Document:

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                                                                   Exhibit 10.13

                           SALE AND LICENSE AGREEMENT

            THIS AGREEMENT, made on August 16, 1996, by and between ST. JAMES
ASSOCIATES ("Licensor"), a New York limited partnership, having its principal
office at 797 Third Avenue, New York, New York 10022 and THE NEW YORK RESTAURANT
GROUP, LLC ("Licensee"), a New York limited liability company, having its
principal office at 1114 First Avenue, New York, New York 10021.

                              W I T N E S S E T H:

            WHEREAS, Licensor is the owner of the restaurants/bars currently
located at 797 Third Avenue, New York, New York which are operated under the
marks "Smith & Wollensky" and "Wollensky's Grill", respectively (collectively,
the "NY Restaurant");

            WHEREAS, Licensor is the owner of the marks "Smith & Wollensky" and
"Wollensky's Grill," the good will associated therewith, and all associated
service marks, trademarks, trade names and trade dress utilized in conjunction
with the marks and/or with the operation of the NY Restaurant;

            WHEREAS, Licensee has requested Licensor to grant to Licensee the
right to use said marks and the rights associated therewith throughout the
United States and the world (exclusive of the Reserved Territory, as hereinafter
defined) (the "Territory") in connection with the sale of goods bearing the
marks and the
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opening and operation of additional restaurant/bars which are substantially
similar to the NY Restaurant, all upon the terms and conditions hereinafter set
forth.

            NOW THEREFORE, in consideration of the mutual covenants and
undertakings hereinafter set forth, the parties hereto agree as follows:

1. DEFINITIONS

            As used herein, the following terms shall have the respective
meanings provided below:

            a. "Marks" shall mean "Smith & Wollensky" or any variations thereof
heretofore, currently or hereafter utilized by Licensor, and specifically
including the Registrations as well as any other trademarks and service marks
pertaining to said marks currently or hereafter owned by Licensor in any
jurisdiction (the "Registrations" mean the marks listed on Schedule A annexed
hereto and made a part hereof and any other mark which is registered with the
United States Patent Office or the appropriate office in any foreign country).

            b. "Associated Rights" shall mean the goodwill associated with the
Marks and all associated trade names, trade dress, decor, menus, concepts or
other marketing devices heretofore, currently or hereafter utilized in
conjunction with the

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Marks and/or the operation of the NY Restaurant, including, without limitation,
"Wollensky's Grill";

            c. "Reserved Territory" shall mean the area encompassed by a circle
with the present location of the NY Restaurant at its center and extending for a
radius of 100 miles, but excluding the area located within ten (10) miles of
City Hall in Philadelphia, Pennsylvania. "Restricted Area" shall mean the
Reserved Territory exclusive of the area encompassed by a circle with the
present location of the NY Restaurant at its center and extending for a radius
of 25 miles.

            d. "Affiliate" shall mean any limited liability company, corporation
or other entity which now or in the future shall (i) control, (ii) be under the
control of, or (iii) be under common control with, Licensee. The term "control"
as used herein shall be deemed to mean ownership of more than fifty (50%)
percent of the outstanding voting stock of a corporation, or majority equity and
control interest of a limited liability company or other entity. The term
"Affiliate" shall also include any limited liability company, corporation or
other entity which Alan N. Stillman ("Stillman") "controls", that is (x) in the
case of a corporation, where Stillman possesses the power to direct the
management of the entity through ownership of a majority of the

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voting securities, by voting trust agreement or otherwise, and (y) in the case
of a partnership or limited liability company where Stillman or any Affiliate of
his is designated as managing general partner or manager, as the case may be.

            e. "Restaurant" shall mean any restaurant or bar operating under the
Marks which is owned by Licensee or any Sublicensee (as hereinafter defined);
provided, however, that in no event shall the NY Restaurant be considered a
"Restaurant."

            f. "Restaurant Sales" shall mean all monies (whether paid in cash,
by credit card or otherwise) received as operating revenues in the ordinary
course of business and derived from the sale of food and beverages at
Restaurants or from off-premises catering originating from Restaurants and the
fair market value of any goods or services received in exchange for such food,
beverage or catering, less bona fide refunds to customers, gratuities and tips
in fact paid out to employees, the value of beverages and/or meals served by
Licensee to employees or for courtesy or promotional purposes, taxes imposed and
paid on customer checks and credit card fees. Restaurant Sales shall include any
proceeds received by any Restaurant from business interruption insurance carried
thereby.

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            g. "Non-Restaurant Sales" shall mean all monies (whether paid in
cash, by credit card or otherwise) received as operating revenues in the
ordinary course of business and derived from the sale of all goods, services,
merchandise or other products which utilize the Marks (other than such sales
which constitute Restaurant Sales) whether sold from the Restaurants or
otherwise, and any proceeds received by any Restaurant from business
interruption insurance carried thereby (to the extent not included in Restaurant
Sales) less bona fide refunds to customers, the value of products given to
employees or for courtesy or promotional purposes, taxes imposed and paid on
customer sales and credit card fees. Non-Restaurant Sales shall exclude,
however, any income from the sale of goods bearing the mark of other restaurants
that are owned and/or managed by Licensee or any Affiliate thereof, such as
Manhattan Ocean Club, Cite or Post House, notwithstanding the fact that such
goods are sold from Restaurants, the NY Restaurant or elsewhere.

            h. "Consumer Price Index" shall mean the Consumer Price Index for
all Urban Consumers (1982-4 = 100), U.S. City Average, issued monthly by the
Bureau of Labor Statistics of the United States Department of Labor, or any
other successor or substitute index appropriately adjusted.

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2. LICENSE AND GRANT

            Licensor hereby grants to Licensee, upon the terms and conditions of
this Agreement, the exclusive right and license to use the Marks and Associated
Rights throughout the Territory (the "License") Licensor hereby reserves unto
itself the exclusive right to utilize the Marks and Associated Rights within the
Reserved Territory, provided, however, that without obtaining Licensee's prior
written consent (which Licensee may withhold in its sole and absolute
discretion), Licensor shall not have the right to open any restaurants within
the Restricted Area utilizing the Marks or Associated Rights or grant any
sublicenses or other rights to the Marks or Associated Rights for use therein.
Nothing herein is intended to preclude or limit Licensor from relocating the NY
Restaurant within the Reserved Territory (but outside of the Restricted Area) or
from opening additional restaurants outside of the Restricted Area but within
the Reserved Territory, which for purposes of this Agreement will not be deemed
to be "Restaurants." Licensor specifically relinquishes any right to use the
Marks and Associated Rights outside of the Reserved Territory.

3. TERM

            The License granted herein shall commence upon the execution of this
Agreement (the "License Commencement Date") and

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shall be irrevocable and perpetual unless terminated in accordance with the
terms of this Agreement.

4. LICENSE FEES

            In consideration of the grant of the License and the rights granted
pursuant to this Agreement, Licensee agrees to make the following payments:

            a. License Purchase Price. Within three (3) business days following
the execution and delivery of this Agreement (time being of the essence),
Licensee shall pay to Licensor the sum of Two Million Five Hundred Thousand
($2,500,000) Dollars by certified or bank check or wire transfer of immediately
available funds to Licensor's bank account.

            b. Additional Sale Price Payment. As additional consideration for
the sale and License granted hereby, Licensee shall make a one-time payment to
Licensor upon the opening of each new Restaurant (or conversion of a restaurant
into a Restaurant) (the "Additional Sale Price Payment"). The Additional Sale
Price Payment shall be payable to Licensor within three (3) business days
following the date on which each such new Restaurant shall open for business to
the general public and be calculated as follows:

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                  (i) From the License Commencement Date to and including
December 31, 1998, the Additional Sale Price Payment shall be Two Hundred
Thousand ($200,000.00) Dollars.

                  (ii) For calendar year 1999 and each subsequent calendar year,
the Additional Sale Price Payment shall be an amount equal to the Additional
Sale Price Payment applicable for the immediately preceding year, increased by
an amount equal to the percentage amount by which the Consumer Price Index has
increased from January 1st of the immediately preceding year to and including
December 31st of such immediately preceding year; provided, however, that in no
event shall the Additional Sale Price Payment for a given year be more than 105%
of the Additional Sale Price Payment for the immediately preceding year. For
example, if the Consumer Price Index in effect as of December 31, 1998 were 7%
higher than that in effect as of January 1, 1998, then the Additional Sale Price
Payment applicable for calendar year 1999 would be $210,000 and not $214,000.

            Notwithstanding the foregoing, no Additional Sale Price Payment
shall be due or payable for a new Restaurant if such Restaurant is located
within a five (5) mile radius of a Restaurant which has closed within the two
(2) year period immediately

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preceding the day such new Restaurant shall open for business to the general
public.

5. Royalties

            a. Except as provided in subparagraph 5(b) below, Licensee shall pay
to Licensor an annual royalty (the "Percentage Royalty") of two (2%) percent of
the amount of Restaurant Sales and Non-Restaurant Sales made during the calendar
year for which the Percentage Royalty is being calculated. As a credit against
the Percentage Royalty, Licensee shall pay to Licensor a guaranteed minimum
royalty ("the Minimum Royalty") in the amounts set forth below regardless of the
number of Restaurants that may be in operation during such year:

       Prior to January 1, 1998                              No Minimum

       Calendar Year 1998                                    $200,000

       Calendar Year 1999                                    $300,000

       Calendar Year 2000                                    $400,000

       Calendar Year 2001                                    $500,000

       Calendar Year 2002                                    $600,000

       Calendar Year 2003                                    $700,000

       Calendar Year 2004 and
       each calendar year thereafter                         $800,000

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            b. If Licensee or any Affiliate thereof shall hereafter (i) be
engaged as the manager of a new restaurant commonly identified or considered by
the public as a steakhouse (hereinafter referred to as a "Manager" or
"Management"), or (ii) purchase the right to utilize any steakhouse name such as
Sparks, The Palm, Morton's or Outback and thereafter shall open new
steakhouse(s) utilizing such name, then only such new steakhouse(s) as are
thereafter opened and such new steakhouse(s) as come under such Management
described in (i) above in this paragraph 5(b) shall be considered "Restaurants"
solely for purposes of this subparagraph (b) and an annual Percentage Royalty of
one (1%) percent (instead of two (2%) percent) shall be payable on the
Restaurant Sales and Non-Restaurant Sales of such new restaurant(s); provided,
however, that no Percentage Royalty or fee or other compensation shall be
payable by Licensee to Licensor in respect of any such steakhouse restaurant(s)
as are in existence at the time of such acquisition or at the commencement of
such Management by Licensee or any Affiliate thereof so long as such restaurants
do not utilize the Marks. By way of example, if Licensee or any Affiliate
hereafter shall acquire or Manage Sparks or all or any portion of the Morton's
Steakhouse chain, no Percentage Royalty would be payable by Licensee to Licensor
with

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respect to restaurants which are acquired or Managed by Licensee or any
Affiliate utilizing such other steakhouse's name which are in operation as of
the date of the acquisition or commencement of Management; only new restaurants
thereafter opened or which thereafter became subject to Management by Licensee
or any Affiliate as steakhouses would be considered "Restaurants" hereunder
entitling Licensor to a one (1%) percent Percentage Royalty in respect to the
Sales thereof.

6. PAYMENT OF PERCENTAGE ROYALTIES: STATEMENTS

            a. Within forty-five (45) days after the end of each calendar
quarter, Licensee will pay to Licensor the greater of twenty-five percent (25%)
of the Minimum Royalty for the applicable calendar year or the Percentage
Royalty for such quarter. Such payment shall be accompanied by a written
statement, of the manager or chief financial officer of Licensee, setting forth
for such quarter in reasonable detail, by Restaurant, the computation of the
Restaurant Sales, the Non-Restaurant Sales and the amount of Percentage
Royalties, if any, payable hereunder; provided, however, that if the Percentage
Royalty for any quarter in question, when added to the previously paid quarterly
payments for such year, equal or exceed the accrued, cumulative Minimum Royalty
and Percentage Royalty payments due through the end of such quarter,

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then that quarterly payment shall be reduced to the amount required to satisfy
the Minimum Royalty due through the end of such quarter. Within one hundred five
(105) days after the close of each calendar year, Licensee will deliver to
Licensor a true and complete audited special report, setting forth in reasonable
detail, by Restaurant, the computation of the Restaurant Sales, the
Non-Restaurant Sales and the amount of Percentage Royalties, if any, payable
hereunder for the preceding calendar year. All such annual statements will be
prepared and certified by the firm of certified public accountants regularly
employed by Licensee, in accordance with generally accepted accounting
principles, consistently applied. When rendering such annual statements,
Licensee will pay an amount, if any, equal to the difference between the total
royalties paid during the calendar year and the total royalties due to Licensee
for such calendar year based on the audited statement of Restaurant Sales and
Non-Restaurant Sales, together with interest on such balance, if any, from the
close of such calendar year at the prime rate of interest as then charged by
Chase Manhattan Bank, New York (the "Prime Rate"). Similarly, Licensee will be
entitled to a credit against the first royalty fees due Licensor in the next
succeeding calendar year for any overpayment of royalties made with

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respect to a calendar year based on the audited year end statement plus interest
thereon as computed above.

            b. Licensee shall keep and maintain complete and accurate books and
records with respect to all transactions relating to the License granted herein.
Such books and records shall be open to the inspection of Licensor or its
representatives or agents during normal business hours upon reasonable advance
notice, and Licensor's representatives or agents shall be entitled, not more
than once annually, to conduct an audit at its own expense for the purpose of
verifying the accuracy of the figures reported in any statement furnished to
Licensor hereunder. If Licensor shall claim that Licensee underpaid any amount
due hereunder and Licensee shall deny such claim, then such claim shall be
submitted to arbitration in accordance with subparagraph 19(d) hereof and no
Event of Default (as hereinafter defined) shall be deemed to have occurred
hereunder unless and until such arbitration shall have been determined adverse
to Licensee, a final order or judgment confirming such award has been entered in
a court of competent jurisdiction and Licensee shall have failed to pay any
award to Licensor within ten (10) days of such entry. Licensee shall preserve
and keep available all such books and records for at least three (3) years after
the year to which they relate.

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            c. Upon the opening of any Restaurant using the Marks, Licensee
shall provide Licensor with a copy of the relevant Sublicense agreement, if
applicable, and with written notice to Licensor of the name and address of the
owner and manager and the seating capacity of the Restaurant.

            d. Unless otherwise so directed by Licensor in writing, all payments
which are due Licensor pursuant to this Agreement shall be paid to Licensor at
its address set forth in subparagraph 18(e) below.

            e. Provided that any item of expense which is shared among Licensor
and other restaurants owned or managed by Licensee or its Affiliates amounts to
a share to be borne by Licensor of at least $2,500.00 in any quarter, Licensee
shall furnish Licensor with a written report for such quarter identifying, by
item, the cost paid by Licensor and each of the other restaurants owned or
managed by Licensee or its Affiliates and the basis of such allocations.

7. SUBLICENSES

            Except as expressly permitted hereby, Licensee shall not have the
right to sublicense all or any portion of the License granted hereby without
obtaining Licensor's prior written consent. Notwithstanding the foregoing,
Licensee shall have the right,

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without obtaining Licensor's consent, to grant sublicenses of any or all rights
granted to Licensee by Licensor hereunder to (i) Affiliates, or (ii) any other
entity so long as Licensee shall exercise and maintain managerial control over
all Restaurants owned by such entity substantially in the manner that Licensee
currently exercises managerial control over the NY Restaurant (each such
sublicensee being herein referred to as a "Sublicensee"). Each sublicense will
contain the provisions set out in this Agreement as the last sentence of this
paragraph, subparagraph 6(b), subparagraphs 15(e) through (k) below and
provisions (a) confirming Licensor's ownership of the Marks and Associated
Rights which are the subject of the sublicense, (b) declaring that the
sublicense will be deemed automatically assigned by Licensee to Licensor upon
any lawful termination of this Agreement (provided, however, that Licensor shall
have the option, to be exercised within fifteen (15) days of such termination,
to reject such sublicense by notice to the Sublicensee), (c) requiring the
Sublicensee to comply with the applicable terms and conditions of this Agreement
and to maintain the operating and quality standards prescribed herein, (d)
giving Licensor the right to determine directly whether or not such operating
and quality standards are being maintained, and (e) prohibiting further
sublicensing of the rights granted under the

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sublicense except in compliance with the terms and provisions of this paragraph.
Licensee will take all appropriate steps to exercise quality control over the
goods and services provided by each Sublicensee in order to ensure that the
operating and quality standards required by this Agreement are being maintained.
Notwithstanding anything to the contrary contained herein, Licensor shall not
have the right to terminate this Agreement or the License granted hereby for any
default which may arise hereunder by reason of the acts or omissions of any
Sublicensee so long as (i) Licensee shall use its best efforts to cause such
Sublicensee to comply with the applicable terms and conditions of this Agreement
and to maintain the operating and quality standards prescribed herein, and (ii)
if such efforts fail to cause the Sublicensee to comply with such terms and
conditions or maintain such standards within a reasonable time period not to
exceed ninety days, Licensee shall immediately terminate or cause to be
terminated the applicable sublicense.

8. ASSIGNMENTS

            a. Except as expressly permitted hereby, Licensee shall not assign
all or any portion of its rights granted hereunder without obtaining Licensor's
prior written consent. Notwithstanding the foregoing, this Agreement and all
rights and

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obligations hereunder may be assigned or transferred by Licensee, without
Licensor's consent, only upon Licensee's compliance with subparagraph (b) below
and upon the condition that the assignee agrees in writing to be bound by the
terms and provisions of this Agreement and such assignee (or the manager of the
Restaurant(s) to be owned by such assignee) is either (i) an Affiliate, (ii) a
reputable restaurant operator that has managed high quality, fine dining
restaurants continuously during the five (5) year period immediately preceding
the effective date of such assignment, or an entity controlled by a manager
having such experience, or (iii) a nationally known reputable company active in
the food service or hospitality business such as, but not limited to, Restaurant
Associates or the Hilton or Marriot companies. Licensee shall not have the right
to assign its rights hereunder to any entity that, on the effective date of such
assignment, either is in bankruptcy or has lawsuits pending against it which, if
determined adversely to the assignee, would have a material adverse impact on
the financial condition of such assignee. If the assignee is not an experienced
restaurant operator as described above, but instead utilizes a third party
satisfying the requirements of subparagraphs (ii) or (iii) above to manage its
Restaurant(s), then such third party manager must be engaged by the assignee as
manager of the

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Restaurant(s) for not less than five (5) years. If such manager is not succeeded
by a like experienced manager, then Licensee shall be deemed in default
hereunder.

            b. Licensee may, without Licensor's consent, assign its interest in
this License (i) to any corporation or other entity which is a successor to
Licensee either by merger or consolidation, or (ii) to a purchaser of all or
substantially all of Licensee's assets (provided such purchaser shall have also
assumed all of Licensee's obligations hereunder). Licensee shall, within ten
(10) days after execution thereof, deliver (a) a duplicate instrument of
assignment duly executed by Licensee and (b) an instrument duly executed by the
assignee, in which such assignee shall assume observance and performance of, and
agree to be bound by, all of the terms, covenants and conditions of this License
on Licensee's part to be observed and performed. Except as set forth above,
either a transfer of a controlling interest in Licensee (if Licensee is a
limited liability company or partnership) or a transfer of a controlling
interest in the shares of Licensee (if Licensee is a corporation) at any one
time or over a period of time through a series of transfers shall be deemed an
assignment of this License and shall be subject to all of the provisions of this
paragraph 8. For purposes of this paragraph 8, the sale, transfer or issuance of

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shares on or through the "over-the-counter market" or any other recognized stock
exchange or in connection with any employee stock ownership plan shall not be
considered an assignment or transfer of this License and shall not require
Licensor's consent. In furtherance thereof, Licensor's consent shall not be
required in connection with a public offering of shares or other ownership
interests by either Licensee or any Affiliate thereof. Any transfer of shares or
interests by and among the existing members or shareholders of Licensee or
occurring by reason of the death or incapacity of any member or shareholder of
Licensee shall not be deemed an assignment hereunder. In the event of an
assignment, as permitted pursuant to this paragraph, Licensee shall remain
jointly and severally liable with the assignee, for the assignee's due
performance of each and every obligation of Licensee pursuant to this Agreement,
provided, however, that if Licensee shall sell or otherwise transfer its entire
business (as opposed to merely its rights under this Agreement), whether
simultaneously or subsequent to any assignment permitted hereby, then this
Agreement and all rights of the Licensee hereunder shall terminate
simultaneously with such sale unless prior thereto, Licensee or its assignee
shall (i) furnish to Licensor then current financial statements demonstrating
that such assignee has a net worth of not less than

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$20 Million (determined in accordance with generally accepted accounting
principles and after giving effect to the assignment but excluding the value of
the assets acquired from Licensee), and (ii) delivers to Licensor a letter of
credit naming Licensor as beneficiary thereunder to secure the payment to
Licensor of all moneys payable to it hereunder and the performance of all
obligations on Licensee's part to be performed hereunder. Such letter of credit
shall be in form and issued by a bank that is acceptable to Licensor in its
reasonable discretion and be in an amount equal to $2 Million for the first year
following such sale, $3 Million for the second year following such sale, $4
Million for the third year following such sale and $5 Million for the fifth and
each subsequent year following such sale, provided, however, that if the sum of
Percentage Royalty payments and Additional Sale Price Payments for the two (2)
year period preceding the applicable year shall amount to more than the letter
of credit amount herein specified for such year, then the letter of credit for
such year shall be increased to such greater amount.

9. OPERATING AND QUALITY STANDARDS

            a. All Restaurants shall be first class operations which offer food
and/or beverage services and provide decor and an ambiance that is substantially
similar to the NY Restaurant. In

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particular: (i) the quality of meat and seafood sold at a Restaurant shall be at
least as high as that served at the NY Restaurant, (ii) the decor and employee
uniforms of the Restaurants shall be substantially similar to that encompassed
within and utilized at the NY Restaurant, (iii) Restaurants shall maintain
sophisticated wine lists and provide service of the type provided at the NY
Restaurant, (iv) Restaurants shall be maintained in a clean, orderly and
sanitary condition at all times, and (v) Restaurants shall utilize steak knives,
chalkboards and other trade dress substantially similar to that utilized at the
NY Restaurant.

            b. Notwithstanding the foregoing, Licensee may modify the aforesaid
requirements including, but not limited to (and by way of example only), menu
items and decor, to accommodate local variations in tastes, customs and attire
upon notice to and consent by Licensor, which consent shall not be unreasonably
withheld or delayed. If Licensee does not receive notice of disapproval from
Licensor (specifying Licensor's reason(s) for such disapproval) within twenty
(20) days after receipt by Licensor of written notice of such proposed
modification, then the proposed modification shall be deemed approved. In
addition, in no event shall Licensee be limited to locating Restaurants in
buildings similar to that in which the NY Restaurant is located, it being
understood that

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Licensee may open Restaurants in any location it deems appropriate outside of
the Reserved Territory, including, but not limited to, office buildings,
shopping centers and single user facilities. Licensor hereby acknowledges that
owing to local market conditions Licensee may adopt a pricing structure for any
Restaurant that differs from that of the NY Restaurant.

            c. Licensor shall have the right to change, modify or add to the
operating and quality standards specified herein provided such changes,
modifications or additions are reasonably necessary to protect or enhance
standards of quality and service of the business and provided further that such
operating and quality standards are adopted and employed at the NY Restaurant.

            d. All goods, merchandise or other products which utilize the Marks
shall be of high standard and of such style, appearance and quality as to be
consistent with the image projected by the NY Restaurant.

            e. Licensor's representatives shall have the right to inspect any
Restaurant or other facility maintained for the sale of goods, merchandise or
other products utilizing the Marks at reasonable times and upon reasonable
advance notice, for purposes of examining such Restaurant, conferring with
Licensee, its agents and employees and inspecting and checking food quality,
merchan-

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dise, decor and operating methods, provided such inspection shall be conducted
in such manner as will not unreasonably interfere with Licensee's business
operation.

10. MARKINGS

            a. Licensee will cause the Registrations, Marks and Associated
Rights to be displayed only in such form or manner as may be used by Licensor,
or in such other form and manner as may be approved by Licensor, provided, that,
with respect to the Marks (excluding the Registrations) and Associated Rights,
such approval shall not be unreasonably withheld or delayed. Licensee shall have
the right to modify the Marks (excluding the Registrations) and Associated
Rights so that they conform to or are appropriate for use in other geographic
locations, subject to the prior written approval of Licensor which shall not be
unreasonably withheld or delayed. If Licensee does not receive notice of
disapproval from Licensor (specifying Licensor's reason(s) for such disapproval)
within twenty (20) days after receipt by Licensor of written notice of such
proposed variation or modification, then the proposed variation or modification
shall be deemed approved. Notwithstanding anything to the contrary contained
herein, Licensee, without the consent of Licensor (i) may modify the Marks by
replacing the picture of the NY Restaurant contained in the logo

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with a picture of another Restaurant and/or including a location designation
such as "Smith & Wollensky - Chicago", and (ii) may not use or sublicense the
use of any Registration in any form other than as registered and shall at all
times use each Registration with proper indicia of registration (i.e. (R)).

            b. Licensee shall use the Marks and Associated Rights in accordance
with all applicable legal requirements. Licensee shall cause to appear on all
materials in connection with which the Marks are used, such legends, markings,
indications and notices necessary to give notice of any trademark, trade name,
copyright or other rights owned by Licensor pertaining thereto.

11. ADVERTISING AND PROMOTION

            The parties acknowledge that it may be mutually advantageous to
simultaneously advertise or promote the NY Restaurant, the Restaurants and/or
other restaurants that may be owned or operated by Licensee or its Affiliates
including without limitation Maloney & Porcelli. Any expenses incurred by
Licensee or its Affiliates for advertising or promoting the Marks and other
restaurants owned or managed by Licensee and its Affiliates shall be apportioned
between Licensor and Licensee, based upon the number of restaurants owned by
each party depicted or referred to in the advertisement or promotion, provided,
however, that if any such

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advertisement or promotion shall depict or refer to any Restaurant, then the
entire cost thereof shall be paid by Licensee.

12. DEFAULT; TERMINATION

            a. Each of the following events shall be an "Event of Default"
hereunder:

            (i) if Licensee shall default in the payment when due of any
Additional Sale Price Payment or Percentage Royalty payment hereunder and
Licensee shall fail to remedy such default within fifteen (15) days after
Licensee shall have received written notice of such default;

            (ii) (aa) if Licensee shall generally not, or shall be unable to, or
shall admit in writing its inability to, pay its debts as they become due; or

                  (bb) if Licensee shall commence or institute any case,
proceeding or other action (x) seeking relief on its behalf as debtor, or to
adjudicate it a bankrupt or insolvent, or seeking reorganization, arrangement,
adjustment, winding-up, liquidation, dissolution, composition or other relief
with respect to it or its debts under any existing or future law of any
jurisdiction, domestic or foreign, relating to bankruptcy, insolvency,
reorganization or relief of debtors, or (y) seeking appointment of

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a receiver, trustee, custodian or other similar official for it or for all or
any substantial part of its property; or

                  (cc) if Licensee shall make a general assignment for the
benefit of creditors; or

                  (dd) if any case, proceeding or other action shall be
commenced or instituted against Licensee (x) seeking to have an order for relief
entered against it as debtor or to adjudicate it a bankrupt or insolvent, or
seeking reorganization, arrangement, adjustment, winding-up, liquidation,
dissolution, composition or other relief with respect to it or its debt under
any existing or future law of any jurisdiction, domestic or foreign, relating to
bankruptcy, insolvency, reorganization or relief of debtors, or (y) seeking
appointment of a receiver, trustee, custodian or other similar official for it
or for all or any substantial part of its property, which either (i) results in
any such entry of an order for relief, adjudication of bankruptcy or insolvency
or such an appointment or the issuance or entry of any other order having a
similar effect or (ii) remains undismissed for a period of sixty (60) days; or

                  (ee) If any case, proceeding or other action shall be
commenced or instituted against Licensee seeking issuance of a warrant of
attachment, execution, distraint or similar process

                                       26
<PAGE>

against all or any substantial part of its property which results in the entry
of an order for any such relief which shall not have been vacated, discharged,
or stayed or bonded pending appeal within sixty (60) days from the entry
thereof; or

                  (ff) if Licensee shall take any action in furtherance of, or
indicating its consent to, approval of, or acquiescence in, any of the acts set
forth in clauses (bb), (cc), (dd) or (ee) above.

            (iii) if Licensee shall default in the observance or performance of
any other term, covenant or condition of this License on Licensee's part to be
observed or performed and Licensee shall fail to remedy such default within
thirty (30) days after written notice by Licensor to Licensee of such default;
provided, however, that if such default is of such a nature that it cannot be
completely remedied within said thirty (30) day period, no Event of Default
shall be deemed to have occurred hereunder if Licensee shall make good faith
efforts to remedy such default within such thirty (30) day period and shall
thereafter take all steps necessary to diligently prosecute same to completion.

            (iv) if either Licensee or Stillman or any Affiliate of Stillman
shall hereafter open and own or manage any new steakhouses not utilizing the
Marks, provided, however, that it shall not be an

                                       27
<PAGE>

Event of Default hereunder if (x) Licensee or its Affiliates shall own or manage
new restaurants which sell steak incidentally (offering not more than four (4)
steak items at each such restaurant, without limitation as to the number of meat
items) and are not commonly identified as steakhouses, (y) either Licensee or
any Affiliate thereof shall purchase steakhouse(s), such as, but not limited to,
Sparks, The Palm, Morton's or Outback which will continue to be operated under
their names or open additional restaurant(s) outside of the Reserved Territory
utilizing the name of such steakhouse(s) or (z) Licensee or any Affiliate shall
hereafter be engaged in Management of steakhouse(s) outside of the Reserved
Territory.

            (v) if Licensee shall fail to timely pay the License Purchase Price
called for in paragraph 4 (a)

            If an Event of Default shall have occurred and thereafter Licensor
shall give written notice to Licensee stating that this License shall expire and
terminate on the date specified in such notice, which date shall not be less
than ten (10) days after the giving of such notice, then this License and the
term hereof and all rights of Licensee under this License shall expire and
terminate as of the termination date specified in Licensor's notice. In the
event of such termination:

                                       28
<PAGE>

            (aa) the rights and license granted to Licensee herein shall
forthwith terminate and automatically revert to Licensor;

            (bb) Licensee shall discontinue the use of the Marks and Associated
Rights or any variant thereof at all of the Restaurants, change the decor and
design and discontinue the use of all signs, emblems, marks and color schemes
indicative of "Smith & Wollensky" at such Restaurants;

            (cc) Licensee shall notify each Sublicensee of such termination and
of Licensor's right to terminate such Sublicensee's sublicense; and

            (dd) all Percentage Royalties and any other accrued payments due
Licensor to the date of expiration or termination plus the $2 Million
Termination Fee referred to in the next paragraph shall become immediately due
and payable.

            Licensee shall have the unilateral right to terminate this Agreement
and the License granted hereby for any reason whatsoever or for no reason by
giving not less than thirty (30) days' prior notice thereof to Licensor,
provided such termination shall not be deemed effective unless and until
Licensee shall have complied with subsections (aa) through (dd) above and paid
to Licensor the Termination Fee (as hereafter defined) . For purposes hereof,
the "Termination Fee" shall be an amount equal to Two

                                       29
<PAGE>

Million ($2,000,000) Dollars if Licensee. shall pay such amount to Licensor by
the termination date, provided, however, that Licensee shall have the right to
pay the Termination Fee in installments over a four (4) year period and if it
shall so elect to pay the Termination Fee in installments, then (x) the
Termination Fee shall be an amount equal to Two Million Five Hundred Thousand
($2,500,000) Dollars, (y) Licensee shall notify Licensor of such election in
Licensee's termination notice, and (z) the Termination Fee shall be payable by
Licensee to Licensor as follows: $156,250.00 by the termination date and the
balance in fifteen (15) equal consecutive quarter-annual payments of principal
each with interest at the Prime Rate in effect at the date of payment on the
then unpaid principal balance. If Licensee shall elect to pay the Termination
Fee in installments it shall furnish annual audited financial statements to
Licensor and if its net worth thereafter shall decrease below $1 Million, then
the balance of the Termination Fee and any accrued interest shall become
immediately due and payable to Licensor.

            Unless the termination is pursuant to this subsection (iv), Licensee
shall not be liable to Licensor for any damages, consequential or otherwise, or
other payments in the event of any termination of this License.

                                       30
<PAGE>

13. RESTAURANT CLOSURES

            Notwithstanding anything to the contrary contained herein, upon
prior written notice to Licensor, Licensee shall have the right in its sole
discretion to close any Restaurant without liability to Licensor. Additionally,
at any time upon prior written notice to Licensor, Licensee shall have the right
without liability to Licensor to convert any Restaurant to another restaurant
(other than to a restaurant commonly identified or considered by the public as a
"steakhouse" unless otherwise permitted hereby) utilizing a name other than the
Marks. If Licensee shall elect to close a Restaurant or convert a Restaurant
from a Smith & Wollensky steakhouse, then as to such Restaurant only, Licensee
shall (i) discontinue the use of the Marks and Associated Rights or any variant
thereof at such Restaurant, (ii) change the decor and design and discontinue the
use of all signs, emblems, marks and color schemes indicative of "Smith &
Wollensky" at such Restaurant, and (iii) not be required to make any further
Percentage Royalty or other payments in respect thereof.

14. REPRESENTATIONS AND WARRANTIES.

            a. Licensor represents and warrants to Licensee as follows:

                                       31
<PAGE>

            (i) Licensor has the legal power, authority and capacity to execute,
deliver and perform this Agreement and this Agreement and the transaction
contemplated hereby have been fully approved by all requisite partnership
action; and

            (ii) This Agreement has been duly executed and delivered and
constitutes a valid and binding obligation legally enforceable against Licensor
in accordance with its terms. The execution and delivery of this Agreement by
Licensor and the performance of its obligations hereunder are not in violation
of, and do not conflict with or constitute a default under, any of the terms or
provisions of Licensor's Agreement of Limited Partnership.

            b. Licensee represents and warrants to Licensor as follows:

            (i) Licensee has the legal right, power, authority and capacity to
execute, deliver and perform this Agreement;

            (ii) this Agreement constitutes the legal, valid and binding
obligation of Licensee, enforceable in accordance with its terms;

            (iii) Licensee has (or will have) the financial capability to comply
with the terms and provisions of the Agreement and to perform its obligations
hereunder; and

                                       32
<PAGE>

            (iv) this Agreement has been duly executed and delivered and
constitutes a valid and binding obligation legally enforceable against Licensee
in accordance with its terms. The execution and delivery of this Agreement by
Licensee and the performance of its obligations hereunder are not in violation
of, and do not conflict with or constitute a default under, any of the terms or
provisions of Licensee's Articles of Organization or any agreement, indenture or
instrument to which it is bound, or any law, regulation, order, decree, judgment
or award to which it is subject.

15. COVENANTS OF LICENSOR AND LICENSEE

            a. From and after the date hereof and for so long as this Agreement
shall be in force and effect and the NY Restaurant shall be open, Licensor shall
continue to operate the NY Restaurant in the same manner as heretofore operated
and shall use its best efforts to preserve the goodwill of the business and
protect and defend the Marks and Associated Rights. In furtherance thereof,
Licensor, at its cost and expense, shall take all reasonable actions to renew
the Registrations when required and to make such further filings and
registrations to protect and defend the Registrations, Marks and Associated
Rights, including bringing suit against any infringement thereof.

                                       33
<PAGE>

            b. Licensor shall not encumber, mortgage or grant any security
interest or lien in the Marks and/or the Associated Rights.

            c. Licensor shall not open additional Smith & Wollensky restaurants
outside of the Reserved Territory or within the Restricted Area nor shall
Licensor grant any third party a license to utilize the Marks or Associated
Rights outside of the Reserved Territory or within the Restricted Area.

            d. Licensor shall not be precluded from selling or closing the NY
Restaurant and the Additional Sale Price Payments and Percentage Royalty
payments required hereby shall continue notwithstanding any such sale or closure
unless and until the Registrations shall be terminated or abandoned, provided,
that the foregoing is not intended to permit Licensor to voluntarily abandon or
terminate the Registrations or otherwise affect Licensor's obligations under
paragraphs 16 and 17 below.

            e. Licensee shall not denigrate or cause the denigration of any of
the Marks or Associated Rights, and shall not take, or permit any of the
Sublicensees to take, any other action that is in Licensor's judgment (which
judgment shall not be unreasonably exercised) harmful (or potentially harmful)
to or

                                       34
<PAGE>

which disparages or demeans, directly or indirectly, the goodwill and reputation
of licensor, the Marks or the Associated Rights.

            f. At such time as Licensee is operating a Restaurant or marketing
any merchandise which would constitute Non-Restaurant Sales, Licensee shall, at
its sole cost and expense, procure and maintain policies of insurance with a
nationally recognized insurance carrier with the following types and amount of
coverage:

            (i) Liquor Liability: Not less than $1 Million per occurrence.

            (ii) Worker's Compensation: In compliance with statutory
requirements of each state in which Licensee is required to provide worker's
compensation coverage.

            (iii) Comprehensive Business Liability: Not less than $1 Million per
occurrence.

            (iv) Advertising: Not less than $1 Million per occurrence.

The foregoing policies, and any other insurance policies that insure Licensee or
its property, shall name Licensor as an additional insured, shall state that the
policies will not be changed or terminated without at least twenty days' prior
written notice to Licensor, and shall state that the insurer has waived its
subrogation rights against Licensor. Upon Licensor's request,

                                       35
<PAGE>

Licensee shall deliver to Licensor a certificate of insurance indicating that
the coverage required by this subparagraph (f) is in full force and effect.

            g. Licensee shall comply in all material respects with all Federal,
state, local or foreign laws, ordinances, regulations and orders applicable to
its business, including all health, sanitary and safety codes, rules and
regulations.

            h. Licensee will obtain and maintain all licenses, permits and
consents required to operate the Restaurants and market the merchandise which
would result in Non-Restaurant sales.

            i. Licensee shall implement regulations in each Restaurant that
prohibit patrons or employees from using drugs, the possession and use of which
are illegal in the jurisdiction in which the Restaurant is located, from
participating in prostitution and from engaging in activities involving
pornography or violence.

            j. Licensee shall not mortgage, encumber or otherwise subject this
Agreement to any security interest or lien, except that, without obtaining the
consent of Licensor, (i) Licensee shall have the right to grant a security
interest in its rights hereunder to any institutional lender having assets in
excess of $500 Million, provided, however, that any assignee of this Agreement
must satisfy the requirements of paragraph 8 hereof, and, (ii) a

                                       36
<PAGE>

security interest in this Agreement may be granted to Licensee in connection
with any purchase money financing which Licensee gives in connection with an
assignment or other transfer of Licensee's rights hereunder.

            k. Licensee shall not use any trade names or trademarks which are
confusingly similar to the Marks. Notwithstanding anything to the contrary
contained herein, Licensee shall have the right to engage in cooperative
advertising and cooperative promotional activities using other trademarks and
tradenames in conjunction with the Marks and Associated Rights.

            l. Each of the foregoing covenants (e) through (k) shall, in
substance, be included in any Sublicense; provided, however, that Licensee in
its discretion may increase the minimum insurance required by it from its
Sublicensees.

16. OWNERSHIP

            a. During the term of this Agreement, Licensor shall file, at its
sole cost and expense, all applications and documents necessary to maintain its
exclusive ownership of the Registrations, including any modifications made in
conformance with this Agreement in the United States and those countries listed
on Schedule A annexed hereto. All applications, registrations and renewals of
the Registrations shall be in the name of Licensor. Licensee, at

                                       37
<PAGE>

its sole cost and expense, shall have the right, but not the obligation, to
register the Marks and/or Associated Rights in the name of Licensor in
jurisdictions outside of the United States in which Licensor shall not have
previously filed for registration. Before seeking to register any of the Marks
in any jurisdiction outside of the United States, Licensee shall give Licensor
notice of its intention to register, which notice shall identify the Mark to be
registered and the intended country of registration. Licensor shall have the
right, on notice to Licensee, to pursue such registration instead of Licensee,
provided it shall give Licensee notice thereof within twenty (20) days of its
receipt of Licensee's notice. If Licensee shall pursue registration of a Mark
outside of the United States, then it shall provide Licensor (or its designated
counsel) with copies of all applications and other documents to be filed with
the applicable authorities at least twenty (20) days before filing the same.
Licensee shall make such amendments, changes or supplements to any such
applications as Licensor, or its counsel, shall reasonably require.

            b. All trademarks, copyrights, patents, trade dress, design patents,
and other proprietary rights relating to any design element, shape, or style on
or with all products, packaging, labels, names and logos used in connection with
the Restaurants or

                                       38
<PAGE>

on or with respect to any products or services bearing the Marks shall belong to
Licensor and all applications and registrations thereof shall be filed in the
name of Licensor; provided however that Licensee may seek or obtain protection,
including registration (in the name of Licensor), of the Marks and Associated
Rights with the prior written consent of Licensor (which shall not be
unreasonably withheld or delayed) or if Licensor fails to seek or obtain the
requisite protection. If Licensee does not receive notice of disapproval from
Licensor (specifying Licensor's reason(s) for such disapproval) within twenty
(20) days after receipt by Licensor of such proposed registration, then Licensor
shall be deemed to have consented to Licensee proceeding with the proposed
registration.

            c. Licensee acknowledges that as between Licensor and Licensee,
except for the rights expressly granted to Licensee herein, Licensor is the
holder of all right, title and interest in and to the Marks. Licensee recognizes
the value of the goodwill associated with the Marks and acknowledges that the
Marks and Associated Rights have acquired a secondary meaning in the mind of the
public. All use by Licensee of the Marks and the Associated Rights shall be
deemed to have been made by Licensee for the

                                       39
<PAGE>

benefit of Licensor and all goodwill thereunder shall inure to the benefit of
Licensor.

            d. Licensee shall not challenge Licensor's right to, or the validity
of, the Marks and Associated Rights, or any application by Licensor for
registration or renewal thereof during the term of this Agreement.

            e. Licensee shall, at Licensor's request, execute any documents
reasonably required by Licensor to confirm its ownership of all rights in and to
the Marks and Associated Rights and the respective rights of the parties
pursuant to this Agreement. Licensee shall, at Licensor's expense, cooperate
with Licensor in connection with the filing and prosecution of applications by
Licensor to register or renew the Marks and Associated Rights and the
maintenance of such registrations.

            f. In the event Licensor's ownership and right to the existing U.S.
Trademark for "Smith & Wollensky" are terminated for any reason whatsoever, this
Agreement shall terminate as of the date of such expiration or termination,
without either party incurring any liability thereby and thereafter Licensee
shall not be obligated to pay the Termination Fee to Licensor or make further
Additional Sale Price Payment, Percentage Royalty or other payments to Licensor.

                                       40
<PAGE>

            g. All rights in the Marks and Associated Rights, other than those
specifically granted herein are reserved by Licensor for its own use and
benefit.

17. INFRINGEMENTS

            If Licensee learns of any use by any person of a trademark or trade
name similar to the Marks or Associated Rights, then Licensee shall as soon as
practicable notify Licensor. Licensor shall take all reasonable and prudent
actions to stop any activity which constitutes an infringement of the Marks or
Associated Rights and/or the rights granted to Licensee hereunder and shall do
so at Licensor's sole cost and expense; provided, however, that Licensor shall
not be obligated to enjoin any infringement occurring outside of the United
States. Licensee agrees to cooperate fully with the prosecution of any action
brought by Licensor in connection with any such claim of infringement. If
Licensor shall not take appropriate steps to stop an infringement of the rights
granted to Licensee or an infringement of the Marks or Associated Rights
occurring within the United States within thirty (30) days of receiving written
notice thereof from Licensee, then Licensee, at Licensee's sole cost and
expense, may take such actions as Licensee in its reasonable discretion deems
advisable, including hiring attorneys and suing

                                       41
<PAGE>

for infringement, provided, however, that if Licensee's actions shall pertain to
an infringement that commences following the date of this Agreement, then
Licensor shall be obligated to reimburse Licensee within thirty (30) days of
demand therefor for any expenses, including reasonable attorneys' fees, incurred
in connection with enjoining such infringement. If Licensee shall bring any
action to enjoin an infringement of the Marks or Associated Rights or the rights
granted to Licensee hereunder (whether in the United States following Licensor's
failure to do so or outside of the United States), then Licensee shall be
entitled to retain any award or damages received in connection therewith. Any
such action brought by Licensee in connection with an alleged infringement may
be brought in the name of Licensor, Licensee or any Affiliate or Sublicensee, or
any combination thereof, as Licensee deems reasonably appropriate. Licensee
shall have the right to select counsel for any such infringement action that it
elects to commence, subject to the prior approval of Licensor which shall not be
unreasonably withheld or delayed. If Licensee does not receive notice of
disapproval from Licensor (specifying Licensor's reason(s) for such disapproval)
within twenty (20) days after receipt by Licensor of Licensee's counsel
selection, then

                                       42
<PAGE>

Licensor shall be deemed to have consented to Licensee utilizing such counsel.

18. MISCELLANEOUS

            a. This Agreement is not to be construed as a franchise agreement,
nor shall the parties hereto be considered partners or joint venturers, in any
way, manner or form, at any time or for any purpose. Nothing herein contained
shall create or be deemed to create any agency between the parties hereto, and
Licensee shall have no power or authority to obligate or bind Licensor in any
manner whatsoever.

            b. The parties hereto agree that the representations and warranties
contained in this Agreement shall survive the execution and delivery of this
Agreement.

            c. Each of the parties shall execute and deliver or cause to be
executed and delivered to the other and shall do or make or cause to be done or
made, from time to time, all instruments, consents, assignments, documents,
actions and things which may be necessary or advisable to consummate and make
effective the transactions contemplated by, or to carry out the terms of, this
Agreement, including, without limitation, subject to the provisions of paragraph
16 hereof, to maintain and enforce applications and registrations with respect
to the Marks and

                                       43
<PAGE>

Associated Rights and any modifications thereof. The parties hereto agree to
execute such other documents or agreements as may be necessary or desirable for
the implementation of this Agreement and the consummation of the transactions
contemplated hereby.

            d. Except as provided below, any controversy or claim arising out of
or relating to this Agreement or the breach thereof, shall be settled by
arbitration administered by the American Arbitration Association under its
Commercial Arbitration Rules, and judgement on the award rendered by the
arbitrator(s) may be entered in any court having jurisdiction thereof.
Notwithstanding the foregoing, either party may bring an action in any court of
competent jurisdiction where such party seeks equitable relief enjoining the use
of the Registrations, Marks or Associated Rights. Either general partner of
Licensor, without the consent of the other, may enforce Licensor's rights
pursuant to this Agreement.

            e. All notices, approvals, requests or consents permitted or
required under this Agreement shall be in writing and shall be deemed to have
been duly given when sent by certified or overnight mail or nationally
recognized overnight delivery service with return receipt requested or
acknowledged receipt or delivered personally, to the parties at their respective
addresses set forth as follows:

                                       44
<PAGE>

                  In the case of Licensee:

                         c/o The New York Restaurant Group, LLC
                         1114 First Avenue
                         New York, New York 10021

                  In the case of Licensor:

                         St. James Associates
                         797 Third Avenue
                         New York, New York 10022

                         both parties shall send copies of all notices
                         to:

                         Thomas J. Malmud, Esq.
                         Warshaw Burstein Cohen Schlesinger & Kuh
                         555 Fifth Avenue
                         New York, New York 10017

or to such other person or address as any party hereto shall specify hereunder.
Notices shall be deemed received on the earlier of actual receipt or five (5)
business days following the date such notice shall have been duly sent. Either
party may change the address hereunder or the person to whom any notice or
delivery shall be directed by a notice sent in conformance with the terms of
this paragraph. Payments by Licensee to Licensor hereunder shall be made to
Licensor at the following address unless otherwise notified in writing by
Licensor:

                         c/o The New York Restaurant Group, LLC
                         1114 First Avenue
                         New York, New York 10021

                                       45
<PAGE>

            f. Licensor hereby acknowledges that Licensee, Stillman and their
Affiliates are currently engaged in other business ventures and activities which
could be considered to be competitive with the NY Restaurant and any other
Restaurants which may hereafter be opened. Subject to the specific limitations
contained herein, Licensee, Stillman and their Affiliates may engage in other
business ventures of every nature and description, independently or with others,
including without limitation restaurant businesses in all its phases, even if
the same compete with the NY Restaurant or any Restaurants, and except as
expressly provided herein, neither Licensor nor any partner thereof shall have
any rights in or claims with respect to said ventures, or the income or profits
derived therefrom. Licensor hereby acknowledges that Affiliates of Stillman
manage both Licensor and Licensee and have ownership interests therein. Stillman
has fully disclosed such conflict of interests to Licensor and Licensor has
elected to utilize separate and independent counsel in the negotiation of this
License Agreement.

            g. This Agreement represents the entire understanding and agreement
between the parties hereto with respect to the subject matter hereof and can be
amended, supplemented or changed, and any provisions hereof can be waived only
by written instrument

                                       46
<PAGE>

making specific reference to this Agreement and signed by the party to be
charged. This Agreement may be executed in more than one counterpart, each of
which shall be deemed an original, but all of which together shall constitute
one and the same instrument.

            h. This Agreement shall be binding upon and shall inure to the
benefit of the parties hereto and their respective heirs, executors,
administrators, personal representatives, successors and assigns.

            i. The paragraph headings contained in this Agreement are for
reference purposes only and shall not affect in any way the meaning or
interpretation of this Agreement.

            j. If at any time subsequent to the date hereof, any provision of
this Agreement shall be held by any arbitration panel or court of competent
jurisdiction to be illegal, void or unenforceable, such provision shall be of no
force and effect, but the illegality or unenforceability of such provision shall
have no effect upon and shall not impair the enforceability of any other
provision of this Agreement.

            k. This Agreement shall be deemed to have been entered into in the
State of New York, and shall be construed and interpreted in accordance with the
laws of the State applicable to agreements made and to be performed in the State
of New York

                                       47
<PAGE>

(without reference to principles of conflicts of laws or the location of
Restaurants), except that any and all disputes, controversies and claims arising
out of or relating to the ownership, registration or application for
registration of the Marks shall be determined under the United States federal
trademark law.

            l. The failure of either party to claim or assert a right under this
Agreement will not be deemed a waiver thereof unless a time limit is provided in
this Agreement for the exercise of such rights. Any waiver, whether express or
implied of any provision of this Agreement shall not constitute a continuing
waiver of such provision or of any other provision of this Agreement. All
remedies specified herein or otherwise available shall be cumulative and in
addition to any and every other remedy provided herein or now or hereafter
available.

            m. Licensee shall bear all of its own expenses incurred in
connection with its use of the Marks and Associated Rights, including the
payment of all applicable taxes (national, state, local and foreign). Licensor
shall pay all of its own taxes on royalty payments received by it, but shall not
be responsible for any portion of Licensee's taxes on Restaurant Sales or
Non-Restaurant Sales.

                                       48
<PAGE>

            n. The provisions and covenants set forth in this Agreement are made
solely for the benefit of the parties to this Agreement and their permitted
successors and assigns and not for the benefit of any other person, and no other
person shall have any right to enforce these provisions and covenants against
any party to this Agreement.

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

                                     ST. JAMES ASSOCIATES (Licensor)

                                     By:  Chamblair Realty, Inc. and
                                          Smith & Wollensky Operating Corp.,
                                          general partners

                                     By: /s/ Thomas J. Malmud
                                        ----------------------------------------
                                     Name: Thomas J. Malmud
                                     Title: President, Chamblair
                                     Realty Corp.

                                     By: /s/ Alan N. Stillman
                                        ----------------------------------------
                                     Name: Alan N. Stillman
                                     Title: President, Smith &
                                     Wollensky Operating Corp.

                                     THE NEW YORK RESTAURANT GROUP, LLC
                                     (Licensee)

                                     By:  LaCite, Inc., its manager

                                     By: /s/ Alan N. Stillman
                                        ----------------------------------------
                                     Name: Alan N. Stillman
                                     Title: President

                                       49
<PAGE>

                                   SCHEDULE A

                                  Registrations
<PAGE>

Doc F-1 of Set #1

      SMITH & WOLLENSKY

Status:     REGISTERED

Gds/Svcs:   Int'l. Cl.: 42 (U.S. Cl.: 100)
            RESTAURANT SERVICES.
            First Use: 09/1977                 In Commerce: 09/1977

Reg. No.:   1,271,216 Registered: 03/20/1984
Serial No.: 73-411479      Filed: 01/31/1983 Published: 12/27/1983

Affidavits: 8 & 15 09/06/1989

Corresp.:   ALAN H. LEVINE
            FIDDLER & LEVINE
            350 5TH AVE.
            NEW YORK NY 10118

Registrant: ST. JAMES ASSOCIATES, PARTNERSHIP COMPOSED OF ALLAN N. STILLMAN
            (UNITED STATES CITIZEN) AND CHAMBLAIR REALTY, INC. (NEW YORK
            CORPORATION) (NY PARTNERSHIP) 1114 FIRST AVENUE NEW YORK, NY 10022
<PAGE>

Doc F-2 of Set #1

      WOLLENSKY'S GRILL

Status:     REGISTERED

Gds/Svcs:   Int'l. Cl.: 42 (U.S. Cl.: 100)
            RESTAURANT SERVICES
            First Use: 12/22/1980              In Commerce: 12/22/1980

Reg. No.:   1,399,014 Registered: 06/24/1986
Serial No.: 73-566896      Filed: 11/04/1985 Published: 04/01/1986

Owns:       1,271,216

Disclaims:  "GRILL"
Affidavits: 8 & 15 12/15/1992

Owner:      ST. JAMES ASSOCIATES,  COMPOSED OF SMITH & WOLLENSKY OPERATING
            CORP., A NEW YORK CORPORATION (NY LTD. PARTNERSHIP)
            NEW YORK, NY

Registrant: ST. JAMES ASSOCIATES, COMPOSED OF ALAN N. STILLMAN, A U.S. CITIZEN
            AND CHAMBLAIR REALTY CORP., A N.Y. CORPORATION (NY LTD.
            PARTNERSHIP) NEW YORK, NY

Assignments:

Assignee:   ST. JAMES ASSOCIATES (NY A LIMITED PARTNERSHIP) NEW YORK, NY
Assignor:   ST. JAMES ASSOCIATES (NY A LIMITED PARTNERSHIP)
Recorded:   10/19/1992 Assigned: 10/09/1992 Reel/Fr.: 0899/0126
  Action:   NUNC PRO TUNC JULY 1, 1986
<PAGE>
                               [GRAPHIC OMITTED]

Int. Cl.: 42

Prior U.S. Cl.: 100

                                                              Reg. No. 1,572,565
                                                         Registered Dec.19, 1989

                    United States Patent and Trademark Office
--------------------------------------------------------------------------------

                                  SERVICE MARK
                               PRINCIPAL REGISTER

                   IF STEAK WERE A RELIGION, THIS WOULD BE ITS
                                    CATHEDRAL

ST. JAMES ASSOCIATES (PARTNERSHIP),       FIRST USE 6-0-1986; IN COMMERCE
 DBA SMITH & WOLLENSKY                   6-0-1986.
THE NEW YORK RESTAURANT GROUP, INC.
1114 FIRST AVENUE
NEW YORK, NY 10021                        SER. NO. 73-777,747, FILED 1-30-1989.

  FOR: RESTAURANT SERVICES, IN CLASS
42 (U.S. CL. 100).                       LALITHA MANI, EXAMINING ATTORNEY
<PAGE>

                               [GRAPHIC OMMITTED]

                              BENELUX-MERKENBUREAU
                             BEWIJS VAN INSCHRIJVING

01 Inschrijvingsnummer
      555703
Nummer en dagtekening (dag en uur) van het depot
      828578      09.06.1994,24.00
02 Vervaldatum
      09.06.2004
03 Naam van de deposant
      St. James Associates, New York corporation
04 Adres (straat en nummer) van de deposant
      c/o The New York Restaurant Group Inc.
      1114 First Avenue
05 Postcode, plaats en land van de deposant
      New York - New York 10021,
      Ver.St.v.Am.
06 Naam en adres van de gemachtigde of vermelding van het correspondentie-adres
van de deposant
    Nederlandsch Octrooibureau
    Scheveningseweg 82
    2517 KZ's-Gravenhage
    Nederland.
08 Woordmerk
    SMITH & WOLLENSKY
13 Klasse-aanduiding en opgave van de waren en diensten
    Kl 42 Diensten van een restaurant.
14 Klasse-opsomming (00 = tot en met)
    42
Publikatiedatum van de inschrijving
    05/1995
Kenmerken van de deposant of de gemachtigde
    ma 5786- 1 Ben 941492 wm/mjv

Den Haag, 02/05/1995                                           /s/ P. Rome
                                                                   P. Rome
                                                                  Directeur
<PAGE>

                 INSTITUT NATIONAL DE LA PROPRIETE II USTRIELLE

    DIVISION DES MARQUES - 32, rue des Trois Fontanot - 92016 NANTERRE Cedex

Telex: INPI DEF                                                Tel.:(1) 46 92
614 096 F

                              MARQUES DE FABRIQUE,
                                   DE COMMERCE
                                  OU DE SERVICE
                  (Loi n (Degrees) 64-1360 du 31 decembre 1964
                  Decret n (Degrees) 65-621 du 27 juillet 1965)

                           Certificat d'enregistrement

            Le Directeur General de l'Institut national de la propriete
            industrielle certifie que la marque reproduite au verso a ete
            enregistree.

            La date legale d'enregistrement est celle a laquelle la demande a
            ete deposee.

            Le depot produit ses effets pendant 10 ans a compter de cette date.

            Toutefois, le depot en renouvellement tardif a une duree de validite
            de 10 ans a compter du jour de l'expiration du depot precedent.

            L'enregistrement sera publie au Bulletin Officiel de la Propriete
            Industrielle

            n (Degrees) 91/56

                                     Le Directeur general de l'Institut national
                                             de la propriete industrielle

                                                  /s/ J.C. COMBALDIEU

                                                    J.C. COMBALDIEU
<PAGE>

                               [GRAPHIC OMITTED]

                                                      CABINET LAVOIX
                                                      2 Place d'Estienne d'Orves
                                                      75009 PARIS

                                SMITH & WOLLENSKY

                      Enregistrement N(degrees) : 1 682 457

                                       Depot du : 23 JUILLET 1991
                                              a : I.N.P.I
                             sous le N(degrees) : 299 789

                  ST. JAMES ASSOCIATES, (association regie salon les lois de
                  l'Etat de New-York), 1114 First Avenue, NEW-YORK, Etat de
                  New-York 10021, ETATS UNIS D'AMERIOUE.

                  Mandataire: LE CABINET LAVOIX.

                  Produits ou service designes : Hotellerie, restauration.
                  Maisons de repos et de convalescence. Pouponnieres.
                  Accompagnement en societe. Agences matrimoniales. Salons do
                  beaute, de coiffure. Pompes funebres, fours crematoires.
                  Reservation de chambres d'hotel pour voyagours. Travaux
                  d'ingenieurs, consultations professionnelles et etablissement
                  de plans sans rapport avec la conduite des affaires. Travaux
                  du genie (pas pour la construction). Prospection. Forages.
                  Essais de materiaux. Laboratoires. Location de materiel pour
                  exploitation agricole, do vetements, de literie, d'appareils
                  distributeurs. Imprimerie.Programmation pour ordinateurs.

                  Classes de produits ou services : 42.

                  La protection est revendiquee pour la totalite des services
                  entrant dans la classe ci-dessus indiquee.
<PAGE>

                           BUNDESREPUBLIK DEUTSCHLAND

                               [GRAPHIC OMITTED]

                                     URKUNDE

                  Uber die Eintragung des umstehenden Zeichens

                               DEUTSCUES PATENTAMT

                               [GRAPHIC OMITTED]

<PAGE>

Klasse                                                              Aktenzeichen
--------------------------------------------------------------------------------

42                                                                 S 52475/42 Wz

                               SMITH & WOLLENSKY

      10.6.91 St. James Associates, New York, N.Y. (V.St.A.).

      Vertr.: Stolberg, U., Graf, Dr.; Suchantka, J., Dipl.-Ing.; Huber, A.,
Dipl.-Ing.; Kameke, A. v., Dr.; Voelker, I., Dipl.-Biol.; Franck, P., Dr.; Both,
G., Dr., Pat.-Anwalte, 2000 Hamburg.
      Geschaftesbetrieb: Restaurant.
      Waren/Dienstleistungen: Bewirtung von Gasten. GK. 42.

--------------------------------------------------------------------------------
     Eingetragen am                                        Nummer

      01.06.93                                             2037384
--------------------------------------------------------------------------------
Schutzdauer verlangert mit Wirkung vom:

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

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

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

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

--------------------------------------------------------------------------------
  Bei Eintragung nach ss. 6a Warenzeichangesetz:
  Widerspruchsverfahren abgeschlossen am

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

Geloscht am
================================================================================
                          Internationale Registrierung
--------------------------------------------------------------------------------
    Registriert unter Nr.                                      am

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

Geloscht am
--------------------------------------------------------------------------------
<PAGE>

                               [GRAPHIC OMITTED]

           MINISTERO DELL'INDUSTRIA DEL COMMERCIO E DELL'ARTIGIANATO
                  D.G.P.I. - UFFICIO ITALIANO BREVETTI E MARCHI

                ATTESTATO DI REGISTRAZIONE PER MARCHIO D'IMPRESA
                               Tipo PRIMO DEPOSITO

                                   N. 00613631

Il presente attestato viene rilasciato per il marchio d'impresa oggetto della
domanda:

       ----------------------------------------------------------------
           num.                                            data pres.
         domanda         anno           U.P.I.C.A.          domanda
       ================================================================

         002930           91            ROMA               12/08/1991
       ----------------------------------------------------------------

            TITOLARE    ST. JAMES ASSOCIATES A NEW YORK, NEW YORK
                        (USA)

            RAPPR.TE    DE SIMONE DOMENICO

            INDIRIZZO   BARZANO' E ZANARDO ROMA SPA
                        VIA PIEMONTE 26
                        00100 ROMA

            MARCHIO     L' ESEMPLARE DEL MARCHIO PRODOTTI E SERVIZI
                        DA CONTRADDISTINGUERE SONO QUELLI INDICATI
                        NELLA UNITA DICHIARAZIONE DI PROTEZIONE

                               [GRAPHIC OMITTED]

   Roma, 30 DICEMBRE 1993                                           IL DIRIGENTE
                                                         Fir.to     SANTE PAPARO
Consegnato dal Direttore Upica di Roma
o facente funzione il                                    FIRMA

                          14 SET. 1994 /s/ [ILLEGIBLE]

La registrazione dura dieci anni a partire dalla data di deposito
della domanda
<PAGE>

RM 91 COO2930

                               [GRAPHIC OMITTED]

                           DICHIARAZIONE DI PROTEZIONE

di cui all'art.4 del Regolamento approvato con Decreto 8 Maggio 1948, n. 795,
concernente la registrazione di un Marchio d'Impresa di servizio di primo
deposito a nome della Sacieta:

ST. JAMES ASSOCIATES (Societa costituita secondo le leggi dello Stato di New
York) 1114 First Avenue, New York, New York 10021, S.U.A. di nazionalita: S.U.A.

      Il marchio consiste nella dicitura:

                                SMITH & WOLLENSKY

(come da esemplare in calce)

      Il marchio potra essere usato dalla Richiedente sui prodotti, involucri,
etichette, stampati, nella pubblicita (compresa la trasmissione radiotelefonica
e radiotelevisiva, la proiezione cinematografica ed ogni altro mezzo di
propaganda), ecc..., in qualsiasi dimensioni, caratteri e colori, essendo
riprodotto sia mediante stampa, impressione o rilievo, sia in ogni altro modo
canveniente.

      Il marchio serve a contraddistinguere i seguenti servizi che la
Richiedente intende esercitare nel territorio dello Stato ed in ogni altro
territorio in cui spieghi efficacia la legge Italiana, o introdurre nel
territorio stesso per scopi commerciali: "Servizi di ristorante; Servizi di
ristorazione" (classe 42)
<PAGE>

                                SMITH & WOLLENSKY

Roma, 12 Agosto 1991

p.p. ST. JAMES ASSOCIATES

Ing. Barzano & Zanardo Roma S.p.A.

/s/ Domenico de Simone

[ILLEGIBLE] MANDATARIO                                                  NdS/OG.-
[ILLEGIBLE]
Domenico de Simone
(Il d'iscr. 377)

                               [GRAPHIC OMITTED]
<PAGE>

                  A TRADE MARKS [GRAPHIC OMITTED] Registration
                       REGISTRY                   Certificate

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

          Trade Marks Act 1938 of Great Britain and Northern Ireland

                                SMITH & WOLLENSKY

The Mark shown above has been registered in Part B of the Register under No.
1466535 as of the date 07.06.1991 in respect of:

Class 42:
Restaurant and bar services; all included in Class 42.

In the name of:

St. James Associates
(United States of America, New York)

Registration of this mark shall give no right to the exclusive use of the word
"Smith".

--------------------------------------------------------------------------------
Sealed this day at my direction

/s/ Paul [ILLEGIBLE]
P.R.S HARTNACK, REGISTRAR
<PAGE>

                                                             Filed July 24, 1996
                                                   Serial No. : Not yet assigned

                                                                    SERVICE MARK
                                                                       1495-4024

APPLICANT                -                 St. James Associates, d.b.a. Smith &
                                           Wollensky, a New York Partnership
                                           composed of the following general
                                           partners: Smith & Wollensky Operating
                                           Corp., a New York Corporation and
                                           Chamblair Realty, Inc., a New York
                                           Corporation

ADDRESS                  -                 c/o The New York Restaurant Group,
                                           L.L.C.
                                           1114 First Avenue
                                           New York, New York 10021

DATE OF FIRST USE        -                 At least as early as June, 1986

IN COMMERCE              -                 At least as early as June, 1986

SERVICES                 -                 Class 42: Restaurant services

                   THE QUINTESSENTIAL NEW YORK CITY STEAKHOUSE

ATTORNEYS         -   MORGAN & FINNEGAN, L.L.P.
ADDRESS           -   345 Park Avenue, New York, New York 10154
Ref.: 1495-4024<PAGE>

                                                                   Exhibit 10.14

                          LIMITED PARTNERSHIP AGREEMENT

                                       OF

                              ST. JAMES ASSOCIATES

                                                       Dated: September 12, 1977
<PAGE>

                              ST. JAMES ASSOCIATES

                                TABLE OF CONTENTS

                                                                            Page
                                                                            ----
 1. Definitions                                                               1
 2. Formation                                                                 6
 3. Name                                                                      6
 4. Term                                                                      6
 5. Purpose                                                                   6
 6. General and Limited Partners                                              7
 7. Capital Contributions                                                     7
 8. Additional Capital                                                        7
 9. Rights, Duties and Obligations of Partners                               11
10. Profits and Losses, Distributions                                        19
11. Restrictions on Transfer                                                 27
12. Death, Retirement, Bankruptcy, etc. of a General Partner                 36
13. Limited Partners                                                         36
14. Termination                                                              38
15. Representations and Covenants of the Stillman Group                      39
16. Indemnity                                                                42
17. Books and Records                                                        43
18. Bank Accounts                                                            45
19. Power of Attorney                                                        45
20. Distribution after Termination                                           47
21. Withdrawal                                                               48
22. Arbitration                                                              48
23. Notices                                                                  49
24. Captions                                                                 50
25. Variations in Pronouns                                                   50
26. Miscellaneous                                                            50
<PAGE>

                          LIMITED PARTNERSHIP AGREEMENT

                                       OF

                              ST. JAMES ASSOCIATES

            LIMITED PARTNERSHIP AGREEMENT made as of this 12th day of September,
1977, by and among the parties signing this agreement.

                                   WITNESSETH:

1. DEFINITIONS

            The following terms shall have the following meanings:

            (A) "Act" shall mean the Securities Act of 1933 as amended;

            (B) "Affiliate" shall have the meaning set forth in Rule 405
            promulgated under the Act;

            (C) "Agreement" shall mean this partnership agreement between the
            General Partners and the Limited Partners, pursuant to which the
            Partnership is organized;

            (D) "Available Funds" shall have the meaning set forth in Article 10
            ["Profits and Losses, Distributions"];

                                       1
<PAGE>

            (E) "Balance Sheet" shall have the meaning set forth in Article 15
            ["Representations and Covenants of the Stillman Group"];

            (F) "Contracts" shall have the meaning set forth in Article 15
            ["Representations and Covenants of the Stillman Group"];

            (G) "Capital Percentage" shall mean the ratio of the capital
            contributed by a Partner to the capital contributed by all Partners
            as set forth on Exhibit "A" as the same may be adjusted as permitted
            herein;

            (H) "Corporate General Partner" shall mean Chamblair Realty, Inc.
            one of the General Partners of the Partnership;

            (I) "Distributions" shall have the meaning set forth in Article 10
            ["Profits and Losses; Distributions"];

            (J) "Excess Proceeds" shall have the meaning set forth in Article 10
            ["Profits and Losses; Distributions"];

            (K) "General Partners" shall mean Alan N. Stillman and Chamblair
            Realty, Inc., as a group;

            (L) "Group" shall mean the Investor Group or the Stillman Group, as
            the context requires;

            (M) "Incentive Management Fee" shall have the meaning set forth in
            Article 9 ("Rights, Duties and Obligations of Partners");

                                       2
<PAGE>

            (N) "Interest Notice of Election" shall have the meaning set forth
            in Article 11 [Restrictions on Transfer"]

            (0) "Interest Offered Price" shall have the meaning set forth in
            Article 11 ["Restrictions on Transfer"];

            (P) "Interest Option Notice" shall have the meaning set forth in
            Article 11 ["Restrictions on Transfer"];

            (Q) "Investor Group" shall mean the following Partners: Leon Levy,
            Jack Nash, Dr. Albert Willner, Myron Chase, James H. Levi, Peter
            Venison, Arnold Adlin, Colin Keith and the Corporate Partner, and
            any successor or assign of any of the foregoing to the extent of the
            interest assigned, jointly (except as otherwise provided in the
            Agreement) and severally;

            (R) "Limited Partner" shall mean any limited partner of the
            Partnership and "Limited Partners" shall mean each limited partner
            collectively;

            (S) "Mortgage Proceeds" shall have the meaning set forth in Article
            10 ["Profits and Losses; Distributions"]

            (T) "Net Profits or Net Losses" shall mean the gross revenues
            received by the Partnership from operations less Operating Expenses;

            (U) "New Master Limited Partnership" shall have the meaning set
            forth in Article 9 ("Rights, Duties and Obligations of Partners").

                                       3
<PAGE>

            (V) "Notice of Election" shall have the meaning set forth in Article
            11 ["Restrictions on Transfer"];

            (W) "Offered Price" shall have the meaning set forth in Article 11
            ["Restrictions on Transfer"];

            (X) "Offering Partner" shall have the meaning set forth in Article
            11 ["Restrictions on Transfer"];

            (Y) "Operating Expenses" shall mean all expenses of the Partnership
            except depreciation, investment credit, sales tax, mortgage
            recording tax, transfer tax, franchise taxes, occupancy taxes, if
            any, unincorporated business taxes, charitable contributions,
            interest, rent, if any, real estate taxes and other similar items
            (however, any of the foregoing may be characterized for tax
            purposes);

            (Z) "Option Notice" shall have the meaning set forth in Article 11
            ["Restrictions on Transfer"];

            (AA) "Partner" shall mean any signatory hereto (including the
            General Partners) and a successor or assign thereof upon the
            admission of such successor or assign as a Partner;

            (BB) "Partnership" shall mean the Partnership organized under this
            Agreement and the certificate filed pursuant thereto;

            (CC) "Property" shall mean the leasehold interest in the land and
            building (collectively) on which the Restaurant is operated;

                                       4
<PAGE>

            (DD) "Restaurant" shall mean a first-class restaurant serving steak
            and other meat and fish dinners and beverages to patrons primarily
            for sit-down on-premises consumption at 797 Third Avenue, New York
            City;

            (EE) "Realty Partnership" shall mean a New York limited partnership
            known as M W Realty Associates;

            (FF) "Realty Partnership Agreement" shall mean the limited
            partnership agreement under which the Realty Partnership was
            organized;

            (GG) "Recipient" shall have the meaning set forth in Article 11
            ["Restrictions on Transfer"];

            (HH) "Recipient Group" shall have the meaning set forth in Article
            11 ["Restrictions on Transfer"];

            (II) "Sales Proceeds" shall have the meaning set forth in Article 10
            ["Profits and Losses; Distributions"];

            (JJ) "Stillman" shall mean ALAN N. STILLMAN, one of the General
            Partners;

            (KK) "Stillman Group" shall mean the following Partners: Stillman,
            Bennett Benson, Ernest Kalman Stanley Blumenfeld, Eugene Byrne,
            James Gannon and Joseph Phair, and any successor or assign of any of
            the foregoing, to the extent of the interest assigned, jointly and
            severally;

                                       5
<PAGE>

            (LL) "Supplemental Capital Contribution shall have the meaning set
            forth in Article 8 ["Additional Capital"];

            (MM) "Supplemental Contributor" shall have the meaning set forth in
            Article 8 ["Additional Capital"];

            (NN) "Term" shall have the meaning set forth in Article 4 ["Term"].

2. FORMATION

            The parties hereto do hereby form a limited partnership (the
"Partnership") pursuant to the provisions of the Uniform Limited Partnership Law
of the State of New York. The office of the Partnership shall be c/o TWTF
Restaurant Group, 401 East 63rd Street, New York, N. Y. 10022, or such other
place as the General Partners may determine.

3. NAME

            The Partnership shall be conducted under the firm name and style of
ST. JAMES ASSOCIATES.

4. TERM

            The term of the Partnership ("Term") shall commence as of the date
hereof and continue until terminated as provided in Article 14 ("Termination").

5. PURPOSE

            The principal purpose of the Partnership is to operate the
Restaurant in a portion of the building located on the real

                                       6
<PAGE>

property at the corner of Third Avenue and East 49th Street (said real property
and building and any fixtures or personal property owned by the Partnership and
located therein being hereafter collectively called the "Property") and to
conduct therein all other activities related to such Restaurant.

6. GENERAL AND LIMITED PARTNERS

            (A) GENERAL PARTNERS

                  ALAN N. STILLMAN, residing at 322 East 57th Street, New York
City ("Stillman") and CHAMBLAIR REALTY, INC., a New York corporation, with an
office c/o Warshaw, Sylvester, Burstein & Franks, at 555 Fifth Avenue, New York,
N. Y. 10017, shall be the General Partners.

            (B) LIMITED PARTNERS

                  The Limited Partners shall be the persons whose names,
addresses, Group and respective Capital Percentages appear on Exhibit A as
Limited Partners.

7. CAPITAL CONTRIBUTIONS

            The capital contributions with which the Partnership shall commence
business is $275,000. Each of the Partners has contributed to the capital of the
Partnership, in cash, the sum set forth opposite his name on Exhibit A.

8. ADDITIONAL CAPITAL

            (A) No Partner is required to make an additional capital
contribution except as set forth in subparagraph (B). However, voluntary capital
contributions are permitted under the circumstances set forth below in
subparagraphs (C)-(D) of this Article 8.

                                       7
<PAGE>

            (B) If the Partnership requires additional funds at any time, or
from time to time, the Stillman Group shall advance and re-advance the first
$50,000 of those funds, and if $50,000 has been so advanced by the Stillman
Group and has not been repaid, in whole or in part, by the Partnership, the
members of the Investor Group shall (subject to compliance by the Stillman Group
with its obligations hereunder) advance and re-advance, as and when needed by
the Partnership, as determined by the General Partners in their reasonable
discretion (which discretion may be exercised notwithstanding the willingness of
Partners or others to lend the Partnership money as permitted under Article 9
["Rights, Duties and Obligations of Partners"] their respective PRO RATA shares
of a total of $50,000 (each Partner to advance up to the amount set forth on
Exhibit A opposite his name), provided however if, at any time, the unrepaid
advances of the Stillman Group is less than $50,000, the Stillman Group shall
first advance the difference and only after the total of all advances by the
Stillman Group which remains unrepaid by the Partnership aggregates $50,000 may
the Investor Group be requested, as set forth above, to advance or re-advance
any portion of the next $50,000; and provided further however, that the
obligation of the Stillman Group and the Investor Group under this subparagraph
(B) shall not, at any time, exceed the aggregate of $100,000 and shall be
reduced by the amount of any sums advanced and unrepaid under subparagraph (B)
of Article 8 of the Realty Partnership Agreement. All sums advanced hereunder
shall be repaid, without interest, as provided in Article 10 ("Profits and
Losses; Distributions").

            (C) If, at a time when the Partners are not obligated

                                       8
<PAGE>

under subparagraph (B), the business of the Partnership requires additional
funds, or if the contributions so required under subparagraph (B) are not
made, the General Partners, without waiving any other rights they may have,
shall submit to the Partners a plan to obtain such additional funds through
PRO RATA voluntary contributions 58.3333% thereof from the Stillman Group and
41.6667% thereof from the Investor Group. If Partners holding an aggregate of
67 in Capital Percentage (including members of the Investor Group holding 67
in Capital Percentage) then approve the plan, the General Partners shall
implement it and all Partners shall be bound thereby. If the Plan is not so
approved, or if having been approved is not implemented in accordance with
its terms, the General Partners acting jointly may either (1) seek to obtain
a voluntary capital contribution or contributions to the Partnership from one
or more persons, firms or corporations (including but not limited to,
existing Limited Partners who are members of the Investor Group, the General
Partners, or Affiliates of any of the foregoing) desiring to make a capital
contribution to the Partnership of all or part of the required additional
funds, upon such terms and conditions, and with such dilution or priorities
in allocations or Distributions or both (including adjustments in Capital
Percentages) as the General Partners may reasonably determine, and may admit
additional partners for this purpose; or (2) obtain from one or more persons,
firms or corporations (including but not limited to, existing Partners or
Affiliates of the foregoing) loans of such sums as are felt necessary, which
loans shall be repayable on such terms as may be agreed to by the General
Partners, as permitted under Article 9 ("Rights, Duties and Obligations of
Partners"). (Any such voluntary contributions to the Partnership by a person,
firm or corporation [including but not limited to such existing

                                       9
<PAGE>

Partners or Affiliates of any of the foregoing] shall be called a "Supplemental
Capital Contribution" and the person, firm or corporation making such
Supplemental Capital Contribution shall be called a "Supplemental Contributor".)
To the extent any Supplemental Capital Contributions in excess of the amounts
needed are contributed, such excess Supplemental Capital Contributions shall be
promptly returned in such proportion as the General Partners shall determine,
without interest, to each Supplemental Contributor, but the Supplemental
Contributor shall not be entitled to the benefits of subparagraphs (C) and (D)
with respect to such excess.

            (D) Upon the making of a Supplemental Capital Contribution, the
Supplemental Contributor shall receive from the Net Profits, Net Losses and
Distributions, such priorities and preferences, and in addition, the Capital
Percentage that the General Partners shall reasonably determine to be
appropriate.

            (E) Each of the Partners acknowledges that his failure to make the
capital contribution required under subparagraph (B) and the subsequent need for
funds at a time when the Partners are not obligated thereunder may subject the
Partnership and each of the other Partners to losses in an amount presently
impossible to calculate with any accuracy. Accordingly, each Limited Partner
accepts the procedure whereby his Partnership interest may be diluted or
subordinated as provided in subparagraphs (C) and (D) of this Article, and as
permitted under Article 9 ("Rights, Duties and Obligations of Partners") as fair
compensation for the loss (in the nature of liquidated damages) which the
Partnership and the Partners who do make capital contributions will suffer, and
not as a penalty. Furthermore, except as provided for in this Article, neither
the Partnership nor any Partner or other person,

                                       10
<PAGE>

firm or corporation shall have any other remedies, and no Partner shall be
subject to any liability other than as set forth in this Article arising from
the failure of a Partner to volunteer to make capital contributions. The
personal liability of the Partners to make capital contributions under
subparagraph (B) shall be limited to the respective sums set forth on Exhibit A,
opposite each Partner's name, plus interest as permitted by law.

            All contributions made under this Article shall be sent to the
principal office of the Partnership in the manner set forth in the notice, or to
such other place as set forth in a notice.

9. RIGHTS, DUTIES AND OBLIGATIONS OF PARTNERS

            (A) Except as specifically qualified by this Agreement, the General
Partners shall have all the rights and powers and be subject to all of the
restrictions and liabilities of a general partner under the Uniform Limited
Partnership Law of the State of New York.

            (B) As part of the ordinary business of the Partnership, the General
Partners shall manage the affairs of the Partnership and, in that connection,
without limitation, have all the powers of a partner in a partnership which is
not a limited partnership and owns, operates and manages a first-class
restaurant open to the public.

            (C) The General Partners may, but are not required to borrow from
any source, including Partners, or the Realty Partnership or Affiliates thereof,
upon such terms as the General Partners may determine. In connection with any
such loan which may be made, the General Partners may also agree to repay such
loan with or without interest prior to making any Distributions under Article 10
("Profits and Losses; Distributions").

                                       11
<PAGE>

            (D) Each Partner recognizes that the other Partners and their
respective Affiliates are presently engaged in other business ventures and
activities which could be considered to be competitive with the activities of
the Partnership. The General Partners and any Limited Partner may engage in
other business ventures of every nature and description, independently or with
others, including but not limited to, the real estate or restaurant businesses
in all its phases, even if same competes with the Partnership, and neither the
Partnership nor any Partner hereof shall have any rights in and to said
independent venture, or the income or profits derived therefrom, by reason of
his interest in this Partnership.

            (E) The Stillman Group shall receive, as an Incentive Management
Fee, $30,000 PER ANNUM paid at the time described in and subject to the
conditions of subparagraphs (F)(9) and, if applicable, F(8) of Article 10
("Profits and Losses; Distributions") and the share of Distributions allocated
to the Stillman Group as provided for in subparagraph (F)(6), (F)(7), (F)(10)
and (G) of Article 10 ("Profits and Losses; Distributions").

            (F) Subject to the subsequent provisions of this subparagraph (F),
the General Partners may employ, on behalf of the Partnership, such persons,
firms or corporations as it, in its sole judgment, shall deem advisable,
necessary or helpful for the proper

                                       12
<PAGE>

and efficient operation and management of the business of the Partnership,
including a general contractor or management agents, investment advisors,
brokers, accountants and lawyers, even if any is an Affiliate, on such terms and
for such compensation as they, in their sole judgment shall determine, provided
the compensation and terms are comparable to those generally available in New
York City from firms which are not related. The fact that a Partner or any
member of the family of a Partner or Affiliate of a Partner is directly or
indirectly interested in or connected with any person, firm or corporation
employed by the Partnership to render or perform a service, or from which or
whom the Partnership may buy merchandise or other property, shall not prohibit
the General Partner from employing such person, firm or corporation or from
otherwise dealing with him or it, provided the terms and compensation are
comparable with those available in New York City from firms which are not
related. Without limiting the foregoing, TWTF Restaurant Group may be retained
by the Partnership to provide the Partnership and the Realty Partnership with
all necessary bookkeeping, accounting and normal legal services for which it
will be paid an annual fee of 2.3% of all Sales (hereafter defined) for Sales in
such year of $2 million or less, and 1.3% of all Sales in such year which exceed
$2 million. As used herein, the term "Sales" shall mean all monies received by
the Partnership or for its account, from the operation of the

                                       13
<PAGE>

Restaurant, in cash, by credit card or otherwise, but less, as to all the
foregoing, in respect of the Restaurant, bona fide refunds to customers,
gratuities and tips in fact paid out by the Partnership to employees of the
Restaurant, the value of meals served to employees and taxes imposed and paid by
the Partnership on customer checks. If any portion of the Property is occupied
by TWTF Restaurant Group, or any Affiliate, except as an office of the manager
used exclusively for the business of the Partnership or the Realty Partnership,
TWTF Restaurant Group or such Affiliate shall pay fair rental value therefor.

            (G) The General Partners are hereby authorized without limitation
(1) to maintain title to the assets of the Partnership in the name of an
individual or corporate nominee or (2) to transfer such assets to a duly
organized corporation in exchange for stock in said corporation, if in their
sole judgment and discretion the corporate form of organization would best serve
the interests of the Partners hereto. Each Partner shall have the same
proportionate beneficial interest in the stock of said corporation as he had
with respect to the Partnership but the stock may be issued in the name of the
General Partners and held in trust for the benefit of the Partners. Officers and
Directors of such corporation shall be elected by the Partners upon such terms
and conditions as the General Partners, in their sole discretion, deem
advisable. The General Partners may elect to distribute the stock to the
Partners, in which event the Partners, as stockholders, shall continue to be
bound by the provisions of Article 9 ("Rights, Duties and Obligations of
Partners") and Article 10 ("Profits and Losses, Distributions") and Article 8
("Additional Capital")

                                       14
<PAGE>

of this Agreement except that the difference between the fair market value of
the stock (determined by an independent appraisal of the assets of the
corporation) and the value at which it is carried on the books of the
Partnership shall be determined, and the difference shall be credited or charged
to the Partners in accordance with their Capital Percentages.

            (H) Notwithstanding the provisions of subparagraph (G) of this
Article, the Corporate General Partner may at any time elect to organize a new
limited partnership (the "New Master Limited Partnership"), in which event the
members of the Investor Group will if requested by the Corporate General Partner
at any time, or from time to time, assign all, or any part, of their respective
partnership interests in the Partnership to such New Master Limited Partnership
and such New Master Limited Partnership may become a limited partner of this
partnership. The partnership agreement of the New Master Limited Partnership
shall contain terms and conditions substantially similar to those of this
Agreement but in addition shall contain such additional terms and conditions as
may be reasonably requested by the members of the Stillman Group to protect the
rights and privileges of the Stillman Group under this Agreement. After the
transfer to the New Master Limited Partnership the general partner thereof may,
in his or its discretion, determine that it be preferable that the

                                       15
<PAGE>

partners of the New Master Limited Partnership again be limited partners of this
Partnership; in which event such partnership interests will, if requested, be
re-transferred, in whole or in part as so requested, to this Partnership
whereupon the assignees may again request to become Limited Partners of this
Partnership, but shall otherwise be revested with their other rights and
privileges hereunder.

            (I) No General Partner shall be liable, responsible or accountable
in damages or otherwise to any of the Limited Partners, for acts performed
within the scope of the authority conferred by this Agreement, except for acts
of willful misconduct, fraud, bad faith or gross negligence, PROVIDED FURTHER
HOWEVER, that such limitation shall not affect any of the rights granted the
Partners by the Act.

            (J) The General Partner shall, if requested, make the election
described in Section 754 of the Internal Revenue Code, or provisions comparable
thereto, at the time of such election.

            (K) The powers and rights of the General Partners, conferred under
this Agreement or by law, may be exercised by either of them except:

                                       16
<PAGE>

            (1) Where the vote of the Partners is required as set forth in
            subparagraph (L) of this Article 9; and

            (2) The Corporate General Partner shall devote or cause to be
            devoted to the Partnership business such time and effort which in
            its sole discretion it feels is necessary for the proper conduct of
            the business of the Partnership, and Stillman shall supervise the
            ownership and day-to-day management of the Property and Restaurant
            without, except as set forth below, obtaining the approval of the
            Corporate General Partner; and

            (3) The consent or approval of all General Partners shall be
            required for any decision concerning:

                  (a) the need for and method of obtaining additional funds
            solicited under Articles 8 ("Additional Capital") or 9 ("Rights,
            Duties and Obligations of Partners") and the admission of a new
            partner or the granting of any preferences to an existing Partner;

                  (b)(i) the sale, leasing or mortgaging of the Property or
            Restaurant, or (ii) the modification of any existing mortgage, lease
            or similar document;

                                       17
<PAGE>

                  (c) the granting of an option to purchase or lease the
            Property or Restaurant;

                  (d) changing the operation of the Property from a Restaurant;

                  (e) incurring of an obligation -- contingent or otherwise --
            in excess of $5,000.00, in one transaction or in a series of related
            transactions, (except for the incurring in a single transaction or
            series of related transactions the customary obligations of a
            restaurant business in excess of $10,000.00) or incurring any
            liability or obligations with an Affiliate;

                  (f) the making of any capital improvement in excess of
            $10,000.00 to the Property or Restaurant;

                  (g) determining insurance coverage and limits;

                  (h) determining whether to cease conducting business;

                  (i) the content of the Partnership tax returns;

                  (j) determination of Sales, Net Profits, Net Losses, Available
            Funds, Distributions and Excess Proceeds;

                  (k) the institution of a lawsuit in which a claim of more than
            $3,000.00 is made or the selection of counsel in any action in which
            the Partnership is a party; and

                                       18
<PAGE>

                  (l) such other matters as provided in this Agreement are to be
            determined by "the General Partners".

            If all of the General Partners cannot agree on a decision concerning
a matter in subparagraph (K)(3), the issue shall be submitted to Arbitration as
provided under Article 22 ("Arbitration").

            (L) Notwithstanding the determination of both the General Partners
to act, no action by the General Partners concerning a matter described in
subdivisions 3(a), (b)(i), (c) or (h) of subparagraph (K) of Article 9 shall be
valid unless concurred in or ratified in writing by the holders of 67 in Capital
Percentage, including 67 in Capital Percentage of the Investor Group.

10. PROFITS AND LOSSES: DISTRIBUTIONS

            (A) The following terms shall have the following meanings:

                  (1) "Available Funds" shall mean all cash on hand, as
            determined by the General Partners, exclusive of Excess Proceeds
            (hereinafter defined), less any funds the General Partners may deem
            advisable to retain as reserves. At such time as the General
            Partners determine that the unused balance of any such reserves
            previously retained out of funds which would otherwise have been
            Available Funds are no longer necessary, the same shall thereupon be
            deemed Available Funds.

                                       19
<PAGE>

                  (2) "Distributions" shall mean Available Funds or Excess
            Proceeds paid to the Partners during any fiscal year.

                  (3) "Excess Proceeds" shall mean the aggregate of Sales
            Proceeds and Mortgage Proceeds.

                  (4) "Sales Proceeds" shall mean the net cash proceeds of sale
            of all or any part of the Partnership assets, including a purchase
            money mortgage (but excluding interest thereon which shall be deemed
            Available Funds) and including the net proceeds of a taking in
            condemnation or threat thereof, or by any right of eminent domain,
            and the insurance proceeds available after payment of expenses
            incurred to collect such proceeds and after any application which
            may be required to restore the Property or Restaurant, less any
            funds the General Partners may deem advisable to retain as reserves.
            At such time as the General Partners determine that the unused
            balance of any such reserves previously retained out of funds which
            would otherwise have been Sales Proceeds are no longer necessary,
            the same shall thereupon be deemed Sales Proceeds.

                  (5) "Mortgage Proceeds" shall mean the net cash proceeds of
            (i) borrowing by the Partnership, (ii) refinancing of any mortgage,
            (iii) advances or additional advances under any mortgages, or (iv)
            sale-leaseback, after deducting

                                       20
<PAGE>

                  (a) expenses, including amounts paid to brokers, in connection
                  with the foregoing;

                  (b) sums sufficient for the payment of the mortgage or other
                  indebtedness being refinanced and all other obligations
                  required to be satisfied therefrom, provided, however, when
                  the unused balance of any reserves retained are no longer
                  needed to be reserved for such purposes, the same shall
                  thereupon be deemed Mortgage Proceeds;

                  (c) cost of performance of all alterations, repairs, capital
                  improvements or other work or the taking of any other action
                  required by the mortgagee; and

                  (d) the use or the establishment of any reasonable reserves
                  for working capital or for alterations, repairs or capital
                  improvements or other work deemed advisable by the General
                  Partners whether or not for the foregoing purposes, provided
                  however that as the unused balance of any such reserves so
                  retained are no longer necessary, the same shall become
                  Mortgage Proceeds.

            (B) From and after the date of this Agreement and until the
termination of the Partnership, no Distributions to the Partners shall be made
except as provided in this Article.

            (C) The fiscal year of the Partnership shall be the calendar year.

            (D) The profits and losses of the Partnership during each fiscal
year shall be computed as required under this Agreement and otherwise in
accordance with the principles generally accepted for tax accounting purposes
and shall be allocated among the Partners as follows:

                                       21
<PAGE>

                  (1) First, each item of depreciation, investment credit, sales
            tax, mortgage recording tax, transfer tax, franchise taxes,
            occupancy tax, if any, unincorporated business taxes, charitable
            contributions, interest, rent, if any, real estate taxes, Net Losses
            and other similar items (however, any of the foregoing may be
            characterized for tax purposes) available to the Partnership shall
            be allocated 16.6667% thereof to the Stillman Group and 83.3333%
            thereof to the Investor Group, to be divided among each Partner in
            accordance with his respective Capital Percentage; and then

                  (2) Net Profits of the Partnership after adjustment for the
            foregoing items, shall be allocated 58.3333% thereof to the Stillman
            Group and 41.6667% thereof to the Investor Group, to be divided
            among each Partner in accordance with his Capital Percentage; and

                  (3) Net Profits of the Partnership from a sale of all or any
            part of the Property shall be allocated as follows:

                  (a) In the manner set forth in subparagraph (F)(6) of this
                  Article; then

                  (b) In the manner set forth in subparagraph (F)(7) of this
                  Article; then

                  (c) In such amount as will, after the allocations set forth in
                  subparagraphs (D)(1), (D)(2), (D)(3)(a) and (D)(3)(b), bring
                  the balance of the capital accounts of the Stillman Group and
                  the Investor Group into the ratio 58.3333 to 41.6667; and

                                       22
<PAGE>

                  (d) The balance, if any, in the manner set forth in
                  subparagraph (F)(10) of this Article.

            If any Partner was not a Partner (or assignee) for an entire year,
the foregoing allocations to such Partner shall be the proportion thereof
consistent with the portion of the year during which he was a Partner.

            (E) The General Partners shall, from time to time, as they deem
appropriate, but at least monthly, determine the amount of Available Funds and
Excess Proceeds, if any.

            (F) For each fiscal year (considered independently without reference
to any previous fiscal year except as set forth below), any Available Funds or
Excess Proceeds, or both, shall be paid in the following manner, amount and
sequence:

                  (1) Available Funds or Excess Proceeds, or both, shall be paid
            to the Partners to whom preferences in Available Funds or Excess
            Proceeds have been promised as conditions to their making capital
            contributions or loans under the provisions of Article 8
            ("Additional Capital") and 9 ("Rights, Duties and Obligations of
            Partners") and have not been previously repaid hereunder or under
            subparagraph (F)(1) of Article 10 of the Realty Partnership
            Agreement; and then

                  (2) Available Funds or Excess Proceeds, or both, shall be paid
            to the members of the Investor Group who have made advances as
            contemplated by Article 8(B) ("Additional Capital") to the extent
            that such sums, without interest thereon have not been previously
            re-

                                       23
<PAGE>

            paid hereunder or under subparagraph (F)(2) of Article 10 ("Profits
            and Losses; Distributions") of the Realty Partnership Agreement;
            then

                  (3) Available Funds or Excess Proceeds, or both, shall be paid
            to the Stillman Group who have made advances as contemplated by
            Article 8(B) ("Additional Capital") to the extent that such sums,
            without interest thereon, have not been previously repaid hereunder
            or under subparagraph (F)(3) of Article 10 ("Profits and Losses;
            Distributions") of the Realty Partnership Agreement; then

                  (4) Available Funds or Excess Proceeds, or both, to the extent
            that such sums due under subparagraph (F)(5) of Article 10 ("Profits
            and Losses; Distributions") hereunder or under subparagraph (F)(5)
            of Article 10 ("Profits and Losses; Distributions") of the Realty
            Partnership Agreement have not been paid during each prior fiscal
            year, shall be paid to the Partners in accordance with their
            respective Capital Percentages; then

                  (5) Available Funds or Excess Proceeds, or both, still
            remaining, to the extent of $30,000 (less any sums previously paid
            hereunder or under subparagraph (F) (5) of Article 10 ["Profits and
            Losses; Distributions"] of the Realty Partnership Agreement with
            respect to such fiscal year) shall be paid to the Partners in
            accordance with their respective Capital

                                       24
<PAGE>

            Percentages; then

                  (6) Excess Proceeds still remaining, to the extent of
            $300,000, less sums previously received during the Term under
            subparagraph (F)(6) of Article 10 of this Agreement or of the Realty
            Partnership Agreement shall be paid to the Partners in accordance
            with their respective Capital Percentages; then

                  (7) Excess Proceeds to the extent of $300,000, less sums
            previously received during the Term under subparagraph (F)(7) of
            Article 10 of this Agreement or of the Realty Partnership Agreement
            shall be paid to the Stillman Group in accordance with their
            respective Capital Percentages; then

                  (8) Available Funds or Excess Proceeds, or both, to the extent
            that such sums due under subparagraph (F)(9) of Article 10 of this
            Agreement, or subparagraph (F)(9) of Article 10 ("Profits and
            Losses; Distributions") of the Realty Partnership Agreement have not
            been paid during any prior fiscal year, shall be paid to such
            Partners in accordance with their respective Capital Percentage;
            then

                  (9) Available Funds or Excess Proceeds, or both, still
            remaining, to the extent of $30,000 (less any sums previously paid
            hereunder or under subparagraph (F)(9) of Article 10 ["Profits and
            Losses; Distributions"] of the Realty Partnership Agreement with
            respect to such fiscal year) shall be paid to the

                                       25
<PAGE>

            Stillman Group as an Incentive Management Fee to be divided in
            accordance with their respective Capital Percentages; then

                  (10) The balance of Available Funds or Excess Proceeds, or
            both, still remaining (less sums previously paid hereunder or under
            subparagraph (F)(10) of the Realty Partnership Agreement) shall be
            distributed as follows: 58.3333% thereof to the Stillman Group, as
            additional Incentive Management Fee and 41.6667% thereof to the
            Investor Group, each to be divided in accordance with the respective
            Capital Percentages of each member.

            (G) Subject to the provisions of subdivisions (F)(1) to (F)(3)
inclusive and (F)(6) and (F)(7) of this Article 10, any Excess Proceeds received
upon a foreclosure of the mortgages or other sale of the entire Property and the
termination of the Partnership shall be paid to those Partners having positive
capital accounts in amounts equal to such positive capital accounts in
settlement thereof.

            (H) In the event that at any time payments are due under
subparagraphs (F)(1), (F)(2) or (F)(3) of this Article, more than one advance
has not been repaid, repayments shall be made in the inverse order in which such
advance was made unless the General Partners otherwise agree with each Partner
making such advance, and as between advances made concurrently, the same shall
be repaid PRO RATA within each such category. The foregoing requirement shall
not prevent the General Partners from subordinating the foregoing priorities to
those of parties who have loaned

                                       26
<PAGE>

money or contributed capital to the Partnership if, in its discretion, such
subordination is in the best interests of the Partnership.

11. RESTRICTIONS ON TRANSFER

            (A) Except as hereinafter set forth in this Article, no Partner
shall sell, assign, transfer or otherwise dispose of or encumber his, her or its
Partnership interest or any part thereof.

            (B)(1) After one (1) year from the date hereof, any member of the
Investor Group (including a legal representative thereof) may, at any time, or
from time to time, sell, assign or transfer all or any portion of his
Partnership interest to any other Partner so long as the aggregate transfers in
any twelve (12) month period is less than 50% of all partnership interests. No
assignment shall be effective unless there is first delivered to the
Partnership: (a) an executed and acknowledged copy of any assignment; (b) the
agreement in writing of the assignee, expressly stating that the interest
assigned is subject to all of the terms and conditions of this Agreement,
including, without limitation, the provisions of this Article 11; and (c) a
statement executed by the Assignee stating that he is acquiring such interest
for his own account for investment and not with a view to distribution,
fractionalization or resale thereof.

            (2) No assignee shall become a substituted Limited Partner without
the consent in writing of a General partner (which consent may be arbitrarily
withheld) and compliance with the other provisions of this subparagraph.

                                       27
<PAGE>

            (3) Any request by an assignee to become a substituted Limited
Partner in place of his assignor must be accompanied by (a) a duly executed and
acknowledged written assignment in form approved by a General Partner setting
forth the request of the assignor that the assignee become a substituted Limited
Partner in his place; (b) the execution, acknowledgment and delivery by the
transferee of a power of attorney containing the powers provided for in Article
18 ["Power of Attorney"]; (c) the payment of the reasonable fees and expenses of
the General Partners, including their respective counsel's fees incurred in
connection with the request; and (d) the execution, acknowledgment and delivery
of such other instruments as the General Partners may reasonably deem necessary
or desirable to effect such substitution. No substitution will be effective
until the General Partners have consented thereto and an appropriate amendment
to the Certificate of Limited Partnership has been duly filed. The General
Partners shall file such amended certificate reasonably promptly after
consenting thereto and after the foregoing conditions have been met, but shall
not be required to file more than one amended certificate in any twelve (12)
month period.

            (C)(1) If, at any time after one year from the date hereof, any
Partner shall desire to sell all or any part of his interest in the Partnership,
he shall give notice ("Interest Option Notice") to the other Partners of that
desire and of the

                                       28
<PAGE>

price ("Interest Offered Price") and other terms upon which he desires to sell
his interest, provided however, that no member of the Stillman Group may give
the Interest Option Notice until first obtaining the written consent of the
members of the Investor Group who hold 67 or more in Capital Percentage

            (2) The Interest Option Notice shall be deemed to be an offer on his
behalf ("Offering Partner") to each other Partner ("Recipient") to elect by
notice in writing ("Interest Notice of Election") that the Recipient shall
purchase the entire interest of the Offering Partner at a price equal to the
Interest Option Price and otherwise upon the terms and conditions set forth in
the Interest Option Notice, except that the maximum amount of cash payable at
the closing will be the sum of (a) the amount of all capital contributions made
by the Offering Partner less Excess Proceeds received by the Offering Partner as
of the date the Interest Notice of Election was sent and (b) one-fifth (1/5) of
the balance of the Interest Option Price. The remaining balance of the Interest
Option Price shall be paid in four equal annual installments commencing one (1)
year from the date of closing, with interest on the unpaid balance at the rate
of 8 1/2% per annum provided, however, that the Recipient shall prepay in any
year such amount of principal that will result in minimum principal payments
during each twelve (12) month period after the closing of $75,000. Upon the
sending of an Interest Option Notice, the Offering Partner shall have no further
rights to invoke the provisions of subparagraphs (B), (D) or (E) of this
Article, unless a closing of the sale has not occurred by reason of the default
of the Recipient.

                                       29
<PAGE>

            (3) Each Recipient shall have a period of twenty (20) days within
which to serve an Interest Notice of Election (copies of which shall be sent to
all Partners) designating whether he elects to accept the option to purchase the
interest of the Offering Partner upon the terms and conditions set forth in the
Interest Option Notice. If the offer described in subparagraph (C)(2) is
accepted, a closing shall occur at 10:00 A.M. at the office of the Partnership,
on the date set forth in the Interest Notice of Election (which date shall be no
earlier than the 30th day or later than the 60th day after the mailing of the
Interest Notice of Election) as determined by the Recipient, at which time the
offering Partner shall sell, assign and convey to the purchaser the entire
interest of said Partner in the Partnership and the purchaser shall purchase
such interest at the Interest Option Price and otherwise on the terms and
conditions set forth in the Interest Option Notice. If more than one Recipient
sends an Interest Notice of Election the interest being sold shall be sold to
all Recipients PRO RATA in accordance with their respective Capital percentages
and the closing date shall be on the 60th day after the mailing of the Interest
Notice of Election.

            (4) If no timely Interest Notice of Election is sent, the Offering
Partner may sell, assign and convey to any person, firm or corporation, all of
his partnership interest at the price and upon the terms and conditions in said
Interest Option Notice and otherwise in compliance with the provisions of
subparagraph (B)(1) of this Article, provided however, that if the Offering
Partner has not so conveyed the Interest described in the Interest Option Notice
upon the terms and conditions set forth therein within sixty (60) days

                                       30
<PAGE>

of the sending of the Interest Option Notice, the offering Partner must, prior
to any sale of all or any part of his partnership interest, again comply with
the provisions of subparagraph (C) of this Article 11.

            (D)(1) If, at any time, a member of the Stillman Group has failed to
obtain the consent of the Investor Group to sell, assign or transfer his
interest, as required under subparagraph (C) of this Article, and within 120
days of such failure so to consent, any member of the Stillman Group receives a
bona fide written offer to purchase all of the assets of the Partnership, which
offer is acceptable to the members of the Stillman Group holding 67 in Capital
Percentage of that Group, he shall give notice ("Option Notice") to the Investor
Group stating that he has received (a) a bona fide written offer to purchase all
of the assets of the Partnership, setting forth the price offered ("Offered
Price"); (b) a certified check for ten (10%) percent of the Offered Price; (c) a
statement from the prospective purchaser setting forth the brokers, if any, with
whom he dealt in connection with the proposed sale and the amount of commissions
that may be due the brokers; (d) an agreement by any such brokers that it or
they will be entitled to commissions from the Partnership only if, as and when
title closes, and (e) an executed contract for the purchase of all of the assets
of the Partnership conditioned upon the acceptance of the offer within thirty
(30) days by the Partnership. The Option Notice shall include true copies of the
instruments described in subdivisions (a) to (e) inclusive.

                                       31
<PAGE>

            (2) The Option Notice shall be deemed to be an offer on behalf of
the Stillman Group to the Investor Group to elect by notice in writing ("Notice
of Election") either that (a) the Partnership, or (b) the Investor Group shall
purchase the entire interest of the Stillman Group at a price ("Option Price")
equal to the net sum the Stillman Group would receive (and be payable upon the
same terms and conditions) if the Partnership accepted the offer, closed the
sale on the same terms and conditions set forth in the Option Notice and
liquidated the Partnership. Upon the sending of an Option Notice, the Stillman
Group shall have no further rights to invoke the provisions of subparagraphs
(B), (C) or (E) of this Article unless a closing of the sale of all the assets
of the Partnership has not occurred by reason of the default of any member of
the Investor Group or of the Partnership.

            (3) The Investor Group shall have a period of twenty (20) days
within which to serve a Notice of Election designating which option, if any, it
elects to accept. If the option described is accepted, a closing shall occur at
10:00 A.M., at the office of the Partnership, on the date set forth in the
Notice of Election (which date shall be no later than the 190th day after the
mailing of the Notice of Election) at which time the Stillman Group shall sell,
assign and convey to the Partnership or to the Investor Group, as the case may
be, the entire interest of said Group in the Partnership which shall purchase
such interest at a price equal to the Option Price, subject to the liabilities
of the Partnership, upon the terms and conditions set forth in the Option
Notice.

                                       32
<PAGE>

            (4) If a timely Notice of Election is not sent, the bona fide
written offer shall be deemed to have been accepted and the Partnership shall
sell, assign and convey all of the assets thereof to the person named in the
Option Notice at the price and upon the terms and conditions contained in said
Option Notice.

            (5) The members of each Group shall, from time to time, execute,
acknowledge and deliver, at the reasonable request of the General Partner who is
a member of the other Group, all affidavits, letters of direction, consents or
approvals, that may be necessary to effectuate the purposes of subparagraphs
(D)(3) and (D)(4) of this Article.

            (6) During the period between the sending of an Option Notice and
the Closing of the sale to the Investor Group or the Partnership:

                  (a) Any General Partner who is a member of the Stillman Group
            and each member thereof shall not unreasonably withhold or delay its
            consent to the taking of any action desired by the Investor Group or
            by the General Partner which is a member of the Investor Group.

                  (b) No member of the Stillman Group shall be required or
            requested to make Supplemental Capital Contributions or loans to the
            Partnership.

                                       33
<PAGE>

                  (d) The General Partner which is a member of the Stillman
            Group shall not be entitled to any compensation or income arising
            from any services performed for the benefit of the Partnership.

                  (e) Except as set forth above, all of the terms and conditions
            of the Partnership Agreement shall remain in full force and effect.

            For the purposes of the provisions of subparagraph (D) of this
Article 11, each member of each Group shall be bound by the decision of the
holders of 67 in Capital Percentage of that Group.

            (E) In the event that, at any time after one year from the date
hereof, the holders of a majority in Capital Percentage of the Investor Group
desire to sell their entire interests in the Partnership, such holders may
notify the Stillman Group of the purchase price and the terms upon which such
holders (and no other members of the Investor Group) will either (a) sell their
entire Partnership interests to the Stillman Group or to the Partnership, or (b)
purchase or cause the Partnership to purchase from the Stillman Group, the
entire Partnership interests of the Stillman Group. The Stillman Group shall
have a period of forty-five (45) days within which to elect which option, if
any, it elects to accept. If the members of the Stillman Group are not
unanimous, then the decision of a majority in Capital Percentage shall be
binding on all members, and if no notice is sent, the Stillman Group shall be
deemed

                                       34
<PAGE>

to have elected to purchase the Partnership interests of such members of the
Investor Group (without affecting the rights of the balance of the members of
the Investor Group). Upon acceptance of the option, a closing shall be held at
the time and in the manner set forth in subparagraph (D)(3) except that the
actual date of closing shall be determined by the purchaser who may also elect
in such notice to cause the Partnership to redeem the interest of such holders.

            (F) The Partners may, at any time, and from time to time, transfer
their partnership interests, in whole or in part, to the New Master Limited
Partnership as permitted under Article 9 ("Rights, Duties and Obligations").

            (G) In the event that any Partner transfers his interest in the
Partnership (to the extent permitted by this Agreement) such member or his
transferee may require the Partnership to make the election permitted under
Section 754 of the Internal Revenue Code of 1954, as amended, or any comparable
statutory provision then in effect, in which event the Partnership shall duly
make such election, unless the making of such election shall, in the opinion of
counsel to the Partnership, have a material adverse tax or financial impact on
any of the non-transferring Partners.

                                       35
<PAGE>

12. DEATH, RETIREMENT, BANKRUPTCY, ETC., OF A GENERAL PARTNER

            In the event of the retirement, bankruptcy or, in the case of an
individual, adjudication of insanity or incompetency or death, of a General
Partner, the Partnership shall be dissolved and terminated unless the surviving
General Partner, or if there be none, the Limited Partners shall within one
hundred and twenty (120) days of such death, retirement, adjudication, removal
or bankruptcy by unanimous vote of the Limited Partners or their legal
representatives (A) elect to continue the Partnership and (B) designate one or
more successor General Partners.

            If the Partnership continues, the Partnership interest of such
deceased, retired, incompetent, removed or bankrupt General Partner, if any,
shall become a Limited Partners' Interest of which a portion of its Capital
Percentage sufficient to vest in the new General Partner a Capital Percentage of
1 and shall be allocated to such surviving or successor General Partner with
the balance thereof allocated to such former General Partner.

            The parties shall execute and deliver such documents as may be
necessary to accomplish the foregoing.

13. LIMITED PARTNERS

            (A) No Limited Partner shall participate in the management or
control of the Partnership's business. The fore-

                                       36
<PAGE>

going shall not prevent a General Partner who is also a Limited Partner from
acting as a General Partner, or prevent the Limited Partner from voting on the
matters set forth in subparagraph (K)(3) of Article 9 ("Rights, Duties and
Obligations of Partners, or being employed in the business of the Partnership.
Except as otherwise provided in Article 8 ["Additional Capital"] the Limited
Partners shall be liable for obligations of the Partnership only to the extent
of the statutory requirement set forth in Section 106 of the New York Uniform
Limited Partnership Law ["Liability of limited partner to Partnership"] to
contribute, with interest, capital returned to a Partner.

            (B) If any individual Limited Partner shall die, his executor or
administrators (or if he shall become insane, his committee or representative)
shall, upon executing, acknowledging and delivering to the Partnership an
agreement in writing, assuming and agreeing to be bound by this Agreement and
approving the power of attorney set forth in Article 18 [Power of Attorney"], be
deemed to be an assignee of such deceased or insane Limited Partner and shall
have the same rights that such Limited Partner would have had if he had not died
or had not become insane, subject to the terms, provisions and conditions of
this Agreement, as if such Limited Partner had not died or become insane.

                                       37
<PAGE>

14. TERMINATION

            The Partnership shall terminate upon the happening of any of the
following events:

            (A) Upon the sale or transfer of the last remaining property, real
or personal, held by the partnership (except, in any such case, to an individual
nominee or corporate nominee) provided however, if in connection with such sale
a purchase money mortgage is received, such mortgage may be transferred to an
agent to be held, administered and enforced for the benefit of the Partners.

            (B) The retirement or bankruptcy of any General Partner or the
adjudication of insanity or incompetency or death, of an individual General
Partner and the failure in any such instance of the surviving General Partner,
if any, or the Limited Partners to elect to continue the Partnership as provided
in Article 12 ["Death, Retirement, Bankruptcy, Etc. of a General Partner").

            (C) December 31, 2068

                                       38
<PAGE>

15. REPRESENTATIONS AND COVENANTS OF THE STILLMAN GROUP

            (A) In order to induce the Investor Group to execute this Agreement
and make the capital contributions required hereunder, the Stillman Group
warrants and represents as follows:

                  (1) Entertainment Concepts, Inc. entered into two written
contracts, each dated August 3, 1977, with Michael F. Drinkhouse ("Contracts")
for the purchase of real property located at 49th Street and Third Avenue for a
total purchase price of approximately $1,000,000 of which $75,000 to be paid in
cash, $406,592 to be paid by taking title subject to a first mortgage, $468,408
to be paid by taking title subject to a second mortgage, and the balance,
$50,000, for the purchase of certain fixtures and personal property. Title
closed under the Contracts in accordance with their terms on August 22, 1977,
with adjustments as of August 17, 1977. Stillman has caused Entertainment
Concepts, Inc. to convey the real and personal property which is the subject
matter of the Contracts to the Realty Partnership, concurrently herewith.

                  (2) Stillman has obtained an assignment to the Realty
Partnership of all rights to the good will and trade name "MANNY WOLF".

                  (3) The Restaurant formerly operated at 49th Street at Third
Avenue, had a legal seating capacity of 188 persons and is not now contemplated
to be designated a "landmark".

                                       39
<PAGE>

                  (4) Stillman has heretofore delivered to the Investor Group
the following financial statements signed by Stillman:

                        (a) Balance Sheet, as at July 31, 1977, prepared by
                  Clifford Management Group, Inc. ("Balance Sheet"); and

                        (b) Federal Income tax returns Of Tuesday's, Inc.,
                  Wednesday's, Inc., Thursday's, Inc. and Stillman & Horton, a
                  partnership, prepared by M. J. Stillman & Co., for the
                  calendar years ended December 31, 1974, 1975 and 1976.

                  The foregoing Balance Sheet fairly presents the financial
position of Stillman as at the date thereof, and the income tax returns fairly
present the results of the operations of Stillman's restaurants for the periods
referred to therein.

                  (5) As of the date hereof, Stillman has no liabilities, debts
or obligations of a nature customarily reflected in the body or footnotes of a
balance sheet whether accrued, absolute, contingent or otherwise, except as set
forth on the Balance Sheet, and the only liabilities or obligations incurred on
behalf of the Partnership have been disclosed in a letter delivered concurrently
to the Corporate General Partner.

                  (6) There is no broker who brought about the transaction
pursuant to which this Partnership Agreement is being

                                       40
<PAGE>

executed and the property acquired.

                  (7) No other person, firm or corporation other than the
signatories to this agreement as members of the Stillman Group, has any interest
direct or indirect in this property or in this transaction. Each member of the
Stillman Group is over the age of twenty-one (21) years, has sufficient net
worth to afford to lose his entire investment, is sophisticated in investments
of this type, has been fully advised that he may lose his entire investment and
is making this investment for his own account and not with a view to
distribution, sale or transfer.

                  (8) The warranties and representations by the Stillman Group
in Article 15 of the Realty Partnership Agreement are true and correct.

            (B) As further inducement to execute this agreement, the Stillman
Group covenants that during the Term:

                  (1) Stillman shall use his best efforts to cause the
Partnership to obtain a liquor license and to obtain a sidewalk cafe permit;

                  (2) Stillman will cause TWTF Restaurant Group to provide the
Partnership with all necessary bookkeeping, accounting and normal legal services
at no cost except as permitted hereunder.

                  (3) Stillman will cause the partnership to maintain such
insurance and in such amounts and for the benefit of such parties as may be
reasonably requested by the Corporate General Partner;

                  (4) At the request of the Corporate General Partner, Stillman
will cooperate in the obtaining of life insurance

                                       41
<PAGE>

on his life for the benefit of the Investor Group, in such amount as may be
reasonably determined by the Investor Group, but not more than $250,000, the
premiums for which shall be paid by the Partnership;

                  (5) The Partnership will pay all expenses of this transaction,
including without limitation, organizational fees, filing fees, annual corporate
franchise taxes, mortgage recording taxes and other expenses except for the fees
charged by counsel to the Investor Group or to the Stillman Group for services
rendered to such Group, and except for those expenses which are paid for by the
Realty Partnership.

                  (6) Stillman will comply with his other obligations under this
Agreement and the Realty Partnership Agreement.

16. INDEMNITY

            The Partnership shall indemnify and save harmless the General
Partners and each of them, of and from any personal liability, loss or damage
suffered or incurred by it by reason of any acts performed for and on behalf of
the partnership and within the scope of its authority, to the extent not
prohibited by the Act, except for damages arising from their gross negligence,
fraud, or willful misconduct.

            In the event any action, suit or proceeding is instituted against
the Partnership or the General Partner, with respect to the business assets,
liabilities or activities of the Partnership, the General Partner or the
Partnership may obtain separate legal counsel and other expert assistance to
defend or assist in defending any such suit, action or proceeding. The

                                       42
<PAGE>

General Partner shall have advanced to it or any of them, by the Partnership, at
its request, funds for payment of all expenses and costs incurred in connection
with their defense of any such action, suit or proceeding and, in addition, the
General Partner shall also be reimbursed for or indemnified against and saved
harmless from any and all liabilities, costs and expenses incurred in connection
with the defense of any such action, suit or proceeding, including costs and
expenses paid in settlement or compromise of the action, suit or proceeding,
provided such reimbursement or indemnity is approved by the General Partners.

17. BOOKS AND RECORDS

            (A) At all times during the continuance of the Partnership, Stillman
shall cause TWTF Restaurant Group, to keep and maintain full, complete and
accurate books of account in which shall be entered, fully and accurately, each
and every transaction of the Partnership. Stillman shall keep such books for at
least six (6) years after the close of the taxable year to which they pertain
unless there is pending or threatened, with respect to such year, any proceeding
or action by any taxing or other governmental authority, in which event such
books shall be kept until such proceeding is finally concluded.

            (B) All of said books of account for the then current year, together
with an executed copy of the Agreement and of the Certificate of Limited
Partnership and any amendments thereto, shall, at all times, be maintained at
the principal office of the

                                       43
<PAGE>

Partnership and shall be open to the inspection and examination of the Partners
or their representatives during normal business hours, at times convenient to
the General Partners.

            (C) Each Partner will be provided monthly with unaudited financial
and operating reports and annually with financial statements of the Partnership
including a balance sheet and the related statements of income and retained
earnings and changes in financial position accompanied by an annual report of an
independent public accountant and containing an express opinion that such
statements fairly present the financial position and results of operations of
the Partnership and (if the Investor Group so requests it) stating that an audit
of such financial statements has been made in accordance with generally accepted
auditing standards, stating the opinion of the accountant in respect of the
financial statements and the accounting principles and practices reflected
therein and, as to the consistency of the application of the accounting
principles, and identifying any matters to which the accountant takes exception
and stating, to the extent practicable, the effect of each such exception on
such financial statements. In addition, each Partner will be supplied with
information as to each Partner's share of distributive income or loss and any
other information required to be furnished to permit such Partner to prepare his
income tax returns, Source of Distributions Statement, and such other
information as the Partners shall request, or the New York Attorney General
shall require. The Corporate General Partners shall receive copies of all
litigation papers served on or by the Partnership or any General Partner.

                                       44
<PAGE>

18. BANK ACCOUNTS

            (A) All funds of the Partnership are to be deposited in the
Partnership's name, in such bank account or accounts as shall be designated by
the General Partners.

            (B) Authority to make withdrawals from any such bank account or
accounts shall be made as determined by the General Partners.

19. POWER OF ATTORNEY

            Each of the Limited Partners hereto constitutes and appoints the
General Partners and each additional or successor General Partner, as the same
may be determined from time to time, the true and lawful attorney for such
Limited Partner, and in the name, place and stead of such Limited Partner, to
make, execute, sign, acknowledge and file, from time to time, Certificates or
Certificates of Amendment of Limited Partnership under the laws of the State of
New York or any other jurisdiction in which the General Partner reasonably
believes a Certificate or any Amendment thereto should be filed, in order to
carry out any of the powers, rights and privileges granted to the General
Partner by the Partnership Agreement. Any such Certificate or Amendment may
reflect and accomplish, without limitation, any of the following: admission of
an additional or successor General Partner, as provided in

                                       45
<PAGE>

Article 6 ("General and Limited Partners") and Article 12 ("Death, Retirement,
Bankruptcy, Etc. of a General Partner"); changes resultant upon the making of
capital contributions as provided in Article 8 ("Additional Capital"); the
transfer to the New Master Limited Partnership of the partnership interests of
the Investor Group (as permitted in Article 9 ["Rights, Duties and Obligations
of Partners"]; any other change of a technical or ministerial nature which does
not adversely affect the rights or increase the obligations of the Limited
Partners and to include in any certificate authorized under this Article all
information required by the laws of the state applicable thereto. In addition,
the General Partner may make, execute, sign, acknowledge and file a Certificate
of Dissolution of Limited partnership under the laws of said state or states and
to include therein all information required by the laws of said state or states,
and may also make, execute, sign, acknowledge and file a Certificate of
Conducting Business under an Assumed Name, or any amendment or amendments to any
of the foregoing certificates, and to execute such other instruments as may be
required under the laws of the State of New York or other jurisdiction for the
formation, continuation or dissolution of the Partnership.

            This power of attorney is deemed irrevocable, shall be

                                       46
<PAGE>

deemed coupled with an interest and is intended to survive any subsequent death,
disability or incapacity or incompetency to the extent permitted by law, and may
be utilized from time to time as the General Partner may elect.

            The foregoing power of attorney shall survive the delivery of an
assignment by any of the Limited Partners of the whole or any portion of his
Limited Partnership interest, except that where an assignee of such Limited
Partnership interest has been approved by the General Partner, as a Substituted
Limited Partner, then the foregoing power of attorney of the assignor Limited
Partner shall survive the delivery of such assignment for the sole purpose of
enabling the General Partner to execute, acknowledge and file the certificates
necessary to effect such substitution.

20. DISTRIBUTION AFTER TERMINATION

            Upon the termination of the Partnership, the sale of all of the
Partnership property or dissolution of the Partnership, a full account of the
assets and liabilities of the partnership shall be taken and the assets shall be
applied, except as otherwise provided in this Agreement, as follows:

            (A) To the payment of all debts and liabilities of the Partnership
and the expenses of liquidation, including the establishment of reserves, deemed
appropriate by the General Partner.

            (B) The balance shall be distributed pursuant

                                       47
<PAGE>

to Article 10 ("Profits and Losses; Distributions").

21. WITHDRAWAL

            It is agreed by and among all of the Partners hereto that they shall
not, at any time, withdraw from the Partnership. Nothing set forth herein shall
limit the right of the Corporate General Partner to resign at any time.

22. ARBITRATION

            (A) Any dispute or controversy concerning a decision requiring the
approval of all General Partners or whether such joint approval is needed shall
be settled and determined by arbitration held in the City of New York in
accordance with this Article.

            (B) The General Partner desiring such arbitration shall give written
notice to that effect to the other General Partner, specifying in said notice
the issue to be arbitrated and the name and address of a person -- who shall
have experience appropriate to the issue -- to act as arbitrator. Within ten
(10) days after the service of such notice, the other party shall give written
notice to the first party specifying whether such designee is acceptable. If
such person is not acceptable, the General Partners will endeavor to agree on an
arbitrator. If such agreement cannot be reached within thirty (30) days of the
sending of the notice, their right to seek, obtain and compel arbitration
hereunder is ended.

                                       48
<PAGE>

            (C) The decision of the arbitrator so chosen shall be given within a
period of thirty (30) days after his appointment. The decision of the arbitrator
so appointed and acting hereunder shall, in all cases, be binding and conclusive
upon the Partnership and all the parties, and judgment upon any award pursuant
to such arbitration may be entered in any court having competent jurisdiction.
The Partnership shall pay the reasonable fees and expenses of the arbitrator and
counsel to the General Partners.

23. NOTICES

            Unless otherwise specified in a written notice sent to the
Partnership, whose address for all purposes is the address set forth in Article
2 ("Formation"), the address of each Partner for all purposes shall be the
address set forth on Exhibit A. In the event of a change in address of the
partnership, a notice shall be sent to each Partner; in the event of a change in
the address of a Partner, a notice shall be sent to the Partnership.

            Any notice, election, consent, designation, demand or other
communication required or permitted to be given under this Agreement shall be in
writing and sent to such address; and if intended for the Partnership or the
General Partner, a copy shall also be sent to every General Partner; and shall
be sent by registered or certified mail, return receipt requested, to such
address. Unless otherwise specified in this Agreement, all notices shall be
effective upon mailing and shall be deemed sent on that date.

                                       49
<PAGE>

24. CAPTIONS

            Any paragraph titles or captions contained in this Agreement are for
convenience only and shall not be deemed a part of this Agreement.

25. VARIATIONS IN PRONOUNS

            All pronouns and any variations thereof shall be deemed to refer to
the masculine, feminine, neuter, singular or plural as the identity of the
person or persons, firm or firms, corporation or corporations may require.

26. MISCELLANEOUS

            (A) This Agreement contains the entire understanding between the
parties and supersedes any prior understandings and agreements between them
respecting the within subject matter. There are no representations, agreements,
arrangements or understandings, oral or written, between or among the parties
hereby relating to the subject matter of this Agreement which are not fully
expressed herein. If there is any inconsistency between this Agreement and the
provisions of the Realty Partnership Agreement, the provisions of the Realty
Partnership Agreement will prevail.

            (B) This Agreement and any modification or amendment thereof may be
executed in any number of counterparts, each of which shall be deemed to be an
original and all of which shall be deemed to constitute one and the same
instrument. Counterparts of this Agreement and the Certificate of Limited
Partnership have been

                                       50
<PAGE>

executed prior to the date hereof. However, the date set forth on the first page
of this Agreement and the Certificate is the date upon which the Partnership
began doing business and the date upon which this Agreement and the Certificate
become effective.

            (C) This Agreement shall be binding upon the signatories hereto and
enure to the benefit of their heirs, successors and assigns, except as Article
11 ("Restrictions on Transfer") provides limitations on assignments and
transfers of Limited Partnership interests. Nothing set forth in this Agreement
shall give rise to any rights or claims except in favor of the signatories
hereto, and then only to the extent set forth herein.

            (D) This Agreement shall be governed by and construed in accordance
with the laws of the State of New York, and may not be modified or amended
except by an instrument in writing executed by all signatories.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals, all as of the day and year first above written.

                                GENERAL PARTNERS

                                    /s/ Alan N. Stillman
                                    ---------------------
                                    ALAN N. STILLMAN

                                    CHAMBLAIR REALTY, INC.

                                    By /s/ Thomas J. Malmud
                                       ------------------
                                           President
<PAGE>

                                LIMITED PARTNERS
                                (Stillman Group)

                                          /s/ Bennett Benson
                                          ------------------------------
                                          Bennett Benson

                                          /s/ Ernest Kalman
                                          ------------------------------
                                          Ernest Kalman

                                          /s/ Stan Blumenfeld
                                          ------------------------------
                                          Stan Blumenfeld

                                          /s/ Eugene Byrne
                                          ------------------------------
                                          Eugene Byrne

                                          /s/ James Gannon
                                          ------------------------------
                                          James Gannon

                                          /s/ Joseph Phair
                                          ------------------------------
                                          Joseph Phair
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                               /s/ Leon Levy
                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                               /s/ Jack Nash
                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                               /s/ Albert Willner
                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                               /s/ James H. Levi
                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                               /s/ Myron Chase
                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                               /s/ Peter Venison
                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                               /s/ Colin Keith
                                          ------------------------------
                                                   Colin Keith

                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                          ------------------------------
                                                   Leon Levy

                                          ------------------------------
                                                   Jack Nash

                                          ------------------------------
                                                   Albert Willner

                                          ------------------------------
                                                   James H. Levi

                                          ------------------------------
                                                   Myron Chase

                                          ------------------------------
                                                   Peter Venison

                                          ------------------------------
                                                   Colin Keith

                                               /s/ Arnold Adlin
                                          ------------------------------
                                                   Arnold Adlin
<PAGE>

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

            On the [ILLEGIBLE] day of September, 1977, before me personally came
THOMAS J. MALMUD, to me known, who, being by me duly sworn, did depose and say,
that he resides at 7 Seymour Place, White Plains, New York; that he is the
President of Chamblair Realty, Inc., the corporation described in and which
executed the within instrument; that he knows the seal of said corporation; that
the seal affixed to said instrument is such corporate seal; that it was so
affixed by order of the board of directors of said corporation, and that he
signed his name thereto by like order.

                                                /s/ Irving Hymson
                                                -------------------------
                                                      Notary Public

                                                      IRVING HYMSON
                                             Notary Public, State of New York
                                                      No. 41-7028245
                                                Qualified in Queens County
                                            Commission Expires March 30, 1978

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

            On the 9th day of September, 1977, before me personally came LEON
LEVY, JACK NASH, JAMES H. LEVI, PETER VENISON, COLIN KEITH and ARNOLD ADLIN, to
me known, and known to me to be the persons described in and who executed the
foregoing instrument and acknowledged to me that they executed the same.

                                                /s/ Karen Lynn Caruso
                                                -------------------------
                                                      Notary Public

                                                    KAREN LYNN CARUSO
                                             Notary Public, State of New York
                                                      No. 31-4027492
                                               Qualified in New York County
                                            Commission Expires March 30, 1978

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

            On the __ day of September, 1977, before me personally came MYRON
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the __ day of September, 1977, before me personally came ALBERT
WILLNER, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                                -------------------------
                                                      Notary Public
<PAGE>

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

            On the __ day of September, 1977, before me personally came THOMAS
J. MALMUD, to me known, who, being by me duly sworn, did depose and say, that he
resides at 7 Seymour Place, White Plains, New York; that he is the President of
Chamblair Realty, Inc., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporate seal; that it was so affixed by
order of the board of directors of said corporation, and that he signed his name
thereto by like order.

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

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

            On the __ day of September, 1977, before me personally came LEON
LEVY, JACK NASH, JAMES H. LEVI, PETER VENISON, COLIN KEITH and ARNOLD ADLIN, to
me known, and known to me to be the persons described in and who executed the
foregoing instrument and acknowledged to me that they executed the same.

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

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

            On the 9th day of September, 1977, before me personally came MYRON
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

              [ILLEGIBLE NOTARY SEAL]           /s/ Grace [ILLEGIBLE]
                                                -------------------------
                                                      Notary Public

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

            On the __ day of September, 1977, before me personally came ALBERT
WILLNER, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                                -------------------------
                                                      Notary Public
<PAGE>

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

            On the __ day of September, 1977, before me personally came THOMAS
J. MALMUD, to me known, who, being by me duly sworn, did depose and say, that he
resides at 7 Seymour Place, White Plains, New York; that he is the President of
Chamblair Realty, Inc., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporate seal; that it was so affixed by
order of the board of directors of said corporation, and that he signed his name
thereto by like order.

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

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

            On the __ day of September, 1977, before me personally came LEON
LEVY, JACK NASH, JAMES H. LEVI, PETER VENISON, COLIN KEITH and ARNOLD ADLIN, to
me known, and known to me to be the persons described in and who executed the
foregoing instrument and acknowledged to me that they executed the same.

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

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

            On the __ day of September, 1977, before me personally came MYRON
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that they executed the
same.

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

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

            On the 12th day of September, 1977, before me personally came ALBERT
WILLNER, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that they executed the
same.

          ALAN M. DAVIS
 Notary Public, State of New York
           [ILLEGIBLE]                               /s/ Alan Davis
    Qualified in Kings County                   -------------------------
Commission Expires March 30, 1978                     Notary Public
<PAGE>

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

            On the 12th day of September, 1977, before me personally came ALAN
N. STILLMAN, BENNETT BENSON, ERNEST KALMAN, STAN BLUMENFELD, EUGENE BYRNE, JAMES
GANNON and JOSEPH PHAIR, to me known, and known to me to be the persons
described in and who executed the foregoing instrument and acknowledged to me
that they executed the same.

                                      /s/ Irving Hymson
                                      -------------------------
                                          NOTARY PUBLIC

                                                      IRVING HYMSON
                                             Notary Public, State of New York
                                                      No. 41-7028245
                                                Qualified in Queens County
                                            Commission Expires March 30, 1978
<PAGE>

                                   CAPITAL             CAPITAL       ADDITIONAL
NAME & RESIDENCE                   CONTRIBUTION        PERCENTAGE     CAPITAL*
-----------------------            ------------        ----------    ----------

                                  GENERAL PARTNERS
                                  (Stillman Group)
Alan N. Stillman
322 East 57th Street              $14,056.15          5.1113      $15,334.00
New York, N. Y.

                                  (Investor Group)
Chamblair Realty, Inc.
C/o Warshaw, Sylvester,
 Burstein & Franks                     229.17           .0832           50.00
555 Fifth Avenue
New York, N. Y. 10017
Attn: Thomas J. Malmud

                                  LIMITED PARTNERS
                                  (Stillman Group)
Bennett Benson
230 East 48th Street                  14,055.25          5.1111       15,333.00
New York, N. Y.

Ernest Kalman
23 Hyatt Street                       14,055.25          5.1111       15,333.00
Briarcliff, N. Y.

Stan Blumenfeld
258 Pine Street                          916.67           .3333        1,000.00
Teaneck, New Jersey 07666

Eugene Byrne
800 East Devonia Avenue                  916.67           .3333        1,000.00
Mt. Vernon, New York 10552

James Gannon
834 East 54th Street                     916.67           .3333        1,000.00
New York, N. Y. 10022

Joseph Phair
68-09 75th Street                        916.67           .3333        1,000.00
Elmhurst, N.Y.

Less contributed as partners of M W Realty Associates, a New York
Limited Partnership whose Certificate is being filed concurrently.

                                   EXHIBIT A
<PAGE>

                                   CAPITAL             CAPITAL       ADDITIONAL
NAME & RESIDENCE                   CONTRIBUTION        PERCENTAGE     CAPITAL*
-----------------------            ------------        ----------    ----------

                                 LIMITED PARTNERS
                                 (Investor Group)

Leon Levy
983 Park Avenue                      $44,026.58         16.0097      $ 9,605.80
New York, N. Y.

Jack Nash
784 Park Avenue                       44,026.58          16.0097       9,605.80
New York, N. Y.

Albert Willner
45 Crest Drive                        44,026.58          16.0097       9,605.80
So. Orange, N.J.

Myron Chase
1005 Seven Oaks Lane                  44,026.58          16.0097       9,605.80
Mamaroneck, N. Y.

James H. Levi
85 Larchmont Avenue                   26,415.59          9.6057        5,763.40
Larchmont, N. Y.

Peter Venison
C/o Bank                              13,208.02          4.8029        2,881.75
Homestead Place
Harrison, N. Y.

Colin Keith
175 East 74th Street                   8,805.04          3.2018        1,921.00
New York, N. Y.

Arnold Adlin
4705 Henry Hudson Parkway              4,402.53          1.6009          960.55
Riverdale, New York 10471

Less sums contributed as partners of M W Realty Associates, a New York
Limited Partnership whose Certificate is being filed concurrently.

<PAGE>

                          FIRST AMENDMENT OF AGREEMENT

                                       OF

                   LIMITED PARTNERSHIP OF ST. JAMES ASSOCIATES

            THIS FIRST AMENDMENT OF AGREEMENT OF LIMITED PARTNERSHIP is made and
entered into as of the 1st day of January, 1979, by and among the parties
signing this Agreement.

                                   WITNESSETH:

            WHEREAS, on September 13, 1977, pursuant to Certificate of Limited
Partnership filed in the County Clerk's office of the County Clerk of New York
County as amended by Certificate of Amendment dated as of August 31, 1978 and
filed in the said office on January 25, 1979, and Agreement of Limited
Partnership dated September 12, 1977 ("Agreement"), St. James Associates was
organized as a New York limited partnership (the "Partnership"); and

            WHEREAS, the parties desire to modify the Agreement, thereby
confirming prior understandings reached by them in certain respects, all as
hereinafter set forth.

            NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

      1. Amendment of Agreement.

            The Agreement is hereby modified and amended effective as of the 1st
day of January, 1979, as follows:

<PAGE>

                  (A) Article 1 ("Definitions") shall be modified and amended as
follows:

                        (1) By deleting from each of subparagraph (C), the
      definition of "Agreement" and subparagraph (FF), the definition of "Realty
      Partnership Agreement", the semi-colon and adding in its place: ", as the
      same may be amended from time to time".

                        (2) By deleting subparagraph (M), the definition of
      "Incentive Management Fee";

                        (3) By adding to subparagraph (Y), the definition of
      "Operating Expenses", after the phrase "tax purposes);" the following:

                              "provided further, however, from and after January
                              1, 1979 Operating Expenses shall mean all expenses
                              of every kind and nature of the Partnership."

                  (B) Article 8 of the Agreement ("Additional Capital") is
hereby modified and amended by deleting from subparagraph (C) "58.3333%" and
substituting therefor, "53%" and by deleting therefrom "41.6667%" and
substituting "47%".

                                      -2-
<PAGE>

                  (C) Article 9 of the Agreement ("Rights, Duties and
Obligations of Partners") is hereby modified and amended as follows:

                        (1) By deleting subparagraph (E) thereof and
      substituting in its place the following:

                              "(E) Except as provided in this Agreement or in
                              the Realty Partnership Agreement, no Partner shall
                              receive any fee for rendering management or
                              supervisory management services to the
                              Partnership."

                  (D) Article 10 of the Agreement ("Profits and Losses;
Distributions") shall be modified and amended as follows:

                        (1) By deleting the first sentence of subdivision (A)(4)
            and substituting the following:

                              "(4) "Sales Proceeds" shall mean the net cash
                              proceeds of the sale of all or any part of the
                              Partnership assets (after payment of all expenses
                              incurred to collect such proceeds), including
                              promissory

                                      -3-
<PAGE>

                              notes whether or not secured by a purchase money
                              mortgage (but excluding interest thereon, which
                              shall be deemed Available Funds) and including the
                              net proceeds of a taking in condemnation or threat
                              thereof, or by any right of eminent domain, and
                              any insurance proceeds available after payment of
                              expenses incurred to collect such proceeds and
                              after any application which may be required to
                              restore the Property, less any funds the General
                              Partners may deem advisable to retain as
                              reserves."

                        (2) By deleting subparagraph (C) and substituting the
            following:

                              "(C) The fiscal year of the Partnership shall be
                              the calendar year or such other fiscal year as the
                              General Partners shall determine."

                        (3) By adding to subparagraph (D) new subdivisions (4)
            and (5), to read as follows:

                              "(4) Notwithstanding the provisions of subdivision
                              (1) - (3) of subparagraph

                                      -4-
<PAGE>

                              (D), from and after January 1, 1979, the profits
                              and losses of the Partnership during each fiscal
                              year shall be computed in accordance with
                              principles generally accepted for tax accounting
                              purposes and shall be allocated among the Partners
                              as follows:

                                    "(a) Net Losses of the Partnership shall be
                              allocated 16.6667% thereof to the Stillman Group
                              and 83.3333% thereof to the Investor Group, to be
                              divided among each Partner within each Group in
                              accordance with his respective Capital Percentage;

                                    "(b) Except as provided in subdivision
                              (D)(4)(c), Net Profits of the Partnership shall be
                              allocated as follows:

                                          "(i) 53% thereof to the Stillman
                              Group, to be divided among each Partner of the
                              Stillman Group in

                                      -5-
<PAGE>

                              accordance with his respective Capital Percentage;
                              and

                                          "(ii) 47% thereof to the Investor
                              Group, to be divided among each Partner of the
                              Investor Group in accordance with his respective
                              Capital Percentage;

                                    "(C) Net profits of the Partnership from the
                              sale of all or any part of the Property shall be
                              allocated in the following amounts and order:

                                          "(i) first, to the Partners having
                              negative capital balances in their capital
                              accounts (after adjustment for Net Profits or Net
                              Losses for the year of such sale) to the extent of
                              such negative balances so as to bring the capital
                              balances of such Partners to zero; and

                                          "(ii) second, any balance if all of
                              the Property has been sold, or all of the net
                              profits if less than all of the Property has been

                                      -6-
<PAGE>

                              sold, shall be allocated to the Stillman Group and
                              the Investor Group in the ratio of 53 to 47, to be
                              divided among each Partner within each Group in
                              accordance with his respective Capital
                              Percentage."

                              "(5) If any Partner was not a Partner (or
                              assignee) for an entire year, the foregoing
                              allocations to such Partner shall be the
                              proportion thereof consistent with the portion of
                              year during which he was a Partner (or assignee)."

                        (4) By deleting subdivisions (4) through (10) inclusive
            of subparagraph (F) of Article 10, and replacing said subdivision
            with the following subdivisions (4) and (5):

                              "(4) The balance of Available Funds, if any, still
                              remaining shall be distributed as follows:

                                    "(a) 53% thereof to the Stillman Group, to
                              be divided among each Partner of the Stillman
                              Group in accordance with his Capital Percentage;

                                      -7-
<PAGE>

                              and

                                    "(b) 47% thereof to the Investor Group, to
                              be divide among each Partner in accordance with
                              his respective Capital Percentage.

                              "(5) The balance of Excess Proceeds, if any, still
                              remaining shall be distributed as follows:

                                    "(a) 53% thereof to the Stillman Group to be
                              divided among each Partner of the Stillman Group
                              in accordance with his Capital Percentage; and

                                    "(b) 47% thereof to the Investor Group, to
                              be divided among each Partner in accordance with
                              his respective Capital Percentage."

                        (6) By deleting subparagraph (G) thereof and
            substituting the following:

                              "(G) Subject to the provisions of subdivisions
                              (F)(1) to (F)(4) inclusive of this Article, any
                              Excess Proceeds received upon a foreclosure of

                                      -8-
<PAGE>

                              the mortgages or other sale of the entire Property
                              and the termination of the Partnership (less sums
                              previously paid hereunder or under subparagraph
                              (G) of Article 10 of the Realty Partnership
                              Agreement ("Profits and Losses; Distributions")
                              shall be paid to those Partners having positive
                              capital balances in amounts equal to such positive
                              capital accounts and in settlement thereof."

      2. Ratification

            The Agreement as hereby modified and amended is hereby ratified,
confirmed and approved and shall continue in full force and effect.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals on the day and year first above written.

                                GENERAL PARTNERS

                                              /s/ Alan N. Stillman
                                    --------------------------------------------
                                                Alan N. Stillman

                                    CHAMBLAIR REALTY, INC.

                                    By /s/ Thomas J. Malmud
                                       -----------------------------------------
                                                  President

                                      -9-
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                                  /s/ Leon Levy
                                    --------------------------------------------
                                                    Leon Levy

                                                  /s/ Jack Nash
                                    --------------------------------------------
                                                    Jack Nash

                                               /s/ Albert Willner
                                    --------------------------------------------
                                                 Albert Willner

                                                /s/ James H. Levi
                                    --------------------------------------------
                                                  James H. Levi

                                                 /s/ Myron Chase
                                    --------------------------------------------
                                                   Myron Chase

                                    Peter J. Venison

                                                 /s/ [ILLEGIBLE]
                                    --------------------------------------------
                                                Attorney-in-Fact

                                                 /s/ Colin Keith
                                    --------------------------------------------
                                                   Colin Keith

                                    --------------------------------------------
                                                  Arnold Adlin

                                      -10-
<PAGE>

                                LIMITED PARTNERS
                                (Stillman Group)

                                               /s/ Bennett Benson
                                    --------------------------------------------
                                                 Bennett Benson

                                                /s/ Ernest Kalman
                                    --------------------------------------------
                                                  Ernest Kalman

                                                /s/ Eugene Byrne
                                    --------------------------------------------
                                                  Eugene Byrne

                                                /s/ James Gannon
                                    --------------------------------------------
                                                  James Gannon

                                                /s/ Joseph Phair
                                    --------------------------------------------
                                                  Joseph Phair

                                               /s/ Frances Singer
                                    --------------------------------------------
                                                 Frances Singer

                                                 /s/ Colin Keith
                                    --------------------------------------------
                                                   Colin Keith

                                      -11-
<PAGE>

                          SECOND AMENDMENT OF AGREEMENT

                                       OF

                   LIMITED PARTNERSHIP OF ST. JAMES ASSOCIATES

            THIS SECOND AMENDMENT OF AGREEMENT OF LIMITED PARTNERSHIP is made
and entered into as of the 1st day of January, 1979, by and among the parties
signing this Agreement.

                                   WITNESSETH:

            WHEREAS, on September 13, 1977, pursuant to Certificate of Limited
Partnership filed in the County Clerk's office of the County Clerk of New York
County as amended by Certificate of Amendment dated as of August 31, 1978 and
filed in the said office on January 25, 1979 and by Certificate of Second
Amendment of such Certificate dated as of January 1, 1979 and filed in said
office on January 10, 1980, and Agreement of Limited Partnership dated September
12, 1977 as modified and amended by a First Amendment of Agreement of Limited
Partnership (said agreement, as so modified and amended being hereinafter called
the ("Agreement"), St. James Associates was organized as a New York limited
partnership (the "partnership"); and

            WHEREAS, the parties desire to modify the Agreement, thereby
confirming prior understandings reached by them in certain respects, all as
hereinafter set forth.

<PAGE>

            NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

      1. Amendment of Agreement.

            The Agreement is hereby modified and amended effective as of the 1st
day of January, 1980, by substituting for Exhibit A annexed thereto, Exhibit A
annexed hereto and by approving and consenting to the admission of Stillman as a
Limited Partner and a member of the Stillman Group.

      2. Ratification

            The Agreement as hereby modified and amended is hereby ratified,
confirmed and approved and shall continue in full force and effect.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals on the day and year first above written.

                                GENERAL PARTNERS

                                              /s/ Alan N. Stillman
                                    --------------------------------------------
                                                Alan N. Stillman

                                    CHAMBLAIR REALTY, INC.

                                    By /s/ Thomas J. Malmud
                                       -----------------------------------------
                                                  President

                                      -2-
<PAGE>

                                LIMITED PARTNERS
                                (Stillman Group)

                                              /s/ Alan N. Stillman
                                    --------------------------------------------
                                                Alan N. Stillman

                                               /s/ Bennett Benson
                                    --------------------------------------------
                                                 Bennett Benson

                                                /s/ Ernest Kalman
                                    --------------------------------------------
                                                  Ernest Kalman

                                                /s/ Eugene Byrne
                                    --------------------------------------------
                                                  Eugene Byrne

                                                /s/ James Gannon
                                    --------------------------------------------
                                                  James Gannon

                                                /s/ Joseph Phair
                                    --------------------------------------------
                                                  Joseph Phair

                                               /s/ Frances Singer
                                    --------------------------------------------
                                                 Frances Singer

                                                 /s/ Colin Keith
                                    --------------------------------------------
                                                   Colin Keith

                                      -3-
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                                  /s/ Leon Levy
                                    --------------------------------------------
                                                    Leon Levy

                                                  /s/ Jack Nash
                                    --------------------------------------------
                                                    Jack Nash

                                               /s/ Albert Willner
                                    --------------------------------------------
                                                 Albert Willner

                                                /s/ James H. Levi
                                    --------------------------------------------
                                                  James H. Levi

                                                 /s/ Myron Chase
                                    --------------------------------------------
                                                   Myron Chase

                                    Peter J. Venison

                                                 /s/ [ILLEGIBLE]
                                    --------------------------------------------
                                                Attorney-in-Fact

                                                 /s/ Colin Keith
                                    --------------------------------------------
                                                   Colin Keith

                                                /s/ Arnold Adlin
                                    --------------------------------------------
                                                  Arnold Adlin

                                      -4-
<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

                                GENERAL PARTNERS
                                (Stillman Group)

Alan N. Stillman                  $13,750.51            5.0002        $15,000.64
322 East 57 Street
New York, N.Y.

                                (Investor Group)

Chamblair Realty Inc.                 229.17             .0832             50.00
c/o Warshaw Burstein
Cohen Schlesinger & Kuh
555 Fifth Avenue
New York, N.Y.
Att: Thomas J. Malmud

                                       LIMITED PARTNERS
                                       (Stillman Group)

Alan N. Stillman                    5,728.50            2.0831          6,249.36
322 East 57 Street
New York, N.Y.

Bennett Benson                     10,770.92            3.9167         11,750.00
230 East 48 Street
New York, N.Y.

Ernest Kalman                      10,770.92            3.9167         11,750.00
23 Hyatt Street
Briarcliff, N.Y.

Frances Singer                        916.67             .3333          1,000.00
3601 Johnson Avenue
Bronx, New York

Eugene Byrne                        1,145.80             .4168          1,250.00
300 East Devonia Ave
Mt. Vernon, N.Y.

James Gannon                          916.67             .3333          1,000.00
334 East 54th Street
New York, N.Y.

Joseph Phair                          916.67             .3333          1,000.00
5809 - 75th Street
Elmhurst, N.Y.

Colin Keith                           916.67             .3333          1,000.00
175 East 74 Street
New York, N.Y.

*     Less sums contributed as partners of M W Realty Associates, a New York
      Limited Partnership.

                                    EXHIBIT A
                                    (Page 1)

<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

                                      LIMITED PARTNERS
                                      (Investor Group)

Leon Levy                         $44,026.58         16.0097        $ 9,605.80
983 Park Avenue
New York, N.Y.

Jack Nash                          44,026.58         16.0097          9,605.80
784 Park Avenue
New York, N.Y.

Albert Willner                     44,026.58         16.0097          9,605.80
45 Crest Drive
So. Orange, N.J.

Myron Chase                        44,026.58         16.0097          9,605.80
1005 Seven Oaks Lane
Mamaroneck, N.Y.

James H. Levi                      26,415.59          9.6057          5,763.40
85 Larchmont Avenue
Larchmont, N.Y.

Peter Venison                      13,208.02          4.8029          2,881.75
P.O. Box 5087
Johannesburg,
  South Africa

Colin Keith                         8,805.04          3.2018          1,921.10
175 East 74th St
New York, N.Y.

Arnold Adlin                        4,402.53          1.6009            960.55
6 Ridgecrest East
Scarsdale, N.Y.

*     Less sums contributed as partners of M W Realty Associates, a New York
      Limited Partnership.

                                    EXHIBIT A
                                    (Page 2)

<PAGE>

                          THIRD AMENDMENT OF AGREEMENT
                                       OF
                   LIMITED PARTNERSHIP OF ST. JAMES ASSOCIATES

            THIS THIRD AMENDMENT OF AGREEMENT OF LIMITED PARTNERSHIP is made and
entered into as of the 1st day of October, 1980, by and among the parties
signing this Agreement.

                                   WITNESSETH:

            WHEREAS, on September 13, 1977, pursuant to Certificate of Limited
Partnership filed in the County Clerk's office of the County Clerk of New York
County as amended by Certificate of Amendment dated as of August 31, 1978 and
filed in the said office on January 25, 1979 and by Certificate of Second
Amendment of such Certificate dated as of January 1, 1979 and filed in said
office on January 10, 1980 and by Certificate of Third Amendment dated as of
January 1, 1979 and filed in said office on March 4, 1980, and Agreement of
Limited Partnership dated September 12, 1977 as modified and amended by a First
Amendment of Agreement of Limited partnership and by a Second Amendment of
Agreement of Limited partnership dated as of January 1, 1979 (said agreement, as
so modified and amended being hereinafter called the ("Agreement"), St. James
Associates was organized as a New York limited partnership (the "Partnership");
and

            WHEREAS, the parties desire to modify the Agreement, thereby
confirming prior understandings reached by them in cer-

<PAGE>

tain respects, all as hereinafter set forth.

            NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

      1. Amendment of Agreement.

            The Agreement is hereby modified and amended effective as of the 1st
day of October, 1980 as follows:

            A. By deleting each reference to "TWTF Restaurant Group" and
replacing it with "TGI Specialty Restaurant Consulting and Management, Inc.".

            B. By adding, after the phrase "(hereinafter defined)" in line 20 of
subparagraph (F) of Article 9 of the Agreement ("Rights, Duties and Obligations
of Partners") the following: "provided, however, if the business of TGI
Specialty Restaurant Consulting and Management, Inc. is not operated and
directed by Stillman, the Corporate General partner may terminate the retention
of such entity and replace such entity with any person, firm and corporation
selected by the Corporate General Partner." and deleting from lines 20 and 21 of
that subparagraph the following: "for Sales in such year of $2 million or less,
and 1.3% of all Sales in such year which exceed $2 million."

            C. By deleting the period at the end of subdivision (2) of
subparagraph (B) of Article 15 ("Representations and Covenants of the Stillman
Group") and adding the following: "until the retention of such entity is
terminated as permitted hereunder."

                                      -2-
<PAGE>

            D. By adding to the end of subparagraph (C) of Article 17 ("Books
and Records") the following sentence: The independent public accountant shall be
Oppenheim, Appel, Dixon & Co., Certified Public Accountant, or such other firm
approved in writing by the members of the Investor Group who hold 67 or more in
the Capital Percentage of that Group.

      2. Ratification

            The Agreement as hereby modified and amended is hereby ratified,
confirmed and approved and shall continue in full force and effect.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals on the day and year first above written.

                                GENERAL PARTNERS

                                              /s/ Alan N. Stillman
                                    --------------------------------------------
                                                Alan N. Stillman

                                    CHAMBLAIR REALTY, INC.

                                    By /s/ Thomas J. Malmud
                                       -----------------------------------------
                                                  President

                                      -3-
<PAGE>

                                LIMITED PARTNERS
                                (Stillman Group)

                                              /s/ Alan N. Stillman
                                    --------------------------------------------
                                                Alan N. Stillman

                                               /s/ Bennett Benson
                                    --------------------------------------------
                                                 Bennett Benson

                                                /s/ Ernest Kalman
                                    --------------------------------------------
                                                  Ernest Kalman

                                                /s/ Eugene Byrne
                                    --------------------------------------------
                                                  Eugene Byrne

                                                /s/ James Gannon
                                    --------------------------------------------
                                                  James Gannon

                                                /s/ Joseph Phair
                                    --------------------------------------------
                                                  Joseph Phair

                                               /s/ Frances Singer
                                    --------------------------------------------
                                                 Frances Singer

                                                 /s/ Colin Keith
                                    --------------------------------------------
                                                   Colin Keith

                                      -4-
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                                  /s/ Leon Levy
                                    --------------------------------------------
                                                    Leon Levy

                                                  /s/ Jack Nash
                                    --------------------------------------------
                                                    Jack Nash

                                               /s/ Albert Willner
                                    --------------------------------------------
                                                 Albert Willner

                                                /s/ James H. Levi
                                    --------------------------------------------
                                                  James H. Levi

                                                 /s/ Myron Chase
                                    --------------------------------------------
                                                   Myron Chase

                                    Peter J. Venison

                                                 /s/ [ILLEGIBLE]
                                    --------------------------------------------
                                                Attorney-in-Fact

                                                 /s/ Colin Keith
                                    --------------------------------------------
                                                   Colin Keith

                                                /s/ Arnold Adlin
                                    --------------------------------------------
                                                  Arnold Adlin

                                      -5-
<PAGE>

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

            On the 4th day of December, 1980, before me personally came ALAN N.
STILLMAN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                                   /s/ Vera Hallemann Leifman
                                                   --------------------------
                                                          Notary Public

                                                    VERA HALLEMANN LEIFMAN
                                               NOTARY PUBLIC, State of New York
                                                        No. 314687795
                                                 Qualified in New York County
                                              Commission Expires March 30, 1981

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

            On the 4th day of December, 1980, before me personally came BENNETT
BENSON, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                          /s/ Vera Hallemann Leifman
                                          --------------------------
                                                 Notary Public

                                            VERA HALLEMANN LEIFMAN
                                       NOTARY PUBLIC, State of New York
                                                 No. 314687795
                                         Qualified in New York County
                                       Commission Expires March 30, 1981

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

            On the 3rd day of December, 1980, before me personally came ERNEST
KALMAN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                           /s/ Gregory P. Prissmann
                                           ------------------------
                                                 Notary Public

                                             GREGORY P. PRISSMANN
                                       NOTARY PUBLIC, State of New York
                                                No. 31-3157471
                                         Qualified in New York County
                                       Commission Expires March 30, 1981

<PAGE>

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

            On the 9th day of December, 1980, before me personally came EUGENE
BYRNE, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                               /s/ Howard Weiner
                                               -----------------
                                                 Notary Public

                                                 HOWARD WEINER
                                       NOTARY PUBLIC, State of New York
                                                No. 31-4657659
                                         Qualified in New York County
                                       Commission Expires March 30, 1981

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

            On the 9th day of December, 1980, before me personally came JAMES
GANNON, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                               /s/ Howard Weiner
                                               -----------------
                                                 Notary Public

                                                 HOWARD WEINER
                                       NOTARY PUBLIC, State of New York
                                                No. 31-4657659
                                         Qualified in New York County
                                       Commission Expires March 30, 1981

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

             On the 9th day of December, 1980, before me personally came JOSEPH
PHAIR, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                               /s/ Howard Weiner
                                               -----------------
                                                 Notary Public

                                                 HOWARD WEINER
                                       NOTARY PUBLIC, State of New York
                                                No. 31-4657659
                                         Qualified in New York County
                                       Commission Expires March 30, 1981

<PAGE>

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

            On the 10th day of December, 1980, before me personally came FRANCES
SINGER, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                               /s/ Howard Weiner
                                               -----------------
                                                 Notary Public

                                                 HOWARD WEINER
                                       NOTARY PUBLIC, State of New York
                                                No. 31-4657659
                                         Qualified in New York County
                                       Commission Expires March 30, 1981

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

            On the [ILLEGIBLE] day of December, 1980, before me personally came
COLIN KEITH, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                              /s/ Joan Haderstick
                                              -------------------
                                                 Notary Public

                                                JOAN HADERSTICK
                                       NOTARY PUBLIC, State of New York
                                                No. [ILLEGIBLE]
                                        Qualified in [ILLEGIBLE] County
                                   Commission Expires March 30, [ILLEGIBLE]

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

            On the 5 day of December, 1980, before me personally came THOMAS J.
MALMUD, to me known, who, being by me duly sworn, did depose and say, that he
resides at 7 Seymour Place, White Plains, New York; that he is the president of
Chamblair Realty Inc., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporate seal; that it was so affixed by
order of the board of directors of said corporation, and that he signed his name
thereto by like order.

                                                /s/ [ILLEGIBLE]
                                                ---------------
                                                 Notary Public

                                                  [ILLEGIBLE]

<PAGE>

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

             On the 29th day of October, 1980, before me personally came LEON
LEVY, to me known and known to me to be the person described in and who executed
the foregoing instrument and acknowledged to me that he executed the same.

                                                /s/ [ILLEGIBLE]
                                                ---------------
                                                 Notary Public

                                                  [ILLEGIBLE]
                                       NOTARY PUBLIC, State of New York
                                             No. 31-755[ILLEGIBLE]
                                        Qualified in [ILLEGIBLE] County
                                       Commission Expires March 30, 1982

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

            On the 31st day of October, 1980, before me personally came JACK
NASH, to me known and known to me to be the person described in and who executed
the foregoing instrument and acknowledged to me that he executed the same.

                                           /s/ Helen M. Rosenbergen
                                           ------------------------
                                                 Notary Public

                                             HELEN M. ROSENBERGEN
                                       NOTARY PUBLIC, State of New York
                                      No. 03-3352985 - Qual. in Bronx Co.
                                        Cert. Filed in New York County
                                      Commission Expires March 30, 1981

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

            On the 29th day of October, 1980, before me personally came JAMES H.
LEVI, to me known and known to me to be the person described in and who executed
the foregoing instrument and acknowledged to me that he executed the same.

                                             /s/ Stephanie A. Long
                                             ---------------------
                                                 Notary Public

                                               STEPHANIE A. LONG
                                       NOTARY PUBLIC, State of New York
                                                No. [ILLEGIBLE]
                                       Cert. Filed in [ILLEGIBLE] County
                                  Commission Expires March 30, 198[ILLEGIBLE]

<PAGE>

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

            On the 5th day of December, 1980, before me personally came THOMAS
J. MALMUD, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same as Attorney-in-Fact for Peter J. Venison pursuant to Power of Attorney date
September 25, 1979.

                                              /s/ Murray Lambert
                                              ------------------
                                                 Notary Public

                                                MURRAY LAMBERT
                                          Murray Lambert of New York
                                                No. [ILLEGIBLE]
                                        Certified in [ILLEGIBLE] County
                                       Commission Expires March 30, 1982

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

            On the 11 day of December, 1980, before me personally came COLIN
KEITH, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                              /s/ Joan Haderstick
                                              -------------------
                                                 Notary Public

                                                JOAN HADERSTICK
                                      NOTARY PUBLIC,[ILLEGIBLE] New York
                                                No. [ILLEGIBLE]
                                           Qualified in Kings County
                                       Commission Expires March 30, 1982

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

            On the 15th day of December, 1980, before me personally came ARNOLD
ADLIN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                             /s/ Stephanie A. Long
                                             ---------------------
                                                 Notary Public

                                               STEPHANIE A. LONG
                                       NOTARY PUBLIC, State of New York
                                                No. [ILLEGIBLE]
                                              [ILLEGIBLE] County
                                       Commission Expires March 30, 1981

<PAGE>

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

            On the 3rd day of December, 1980, before me personally came MYRON
CHASE, to me known, and known to me, to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                             /s/ Gloria J. Clarke
                                             --------------------
                                                 Notary Public

                                               GLORIA J. CLARKE
                                       Notary Public, State of New York
                                              No. 24-[ILLEGIBLE]
                                           Qualified in Kings County
                                    Certification Filed in New York Country
                                       Commission Expires March 30, 1981

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

            On the 5 day of December, 1980, before me personally came ALBERT
WILLNER, to me known, and known to me, to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                              /s/ Murray Lambert
                                              ------------------
                                                 Notary Public

                                                MURRAY LAMBERT
                                          Murray Lambert of New York
                                                No. 41-7400500
                                          Certified in Queens County
                                       Commission Expires March 30, 1982

<PAGE>

                          FOURTH AMENDMENT OF AGREEMENT

                                       OF

                   LIMITED PARTNERSHIP OF ST. JAMES ASSOCIATES

            THIS FOURTH AMENDMENT OF AGREEMENT OF LIMITED PARTNERSHIP is made
and entered into as of the 31st day of December, 1983 by and among the parties
signing this Agreement.

                                   WITNESSETH

            WHEREAS, St. James Associates (the "Partnership") was organized as a
New York limited partnership pursuant to a Certificate of Limited Partnership of
the partnership filed in the office of the County Clerk of New York County on
September 13, 1977, as amended by a Certificate of Amendment dated as of August
31, 1978 and filed in the said office on January 25, 1979 and by a Certificate
of Second Amendment of such Certificate dated as of January 1, 1979 and filed in
said office on January 10, 1980 and by a Certificate of Third Amendment dated as
of January 1, 1979 and filed in said office on March 4 1980; and

            WHEREAS, the partners in the Partnership set forth their respective
rights, duties and obligations pursuant to an Agreement of Limited Partnership
dated September 12, 1977, as

<PAGE>

modified and amended by a First Amendment of Agreement of Limited Partnership
dated as of January 1, 1979, by a Second Amendment of Agreement of Limited
Partnership dated as of January 1, 1979 and by a Third Amendment of Agreement of
Limited Partnership dated as of October 1, 1980 (said Agreement, as so modified
and amended, being hereinafter called the "Agreement"); and

            WHEREAS, Alan N. Stillman assigned his entire interest as a general
partner in the Partnership to Smith & Wollensky Operating Corp., a New York
corporation, effective as of December 31, 1983 as conditioned upon the consent
thereto of all of the Partners of the Partnership (the "GP Assignment"); and

            WHEREAS, Alan N. Stillman assigned his entire interest as a limited
partner in the Partnership, .2096/2.0831 of his interest to Donna Stillman, as
Trustee under a Trust Agreement dated December    , 1983 for the benefit of
Michael Stillman and 1.8735/2.0831 of his interest to Smith & Wollensky
Operating Corp., a New York corporation, effective as of December 31, 1983 as
conditioned upon the consent thereto of all of the Partners of the Partnership
(the "LP Assignment"); and

            WHEREAS, Myron L. Chase assigned 3.0/16.0097 of his entire interest
as a limited partner in the Partnership to the

                                      -2-
<PAGE>

Chase Trust Partnership, a general partnership, on September 19, 1983 (the
"Chase Assignment"); and

            WHEREAS, the parties desire to modify the Agreement to reflect the
GP Assignment, the LP Assignment, the Chase Assignment and certain changes in
the taxation of the Partnership resulting from the GP Assignment all as
hereinafter set forth.

            NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

            1. Consent and Waiver

            The parties hereby consent to the GP Assignment, the LP Assignment
and the Chase Assignment and agree to waive any rights they may have to receive
notice thereof and any and all rights resulting therefrom pursuant to Article 11
("Restrictions on Transfer") of the Agreement.

            2. Amendment of Agreement

            The Agreement is hereby modified and amended effective as of
December 31, 1983 as follows:

      (A) By deleting each reference to "TGI Specialty Restaurant Consulting and
Management, Inc." and replacing it with "The New York Restaurant Group, Inc."

      (B) Article 1 ("Definitions") shall be modified as follows:

                                      -3-
<PAGE>

                        (1) By deleting from subparagraph (K) "Alan N. Stillman"
                  and substituting therefor, "Smith & Wollensky Operating
                  Corp.".

                        (2) By deleting from subparagraph (JJ) "ALAN N.
                  STILLMAN" and substituting therefor "SMITH & WOLLENSKY
                  OPERATING CORP.".

                        (3) By deleting from subparagraph (KK) "Stillman" and
                  substituting therefor "Smith & Wollensky Operating Corp.".

      (C) Article 6 of the Agreement ("General and Limited Partners") is hereby
modified and amended by deleting from subparagraph (A) "ALAN N. STILLMAN,
residing at 322 East 57th Street, New York City" and substituting therefor
"SMITH & WOLLENSKY OPERATING CORP., a New York Corporation with an office c/o
The New York Restaurant Group, Inc., 401 East 63rd Street, New York, NY 10021.".

      (D) Subparagraph D of Article 10 of the Agreement ("Profits and Losses;
Distributions") is hereby modified and amended by revising subdivision 4(b)
thereof to read in its entirety as follows:

            "(b)  Except as provided in the subdivision (D) (4)(c), Net Profits
                  of the partnership shall be allocated as follows:

                  (i)   To the Partners referred to in subdivision (1) of
                        subparagraph (F) of Article 10, to the

                                      -4-
<PAGE>

                        extent of the amount distributed to each such Partner
                        during the fiscal year; and

                  (ii)  Of the remaining Net Profits, 53% thereof to the
                        Stillman Group to be divided among each Partner of the
                        Stillman Group in accordance with his respective Capital
                        Percentage, and 47% thereof to the Investors Group to be
                        divided among each Partner of the Investors Group in
                        accordance with his respective Capital Percentage"

      (E) Subparagraph F of Article 10 of the Agreement ("Profits and Losses;
Distributions") is hereby modified and amended by inserting the following
provision as subdivision 1 thereof and renumbering subdivisions (1) to (5)
inclusive of such subparagraph F as subdivisions (2) to (6) inclusive:

            "(1)  For any fiscal year beginning on or after January 1, 1984, to
                  each Partner, an amount equal to such Partner's New York City
                  Unincorporated Business Tax or Corporation Business Tax
                  liability for the preceding fiscal year attributable to
                  Partnership income paid or allocated to such Partner in the
                  preceding fiscal year. Such amount may not exceed the lesser
                  of (a) the City of New York Unincorporated Business Tax
                  savings realized by the

                                      -5-
<PAGE>

                  Partnership for its preceding fiscal year from the exemption
                  which it receives under Section S46-9.0(2) of the New York
                  City Administrative Code attributable to the income paid or
                  allocated to such Partner; or (b) the Partner's total New York
                  City Unincorporated or Corporation Business Tax for the
                  preceding fiscal year; and then"

      (F) Subparagraph G of Article 10 of the Agreement ("Profits and Losses;
Distributions") is hereby modified and amended to read in its entirety as
follows:

            "(G) Subject to the provisions of subdivisions (F)(1) to (F)(5)
            inclusive of this Article, any Excess Proceeds received upon a
            foreclosure of the mortgages or other sale of the entire Property
            and the termination of the Partnership (less sums previously paid
            hereunder or under subparagraph (G) of Article 10 of the Realty
            Partnership Agreement ("Profits and Losses; Distributions")) shall
            be paid to those Partners having positive capital balances in
            amounts equal to such positive capital accounts and in settlement
            thereof."

      (G) Exhibit A of the Agreement is hereby modified and amended by
substituting for Exhibit A annexed thereto, Exhibit A annexed hereto.

                                      -6-
<PAGE>

            3. Ratification

            The Agreement as modified and amended herein is hereby ratified,
confirmed and approved in all respects and shall continue in full force and
effect.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals as of the day and year first above written.

                                GENERAL PARTNERS

                                         SMITH & WOLLENSKY OPERATING
                                           CORP.
                                         (Incoming General Partner)

                                         By
                                           -------------------------------------
                                            Alan N. Stillman, President

                                         ---------------------------------------
                                         Alan N. Stillman (withdrawing
                                            General Partner)

                                         CHAMBLAIR REALTY, INC.

                                         By
                                           -------------------------------------
                                                                 President

                                      -7-
<PAGE>

                                LIMITED PARTNERS
                                (Stillman Group)

                                         ---------------------------------------
                                          Alan N. Stillman (withdrawing
                                             limited partner)

                                         SMITH & WOLLENSKY OPERATING
                                            CORP.
                                         (Incoming Limited Partner)

                                         By
                                           -------------------------------------
                                            Alan N. Stillman, President

                                         ---------------------------------------
                                         Donna Stillman, as Trustee
                                           U/T/A dated December       ,
                                          1983 f/b/o Michael Stillman
                                          (Incoming Limited Partner)

                                         ---------------------------------------
                                         Bennett Benson

                                         ---------------------------------------
                                         Ernest Kalman

                                         ---------------------------------------
                                         Eugene Byrne

                                         ---------------------------------------
                                         James Gannon

                                         ---------------------------------------
                                         Joseph Phair

                                         ---------------------------------------
                                         Frances Singer

                                         ---------------------------------------
                                         Colin Keith

                                      -8-
<PAGE>

                                LIMITED PARTNERS
                                (Investor Group)

                                         ---------------------------------------
                                         Leon Levy

                                         ---------------------------------------
                                         Jack Nash

                                         ---------------------------------------
                                         Albert Willner

                                         ---------------------------------------
                                         James H. Levi

                                         ---------------------------------------
                                         Myron Chase

                                         Peter J. Venison

                                         By
                                           -------------------------------------
                                            Attorney-in-fact

                                         ---------------------------------------
                                         Colin Keith

                                         ---------------------------------------
                                         Arnold Adlin

                                         Chase Trust Partnership
                                         (Incoming Limited Partner)

                                         By
                                           -------------------------------------
                                                                        Partner

                                      -9-
<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

                                        GENERAL PARTNERS
                                        (Stillman Group)

Stillman & Wollensky              $13,750.51            5.0002        $15,000.64
    Operating Corp.
c/o The New York Restaurant
    Group, Inc.
401 East 63rd Street
New York, N.Y.

                                (Investor Group)

Chamblair Realty Inc.                 229.17             .0832             50.00
c/o Warshaw Burstein
Cohen Schlesinger & Kuh
555 Fifth Avenue
New York, N.Y.
Att: Thomas J. Malmud

                                         LIMITED PARTNERS
                                         (Stillman Group)

Smith & Wollensky Operating         5,152.10            1.8735          5,620.56
  Corp.
c/o The New York Restaurant
 Group, Inc.
401 East 63rd Street
New York, New York

Donna Stillman, as                    576.40             .2096            628.80
 Trustee, under a Trust
 Agreement dated December
      ,  1983 for the benefit
 of Michael Stillman

Bennett Benson                     10,770.92            3.9167         11,750.00
230 East 48 Street
New York, N.Y.

Ernest Kalman                      10,770.92            3.9167         11,750.00
23 Hyatt Street
Briarcliff, N.Y.

Frances Singer                        916.67             .3333          1,000.00
3601 Johnson Avenue
Bronx, New York

*     Less sums contributed as partners of M W Realty Associates, a New York
      Limited Partnership.

                                    EXHIBIT A
                                    (Page 1)

<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

Eugene Byrne                        1,145.80             .4168          1,250.00
300 East Devonia Ave
Mt. Vernon, N.Y.

James Gannon                          916.67             .3333          1,000.00
334 East 54th Street
New York, N.Y.

                                         LIMITED PARTNERS
                                         (Investor Group)

Joseph Phair                          916.67             .3333          1,000.00
5809 - 75th Street
Elmhurst, N.Y.

Colin Keith                           916.37             .3333          1,000.00
175 East 74 Street
New York, N.Y.

Leon Levy                         $44,026.58           16.0097        $ 9,605.80
983 Park Avenue
New York, N.Y.

Jack Nash                          44,026.58           16.0097          9,605.80
784 Park Avenue
New York, N.Y.

Albert Willner                     44,026.58           16.0097          9,605.80
45 Crest Drive
So. Orange, N. J

Myron Chase                        35,776.60           13.0097          7,805.80
1005 Seven Oaks Lane
Mamaroneck, N.Y.

Chase Trust Partnership             8,249.98            3.0000          1,800.00
201 East 42nd Street
New York, N.Y.

James H. Levi                      26,415.59            9.6057          5,763.40
85 Larchmont Avenue
Larchmont, N.Y.

Peter Venison                      13,208.02            4.8029          2,881.75
9 Hillview Drive
Scarsdale, N.Y.

Colin Keith                         8,805.04            3.2018          1,921.10
175 East 74th St
New York, N.Y.

Arnold Adlin                        4,402.53            1.6009            960.55
6 Ridgecrest East
Scarsdale, N.Y.

*     Less sums contributed as partners of M W Realty Associates, a New York
      Limited Partnership.

                                    EXHIBIT A

<PAGE>

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

            On the    day of December, 1983, before me personally came ALAN N.
STILLMAN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me came ALAN N. STILLMAN, to
me known, who, being by me duly sworn, did depose and say; that he resides at
322 East 57th Street, New York, New York; that he is the President of Smith &
Wollensky Operating Corp., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporation's seal; that it was so affixed by
order of the board of directors of said corporation and that he signed his name
thereto by like order.

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

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

            On the    day of December, 1983, before me personally came DONNA
STILLMAN, as Trustee under a Trust Agreement dated December    , 1983 for the
benefit of Michael Stillman, to me known and know to me to be the person
described in and who executed the foregoing instrument and acknowledged to me
that she executed the same in her capacity as said Trustee.

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

<PAGE>

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

            On the    day of December, 1983, before me personally came BENNETT
BENSON, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came ERNEST
KALMAN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came EUGENE
BYRNE, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

<PAGE>

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

            On the    day of December, 1983, before me personally came JAMES
GANNON, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came JOSEPH
PHAIR, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came FRANCES
SINGER, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that she executed the
same.

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

<PAGE>

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

            On the    day of December, 1983, before me personally came COLIN
KEITH, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came THOMAS J.
MALMUD, to me known, who, being by me duly sworn, did depose and say: that he
resides at 7 Seymour Place, White Plains, New York; that he is the President of
Chamblair Realty Inc., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporate seal; that it was so affixed by
order of the board of directors of said corporation and that he signed his name
thereto by like order.

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

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

            On the    day of December, 1983, before me personally came LEON
LEVY, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

<PAGE>

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

            On the    day of December, 1983, before me personally came JACK
NASH, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came JAMES H.
LEVI, to me known and known to me to be the person described in and who executed
the foregoing instrument and acknowledged to me that he executed the same.

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

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

            On the    day of December, 1983, before me personally came THOMAS J.
MALMUD, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same, as Attorney-in-Fact for Peter J. Venison pursuant to Power of Attorney
dated September 25, 1979.

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

<PAGE>

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

            On the    day of December, 1983, before me personally came COLIN
KEITH, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came ARNOLD
ADLIN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came MYRON
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

<PAGE>

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

            On the    day of December, 1983, before me personally came ALBERT
WILLNER, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

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

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

            On the    day of December, 1983, before me personally came STEPHEN
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same as a partner of the Chase Trust Partnership.

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

<PAGE>

                          FIFTH AMENDMENT OF AGREEMENT

                                       OF

                   LIMITED PARTNERSHIP OF ST. JAMES ASSOCIATES

            THIS FIFTH AMENDMENT OF AGREEMENT OF LIMITED PARTNERSHIP is made and
entered into as of the 20th day of January, 1984 by and among the parties
signing this Agreement.

                                   WITNESSETH

            WHEREAS, James Associates (the "Partnership") was organized as a New
York limited partnership pursuant to a Certificate of Limited Partnership of the
Partnership filed in the office of the County Clerk of New York County on
September 13, 1977, as amended by a Certificate of Amendment dated as of August
31, 1978 and filed in the said office on January 25, 1979 and by a Certificate
of Second Amendment of such Certificate dated as of January 1, 1979 and filed in
said office on January 10, 1980 and by a Certificate of Third Amendment dated as
of January 1, 1979 and filed in said office on March 4, 1980 and by a
Certificate of Fourth Amendment dated as of December 31, 1983 and to be filed
after the execution hereof; and

            WHEREAS, the partners in the Partnership set forth their respective
rights, duties and obligations pursuant to an

<PAGE>

Agreement of Limited Partnership dated September 12, 1977, as modified and
amended by a First Amendment of Agreement of Limited Partnership dated as of
January 1, 1979, by a Second Amendment of Agreement of Limited Partnership dated
as of January 1, 1979, by a Third Amendment of Agreement of Limited Partnership
dated as of October 1, 1980 and by a Fourth Amendment of Agreement dated as of
December 31, 1983 (said Agreement, as so modified and amended, being hereinafter
called the "Agreement"); and

            WHEREAS, Donna Stillman assigned .2097/.629 of her interest as a
limited partner in the partnership to Ronald Nicholson, Robert Villency and
Donna Stillman, as Trustees under a Trust Agreement dated as of December 31,
1983 for the benefit of Michael Stillman (the "Trust Assignment"); and

            WHEREAS, the parties desire to modify the Agreement to reflect the
Trust Assignment all as hereinafter set forth.

            NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

            1. Consent and Waiver

            The General Partners (as defined in the Agreement) hereby consent to
the Trust Assignment in the form thereof.

                                      -2-
<PAGE>

            2. Amendment of Agreement

            The Agreement is hereby modified and amended effective as of January
20, 1984 as follows:

      (A) Exhibit A of the Agreement is hereby modified and amended by
substituting for Exhibit A annexed thereto, Exhibit A annexed hereto.

            3. Ratification

            The Agreement as modified and amended herein is hereby ratified,
confirmed and approved in all respects and shall continue in full force and
effect.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals as of the day and year first above written.

                                GENERAL PARTNERS

                                         SMITH & WOLLENSKY OPERATING
                                           CORP.

                                         By /s/  Alan N. Stillman
                                           -------------------------------------
                                           Alan N. Stillman, President

                                         CHAMBLAIR REALTY, INC.

                                         By /s/ Thomas J. Malmud
                                           -------------------------------------
                                                                   President

                                      -3-
<PAGE>

                                LIMITED PARTNERS
                                (Stillman Group)

                                         SMITH & WOLLENSKY OPERATING
                                           CORP.

                                         By /s/  Alan N. Stillman
                                           -------------------------------------
                                           Alan N. Stillman, President

                                         /s/ Donna Stillman
                                         ---------------------------------------
                                         Donna Stillman, as Trustee

                                         /s/ Ronald Nicholson
                                         ---------------------------------------
                                         Ronald Nicholson, as Trustee

                                         /s/ Robert Villency
                                         ---------------------------------------
                                         Robert Villency, as Trustee

                                         As Trustees under a Trust
                                           Agreement dated as of
                                           December 31, 1983 for the
                                           benefit of Michael Stillman
                                           (Assignee)

                                         /s/ Donna Stillman
                                         ---------------------------------------
                                         Donna Stillman (Assignor)

                                         /s/ Bennett Benson
                                         ---------------------------------------
                                         Bennett Benson

                                         /s/ Ernest Kalman
                                         ---------------------------------------
                                         Ernest Kalman

                                         /s/ Eugene Byrne
                                         ---------------------------------------
                                         Eugene Byrne

                                         /s/ James Gannon
                                         ---------------------------------------
                                         James Gannon

                                         /s/ Joseph Phair
                                         ---------------------------------------
                                         Joseph Phair

                                      -4-
<PAGE>

                                         /s/ Frances Singer
                                         ---------------------------------------
                                         Frances Singer

                                         /s/ Colin Keith
                                         ---------------------------------------
                                         Colin Keith

                                LIMITED PARTNERS
                                (Investor Group)

                                         /s/ Leon Levy
                                         ---------------------------------------
                                         Leon Levy

                                         /s/ Jack Nash
                                         ---------------------------------------
                                         Jack Nash

                                         /s/ Albert Willner
                                         ---------------------------------------
                                         Albert Willner

                                         /s/ James H. Levi
                                         ---------------------------------------
                                         James H. Levi

                                         /s/ Myron Chase
                                         ---------------------------------------
                                         Myron Chase

                                         /s/ Peter J. Venison
                                         ---------------------------------------
                                         Peter J. Venison

                                         /s/ Colin Keith
                                         ---------------------------------------
                                         Colin Keith

                                         /s/ Arnold Adlin
                                         ---------------------------------------
                                         Arnold Adlin

                                         Chase Trust Partnership

                                         By /s/ Stephen H. Chase
                                            ------------------------------------
                                            Stephen H. Chase, Partner

                                      -5-
<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

                                        GENERAL PARTNERS
                                        (Stillman Group)

Stillman & Wollensky              $13,750.51            5.0002        $15,000.64
  Operating Corp.
c/o The New York Restaurant
  Group, Inc.
401 East 63rd Street
New York, N.Y.

                                (Investor Group)

Chamblair Realty Inc.                 229.17             .0832             50.00
  c/o Warshaw Burstein
Cohen Schlesinger & Kuh
555 Fifth Avenue
New York, N.Y.
Att: Thomas J. Malmud

                                        LIMITED PARTNERS
                                        (Stillman Group)

Smith & Wollensky Operating         3,422.39            1.2445          3,733.54
  Corp.
c/o The New York Restaurant
Group, Inc.
401 East 63rd Street
New York, New York

Donna Stillman, Ronald              1,153.05             .4193          1,257.91
  Nicholson and Robert
  Villency, as Trustees
  under a Trust Agreement
  dated as of December 31,
  1983 for the benefit of
  Michael Stillman

Donna Stillman                      1,153.06             .4193          1,257.91
322 East 57th Street
New York, New York

Bennett Benson                     10,770.92            3.9167         11,750.00
230 East 48 Street
New York, N.Y.

Ernest Kalman                      10,770.92            3.9167         11,750.00
23 Hyatt Street
Briarcliff, N.Y.

Frances Singer                        916.67             .3333          1,000.00
3601 Johnson Avenue
Bronx, New York

*     Less sums contributed as partners of M W Realty Associates, a New York
      Limited Partnership.

                                    EXHIBIT A
                                    (Page 1)

<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

Eugene Byrne                        1,145.80             .4168          1,250.00
300 East Devonia Ave
Mt. Vernon, N.Y.

James Gannon                          916.67             .3333          1,000.00
334 East 54th Street
New York, N.Y.

Joseph Phair                          916.67             .3333          1,000.00
5809 - 75th Street
Elmhurst, N.Y.

Colin Keith                           916.67             .3333          1,000.00
175 East 74 Street
New York, N.Y.

                                         LIMITED PARTNERS
                                         (Investor Group)

Leon Levy                         $44,026.58           16.0097        $ 9,605.80
983 Park Avenue
New York, N.Y.

Jack Nash                          44,026.58           16.0097          9,605.80
784 Park Avenue
New York, N.Y.

Albert Willner                     44,026.58           16.0097          9,605.80
45 Crest Drive
So. Orange, N.J.

Myron Chase                        35,776.60           13.0097          7,805.80
1O05 Seven Oaks Lane
Mamaroneck, N.Y.

Chase Trust Partnership             8,249.98            3.0000          1,800.00
201 East 42nd Street
New York, N.Y.

James H. Levi                      26,415.59            9.6057          5,763.40
85 Larchmont Avenue
Larchmont, N.Y.

Peter Venison                      13,208.02            4.8029          2,881.75
P.O. Box 5037
Johannesburg, South Africa

Colin Keith                         8,805.04            3.2018          1,921.10
175 East 74th St
New York, N.Y.

Arnold Adlin                        4,402.53            1.6009            960.55
6 Ridgecrest East
Scarsdale, N.Y.

*     Less sums contributed as partners of M W Realty Associates, a New York
      Limited Partnership.

                                   EXHIBIT A
                                    (Page 2)

<PAGE>

                          SIXTH AMENDMENT OF AGREEMENT

                                       OF

                   LIMITED PARTNERSHIP OF ST. JAMES ASSOCIATES

            THIS SIXTH AMENDMENT OF AGREEMENT OF LIMITED PARTNERSHIP is made and
entered into as of the 14 day of March, 1986 by and among the parties signing
this Agreement.

                                   WITNESSETH:

            WHEREAS, St. James Associates (the "Partnership") was organized as a
New York limited partnership pursuant to a Certificate of Limited Partnership of
the partnership filed in the office of the County Clerk of New York County Of
September 13, 1977, as amended by a Certificate of Amendment dated as of August
31, 1978 and filed in the said office on January 25, 1979 and by a Certificate
of Second Amendment of such Certificate dated as of January 1, 1979 and filed in
said office on January 10, 1980 and by a Certificate of Third Amendment dated as
of January 1, 1979 and filed in said office on March 4, 1980 and by a
Certificate of Fourth Amendment dated as of December 31, 1983 and filed in said
office on April 24, 1984; and

            WHEREAS, the partners in the Partnership set forth their respective
rights, duties and obligations pursuant to

<PAGE>

an Agreement of Limited Partnership dated September 12, 1977, as modified and
amended by a First Amendment of Agreement of Limited Partnership dated as of
January 1, 1979, by a Second Amendment of Agreement of Limited Partnership dated
as of January 1, 1979, by a Third Amendment of Agreement of Limited Partnership
dated as of October 1, 1980, by a Fourth Amendment of Agreement dated as of
December 31, 1983 and by a Fifth Amendment of Agreement dated as of January 20,
1984, (said Agreement, as so modified and amended, being hereinafter called the
"Agreement"); and

            WHEREAS, the parties desire to modify the Agreement to reflect the
Assignment all as hereinafter set forth.

            WHEREAS, by an Assignment (the "Assignment") dated March 14, 1986,
Peter Venison, a limited partner in the Investor Group, assigned all of his
interest as a limited partner in the capital, income, profits and losses of the
Partnership (the "Interest") to James H. Levi to the extent of 90% of the
Interest, and to Arnold Adlin to the extent of 10% of the Interest, and their
respective heirs, successors and assigns.

            NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

            1. Amendment of Agreement

            The Agreement is hereby modified and amended effective as of July
15, 1986 as follows:

                                       2
<PAGE>

                  (A) Exhibit A of the Agreement is hereby modified and amended
by substituting for Exhibit A annexed thereto, Exhibit A annexed hereto.

            2. Ratification

            The Agreement as modified and amended herein is hereby ratified,
confirmed and approved in all respects and shall continue in full force and
effect.

            IN WITNESS WHEREOF, the undersigned have hereunto set their hands
and seals as of the day and year first above written.

                                GENERAL PARTNERS

                                         SMITH & WOLLENSKY OPERATING CORP.

                                         By: /s/ Alan N. Stillman
                                             -----------------------------------
                                             Alan N. Stillman, President

                                         CHAMBLAIR REALTY, INC.

                                         By: /s/ Thomas J. Malmud
                                             -----------------------------------
                                             Thomas J. Malmud, President

                                         LIMITED PARTNERS
                                         (Stillman Group)

                                         SMITH AND WOLLENSKY OPERATING CORP.

                                         By: /s/ Alan N. Stillman
                                             -----------------------------------
                                             Alan N. Stillman, President

                                       3
<PAGE>

                                         /s/ Donna Stillman
                                         ---------------------------------------
                                         Donna Stillman

                                         /s/ Donna Stillman
                                         ---------------------------------------
                                         Donna Stillman, as Trustee

                                         /s/ Ronald Nicholson
                                         ---------------------------------------
                                         Ronald Nicholson, as Trustee

                                         /s/ Robert Villency
                                         ---------------------------------------
                                         Robert Villency, as Trustee

                                         As Trustees under a Trust
                                         Agreement dated as of
                                         December 31, 1983 for the
                                         benefit of Michael Stillman

                                         /s/ Bennett Benson
                                         ---------------------------------------
                                         Bennett Benson

                                         /s/ Ernest Kalman
                                         ---------------------------------------
                                         Ernest Kalman

                                         /s/ Eugene Byrne
                                         ---------------------------------------
                                         Eugene Byrne

                                         /s/ James Gannon
                                         ---------------------------------------
                                         James Gannon

                                         /s/ Joseph Phair
                                         ---------------------------------------
                                         Joseph Phair

                                       4
<PAGE>

                                         /s/ Frances Singer
                                         ---------------------------------------
                                         Frances Singer

                                         /s/ Colin Keith
                                         ---------------------------------------
                                         Colin Keith

                                         LIMITED PARTNERS
                                         (Investor Group)

                                         /s/ Leon Levy
                                         ---------------------------------------
                                         Leon Levy

                                         /s/ Jack Nash
                                         ---------------------------------------
                                         Jack Nash

                                         /s/ Albert Willner
                                         ---------------------------------------
                                         Albert Willner

                                         /s/ James H. Levi
                                         ---------------------------------------
                                         James H. Levi

                                         /s/ Myron Chase
                                         ---------------------------------------
                                         Myron Chase

                                         /s/ Colin Keith
                                         ---------------------------------------
                                         Colin Keith

                                         /s/ Arnold Adlin
                                         ---------------------------------------
                                         Arnold Adlin

                                         Chase Trust Partnership

                                         By: /s/ Stephen H. Chase
                                             -----------------------------------
                                             Stephen H. Chase, Partner

                                       5
<PAGE>

                                         WITHDRAWING LIMITED PARTNER:

                                         /s/ Peter Venison
                                         ---------------------------------------
                                         Peter Venison

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

            On the 26th day of March, 1986, before me personally appeared PETER
VENISON, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                          /s/ Barbara Joan Poplawsky
                                          --------------------------
                                                 Notary Public

                                            BARBARA JOAN POPLAWSKY
                                        Notary Public, State of New York
                                                No. 03-3134033
                                            Qualified in Bronx County
                                        Commission Expires March 30, 1987

<PAGE>

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

            On the 17 day of June, 1986, before me personally came JAMES GANNON,
to me known and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 17 day of June, 1986, before me personally came JOSEPH PHAIR,
to me known and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 17 day of June, 1986, before me personally came FRANCES
SINGER, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that she executed the
same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

<PAGE>

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

            On the 17 day of June, 1986, before me personally came BENNETT
BENSON, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the day 17 of June, 1986, before me personally came ERNEST
KALMAN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 17 day of June, 1986, before me personally came EUGENE BYRNE,
to me known and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

<PAGE>

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

            On the 17 day of June, 1986, before me personally came COLIN KEITH,
to me known and known to me to be the person described in and executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 10th day of July, 1986, before me personally came THOMAS J.
MALMUD, to me known, who, being by me duly sworn, did depose and say: that he
resides at 7 Seymour Place, White Plains, New York; that he is the President of
Chamblair Realty Inc., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporate seal; that it was so affixed by
order of the board of directors of said corporation and that he signed his name
thereto by like order.

                                          /s/ Barbara Joan Poplawsky
                                          --------------------------
                                                 Notary Public

                                            BARBARA JOAN POPLAWSKY
                                       Notary Public, State of New York
                                                No. 03-3134033
                                           Qualified in Bronx County
                                       Commission Expires March 30, 1987

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

            On the 17 day of June, 1986, before me personally came LEON LEVY, to
me known and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

<PAGE>

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

            On the 30th day of June, 1986, before me came ALAN N. STILLMAN, to
me known, who, being by me duly sworn, did depose and say: that he resides at
322 East 57th Street, New York, New York; that he is the President of Smith &
Wollensky Operating Corp., the corporation described in and which executed the
within instrument; that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporation's seal; that it was so affixed by
order of the board of directors of said corporation and that he signed his name
thereto by like order.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 30 day of June, 1986, before me personally came DONNA
STILLMAN, to me known and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that she executed the
same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 30 day of June, 1986, before me personally came DONNA
STILLMAN, as Trustee under a Trust Agreement dated December 31, 1983 for the
benefit of Michael Stillman, to me known and known to me to be the person
described in and who executed the foregoing instrument and acknowledged to me
that she executed the same in her capacity as said Trustee.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

<PAGE>

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

            On the 9 day of July l986, before me personally came RONALD
NICHOLSON, as Trustee under a Trust Agreement dated December 31, 1983 for the
benefit of Michael Stillman, to me known and known to me to be the person
described in and who executed the foregoing instrument and acknowledged to me
that he executed the same in his capacity as said Trustee.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 9 day of July l986, before me personally came ROBERT
VILLENCY, as Trustee under a Trust Agreement dated December 31, 1983 for the
benefit of Michael Stillman, to me known and known to me to be the person
described in and who executed the foregoing instrument and acknowledged to me
that he executed the same in his capacity as said Trustee.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

              On the 17 day of June, 1986, before me personally came JACK NASH,
to the known, and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

<PAGE>

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

            On the 18 day of June, 1986, before me personally came JAMES H.
LEVI, to me known and known to me to be the person described in and who executed
the foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Eva L. Padilla
                                              ------------------
                                                 Notary Public

                                                EVA L. PADILLA
                                       Notary Public, State of New York
                                                 No. 4853899
                                          Qualified in Suffolk County
                                       Commission Expires Feb. 17, 1988

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

             On the 17 day of June, 1986, before me personally came COLIN KEITH,
to me known, and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

            On the 18 day of June, 1986, before me personally came ARNOLD ADLIN,
to me known and known to me to be the person described in and who executed the
foregoing instrument and acknowledged to me that he executed the same.

                                              /s/ Eva L. Padilla
                                              ------------------
                                                 Notary Public

                                                EVA L. PADILLA
                                       Notary Public, State of New York
                                                  No. 4853899
                                          Qualified in Suffolk County
                                       Commission Expires Feb. 17, 1988

<PAGE>

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

            On the 20th day of June, 1986, before me personally came MYRON
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                               /s/ Michele Meyers
                                               -----------------
                                                 Notary Public

                                                 MICHELE MEYERS
                                       Notary Public, State of New York
                                                No. 31-4769107
                                         Qualified in New York County
                                       Commission Expires March 30, 1989

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

            On the 17 day of June, 1986, before me personally came ALBERT
WILLNER, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same.

                                              /s/ Mark K. Levine
                                              ------------------
                                                 Notary Public

                                                MARK K. LEVINE
                                       Notary Public, State of New York
                                                No. 44-4805577
                                         Qualified in Rockland County
                                         Commission Expires 1/31 1989

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

             On the 20th day of June, 1986, before me personally came STEPHEN
CHASE, to me known, and known to me to be the person described in and who
executed the foregoing instrument and acknowledged to me that he executed the
same as a partner of the Chase Trust Partnership.

                                               /s/ Michele Meyers
                                               -----------------
                                                 Notary Public

                                                 MICHELE MEYERS
                                       Notary Public, State of New York
                                                No. 31-4769107
                                         Qualified in New York County
                                       Commission Expires March 30, 1989

<PAGE>

                                    EXHIBIT A

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

                                          GENERAL PARTNERS
                                          (Stillman Group)

Smith & Wollensky                 $13,750.51            5.0002        $15,000.64
  Operating Corp.
c/o The New York Restaurant
  Group, Inc.
401 East 63rd Street
New York, N.Y.

                                (Investor Group)

Chamblair Realty Inc.                 229.17             .0832             50.00
c/o Warshaw Burstein
Cohen Schlesinger & Kuh
555 Fifth Avenue
New York, N.Y.
Att: Thomas J. Malmud

                                         LIMITED PARTNERS
                                         (Stillman Group)

Smith & Wollensky                   3,422.39            1.2445          3,733.54
  Operating Corp.
c/o The New York Restaurant
  Group, Inc.
401 East 63rd Street
New York, N.Y.

Donna Stillman, Ronald              1,153.05             .4193          1,257.91
Nicholson and Robert
Villency, as Trustees
under a Trust Agreement
dated as of December 31,
1983 for the benefit of
Michael Stillman

Donna Stillman                      1,153.06             .4193          1,257.91
322 East 57th Street
New York, New York

*     Less sums contributed as Partners of H W Realty Associates, a New York
      Limited Partnership.

                                       A-1

<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

Bennett Benson                     10,770.92            3.9167         11,750.00
230 East 48th Street
New York, N.Y.

Ernest Kalman                      10,770.92            3.9167         11,750.00
23 Hyatt Street
Briarcliff, N.Y.

Frances Singer                        916.67             .3333          1,000.00
3601 Johnson Avenue
Bronx, New York

Eugene Byrne                        1,145.80             .4168          1,250.00
300 East Devonia Ave.
Mt. Vernon, N.Y.

James Gannon                          916.67             .3333          1,000.00
334 East 54th Street
New York, N.Y.

Joseph Phair                          916.67             .3333          1,000.00
5809 - 75th Street
Elmhurst, N.Y.

Colin Keith                           916.67             .3333          1,000.00
175 East 74th Street
New York, N.Y.

                                          LIMITED PARTNERS
                                          (Investor Group)

Leon Levy                          44,026.58           16.0097          9,605.80
983 Park Avenue
New York, N.Y.

Jack Nash                          44,026.58           16.0097          9,605.80
784 Park Avenue
New York, N.Y.

Albert Willner                     44,026.58           16.0097          9,605.80
45 Crest Drive
So. Orange, N. J.

Myron Chase                        35,776.60           13.0097          7,805.80
1005 Seven Oaks Lane
Mamaroneck, N.Y.

*     Less sums contributed as Partners of M W Realty Associates, a New York
      Limited Partnership.

                                      A-2

<PAGE>

NAME AND                           CAPITAL          CAPITAL          ADDITIONAL
RESIDENCE                        CONTRIBUTION      PERCENTAGE         CAPITAL*
---------                        ------------      ----------        ---------

Chase Trust Partnership             8,249.98            3.0000         1,800.00
201 East 42nd Street
New York, N.Y.

James H. Levi                      38,302.81           13.9283         8,356.98
85 Larchmont Avenue
Larchmont, N.Y.

Colin Keith                         8,805.04            3.2018         1,921.10
175 East 74th St.
New York, N.Y.

Arnold Adlin                        5,723.33            2.0812         1,248.73
6 Ridgecrest East
Scarsdale, N.Y.

*     Less sums contributed as Partners of M W Realty Associates, a New York
      Limited Partnership.

                                       A-3

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