsel therefor reasonably satisfactory to Landlord.

                      DESTRUCTION - FIRE OR OTHER CASUALTY

            24. (A) If the Premises or any part thereof shall be damaged by fire
or other casualty Tenant shall give notice thereof to Landlord, Landlord shall
proceed with reasonable diligence to repair or cause to be repaired such damage.
The Rent shall be abated to the extent that the Premises shall have been
rendered untenantable, such abatement to be from the date of such damage or
destruction to the date the Premises shall be substantially repaired or rebuilt,
in proportion which the area of the part of the Premises so rendered
untenantable bears to the total area of the Premises.

            (B) If a fire or other casualty shall render at least twenty (20%)
percent of the Premises totally damaged or wholly untenantable and such damage
shall substantially interfere

                                      -22-
<PAGE>

with the conduct of Tenant's business in the Premises, or if such fire or
casualty damage shall render the Premises materially inaccessible, and Landlord
has not terminated this lease pursuant to Subsection (C) and Landlord has not
completed the making of the required repairs and restored and rebuilt the
Premises and/or access thereto within six (6) months from the date of such
damage or destruction, and such additional time after such date (but in no event
to exceed three (3) months) as shall equal the aggregate period Landlord may
have been delayed in doing so by unavoidable delays, Tenant may serve notice on
Landlord of its intention to terminate this lease, and, if within thirty (30)
days thereafter Landlord shall not have completed the making of the required
repairs and restored and rebuilt the Premises, this lease shall terminate on the
expiration of such thirty (30) day period as if such termination date were the
Expiration Date, and the Rent and additional rent shall be apportioned as of
such date and any prepaid portion of Rent and additional rent for any period
after such date shall be refunded by Landlord to Tenant. Notwithstanding the
foregoing, in the event Landlord shall provide Tenant with reasonably suitable
substitute space, within a seven (7) mile radius of the Building, at a rental
rate and additional rent rate not higher than that payable by Tenant prior to
the fire or other casualty, then the six (6) month and three (3) month periods
set forth in this Paragraph (B) above shall be extended to nine (9) months and
six (6) months, respectively.

            (C) If a fire or other casualty shall so damage the Building that
substantial alteration or reconstruction of the Building shall, in Landlord's
opinion, be required (whether or not the Premises shall have been damaged by
such fire or other casualty), then in any of such events Landlord may, at its
option, terminate this lease and the Term and estate hereby granted, by giving
Tenant thirty (30) days notice of such termination within ninety (90) days after
the date of such damage provided Landlord also terminates leases covering at
least ninety (90%) percent of the usable area of the Building other than the
Premises and such other leases being terminated by Landlord cover at least forty
(40%) percent of the usable area of the entire Building. In the event that such
notice of termination shall be given, this lease and the Term and estate hereby
granted, shall terminate as of the date provided in such notice of termination
(whether or not the Term shall have commenced) with the same effect as if that
were the Expiration Date, and the Rent and additional rent shall be apportioned
as of such date or sooner termination and any prepaid portion of Rent and
additional rent for any period after such date shall be refunded by Landlord to
Tenant.

            (D) Landlord shall not be liable for any inconvenience or annoyance
to Tenant or injury to the business of Tenant resulting in any way from such
damage by fire or other casualty or the repair thereof. Landlord will not carry
insurance of any kind on Tenant's property, and Landlord shall not be obligated
to repair any damage thereto or replace the same.

            (E) This lease shall be considered an express agreement governing
any case of damage to or destruction of the Building or any part thereof by fire
or other casualty, and Section 227 of the Real Property Law of the State of New
York providing for such a contingency in the absence of such express agreement,
and any other law of like import now or hereafter enacted, shall have no
application in such case.

                                      -23-
<PAGE>

                                    INSURANCE

            25. (A) Tenant shall not do anything, or suffer or permit anything
to be done, in or about the Premises which shall (i) invalidate or be in
conflict with the provisions of any fire or other insurance policies covering
the Building or any property located therein, or (ii) result in a refusal by
fire insurance companies of good standing to insure the Building or any such
property in amounts reasonably satisfactory to Landlord, or (iii) subject
Landlord to any liability or responsibility for injury to any person or property
by reason of any activity being conducted in the Premises or (iv) cause any
increase in the fire insurance rates applicable to the Building or equipment or
other property located therein at the beginning of the Term or at any time
thereafter. Tenant, at Tenant's expense, shall comply with all rules, orders,
regulations or requirements of the New York Board of Fire Underwriters and the
New York Fire Insurance Rating organization or any similar body except to the
extent such compliance results from a condition which existed on the day
preceding the Term Commencement Date and which was not created or caused by
Tenant. Landlord shall obtain and maintain throughout the Term of this lease
fire and casualty insurance covering the Building for at least eighty (80%)
percent of the insurable value of the Building.

            (B) If, by reason of any act or omission on the part of Tenant, the
rate of fire insurance with extended coverage on the Building or equipment or
other property of Landlord or any other tenant or occupant of the Building shall
be higher than it otherwise would be, Tenant shall reimburse Landlord and all
such other tenants or occupants, on demand, for the part of the premiums for
fire insurance and extended coverage paid by Landlord and such other tenants or
occupants because of such act or omission on the part of Tenant.

            (C) In the event that any dispute should arise between Landlord and
Tenant concerning insurance rates, a schedule or make up of insurance rates for
the Building or the Premises, as the case may be, issued by the New York Fire
Insurance Rating Organization or other similar body making rates for fire
insurance and extended coverage for the Premises concerned, shall be conclusive
evidence of the facts therein stated and of the several items and charges in the
fire insurance rates with extended coverage then applicable to such Premises.

            (D) Tenant shall obtain and keep in full force and effect during the
Term, at its own cost and expense, (i) Public Liability Insurance, such
insurance to afford protection in an amount of not less than Three Million
($3,000,000) Dollars for injury or death arising out of any one occurrence, and
Five Hundred Thousand ($500,000) Dollars for damage to property, protecting
Landlord and Tenant as insureds against any and all claims for personal injury,
death or property damage and (ii) Fire and Extended Coverage Insurance on
Tenant's property, insuring against damage by fire, and such other risks and
hazards as are insurable under present and future standard forms of fire and
extended coverage insurance policies, to Tenant's property for the full
insurable value thereof, protecting Landlord and Tenant as insureds.

            (E) Said insurance is to be written in form and substance reasonably
satisfactory to Landlord by a good and solvent insurance company of recognized
standing, admitted to do business in the State of New York, which shall be
reasonably satisfactory to Landlord. Tenant shall procure, maintain and place
such insurance and pay all premiums and charges therefor and upon failure to do
so Landlord may, but shall not be obligated to, procure,

                                      -24-
<PAGE>

maintain and place such insurance or make such payments, and in such event the
Tenant agrees to pay the amount thereof, plus interest at the maximum rate
permitted by law, to Landlord on demand and said sum shall be in each instance
collectible as additional rent on the first day of the month following the date
of payment by Landlord. Tenant shall cause to be included in all such insurance
policies a provision to the effect that the same will be non-cancelable except
upon twenty (20) days written notice to Landlord. On the Term Commencement Date
the original insurance policies or appropriate certificates shall be deposited
with Landlord. Any renewals, replacements or endorsements thereto shall also be
deposited with Landlord to the end that said insurance shall be in full force
and effect during the Term.

            (F) Each party agrees to use its best efforts to include in each of
its insurance policies (insuring the Building and Landlord's property therein,
in the case of Landlord, and insuring Tenant's property, in the case of Tenant,
against loss, damage or destruction by fire or other casualty) a waiver of the
insurer's right of subrogation against the other party, or if such waiver should
be unobtainable or unenforceable (i) an express agreement that such policy shall
not be invalidated if the insured waives or has waived before the casualty, the
right of recovery against any party responsible for a casualty covered by the
policy, or (ii) any other form of permission for the release of the other party,
or (iii) the inclusion of the other party as an additional insured, but not a
party to whom any loss shall be payable. If such waiver, agreement or permission
shall not be, or shall cease to be, obtainable without additional charge or at
all, the insured party shall so notify the other party promptly after learning
thereof. In such case, if the other party shall agree in writing to pay the
insurer's additional charge therefor, such waiver, agreement or permission shall
be included in the policy, or the other party shall be named as an additional
insured in the policy, but not a party to whom any loss shall be payable. Each
such policy which shall so name a party hereto as an additional insured shall
contain, if obtainable, agreements by the insurer that the policy will not be
cancelled without at least twenty (20) days prior notice to both insureds and
that the act or omission of one insured will not invalidate the policy as to the
other insured.

            (G) As long as Landlord's fire insurance policies then in force
include the waiver of subrogation or agreement or permission to release
liability referred to in Subsection (F) or name the Tenant as an additional
insured, Landlord hereby waives (i) any obligation on the part of Tenant to make
repairs to the Premises necessitated or occasioned by fire or other casualty
that is an insured risk under such policies, and (ii) any right of recovery
against Tenant, any other permitted occupant of the Premises, and any of their
servants, employees, agents or contractors, for any loss occasioned by fire or
other casualty that is an insured risk under such policies. In the event that at
any time Landlord's fire insurance carriers shall not include such or similar
provisions in Landlord's fire insurance policies, the waivers set forth in the
foregoing sentence shall be deemed of no further force or effect.

            (H) As long as Tenant's fire insurance policies then in force
include the waiver of subrogation or agreement or permission to release
liability referred to in Subsection (F), or name the Landlord as an additional
insured, Tenant hereby waives (and agrees to cause any other permitted occupants
of the Premises to execute and deliver to Landlord written instruments waiving)
any right of recovery against Landlord, any other tenants or occupants of the
Building, and any servants, employees, agents or contractors of Landlord or of
any such other tenants or occupants, for any loss occasioned by fire or other
casualty which is an insured risk under such

                                      -25-
<PAGE>

policies. In the event that at any time Tenant's fire insurance carriers shall
not include such or similar provisions in Tenant's fire insurance policies, the
waiver set forth in the foregoing sentence shall, upon notice given by Tenant to
Landlord, be deemed of no further force or effect with respect to any insured
risks under such policy from and after the giving of such notice. During any
period while the foregoing waiver of right of recovery is in effect, Tenant, or
any other permitted occupant of the Premises, as the case may be, shall look
solely to the proceeds of such policies to compensate Tenant or such other
permitted occupant for any loss occasioned by fire or other casualty which is an
insured risk under such policies.

                                 EMINENT DOMAIN

            26. (A) In the event that the whole of the Demised Premises shall be
lawfully condemned or taken in any manner for any public or quasi-public use,
this lease and the Term and estate hereby granted shall forthwith cease and
terminate as of the date of vesting of title. In the event that only a part of
the Demised Premises shall be so condemned or taken, then effective as of the
date of vesting of title, the Rent hereunder shall be abated in an amount
thereof apportioned according to the area of the Demised Premises so condemned
or taken. In the event that a substantial part of the Building or the parking
servicing same shall be so condemned or taken, then (i) Landlord (whether or not
the Demised Premises be affected) may, at its option, terminate this lease and
the Term and estate hereby granted as of the date of such vesting of title by
notifying Tenant in writing of such termination within sixty (60) days following
the date on which Landlord shall have received notice of vesting of title, and
(ii) if such condemnation or taking shall be of a substantial part of the
Demised Premises or a substantial part of the means of access thereto or a
substantial part of the parking area servicing the Demised Premises, Tenant
shall have the right, by delivery of notice in writing to Landlord within sixty
(60) days following the date on which Tenant shall have received notice of
vesting of title, to terminate this lease and the Term and estate hereby granted
as of the date of vesting of title, except that Landlord shall have the right to
render such termination notice null and void if, within sixty (60) days after
Landlord's receipt of such notice, Landlord shall advise Tenant of its intention
to provide Tenant with substitute access or parking, as the case may be, of
substantially the same convenience as the access or parking being taken and
Landlord shall, prior to the vesting of such taking, provide Tenant with such
substitute access or parking; or (iii) if neither Landlord nor Tenant elects to
terminate this lease, as aforesaid, this lease shall be and remain unaffected by
such condemnation or taking, except that the Rent shall be abated to the extent,
if any, hereinabove provided in this Article 26. In the event that only a part
of the Demised Premises shall be so condemned or taken and this lease and the
Term and estate hereby granted are not terminated as hereinbefore provided,
Landlord will, at its expense, restore the remaining portion of the Demised
Premises as nearly as practicable to the same condition as it was in prior to
such condemnation or taking.

            (B) In the event of a termination in any of the cases hereinabove
provided, this lease and the Term and estate granted shall expire as of the date
of such termination with the same effect as if that were the date hereinbefore
set for the expiration of the Term of this lease, and the Rent hereunder shall
be apportioned as of such date.

            (C) In the event of any condemnation or taking hereinabove mentioned
of all or part of the Building, Landlord shall be entitled to receive the entire
award in the condemnation

                                      -26-
<PAGE>

proceeding, including any award made for the value of the estate vested by this
lease in Tenant, and Tenant hereby expressly assigns to Landlord any and all
right, title and interest of Tenant now or hereafter arising in or to any such
award or any part thereof, and Tenant shall be entitled to receive no part of
such award, except that the Tenant may file a separate claim in a separate
proceeding for any taking of nonmovable fixtures owned by Tenant and for moving
expenses incurred by Tenant and leasehold improvements paid for by Tenant. It is
expressly understood and agreed that the provisions of this Article 26 shall not
be applicable to any condemnation or taking for governmental occupancy for a
limited period.

                            nonliability of landlord

            27. (A) If Landlord or a successor in interest is an individual
(which term as used herein includes aggregates of individuals, such as joint
ventures, general or limited partnerships or associations), such individual
shall be under no personal liability with respect to any of the provisions of
this lease, and if such individual hereto is in breach or default with respect
to its obligations under this lease, Tenant shall look solely to the equity of
such individual in the land and Building of which the Demised Premises form a
part for the satisfaction of Tenant's remedies and in no event shall Tenant
attempt to secure any personal judgment against any such individual or any
partner, employee or agent of Landlord by reason of such default by Landlord.

            (B) The word "Landlord" as used herein means only the owner of the
landlord's interest for the time being in the land and Building (or the owners
of a lease of the Building or of the land and Building) of which the Premises
form a part, and in the event of any sale of the Building and land of which the
Demised Premises form a part, Landlord shall be and hereby is entirely freed and
relieved of all covenants and obligations of Landlord hereunder arising after
the date of such sale and, it shall be deemed and construed without further
agreement between the parties or between the parties and the purchaser of the
Premises, that such purchaser has assumed and agreed to carry out any and all
covenants and obligations of Landlord hereunder.

                                     DEFAULT

            28. (A) Upon the occurrence, at any time prior to or during the
Demised Tern, of any one or more of the following events (referred to as "Events
of Default"):

            (i) If Tenant shall default in the payment when due of any
installment of Rent or in the payment when due of any additional rent, and such
default shall continue for a period of ten (10) days after notice by Landlord to
Tenant of such default; or

            (ii) If Tenant shall default in the observance or performance of any
term, covenant or condition of this lease on Tenant's part to be observed or
performed (other than the covenants for the payment of Rent and additional rent)
and Tenant shall fail to remedy such default within thirty (30) days after
notice by Landlord to Tenant of such default, or if such default is of such a
nature that it cannot be completely remedied within said period of thirty (30)
days and Tenant shall not commence within said period of thirty (30) days, or
shall not thereafter diligently prosecute to completion, all steps necessary to
remedy such default; or

                                      -27-
<PAGE>

            (iii) If Tenant shall file a voluntary petition in bankruptcy or
insolvency, or shall be adjudicated a bankrupt or become insolvent, or shall
file any petition or answer seeking any reorganization, arrangement,
composition, readjustment, liquidation, dissolution or similar relief under the
present or any future federal bankruptcy code or any other present or future
applicable federal, state or other statute or law, or shall make an assignment
for the benefit of creditors or shall seek or consent to or acquiesce in the
appointment of any trustee, receiver or liquidator of Tenant or of all or any
part of Tenant's property; or

            (iv) If, within sixty (60) days after the commencement of any
proceeding against Tenant, whether by the filing of a petition or otherwise,
seeking any reorganization, arrangement, composition, readjustment, liquidation,
dissolution or similar relief under the present or any future federal bankruptcy
code or any other present or future applicable federal, state or other statute
or law, such proceedings shall not have been dismissed, or if, within sixty (60)
days after the appointment or any trustee, receiver or liquidator of Tenant, or
of all or any part of Tenant's property, such appointment shall not have been
vacated or otherwise discharged, or if any execution or attachment shall be
issued against Tenant or any of Tenant's property pursuant to which the Demised
Premises shall be taken or occupied or attempted to be taken or occupied; or

            (v) If Tenant shall default in the observance or performance of any
term, covenant or condition on Tenant's part to be observed or performed under
any other lease with Landlord in the Building and such default shall continue
beyond any grace period set forth in such other lease for the remedying of such
default; or

            (vi) If seventy (70%) percent or more of the Demised Premises shall
become deserted or abandoned for a period of thirty (30) consecutive days; or

            (vii) If Tenant's interest in this lease shall devolve upon or pass
to any person, whether by operation of law or otherwise, except as expressly
permitted under Article 20;

            Then, upon the occurrence, at anytime prior to or during the Demised
Term, of any one or more of such Events of Default, Landlord, at any time
thereafter, at Landlord's option, may give to Tenant a five (5) days' notice of
termination of this lease and, in the event such notice is given, this lease and
the Term shall come to an end and expire (whether or not said term shall have
commenced) upon the expiration of said five (5) days with the same effect as if
the date of expiration of said five (5) days were the Expiration Date, but
Tenant shall remain liable for damages as provided in Article 30.

            (B) If, at any time (i) Tenant shall be comprised of two (2) or more
persons, or (ii) Tenant's obligations under this lease shall have been
guaranteed by any person other than Tenant, or (iii) Tenant's interest in this
lease shall have been assigned, the word "Tenant", as used in subsection (iii)
and (iv) of Section 28(A), shall be deemed to mean any one or more of the
persons primarily or secondarily liable for Tenant's obligations under this
lease. Any monies received by Landlord from or on behalf of Tenant during the
pendency of any proceeding of the types referred to in said subsections (iii)
and (iv) shall be deemed paid as compensation for the use and occupation of the
Demised Premises and the acceptance of such compensation by

                                      -28-
<PAGE>

Landlord shall not be deemed an acceptance of Rent or a waiver on the part of
Landlord of any rights under Section 28(A).

                             TERMINATION ON DEFAULT

            29. (A) If Tenant shall default in the payment when due of any
installment of rent or in the payment when due of any additional rent and such
default shall continue for a period of ten (10) days after notice by Landlord to
Tenant of such default, or if this lease and the Demised Term shall expire and
come to an end as provided in Article 28:

            (i) Landlord and its agents and servants may immediately, or at any
time after such default or after the date upon which this lease and the Demised
Term shall expire and come to an end, re-enter the Demised Premises or any part
thereof, without notice, either by summary proceedings or by any other
applicable action or proceeding, or by force or other means provided such force
or other means are lawful (without being liable to indictment, prosecution or
damages therefor), and may repossess the Demised Premises and dispossess Tenant
and any other persons from the Demised Premises and remove any and all of their
property and effects from the Demised Premises; and

            (ii) Landlord, at Landlord's option, may relet the whole or any part
or parts of the Demised Premises from time to time, either in the name of
Landlord or otherwise, to such tenant or tenants, for such term or terms ending
before, on or after the Expiration Date, at such rental or rentals and upon such
other conditions, which may include concessions and free rent periods, as
Landlord, in its sole discretion, may determine. Landlord will make reasonable
efforts to relet the Demised Premises or any part thereof and shall in no event
be liable for failure to relet the Demised Premises or any part thereof, or, in
the event of any such reletting, for failure to collect any rent due upon any
such reletting, and no such failure shall operate to relieve Tenant of any
liability under this lease or otherwise to affect any such liability; Landlord,
at Landlord's option, may make such repairs, replacements, alterations,
additions, improvements, decorations and other physical changes in and to the
Demised Premises as Landlord, in its sole discretion, considers advisable or
necessary in connection with any such reletting or proposed reletting, without
relieving Tenant of any liability under this lease or otherwise affecting any
such liability.

            (B) Tenant, on its own behalf and on behalf of all persons claiming
through or under Tenant, including all creditors, does hereby waive any and all
rights which Tenant and all such persons might otherwise have under any present
or future law to redeem the Demised Premises, or to re-enter or repossess the
Demised Premises, or to restore the operation of this lease, after (i) Tenant
shall have been dispossessed by a judgment or by warrant of any court or judge,
or (ii) any re-entry by Landlord permitted by law, or (iii) any expiration or
termination of this lease and the Demised Term, whether such dispossess,
re-entry, expiration or termination shall be by operation of law or pursuant to
the provisions of this lease provided it's permitted by law. In the event of a
breach or threatened breach by Tenant or any persons claiming through or under
Tenant, of any term, covenant or condition of this lease on Tenant's part to be
observed or performed, Landlord shall have the right to enjoin such breach and
the right to invoke any other remedy allowed by law or in equity as if re-entry,
summary proceeding and other special remedies were not provided in this lease
for such breach. The rights to invoke the remedies

                                      -29-
<PAGE>

hereinbefore set forth are cumulative and shall not preclude Landlord from
invoking any other remedy allowed at law or in equity.

                                     DAMAGES

            30. (A) If this lease and the Demised Term shall expire and come to
an end as provided in Article 28 or by or under any summary proceeding or any
other action or proceeding, or if Landlord shall re-enter the Demised Premises
as provided in Article 29 or by or under any summary proceedings or any other
action or proceeding, then, in any of said events:

            (i) Tenant shall pay to Landlord all Rent, additional rent and other
charges payable under this lease by Tenant to Landlord to the date upon which
this lease and the Demised Term shall have expired and come to an end or to the
date of re-entry upon the Demised Premises by Landlord, as the case may be; and

            (ii) Tenant shall also be liable for and shall pay to Landlord, as
damages, any deficiency (referred to as "Deficiency") between the Rent and
additional rent reserved in this lease for the period which otherwise would have
constituted the unexpired portion of the Demised Term and the net amount, if
any, of rents collected under any reletting effected pursuant to the provisions
of Section 29(A) for any part of such period (first deducting from the rents
collected under any such reletting all of Landlord's expenses in connection with
the termination of this lease or Landlord's re-entry upon the Demised Premises
and with such reletting including, but not limited to, all repossession costs,
customary and usual brokerage commissions, legal expenses, reasonable attorneys'
fees, alteration costs and other expenses of preparing the Demised Premises for
such reletting). Any such Deficiency shall be paid in monthly installments by
Tenant on the days specified in this lease for payment of installments of Rent.
Landlord shall be entitled to recover from Tenant each monthly Deficiency as the
same shall arise, and no suit to collect the amount of the Deficiency for any
month shall prejudice Landlord's rights to collect the Deficiency for any
subsequent month by a similar proceeding; and

            (B) If the Demised Premises, or any part thereof, shall be relet
together with other space in the Building, the rents collected or reserved under
any such reletting and the expenses of any such reletting shall be equitably
apportioned for the purposes of this Article 30. Tenant shall in no event be
entitled to any rents collected or payable under any reletting, whether or not
such rents shall exceed the rent reserved in this lease. Solely for the purposes
of this Article, the term "Rent" as used in Section 30(A) shall mean the rent in
effect immediately prior to the date upon which this lease and the Demised Term
shall have expired and come to an end, or the date of re-entry upon the Demised
Premises by Landlord, as the case may be, plus any additional rent payable
pursuant to the provisions of Article 11 for the Escalation Year (as defined in
Article 11) immediately preceding such event. Nothing contained in Articles 28
and 29 of this lease shall be deemed to limit or preclude the recovery by
Landlord from Tenant of the maximum amount allowed to be obtained as damages by
any statute or rule of law, or of any sums or damages to which Landlord may be
entitled in addition to the damages set forth in Section 30(A).

                                      -30-
<PAGE>

                                SUMS DUE LANDLORD

            31. If Tenant shall default in the performance of any covenants on
Tenant's part to be performed under this lease, Landlord may immediately, or at
anytime thereafter, with notice, and without thereby waiving such default,
perform the same for the account of Tenant and at the expense of Tenant. If
Landlord at any time is compelled to pay or elects to pay any sum of money, or
do any act which will require the payment of any sum of money by reason of the
failure of Tenant to comply with any provision hereof, or, if Landlord is
compelled to or elects to incur any expense, including reasonable attorneys'
fees, instituting, prosecuting and/or defending any action or proceeding
instituted by reason of any default of Tenant hereunder, the sum or sums so paid
by Landlord, with all interest, costs and damages, shall be deemed to be
additional rent hereunder and shall be due from Tenant to Landlord on the first
day of the month following the incurring of such respective expenses or, at
Landlord's option, on the first day of any subsequent month. Any sum of money
(other than Rent) accruing from Tenant to Landlord pursuant to any provisions of
this lease, including, but not limited to, the provisions of Schedule C, whether
prior to or after the Term Commencement Date, may, at Landlord's option, be
deemed additional rent, and Landlord shall have the same remedies for Tenant's
failure to pay any item of additional rent when due as for Tenant's failure to
pay any installment of Rent when due. Tenant's obligations under this Article
shall survive the expiration or sooner termination of the Demised Term. In any
case in which the Rent or additional rent is not paid within ten (10) days of
the day when same is due, Tenant shall pay a late charge equal to 8-1/2 cents
for each dollar so due. This late payment charge is intended to compensate
Landlord for its additional administrative costs resulting from Tenant's failure
to pay in a timely manner and has been agreed upon by Landlord and Tenant as a
reasonable estimate of the additional administrative costs that will be incurred
by Landlord as a result of Tenant's failure as the actual cost in each instance
is extremely difficult, if not impossible, to determine. This late payment
charge will constitute liquidated damages and will be paid to Landlord together
with such unpaid amounts. The payment of this late payment charge will not
constitute a waiver by Landlord of any default by Tenant under this lease.

                                    NO WAIVER

            32. No act or thing done by Landlord or Landlord's agents during the
term hereby demised shall be deemed an acceptance of a surrender of said Demised
Premises, and no agreement to accept such surrender shall be valid unless in
writing signed by Landlord. No employee of Landlord or of Landlord's agents
shall have any power to accept the keys of the Demised Premises prior to the
termination of this lease. The delivery of keys to any employee of Landlord or
of Landlord's agents shall not operate as a termination of this lease or a
surrender of the Demised Premises. In the event Tenant shall at any time desire
to have Landlord underlet the Demised Premises for Tenant's account, Landlord or
Landlord's agents are authorized to receive said keys for such purposes without
releasing Tenant from any of the obligations under this lease, and Tenant hereby
relieves Landlord of any liability for loss of or damage to any of Tenant's
effects in connection with such underletting. The failure of Landlord to seek
redress for violation of, or to insist upon the strict performance of, any
covenants or conditions of this lease, or any of the Rules and Regulations
annexed hereto and made a part hereof or hereafter adopted by Landlord, shall
not prevent a subsequent act, which would have originally constituted a

                                      -31-
<PAGE>

violation, from having all the force and effect of an original violation. The
receipt by Landlord of rent with knowledge of the breach of any covenant of this
lease shall not be deemed a waiver of such breach. The failure of a party to
enforce any of the Rules and Regulations annexed hereto and made a part hereof,
or hereafter adopted, against the other party and/or, in Landlord's case,
against any other tenant in the Building, shall not be deemed a waiver of any
such Rules and Regulations. No provision of this lease shall be deemed to have
been waived by a party, unless such waiver be in writing signed by that party.
No payment by Tenant or receipt by Landlord of a lesser amount then the monthly
Rent herein stipulated shall be deemed to be other than on account of the
earliest stipulated Rent nor shall any endorsement or statement on any check or
any letter accompanying any check or payment of Rent be deemed an accord and
satisfaction, and Landlord may accept such check or payment without prejudice to
Landlord's right to recover the balance of such Rent or pursue any other remedy
in this lease provided.

                             WAIVER OF TRIAL BY JURY

            33. To the extent such waiver is permitted by law, Landlord and
Tenant hereby waive trial by jury in any action, proceeding or counterclaim
brought by Landlord or Tenant against the other on any matter whatsoever arising
out of or in any way connected with this lease, the relationship of landlord and
tenant, the use or occupancy of the Demised Premises by Tenant or any person
claiming through or under Tenant, any claim of injury or damage, and any
emergency or other statutory remedy. The provisions of the foregoing sentence
shall survive the expiration or any sooner termination of the Demised Term. If
Landlord commences any summary proceeding for nonpayment, Tenant agrees not to
interpose any counterclaim of whatever nature or description in any such
proceeding or to consolidate such proceeding with any other proceeding.

            Tenant hereby expressly waives any and all rights of redemption
granted by or under any present or future laws in the event of Tenant being
evicted or dispossessed for any cause, or in the event of Landlord's obtaining
possession of the Demised Premises, by reason of the violation by Tenant of any
of the covenants and conditions of this lease or otherwise.

                                     notices

            34. Except as otherwise expressly provided in this lease, any bills,
statements, notices, demands, requests or other communications (other than
bills, statements or notices given in the regular course of business) given or
required to be given under this lease shall be effective only if rendered or
given in writing, sent by regular, registered or certified mail (return receipt
requested) , addressed (A) to Tenant (to the attention of Tenant's Chief
Financial Officer) (i) at Tenant's address set forth in this lease if mailed
prior to Tenant's taking possession of the Demised Premises, or (ii) at the
Building if mailed subsequent to Tenant's taking possession of the Demised
Premises, or (iii) at any place where Tenant or any agent or employee of Tenant
may be found if mailed subsequent to Tenant's vacating, deserting, abandoning or
surrendering the Demised Premises, or (B) to Landlord (to the attention of
Landlord's Chief Financial Officer) at Landlord's address set forth in this
lease, or (C) addressed to such other address as either Landlord or Tenant may
designate as its new address for such purpose by notice given to the other in
accordance with the provisions of this Article. Any such bills, statements,
notices,

                                      -32-
<PAGE>

demands, requests or other communications shall be deemed to have been rendered
or given on the third day after it is mailed as provided in this Article.

                              INABILITY TO PERFORM

            35. (A) (i) Except as otherwise provided in this lease, if, by
reason of strikes or other labor disputes, fire or other casualty, accidents,
orders or regulations of any Federal, State, County or Municipal authority, or
any other cause beyond Landlord's reasonable control, whether or not such other
cause shall be similar in nature to those hereinbefore enumerated, Landlord is
unable to furnish or is delayed in furnishing any utility or service required to
be furnished by Landlord under the provisions of this lease or any collateral
instrument or is unable to perform or make or is delayed in performing or making
any installations, decorations, repairs, alterations, additions or improvements,
whether or not required to be performed or made under this lease, or under any
collateral instrument, or is unable to fulfill or is delayed in fulfilling any
of Landlord's other obligations under this lease, or any collateral instrument,
no such inability or delay shall entitle Tenant to any abatement or diminution
of rent, or relieve Tenant from any of its obligations under this lease, or
impose any liability upon Landlord or its agents, by reason of inconvenience or
annoyance to Tenant, or injury to or interruption of Tenant's business, or
otherwise except that Landlord shall be subject to a claim for damages to Tenant
(without a right of setoff against Rent or additional rent) if such
inconvenience, injury or interruption is caused by Landlord's negligence.

            (ii) If, by reason of strikes or other labor disputes, fire or other
casualty, accidents, orders or regulations of any Federal, State, County or
Municipal authority, or any other cause beyond Tenant's reasonable control,
Tenant is unable to perform or is delayed in performance of its obligations
under this lease, except obligations which may be met by the payment of a sum of
money, no such inability or delay on the part of Tenant shall impose any
liability upon Tenant.

            (iii) Notwithstanding the foregoing, if delays in performance
permitted above by either party shall exceed ninety (90) days, each party
hereunder shall have the remedies against the other party for such default
otherwise permitted under this lease or otherwise permitted at law or equity to
the extent not limited by this lease.

                             INTERRUPTION OF SERVICE

            (B) Landlord reserves the right to stop the services of the air
conditioning, elevator, escalator, plumbing, electrical or other mechanical
systems or facilities in the Building when necessary by reason of accident or
emergency, or for repairs, alterations or replacements, which, in the reasonable
judgment of Landlord are necessary, until such repairs, alterations or
replacements shall have been completed. The exercise of such rights by Landlord
shall not entitle Tenant to any abatement or diminution of rent, or relieve
Tenant from any of its obligations under this lease, or impose any liability
upon Landlord or its agents by reason of inconvenience or annoyance to Tenant,
or injury to or interruption of Tenant's business or otherwise except that
Landlord shall be subject to a claim for damages to Tenant (without a right of
rent setoff) if such injury to or interruption of Tenant's business is caused by
Landlord's

                                      -33-
<PAGE>

negligence. Landlord shall use reasonable efforts to diligently and promptly
complete repairs, alterations and replacements made pursuant to this Paragraph
(B) (but such obligation shall not require Landlord to use overtime or after
hour services unless Tenant shall pay the additional cost for such services).

                       CONDITIONS OF LANDLORD'S LIABILITY

            (C) (i) In addition to the requirements for constructive eviction
imposed by law, Tenant shall not be entitled to claim a constructive eviction
from the Demised Premises unless Tenant shall have first notified Landlord of
the condition or conditions giving rise thereto, and if the complaints be
justified, unless Landlord shall have failed to remedy such conditions within a
reasonable time after receipt of such notice.

            (ii) If Landlord shall be unable to give possession of the Demised
Premises on any date specified for the commencement of the term by reason of the
fact that the Premises have not been sufficiently completed to make the Premises
ready for occupancy, or for any other reason, Landlord shall not be subject to
any liability for the failure to give possession on said date, nor shall such
failure in any way affect the validity of this lease or the obligations of
Tenant hereunder except that Tenant shall be entitled to the remedies set forth
in Article 5(E) above, and Landlord shall be subject to a claim for damages to
Tenant (without a right of setoff against Rent or additional rent except as
specifically permitted under this lease) if such failure to give possession is
caused by Landlord's negligence.

                           TENANT'S TAKING POSSESSION

            (D) (i) Tenant, by entering into occupancy of the Premises, shall be
conclusively deemed to have agreed that Landlord, up to the time of such
occupancy has performed all of its obligations hereunder and that the Premises
were in satisfactory condition as of the, date of such occupancy, unless, with
respect to those defects of "which it has actual knowledge, Tenant, within sixty
(60) days after such date, shall have given written notice to Landlord
specifying the respects in which the same were not in such condition.

            (ii) Subject to Landlord's prior written consent, if Tenant shall
use or occupy all or any part of the space in the Demised Premises prior to the
Term Commencement Date, such use or occupancy shall be deemed to be under all of
the terms, covenants and conditions of this lease, except that Tenant shall not
be required to pay annual minimum rent during such period. If Tenant shall be
permitted by Landlord to so occupy any portion of the Demised Premises prior to
the Term Commencement Date, Tenant shall not interfere with the performance by
Landlord or the Contractor of Tenant's Initial Construction or other work being
performed by Landlord or the Contractor in the Demised Premises.

                                ENTIRE AGREEMENT

            36. This lease (including the Schedules and Exhibits annexed hereto)
contains the entire agreement between the parties and all prior negotiations and
agreements are merged herein. Tenant hereby acknowledges that neither Landlord
nor Landlord's agent or

                                      -34-
<PAGE>

representative has made any representations or statements, or promises, upon
which Tenant has relied, regarding any matter or thing relating to the Building,
the land allocated to it (including the parking area) or the Demised Premises,
or any other matter whatsoever, except as is expressly set forth in this lease,
including, but without limiting the generality of the foregoing, any statement,
representation or promise as to the fitness of the Demised Premises for any
particular use, the services to be rendered to the Demised Premises, or the
prospective amount of any item of additional rent. No oral or written statement,
representation or promise whatsoever with respect to the foregoing or any other
matter made by Landlord, its agents or any broker, whether contained in an
affidavit, information circular, or otherwise, shall be binding upon the
Landlord unless expressly set forth in this lease. No rights, easements or
licenses are or shall be acquired by Tenant by implication or otherwise unless
expressly set forth in this lease. This lease may not be changed, modified or
discharged, in whole or in part, orally, and no executory agreement shall be
effective to change, modify or discharge, in whole or in part, this lease or any
obligations under this lease, unless such agreement is set forth in a written
instrument executed by the party against whom enforcement of the change,
modification or discharge is sought. All references in this lease to the consent
or approval of Landlord shall be deemed to mean the written consent of Landlord,
or the written approval of Landlord, as the case may be, and no consent or
approval of Landlord shall be effective for any purpose unless such consent or
approval is set forth in a written instrument executed by Landlord.

                                   DEFINITIONS

            37. The words "re-enter", "re-entry", and "re-entered" as used in
this lease are not restricted to their technical legal meanings. The term
"business days" as used in this lease shall exclude Saturdays (except such
portion thereof as is covered by specific hours in Article 6 hereof), Sundays
and all days observed by the State or Federal Government as legal holidays. The
terms "person" and "persons" as used in this lease shall be deemed to include
natural persons, firms, corporations, partnerships, associations and any other
private or public entities, whether any of the foregoing are acting on their
behalf or in a representative capacity. The various terms which are defined in
other Articles of this lease or are defined in Schedules or Exhibits annexed
hereto, shall have the meanings specified in such other Articles, Exhibits and
Schedules for all purposes of this lease and all agreements supplemental
thereto, unless the context clearly indicates the contrary.

                               partnership tenant

            38. If Tenant is a partnership (or is comprised of two (2)or more
persons, individually or as co-partners of a partnership) or if Tenant's
interest in this lease shall be assigned to a partnership (or to two (2) or more
persons, individually or as co-partners of a partnership) pursuant to Article 20
(any such partnership and such persons are referred to in this Section as
"Partnership Tenant"), the following provisions of this Section shall apply to
such Partnership Tenant: (a) the liability of each of the parties comprising
Partnership Tenant shall be joint and several, and (b) each of the parties
comprising Partnership Tenant hereby consents in advance to, and agrees to be
bound by, any modifications of this lease which may hereafter be made, and by
any notices, demands, requests or other communications which may hereafter be
given, by Partnership Tenant or by any of the parties comprising Partnership
Tenant, and (c) any

                                      -35-
<PAGE>

bills, statements, notices, demands, requests and other communications given or
rendered to Partnership Tenant or to any of the parties comprising Partnership
Tenant shall be deemed given or rendered to Partnership Tenant and to all such
parties and shall be binding upon Partnership Tenant and all such parties, and
(d) if Partnership Tenant shall admit new partners, all of such new partners
shall, by their admission to Partnership Tenant, be deemed to have assumed
performance of all of the terms, covenants and conditions of this lease on
Tenant's part to be observed and performed, and (e) Partnership Tenant shall
give prompt notice to Landlord of the admission of any such new partners, and
upon demand of Landlord, shall cause each such new partner to execute and
deliver to Landlord an agreement in form satisfactory to Landlord, wherein each
such new partner shall assume performance of all of the terms, covenants and
conditions of this lease on Tenant's part to be observed and performed (but
neither Landlord's failure to request any such agreement nor the failure of any
such new partner to execute or deliver any such agreement to Landlord shall
vitiate the provisions of subdivision (d) of this Section).

                          SUCCESSORS, ASSIGNS, ETC.

            39. The terms, covenants, conditions and agreements contained in
this lease shall bind and inure to the benefit of Landlord and Tenant and their
respective heirs, distributees, executors, administrators, successors, and,
except as otherwise provided in this lease, their respective assigns.

                                     broker

            40. Tenant and Landlord each represent to the other that this lease
was brought about by Real Estate Strategies, Ltd. as broker and all negotiations
with respect to this lease were conducted exclusively with said broker. Each
party agrees that if any claim is made for commissions by any other broker
through or on account of any acts of a party, that party will hold the other
free and harmless from any and all liabilities and expenses in connection
therewith, including reasonable attorney's fees.

                                    CAPTIONS

            41. The captions in this lease are included only as a matter of
convenience and for reference, and in no way define, limit or describe the scope
of this lease nor the intent of any provisions thereof.

                               NOTICE OF ACCIDENTS

            42. Tenant shall give notice to Landlord, promptly after Tenant
learns thereof, of (i) any accident in or about the Premises, (ii) all fires and
other casualties within the Premises, (iii) all damages to or defects in the
Premises, including the fixtures, equipment and appurtenances thereof for the
repair of which Landlord might be responsible, and (iv) all damage to or defects
in any parts or appurtenances of the Building's sanitary, electrical, heating,
ventilating, air-conditioning, elevator and other systems located in or passing
through the Premises or any part thereof.

                                      -36-
<PAGE>

                        TENANT'S AUTHORITY TO ENTER LEASE

            43. In the event that Landlord or Tenant hereunder is a corporation,
Landlord and/or Tenant, as the case may be, represents that the officer or
officers executing this lease have the requisite authority to do so. Tenant
agrees to give Landlord written notice of any change in the ownership of the
majority of the outstanding capital stock of Tenant or any change in the
ownership of the majority of the assets of Tenant as soon as legally permitted
after the occurrence thereof once same is announced to the public.

                                 renewal option

            44. Tenant shall have the right, to be exercised as hereinafter
provided, to extend the term of this lease for three (3) periods of five (5)
years each (hereinafter referred to individually as the "Renewal Term") upon the
following terms and conditions:

            (A) That at the time of the exercise of each such right and at the
commencement of each Renewal Term, Tenant shall not be in default in the
performance of any of the terms, covenants or conditions which Tenant is
required to perform under this lease beyond any applicable notice and cure
period provided herein for the cure hereof.

            (B) That Tenant shall notify Landlord in writing of Tenant's
election to exercise its option with respect to the applicable Renewal Tea at
least one (1) year prior to the expiration of the then current term or Renewal
Tern, as the case may be.

            (C) That each Renewal Term shall be upon the same terms, covenants
and conditions as in this lease provided, except that (a) there shall be no
further option to extend this lease beyond the three (3) Renewal Terms referred
to above; (b) the Premises shall be delivered at the beginning of each Renewal
Term in its then "as is" condition; and (C) the Rent to be paid by Tenant during
each Renewal Term shall be as follows:

            During the first year of each Renewal Term, the Rent shall be ninety
(90%) percent of the then fair market annual minimum rent being received by
Landlord for comparable size space in the Building, but in no event less than
the Rent payable under this lease for the Lease Year immediately preceding the
applicable Renewal Term. In the event a portion of the Demised Premises is in
1660 Walt Whitman Road (by reason of Tenant's taking over Offer Space in such
building pursuant to Article 45 below), the Rent applicable to such space shall
be ninety (90%) percent of the then fair market annual minimum rent being
received by Landlord for comparable size space in that building, but in no event
less than the Rent payable under this lease (or a separate lease covering such
space) for the Lease Year immediately preceding the applicable Renewal Tern. The
Rent applicable to the Renewal Term shall be payable in equal monthly
installments.

            During each of the second through fifth years of each Renewal Ten,
the Rent shall be increased by three (3%) percent per year over the Rent payable
for the prior year. Said sums shall be payable in equal monthly installments.

                                      -37-
<PAGE>

            "Fair market annual minimum rent" shall mean the rate Landlord
generally receives or that is received for comparable space in the Building or
1660 Walt Whitman Road, whichever is applicable. In determining fair market
annual minimum rent, no adjustment shall be made in consideration of and Tenant
shall not be entitled to a credit for Tenant improvements, brokerage
commissions, rent concessions and other concessions which Landlord may from time
to time offer to other tenants. Landlord shall determine the fair market annual
minimum rent on the basis of the foregoing criteria. In the event Tenant
disputes Landlord's determination of fair market annual minimum rent, Tenant, by
written demand, may commence arbitration strictly in accordance with the terms
and conditions of this Subparagraph. The sole issue to be determined by such
arbitration shall be the fair market annual minimum rent to be charged in
accordance with this Subparagraph. Such written demand shall contain the name
and address of the arbitrator appointed by Tenant. Within ten (10) days after
its receipt of the written demand, Landlord will give Tenant written notice of
the name and address of its arbitrator. Within ten (10) days after the date of
the appointment of the second arbitrator, the two (2) arbitrators will meet. If
the two (2) arbitrators are unable to agree on the fair market annual minimum
rent as provided herein within ten (10) days after their first meeting, they
will select a third arbitrator. The third arbitrator will be designated as
chairman and will immediately give Landlord and Tenant written notice of its
appointment. The three (3) arbitrators will meet within ten (10) days after the
appointment of the third arbitrator. If they are unable to agree on the fair
market annual minimum rent within ten (10) days after their first meeting, the
third arbitrator will select a time, date and place for a hearing and will give
Landlord and Tenant thirty (30) days prior written notice of it. The date for
the hearing will not be more than sixty (60) days after the date of appointment
of the third arbitrator. The arbitrators must be licensed real estate appraisers
with at least five (5) years experience in the Nassau/Suffolk real estate
market. No arbitrator may be an active real estate broker. The arbitration will
be governed by the laws of the State of New York and, when not in conflict with
such law, by the general procedures in the commercial arbitration rules of the
American Arbitration Association. The arbitrators will not have the power to add
to, modify, detract from or alter in any way the provisions of this lease or any
amendments or supplements to this lease. The arbitrators will not have any power
to decide or consider anything other than the specific issue of the fair market
annual minimum rent in accordance with the terms of this lease. The written
decision of at least two (2) arbitrators will be conclusive and binding upon
Landlord and Tenant. No arbitrator is authorized to make an award for damages of
any kind, including, without limitation, an award for punitive, exemplary,
consequential or incidental damages. Landlord and Tenant will each pay for the
services of its appointees, attorneys and witnesses plus one-half of the fees of
the third arbitrator and of all other proper costs relating to the arbitration.
The decision of the arbitrators will be final and non-appealable and may be
enforced according to the laws of the State of New York. Notwithstanding
anything to the contrary contained herein, in the event Tenant disputes
Landlord's determination of the fair market annual minimum rent, Tenant shall
nevertheless continue to pay Rent at the same rate then being paid under this
lease. In the event the Rent as determined hereunder is at variance with the
Rent being paid by Tenant, Tenant shall either pay the difference in a lump sum
or receive a credit as the case may be.

            This Renewal Option is personal to Choicecare Long Island, Inc. and
is non-transferable by operation of law or otherwise except to an assignee of
Tenant approved by Landlord pursuant to this lease or other transferee permitted
pursuant to this lease.

                                      -38-
<PAGE>

                              RIGHT OF FIRST OFFER

            45. Whenever space (the "Offer Space") becomes available in the
Building or in 1660 Walt Whitman Road (provided Landlord still owns such
building), and subject to the existing rights of first offer or refusal with
respect to applicable space held by existing tenants of such buildings, Landlord
will notify Tenant of the availability of the Offer Space and the annual minimum
rental rate for same which shall be equal to the minimum annual rental rate (on
a per square basis) then payable by Tenant for the Demised Premises.

            Landlord's notice of the availability of the Offer Space (the "Offer
Notice") shall contain the minimum annual rent which will be required to be paid
for the Offer Space. If, within thirty (30) days after receipt of the Offer
Notice, Tenant shall notify Landlord in writing (the "Acceptance Notice") that
Tenant agrees to lease the Offer Space for a term of not less than five (5)
years with a rental commencing at the minimum annual rental rate stated in the
Offer Notice, Landlord and Tenant will execute a separate lease or lease
modification agreement covering the Offer Space, at Landlord's option (except
that if the Offer Space is located in 1660 Walt Whitman Road, the parties hereto
agree a new lease shall be used), within twenty (20) days thereafter which lease
or lease modification agreement shall be on all of the same terms as this lease
except:

            (A) The term of the lease with respect to the Offer Space shall
commence upon substantial completion of Landlord's Work (hereinafter defined)
pursuant to the following schedule: Tenant shall deliver to Landlord its Program
of Space Requirements for the Offer Space no later than thirty (30) days after
Tenant shall have given Landlord the Acceptance Notice. The term "Program of
Space Requirements" as used in this Article 45 shall include (a) the number,
size and location of rooms required by Tenant, including, without limitation,
offices, conference rooms and file areas; (b) the number, size and location of
work stations Tenant requires in the open bullpen area; and (c) a description of
its power, data and telephone requirements including the number and location of
outlets for such services. Landlord shall prepare preliminary plans on the basis
of Tenant's Program of Space Requirements within fourteen (14) days after Tenant
shall deliver its Program of Space Requirements to Landlord. Tenant shall
comment on Landlord's preliminary plans and approve such plans, subject to such
comments, within seven (7) days after Tenant's receipt of such preliminary plans
from Landlord. Landlord shall prepare working plans on the basis of such
approved preliminary plans within thirty (30) days after Tenant shall have so
approved such preliminary plans and delivered such approval to Landlord. Tenant
shall comment on Landlord's working plans and approve such working plans,
subject to such comments, within (10) days after its receipt of Landlord's
working plans. Landlord shall substantially complete the work described in
Paragraph (E) below in the Offer Space within ninety (90) days after Tenant
shall have so approved Landlord's working plans and delivered such approval to
Landlord.

            (ii) The term of this lease with respect to the Offer Space shall
expire five (5) years after the last day of the month in which such term shall
have commenced pursuant to the foregoing paragraph. In addition, in the event
the term of this lease with respect to the Offer Space extends beyond the
Expiration Date of this lease, then the lease or lease modification agreement
relating to the Offer Space shall extend the term of this lease as to the
balance of the Demised Premises so that it is coterminous with the end of the
term relating to the Offer Space.

                                      -39-
<PAGE>

The Rent payable with respect to the balance of the Demised Premises during such
extension shall be that then applicable to such space plus the three (3%)
percent annual increases that would be applicable thereto if such extension were
part of the then current term of this lease, and the additional rent payable
with respect to the balance of the Demised Premises during such extension shall
be determined as if such extension were part of the then current term of this
lease.

            (B) The annual minimum rental rate for the Offer Space for the first
Lease Year of such term shall be the rental rate stated in the Landlord's Offer
Notice as set forth above and the annual minimum rental rate for each subsequent
Lease Year shall be three (3%) percent more than the annual minimum rental rate
payable for the applicable Offer Space for the preceding Lease Year.

            (C) Tenant's Proportionate Share shall be increased on a building by
building basis so that it equals the ratio which the Demised Premises (inclusive
of the Offer Space) located in the building in question bears to the total area
of the building in question.

            (D) The number of parking spaces and directory listings shall be
increased proportionately, on a building by building basis, to reflect the
addition of the Offer Space.

            (E) Landlord shall perform work in the Offer Space pursuant to the
specifications set forth in Schedule E hereto ("Landlord's Work"). Tenant's
obligation to pay Rent and additional rent with respect to the Offer Space shall
commence upon substantial completion by Landlord of Landlord's Work therein, but
the commencement of such Rent and additional rent obligation shall be
accelerated by any delays in substantial completion caused by Tenant as set
forth in Paragraph (F) below.

            (F) For purposes of this Article 45, the term "substantially
completed" shall mean when the only items to be completed are those which do not
materially interfere with the Tenant's use and occupancy of the Demised Premises
(including, without limitation, minor construction details, mechanical
adjustments and decorations). The commencement of the Term and Tenant's
obligation to pay Rent with respect to the Offer Space shall commence upon
Landlord's substantial completion of Landlord's Work in the Offer Space; but if
Landlord shall be delayed in such "substantial completion" as a result of (i)
Tenant's failure to furnish its Program of Space Requirements or to approve
Landlord's preliminary or working plans within the time schedules set forth
above; (ii) Tenant's request for materials, finishes or installations other than
Landlord's standard; (iii) Tenant's changes in its Program of Space Requirements
or Landlord's preliminary or working plans; or (iv) the performance or
completion of any work, labor or services by a party employed by Tenant; then
the commencement of the Term of this lease and the payment of Rent hereunder
with respect to the space in question shall be accelerated by the number of days
of such delay.

            (G) This Right of First Offer is personal to Choicecare Long Island,
Inc. and is nontransferable by operation of law or otherwise except to an
assignee of Tenant approved by Landlord pursuant to this lease or other
transferee permitted pursuant to this lease.

                                      -40-
<PAGE>

                              BUILDING IMPROVEMENTS

            46. As soon as reasonably possible after execution of this lease,
Landlord will perform, at its expense and as set forth in Schedule "E", the
following work in the Building:

            (A)   Renovate the lobby;

            (B)   Renovate and redecorate the bathrooms; and

            (C) If the Demised Premises are currently serviced by electric
heating units, convert the Demised Premises from electric heat to gas heat.

                               REASONABLE CONSENT

            47. Except as otherwise expressly set forth herein, whenever Tenant
is required to obtain Landlord's consent hereunder, Landlord agrees that said
consent shall not be unreasonably withheld or delayed.

                                 TENANT'S REMEDY

            48. In addition to the other remedies specifically provided in this
lease or at law or equity to the extent not limited by this lease, and subject
to the delays permitted under Article 35(A) above, in the event Landlord shall
fail to perform in a timely manner any obligation of Landlord under this lease
and Landlord shall fail to cure such default within thirty (30) days after
receipt from Tenant of written notice of such default (or, if such default
cannot reasonably be cured within such thirty (30) day period, Landlord shall
have failed to commence the cure of such default within such thirty (30) day
period and thereafter diligently pursued such cure to completion), then Tenant
shall have the right to cure such default and shall have a claim for damages
against Landlord in the amount it shall have reasonably expended in connection
with such cure (without a right of setoff against Rent or additional rent).

                                  ROOF ANTENNA

            49. Provided Tenant shall comply with the requirements of Article 14
above, Tenant shall have the right, at its expense, to install up to two (2)
telecommunications antennas on the roof of the Building which shall in no event
extend higher than ten (10) feet above the level of the Building's roof. In
addition to the other requirements of Article 14, Tenant shall indemnify and
hold Landlord harmless from any claim, damage, liability or expense, including
reasonable attorney fees, caused by Tenant's installation of such antennas,
including, without limitation, any leaks caused thereby. Prior to the expiration
or termination of this lease, Tenant, shall, at Landlord's option, remove such
antennas from the Building and repair in a workmanlike manner any damage caused
to the roof or any other portion of the Building.

                                      -41-
<PAGE>

            IN WITNESS WHEREOF, Landlord and Tenant have respectively signed and
sealed this lease as of the day and year first above written.

Witness for Landlord:                    RECKSON OPERATING PARTNERSHIP, L.P.

                                         By:  RECKSON ASSOCIATES REALTY CORP.

/s/                                      By: /s/
------------------------------               -----------------------------------

Witness for Tenant:                      CHOICECARE LONG ISLAND, INC.

/s/                                      By: /s/
------------------------------               -----------------------------------

                                      -42-
<PAGE>

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

     On this             day of            , 1995, before me personally came
           to me known, who being by me duly sworn, did depose and say that he
resides at            , that he is the of ____________________________, the
corporation described in and which executed the foregoing instrument as
"Tenant"; that he knows the seal of said corporation; that the seal affixed to
said instrument is such corporate seal; that it was so affixed by order of the
Board of Directors of said corporation, and that he signed his name thereto by
like order.

                                         ---------------------------------------
                                                    Notary Public

                                      -43-
<PAGE>

                                  SCHEDULE "A"

            LANDLORD'S CLEANING SERVICES AND MAINTENANCE OF PREMISES

(to be performed on all business days except those which are union holidays for
the employees performing cleaning services and maintenance in the Building and
grounds or those days in which the Building is closed)

I.    CLEANING SERVICES - PUBLIC SPACES:

A.    Floor of entrance  lobby and public  corridors will be vacuumed or swept
and washed nightly and waxed as necessary.

B.    Entranceway glass and metal work will be washed and rubbed down daily.

C.    Wall surfaces will be kept in polished condition.

D.    Lighting fixtures will be cleaned and polished  annually.  Bulbs will be
replaced as needed.

E.    Restrooms  will be washed and  disinfected  once a day.  The floors will
be mopped as many times as required.  All  brightwork and mirrors will be kept
in  polished   condition.   Dispensers  will  be   continuously   checked  and
receptacles continuously emptied.

F.    Exterior  surfaces  and all  windows  of the  building  will be  cleaned
quarterly.

II.   CLEANING SERVICES - TENANT SPACES:

A.    Floors will be swept and spot  cleaned  nightly.  Carpets  will be swept
daily with carpet sweeper and vacuumed weekly.

B.    Office equipment, telephones, etc.  will be dusted nightly.

C.    Normal office waste in receptacles and ashtrays will be emptied nightly.

D.    Interior  surface of windows and sills will be washed and blinds  dusted
quarterly.

E.    There shall be regularly scheduled visits by a qualified exterminator.

III.  EXTERIOR SERVICES:

A.    Parking  fields will be  regularly  swept,  cleared of snow in excess of
two  inches,  and  generally  maintained  so as to be well  drained,  properly
surfaced and striped.

B.    All landscaping,  gardening,  exterior  lighting and irrigation  systems
will have regular care and servicing.

IV.   EQUIPMENT SERVICE:

                                      -44-
<PAGE>

A.    All  air-conditioning  and heating equipment will be regularly  serviced
and maintained.

B.    Plumbing  and  electrical  facilities,  doors,  hinges and locks will be
repaired as necessary.

C.    All appurtenances,  such as rails,  stairs, etc. will be maintained in a
safe condition.

V.    EXTRA CLEANING SERVICES

Tenant shall pay to Landlord, on demand, Landlord's charges for (a) cleaning
work in the Premises required because of (i) misuse or neglect on the part of
Tenant or its employees or visitors, (ii) use of portions of the Premises for
preparation, serving or consumption of food or beverages, or other special
purposes requiring greater or more difficult cleaning work than office areas;
(iii) unusual quantity of interior glass surfaces; (iv) non-building standard
materials or finishes installed by Tenant or at its request; (v) increases in
frequency or scope in any item set forth in Schedule B as shall have been
requested by Tenant; and (b) removal from the Premises and Building of (i) so
much of any refuse and rubbish of Tenant as shall exceed that normally
accumulated in the routine of ordinary business office activity and (ii) all of
the refuse and rubbish of any eating facility requiring special handling (wet
garbage).

VI.  COMPLAINTS AS TO CLEANING SERVICE

Landlord represents that its contract with the cleaning service cleaning the
Building (the "service") is and shall continue to be terminable for cause, which
shall include, without limitation, the failure of the service to properly clean
the common areas and the rental spaces contained in the Building. Landlord
hereby agrees that if Tenant shall have complaints with respect to the quality
of the service's cleaning work and Landlord reasonably agrees that such
complaints are justified, Landlord shall notify the service of such complaints
and, if the service shall fail to cure such complaints within a reasonable
period of time, Landlord shall seek to terminate the service's contract for
cause. Notwithstanding the foregoing, Landlord shall not be required to commence
or defend a legal action against the service and, if the service shall commence
an action against Landlord, Landlord can settle such action on terms which
Landlord deems appropriate. In the event Landlord shall terminate its present
cleaning service contract, Landlord shall consult with Tenant as to a
satisfactory replacement service but Landlord shall have the right to select the
replacement service which Landlord deems appropriate.

                                      -45-
<PAGE>

                                 SCHEDULE "B"

1.    Landlord shall have full and unrestricted access to all air-conditioning
      and heating equipment, and to all other utility installations servicing
      the Building and the Demised Premises. Landlord reserves the right
      temporarily to interrupt, curtail, stop or suspend air-conditioning and
      heating service, and all other utilities, or other services, because of
      Landlord's inability to obtain, or difficulty or delay in obtaining, labor
      or materials necessary therefor, or in order to comply with governmental
      restrictions in connection therewith, or for any other cause beyond
      Landlord's reasonable control. No diminution or abatement of Rent,
      additional rent, or other compensation shall be granted to Tenant, nor
      shall this Lease or any of the obligations of Tenant hereunder be affected
      or reduced by reason of such interruptions, stoppages or curtailments, the
      causes of which are hereinabove enumerated, nor shall the same give rise
      to a claim in Tenant's favor that such failure constitutes actual or
      constructive, total or partial, eviction from the Demised Premises, unless
      such interruptions, stoppages or curtailments have been due to the
      arbitrary, willful or negligent act, or failure to act, of Landlord or its
      agents.

2.    Telephone and service shall be the responsibility of Tenant. Tenant shall
      make all arrangements for telephone service with the company supplying
      said service, including the deposit requirement for the furnishing of
      service. Landlord shall not be responsible for any delays occasioned by
      failure of the telephone company to furnish service.

3.    At Landlord's option, it shall furnish and install all lighting tubes,
      bulbs and ballasts used in the Premises and Tenant shall pay Landlord's
      reasonable charges therefor, on demand, as additional rent.

                                      -46-
<PAGE>

                                 SCHEDULE "C"

1.    The  sidewalks,   entrances,  driveways,  passages,  courts,  elevators,
      vestibules,  stairways,  corridors or halls shall not be  obstructed  or
      encumbered  by any Tenant or used for any purpose other than for ingress
      to and egress from the Demised  Premises and for delivery of merchandise
      and  equipment  in a prompt and  efficient  manner using  elevators  and
      passageways  designated  for such delivery by Landlord.  There shall not
      be used in any space,  or in the public hall of the building,  either by
      any  Tenant or by  jobbers  or  others in the  delivery  or  receipt  of
      merchandise,  any hand trucks,  except those  equipped with rubber tires
      and sideguards.

2.    The water and wash closets and plumbing fixtures shall not be used for any
      purposes other than those for which they were designed or constructed and
      no sweepings, rubbish, rags, acids or other substances shall be deposited
      therein, and the expense of any breakage, stoppage, or damage resulting
      from the violation of this rule shall be borne by the Tenant who, or whose
      clerks, agents, employees or visitors, shall have caused it.

3.    No Tenant  shall sweep or throw or permit to be swept or thrown from the
      Premises  any dirt or other  substances  into  any of the  corridors  or
      halls,  elevators,  or out of the doors or windows or  stairways  of the
      building,  and the  Tenant  shall not use,  keep or permit to be used or
      kept any  coffee  machine,  vending  machine,  burner,  microwave  oven,
      refrigerator  or oven,  food or noxious gas or  substance in the Demised
      Premises,  or permit or suffer the  Demised  Premises  to be occupied or
      used in a  manner  offensive  or  objectionable  to  Landlord  or  other
      occupants of the Building by reason of noise,  odors and/or  vibrations,
      or  interfere  in any way with other  tenants or those  having  business
      therein,  nor  shall  any  animals  or  birds  be kept in or  about  the
      Building.  Smoking  or  carrying  lighted  cigars or  cigarettes  in the
      elevators of the Building is prohibited.

4.    No awnings or other projections shall be attached to the outside walls of
      the Building without the prior written consent of the Landlord.

5.    No  sign,  advertisement,   notice  or  other  lettering  and/or  window
      treatment  shall be  exhibited,  inscribed,  painted  or  affixed by any
      Tenant  on any  part  of the  outside  of the  Demised  Premises  or the
      Building  or on the  inside  of the  Demised  Premises  if the  same  is
      visible  from the  outside of the  Demised  Premises  without  the prior
      written  consent of the  Landlord.  In the event of the violation of the
      foregoing   by  any  Tenant,   Landlord  may  remove  same  without  any
      liability,  and may  charge  the  expense  incurred  by such  removal to
      Tenant or  Tenants  violating  this  rule.  Interior  signs on doors and
      directory tables shall be inscribed,  painted or affixed for each Tenant
      by  Landlord  at the  expense  of such  Tenant,  and shall be of a size,
      color and style acceptable to Landlord.

6.    No Tenant shall mark,  paint,  drill into, or in any way deface any part
      of the Demised  Premises or the  Building of which they form a part.  No
      boring,  cutting or stringing of wires shall be  permitted,  except with
      the prior written  consent of Landlord,  and as Landlord may direct.  No
      tenant shall lay linoleum or other  similar  floor  covering so that the
      same  shall  come in  direct  contact  with  the  floor  of the  Demised
      Premises and, if

                                      -47-
<PAGE>

      linoleum or other similar floor covering is desired to be used, an
      interlining of builder's deadening felt shall be first affixed to the
      floor, by a paste or other water soluble material, the use of cement or
      other similar adhesive material being expressly prohibited.

7.    No additional locks or bolts of any kind shall be placed upon any of the
      doors or windows by any Tenant, nor shall any changes be made in existing
      locks or in the mechanisms thereof. Each Tenant must, upon the termination
      of his tenancy, restore to Landlord all keys of stores, offices and toilet
      rooms, either furnished to, or otherwise procured by, such Tenant, and in
      the event of the loss of any keys, so furnished, such Tenant shall pay to
      Landlord the cost thereof.

8.    Freight, furniture, business equipment,  merchandise and bulky matter of
      any  description  shall be  delivered  to and removed  from the Premises
      only through the service entrances and corridors,  and only during hours
      and in a manner  approved by  Landlord.  Landlord  reserves the right to
      inspect all freight to be brought  into the Building and to exclude from
      the  Building  all  freight  which  violates  any  of  these  Rules  and
      Regulations  or the lease of which  these  Rules and  Regulations  are a
      part.

9.    Canvassing,  soliciting  and peddling in the building is prohibited  and
      each Tenant shall cooperate to prevent the same.

10.   Landlord reserves the right to exclude from the building between the hours
      of 6:00 P.M. and 8:00 A.M. and at all hours on Sundays and legal holidays,
      all persons who do not present a pass to the building signed by Landlord.
      Landlord will furnish passes to persons for whom any Tenant requires same
      in writing. Each Tenant shall be responsible for all persons for whom he
      requires such a pass and shall be liable to Landlord for all acts of such
      persons.

11.   Landlord shall have the right to prohibit any advertising by any Tenant
      which, in Landlord's opinion, tends to impair the reputation of the
      Building or its desirability as an office building, and upon written
      notice from Landlord, Tenant shall refrain from or discontinue such
      advertising.

12.   Tenant shall not bring or permit to be brought or kept in or on the
      Premises, any inflammable, combustible, hazardous or explosive fluid,
      material, chemical or substance, or cause or permit any odors of cooking
      or other processes, or any unusual or other objectionable odors, to
      permeate in or emanate from the Premises.

13.   Tenant agrees to keep all entry doors closed at all times and to abide by
      all rules and regulations issued by the Landlord with respect to such
      services.

                                      -48-
<PAGE>

                                  SCHEDULE "D"

                             [Intentionally Omitted]

                                      -49-
<PAGE>

                                  SCHEDULE "E"

                SPECIFICATIONS FOR TENANT'S INITIAL CONSTRUCTION
             OF THE PREMISES AND LANDLORD'S WORK IN THE OFFER SPACE

1.  Initial office finishing schedule

Pursuant to the plans drawn by Landlord's architect based on Tenant's Program of
Space Requirements (as set forth in this lease), Landlord shall cause the
Contractor to perform Tenant's Initial Construction (as defined in this lease)
in the Demised Premises originally demised under this lease, at Tenant's
expense, pursuant to the following specifications. As to the Offer Space,
Landlord shall perform, pursuant to plans drawn by Landlord's architect based on
Tenant's Program of Space Requirements for such Offer Space, Landlord's Work
therein (as defined in this lease), at Landlord's expense, pursuant to these
same specifications.

Erect the necessary demising walls constructed of metal stud, 5/8" Fire X gypsum
board, with batts of 3" fiberglass for sound attenuation. Finish exterior walls
with 5/8" gypsum board on each side to underside of hung ceiling not to exceed 1
linear foot of partitioning for every 32 square feet of usable space, which is
proportionate to the Tenant's existing spaces.

Spackle and tape walls three coats to a smooth and true finish. Install in
executive offices, main conference room, reception area and extended conference
room, building standard vinyl wall covering. Paint all other walls two coats
flat latex and door trim in matching enamel.

Install in executive offices, main conference room, reception area and extended
conference room over padding J.P. Stevens durapoint #852 or equal. Balance of
space shall be carpeted with the same carpet installed (glued down). Building
standard vinyl reinforced tile shall be installed in place of carpet in all
storage, file, reception, pantry and lunch rooms (pantry and lunch rooms in a
pattern design). 4" vinyl cove base shall be installed. All colors shall be
selected from building standard selection.

Install a 2'-0" x 4'-0" Cortega Minaboard Armstrong acoustical tile ceiling with
a square-cut lay in 15/16" suspension system, or equal.

Provide interior 3'0" x 8'0" hollow core colony oak wood doors with hollow metal
bucks, numbered as shown on approved plan. All conference room doors shall have
a 2'-0" x 8'0" clear glass side lite.

In the original Demised Premises only, pantry area shall be provided with
plastic laminate wall and base cabinets, a sink, refrigerator and a dishwasher
in accordance with the approved plans. No pantry area will be provided in the
Offer Space.

2.    Lavatory Area -- Public Spaces

      a.     Separate Male and Female toilet facilities.

                                      -50-
<PAGE>

3.    Landscaping

The Landlord will maintain the landscaping in a manner consistent with a class A
office building.

4.    Additional Improvements Relating to 520 Broadhollow

At the 520 Broadhollow Road building, the lobby floor shall receive granite, and
toilet area walls and vanities shall receive Landlord's standard marble finish
or equal. There shall be installed Landlord's standard decorative lighting over
such vanities. Building standard vertical blinds shall be provided in all
exterior windows in the Demised Premises. Card-key access entry locks shall be
provided at all four (4) entrances to the Demised Premises. The landscaping at
the front entrance shall be upgraded, consistent with a Class A office building.

5.    Electrical Specifications

All electrical work shall be installed in accordance with the National
Electrical Code, and the local building code. A "Certificate of Compliance"
shall be obtained from the New York Board of Fire Underwriters at the completion
of the project.

Lighting throughout the entire finished office area shall be obtained by the use
of recessed light 2' by 4' fluorescent fixtures with parabolic lenses or equal,
not to exceed one (1) fixture for each eighty (80) square feet of usable space,
which will deliver a lighting level of 65 F.C. Local wall switches shall be
provided for control of lighting. Toilet, corridor, lobby and other similar
areas shall be lit to 50 foot candles. In the original Demised Premises only and
not in the Offer Space, up to eight (8) incandescent down lights in the lobby,
four (4) in the Senior Vice President office, four (4) in the conference center
adjacent to the main lobby, eight (8) in the main conference room, and (1) in
each training room shall be installed in accordance with approved plans. Exit
light lighting for all paths of egress shall be provided in accordance with
local building department regulations, if required.

All branch circuit wiring shall be above hung ceiling or within dry-wall
construction in finished areas and shall be type BX. All exposed conduits in
non-finished areas shall be thin-walled "EMT".

Wall-mounted duplex convenience outlets shall be provided on the basis of one
duplex outlet for each 120 square feet of rentable area, which is proportionate
to the Tenant's existing space. This formula shall be used to establish the
quantity of outlets. However, the exact location of each outlet shall be
coordinated with the Tenant's furniture layout. All duplex outlets are to be
considered as normal convenience outlets and shall be wired up with an average
of 5 to 8 outlets on one 20 ampere, 120 volt circuit. Panel capacity shall be
adequate to handle all Tenant lighting and equipment provided load does not
exceed 2 watts per square foot of usable area.

No credits given for installation less than standard installation.

6.    Heating, Ventilation and Air Conditioning Specifications General

The intent of this specification is to define a design concept for the subject
area.

                                      -51-
<PAGE>

Design Criteria

Central air conditioning with modular systems with individual zone control shall
be capable of the following performance when the criteria noted are not
exceeded:

A) Between September 1 and June 1, the "heating system" shall be operative and
maintain a minimum of 70 degrees FDB when the outdoor temperature is 0 degrees
FDB and the prevailing wind velocity does not exceed 15 mph.

B) Between April 15 and October 14, the "cooling system" shall be operative and
maintain a maximum of 78 degrees FDB and 55% relative humidity when the outdoor
temperature is 95 degrees FDB and 75 degrees FDB with the prevailing wind
velocity not exceeding 13 mph. The Tenant's computer room shall receive a four
(4) ton supplemental cooling unit for year round operation. Landlord agrees to
equally share with Tenant the cost to install a one (1) ton supplemental cooling
unit in each of two (2) training rooms (in the original Demised Premises only)
if and only if the base Building cooling system is not capable of maintaining
the temperature range set forth herein.

C) During the overlapping seasons (April 15 - June 1 and September 1 - October
15) both systems shall be operative (cooling and heating).

D) Zoning temperature and balancing controls shall be operated solely by the
Landlord to assure the conditions above.

E) Maintenance of the foregoing temperature conditions is conditioned upon the
following criteria, which shall not be exceeded by the Tenant in any room, or
area, within the demised premises:

      a)   Population Density...............................1 person per 150
                                                            square feet

      b)   Lighting and Electrical Load Density.............4 watts per
                                                            square foot

      c)   Exhaust and Ventilation Load.....................5 cfm per person

6.    Ventilation

Bathrooms and similar areas to be ventilated per code using rooftop fans.

7.    System Design

Exterior Perimeter Zones

Heating/cooling of exterior offices and areas provided by variable air volume
terminals with integrated thermostats to meet Tenant's requirements for
individual control.

Interior Zones

                                      -52-
<PAGE>

Heating/cooling provided by variable air volume system terminals with integrated
thermostats for areas of 2,000 square feet.

                                      -53-
<PAGE>

                                    EXHIBIT 1

                                   RENTAL PLAN

                                      -54-
<PAGE>

                                    EXHIBIT 2

                                PRELIMINARY PLANS

                                      -55-
<PAGE>

                            FIRST AMENDMENT OF LEASE
                            ------------------------

          AGREEMENT made as of the 30th day of September, 1999 by and between
RECKSON OPERATING PARTNERSHIP, L.P., a Delaware limited partnership having an
office at 225 Broadhollow Road, CS 5341, Melville, New York 11747 (hereinafter
called "Landlord"); VYTRA HEALTH PLANS LONG ISLAND, INC., a corporation having
an office at 395 North Service Road, Melville, New York 11747, formerly known as
Choice Care Long Island, Inc. (hereinafter called "Tenant" or "Assignor"); and
AMERICAN HOME MORTGAGE CORP., a corporation having an office at 12 East 49th
Street, New York, New York 10017 (hereinafter called "Assignee").

                                    RECITALS

          WHEREAS, Landlord and Tenant entered into a lease agreement dated
October 20, 1995 as clarified by letter agreement between Landlord and Tenant
dated October 20, 1995 (the lease agreement and letter agreement collectively
referred to as the "Lease") for the lease of 43,200 square feet in the building
located at 520 Broadhollow Road, Melville, New York (the "Building"); and

          WHEREAS, Tenant intends to assign to Assignee, effective from and
after October 1, 1999 (the "Effective Date"), all of Tenant's right, title and
interest as tenant in to and under the Lease pursuant to that certain Assignment
and Assumption of Lease Agreement between Assignor and Assignee dated September
30, 1999 ("Assignment"); and

          WHEREAS, Assignee shall assume all of Tenant's right, title and
interest as tenant in to and under the Lease from and after the Effective Date
pursuant to the Assignment; and

          WHEREAS, Landlord shall grant its consent to the assignment of the
Lease, as modified by this First Amendment of Lease, subject to and in
accordance with that certain consent to assignment letter executed
simultaneously herewith by and among Landlord, Assignor and Assignee.

          NOW, THEREFORE, in consideration of the mutual promises contained
herein and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:

                                    ARTICLE I

                                   DEFINITIONS
                                   -----------

          1.1    The recitals are specifically incorporated into the body of
this Agreement and shall be binding upon the parties hereto.

<PAGE>

          1.2     Unless expressly set forth to the contrary and except as
modified by this Agreement, all defined terms shall have the meanings ascribed
to them in the Lease.

                                   ARTICLE II

                               LEASE MODIFICATIONS
                               -------------------

          2.1    As of the Effective Date, the Lease is hereby modified and
amended as follows:

          2.1.1  Tenant's Initial Construction. Article 5 of the Lease is hereby
deleted in its entirety.

          2.1.2  Services. The third and fourth sentences of Article 6(B) of the
Lease are hereby deleted and the following is inserted in their place:

          "Landlord has converted the Demised Premises to gas heat and,
          prior to the Effective Date, shall install, at Landlord's
          expense, a separate gas meter to measure the consumption of
          gas in the Demised Premises. Tenant shall make arrangements to
          secure gas directly from the utility servicing the Building
          and shall pay all charges for such gas directly to such
          utility in a timely manner."

          2.1.3  Signs. (a) The third through seventh sentences of Article 18
are deleted and the following is inserted in their place: "Notwithstanding the
foregoing, to the extent permitted by applicable laws and regulations, Landlord,
at Landlord's sole expense, shall provide Tenant with one (1) monument sign on
the side of the Building which faces Route 110. The dimensions and design of
such sign have been approved by Landlord in the form annexed hereto as Exhibit
1, subject to applicable laws and regulations. Landlord may grant other tenants
the right to monument signage provided that such signage does not obstruct view
of Tenant's monument signage. Landlord shall not permit any other monument
signage to be affixed to Tenant's proposed monument signage. Provided that
Tenant physically occupies the entire Demised Premises, Landlord agrees that it
shall not grant monument signage to any other tenant in the Building that is
larger than Tenant's proposed monument sign. If the number of such monument
signs is limited by applicable laws and regulations, Tenant shall be entitled to
the first monument sign excluding any Building monument sign used by Landlord.
In connection with the monument sign to be provided to Tenant, in the event it
becomes necessary to obtain a variance to erect and maintain the monument sign,
Tenant shall be responsible for and shall pay for such variance application and
proceeding but Landlord agrees to cooperate with Tenant's variance application
provided Tenant shall afford Landlord a reasonable period to review and approve
Tenant's variance application and other submissions relating thereto (which
approval shall not be unreasonably withheld or delayed).

          2.1.4  Right to Sublet or Assign. The last sentence of Article 20(C)
of the Lease is hereby deleted and the following is inserted in its place:
"Notwithstanding the foregoing, the public offering of shares of stock of
Assignee shall not be deemed to be an assignment of this lease which requires
Landlord's consent."

                                      -2-

<PAGE>

          2.1.5  Notices. In Article 34 of the Lease, six (6) lines from the top
of the provision, delete the following: "regular,".

          2.1.6  Renewal Option. Article 44 of the Lease is hereby deleted in
its entirety and the following is inserted in its place:

          "Tenant shall have the right, to be exercised as hereinafter provided,
to extend the term of this lease for one period of five (5) years (hereinafter
referred to as the "Renewal Term") upon the following terms and conditions:

          (A)  That at the time of the exercise of such right and at the
commencement of the Renewal Term, Tenant shall not be in default in the
performance of any of the terms, covenants or conditions which Tenant is
required to perform under this lease beyond any applicable notice and cure
period provided herein for the cure hereof.

          (B)  That Tenant shall notify Landlord in writing of Tenant's election
to exercise its option with respect to the Renewal Term at least one (1) year
prior to the expiration of the term of this lease.

          (C)  That the Renewal Term shall be upon the same terms, covenants and
conditions as in this lease provided, except that (a) there shall be no further
option to extend this lease beyond the Renewal Term referred to above; (b) the
Premises shall be delivered at the beginning of the Renewal Term in its then "as
is" condition; and (c) the Rent to be paid by Tenant during the Renewal Term
shall be as follows:

          During the first year of the Renewal Term, the Rent shall be ninety
(90%) percent of the then fair market annual minimum rent being received by
Landlord for comparable size space in the Building, but in no event less than
the Rent payable under this lease for the Lease Year immediately preceding the
Renewal Term. The Rent applicable to the first year of the Renewal Term shall be
payable in equal monthly installments.

          During each of the second through fifth years of the Renewal Term, the
Rent shall be increased by three (3%) percent per year over the Rent payable for
the prior year. Said sums shall be payable in equal monthly installments.

          "Fair market annual minimum rent" shall mean the rate Landlord
generally receives or that is received for comparable space in the Building. In
determining fair market annual minimum rent, no adjustment shall be made in
consideration of and Tenant shall not be entitled to a credit for Tenant
improvements, brokerage commissions, rent concessions and other concessions
which Landlord may from time to time offer to other tenants. Landlord shall
determine the fair market annual minimum rent on the basis of the foregoing
criteria. In the event Tenant disputes Landlord's determination of fair market
annual minimum rent, Tenant, by written demand, may commence arbitration
strictly in accordance with the terms and conditions of this Subparagraph. The
sole issue to be determined by such arbitration shall be the fair market annual
minimum rent to be charged in accordance with this Subparagraph. Such written
demand shall contain the name and address of the arbitrator appointed by Tenant.
Within ten (10) days after its receipt of the written demand, Landlord will give
Tenant written notice of the name and address of its arbitrator. Within ten (10)
days after the date of the appointment of the second

                                      -3-
<PAGE>

arbitrator, the two (2) arbitrators will meet. If the two (2) arbitrators are
unable to agree on the fair market annual minimum rent as provided herein within
ten (10) days after their first meeting, they will select a third arbitrator.
The third arbitrator will be designated as chairman and will immediately give
Landlord and Tenant written notice of its appointment. The three (3) arbitrators
will meet within ten (10) days after the appointment of the third arbitrator. If
they are unable to agree on the fair market annual minimum rent within ten (10)
days after their first meeting, the third arbitrator will select a time, date
and place for a hearing and will give Landlord and Tenant thirty (30) days prior
written notice of it. The date for the hearing will not be more than sixty (60)
days after the date of appointment of the third arbitrator. The arbitrators must
be licensed real estate appraisers with at least five (5) years experience in
the Nassau/Suffolk real estate market. No arbitrator may be an active real
estate broker. The arbitration will be governed by the laws of the State of New
York and, when not in conflict with such law, by the general procedures in the
commercial arbitration rules of the American Arbitration Association. The
arbitrators will not have the power to add to, modify, detract from or alter in
any way the provisions of this lease or any amendments or supplements to this
lease. The arbitrators will not have any power to decide or consider anything
other than the specific issue of the fair market annual minimum rent in
accordance with the terms of this lease. The written decision of at least two
(2) arbitrators will be conclusive and binding upon Landlord and Tenant. No
arbitrator is authorized to make an award for damages of any kind, including,
without limitation, an award for punitive, exemplary, consequential or
incidental damages. Landlord and Tenant will each pay for the services of its
appointees, attorneys and witnesses plus one-half of the fees of the third
arbitrator and of all other proper costs relating to the arbitration. The
decision of the arbitrators will be final and non-appealable and may be enforced
according to the laws of the State of New York. Notwithstanding anything to the
contrary contained herein, in the event Tenant disputes Landlord's determination
of the fair market annual minimum rent, Tenant shall nevertheless continue to
pay Rent at the same rate then being paid under this lease. In the event the
Rent as determined hereunder is at variance with the Rent being paid by Tenant,
Tenant shall either pay the difference in a lump sum or receive a credit as the
case may be.

          This Renewal Option is personal to American Home Mortgage Corp., Inc.
and is non-transferable by operation of law or otherwise, except to an assignee
of Tenant approved by Landlord pursuant to this lease or other transferee
permitted pursuant to this lease."

          2.1.7  Right of First Offer. Article 45 of the Lease is hereby deleted
in its entirety and the following is inserted in its place:

                  "(a)  Whenever space in the Building that becomes available
during the term of this Lease (the "Offer Space"), and so long as Tenant is not
in default under this Lease beyond applicable notice and cure periods provided
herein for the cure thereof, Landlord shall notify Tenant ("Landlord's Notice")
of the market rent and market rental increases ("Market Rent") upon which it
would be willing to lease the Offer Space. This right of first offer shall not
apply during the last year of the initial term of this Lease or during the last
year of any Renewal Term unless Tenant shall have previously exercised the next
available renewal option. If, within thirty (30) days after receipt of
Landlord's Notice, Tenant notifies Landlord in writing ("Tenant's Notice") of
its intention to exercise Tenant's right to lease the entire Offer Space upon
the terms contained in Landlord's Notice (which Tenant's Notice shall be
effective only if sent by Tenant

                                      -4-

<PAGE>

to Landlord, via certified mail, return receipt requested, to the attention of
Landlord's Chief Financial Officer, at Landlord's address set forth in this
Lease), Landlord and Tenant shall execute a lease or lease modification
agreement (the "Offer Agreement"), at Landlord's option, for the Offer Space
within twenty (20) days after Landlord's receipt of Tenant's Notice. Such Offer
Agreement shall be upon all the same terms as this Lease, except (i) for the
Market Rent terms, (ii) for other matters dependent upon the size of the Offer
Space, such as Tenant's Proportionate Share, (iii) that Tenant is accepting the
Offer Space in its "as is" condition and Landlord shall not be required to
perform any work in or to the Offer Space in order to prepare such space for
Tenant's occupancy (except as otherwise set forth in Landlord's Notice), (iv)
the number of parking spaces and directory listings shall be increased
proportionately to reflect the addition of the Offer Space, and (v) for such
other terms and conditions as may be mutually agreed to by Landlord and Tenant.
The term of the Offer Agreement shall end on the Expiration Date. If Tenant does
not deliver such Tenant's Notice within such thirty (30) day period, or if
Tenant fails to enter into the Offer Agreement for the Offer Space within such
twenty (20) day period, then this Right of First Offer will lapse (only with
respect to the particular Offer Space that is the subject of that particular
Landlord's Notice) and be of no further force and effect and Landlord shall have
the right to lease the particular Offer Space that was the subject of Landlord's
Notice to a third party on the same or any other terms and conditions whether or
not such terms and conditions are more or less favorable than those offered to
Tenant. Time shall be of the essence with respect to all of Tenant's obligations
under this Article.

          (b)  This right of first offer is personal to American Home Mortgage
Corp., Inc. is non-transferable by operation of law or otherwise except to an
assignee of Tenant approved by Landlord pursuant to this lease or other
transferee permitted pursuant to this lease, and is subject to then existing
rights, if any, granted to other tenants at the Building."

          2.1.8  Building Improvements. Article 46 of the Lease is hereby
deleted in its entirety and the following is inserted in its place:
"Intentionally Omitted."

          2.1.9  Schedule E. Schedule E of the Lease is hereby deleted in its
entirety and the following is inserted in its place: "Intentionally Omitted."

                                   ARTICLE III

                                     BROKER
                                     ------

          3.1   Tenant and Assignee represent that this First Amendment of Lease
was brought about by BDL Affiliates, Inc. and Real Estate Strategies, Ltd. as
brokers. Tenant agrees to pay the commissions due and payable to BDL Affiliates,
Inc. and Real Estate Strategies, Ltd. pursuant to one or more separate
agreements. Tenant and Assignee agree that if any claim is made for commissions
by any broker through or on account of any acts of Tenant or Assignee, Tenant
and Assignee will each hold Landlord harmless from any and all liabilities and
expenses in connection with the claims arising out of the acts of Tenant or
Assignee, respectively, including Landlord's reasonable attorney's fees. Tenant,
Assignee and Landlord understand that Real Estate Strategies, Ltd. shall waive
any claim for commissions that Real Estate Strategies Ltd. may have in
connection with a renewal of the Lease or the exercise of the right of first
offer pursuant to the Lease. Tenant will hold Landlord and Assignee harmless
from any and all

                                      -5-

<PAGE>

liability and expenses in connection with any claim for commissions by Real
Estate Strategies, Ltd. in connection with a renewal of the Lease or exercise of
the right of first offer pursuant to the Lease through or on account of any acts
of Tenant or Assignee, respectively, including Landlord's and Assignee's
respective reasonable attorney's fees. Assignee agrees that if any claim is made
for commissions by any broker other than BDL Affiliates, Inc. in connection with
a renewal of the Lease or the exercise of the right of first offer pursuant to
the Lease, through or on account of any acts of Assignee, Assignee will hold
Landlord harmless from any and all liability and expenses in connection
therewith, including Landlord's reasonable attorney's fees. Landlord shall pay a
commission to BDL Affiliates, Inc. in the event that Assignee exercises a
renewal of the Lease pursuant to and in accordance with the terms of a separate
agreement.

                                   ARTICLE IV

                                  RATIFICATION
                                  ------------

          4.1    Tenant represents and warrants that the Lease is presently in
full force and effect, that no event of default has occurred on the part of
Landlord and that Tenant has no defense or right of offset in connection with
Landlord's performance under the Lease to this date.

          4.2    The parties hereby ratify and confirm all of the terms,
covenants and conditions of the Lease except to the extent that those terms,
covenants and conditions are amended, modified or varied by this Agreement. If
there is a conflict between the provisions of the Lease and the provisions of
this Agreement, the provisions of this Agreement shall control.

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

                                         RECKSON OPERATING PARTNERSHIP, L.P.
                                         By:    RECKSON ASSOCIATES REALTY CORP.,
                                                its general partner

                                         By: /s/
                                             -----------------------------------

                                         VYTRA HEALTH PLANS LONG ISLAND, INC.

                                         By: /s/
                                             -----------------------------------

                                         AMERICAN HOME MORTGAGE CORP.

                                         By: /s/ Michael Strauss
                                             -----------------------------------

                                      -6-

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