Document:

COMMERCIAL LEASE NO. 03- 824

                          ARIZONA STATE LAND DEPARTMENT

         THIS  COMMERCIAL  LEASE is  entered  into by and  between  the State of
Arizona as "Lessor" by and through the Arizona State Land Department and

                     BOWLIN'S INC., a New Mexico corporation
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as "Lessee".  In consideration of the payment of rent and the performance by the
parties of each of the provisions set forth herein,  and intending to be legally
bound, the parties agree as follows:

                                     PARCEL

AGREEMENT.  Lessor  hereby  leases to Lessee for the term,  at the rent,  and in
accordance with the provisions set forth herein, the Parcel described in Exhibit
"A" attached  hereto (the "Parcel") for the uses and purposes  specified  below,
subject to the provisions of Article 4.

USE. The Parcel shall be used solely and  exclusively  for a convenience  store,
gift shop, gas station, restaurant, and employee housing (consisting of four (4)
mobile home units).

PARCEL  LEASED "AS IS".  Lessee makes use of the Parcel "as is" and Lessor makes
no express or implied warranties as to the physical condition of the Premises.

DEFINITION.  "Premises"  means the Parcel  together with all rights  appurtenant
thereto expressly granted by this Lease,  Improvements,  Removable Improvements,
and personal property located on, below or above the parcel.

                                      TERM

COMMENCEMENT;  EXPIRATION.  The term of this Lease  commences on  September  21,
1996, and ends on September 20, 2006, unless  terminated  earlier as provided in
this Lease.

                                      RENT

ANNUAL RENT.  Lessee shall pay rent to Lessor on or before the commencement date
of this Lease, and each year thereafter,  annually in advance,  on or before the
anniversary  of the  commencement  date, for the use and occupancy of the Parcel
during the term of this Lease,  without  offset or deduction  except as provided
hereafter,  and  without  notice or demand.  Lessee  agrees to pay rent for this
Lease due and  payable as  follows:  Base rent for the first lease year shall be
$20,000.00.  Base rent for the second lease year shall be $20,000.00.  Base rent
for the third lease year shall be  $20,000.00.  Annual base rent for lease years
four through ten shall equal the base rent for the third lease year, as adjusted
annually pursuant to article 3.4.

         3.2  Lessee  shall pay as annual  rental,  2.5% of all gross  receipts,
except fuel sales.  Lessee shall pay  annually,  one quarter of one cent (.0025)
per gallon of all fuel sales.

         3.3 Lessee shall pay the annual base rent as defined in paragraph  3.1,
or the percentage rent defined in paragraph 3.2, whichever is greater.

         3.4 The annual base rent for lease years four  through ten (4-10) shall
be adjusted  each year by the  consumer  price  index,  but said base rent shall
never be less than the previous lease years base rent.

         1.5 CPI. "CPI" shall mean the Revised  Consumer Price Index,  U.S. City
Average  for all  Urban  Consumers--All  Items  (1982-1984  equals  100) for the
pertinent month, issued by the Bureau of Labor Statistics of the U.S. Department
of Labor.  If the CPI shall  hereafter  be  converted  to a  different  standard
reference  base or  otherwise  revised,  adjustments  of rent based upon the CPI
shall be made  with the use of such  conversion  factor,  formula  or table  for
converting the CPI as may be published by the Bureau of Labor Statistics,  or if
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said Bureau  shall not publish  the same,  then with the use of such  conversion
factor,  formula  or  table as may be  published  by any  nationally  recognized
publisher  of  similar  statistical  information.  If the CPI shall  cease to be
published,  there shall be substituted therefore such index as Lessor selects as
a reasonable substitute.

ANNUAL  PERMITTED CPI ADJUSTMENT.  The Annual  Permitted CPI Adjustment shall be
the actual  percentage  increase in the CPI for the preceding  twelve (12) month
period.

GROSS RECEIPTS. "Gross Receipts" shall mean the selling and leasing price of all
goods,  wares and merchandise and receipts of all  transactions  and the charges
for all services  performed  at,  within or from any part of the demised  Parcel
including  all  departments  and  concessions  therein and  subtenancies,  where
permitted, pursuant to the provisions of this Lease, no matter by whom operated,
for cash or on credit, whether payment is actually made or not, the risk of such
payment  being  assumed by  Lessee.  Concessionaires,  demonstrators  or vending
machines,  including  those owned by others,  operating  upon the demised Parcel
shall be included within gross sales.

ANNUAL STATEMENT & ESTIMATED PERCENTAGE RENT PAYMENT: Annually on or before each
anniversary of the commencement date of this lease and  simultaneously  with the
payment of the annual  base rent,  Lessee  shall  deliver to Lessor a  statement
signed by the Lessor or Certified  Public  Accountant,  setting  forth the gross
receipts made during the preceding 12 months, hereinafter know as the "reporting
period"..  The annual  statement  shall be  accompanied by payment of percentage
rent,  if any,  due for the  reporting  period.  Within  60 days of the  date of
expiration, cancellation, or termination, the Lessee shall submit a final annual
statement accompanied by any percentage rent due through the date of expiration,
cancellation or termination. If any reporting period is less than 12 months, the
percentage rent shall be calculated on a prorated basis.

PENALTY;   INTEREST;   LIEN.   Lessee  shall  pay  a  penalty  of  five  percent
(5(degree)/a)  plus interest on any amount of delinquent  rent.  Interest  shall
accrue daily on the delinquent  amount and on the penalty at the rate set by the
Arizona State  Treasurer  under A.R.S.  37-241(D) (3) until paid. The delinquent
rent,  penalty  and  interest  shall  be a lien on the  Improvements  and  other
property on the Parcel.

                                 USE OF PREMISES

USE. The Premises shall be used solely and exclusively for the purpose described
in Article 1.2. The four (4) mobile home units  allowed  under Article 1.2 shall
be occupied only so long as the  convenience  store,  gift shop, gas station and
restaurant,  hereinafter referred to as the business, remain in operation. There
is no intent for their use as home sites;  rather they are intended as temporary
employee  housing  and must be vacated  immediately  if the  "businesses"  cease
operation.

ARTIFACTS.  With respect to any  archaeological,  paleontological  or historical
site or  object  discovered  on the  Premises,  Lessee  shall  comply  with  the
requirements of A.R.S ss. 41844 or any successor  statute  relating to discovery
of  archaeological,  paleontological  or  historical  sites or  objects on State
lands.

WASTE;  NATIVE  PLANTS.  Lessee shall not conduct or permit to be conducted  any
public or private nuisance on the Premises, nor commit or permit to be committed
any waste thereon.  Lessee shall not move, use, destroy, cut or remove or permit
to be moved,  used,  destroyed,  cut or removed  any timber,  cactus,  protected
native  plants,  standing  trees or  products  of the land  except that which is
necessary  for the use of the  Parcel,  and then  only  with the  prior  written
approval of Lessor.  If the removal or destruction of plants protected under the
Arizona  Native Plant Law is  necessary  to the use of the Parcel,  Lessee shall
also obtain the prior written approval of the Arizona Department of Agriculture.
Lessee shall report to Lessor and appropriate  law  enforcement  authorities any
known or suspected trespass or waste committed on the Premises.

CONFORMITY TO LAW. Lessee shall not use or permit the Premises to be used in any
manner that is not in conformity with all applicable Federal,  State, County and
municipal  laws,  rules and  regulations,  unless Lessor  determines and advises
Lessee in writing otherwise.

GOVERNMENTAL  APPROVAL.  Failure to obtain or loss of any governmental  approval
that is  prerequisite  to the use for which  this  lease is  issued,  or that is
necessary  to  construct,  maintain  or operate  any  facilities  on the site in
connection with that use shall constitute a breach of this lease, subject to the
provisions of Article 17.

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RESERVATIONS.  Lessor  excepts and  reserves  out of the Parcel all oil,  gases,
geothermal resources, coal, ores, limestone,  minerals, fossils, and fertilizers
of every name and description  that may be found in or upon the Parcel,  and the
Lessor  reserves the right to enter upon the land for the purpose of prospecting
therefor, or extracting any or all of the commodities therefrom. Lessor reserves
the right to issue to other  persons,  rights to use the  Parcel in a manner not
inconsistent  with the purposes for which this Lease was issued.  Lessor further
excepts and reserves the right to  relinquish  to the United States lands needed
for irrigation works in connection with a government reclamation project, and to
grant or dispose of rights-of-way and sites for canals, reservoirs,  dams, power
or irrigation plants or works,  railroads,  tramways,  transmission lines or any
other purpose or use on or over the Parcel.

QUIET ENJOYMENT. Lessee shall quietly have, hold and enjoy the Parcel during the
term of this Lease so long as Lessee is in compliance with all the provisions of
this Lease.

INSPECTION.  Lessor, its duly authorized agents,  employees and  representatives
shall have the right to enter upon and inspect  the Parcel and all  Improvements
thereon at reasonable time, and in a reasonable manner.

SURRENDER.  In the event  this  Lease is not  renewed,  Lessee  shall  surrender
peaceably  the  possession  of the Parcel  upon  expiration  of the term of this
Lease.

                                     RECORDS

RECORD KEEPING; INSPECTION. Lessee shall make and keep for the term of the Lease
and either  (i) five  years  thereafter;  or (ii)  until the  conclusion  of any
dispute concerning this Lease, whichever is later, appropriate books and records
concerning the operation of this Lease  including but not limited to Federal and
State tax statements,  receipts and other records.  Lessor,  its duly authorized
agents,  employees and representatives  shall have the right at all times during
the term of this Lease and for one (1) year after the  expiration or termination
hereof, to make reasonable examination of those books, records or other material
in order to obtain  information  which Lessor deems necessary to administer this
Lease.   Further,   Lessor,   its  duly   authorized   agents,   employees   and
representatives  shall  have  the  right  at all  times  during  the term of any
sublease or any  extension  thereof,  and for one (1) year after  expiration  or
termination  thereof,  to make reasonable  examination of any sublessee's books,
records  or other  material  which  Lessor  deems  necessary  in order to obtain
information to administer Article 3 of this Lease.

                          CONSTRUCTION AND IMPROVEMENTS

DEFINITIONS.  "Improvements"  means anything permanent in character which is the
result  of labor or  capital  expended  by the  Lessee  or his  predecessors  in
interest on State land in its reclamation or development, and which has enhanced
the value of the land. "Removable  Improvements" means anything not permanent in
character which is the result of labor or capital  expended by the Lessee or his
predecessors in interest on State land.

PRIOR  APPROVAL  REQUIRED.  Lessee  shall not place or construct or permit to be
placed or  constructed  any  Improvement  or Removable  Improvement on or to the
Premises, unless Lessee has obtained the prior written approval of Lessor. Along
with any application to place  Improvements  or Removable  Improvements on or to
the Premises,  and prior to Lessee applying for a building permit from the local
government  authority,  Lessee shall file with Lessor  plans and  specifications
(including but not limited to grading, construction and landscape plans) showing
the  nature,   location,   approximate   cost,   and  quality  of  the  proposed
Improvements.  At the  request of Lessor,  Lessee  shall also submit a perimeter
survey  of the  Premises.  The  location  of  completed  Improvements,  as built
construction plans and any other information Lessor may require, for purposes of
determining  developed  acres,  shall be  submitted  by the Lessee to the Lessor
within  three  (3)  months  following  the  completion  of   construction.   Any
Improvements or Removable  Improvements  placed on the Premises shall conform to
existing  laws  and  ordinances   applicable  to  commercial   construction  and
maintenance  in the  jurisdiction  where the Parcel is  located,  unless  Lessor
determines and advises Lessee in writing that such conformity is not in the best
interest of the Trust.

UTILITIES;  NEW CONSTRUCTION.  Gas, electric,  power,  telephone,  water, sewer,
cable  television  and other  utility or service  lines of every nature shall be
placed  and  kept  underground  unless  Lessor  grants  prior  written  approval
otherwise.  All buildings and  structures  shall be of new  construction  and no

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buildings or structures  shall be moved from any other  location onto the Parcel
without Lessor's prior written approval.

ANNUAL STATEMENT. Upon request, but not more frequently than once a year, Lessee
shall file with Lessor a sworn  statement  setting forth the  description of any
Improvements  placed on the Parcel  during  the prior  lease year and the actual
cash value of such improvement.

OWNERSHIP;  REMOVAL.  All Improvements placed upon the Parcel by Lessee shall be
the property of Lessee subject to the terms of this Lease and shall, unless they
become the property of Lessor, be subject to assessment for taxes in the name of
Lessee, the same as other property of Lessee. Within sixty (60) days prior to or
ninety (90) days following the  expiration or termination of this Lease,  Lessee
may remove those Improvements which belong to it, have been previously  approved
by Lessor in writing,  are free of any liens and can be removed  without causing
injury to the Premises.  At its option, Lessor may waive any of the above listed
prerequisites to Lessee's  removal of Improvements on the Premises.  Lessee may,
with Lessor's  prior  written  approval and within the time allowed for removal,
sell its Improvements to the succeeding Lessee.

FORFEITURE.  Improvements  made on or to the  Premises  without  Lessor's  prior
written  approval shall  constitute a breach of this Lease and the  Improvements
shall forfeit to Lessor.  This shall be in addition to any other remedies Lessor
may have against Lessee pursuant to this lease, or in law or in equity.

NO WATER  RIGHTS  CONFERRED..  This  Lease  does not  confer  upon  Lessee,  its
assignees or sublessees,  any express or implied rights to the use or removal of
surface or ground water from the Premises.  Any use or removal of water from the
Premises shall be pursuant to an independent  written  agreement with Lessor and
no claim  thereto  shall be made by Lessee.  Any water right  established  shall
attach and be appurtenant to the Premises.

IMPROVEMENTS   DEDICATED  TO  PUBLIC  USE..   Lessee  shall  have  no  right  to
reimbursement  for  Improvements  that are  dedicated or otherwise  committed or
transferred to public use.

                             REPAIRS AND MAINTENANCE

LESSEE'S OBLIGATIONS.  Lessor shall be under no obligation whatever to maintain,
repair,  rebuild or replace any Improvement on the Parcel. Lessee shall, subject
to the provisions of Article 12 (Damage) and Article 15 (Eminent  Domain) and at
its own expense,  keep and maintain  the Premises in good order,  condition  and
repair in conformity with all governmental requirements and if applicable, those
of the  insurance  underwriting  board or  insurance  inspection  bureau  having
jurisdiction  over the Premises,  unless Lessor determines and advises Lessee in
writing that such conformity is not in the best interest of the Trust.

                                MECHANICS' LIENS

PAYMENT;  INDEMNITY..  Lessee shall be responsible  for payment of all costs and
charges  for any work done by or for it on the  Premises or in  connection  with
Lessee's occupancy  thereof,  and Lessee shall keep the Parcel free and clear of
all mechanics'  liens and other liens and  encumbrances  on account of work done
for Lessee or persons claiming under it; provided,  however,  that Lessee may in
good  faith,  and with  reasonable  diligence,  contest or dispute any such lien
claims in any  appropriate  forum so long as this Lease or the Leased Parcel are
not  actually in danger of levy or sale.  Lessee  expressly  agrees to and shall
indemnify and save Lessor harmless  against  liability,  loss,  damages,  costs,
attorney's  fees and all other  expenses  on  account of claims of lien or other
encumbrances  of  laborers  or  materialmen  or  others  for work  performed  or
materials or supplies furnished to Lessee or persons claiming under it. Further,
any  contracts   between   Lessee  or  sublessees   and  any   contractors   and
subcontractors  shall  expressly  hold Lessor  harmless  against  any  liability
arising from such contracts, as described above.

NOTICE.  Should any such claims of lien or other  encumbrances  be filed against
the Parcel or any action  affecting  the title to the Parcel be  commenced,  the
party receiving  notice of such lien or action shall  immediately give the other
party written notice thereof.

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                                    UTILITIES

LESSEE'S  OBLIGATIONS.  Lessee  shall be  responsible  for and shall hold Lessor
harmless from any liability for all charges for water, gas, sewage, electricity,
telephone and any other utility service.

                              TAXES AND ASSESSMENTS

LESSEE'S  OBLIGATIONS.  In addition to the rent set herein,  Lessee shall timely
pay and  discharge,  without  deduction or abatement for any cause,  all duties,
taxes, charges, assessments,  impositions and payments, extraordinary as well as
ordinary,  unforeseen as well as foreseen, of every kind and nature (under or by
virtue of any current or  subsequently  enacted law,  ordinance,  regulation  or
order of any public or governmental  authority),  which during the term are due,
imposed upon, charged against, measured by or become a lien on (i) the Premises;
(ii) any  Leasehold  interest;  (iii) the interest of any of the parties to this
Lease or in proceeds  received  pursuant  to this Lease;  and (iv) the rent paid
pursuant to this Lease.

                             INSURANCE AND INDEMNITY

INDEMNITY.  Irrespective  of any insurance  carried by Lessor for the benefit of
Lessor, Lessee hereby expressly agrees to indemnify and hold Lessor harmless, or
cause  Lessor  to be  indemnified  and  held  harmless,  from  and  against  all
liabilities,  obligations,  damages, penalties, claims, causes of action, costs,
charges and expenses,  including attorney's fees and costs, which may be imposed
upon or incurred by or asserted  against Lessor by reason of the following:  (i)
any accident,  injury or damage to any person or property  occurring on or about
the Premises or any portion  thereof;  (ii) any use,  nonuse or condition of the
Premises or any portion  thereof;  or (iii) any failure on the part of Lessee to
perform or comply with any of the provisions of this Lease;  except that none of
the foregoing shall apply to Lessor's  intentional conduct or active negligence.
In case any action or proceeding is brought against Lessor by reason of any such
occurrence,  Lessee, upon Lessor's request and at Lessee's expense,  will resist
and defend  such  action or  proceeding,  or cause the same to be  resisted  and
defended  either by counsel  designated  by Lessee or, where such  occurrence is
covered by liability insurance, by counsel designated by the insurer.

POLICIES.  Lessee at its expense,  shall at all times  during the term,  and any
extension thereof,  maintain in full force a policy or policies of comprehensive
liability  insurance,   including  property  damage,  written  by  one  or  more
responsible insurance companies licensed to do business in the State of Arizona,
and each policy shall be written on an occurrence basis, which insure Lessee and
Lessor  against  liability  for injury to persons and  property and death of any
person or persons  occurring  in, on or about the  Premises,  or arising  out of
Lessee's  maintenance,  use and  occupancy  thereof.  All public  liability  and
personal  property damage policies shall contain a provision that Lessor,  named
as an additional  insured,  shall be entitled to recovery under the policies for
any loss  occasioned to it, its servants,  agents and employees by reason of the
negligence  or  wrongdoing  of Lessee,  its  servants,  agents and  employees or
sublessees.  Further,  the policies shall provide that their coverage is primary
over any other insurance coverage available to the Lessor, its servants,  agents
and  employees.  All  policies of  insurance  delivered to Lessor must contain a
provision  that the company  writing the policy shall give to Lessor thirty (30)
days notice in writing in advance of any cancellation or lapse, or the effective
date of any reduction in the amounts of insurance.

COVERAGE.  The  insurance as  described  in  Paragraph  11.2 herein shall afford
protection not less than  $1,000,000 in combined single limits for bodily injury
and property damage and each liability  policy shall be written on an occurrence
basis;  provided,  however,  that the minimum  amount of coverage  for the above
shall be adjusted upward on Lessor's  reasonable request so that such respective
minimum  amounts of coverage shall not be less than the amounts then required by
statute or  generally  carried on similarly  improved  real estate in the County
herein described, whichever is greater. If at any time Lessee fails, neglects or
refuses to cause such insurance to be provided and maintained,  then Lessor may,
at its election,  procure or renew such  insurance and any amounts paid therefor
by Lessor shall be an additional amount due at the next rent day.

BLANKET  POLICY.  Notwithstanding  anything  to the  contrary  in this  Article,
Lessee's  obligations  to carry the insurance  provided for herein may be bought
within the  coverage of a  so-called  blanket  policy or  policies of  insurance
maintained by Lessee, provided,  however, that the coverage afforded Lessor will
not be reduced by reason of the use of such blanket policy of insurance.

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COPIES. Copies of policies required by this Article shall be delivered to Lessor
prior to Lessee's  occupancy of the Parcel.  Lessee shall provide  Lessor with a
current  certificate  of  insurance  and at Lessor's  request  provide  proof of
payment.

                                     DAMAGE

LESSEE'S OBLIGATIONS. If the Parcel or any building or other Improvement located
thereon  are  damaged or  destroyed  during the term of this  Lease,  Lessee may
arrange at its expense for the repair,  restoration  and  reconstruction  of the
same substantially to its former condition, but such damage or destruction shall
not  terminate  this Lease or  relieve  Lessee  from its duties and  liabilities
hereunder.

                      TRADE FIXTURES AND PERSONAL PROPERTY

LESSEE'S  PROPERTY.  Any  trade  fixtures,  signs,  store  equipment,  and other
personal  property  installed in or on the  Premises by Lessee or any  sublessee
shall remain their  property  subject to the  provisions  of this Lease.  Lessee
shall have the right,  provided it is not then in breach hereunder,  at any time
to remove any and all of the same, subject to the restrictions of Article 6.5.

                      ASSIGNMENT SUBLETTING AND ENCUMBRANCE

PRIOR  APPROVAL  REQUIRED.   Lessee  shall not assign this Lease or any interest
therein,  nor shall Lessee  sublease any portion or all of the Premises  without
obtaining  Lessor's  prior written  approval.  In no event may this Lease or any
interest  therein be assigned or sublet unless Lessee is in full compliance with
this Lease.  Lessee shall not enter into a contract of sale,  mortgage,  lien or
other encumbrance affecting this Lease unless a copy is filed with Lessor.

CONSENT  REQUIRED.   An  assignment  of this Lease shall not be made without the
consent of all the  parties.  Lessee may assign all or a portion of the Premises
as allowed by the terms of this Article  provided  Lessee shall assign  Lessee's
entire interest in that portion of the Premises.

PURPOSE.  There shall be no assignment or sublease made except to an assignee or
sublessee that will use the Premises for the purpose(s) described herein.

PRIOR EXPERIENCE.  The proposed assignee or Sublessee, shall demonstrate, to the
lessors  satisfaction,  experience  in the  management  and/or  operation of the
business for which the purpose of this lease is issued.

LESSEE PRIMARILY RESPONSIBLE.  Notwithstanding any sublease, Lessee shall remain
responsible to the Lessor for the performance of the provisions of this Lease.

ENTIRE INTEREST.  The assignment of Lessee's entire interest in a portion of the
Premises  shall not  relieve  Lessee  of its  responsibility  to Lessor  for the
performance of the provisions of this Lease as it relates to that portion of the
Premises not transferred by the assignment.

                                 EMINENT DOMAIN

EXPIRATION.  If at any time  during the  duration of this Lease the whole or any
part of the  Parcel  is taken by direct  sale,  lease,  institutional  taking or
acquisition in any manner through condemnation proceedings or otherwise, for any
quasi-public or public purpose by any person, private or public corporation,  or
any governmental agency having authority to exercise the power of eminent domain
or condemnation pursuant to any law, general,  special or otherwise,  this Lease
shall  expire  on the date  when the  Parcel  are  taken or  acquired  except as
otherwise provided.

PARTIAL  TAKING;  DAMAGES;  RENT.  In the event of a partial  taking  and if the
Lessor  determines  that it is in the best interest of the Trust,  the Lease may
continue in full force and effect for that  portion of the Parcel not taken.  As
against Lessor,  Lessee and any sublessee shall not have a compensable  right or
interest in the real property being taken and shall have no compensable right or
interest in severance  damages  which may accrue to the  remainder of the Parcel
not taken,  nor shall  Lessee or any  sublessee  have any  compensable  right or
interest in the remaining term of this  Leasehold or any renewal.  Rent shall be

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apportioned as of the day of such taking.  Lessor shall be entitled to and shall
receive any awards,  including  severance damage to remaining state lands,  that
may be made for any taking concerning the Parcel.

LESSEE'S  RIGHTS TO AWARD.   In the event of any taking,  Lessee  shall have the
right to receive any and all awards or payments  made for any  building or other
Improvements on the lands fully placed on the Parcel by Lessee with the Lessor's
prior written approval.

                            BANKRUPTCY AND INSOLVENCY

LESSOR'S RIGHTS.  If (i) all or substantially  all of Lessee's assets are placed
in the hands of a  receiver,  and such  receivership  continues  for a period of
thirty (30) days; or (ii) should  Lessee make an  assignment  for the benefit of
creditors; or (iii) should Lessee institute any proceedings under any present or
future  provisions of the Bankruptcy  Code or under a similar law wherein Lessee
seeks to be  adjudicated  as bankrupt,  or to be discharged of its debts,  or to
effect a plan of liquidation,  composition or reorganization; or (iv) should any
involuntary  proceedings be filed against Lessee under such  bankruptcy laws and
not be dismissed or otherwise  removed within ninety (90) days after its filing,
then  this  Lease  shall  not  become  an  asset in any of such  proceedings  or
assignment.  In addition  to all other  rights and  remedies of Lessor  provided
hereunder  or by law,  Lessor  shall have the right to declare  the term of this
Lease at an end and to re-enter the  Premises,  take  possession  and remove all
persons,  and  Lessee  shall have no further  claim on the  Premises  under this
Lease.

                      LESSEE DEFAULTS AND LESSOR'S REMEDIES

CONDITIONS.  All of the provisions of this Lease are  conditions.  Breach of any
one of these  conditions by Lessee or any sublessee shall be sufficient  grounds
for  cancellation  of this Lease by Lessor,  subject to the other  provisions of
this Article.

CANCELLATION.  If Lessee fails to keep any  provision of this Lease,  Lessor may
cancel this Lease and  declare  Lessee's  interest  forfeited.  Lessor  shall be
forever wholly  absolved from liability for damages which might result to Lessee
or any  sublessee  on account of this Lease  having been  canceled or  forfeited
prior to the  expiration  of the full term,  subject to the other  provisions of
this Article.

BREACH.   In the event of a breach of this Lease which is not curable or remains
uncured after thirty (30) days notice by Lessor of failure to pay rent, taxes or
other  assessments,  and forty-five  (45) days from the receipt of the notice to
cure any other curable default, to Lessee of the breach, Lessor may, in addition
to all other remedies which may be available to Lessor in law or in equity,  (i)
enter and  repossess  the Premises or any part  thereof,  expelling and removing
therefrom all persons and property  (either  holding such  property  pursuant to
Lessor's  landlord's  lien,  or  storing it at  Lessee's  risk and  expense,  or
otherwise disposing  thereof),  as to which Lessor shall not be liable to Lessee
or any sublessee for any claim for damage or loss which may thereby  occur,  and
(ii) either (a) terminate this Lease,  holding Lessee liable for damages for its
breach or (b) treat the Lease as having  been  breached  anticipatorily  and the
Premises  abandoned  by Lessee  without  thereby  altering  Lessee's  continuing
obligations  for  the  payment  of rent  and  the  performance  of  those  Lease
provisions to be performed by Lessee during the lease term.

LIQUIDATED DAMAGES. If Lessor terminates this Lease for Lessee's breach,  Lessee
shall be liable to  Lessor,  as  liquidated  damages  and not as a  penalty,  an
amount,  which at the time of such  termination,  represents the amount equal to
the rent for the previous  lease year.  If  termination  is made at such time as
Lessee is current in annual rent  payments,  Lessor  shall return to Lessee that
portion  of the annual  rent  after  deducting  the  above-described  liquidated
damages. The liquidated damages will compensate Lessor for the loss of rent from
the parcel due to the default and costs incurred to re-lease the Premises.

EXPENSES.  Lessee shall pay to Lessor upon demand all costs,  expenses and fees,
including  attorneys'  fees,  which  Lessor  may  incur in  connection  with the
exercise  of any  remedies  on  account of or in  connection  with any breach by
Lessee,  plus  interest on all amounts due from Lessee to Lessor at the rate set
by the Arizona State Treasurer, according to law.

REMEDIES  NOT  EXCLUSIVE.  The  remedies  herein  granted to Lessor shall not be
exclusive  or mutually  exclusive  and Lessor  shall have such other  additional
remedies  against  Lessee as may be  permitted  in law or in equity at any time;
provided, however, Lessor shall not be relieved of any obligation imposed by law
for mitigation of damages, nor shall Lessor recover any duplicative damages, and

                                       7
<PAGE>
Lessee shall be reimbursed by any subsequent Lessee or purchaser of the Premises
for any  amount by which  the value of  Lessee's  Improvements  exceed  Lessor's
damages,  notwithstanding any other provision in this Lease to the contrary.  In
particular,  any  exercise  of a right of  termination  by  Lessor  shall not be
construed  to end or  discharge  any right of Lessor to  damages  on  account of
Lessee's breach.

NO WAIVER. No waiver of breach of any provision of this Lease shall be construed
as a waiver of succeeding breach of the same or other provisions.

                                  HOLDING OVER

PROHIBITION.   There shall not be any-holding  over by Lessee or any assignee or
sublessee,  upon the expiration or  cancellation  of this Lease without  lessors
prior written consent. If there be any holding over by Lessee or any assignee or
sublessee,  the holding over shall give rise to a tenancy at the  sufferance  of
Lessor upon the same terms and conditions as are provided for herein with a rent
for the  holdover  period  commensurate  with,  but in no event less  than,  the
previous year's rent.

RENEWAL  APPLICATION.   An application  to renew the lease,  properly and timely
filed, may give rise to a period of interim  occupancy if the term of this lease
expires prior to the  execution of a new lease or the denial of the  application
to renew.

INTERIM  OCCUPANCY  CONDITIONS.  On or before the expiration date of this lease,
and annually thereafter,  rent for the period of interim occupancy shall be paid
on an annual basis.  Unless  advised in writing by lessor to the  contrary,  all
other terms and conditions of this lease shall remain in full force and effect.

                                  ENCUMBRANCES

RIGHTS.   Lessee,  and its successors and assigns,  shall have the  unrestricted
right to mortgage and pledge this Lease, subject, however, to the limitations of
this  section.  Any such  mortgage/deed  of trust or pledge shall be subject and
subordinate  to the  rights  of  Lessor,  and  nothing  in this  Lease  shall be
construed to impose upon the Lessor any  obligation or liability with respect to
the payment of any  indebtedness  to any holder of a  mortgage/deed  of trust or
pledge of this Lease.

TERM.  The term of any  leasehold  mortgage or deed of trust shall not be longer
than the remaining lease term.

REGISTRATION.   No holder of a  mortgage/deed  of trust on this Lease shall have
the rights or benefits provided by this Article nor shall the provisions of this
Article be binding  upon  Lessor,  unless and until the name and  address of the
holder of the mortgage/deed of trust is registered with Lessor.

OF RECORD.  If Lessee,  or Lessee's  successors or assigns,  shall mortgage this
Lease in compliance  with  provisions of this Article,  then so long as any such
mortgage/deed of trust remains  unsatisfied of record, the following  provisions
shall apply:

                  (a) Lessor,  upon giving Lessee any notice of default,  or any
other notice under the  provisions of or with respect to this Lease,  shall also
give a copy of such notice to the registered  holder of a mortgage/deed of trust
on this Lease.

                  (b) Any holder of such  mortgage/deed of trust, in case Lessee
shall have a monetary default hereunder, shall, within thirty (30) days from the
receipt of notice have the right to cure such  default,  or cause the same to be
cured,  and Lessor shall accept such  performance  by or at the instance of such
holder  as if the  same had been  made by  Lessee,  all as  provided  in  A.R.S.
ss.37-289 (A)(2).

                  (c) Nothing herein contained shall preclude Lessor, subject to
the  provisions of this Article,  from  exercising  any rights or remedies under
this Lease with  respect to any other  default by Lessee  during the pendency of
any foreclosure or trustee's sale proceedings.

                  (d) Any holder of such  mortgage/deed of trust, in case Lessee
shall have a default other than a default  involving  failure to pay rent, taxes
or other assessments, shall have forty-five (45) days from the receipt of notice
to cure any curable default.

                                       8
<PAGE>
                  (e) If a  default  is not cured  within  the  applicable  time
period, the Lessor may make an order canceling the Lease. The cancellation order
shall not become final if the holder of a  mortgage/deed  of trust files written
notice with Lessor of its intent to proceed  with a  foreclosure  action  within
sixty (60) days from the issuance of the  cancellation  order and  commences the
foreclosure  action in court and  provides  Lessor with a certified  copy of the
complaint  within  one  hundred  twenty  (120)  days  of  the  issuance  of  the
cancellation  order.  Upon foreclosure of the mortgage/deed of trust, the Lessor
shall  assign  this Lease to the holder of the  mortgage/deed  of trust,  if all
taxes, rent and assessment payments are current.

                  (f) No  failure  on the part of  Lessor  to give the  required
notice of default to the holder of a  mortgage/deed  of trust  shall be deemed a
waiver and Lessor's  continuing right to give notice of the default continues so
long as it remains uncured.

                  (g) Any  notice or other  communication  which the holder of a
mortgage/deed  of trust on this Lease  shall  desire or is  required  to give or
serve upon  Lessor  shall be deemed to have been duly given or served if sent in
duplicate  by  registered  or  certified  mail  addressed  to Lessor at Lessor's
address  as set  forth  in this  Lease  or at such  other  address  as  shall be
designated  by Lessor by notice in writing given to such holder by registered or
certified mail, postage pre-paid.

                  (h) Anything herein contained to the contrary notwithstanding,
the provisions of this Article shall inure only to the benefit of the holders of
leasehold mortgages which term may also be read to mean deed of trust.

                  (i) Nothing herein  contained  shall be deemed to obligate the
Lessor to deliver  possession  of the demised  Parcel to the assignee  under any
assignment entered into pursuant to paragraph (e) of this section.

                  (j)  No  agreement   between  Lessor  and  Lessee   modifying,
canceling  or  surrendering  this Lease  shall be  effective  without  the prior
written consent of the registered mortgagees and lienholders.

                  (k) No union of the interest of Lessor and Lessee shall result
in a merger of this Lease in the fee interest.

CASUAL LOSS. A standard  Mortgage Clause naming each leasehold  mortgagee may be
added  to any and all  insurance  policies  required  to be  carried  by  Lessee
hereunder  on  condition  that the  insurance  proceeds are to be applied in the
manner  that is not in  derogation  of the  Lessor's  rights;  except  that  the
leasehold mortgage may provide a manner for the disposition of such proceeds, if
any,  otherwise  payable directly to the Lessee (but not such proceeds,  if any,
payable jointly to the Lessor and the Lessee) pursuant to the provisions of this
Lease.

                              ENVIRONMENTAL MATTERS

DEFINITION OF REGULATED  SUBSTANCES AND ENVIRONMENTAL LAWS. For purposes of this
Lease,  the term  "Environmental  Laws" shall  include but not be limited to any
relevant federal, state or local environmental laws, and the regulations,  rules
and ordinances,  relating to environmental matters, and publications promulgated
pursuant  to the local,  state,  and federal  laws and any rules or  regulations
relating to  environmental  matters.  For the  purpose of this  Lease,  the term
"Regulated Substances" shall include but not be limited to substances defined as
"regulated  substance," "solid waste," "hazardous waste," "hazardous materials,"
"hazardous   substances,"   "toxic   materials,"  "toxic   substances,"   "inert
materials,"  "pollutants,"  "toxic  pollutants,"   "herbicides,"   "fungicides,"
"rodenticides,"   "insecticides,"   "contaminants,"   "pesticides,"  "asbestos,"
"environmental  nuisance,"  "criminal  littering,"  or  "petroleum  products" as
defined in Environmental Laws.

COMPLIANCE  WITH  ENVIRONMENTAL  LAWS.  Lessee  shall  strictly  comply with all
Environmental Laws, including,  without limitation,  water quality, air quality,
and handling,  transportation,  storage, treatment, or disposal of any Regulated
Substance  on,  under,  or from the Premises.  Without  limiting the  foregoing,
compliance includes that Lessee shall: (1) comply with all reporting obligations
imposed under  Environmental  Laws; (2) obtain and maintain all permits required
by Environmental Laws, and provide a copy to the Lessor within ten business days
of receipt of the lease;  (3) provide  copies of all  documentation  required by

                                       9
<PAGE>
Environmental  Laws to the Lessor within ten business days of Lessee's submittal
and/or receipt of the documentation;  (4) during the term of the Lease,  provide
copies  of all  information  it  receives  or  obtains  regarding  any  and  all
environmental  matters  relating to the  Premises,  including but not limited to
environmental audits relating to the Premises regardless of the reason for which
the  information  was obtained or whether or not the information was required by
Environmental Laws; (5) prevent treatment, storage, disposal, handling or use of
any Regulated Substances within the Premises without prior written authorization
from the Lessor.

DESIGNATED COMPLIANCE OFFICER.  Lessee at all times shall employ or designate an
existing employee (the "Designated  Compliance  Officer") who is responsible for
knowing all  Environmental  Laws  affecting  Lessee and  Lessee's  business  and
monitoring  Lessee's continued  compliance with applicable  Environmental  Laws.
Upon request by the Lessor,  Lessee shall make the Designated Compliance Officer
available to discuss Lessee's compliance, answer any questions, and provide such
reports and confirming information as the Lessor may reasonably request.

AUDIT.   At  any  time,  the  Lessor  may  request  the  Lessee  to  provide  an
environmental   audit  of  the  Premises  performed  by  an  Arizona  registered
professional engineer or an Arizona registered  geologist.  Lessee shall pay the
entire cost of the audit.

ENVIRONMENTAL  ASSESSMENT. At any time, during the term of the Lease, the Lessor
may  require  Lessee  to  obtain  one Phase I  environmental  assessment  of the
Premises performed by an Arizona registered  professional engineer or an Arizona
registered geologist. If based upon the Phase I environmental  assessment or its
own independent  investigation,  the Lessor identifies any possible violation of
Environmental  Laws or the terms of this Lease, the Lessor may require Lessee to
conduct additional environmental assessments as the Lessor deems appropriate for
the purpose of ensuring that the Premises are in compliance  with  Environmental
Laws. The Phase I assessment,  or any other  assessment  required by the Lessor,
shall be obtained  for the benefit of both Lessee and the Lessor.  A copy of the
Phase I report shall be provided both to Lessee and the Lessor.  The Lessor,  in
its  sole  discretion,  shall  have the  right  to  require  Lessee  to  perform
additional  assessments  of  any  damage  to  the  Premises  arising  out of any
violations  of  Environmental  Laws.  If Lessee fails to obtain any  assessments
required  by the  Lessor,  Lessee  shall  pay the  entire  costs  of any and all
assessments   required  by  the  Lessor,   notwithstanding   the  expiration  or
termination of the Lease.

INDEMNITY FOR ENVIRONMENTAL DAMAGE.  Lessee shall defend, indemnify and hold the
Lessor  harmless from and against any and all  liability,  obligations,  losses,
damages, penalties,  claims, environmental response and cleanup costs and fines,
and actions, suits, costs, taxes, charges, expenses and disbursements, including
legal fees and expenses of whatever  kind or nature  (collectively,  "claims" or
"damages")  imposed on,  incurred by, or reserved  against the Lessor in any way
relating to or arising out of any  non-compliance  with any Environmental  Laws,
the existence or presence of any  Regulated  Substance,  on, under,  or from the
Premises, and any claims or damages in any way relating to or arising out of the
removal, treatment,  storage, disposition,  mitigation,  cleanup or remedying of
any  Regulated  Substance  on,  under,  or from the Premises by the Lessee,  its
agents, contractors, or subcontractors.

SCOPE OF INDEMNITY.  This indemnity shall include, without limitation, claims or
damages arising out of any and all violations of  Environmental  Laws regardless
of any real or alleged fault, negligence,  willful misconduct, gross negligence,
breach of warranty,  or strict  liability on the part of any of the indemnitees.
This indemnity  shall survive the expiration or termination of this Lease and/or
transfer of all or any portion of the Premises and shall be governed by the laws
of the State of Arizona.

LESSEE'S  PARTICIPATION  IN THE  DEFENSE.   In the event any  action or claim is
brought  or  asserted  against  the  Lessor  which is or may be  covered by this
indemnity,  the Lessee  shall fully  participate,  at Lessee's  expense,  in the
defense of the action or claim  including but not limited to the following:  (1)
the  conduct  of any  required  cleanup,  removal  or  remedial  actions  and/or
negotiations,  (2) the conduct of any proceedings,  hearings, and/or litigation,
and (3) the  negotiation and  finalization  of any agreement or settlement.  The
Lessor  shall  retain  the  right to make all  final  decisions  concerning  the
defense.  The Lessee's  obligations  to  participate  in the defense  under this
Section shall survive the expiration or termination of the Lease.

RESTORATION.   Prior to the  termination of the Lease,  Lessee shall restore the
Parcel  by  removing  any  and  all  Regulated  Substances.   In  addition,  the
restoration  shall  include,  but not be  limited  to,  removal of all waste and
debris  deposited  by the  Lessee.  If the Parcel or any  portions  thereof  are

                                       10
<PAGE>
damaged or destroyed  from the existence or presence of any Regulated  Substance
or if the Parcel or any  portions  thereof are damaged or  destroyed  in any way
relating  to or arising out of the  removal,  treatment,  storage,  disposition,
mitigation,  cleanup or remedying of any Regulated  Substance,  the Lessee shall
arrange, at its expense, for the repair, removal, remediation,  restoration, and
reconstruction to the Parcel to the original condition existing on the date that
the Lessee first occupied the Parcel,  to the satisfaction of the Lessor. In any
event,  any damage,  destruction,  or  restoration  by Lessee  shall not relieve
Lessee from its  obligations  and  liabilities  under this Lease.  The  Lessee's
restoration  obligations  under this Section shall survive the expiration or the
termination of the Lease.

                                  MISCELLANEOUS

RESERVATION. This Lease grants Lessee only those rights expressly granted herein
and Lessor retains and reserves all other rights in the Parcel.

BINDING EFFECT.  Each provision of this Lease shall extend to, be binding on and
inure to the  benefit  of not only  Lessee  but  each of its  respective  heirs,
administrators,  executors,  successors  and assigns.  When reference is made in
this Lease to either  "Lessor" or  "Lessee",  the  reference  shall be deemed to
include, wherever applicable, the heirs, administrators,  executors,  successors
and  assigns of the  parties.  This Lease shall be binding  upon all  subsequent
owners  of the  Premises,  and of any  interest  or  estate  therein  or lien or
encumbrance thereon.

NO  PARTNERSHIP.   The relationship of the parties is that of Lessor and Lessee,
and it is expressly understood and agreed that Lessor does not in any way or for
any purpose  become a partner of Lessee or a joint  venturer  with Lessee in the
conduct of  Lessee's  business  or  otherwise,  and that the  provisions  of any
agreement  between  Lessor and Lessee  relating  to rent are made solely for the
purpose of  providing a method by which  rental  payments are to be measured and
ascertained.

QUITCLAIM UPON TERMINATION.   After the expiration or termination of this Lease,
Lessee shall execute,  acknowledge and deliver to Lessor within thirty (30) days
after  written  demand from Lessor to Lessee,  any document  requested by Lessor
quitclaiming  any right,  title or interest in the  Leasehold to Lessor or other
document  required by any  reputable  title  company to remove the cloud of this
Lease from the Premises.

TITLE. The titles to the Articles of this Lease are not a part of this Lease and
shall have no effect upon the construction or  interpretation of any part of the
Lease.

FRAUD OR  MISREPRESENTATION.   If during the term of this Lease it appears  that
there has been fraud or  collusion  on the part of Lessee to obtain or hold this
Lease at a rent less than its value,  or through  Lessee's  fraud or collusion a
former  Lessee of the Parcel has been allowed to escape  payment of the rent due
for former  Lessee's  use of the  Parcel,  Lessor may cancel  this Lease and the
Parcel shall  immediately  revert to Lessor. If during the term of this Lease it
appears that Lessee has misrepresented,  by implication,  willful concealment or
otherwise,  (i) the value of the  Improvements  placed on the Parcel by a former
Lessee  or any  other  person;  or (ii) the  Lessee  not  being the owner of the
Improvements  placed on the Parcel by a former Lessee or any other person at the
commencement  of the Lease  term,  Lessor may  cancel  this Lease and the Parcel
shall immediately revert to Lessor.

NOTICES.   Any notice to be given or other document to be delivered to Lessee or
Lessor  hereunder  shall be in  writing  and  delivered  to  Lessee or Lessor by
depositing  same in the United States Mail,  with prepaid  postage thereon fully
prepaid and addressed as follows:

         TO Lessor:                 Arizona State Land Department
                                    1616 West Adams Street - First Floor
                                    Phoenix, Arizona  85007

         TO Lessee:                 Address of Record

Lessee  must  notify  Lessor by written  notice of any change in address  within
thirty (30) days. Lessor may, by written notice to Lessee, designate a different
address.

LESSOR'S  TITLE.  If it is determined that Lessor has failed to receive title to
any of the Parcel,  the Lease is null and void insofar as it relates to the land
to which  Lessor  has  failed to receive  title.  Lessor  shall not be liable to

                                       11
<PAGE>
Lessee or any  assignee or sublessee  for any damages that result from  Lessor's
failure to receive title.

LESSOR'S LIEN. Lessee grants to Lessor a lien superior to all others in Lessee's
interest in Improvements and valuable materials located on the Premises.  Lessor
has the right to recover any rent arrearage and  outstanding  liabilities of the
Lessee from the Lessee's interest in the Improvements or valuable materials.

NO PROMISE TO SELL.   Lessee  acknowledges that it has not been induced to enter
into this Lease by any promise  from  Lessor or any of its  agents,  servants or
employees that the Parcel will be offered for sale at any time.

CANCELLATION.   Lessor  may  cancel  this  Lease,  without  penalty  or  further
obligation  if,  within three (3) years of execution,  any person  significantly
involved in initiating, negotiating, securing, drafting or creating the Lease on
behalf of Lessor or any of its departments or agencies is, at any time while the
Lease or any extension of the Lease is in effect, an employee of any other party
to the Lease in any  capacity,  or a consultant  to any other party of the Lease
with  respect to the  subject  matter of the Lease.  The  cancellation  shall be
effective when written notice from the Governor is received by all other parties
to the Lease unless the notice specifies a later time.

APPLICABLE  LAW. This Lease is subject to all current and  subsequently  enacted
rules,  regulations  and laws  applicable  to State  lands and to the rights and
obligations of Lessors and Lessees.  No provision of this Lease shall create any
vested right in Lessee except as otherwise specifically provided in this Lease.

AMENDMENT.  This Lease may be amended only in writing and upon  agreement by all
parties.

PROHIBITED  USES.  Lessee agrees and  understands  that all uses of the land not
expressly authorized or permitted by this Lease are expressly prohibited.

ATTORNEYS'  FEES.  In any action arising out of this Lease, the prevailing party
is entitled to recover  reasonable  attorneys' fees and costs in addition to the
amount of any judgment,  costs and other expenses as determined by the court. In
the case of the Lessor,  reasonable  attorneys'  fees shall be calculated at the
reasonable  market value for such  services  when  rendered by private  counsel,
notwithstanding  that it is represented by the Arizona Attorney General's Office
or other salaried counsel.

EXECUTION.  This document is submitted for examination and shall have no binding
effect on the parties unless and until  executed by the Lessor (after  execution
by the Lessee),  and a fully executed copy is delivered to the Lessee.  Upon the
execution hereof, at the request of Lessee,  the parties also shall execute,  so
that Lessee may cause it to be recorded, a short form of this Lease.

ARBITRATION.  In the event of a dispute between the parties to this Lease, it is
agreed to use arbitration to resolve the dispute but only to the extent required
by A.R.S. ss. 12-1518;  and in no event shall arbitration be employed to resolve
a dispute which is otherwise subject to administrative review by the Department.

                                       12
<PAGE>
IN WITNESS  HEREOF,  the parties hereto have signed this Lease effective the day
and year set forth below.

STATE OF ARIZONA, LESSOR
Arizona State Land Commissioner         ----------------------------------------
                                        LESSEE                              DATE
By:
   --------------------------------     ----------------------------------------
                               DATE     LESSEE                              DATE

             (SEAL)                     ----------------------------------------
                                        LESSEE                              DATE

                                        ----------------------------------------
                                        ADDRESS

                                        ----------------------------------------
                                        CITY                     STATE      ZIP
<PAGE>
                                   EXHIBIT "A"

STATE OF ARIZONA LAND DEPARTMENT                           RUN DATE:  9-sep-1997
1616 W. ADAMS                                              RUN TIME:  11:21:57
PHOENIX, AZ  85007

___KE LEASE NUMBER:        003-000824-00-001
AMENDMENT NUMBER:          1

LAND #                     LEGAL DESCRIPTION         C.C.                ACREAGE
---------------------------------------------        ---------------------------
---------------------------------------------        ---------------------------
09.0-S-09.0-E-11-11-053-1003   M&B IN S2SW S OF HWY 84 FRONTAGE      0.04.500
                               ROAD

-----------------------------------------------
-----------------------------------------------   ------------------------------
                                      TOTALS:        0.0               4.500COMMISSIONER OF PUBLIC LANDS
                          NEW MEXICO STATE LAND OFFICE
                               STATE OF NEW MEXICO

                                COMMERCIAL LEASE

                                                               LEASE NO. BL-0599

         THIS LEASE is entered  into by and between the  Commissioner  of Public
Lands  ("Lessor") and BOWLIN'S INC., OF 136 LOUISIANA,  N.E.,  ALBUQUERQUE,  NEW
MEXICO 87108, ("Lessee") and made effective this 16th day of March, 2000.

1.   DEFINITIONS.

     A. ANNUAL ADJUSTMENTS refers to the annual increase in rent consisting of a
fixed  increase  of $50.00 in the base rent from the first to second  years;  an
increase  of the second  year rent amount by the same amount for the third year;
and so on.

     B.  APPROVAL  refers to written  approval and includes  only that which has
been expressly approved and not anything further which might be implied.

     C.  ASSIGNMENT  occurs  when a Lessee's  right,  title,  and  interest in a
Commercial Lease is directly or indirectly  transferred to another by any means,
including, but not limited to:

     (1) an express  conveyance or other  disposition of the Lessee's  interest;
or,

     (2) the transfer of the Lessee's  interest by operation of law,  including,
but not limited to, a merger, consolidation, or the like; or,

     (3) the transfer of the Lessee's interest,  including,  but not limited to,
transfer of a stock or partnership interest; or,

     (4) the  mortgage  or  encumbrance  of the Lease  other than by  collateral
assignment as permitted under applicable State Land Office Rules.

     D. BASE RENT is the  initial  annual  rental  figure  given for any  rental
amount due. This amount shall be used from the  Effective  Date of this Lease to
calculate Annual Adjustments.

     E.  COLLATERAL   ASSIGNMENT   occurs  when  a  commercial  Lessee  makes  a
conditional  assignment to a creditor of the Lessee's personal property interest
in the Lease and in such  improvements  as are  approved  by the  Lessor,  which
assignment is intended to serve as collateral for the Lessee's debt.

     F.  EFFECTIVE  DATE is the date upon which this Lease  becomes  binding and
effective,  and is the date shown in the opening paragraph above,  regardless of
the dates of  signatures,  which  reflects the agreement of the parties that the
term of this lease commences on that particular date.

     G.  HAZARDOUS  MATERIAL  includes,  but is not limited  to, oil,  petroleum
products,  explosives,  PCBs, asbestos,  formaldehyde,  radioactive materials or
waste, or other  hazardous,  toxic, or contaminated  materials,  substances,  or
wastes, including without limitation any substance,  waste, or material which is
defined  or listed  as  "hazardous  substance,"  "hazardous  water,"  "hazardous
material",  "toxic substances", or "regulated substances", or which is otherwise
controlled or regulated because of its toxicity, infectiousness,  radioactivity,
explosiveness,  ignitability,  corrosiveness,  or reactivity, under any federal,
state,  or  local  laws,  ordinances,  or  regulations  relating  to  landfills,
industrial  hygiene,   environmental  protection,   or  the  manufacture,   use,
generation, presence, analysis, transportation, handling, storage, treatment, or
disposal of any such material, substance, or waste.
<PAGE>
     H.  HOLDING  OVER  shall  mean,  upon  the  expiration,   termination,   or
cancellation  of this Lease,  any act or conduct of Lessee,  including,  but not
limited to, the unapproved entry upon, occupancy,  or use, whether continuous or
not, of all or any part of the Lease Premises by Lessee, the Lessee's agents, or
by any of Lessee's improvements if unapproved or required or ordered removed.

     I. IMPROVEMENTS means any of the following:

          (1)  any item of tangible property  developed,  placed, or constructed
               by a  Lessee  on  Trust  lands  including,  but not  limited  to,
               buildings, roadways, and permanent equipment and fixtures; and,

          (2)  any rights or privileges obtained or developed in connection with
               a Lessee's  use of Trust  lands  including,  but not  limited to,
               development rights, approvals, and water rights.

     J. IMPROVEMENT  VALUE CREDIT is a credit approved by the Commissioner to be
given to a Lessee at an  auction  of the  lease,  or to be paid to a Lessee by a
subsequent  Lessee,  purchaser,  or other  successor in interest  other than the
Lessor, for the value of designated improvements. Valuation of such improvements
shall be determined at the former  Lessee's  expense by a  state-certified  real
estate  appraiser  who,  absent  any  other  direction  from the  Lessor,  shall
determine the market value of such  improvements.  The Lessor reserves the right
to  modify  or  reject  any  such  appraisal,  and the  amount,  if any,  of any
improvement value credit shall rest in the Lessor's final discretion.

     K. LEASE  ANNIVERSARY  means an  anniversary  of the Effective Date of this
Lease.

     L. LEASE PREMISES means that tract of real property located in Luna County,
New Mexico, being more particularly  described in Exhibit A, attached hereto and
incorporated herein.

     M.  MONTHLY;  QUARTERLY;  ANNUAL.  "Monthly"  refers  to  calendar  months;
"Quarterly"  refers to calendar  quarters;  "Annual"  means a calendar year. Any
payment, report, or adjustment due on a monthly, quarterly, or annual basis, and
which  comes due in less  than a  calendar  month,  quarter,  or year,  shall be
adjusted or prorated  so that it may be  rendered  on the nearest  relevant  due
date.

     N. PERMIT refers to the Lessee's  grant of permissive use of all or part of
the Trust lands under  Lease by means  including,  but not limited to, a permit,
license,  franchise,  or concession.  A  lessee/permittor  shall have continuing
primary liability for Lease performance.

     O. RENT is the amount due  annually as Base Rent under this Lease,  and all
such other  sums as may be deemed  rent  under the terms of this  Lease,  all of
which rental amounts shall be subject to annual adjustments and give rise to the
Lessor's statutory lien.

     P. SUBLEASE  refers to a transaction  or  arrangement  whereby a commercial
Lessee  transfers to another  either the use or possession of all or part of the
Lease  Premises,  or the  management  and  control  of  improvements,  fixtures,
furnishings,  or equipment,  or permitted uses located on the Lease Premises.  A
sublease is not created when the Lessee  retains  possession  and control of the
Lease  Premises  and manages and controls  temporary  or moveable  improvements,
fixtures, furnishings, or equipment located on the Lease Premises, but not owned
by the Lessee. A  lessee/sublessor  remains primarily liable for the performance
of all Lease terms.

     Q. TRUST refers to the Trust  established  by the Enabling Act (Act of June
20, 1910, 36 Statutes at Large 557,  Chapter 310) and related statutes and laws,
pursuant to which the Commissioner of Public Lands holds and manages lands which
include the Lease Premises.

2.   LEASE.

     A. For  consideration,  Lessor leases to Lessee that tract of land, located
in Luna County, New Mexico (the "Lease  Premises"),  and described in Exhibit A,
attached to and incorporated  into this Lease,  subject to all matters of record
at the State Land Office or in the records of Luna County.

                                       2
<PAGE>
     B. This Commercial Lease is not subject to public use under a Game and Fish
Easement  or  a  Recreational  Access  permit,  withdrawal  by  the  Lessor,  or
rights-of-way,  other than those currently of record or those retained under the
mineral reservation described in Clause 9., below.

     C. If more than one person or entity is  denominated  as  Lessee,  all such
persons or entities shall be jointly and severally liable under this Lease.

     D.  This  Lease  includes,  as  additional  terms,  the  provisions  of all
applicable State Land Office Rules.

3.   TERM; RENEWAL.

     A. The term of this  Lease  shall  begin on the  Effective  Date and end at
midnight,  exactly five (5) years later on March 15, 2005, (the "Term"). Nothing
in this Lease shall limit the Lessor's right to sell the Lease  Premises  during
the Term. Any such sale,  absent  Lessee's  agreement to the contrary,  shall be
subject to this Lease.

     B. At the  expiration  of the Term,  Lessee may renew this Lease for all or
part of the Lease  Premises,  provided  Lessee  agrees to the terms  offered  by
Lessor,  Lessee  offers  a  higher  rent  than  any  initial  offer  made  by  a
third-party,  and the Lessor  determines  that the Lease  renewal is in the best
interests of the Trust.

4.   HOLDING  OVER.  If Lessee holds over for any  purpose,  the rent due Lessor
     shall be equal to two hundred percent (200%) of the pro rata rent under the
     Lease for one day,  to be due for each day or any part of a day of  holding
     over. Nothing contained herein shall be construed as the grant to Lessee of
     the  right to hold over or  otherwise  enter  the  Lease  Premises  for any
     purpose after the  expiration,  termination,  or cancellation of this Lease
     without the prior approval of Lessor.

5.   RENT.  Lessee shall pay Lessor a Base Rent of Three  Thousand Seven Hundred
     Fifty Dollars ($3,750.00),  to be paid in advance of the Effective Date and
     on or before each Lease  anniversary  thereafter.  Rent shall be subject to
     annual adjustments.  Interest on delinquent rent payments shall accrue from
     the date the payment  becomes due at the rate of one percent a month or any
     fraction of a month until  received by Lessor in full.  In  addition,  each
     late payment  shall be  accompanied  by a late  processing  fee of Five and
     00/100 Dollars ($5.00).

6.   RECEIPT OF MONIES.

     A. No receipt of monies,  including  Rent,  by Lessor from  Lessee,  or any
other person acting for or on Lessee's behalf, after expiration, termination, or
cancellation of the Lease shall reinstate,  continue, or extend the Term; affect
any notice previously given to Lessee;  operate as a waiver of Lessor's right to
enforce  payment of any Rent or other monies due or thereafter  falling due; or,
operate  as waiver of the right of  Lessor to  recover  possession  of the Lease
Premises by legal action. Lessor and Lessee agree that after commencement of any
legal  action or after a final order or  judgment  for  possession  of the Lease
Premises  or  establishing  Lessors'  rights and  remedies,  Lessor may  demand,
receive, and collect any monies due without affecting such notice, legal action,
order, or judgment.  All such monies collected shall be deemed to be payments on
account for Lessee's liability under this Lease.

     B. Lessee  understands  that Lessor's  receipt of any monies is governed by
statute and the related regulations.  Lessee agrees that Lessor's negotiation of
Lessee's  check or other means of payment,  and  crediting  the proceeds of such
instrument to a suspense  account,  does not  constitute  acceptance of Lessee's
payment.  Payment  is not  made  until it is  accepted  in  accordance  with the
statutes and regulations, which govern Lessor's operations.

     C.  Lessor  shall  have the right to apply any  payments  made by Lessee to
satisfy Lessee's debt or obligation to Lessor at Lessor's sole  discretion,  and
without regard to Lessee's  instructions  as the application of any such payment
or part thereof,  whether such  instructions  are endorsed on Lessee's  check or
otherwise,  unless Lessor and Lessee otherwise agree, in writing,  before Lessor
accepts such  payment.  Lessor's  acceptance  of a check or payment by Lessee or
others on Lessee's  behalf  shall not,  in any way,  affect  Lessee's  liability

                                       3
<PAGE>
hereunder nor shall it be deemed an approval of any  assignment or subletting of
this Lease.

7.   LIEN.  To secure the payment of any rent amount that  becomes  due,  and to
     satisfy all  reasonable  costs  incurred by Lessor in recovering  said rent
     amount,  Lessee  grants to  Lessor a first  and  prior  lien on any and all
     improvements, fixtures, and equipment placed on the Lease Premises.

8.   SALE. At any time,  Lessor,  in its sole discretion,  may offer to sell the
     Lease  Premises,  or any part, to the highest  bidder.  In the event Lessor
     decides to offer the Lease Premises for sale,  Lessee may bid at such sale,
     provided Lessee is not in default under this Lease and Lessee complies with
     the bid requirements established by Lessor, with all pertinent statutes and
     regulations,  and with the governing  terms of this Lease.  Nothing in this
     section or this Lease shall be  interpreted  to grant  Lessee a right or an
     option,  no matter how  described  or  denominated,  to purchase  the Lease
     Premises in the event Lessor decides to sell the Lease Premises.

9.   RESERVATIONS.

     A.  Lessor  reserves  the right to  execute  leases  for  mining  purposes,
including, but not limited to, the exploration,  development,  conservation, and
production of geothermal  resources,  oil,  natural gas, and any other minerals,
natural  resources,  or deposits of whatsoever kind,  located in, under, or upon
the Lease Premises..  Lessor further reserves all rights of access, ingress, and
egress  over,  through,  or across  the Lease  Premises  that are or may  become
necessary or  convenient  to such  exploration,  development,  conservation,  or
production.

     B. Lessor further reserves the right to grant  rights-of-way  and easements
over, upon, or across the Lease Premises for any purposes whatsoever, including,
but not limited to, public highways, railroads, tramways, telephone,  telegraph,
and power lines,  irrigation works,  conservation,  environmental or remediation
studies or work, sewer lines, drainage ditches, mining, or logging.

10.  PERMITTED USE.

     A. Lessee shall use the Lease Premises for the sole and exclusive  purposes
set forth  below  and shall  not,  by such use or  otherwise,  make or cause any
unpermitted change in the physical character of the Lease Premises:

           RETAIL CURIO SHOP/CAFE/GAS SERVICE STATION/PARKING FACILITY

     B. The parties to this Lease  acknowledge that the Lessor is not subject to
municipal or county  ordinances and regulations  governing  zoning and land use.
Nevertheless,  the parties agree that such  ordinances and  regulations  provide
appropriate  guidelines for the use of the Lease Premises and, therefore,  shall
be complied with by Lessee,  including  permit  requirements  imposed under such
ordinances and regulations,  except where Lessor deems them in conflict with the
best  interests of the Trust.  Lessor and Lessee shall  cooperate  and use their
best efforts to obtain any and all appropriate governmental approvals, including
state,  county, and municipal  approvals,  as may be necessary or advisable,  to
facilitate  Lessee's use of the Lease Premises.  This clause shall not, however,
grant to any third party,  or to any  government  or  municipal  agency or other
entity, the right to enforce this term of the Lease.

11.  IMPROVEMENTS.

     A. Subject to the  restrictions  set forth in Clause 10.,  "PERMITTED USE",
above,  Lessee shall make, or cause to be made, only the following  improvements
(the "Improvements"):

     *    4-bay gas service area under canopy
     *    water well with pump
     *    fuel storage area
     *    perimeter fencing
     *    building for housing of curio and coffee shop
     *    employee quarters & mobile home hook ups.

                                       4
<PAGE>
     B. Except for those improvements which are a necessary part of the uses and
purposes approved in Clause 11.A.,  above, no other improvements shall be placed
on, or made for the benefit of, the Lease  Premises  without the Lessor's  prior
approval.

          (1) If any improvements are placed on, or made for the benefit of, the
          Lease Premises without the Lessor's approval, Lessor may elect to: (a)
          deem  such  improvements  abandoned  and  forfeited  to  Lessor at the
          termination,  cancellation,  or  expiration  of this  lease;  or,  (b)
          require Lessee to obtain  approval and pay all such  reasonable  fines
          and costs as Lessor deems appropriate;  or, (c) Lessor may, by written
          notice,  order the removal of such improvements and the restoration of
          the Lease Premises to their condition  existing prior to the placement
          of said improvements, all at Lessee's sole expense and at such time as
          Lessor may direct.  The foregoing rights of Lessor shall be cumulative
          to Lessor's  right to cancel  this Lease and other legal or  equitable
          remedies.

     C. Lessee  shall  diligently,  and at Lessee's  own  expense,  maintain and
protect  from waste and trespass the Lease  Premises and all  improvements  that
might be developed, constructed, or placed on the Lease Premises.

     12.  OWNERSHIP OF IMPROVEMENTS TO LEASE PREMISES.

     A. All improvements described in Clause 1.I.1., DEFINITIONS,  above, shall,
unless  otherwise  agreed,  be and remain Lessee's  property,  and if, under the
terms of this Lease or any related  agreement,  those improvements are to remain
on the Lease Premises after termination,  cancellation or relinquishment of this
Lease,  Lessee shall have the right to be paid the improvement  value credit for
such  improvements only by the subsequent Lessee who shall then become the owner
of such improvements.

     B. All improvements described in Clause 1.I.1., DEFINITIONS, above, must be
covered by full  liability  insurance,  in a form and amount  acceptable  to the
Lessor, and issued by a company approved by the Lessor,  naming the Lessor as an
additional insured.

          (1)  The Lessee shall provide  copies of the policy and all subsequent
               renewals to the Lessor upon issuance and each renewal.

          (2)  The Lessor may, upon reasonable notice to the Lessee,  require an
               increase in the policy  amount in keeping with his  determination
               of increased liability.

     C. All improvements described in Clause 1.I.2.,  DEFINITIONS,  above, shall
become the sole  property of Lessor as such  improvements  are made or acquired,
unless such improvements include or would cause the Lessor to incur unacceptable
duties,  liabilities,  or costs.  Lessee here agrees to convey all right, title,
and interest in and to such improvements to Lessor, subject to Lessor's approval
and  acceptance.   Lessee  here  appoints  and  constitutes  Lessor  as  special
attorney-in-fact  to  execute  any  and all  documents  necessary  to  establish
ownership  of such  improvements  in the  Lessor  whether  or not this Lease has
terminated at the time.

13.  IMPROVEMENT REMOVAL AND RECLAMATION.

     A.  Unless  otherwise   specified  in  this  Lease,  upon   relinquishment,
termination,  or cancellation  of this Lease,  and without renewal by or sale to
Lessee,  Lessee  shall  remove  all  improvements  described  in Clause  I.I.1.,
DEFINITIONS,  above.  Such removal  shall be at Lessee's  sole  expense.  If the
Lessor and the Lessee  have  agreed,  in this Lease or in some other  authorized
writing, that designated approved improvements shall remain in place, the Lessee
shall  provide,  no  later  than the  termination  of this  Lease,  satisfactory
evidence that such improvements have been paid for,  including,  but not limited
to, waivers of mechanics and  materialmen's  liens, and releases of any security
interests or other liens.

     B.  Notwithstanding  the provisions of Clause 13.A.,  above,  no authorized
improvement  shall be removed  without the Lessor's  approval,  if a Lessee owes
rent or any other sums to the Lessor or if any  material  duties  owed under the
terms of the Lease remain unperformed.

                                       5
<PAGE>
     C.  The  Lessor  may  demand,  in  writing,  that  designated  unauthorized
improvements be left in place during the term of this Lease.

     D. Any  improvements  left on Trust lands without  Lessor's  prior approval
shall remain the sole property and liability of the Lessee and shall  constitute
a nuisance until they are removed or abandoned as set out in Clause 13.D.(2) and
(3) below. The Lessor may elect:

          (1)  to leave such  improvements  in place and permit Lessee to retain
               the right to  compensation  for such  improvements  from  another
               Lessee;

          (2)  to take such action as is necessary to abate such  nuisance  with
               all costs and fees incurred in so doing to be additional rent due
               from Lessee under the terms of the Lease; or,

          (3)  to  declare,  by  written  notice to  Lessee,  such  improvements
               abandoned,  at which  time they  shall  become  the  property  of
               Lessor.

     E. In all cases where the Lessee's improvements are removed, whether during
this Lease or after its  termination,  the Lessee shall be solely liable for the
restoration  of the land,  underlying or otherwise  used in connection  with the
improvements, to its condition prior to the placement of such improvements.  The
Lessee's obligation to remove improvements and to restore the Trust land imposed
by this Rule shall survive the termination or  cancellation  of the Lease.  This
clause shall survive the expiration, termination, or cancellation of this lease.

     F. All  costs,  fines,  and fees  incurred  by the  Lessor  as a result  of
improvements left on Trust lands without the Lessor's  approval,  and all costs,
fines, and fees incurred as a result of damage or waste to Trust lands and their
improvements  during the term of the Lease,  arising from or in connection  with
the  Lessee's  use and  occupancy  of the Trust  lands,  shall  remain  the sole
liability  of the  Lessee  and shall be deemed  additional  rent due at the time
incurred. This clause shall survive the expiration, termination, or cancellation
of this lease.

14.  RELINQUISHMENT.

     A. A Lessee may, at any time, request  relinquishment of the Lease on forms
prescribed by the Lessor and upon payment of the relinquishment fee set forth in
the fee schedule, provided that:

          (1)  the  Lessee  is  not  in  violation  of the  statutes  and  rules
               governing the Lease;

          (2)  the Lessee is not in default of the terms of the Lease; and,

          (3)  all  improvements  of any type  whatsoever  made pursuant to this
               Lease on, or for the  benefit  of, the Lease  Premises  have been
               approved  by the Lessor,  and  arrangements  satisfactory  to the
               Lessor have been made for the removal of such improvements as the
               parties have not agreed to leave in place.

     B. The Lessee shall not, by any act of relinquishment, avoid or be released
from any  liability  for known or  unknown  waste or  damage  to the  leasehold,
including  environmental  damage which arose from,  or in connection  with,  the
Lessee's use or occupancy.

     C. A  relinquishment  shall not be valid or effective until approved by the
Lessor.  Any  attempted  relinquishment  or rejection of the Lease,  without the
Lessor's approval, shall be a material breach of the Lease.

     D.Upon  relinquishment,  the Lessee  shall not be entitled to the refund of
any rent previously paid;  however,  if the Lessee is seeking  relinquishment in
response to a request by the Lessor,  the Lessee shall not be charged a fee, and
shall be entitled to a pro-rata  refund of rent paid.  The refund  shall be paid
directly by the Lessee of the withdrawn lands to the former Lessee, and shall be
a credit  against  the  first  periodic  rent due  from  the new  Lessee  of the
withdrawn lands.

                                       6
<PAGE>
          15.  CHANGE IN LESSEE OR LESSEE'S OWNERSHIP; ASSIGNMENT OR SUBLEASE.

     A. Lessor is entering  this Lease  based on Lessee's  representations  that
Lessee shall not assign,  sublease,  or permit, in whole or in part, this Lease,
the Lease Premises,  any improvements  located on or made for the benefit of the
Lease Premises,  or change Lessee's  identity,  control,  or ownership,  through
sale,  acquisition,  merger or the like,  without the prior written  approval of
Lessor and the  amendment  of this Lease  pursuant to the  provisions  contained
herein.  Any such act without Lessor's approval shall be null and void as to the
Lessor,  and shall be deemed a breach of this  Lease by Lessee as well as giving
rise in Lessor to all remedies at law or in equity for  third-party  trespass or
such other damages as may derive from such acts.

     B. Lessor may condition approval of any proposed assignment,  sublease,  or
permit upon an  increase in the rent  amount,  the  modification  or addition of
other  provisions to this Lease,  proof of the  third-party's  creditworthiness,
financial  soundness,  and  skill  and  experience  in  effecting  the  uses and
improvements contemplated by this Lease, and such other conditions as Lessor may
impose to protect Lessor's interest.

          (1)  Lessee's  application  or  request  to  assign  shall be deemed a
          guarantee  that no  interest  in this  Lease is  subject to pending or
          foreseeable  litigation,  and it shall not be necessary  for Lessor to
          inquire into this.

     C. The Lessor's  approval of a sublease,  permit,  or assignment  shall not
relieve  the  Lessee  from any  liability  which  may have  arisen  prior to the
sublease,  permit, or assignment.  The Lessor's approval of a sublease or permit
will not release the Lessee from its continuing obligations under the Lease.

     D. The Lessor's  approval of a sublease,  permit,  or  assignment  will not
constitute approval of any subsequent sublease,  permit, or assignment, nor will
approval of a specific sublease,  permit, or assignment indicate that the Lessor
will grant such future approvals when requested.

     E. The occupation or use of Trust lands  pursuant to any sublease,  permit,
or  assignment  made without the Lessor's  approval is a material  breach of the
Lease by the Lessee, and is a trespass by the purported assignee,  permittee, or
sublessee,  and cannot vest the trespasser with any tenancy or any other rights,
interests,  claims,  or  privileges  in the Trust  lands or with  respect to the
Lessor whatsoever. In addition to such other remedies as may be available to the
Lessor at law or in equity for such trespass, the Lessee shall be liable for all
costs,  fees,  and  damages  incurred  by the  Lessor  and  resulting  from such
trespass.

     F. Applications to sublease, permit, or assign shall be made by the current
Lessee under oath, on forms  prescribed by the Lessor,  and shall be accompanied
by such fees as are designated by the Lessor in its Rules.

     G. The term of an assigned Lease,  or of any permit or sublease,  shall not
extend beyond that of the original Commercial Lease.

          (1)  Unless otherwise  approved by the Lessor,  Lease assignment shall
               result in the automatic termination of any permit or sublease.

          (2)  The cancellation,  relinquishment,  or termination of an original
               or  assigned  Business  Lease  shall  automatically,  and without
               notice, result in the termination of any sublease.

16.  COLLATERAL ASSIGNMENTS.

     A. This Lease may be collaterally  assigned by the Lessee only for purposes
of  securing  funds to improve the Lease  Premises or to invest in the  Lessee's
operation's  thereon.  A collateral  assignee  shall have a lien on the Lease as
personal  property.  Collateral  assignment of this Lease  requires the Lessor's
approval;  any attempt to collaterally assign this Lease without the approval of
the Lessor is void and does not vest the  purported  assignee  with any  rights,
claims, interests, or privileges.

          (1)  To  the  extent  permitted  under  or  governed  by  the  Uniform
               Commercial Code, a Lessee may include designated  improvements in
               the collateral assignment of this Lease.

                                       7
<PAGE>
               a.   A security  interest in improvements  will be subordinate to
                    the lien created in NMSA 1978, ss.  19-7-34.  However,  upon
                    providing the Lessor with adequate security,  the Lessee can
                    obtain the  Lessor's  covenant to  withhold  exercise of the
                    lien,  for a stated  period of time,  upon  Lessee's  rental
                    default.  Such security may include,  but is not limited to,
                    prepayment  of the last  year's  rental  to  cover  Lessee's
                    rental default without waiver of other default remedies,  or
                    provision of a performance  bond in the amount of one annual
                    rental  payment to be collected upon without waiver of other
                    default remedies.

          (2)  The Lessee  shall  apply to the Lessor to  collaterally  assign a
               Business Lease and improvements,  in writing,  under oath, and on
               such form or forms as may be prescribed by the Lessor, and shall:

               a.   give the full name and  address of the  proposed  collateral
                    assignee;

               b.   state the amount of the debt being secured;

               c.   state the term of the collateral assignment;

               d.   list the improvements,  if any, which are being collaterally
                    assigned  with the Lease,  along with the amount of the loan
                    being secured by them;

               e.   state  that  the  loan  being  secured  by  the   collateral
                    assignment  is only for the purpose of  improving  the Trust
                    land or investing in the Lessee's operations on Trust land;

               f.   give the applicant's signed oath that the statements made in
                    the application are true and correct; and,

               g.   shall  include  payment  of such  fees as are set out in the
                    schedule of fees.

          (3)  The Lessor may approve the collateral  assignment subject to such
               terms and  conditions  as he may impose and which he deems in the
               best interests of the Trust.

     B. The Lessor shall give  written  notice to the  collateral  assignee of a
Commercial  Lease of any  default by the Lessee.  Such  notice  shall be sent by
regular  mail to the name and  address  provided  to the  Lessor in the  initial
request for approval.

     C. An approved  collateral assignee shall have the right to cure a Lessee's
default,  but shall  succeed to the rights  and  duties of the  assignor  of the
Commercial  Lease only after at least thirty (30) days written notice is sent to
the Lessor by certified  mail,  only as permitted under the terms of the party's
collateral  assignment  agreement,  and subject to such conditions as the Lessor
may have imposed on approval of the collateral assignment.

     D.  A  collateral  assignee  takes  subject  to  the  following  terms  and
conditions,  of which the  Lessee is  required  to give  notice,  upon  making a
collateral assignment.

          (1)  The Lessor is entitled to notice,  as an interested party, of all
               foreclosure or other proceedings upon the collateral  assignment.
               Although  the Lessor is not a party  required to be joined in any
               such  proceedings,  the  Lessor  may  intervene  in them if it is
               deemed to be in the best interests of the Trust.

          (2)  The  purchaser,  from  a  collateral  assignee,  of a  foreclosed
               collateral  interest  shall  be  deemed  to be an  assignee,  and
               accordingly, will be subject to the approval of the Lessor.

17.  INSPECTION  BY  LESSEE.  Lessee  is  leasing  the Lease  Premises  based on
     Lessee's own inspection  of, and judgment  regarding,  the Lease  Premises.
     Lessee agrees that Lessor is making no representations or warranties of any

                                       8
<PAGE>
     kind or nature  whatsoever with regard to the Lease Premises or with regard
     to this transaction.

18.  COMPLIANCE WITH LAWS AND PROTECTION  FROM WASTE AND TRESPASS.  Lessee shall
     fully comply with all laws,  whether statutory or court-made,  regulations,
     rules, ordinances,  and requirements,  including, but not limited to, those
     addressed to environmental protection and all current New Mexico State Land
     Office Rules and Regulations  and those that may be hereafter  promulgated,
     applicable  to  the  Lease  Premises  or to  Lessee's  operations  thereon,
     including  NMSA  1978,ss.19-6-5,  requiring  Lessee  to  protect  the Lease
     Premises from waste and trespass,  and the Cultural  Properties  Act. It is
     illegal for any person to appropriate,  excavate, injure, remove or destroy
     any historic or prehistoric ruin or monument,  or any object of historical,
     archaeological,  architectural,  or scientific value situated on lands held
     and managed by the New Mexico State Land Office without a valid permit from
     the New Mexico Cultural Properties Review Committee and the express consent
     of the  Commissioner of Public Lands.  Governmental  agencies  promulgating
     such laws, regulations,  rules,  ordinances,  and requirements shall not be
     deemed  third-party  beneficiaries  under this Lease.  Lessee's  compliance
     shall be at its own expense and shall not be  considered  and offset to the
     Rent due under this Lease.

19.  HAZARDOUS  MATERIALS.  Except  to the  extent  necessary  to  the  purposes
     permitted under this Lease,  Lessee shall not cause or permit any Hazardous
     Material  to be  brought  upon or  across,  or to be  used,  kept,  stored,
     generated or disposed of, in, under, or upon, the Lease Premises. If Lessee
     will  be  using  or  storing  Hazardous  Materials  as an  incident  of the
     permitted  purposes  under this lease,  Lessee  will,  on an annual  basis,
     provide to Lessor a written list of all such Hazardous Materials, and, upon
     Lessor's  request,  provide a written  plan  acceptable  to Lessor  for the
     handling,   storage,   and  disposal  of  all  such  Hazardous   Materials.
     Notwithstanding Lessor's approval of the handling,  storage, or disposal of
     Hazardous Materials on the Lease Premises, Lessee shall remain strictly and
     solely liable for all costs or claims  arising from or in  connection  with
     such Hazardous Materials and here indemnifies Lessor against the same.

20.  HOLD HARMLESS.

     A. Lessee shall save, hold harmless, indemnify, and defend the State of New
Mexico,  Lessor and Lessor's employees,  agents, and contractors,  in both their
official  and  individual  capacities,  from  any and all  liabilities,  claims,
losses,  damages,  or  expenses,  including,  but  not  limited  to,  reasonable
attorneys' fees, loss of land value,  third-party claims, penalties for removal,
remedial or  restoration  costs  arising out of or in connection  with:  (1) the
operations under this Lease of Lessee or Lessee's employees, agents, contractors
or invitees; (2) any Hazardous Materials located in, under, or upon or otherwise
affecting the Lease Premises or adjacent  property  regardless of their point of
origin or date of  contamination;  (3) the  activities of  third-parties  on the
Lease  Premises,  whether with or without  Lessee's  knowledge or consent.  This
paragraph shall survive the termination, cancellation, or relinquishment of this
Lease,  and any cause of action Lessor may have to enforce this provision  shall
not be deemed to accrue  until  Lessor's  actual  discovery  of said  liability,
claim, loss, damage, or expense.

21.  BREACH AND CURE.

     A. In the event of Lessee's breach or threatened breach,  Lessor shall give
Lessee thirty (30) days notice by  registered  mail. If Lessee fails to properly
cure the breach or  threatened  breach on or before the  thirtieth  day,  Lessor
shall have the option of canceling this Lease, or of pursuing any other remedies
provided by this Lease or available at law or in equity.  No proof of receipt of
such notice shad be necessary in order for Lessor to act.

                                       9
<PAGE>
     B. Lessee  shall have  thirty  (30) days,  from the date of mailing of such
notice,  to cure or to make  reasonable  efforts to cure the breach to  Lessor's
satisfaction.  If the breach is of such a nature that it may not be cured within
thirty (30) days of Lessor  giving notice of the breach,  Lessee's  diligent and
continuing  action  to  cure  the  breach  to  Lessor's  satisfaction  shall  be
considered a "reasonable effort".

     C. Lessor  shall be entitled to recover  from Lessee  compensation  for all
damages  and costs  caused  by  Lessee's  breach  and all  reasonable  costs and
expenses Lessor incurs in securing its remedies.

     D. In the event of Lessee's  eviction or abandonment of the Lease Premises,
Lessor shall have the right,  but not the duty,  to re-lease or sell all, or any
part of, the Lease  Premises.  The  exercise  of such right shall be at Lessor's
sole  discretion and shall not extinguish  Lessee's  obligations  hereunder.  If
re-leased, Lessor may agree to a term that is greater or less than the remaining
unexpired  Term of this  Lease  at the  time  of its  cancellation,  and to such
covenants, conditions, and agreements as Lessor may deem proper.

22.  WAIVER OF JURY  TRIAL.  Lessor and  Lessee,  to the extent  allowed by law,
     agree to waive trial by jury in any  action,  proceeding,  or  counterclaim
     brought by either of the  parties  hereto  against the other on any matters
     whatsoever arising out of, or in any manner connected with, this Lease, the
     relationship  of Lessor and Lessee,  Lessee's use or occupancy of the Lease
     Premises,  any claim of injury or damage,  or any  emergency  or  statutory
     remedy.

23.  NO WAIVER BY LESSOR.  No employee or agent of Lessor has the power,  right,
     or  authority  to  orally  waive  any  of  the  conditions,  covenants,  or
     agreements of this Lease; and no waiver by Lessor of any of the conditions,
     covenants, or agreements of this Lease shall be effective unless in writing
     and executed by Lessor.  Lessor's  waiver of Lessee's  breach or default of
     any of the conditions, covenants, or agreements hereof shall not constitute
     or be construed as a waiver of any other or subsequent breach or default by
     Lessee. The failure of Lessor to enforce at any time any of the conditions,
     covenants,  or agreements  of this Lease,  or to exercise any option herein
     provided,  or to  require at any time  performance  by Lessee of any of the
     conditions,  covenants, or agreements of this Lease shall not constitute or
     be construed to be a waiver of such conditions,  covenants,  or agreements,
     nor shall it affect  the  validity  of this Lease or any part  thereof,  or
     Lessor's  right to  thereafter  enforce  each  and  every  such  condition,
     covenant, or agreement.

24.  SCOPE OF AGREEMENT. This Lease incorporates all the agreements,  covenants,
     and understandings  between Lessor and Lessee concerning the subject matter
     hereof and all such agreements,  covenants,  and  understandings are merged
     into this written Lease. No prior agreement or understanding between Lessor
     and Lessee shall be valid or enforceable  unless expressly embodied in this
     Lease.

25.  AMENDMENT.  This Lease shall not be altered,  changed, or amended except by
     an instrument executed by both Lessor and Lessee.

26.  APPLICABLE  LAW AND VENUE.  This Lease shall be governed by the laws of the
     State  of  New  Mexico,  without  giving  effect  to  the  conflict  of law
     provisions  of the  State of New  Mexico.  Lessee  consents  to  venue  and
     jurisdiction in the District Court in and for the County of Santa Fe, State
     of New Mexico, and to service of process under the laws of the State of New
     Mexico in any action relating to this Lease or its subject matter.

27.  SUCCESSORS IN INTEREST. All terms, conditions,  and covenants of this Lease
     and all amendments thereto shall extend to and bind the heirs,  successors,
     and assigns of Lessee and Lessor.

28.  TIME.  Time is of the essence in the  performance  of this Lease.  Lessee's
     failure  to  perform  any or all of its  obligations  under this Lease in a
     timely manner shall be grounds for Lessor to cancel this Lease.

                                       10
<PAGE>
29.  MISCELLANEOUS.

     A.  SINGULAR  AND PLURAL;  USE OF GENDERS.  Whenever  the  singular is used
herein, the same shall include the plural;  whenever a particular gender is used
herein, the same shall include the other gender and no gender.

     B. HEADINGS AND TITLES. The use of section or paragraph headings and titles
herein is for  descriptive  purposes only and is  independent  of the covenants,
conditions, and agreements contained herein.

     C.  SEVERABILITY.  In the event  that any  provision  of this Lease is held
invalid or unenforceable  under applicable law, the Lease shall be deemed not to
include that provision and all other  provisions  shall remain in full force and
effect.

     Executed in duplicate.

-----------------------------------
LESSEE by C.C. Bess, EVP
                                        ----------------------------------------
                                        RAY POWELL, M.S., D.V.M.
                                        Commissioner of Public Lands

                                       11
<PAGE>
                  FOR A CORPORATION OR INCORPORATED ASSOCIATION

State of New Mexico        )
                           ) ss.
County of Dona Ana         )

     The foregoing  instrument was acknowledged  before me this 9th day of June,
2000, by C.C. Bess,  Exec. V. Pres. of Bowlin Outdoor Adv. & T.C. Inc., a Nevada
corporation, on behalf of the corporation.

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

My Commission Expires:

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

                                       12
<PAGE>
                                    TRACT #1

A tract of land  lying  within the south  part of the  SE1/4SE1/4  of Section 5,
Township 24 South,  Range 11 West,  N.M.P.M.,  more  particularly  described  as
follows: Beginning at a point which bears N.89(degree)02', 797.35 feet and North
8(degree)22'W.,   187.58  feet  from  SE  corner  of  said   Section  5;  thence
N.8(degree)22'W.,  along  easterly  right  of way  line  of  connection  between
Interstate  Highway 10 and State Road 418 a distance  of 276.31  feet to a fence
brace post marked with a tack on top; thence N.78(degree)14'E.,  along southerly
right of way line of  Interstate  Highway 10 across  ramp  535.79  feet;  thence
S.8(degree)22'E.,  parallel to westerly boundary line of this tract 470.48 feet;
thence N.89(degree)38'W.,  along northerly right of way line of State Road 418 a
distance of 461.07 feet; thence N.48(degree)55' W., along northeasterly right of
way line of State Road 418 a distance  of 121.22  feet to a point of  beginning.
Said tract of land contains 5.00 acres,  more or less, and corners are marked by
steel rods unless noted otherwise.

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