Document:

SALE-PURCHASE AGREEMENT
                             -----------------------

     SALE-PURCHASE AGREEMENT (this "AGREEMENT"),  made as of November 27, 2000,
between  WELLSFORD  CAPITAL  PROPERTIES,  L.L.C., a Delaware  limited  liability
company  having an address c/o  Wellsford  Real  Properties,  Inc.,  535 Madison
Avenue,   26th  Floor  New  York,  New  York  10022   ("SELLER")  and  WINDSWEPT
DEVELOPMENT, LLC, a Michigan limited liability company having an office at 31000
Northwestern Highway, Suite 220, Farmington Hills, Michigan 48334 ("PURCHASER").

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

     Seller and  Purchaser,  in  consideration  of the mutual  covenants  herein
contained, hereby agree as follows:

                         ARTICLE 1. CERTAIN DEFINITIONS
                         ------------------------------

     For  purposes  of this  Agreement,  the  following  terms  shall  have  the
following meanings:

          1.1.  "Affiliate"  shall  mean any  entity in which  Purchaser  or its
     principals has an interest.

          1.2. "Broker" shall mean Staubach Retail Services.

          1.3.  "Business Day" shall mean any day other than a Saturday,  Sunday
     or any day  upon  which  banks  in the  Commonwealth  of  Pennsylvania  are
     required or authorized by law to be closed.

          1.4.  "Effective  Date"  shall  mean the  date  upon  which  Purchaser
     receives a fully executed counterpart of this Agreement. Promptly following
     the occurrence of the Effective  Date,  Purchaser shall execute and deliver
     to Seller  such  instrument  as Seller  may  submit to it to  evidence  the
     occurrence of the Effective Date.

          1.5.  "Escrowee" shall mean,  collectively,  First Escrowee and Second
     Escrowee.

          1.6.  "Existing Leases" shall mean the leases,  licenses and occupancy
     agreements set forth in Exhibit B annexed hereto.

          1.7.  "Existing Service  Contracts" shall mean the service  contracts,
     maintenance agreements, brokerage agreements and other agreements affecting
     the Property and set forth in Exhibit C annexed hereto.

          1.8. "First Escrowee" shall mean Metropolitan Title Company.

          1.9. "Invasive Tests" shall mean any physical inspection or testing of
     the Premises  other than visual  examination,  and shall  include,  without
     limitation, sampling of soils or other media.

          1.10.  "Leases"  shall mean the Existing  Leases and the New Leases in
     effect on the Closing Date.

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          1.11.  "Leasing  Costs"  shall  mean,  collectively,  (i)  leasing  or
     brokerage commissions, (ii) direct payments, tenant improvement allowances,
     work  letters  or free rent and (iii) free rent,  rent  allowances  or rent
     credits,  in each case paid or granted to a tenant under an Existing  Lease
     or a New Lease.

          1.12.  "New Leases"  shall mean any new leases,  licenses or occupancy
     agreements  entered  into by  Seller in  accordance  with the terms of this
     Agreement.

          1.13.  "New  Service  Contracts"  shall  mean any  service  contracts,
     maintenance  agreements,  brokerage  agreements or other agreements entered
     into by Seller in accordance with the terms of this Agreement.

          1.14. "Representation Survival Period" shall mean six (6) months.

          1.15.  "Second  Escrowee" shall mean Commonwealth Land Title Insurance
     Company.

          1.16."Service Contracts" shall mean the Existing Service Contracts and
     the New Service Contracts in effect on the Closing Date.

          1.17.  "Title  Insurer" shall mean  Commonwealth  Land Title Insurance
     Company.

                      ARTICLE 2. SALE-PURCHASE OF PROPERTY
                      ------------------------------------

     2.1.  Agreement to Sell and Purchase.  Seller shall sell to Purchaser,  and
Purchaser  shall purchase from Seller,  at the Purchase Price and upon the terms
and conditions set forth in this  Agreement,  the following  (collectively,  the
"PROPERTY"):  (a) the parcel of land more  particularly  described  in Exhibit A
attached hereto (the "LAND"); (b) the buildings and other structures situated on
the Land,  inclusive of all of Seller's right,  title and interest in and to the
improvements,  fixtures, systems, plant equipment, apparatus and machinery which
form a part  of the  buildings  or  such  other  structures  (collectively,  the
"BUILDING")  (the Land and the  Building  are  herein  collectively  called  the
"PREMISES");  (c) all right, title and interest of Seller, if any, in and to (i)
the land lying in the bed of any street or highway in front of or adjoining  the
Land to the  center  line  thereof  and  (ii)  any  appurtenances  in and to the
Premises;  (d) all right,  title and interest of Seller in and to any furniture,
furnishings, moveable equipment and other personal property located at, and used
in  connection  with,  the Premises  (herein  collectively  called the "PERSONAL
PROPERTY");  (e) the  landlord's  interest in and to the Leases and any security
held  thereunder;  (f) to the  extent  assignable,  Seller's  right,  title  and
interest  in and to the  Service  Contracts;  and (g) to the extent  assignable,
Seller's  right,  title and  interest in and to any licenses and permits used or
useful  in the  operation  of the  Premises  (collectively,  the  "LICENSES  AND
PERMITS").  The Premises are located at, and are known as, Bradford  Plaza,  710
Downington Pike, West Chester, Pennsylvania.

     2.2. Title to Premises.  Seller shall convey,  and Purchaser  shall accept,
title to and  possession of the Premises on the Closing Date,  free of all Title
Exceptions other than the Permitted Exceptions (each as hereinafter defined).

     2.3. Condition of Property.  Purchaser is a sophisticated  investor and its
valuation  of and  decision  to  purchase  the  Property  is based  upon its own
independent  expert  evaluations of such facts and materials  deemed relevant by
Purchaser and its agents. Other than the express  representations and warranties
of Seller specifically set forth herein,  Purchaser has not relied upon any oral
or  written  information  from  Seller  or its  employees,  affiliates,  agents,
consultants,  advisors or representatives,  including,  without limitation,  any
appraisals,  projections or evaluations of credit quality  prepared by Seller or
any  of  its   employees,   affiliates,   agents,   consultants,   advisors   or
representatives.   Purchaser  further  acknowledges  that  no  employee,  agent,
consultant, advisor or representative of Seller has been

<PAGE>

authorized to make,  and that  Purchaser has not relied upon,  any statements or
representations  other  than those  specifically  contained  in this  Agreement.
Without  limiting the generality of the foregoing,  Purchaser  acknowledges  and
agrees that,  except as expressly set forth herein,  Purchaser is purchasing the
Property "as is" and "where is" on the Closing  Date,  and,  except as expressly
set forth herein,  Seller is making no  representation  or warranty,  express or
implied, and Purchaser has not relied on any representation or warranty, express
or  implied,  regarding  the  Property,   including,   without  limitation,  any
representation  or  warranty  with  respect  to (a) the  business  or  financial
condition  of any tenant of the  Property,  (b) the  physical  condition  of any
Improvement or Personal  Property  comprising all or a part of any Property,  or
its fitness,  merchantability  or  suitability  for any use or purpose,  (c) the
leases,  rents,  income or  expenses  of the  Property,  (d) the  compliance  or
non-compliance  with any laws,  codes,  ordinances,  rules or regulations of any
governmental  authority  (including,  without  limitation,  laws  pertaining  to
hazardous  materials)  or (e)  the  current  or  future  use  of  the  Property,
including,  but not  limited  to, any  Property's  use for  commercial,  retail,
industrial or other purposes. Seller is not liable or bound in any manner by any
verbal or written statements,  representations,  real estate brokers' "set-ups",
offering  memoranda or information  pertaining to the Property  furnished by any
real estate broker,  advisor,  consultant,  agent,  employee,  representative or
other Person.

                            ARTICLE 3. PURCHASE PRICE
                            -------------------------

     3.1.  Purchase Price. The purchase price (the "PURCHASE  PRICE") to be paid
by  Purchaser  to Seller for the  Property is TEN MILLION  THREE  HUNDRED  FIFTY
THOUSAND  and  00/100  DOLLARS  ($10,350,000.00),  net of  adjustments  made  in
accordance  with Article 8 below.  The Purchase Price shall be paid by Purchaser
as follows:

          (a)  ONE  HUNDRED  THOUSAND  and  00/100  DOLLARS  ($100,000.00)  (the
     "DEPOSIT"),  payable on or before the date which is two (2)  Business  Days
     after  the  Effective  Date  either  by (i) wire  transfer  of  immediately
     available  funds to First Escrowee or (ii)  Purchaser's  check,  subject to
     collection, drawn to the order of First Escrowee; and

          (b)  TEN  MILLION  TWO  HUNDRED  FIFTY  THOUSAND  and  00/100  DOLLARS
     ($10,250,000.00)  (the  "CASH  Balance"),  payable  at the  Closing by wire
     transfer  of  immediately   available  funds  to  an  account  or  accounts
     designated by Seller.

     3.2. Escrow of Deposit.

          (a) First Escrowee shall hold the Deposit until the sooner to occur of
     (i) the date upon which  Purchaser  validly  terminates  this  Agreement in
     accordance  with the  provisions  of  Section  4.1  hereof and (ii) the Due
     Diligence  Expiration Date.  Promptly following its receipt of the Deposit,
     First Escrowee shall furnish Seller's counsel with written  confirmation by
     telecopy of such receipt. If Purchaser validly terminates this Agreement in
     accordance with the provisions of Section 4.1 hereof,  First Escrowee shall
     promptly  thereafter  refund  the  Deposit  and  all  interest  thereon  to
     Purchaser.  If Purchaser waives its due diligence  contingency set forth in
     Section 4.1 hereof, Purchaser shall cause First Escrowee, on or before 5:00
     P.M. on the Due Diligence  Expiration Date (time being of the essence),  to
     deliver  the Deposit and all  interest  thereon to Second  Escrowee by wire
     transfer of immediately  available  funds to the account of Second Escrowee
     set forth in Exhibit A-1 annexed hereto.  If Purchaser fails to cause First
     Escrowee to deliver  the Deposit to Second  Escrowee in the time and manner
     hereinabove set forth, then, notwithstanding any waiver by Purchaser of its
     due diligence  contingency set forth in Section 4.1 hereof,  this Agreement
     shall be deemed  terminated  effective as of 5:00 P.M. on the Due Diligence
     Expiration Date, whereupon (i) First Escrowee shall cause the Deposit to be
     refunded to Purchaser and (ii) neither

<PAGE>

     party hereto shall have any further obligation to the other hereunder, with
     the exception of those  obligations which expressly survive the termination
     of this Agreement.

          (b) Upon First  Escrowee's  delivery to Second Escrowee of the Deposit
     in accordance with the provisions of Section 3.2(a) hereof, Second Escrowee
     shall hold the  Deposit  until the  Closing or sooner  termination  of this
     Agreement in accordance with the provisions hereinafter set forth:

               (i) At the  Closing,  Second  Escrowee  shall pay the  Deposit to
          Seller; and

               (ii) If for  any  reason  the  Closing  does  not  occur,  Second
          Escrowee shall continue to hold the Deposit until  otherwise  directed
          by joint written  instructions from the parties to this Agreement or a
          final judgment of a court of competent jurisdiction.  Second Escrowee,
          however,  shall have the right at any time to deposit the Deposit with
          the clerk of any federal or state court sitting in the Commonwealth of
          Pennsylvania.  Second  Escrowee  shall  give  written  notice  of such
          deposit to Seller and Purchaser.  Upon such deposit,  Second  Escrowee
          shall be  relieved  and  discharged  of all  further  obligations  and
          responsibilities hereunder.

          (c) Interest on the Deposit shall be paid to the party entitled to the
     Deposit,  as and when such party becomes  entitled to the Deposit,  and the
     party  receiving  such  interest  shall pay any  income  tax  thereon.  For
     purposes  thereof,  the tax  identification  numbers of the  parties are as
     follows: 13-4027757 (Seller); and          (Purchaser).

          (d) The  parties  acknowledge  that  Escrowee  is  acting  solely as a
     stakeholder at their request and for their convenience, that Escrowee shall
     not be deemed to be the agent of either of the parties,  and that  Escrowee
     shall not be liable to either of the parties for any act or omission on its
     part unless  taken or suffered in bad faith,  in willful  disregard of this
     Agreement or involving gross negligence. Seller and Purchaser shall jointly
     and severally  indemnify  and hold  Escrowee  harmless from and against all
     costs, claims and expenses,  including reasonable attorneys' fees, incurred
     in connection with the performance of Escrowee's duties  hereunder,  except
     with respect to actions or  omissions  taken or suffered by Escrowee in bad
     faith, in willful disregard of this Agreement or involving gross negligence
     on the part of Escrowee.

          (e) Escrowee  shall cause the Deposit to be maintained and invested in
     an   interest-bearing   money  market  account  or  such  other  investment
     instrument or account  designated by Purchaser and  reasonably  approved by
     Seller.

          (f) Upon First  Escrowee's  delivery of the Deposit in accordance with
     the  provisions of Section  3.2(a)  hereof,  First  Escrowee  shall have no
     further obligation with regard to the escrow or this Agreement. Upon Second
     Escrowee's  delivery of the Deposit in  accordance  with the  provisions of
     Section 3.2(b)  hereof,  Second  Escrowee shall have no further  obligation
     with regard to the Escrow and this Agreement.

          (g) Escrowee  shall not be bound by any  modification  to this Section
     3.2 unless  Escrowee  shall have  agreed to such  modification  in writing.
     Escrowee  shall be entitled to rely or act upon any notice,  instrument  or
     document  believed  by  Escrowee  to be  genuine  and  to be  executed  and
     delivered by the proper person,  and shall have no obligation to verify any
     statements contained in any notice,  instrument or document or the accuracy
     or  due  authorization  of  the  execution  of any  notice,  instrument  or
     document.

<PAGE>

          (h)  First  Escrowee  and  Second  Escrowee  have  acknowledged  their
     agreement to the foregoing provisions of this Section 3.2 by signing in the
     places indicated on the signature page of this Agreement.

                              ARTICLE 4. INSPECTION
                              ---------------------

     4.1. Due Diligence Period;  Termination Right.  During the period (the "DUE
DILIGENCE PERIOD")  commencing on the Effective Date and ending on the date (the
"DUE DILIGENCE  EXPIRATION  DATE") which is thirty (30) days after the Effective
Date (unless such date is not a Business  Day, in which event the Due  Diligence
Expiration Date shall be the next occurring Business Day),  Purchaser shall have
the right to conduct  such due  diligence  as it deems  reasonably  necessary or
appropriate  in  connection  with its  acquisition  of the  Property,  including
inspections,  studies,  examinations and  investigations of, or with respect to,
the  Property,  or any  portion  thereof,  and/or any facts,  circumstances  and
matters relating to the Property,  or any portion thereof. If Purchaser,  in its
sole  discretion,  determines  that it is  unsatisfied  with the  results of and
matters  disclosed  by its due  diligence,  Purchaser  shall  have the  right to
terminate  this  Agreement by written  notice given to Seller prior to 5:00 p.m.
New York time on the Due Diligence  Expiration Date (TIME BEING OF THE ESSENCE).
Upon any  termination  of this  Agreement  pursuant to this Section 4.1, (i) the
Deposit  shall be refunded to Purchaser  and (y) neither party hereto shall have
any further  obligation to the other,  with the  exception of those  obligations
which expressly  survive the  termination of this Agreement.  If Purchaser shall
fail to  terminate  this  Agreement  in the time and  manner  set  forth in this
Section 4.1,  Purchaser shall be deemed to have irrevocably  waived its right to
terminate this Agreement pursuant to this Section 4.1

     4.2.  Inspections.  Purchaser and its  authorized  agents,  consultants  or
representatives  shall have the right,  upon  reasonable  prior notice to Seller
(which notice may be  telephonic),  to enter upon the Premises from time to time
to  conduct  such   physical  and  other   inspections   (including  a  Phase  I
environmental  investigation)  as Purchaser  deems  appropriate,  provided  that
Purchaser shall not perform Invasive Tests or interview  tenants of the Premises
without  first  obtaining   Seller's   consent,   which  consent  shall  not  be
unreasonably  withheld or delayed.  Prior to any entrance  upon the Premises for
the  performance  of  Invasive  Tests,  Purchaser  shall  deliver  (or cause the
appropriate  contractor  to  deliver)  to  Seller  a  certificate  of  insurance
evidencing  that  Purchaser  has  procured  and  maintains  in force and  effect
commercial  general liability  insurance  covering  Purchaser and Seller against
claims for bodily injury or death or property damage occurring in, upon or about
the Premises in an amount of not less than $2,000,000  (combined  single limit),
issued by an insurance  company with a rating of "A" or better as established by
Best's Rating Guide, which insurance shall include blanket contractual liability
coverage  and  shall  otherwise  be in form  reasonably  acceptable  to  Seller.
Following the  performance of any Invasive  Tests,  Purchaser  shall restore the
Premises to their condition prior to the  performance  thereof.  Purchaser shall
indemnify  and  hold  harmless  Seller  and its  officers,  directors,  members,
employees, successors and assigns, from and against any and all damages, losses,
costs,  expenses,  liabilities and claims that arise out of or in any way relate
to the conduct of the Inspections, except to the extent the same arise by reason
of the negligence or wilful misconduct of Seller. The provisions of this Section
4.2 shall survive the termination of this Agreement.

     4.3. Confidentiality. Prior to the Closing, Purchaser shall not disclose to
any other party either the contents of any  materials  delivered to Purchaser by
Seller with  respect to the  Property or the results of any reports  summarizing
any aspect of Purchaser's due diligence  investigations  without first obtaining
the prior written consent of Seller.  Notwithstanding  the foregoing,  Purchaser
may, without first obtaining such prior written  consent,  make such disclosures
as it deems appropriate to its officers,  employees,  lenders, counsel, lenders'
counsel, appraisers,  accountants, insurance advisors, environmental consultants
and similar third-party consultants,  provided that such parties are apprised of
the confidential

<PAGE>

nature of the  material  disclosed.  The  provisions  of this  Section 4.3 shall
survive any termination of this Agreement.

                          ARTICLE 5. TRANSACTION COSTS
                          ----------------------------

     5.1.  Seller's  Costs.  At the  Closing,  Seller shall pay (i) all transfer
taxes  payable  as a  result  of the  conveyance  of title  to the  Property  to
Purchaser pursuant to this Agreement, (ii) costs incurred in connection with the
update of the Survey (hereinafter defined) obtained by Seller in accordance with
the  provisions of Section 10.2 hereof,  (iii) search or abstract costs incurred
in connection with the issuance of the Title Report (hereinafter defined),  (iv)
costs incurred in connection  with the issuance by Title Insurer to Purchaser of
an owner's policy of title insurance, containing a survey endorsement and with a
limit of  liability  equal to the  Purchase  Price  and (v)  costs  incurred  in
connection  with  the  recording  of the  Deed and the  discharge  of any  Title
Exceptions  which are not  Permitted  Exceptions.  Seller,  in  addition  to its
apportionment  obligations hereunder,  if any, also shall be responsible for the
cost of its legal counsel,  advisors and the other professionals  employed by it
in connection with the sale of the Property.

     5.2.  Purchaser's  Costs.  Purchaser,  in addition to its apportionment and
other payment  obligations  hereunder,  shall be  responsible  for all costs and
expenses  associated with (i) Purchaser's due diligence,  (ii) Purchaser's legal
counsel, advisors,  engineers,  consultants and the other professionals employed
by it in  connection  with  Purchaser's  due  diligence  and the purchase of the
Property,  (iii) costs and expenses of any  financing  obtained by Purchaser and
(iv) the incremental cost of any mortgagee's  policy of title insurance obtained
by  Purchaser.  Nothing  herein  shall  be  deemed  to  condition  Closing  upon
Purchaser's  ability to obtain  financing  of all or any portion of the Purchase
Price.

                 ARTICLE 6. CLOSING DATE; CONDITIONS TO CLOSING

     6.1.  Closing Date. The closing of the  transactions  contemplated  by this
Agreement (the "CLOSING")  shall take place on December 29, 2000,  provided that
Seller  shall have the  one-time  right,  upon notice to  Purchaser on or before
December 15, 2000, to adjourn the Closing to a Business Day on or before January
12, 2001. The date upon which the Closing  occurs,  as the same may be adjourned
by Seller in  accordance  with the terms  hereof,  is herein  referred to as the
"CLOSING DATE"). The Closing shall take place through an escrow established with
Title  Insurer upon such terms and  conditions  as Seller,  Purchaser  and Title
Insurer shall mutually  agree.  TIME SHALL BE OF THE ESSENCE WITH RESPECT TO THE
OBLIGATIONS OF PURCHASER TO BE PERFORMED ON THE CLOSING DATE.

     6.2.  Purchaser's  Conditions.   Purchaser's  obligation  to  purchase  the
Property is subject to the satisfaction of the following  conditions  precedent,
any or all of which may be waived by Purchaser:

          (a)  Seller  shall  have  delivered  to  Purchaser   Tenant   Estoppel
     Certificates,  dated as of a date not more than  forty-five (45) days prior
     to the Closing Date, from (A) the tenants under the following  leases:  (i)
     Guinta's  Thriftway,  (ii)  CVS,  (iii)  Dollar  Express  and (iv) Wine and
     Spirits Shoppe  (collectively,  the "Specified Estoppel Leases" and (B) the
     holders of the  tenants'  interest  under Leases which demise not less than
     80% of the rentable  square footage demised as of the date hereof under the
     Leases,  it  being  understood  that  the  receipt  of  a  Tenant  Estoppel
     Certificate from a tenant under any of the Specified  Estoppel Leases shall
     count toward  satisfaction  of the foregoing  percentage  requirement.  If,
     however,  Seller  is unable to obtain  Tenant  Estoppel  Certificates  from
     tenants  under Leases  demising  not less than 80% of the  rentable  square
     footage  demised  under the Leases as of the date  hereof,  Seller may (but
     shall not be obligated to) satisfy the foregoing condition by executing and
     delivering to Purchaser at Closing a certificate from Seller (the "SELLER'S
     ESTOPPEL  CERTIFICATE") setting forth the matters which

<PAGE>

     would have been set forth in the  Tenant  Estoppel  Certificate(s)  for any
     Leases (other than the Specified  Estoppel  Leases)  selected by Seller and
     for which Seller has been unable to obtain a Tenant  Estoppel  Certificate,
     to the extent  necessary to increase to 80% of the rentable  square footage
     demised  under  Leases as of the date  hereof  for which a Tenant  Estoppel
     Certificate  has been obtained.  Any Seller's  Estoppel  Certificate  shall
     state that the representations made therein shall survive the Closing for a
     period of six (6) months or until such earlier date on which the applicable
     tenant  shall  deliver to  Purchaser  a Tenant  Estoppel  Certificate.  For
     purposes of this Agreement,  the term "TENANT ESTOPPEL  CERTIFICATE"  shall
     mean a certificate in the form of Exhibit D annexed  hereto,  provided that
     if any Lease prescribes the form or contents of an estoppel  certificate to
     be delivered by the tenant,  "TENANT  ESTOPPEL  CERTIFICATE"  shall mean an
     estoppel certificate in such form or containing such contents;

          (b) Title Insurer shall be prepared to insure Purchaser's fee title to
     the Premises, subject only to the Permitted Exceptions;

          (c) Seller's representations  contained in Sections 9.2 and 9.3 hereof
     shall be true, complete and correct in all material respects, as made as of
     the date hereof and as of the Closing Date,  provided that Seller shall not
     be deemed to be in breach of any representation,  as made as of the Closing
     Date, to the extent that any such  representation is rendered untrue by any
     state of facts permitted or contemplated by this Agreement; and

          (d) (i) this Agreement shall be in full force and effect,  (ii) Seller
     shall have fully  satisfied,  or shall therewith fully satisfy,  all of its
     Closing  obligations  hereunder,  and (iii) there shall not otherwise  then
     exist any event which would allow  Purchaser  to terminate  this  Agreement
     pursuant to the express terms hereof.

     6.3.  Seller's  Conditions.  Seller's  obligation  to sell the  Property is
subject to the satisfaction of the following conditions precedent, any or all of
which may be waived by Seller:

          (a) this Agreement shall be in full force and effect,

          (b) Purchaser  shall have fully  satisfied,  or shall  therewith fully
     satisfy, all of its Closing obligations hereunder,

          (c) there shall not  otherwise  then exist any event which would allow
     Seller to terminate  this  Agreement  pursuant to the express terms hereof;
     and

          (d) Purchaser's  representations contained in Section 9.1 hereof shall
     be true,  complete and correct in all material respects,  as made as of the
     date hereof and as of the Closing Date.

     6.4. Failure of Condition Not a Breach.  The parties hereto acknowledge and
agree that the failure to occur of one or more conditions precedent contained in
this Article 6 shall not be deemed to  constitute a breach of this  Agreement by
either party  unless and to the extent that any such party shall have  expressly
agreed or covenanted or is otherwise  expressly  obligated hereunder to take any
action to satisfy or cause the satisfaction of the condition in question.

                   ARTICLE 7. CLOSING DOCUMENTS AND DELIVERIES
                   -------------------------------------------

     7.1. Conveyancing Documents and Deliveries.

     At the Closing:

<PAGE>

          (a)  Purchaser  shall deliver to Seller the Cash Balance and any other
     amounts  payable by  Purchaser  to Seller at the  Closing  pursuant to this
     Agreement;

          (b) Seller shall execute,  acknowledge and deliver a special  warranty
     deed or its  equivalent  sufficient  to convey the  Premises to  Purchaser,
     subject only to the Permitted Exceptions (the "DEED");

          (c) Seller shall  deliver to Purchaser  original  counterparts  of the
     Tenant  Estoppel  Certificates  received  by Seller  (and,  if  applicable,
     Seller's Estoppel Certificate);

          (d) Seller shall deliver to Purchaser  original  counterparts  (or, if
     the same are  unavailable,  copies thereof) of the Leases.  Delivery of the
     foregoing  may be  effectuated  by  leaving  the  same  in the  custody  of
     Purchaser or its property manager at the management office at the Premises;

          (e) Seller shall deliver to Purchaser  original  counterparts  (or, if
     the  same  are  unavailable,  copies  thereof)  of the  assignable  Service
     Contracts. Delivery of the foregoing may be effectuated by leaving the same
     in the  custody of  Purchaser  or its  property  manager at the  management
     office at the Premises;

          (f) Seller shall deliver to Purchaser  original  counterparts  (or, if
     the same are  unavailable,  copies thereof) of the assignable  Licenses and
     Permits;

          (g) Seller  shall  execute and  deliver a general  bill of sale in the
     form of Exhibit E annexed  hereto,  conveying to Purchaser  all of Seller's
     right, title and interest in and to the Personal  Property,  free and clear
     of all liens and encumbrances;

          (h) Seller,  as  assignor,  and  Purchaser,  as  assignee,  shall each
     execute,  acknowledge  and deliver an  instrument  in the form of Exhibit F
     annexed  hereto  providing for the  assignment by Seller of the  landlord's
     interest in the Leases and the  assumption  by Purchaser of the  landlord's
     obligations  under the  Leases  which  arise or  accrue  from and after the
     Closing Date;

          (i) Subject to the provisions of Section  15.7(b)  hereof,  Seller and
     Purchaser shall mutually execute and deliver to each other an instrument in
     the form of Exhibit G annexed hereto providing for the assignment by Seller
     to  Purchaser  of all of Seller's  right,  title and interest in and to the
     assignable  Service  Contracts and the assignable  Licenses and Permits and
     the  assumption by Purchaser of (x) all of Seller's  obligations  under the
     assignable Service Contracts and the assignable  Licenses and Permits which
     first arise or accrue  after the Closing  Date and (y) the  obligations  of
     Seller with  respect to  post-termination  leasing  commissions  payable in
     accordance  with Exhibit B, Section 9 of the Leasing  Agency  Agreement (as
     defined in Exhibit C annexed hereto);

          (j) Seller shall furnish Purchaser with evidence of the termination of
     the Property Management  Agreement (as defined in Exhibit C annexed hereto)
     and,  subject to the provisions of Section 7.1(i) above, the Leasing Agency
     Agreement;

          (k) Seller shall deliver to Purchaser an instrument  pursuant to which
     Seller (i) remakes  the  representations  made by Seller in Section  9.3(a)
     through (e) hereof as of the Closing Date and (ii) advises Purchaser of any
     facts or circumstances which would render any of such  representations,  as
     made of the Closing Date, untrue;

          (l) Seller and Purchaser shall execute and deliver a letter to each of
     the  tenants  under  the  Leases  and  each  of the  other  parties  to the
     assignable Service Contracts, notifying each such tenant or

<PAGE>

     party  of the sale of the  Premises  and  indicating  the new  address  for
     notices under the Leases and Service  Contracts and the new address for the
     payment of rent under the Leases;

          (m) Seller  shall  execute  and  deliver a FIRPTA  affidavit  required
     pursuant to the Treasury Department  Regulations  promulgated under Section
     1445 of the Internal  Revenue Code of 1986,  as amended,  in respect of the
     Property.  Seller  understands that such  certification will be retained by
     Purchaser  and will be made  available to the Internal  Revenue  Service on
     request;

          (n) Each of Seller and  Purchaser  shall execute and deliver a closing
     statement setting forth with specificity the adjustments made in accordance
     with Article 8 hereof;

          (o) Seller shall credit against the Cash Balance the security deposits
     held by Seller as landlord under the Leases, together with accrued interest
     thereon,  if  any.  Notwithstanding  the  foregoing,  any  tenant  security
     deposits held in a form other than cash shall be  transferred  to Purchaser
     by way of appropriate instruments of transfer or assignment;

          (p) Purchaser shall deliver to Seller evidence reasonably satisfactory
     to Seller of the due authorization, execution and delivery of the documents
     and  instruments to be executed by Purchaser at Closing in accordance  with
     the terms of this Agreement; and

          (q) Seller shall furnish  Purchaser  with a rent roll as to the Leases
     in the form of Exhibit H annexed hereto, certified to be true, complete and
     correct in all material respects as of the Closing Date, provided that such
     certification shall survive only for the Representation Survival Period.

                         ARTICLE 8. CLOSING ADJUSTMENTS
                         ------------------------------

     The following are to be adjusted and prorated  between Seller and Purchaser
as of 11:59 p.m. on the day  preceding  the Closing  Date,  based upon a 365 day
year,  with Seller  deemed to be the owner of the Property on the day  preceding
the Closing  Date and  Purchaser  deemed to be the owner of the  Property on the
Closing Date.

     8.1. Fixed Rents.

          (a) Fixed  rents  (collectively,  "FIXED  RENTS")  paid or  payable by
     tenants under the Leases in connection with their occupancy of the Premises
     shall be adjusted and prorated on an if, as and when  collected  basis.  At
     Closing,  there shall be an  adjustment in  Purchaser's  favor in an amount
     equal to Fixed Rent received from tenants who are current in the payment of
     Fixed Rent,  to the extent such Fixed Rents apply to periods  subsequent to
     Closing.  Fixed Rents  collected  by  Purchaser or Seller after the Closing
     from any tenant who owes Fixed Rents for periods prior to the Closing shall
     be applied (i) first, in payment of Fixed Rents owed by such tenant for the
     month in which the Closing Date occurs,  pro rated as of the Closing  Date,
     (ii)  second,  in payment of Fixed  Rents owed by such  tenant for  periods
     subsequent  to the month in which the Closing  Date occurs and (iii) third,
     after  Fixed  Rents for all  current  periods  have  been paid in full,  in
     payment of Fixed Rents for periods  prior to the month in which the Closing
     Date  occurs.  Each such amount  shall be adjusted and prorated as provided
     above,  and the party who receives  such amount shall  promptly pay over to
     the other party the portion thereof to which it is so entitled.

          (b) Purchaser shall bill tenants who owe Fixed Rents for periods prior
     to the  Closing  on a monthly  basis  for a period  of six (6)  consecutive
     months following the Closing Date (the "PURCHASER  COLLECTION  PERIOD") and
     shall use  commercially  reasonable  efforts to collect such past due Fixed
     Rents;

<PAGE>

     provided,  however, that Purchaser shall have no obligation to commence any
     actions  or   proceedings  to  collect  any  such  past  due  Fixed  Rents.
     Notwithstanding  the  foregoing,  if Purchaser  shall be unable  during the
     Purchaser  Collection  Period to collect such past due Fixed Rents,  Seller
     shall have the right,  upon prior written  notice to  Purchaser,  to pursue
     tenants to collect such delinquencies (including,  without limitation,  the
     prosecution of one or more  lawsuits),  but Seller shall not be entitled to
     evict (by summary proceedings or otherwise) any such tenants.

          (c) Any  payment by a tenant in an amount less than the full amount of
     Fixed Rents and Overage  Rents then due and payable by such tenant shall be
     applied  first to Fixed Rents (in the order of priority as to time  periods
     as is set forth in  Section  8.1(a)  above) to the extent of all such Fixed
     Rents then due and payable by such tenant,  and second to Overage Rents, in
     the order of priority as to time periods as is set forth in Section  8.2(d)
     below.

     8.2. Overage Rents.

          (a) With  respect to any Lease that  provides  for the  payment of (i)
     additional rents which are calculated as a percentage of the tenant's sales
     or gross  sales (net of certain  agreed-upon  deductions),  (ii)  so-called
     common area maintenance or "cam" charges,  (ii) so-called "escalation rent"
     or additional  rent based upon  increases in real estate taxes or operating
     expenses or labor costs or cost of living or  porter's  wages or  otherwise
     (such  percentage  rent, cam charges,  escalation  rent and additional rent
     being  collectively  called "OVERAGE  RENTS"),  such Overage Rents shall be
     adjusted and prorated on an if, as and when collected basis.

          (b) As to any Overage  Rents in respect of an  accounting  period that
     shall have  expired  prior to the Closing but which shall be paid after the
     Closing, Purchaser agrees that it will pay the entire amount over to Seller
     upon receipt  thereof.  Purchaser  agrees that it shall (i) promptly render
     bills for any Overage Rents in respect of an  accounting  period that shall
     have  expired  prior to the  Closing  but  which  shall be paid  after  the
     Closing, (ii) bill tenants such Overage Rents attributable to an accounting
     period  that shall have  expired  prior to the  Closing on a monthly  basis
     during  the  Purchaser   Collection   Period  and  (iii)  use  commercially
     reasonable  efforts to  collect  Overage  Rents;  provided,  however,  that
     Purchaser  shall have no obligation to commence any actions or  proceedings
     to collect  any such  Overage  Rents.  Notwithstanding  the  foregoing,  if
     Purchaser  shall be  unable  to  collect  such  Overage  Rents  during  the
     Purchaser  Collection  Period,  Seller  shall  have the  right,  upon prior
     written   notice  to   Purchaser,   to  pursue   tenants  to  collect  such
     delinquencies  (including,  without  limitation,  the prosecution of one or
     more  lawsuits),  but Seller  shall not be  entitled  to evict (by  summary
     proceedings  or  otherwise)  any such  tenants.  Seller  shall  furnish  to
     Purchaser all information  relating to the period prior to the Closing that
     is  reasonably  necessary for the billing of Overage  Rents;  and Purchaser
     will deliver to Seller,  concurrently with the delivery to tenants,  copies
     of all  statements  relating  to  Overage  Rents for a period  prior to the
     Closing.  Purchaser  shall bill  tenants for Overage  Rents for  accounting
     periods  prior to the Closing in  accordance  with and on the basis of such
     information furnished by Seller.

          (c)  Overage  Rents in respect of the  accounting  period in which the
     Closing Date occurs shall be  apportioned as of the Closing Date. If, prior
     to the Closing,  Seller shall  receive any  installments  of Overage  Rents
     attributable to Overage Rents for periods from and after the Closing,  such
     sum shall be apportioned at the Closing.  If, after the Closing,  Purchaser
     shall receive any  installments  of Overage Rents  attributable  to Overage
     Rents for periods prior to the Closing, such sum shall be paid by Purchaser
     to Seller promptly after Purchaser receives payment thereof.

          (d) Any payment by a tenant on account of Overage Rents (to the extent
     not  applied  against  Fixed  Rents  due  and  payable  by such  tenant  in
     accordance  with Section  8.1(b)  above) shall be applied to Overage  Rents
     then due and payable in the  following  order of  priority:  (i) first,  in
     payment of

<PAGE>

     Overage  Rents for the  accounting  period in which the Closing Date occurs
     and (ii)  second,  in payment of Overage  Rents for the  accounting  period
     preceding the accounting period in which the Closing Date occurs.

          (e) To the extent that any portion of Overage  Rents is required to be
     paid  monthly by tenants on account of  estimated  amounts for any calendar
     year (or, if applicable, any lease year or tax year or any other applicable
     accounting  period),  and at the end of such  calendar year (or lease year,
     tax year or other applicable  accounting  period, as the case may be), such
     estimated  amounts are to be recalculated  based upon the actual  expenses,
     taxes and other relevant  factors for that calendar  (lease or tax) year or
     other applicable accounting period, with the appropriate  adjustments being
     made with such  tenants,  then such  portion of the Overage  Rents shall be
     prorated  between  Seller  and  Purchaser  at the  Closing  based  on  such
     estimated  payments actually paid by tenants (i.e., with Seller entitled to
     retain all monthly or other periodic  installments  of such amounts paid by
     tenants  with  respect  to  periods  prior to the  calendar  month or other
     applicable installment period in which the Closing occurs, Seller to pay to
     Purchaser at the Closing all monthly or other periodic installments of such
     amounts  theretofore  received by Seller with respect to periods  following
     the  calendar  month or other  applicable  installment  period in which the
     Closing occurs and Seller and Purchaser to apportion as of the Closing Date
     all monthly or other periodic  installments of such amounts paid by tenants
     with respect to the calendar month or other applicable  installment  period
     in which the Closing  occurs).  Upon the final  calculation  and collection
     from (or refund to) all tenants of the amounts in  reconciliation of actual
     Overage Rents for a period for which estimated amounts paid by such tenants
     have been  prorated,  there  shall be a  re-proration  between  Seller  and
     Purchaser,  such  re-proration to be made on the basis of expenses or sales
     incurred  or made  during  the entire  applicable  accounting  period,  and
     without  regard to whether  expenses or sales were  incurred or made during
     periods  before or after  Closing.  If,  with  respect to any  tenant,  the
     recalculated  Overage  Rents  exceeds  the  estimated  amount  paid by such
     tenant,  upon  collection  from the tenant,  (i) the entire excess shall be
     paid by  Purchaser  to  Seller,  if the  accounting  period  for which such
     recalculation  was made  expired  prior to the Closing and (ii) such excess
     shall be  apportioned  between  Seller and Purchaser as of the Closing Date
     (on the basis described in the first sentence of Section 8.2(c) above),  if
     the  Closing   occurred  during  the  accounting   period  for  which  such
     recalculation was made, with Purchaser paying to Seller the portion of such
     excess  which  Seller is so entitled to  receive.  If, with  respect to any
     tenant,  the recalculated  Overage Rents are less than the estimated amount
     paid by such tenant,  (1) the entire  shortfall  shall be paid by Seller to
     Purchaser (or, at Seller's option,  directly to the tenant in question), if
     the accounting  period for which such  recalculation was made expired prior
     to the Closing and (2) such shortfall  shall be apportioned  between Seller
     and  Purchaser as of the Closing Date (on the basis  described in the first
     sentence  of Section  8.2(c)  above),  if the Closing  occurred  during the
     accounting period for which such recalculation was made, with Seller paying
     to Purchaser (or, at Seller's  option,  directly to the tenant in question)
     the portion of such shortfall so allocable to Seller.

          (f) Until such time as all  amounts  required  to be paid to Seller by
     Purchaser  pursuant  to Sections  8.1 and this  Section 8.2 shall have been
     paid in full,  Purchaser  shall furnish to Seller not less  frequently than
     quarterly a  reasonably  detailed  accounting  of such  amounts  payable by
     Purchaser, which accounting shall be delivered to Seller on or prior to the
     15th day following the last day of each calendar quarter from and after the
     calendar  quarter in which the Closing occurs.  Seller shall have the right
     from  time to time  following  the  Closing,  on  Business  Days  and  upon
     reasonable  prior notice to Seller,  to review  Purchaser's  rental records
     with respect to the Property to ascertain the accuracy of such accountings.

     8.3. Real Estate Taxes. Real estate taxes shall be adjusted and prorated on
the basis of the fiscal  year for which  assessed.  If the  Closing  shall occur
before  the tax rate or  assessed  valuation  is  fixed  for the  Premises,  the
apportionment  of real estate taxes for such Premises shall be upon the basis of
the tax rate for the  preceding  year  applied to the most  recently  applicable
assessed valuation of such

<PAGE>

Premises,  subject  to further  and final  adjustment  when the tax rate  and/or
assessed  valuation for such Premises is fixed for the year in which the Closing
occurs.  In the event that the  Premises or any part  thereof  shall be or shall
have been  affected by an  assessment  or  assessments,  whether or not the same
become  payable  in  annual  installments,  Seller  shall,  at the  Closing,  be
responsible for any installments due prior to the Closing and Purchaser shall be
responsible for any installments due on or after the Closing.

     8.4.  Utility  Charges.  Seller  shall  use  reasonable  efforts  to obtain
readings of meters  measuring  utility  consumption at the Property  (other than
utilities which are the  responsibility of tenants under Leases) for all periods
through (and  including) the date preceding the Closing Date.  Seller shall pay,
and be  responsible,  for all bills rendered on the basis of such  readings.  If
such  readings are not obtained for any metered  utility,  then, at the Closing,
apportionment  shall be made on the basis of the most  recent  period  for which
such  readings are  available.  Upon the taking of subsequent  actual  readings,
there shall be a recalculation of the applicable utility charges,  and Seller or
Purchaser,  as the case may be, shall  promptly  remit to the other party hereto
any   amounts  to  which  such  party  shall  be  entitled  by  reason  of  such
recalculation.  Unmetered  water charges or sewer rents shall be  apportioned on
the basis of the  charges  therefor  for the same  period  during  the  previous
calendar year, but applying the current rate thereto.  As to any utility charges
or sewer rents  payable by tenants,  Purchaser  shall close title and accept the
delivery  of the Deed  subject  to such  unpaid  charges  and rents and any lien
resulting  therefrom,  without credit against the Purchase Price or any claim or
right of action against Seller.

     8.5. Fuel. Fuel on hand, if any, based on an estimate  provided by Seller's
fuel  supplier,  at Seller's cost valued at the price  therefor  charged by such
supplier including any applicable taxes.

     8.6. Other  Adjustments.  The following  items shall also be adjusted as of
11:59 P.M. on the date  preceding  the Closing  Date:  (i) charges and  payments
under Service Contracts assigned to Purchaser;  (ii) fees and payments,  if any,
under  Licenses  and Permits  assigned to  Purchaser;  (iii)  revenues,  if any,
arising out of telephone  booths,  vending machines,  or other  income-producing
agreements  and  (iv)  maintenance  supplies  in  unopened  containers  based on
Seller's actual cost therefor, including sales and/or use tax.

     Any errors or omissions in computing  adjustments  at the Closing  shall be
promptly  corrected,  provided  that the party  seeking to correct such error or
omission  shall have  notified  the other  party of such error or omission on or
prior  to the  date  that  is one (1)  year  following  the  Closing  Date.  The
provisions of this Article 8 shall survive Closing.

                    ARTICLE 9. REPRESENTATIONS AND WARRANTIES
                    -----------------------------------------

     9.1. Basic Representations of Purchaser.

     Purchaser,  as of the date  hereof,  represents  and  warrants to Seller as
follows:

          (a) Purchaser is a limited liability company, duly organized,  validly
     existing and in good standing under the laws of the State of Michigan.

          (b)  Purchaser  has full power and authority to enter into and perform
     this Agreement, the documents to be executed and delivered pursuant hereto,
     and each and all of the  transactions  contemplated  hereby and  thereby in
     accordance with the terms hereof and thereof.

<PAGE>

          (c) The  individuals  executing  this Agreement on behalf of Purchaser
     and the  individuals  executing  each of the  documents  to be executed and
     delivered in connection herewith on behalf of Purchaser have full power and
     authority  to  do  so.  This  Agreement  and  each  of  the  documents  and
     instruments to be executed by Purchaser in connection herewith are, or will
     be when executed and delivered,  the legal valid and binding obligations of
     Purchaser,  enforceable  against  Purchaser  in  accordance  with the terms
     hereof and thereof.  Purchaser's  performance of its obligations under this
     Agreement  shall not contravene,  or cause a default under,  any agreement,
     judgment,  order, writ or decree under which Purchaser or any of its assets
     is bound.

          (d) Purchaser has not filed any petition seeking or acquiescing in any
     reorganization,   arrangement,  composition,   readjustment,   liquidation,
     dissolution  or similar  relief  under any law  relating to  bankruptcy  or
     insolvency,  nor  has any  such  petition  been  filed  against  Purchaser.
     Purchaser  is not  insolvent  and  the  consummation  of  the  transactions
     contemplated by this Agreement  shall not render  Purchaser  insolvent.  No
     general assignment of Purchaser's property has been made for the benefit of
     creditors,  and  no  receiver,  master,  liquidator  or  trustee  has  been
     appointed for Purchaser or any of its property.

          (e) There are no actions or  proceedings  pending  or, to  Purchaser's
     actual knowledge, threatened, against Purchaser which could have a material
     adverse affect on Purchaser's ability to perform its obligations hereunder.

     9.2. Basic Representations of Seller.

     Seller,  as of the date  hereof,  represents  and  warrants to Purchaser as
follows:

          (a) Seller is a limited liability company,  duly organized and validly
     existing and in good standing under the laws of the State of Delaware.

          (b) Seller has full power and authority to enter into and perform this
     Agreement  and to enter into the  documents  to be executed  and  delivered
     pursuant hereto, and each and all of the transactions  contemplated  hereby
     and thereby in accordance with the terms hereof and thereof.

          (c) The  individuals  executing this Agreement on behalf of Seller and
     the  individuals  executing  each  of  the  documents  to be  executed  and
     delivered  in  connection  herewith on behalf of Seller have full power and
     authority to do so. This Agreement and each of the documents to be executed
     and  delivered  by  Seller  in  connection  herewith  are,  or will be when
     executed and delivered,  the legal valid and binding obligations of Seller,
     enforceable against Seller in accordance with the terms hereof and thereof.
     Seller's  performance of its  obligations  under this  Agreement  shall not
     contravene, or cause a default under, any agreement,  judgment, order, writ
     or decree under which Seller or any of its assets is bound.

          (d) Seller has not filed any petition  seeking or  acquiescing  in any
     reorganization,   arrangement,  composition,   readjustment,   liquidation,
     dissolution  or similar  relief  under any law  relating to  bankruptcy  or
     insolvency,  nor has any such petition been filed against Seller. Seller is
     not insolvent and the consummation of the transactions contemplated by this
     Agreement  shall not render  Seller  insolvent.  No general  assignment  of
     Seller's  property  has been  made for the  benefit  of  creditors,  and no
     receiver,  master,  liquidator or trustee has been  appointed for Seller or
     any of its property.

          (e) There are no actions or proceedings pending or, to Seller's actual
     knowledge,  threatened,  against Seller which could have a material adverse
     affect on Seller's ability to perform its obligations hereunder.

<PAGE>

     9.3. Representations of Seller Regarding the Property.

     Seller,  as of the date  hereof,  represents  and  warrants to Purchaser as
follows:

          (a) There are no leases,  licenses or occupancy  agreements  affecting
     the Premises,  other than the Existing Leases. The information contained in
     the rent roll annexed hereto as Exhibit H is true,  complete and correct in
     all material  respects.  Each of the  Existing  Leases is in full force and
     effect; no written notice of a default on the part of a tenant under any of
     the Existing  Leases has been sent by Seller,  other than a notice  setting
     forth a default which,  as of the date hereof,  has been cured;  no written
     notice of a default on the part of the landlord  under the Existing  Leases
     has been  received by Seller,  other than a notice  setting forth a default
     which, as of the date hereof,  has been cured;  and, except as set forth in
     Exhibit I annexed hereto,  none of the tenants under the Existing Leases is
     in arrears in the payment of Fixed Rents or monthly installments of Overage
     Rents for a period in excess of thirty days.

          (b) Subject to the provisions of Section 15.6 hereof,  Seller has paid
     (or will on or before  Closing pay) all Leasing  Costs which pertain to the
     current terms of the Leases, other than Leasing Costs payable in connection
     with (A) the renewal or extension of an Existing Lease or a New Lease,  the
     effective date of which shall not yet have occurred on the date hereof, (B)
     the leasing of space  pursuant to the exercise of a right of first  refusal
     or first offer or similar  right  contained  in an Existing  Lease or a New
     Lease,  the effective date of which shall not yet have occurred on the date
     hereof and (C) the failure  timely to exercise  any  termination  right set
     forth in an Existing Lease or a New Lease at any time after the date hereof
     (any such transaction, a "Contingent Commission Event".)

          (c) There are no service contracts, brokerage agreements,  maintenance
     agreements or other agreements  affecting the Premises,  other than (i) the
     Existing Leases,  (ii) the Existing Service Contracts and (iii) any service
     contracts  which are  terminable  upon not more than 30 days notice without
     penalty or premium.

          (d) There are no actions or proceedings pending or, to Seller's actual
     knowledge,  threatened, with respect to the Property, which are not covered
     by insurance.

          (e)  There  are no  pending  or, to  Seller's  knowledge,  threatened,
     eminent domain or condemnation proceedings with respect to the Property.

          (f) The insurance  coverages with respect to the Premises described in
     Exhibit J annexed hereto are in full force and effect.

     The  representations  of Seller  contained  in Section 9.3 (a) - (e) hereof
shall survive Closing for the Representation Survival Period.

                                ARTICLE 10. TITLE
                                -----------------

     10.1.  Acceptable Title. Seller shall convey, or cause to be conveyed,  and
Purchaser shall accept,  title to the Premises,  as of the Closing Date, subject
to the  Permitted  Exceptions.  The  term  "PERMITTED  EXCEPTIONS"  shall  mean,
collectively,  (i) the matters set forth in Exhibit K annexed hereto, (ii) Title
Exceptions that Title Insurer shall be willing to omit as exceptions to coverage
in any owner's or mortgagee's policy of title insurance obtained by or on behalf
of Purchaser and (iii) any exceptions  and matters that are approved,  waived or
deemed to have been approved or waived by Purchaser.

<PAGE>

     10.2.  Inability to Convey Acceptable Title. On or before the date which is
ten (10) days after the  Effective  Date,  Seller,  at Seller's  expense,  shall
furnish  Purchaser with a title  commitment for the Premises,  prepared by Title
Insurer (the "TITLE  REPORT").  On or before the date which is twenty-five  (25)
days after the Effective Date (TIME BEING OF THE ESSENCE), Purchaser may furnish
Seller  with a written  notice  (the  "TITLE  OBJECTION  NOTICE") of those Title
Exceptions  noted in the Title Report which are not Permitted  Exceptions and as
to which  Purchaser  objects.  In addition,  within five (5) days of Purchaser's
receipt of any  continuation of the Title Report or any update of the Survey (as
defined in Exhibit K annexed hereto),  Purchaser may furnish Seller with written
notice of Title Exceptions noted therein which are not Permitted  Exceptions and
as to which Purchaser objects,  provided such Title Exceptions were not noted in
the Title Report (or any prior continuation thereof) or the Survey (or any prior
update  thereof)  (any such  notice  shall also  constitute  a "TITLE  OBJECTION
NOTICE"). Purchaser shall be deemed to have waived objection to Title Exceptions
set forth in the Title Report (or any continuation thereof) or any update of the
Survey to which timely  objection is not made in a Title Objection  Notice.  For
purposes of this  Agreement,  the term "TITLE  EXCEPTIONS"  shall mean any lien,
encumbrance,  security interest, charge, reservation,  lease, tenancy, easement,
right-of-way,   encroachment,  restrictive  covenant,  condition  or  limitation
affecting the Property.

     10.3. Seller's Rights. Seller shall have the right, in its sole discretion,
upon notice to Purchaser  (the "TITLE  RESPONSE  NOTICE")  given within ten (10)
days after  Seller's  receipt of any Title  Objection  Notice (TIME BEING OF THE
ESSENCE),  to elect to either (i) take such action as Seller deems  advisable to
discharge those Title Exceptions which are not Permitted  Exceptions and are set
forth in the Title Objection Notice (the "TITLE DEFECTS") or (ii) subject to the
provisions  of Section 10.4 hereof,  terminate  this  Agreement,  whereupon  the
Deposit shall be refunded to Purchaser and thereafter neither party hereto shall
have any further  obligation  to the other party  hereto,  with the exception of
those obligations which expressly survive the termination of this Agreement.  If
Seller fails timely to deliver the Title Response  Notice,  then Seller shall be
deemed to have  elected to  terminate  this  Agreement  pursuant  to clause (ii)
above. If Seller, in its Title Response Notice, elects to take action to remove,
remedy or comply with the Title Defects, Seller shall be entitled to one or more
adjournment(s)  of the Closing for up to 30 days in the aggregate,  to discharge
the Title  Defects.  If Seller is unable to remove,  remedy or comply  with such
Title Defects at the  expiration  of such  adjournment(s),  then this  Agreement
shall be deemed to be terminated as of the last adjourned date of Closing.  Upon
such  termination,  the Deposit shall be refunded to Purchaser and neither party
hereto shall have any further  obligation to the other party, with the exception
of those  obligations which expressly survive the termination of this Agreement.
Except as set forth in Section 10.5 hereof,  nothing in this Agreement  shall be
deemed to require  Seller to take or bring any action or proceeding or any other
steps to remove  any  defect in or  objection  to title or to expend  any moneys
therefor, nor shall Purchaser have any right of action against Seller, at law or
in equity, therefor.

     10.4. Purchaser's Right to Accept Title. Purchaser may, upon written notice
to Seller at any time on or before the  Closing  Date (as the same may have been
adjourned by Seller in accordance  with the  provisions of Section 10.3 hereof),
elect to accept such title as Seller can convey,  notwithstanding  the existence
of any Title Defects.  In such event,  (i) this Agreement  shall remain in force
and effect,  (ii) the parties shall proceed to Closing and (iii) Purchaser shall
not be entitled to any abatement of the Purchase Price,  any credit or allowance
of any kind or any  claim or right of  action  against  Seller  for  damages  or
otherwise by reason of the Title Defects.

<PAGE>

     10.5.  Seller's  Obligation.  Notwithstanding  anything  contained  in this
Article 10 the contrary,  Seller shall at or prior to Closing  discharge (i) any
mortgage affecting the Property,  (ii) any Title Defects which are knowingly and
intentionally  created  by Seller  subsequent  to the date  hereof and (iii) any
Title Defects  which may be discharged  solely by the payment of a sum of money,
not to exceed $75,000 in the aggregate.

     10.6. Title Affidavits, Etc.

          (a)  Seller  shall  execute  and  deliver  to  Title  Insurer  a title
     affidavit  that, when taken together with the Survey or any update thereof,
     shall suffice to omit the standard exceptions  contained in Title Insurer's
     form of insuring agreement and any exception pertaining to the receipt of a
     Pennsylvania  Bulk Clearance  Certificate.  Seller shall further deliver to
     Title  Insurer  evidence  of the  payment of  franchise  or  unincorporated
     business taxes, as applicable.

          (b) If requested by Title Insurer,  Purchaser shall deliver (i) one or
     more reasonable and customary title affidavits executed by Purchaser (or an
     officer thereof), certifying to factual matters concerning Purchaser or the
     Premises  which are within the knowledge of Purchaser  (including,  without
     limitation, any reasonable and customary affidavit which may be required in
     order to omit from title  insurance  coverage any exceptions for judgments,
     bankruptcies  or other  returns  against  persons or  entities,  other than
     Purchaser,  whose names are the same as or similar to Purchaser's name) and
     (ii)   documents   evidencing   Purchaser's   payment   of   franchise   or
     unincorporated business taxes, as applicable, or dissolution taxes.

     10.7. Violations.  Seller shall have no responsibility to cure, or cause to
be cured,  any Violations , whether the same have been noted or issued as of the
date hereof or are first noted or issued after the date hereof,  and  Purchaser,
in all events,  agrees to close title to the Premises subject  thereto.  As used
herein, the term "Violation(s)" shall mean any violation of any law or municipal
ordinance,  order or  requirement  noted or issued  against the  Property by any
federal, state or municipal department having jurisdiction over the Property.

                      ARTICLE 11. CASUALTY AND CONDEMNATION
                      -------------------------------------

     11.1. Casualty.

          (a) For  purposes of this Article 11, the  following  terms shall have
     the meanings indicated:

               "MAJOR  CASUALTY"  means  a  fire  in or  other  casualty  to the
          Building  which causes damage or injury to the Premises and results in
          Restoration Costs in excess of an amount equal to five percent (5%) of
          the Purchase Price.

               "RESTORATION  COSTS"  means  the cost to repair  or  restore  (as
          reasonably  determined by an architect or engineer  selected by Seller
          and approved by Purchaser,  which approval  shall not be  unreasonably
          withheld, conditioned or delayed) the damage to the Building caused by
          a fire or other casualty,  exclusive of the cost of any such repair or
          restoration for which Seller,  as the landlord under any Lease, is not
          responsible.

<PAGE>

          (b) If,  between the date hereof and the Closing,  there shall occur a
     fire  or  other  casualty  affecting  the  Building  which  is not a  Major
     Casualty,  then  Purchaser  shall have no right to terminate this Agreement
     and shall purchase the Premises in its damaged  condition without reduction
     of or offset against the Purchase Price or any other claim against  Seller.
     Seller  shall  assign to  Purchaser  the  right to  receive  any  insurance
     proceeds  payable  to Seller  as a result  of such fire or other  casualty;
     provided,  however,  that Seller shall be entitled to retain (to the extent
     theretofore paid to Seller), and shall not be obligated to assign the right
     to receive (to the extent not  theretofore  paid to  Seller),  an amount of
     such insurance  proceeds  equal to Seller's  reasonable  expenses,  if any,
     incurred in  collecting  such  proceeds and  repairing the damage caused by
     fire or other casualty.

          (c) If,  between the date hereof and the Closing,  there shall occur a
     fire or other casualty  affecting the Building  which is a Major  Casualty,
     then  Purchaser  shall have the option,  to be exercised by notice given to
     Seller  within  fifteen  (15)  days  after  the date of such  casualty,  to
     terminate  this  Agreement.  If Purchaser  shall so elect to terminate this
     Agreement,  the Deposit shall be refunded to Purchaser,  whereupon  neither
     party hereto  shall have any further  obligation  to the other  hereunder),
     except for those  obligations  which  expressly  survive the termination of
     this Agreement. If Purchaser shall not elect to terminate this Agreement as
     provided in this subclause  (c), then this  Agreement  shall remain in full
     force and effect with respect and the  provisions of Section  11.1(b) above
     shall apply to such damage and any insurance proceeds payable in connection
     therewith.

          (d) In no event shall Seller have any  obligation to repair any damage
     or  destruction  to the Building,  but Seller shall have the right to do so
     and utilize insurance proceeds for such purpose.

          (e) Seller and Purchaser  expressly intend that the provisions of this
     Section 11.1 shall govern in the event of a fire or other casualty.

     11.2. Condemnation.

          (a) If, between the date hereof and the Closing,  any  condemnation or
     eminent domain  proceedings  are initiated which would result in a material
     taking,  then  either  Seller  or  Purchaser  may elect to  terminate  this
     Agreement  by giving  written  notice of its  election  to the other  party
     within fifteen (15) days after receiving notice of such prospective taking.
     If Seller or Purchaser  shall so elect to  terminate  this  Agreement,  the
     Deposit  shall be refunded to  Purchaser,  whereupon  neither  party hereto
     shall have any further obligation to the other hereunder,  except for those
     obligations which expressly  survive the termination of this Agreement.  If
     neither  party so elects to  terminate  this  Agreement,  then the  parties
     hereto shall proceed to the Closing without  reduction of or offset against
     the Purchase Price and Purchaser  shall have no other claim against Seller.
     In such event,  all of  Seller's  right,  title and  interest in and to any
     condemnation  proceeds  paid or payable in  connection  therewith  shall be
     assigned to  Purchaser.  In no event shall  Seller have any  obligation  to
     repair or restore  the  Premises  or any  portion  thereof by reason of any
     condemnation.

          (b) If, between the date hereof and the Closing,  any  condemnation or
     eminent  domain  proceedings  are  initiated  which  would not  result in a
     material taking, then neither Seller

<PAGE>

     nor Purchaser may terminate this Agreement and the parties shall proceed to
     the Closing  without  reduction of or offset against the Purchase Price and
     Purchaser shall have no other claim against Seller.  In such event,  all of
     Seller's right, title and interest in and to any condemnation proceeds paid
     or payable in connection  therewith  shall be assigned to Purchaser.  In no
     event shall Seller have any obligation to repair or restore the Premises or
     any portion thereof by reason of any condemnation.

          (c) For purposes of this Section  11.2, a taking shall be deemed to be
     material if it would result in the taking of in excess of five percent (5%)
     of the rentable  square footage of the Building and/or five percent (5%) of
     the parking spaces located on the Premises.

                        ARTICLE 12. DEFAULT AND REMEDIES
                        --------------------------------

     12.1.  Default By  Purchaser.  If  Purchaser  (i)  defaults  in its Closing
obligations (i.e., defaults in the payment of the Purchase Price or otherwise in
the  performance of any of its  obligations  hereunder which are to be performed
on, or as of, the Closing Date), or (ii) otherwise materially defaults hereunder
and such other  material  default is not cured within ten (10) days after notice
thereof from Seller to Purchaser,  then, and in any of such events,  Seller,  as
its sole remedy  therefor,  may terminate  this  Agreement by written  notice to
Purchaser,  whereupon the Deposit shall be paid to Seller as liquidated  damages
on  account of such  default,  and,  thereafter,  neither  party  shall have any
further rights or obligations hereunder other than those which expressly survive
the termination of this Agreement. Seller and Purchaser agree that the aforesaid
liquidated  damages are a fair and reasonable amount to be retained by Seller as
agreed and liquidated  damages in light of Seller's removal of the Premises from
the market and the costs  incurred by Seller and shall not  constitute a penalty
or a forfeiture.

     12.2. Default By Seller. If Seller (i) defaults in its Closing  obligations
(i.e., defaults in the performance of any of its obligations hereunder which are
to be performed on, or as of, the Closing Date),  or (ii)  otherwise  materially
defaults  hereunder and such material  default is not cured within ten (10) days
after notice thereof from  Purchaser to Seller,  then, and in either such event,
Purchaser  may,  as its sole  remedy  therefor,  either (x) pursue an action for
specific  performance of this Agreement by Seller hereunder,  without abatement,
credit  against  or  reduction  of the  Purchase  Price  or (y)  terminate  this
Agreement by written notice to Seller and Escrowee,  whereupon the Deposit shall
be refunded to Purchaser;  it being understood and agreed that in no event shall
Purchaser be entitled to money damages. If Purchaser shall elect to so terminate
this Agreement,  then, upon such election,  neither party shall have any further
rights or obligations  hereunder  other than those which  expressly  survive the
termination  of this  Agreement.  Except as  expressly  provided in this Section
12.2,  Purchaser  waives any other right or remedy,  at law or in equity,  which
Purchaser may have or be entitled to as a result of any default by Seller.

     12.3.  Breach of  Representation.  If  Purchaser  proceeds to Closing  with
knowledge of any inaccuracy in a  representation  of Seller,  Purchaser shall be
deemed to have waived  objection to such  inaccuracy  and shall have no right of
action or claim against Seller for damages or otherwise by reason  thereof.  If,
after the Closing,  Purchaser shall first learn of a material  inaccuracy in any
representation  of Seller (made as of the Closing  Date),  which  representation

<PAGE>

expressly  survives  Closing,  then Purchaser  shall have a claim for damages on
account   thereof,   provided  that  (i)  any  claim  not  brought   within  the
Representation  Survival  Period shall be deemed waived,  (ii) Purchaser  hereby
waives the right to collect or seek to collect consequential or punitive damages
and (iii)  Purchaser  reasonably can demonstrate  that the damages  sustained by
Purchaser as a result of such inaccuracy exceed $15,000.

                               ARTICLE 13. BROKER
                               ------------------

     13.1. Broker.  Seller and Purchaser each represent and warrant to the other
that each has had no  conversations  or  dealings  with any  broker or finder in
connection  with  the  transactions  contemplated  hereby,  other  than  Broker.
Purchaser and Seller (each, an "INDEMNIFYING PARTY") shall indemnify, defend and
hold the other  harmless  from and  against  any and all loss,  cost or  expense
(including, without limitation, reasonable attorneys' fees) arising by reason of
a claim for a commission or other compensation made by a broker or finder (other
than Broker)  claiming to have dealt with the Indemnifying  Party.  Seller shall
pay any commission due to Broker pursuant to a separate written  agreement.  The
provisions of this Article 13 shall survive  Closing or any  termination of this
Agreement.

                             ARTICLE 14. ASSIGNMENT
                             ----------------------

     14.1. No Assignment  by  Purchaser.  Neither this  Agreement nor any of the
rights of Purchaser hereunder (nor the benefits of such rights) may be assigned,
transferred or encumbered  without Seller's prior written consent (which consent
may be withheld in Seller's  sole and  absolute  discretion)  and any  purported
assignment, transfer or encumbrance without Seller's prior written consent shall
be void.  Purchaser  expressly  covenants  and agrees that (a) if Purchaser is a
corporation,  a sale or transfer  of more than fifty  (50%)  percent (at any one
time or, in the  aggregate  from time to time) of the shares of any class of the
issued and  outstanding  stock of Purchaser,  its successors or assigns,  or the
issuance  of  additional  shares of any class of its stock to the extent of more
than fifty  (50%)  percent  (at any one time or, in the  aggregate  from time to
time) of the number of shares of said class of stock issued and  outstanding  on
the date hereof,  (b) if Purchaser is a  partnership,  joint  venture or limited
liability  company,  a sale or transfer of more than fifty (50%) percent (at any
one time or,  in the  aggregate  from  time to time) of the  partnership,  joint
venture,  membership or other unincorporated association interests of Purchaser,
its  successors  or assigns,  or the issuance of additional  partnership,  joint
venture or member  interests of any class to the extent of more than fifty (50%)
percent (at any one time or, in the  aggregate  from time to time) of the amount
of  partnership,  joint  venture or member  interests  issued on the date hereof
shall, in any such case, constitute an assignment of this Agreement.  Unless, in
each instance,  the prior written consent of Seller has been obtained,  any such
assignment  shall  constitute a material  default under this Agreement and shall
entitle Seller to exercise all rights and remedies under this Agreement,  at law
or equity, in the case of such a Default.

     14.2. Permitted Assignment to Affiliate.  Notwithstanding the provisions of
Section 14.1 above to the contrary,  the named Purchaser in this Agreement shall
have the  one-time  right to  assign  its  rights  and  obligations  under  this
Agreement to an Affiliate of such named Purchaser

<PAGE>

effective on or prior to the Closing, provided that on or prior to the effective
date of such assignment,  Purchaser delivers to Seller evidence of the ownership
of  Purchaser  and the proposed  assignee so as to permit  Seller to verify that
such  proposed  assignee is an Affiliate of Purchaser and (c) on or prior to the
effective  date of such  assignment,  the  Purchaser  shall  deliver to Seller a
written assumption,  in form reasonably satisfactory to Seller and duly executed
and acknowledged by the assignee,  in which the assignee agrees to assume all of
Purchaser's  covenants,  agreements and obligations under this Agreement.  As of
the date of the assignment of this Agreement to an Affiliate in accordance  with
the foregoing  provisions of this Section 14.2, the representations of Purchaser
named  herein  set  forth  in  Section  9.1  hereof  shall be  remade  as to the
Affiliate,  as Purchaser,  except that the  representations  and  warranties set
forth in Section 9.1(a) hereof shall be modified  accordingly.  Purchaser  named
herein shall remain fully liable for all of  Purchaser's  covenants,  agreements
and  obligations  under  this  Agreement   notwithstanding  any  such  permitted
assignment  pursuant to this Section 14.2. Upon any assignment of this Agreement
in accordance  with the provisions of this Article 14,  Purchaser shall promptly
pay to Seller any  consideration  paid or payable to  Purchaser by reason of the
assignment.

                              ARTICLE 15. COVENANTS
                              ---------------------

         15.1.  Operation of  Premises.  Between the date hereof and the Closing
Date,  Seller shall continue to maintain the Premises in the ordinary course and
substantially  in  accordance  with the  practices  and  procedures  customarily
followed by Seller in the  maintenance of the Premises prior to the date hereof;
provided,  however,  that Seller shall have no obligation to make any repairs or
expenditures that are capital in nature.

     15.2. Insurance. Between the date hereof and the Closing Date, Seller shall
either  (a)  maintain  in full  force and  effect  the fire and  other  casualty
insurance  coverages  described in Exhibit J annexed  hereto or (b) replace such
insurance policies with other policies providing coverage equivalent thereto.

     15.3.  New Leases.  Between the date  hereof and the Closing  Date,  Seller
shall not enter  into any new lease or  license  with  respect  to the  Premises
without  Purchaser's  prior  written  consent,  which consent shall at all times
prior to the Due  Diligence  Expiration  Date not be  unreasonably  withheld  or
delayed.

     15.4. Modification of Leases. Between the date hereof and the Closing Date,
Seller  shall not modify or amend any of the  Existing  Leases or any of the New
Leases without Purchaser's prior written consent in each instance, which consent
shall not be unreasonably  withheld;  provided,  however,  Seller shall have the
right,  without Purchaser's consent, to enter into any modification or amendment
of an  Existing  Lease or a New Lease if the same is  required  pursuant  to the
terms of the Existing Lease or the New Lease, as the case may be, or if the same
is entered into to effectuate or memorialize the exercise of any right or option
contained  in the  Existing  Lease or the New  Lease,  as the  case  may be.  If
required,  Purchaser's  consent shall be deemed  granted if not denied by notice
(stating  the grounds for denial with  reasonable  specificity)  given to Seller
within five (5) Business Days after request for such consent by Seller.

<PAGE>

     15.5.  Termination of Leases. Between the date hereof and the Closing Date,
Seller  shall not  cancel,  accept the  surrender  of, or  terminate  any of the
Existing Leases or New Leases without  Purchaser's prior written consent in each
instance, which consent shall not be unreasonably withheld;  provided,  however,
Seller shall have the right, without Purchaser's consent, to cancel,  accept the
surrender  of,  or  terminate  an  Existing  Lease  or a New  Lease  (i) if such
cancellation,  surrender or termination is predicated upon a material default of
the tenant thereunder or (ii) if such cancellation,  surrender or termination is
made by the tenant pursuant to the terms of the Existing Lease or the New Lease,
as the case may be. If required,  Purchaser's consent shall be deemed granted if
not  denied  by  notice   (stating  the  grounds  for  denial  with   reasonable
specificity)  given to Seller  within five (5) Business  Days after  request for
such consent by Seller.

     15.6. Leasing Costs.

          (a) If the  commencement  date or  effective  date of any  Lease  Cost
     Transaction (hereinafter defined) shall occur on or after the Closing Date,
     Purchaser  shall  pay  and be  solely  responsible  for all  Leasing  Costs
     incurred in connection  therewith.  If the  commencement  date or effective
     date of any Lease  Cost  Transaction  shall  occur  subsequent  to the date
     hereof but prior to the Closing Date,  Seller shall pay and be  responsible
     for Seller's  Proportionate  Share  (hereinafter  defined) of Leasing Costs
     incurred in connection therewith and Purchaser shall pay and be responsible
     for the balance of such Leasing Costs.

          (b) For purposes of this Section 15.6:

               (i) The term  "LEASE  COST  TRANSACTION"  shall  mean (A) any New
          Lease  or any  modification  or  amendment  of a New  Lease,  (B)  any
          modification  or  amendment  of an  Existing  Lease,  (C) any  renewal
          option,  extension  option  or  expansion  option  which is  exercised
          between the date hereof and the Closing Date  pursuant to the terms of
          an Existing Lease or a New Lease or (D) any space leased pursuant to a
          right of first  refusal  or first  offer  or  similar  right  which is
          exercised between the date hereof and the Closing Date; and

               (ii)  The  term  "SELLER'S  PROPORTIONATE  SHARE "  shall  mean a
          fraction,  the numerator of which shall be the number of days from the
          effective  date or  commencement  date of a Lease Cost  Transaction to
          (but not  including)  the Closing  Date and the  denominator  of which
          shall be the number of days from the  commencement  date or  effective
          date of such Lease Cost  Transaction to the stated  expiration date of
          the Lease.

     15.7. Service Contracts.

          (a) Between the date hereof and the  Closing  Date,  Seller  shall not
     enter into any New Service Contracts or modify, renew or extend the term of
     any of the  Existing  Service  Contracts or New Service  Contracts  without
     Purchaser's prior written consent in each instance, which consent shall not
     be unreasonably withheld, conditioned or delayed; provided, however, Seller
     shall have the right,  without  Purchaser's  consent, to enter into any New
     Service  Contracts  and  modify,  renew or extend the term of any  Existing
     Service  Contracts or New Service  Contracts  (i) if the same is cancelable
     upon no more than thirty (30) days' notice without  payment by Purchaser of
     a cancellation fee or (ii) if the same is required pursuant to the terms of

<PAGE>

     any of the Existing  Service  Contracts or New Service  Contracts or if the
     same is entered into to effectuate or memorialize the exercise of any right
     or option on the part of the other party (i.e.,  the contractor)  contained
     in any of the  Existing  Service  Contracts  or New Service  Contracts.  If
     required,  Purchaser's  consent  shall be deemed  granted  if not denied by
     notice (stating the grounds for denial with reasonable  specificity)  given
     to Seller  within five (5) Business  Days after request for such consent by
     Seller.  Notwithstanding  anything  contained  in this  Section 15.7 to the
     contrary,  Seller shall have the right,  without  Purchaser's  consent,  to
     terminate  any one or more of the Existing  Service  Contracts  and the New
     Service Contracts at any time on or prior to the Closing Date.

          (b) At the  Closing,  Purchaser  shall,  in the manner  prescribed  in
     Section  7.1(i) hereof and pursuant to an instrument in the form of Exhibit
     G annexed hereto,  take an assignment of and assume the assignable  Service
     Contracts.  Notwithstanding  the foregoing,  Purchaser may on or before the
     date which is  fifteen  days after the  Effective  Date (TIME  BEING OF THE
     ESSENCE),  furnish  Seller with notice of those Service  Contracts  that it
     does not wish to assume,  in which event  Seller  shall at Closing  furnish
     Purchaser with evidence of the termination thereof,  provided that the same
     shall be  terminable  by Seller  upon not more than  thirty days notice and
     without premium or penalty.  Notwithstanding the foregoing,  but subject to
     the provisions of Section 15.6 hereof,  Purchaser  shall at Closing take an
     assignment of and assume (i) each tenant  brokerage  agreement set forth in
     Exhibit C annexed hereto and any other tenant brokerage  agreement to which
     Purchaser shall have consented in accordance with the terms hereof and (ii)
     the  obligations  of  Seller  with  respect  to  post-termination   leasing
     commissions  payable in accordance with Exhibit B, Section 9 of the Leasing
     Agency Agreement.

     15.8.  Tenant  Estoppel  Certificates.  Subsequent  to  the  Due  Diligence
Expiration Date, Seller shall use commercially  reasonable efforts to cause each
tenant  under an Existing  Lease to execute  and  deliver to  Purchaser a Tenant
Estoppel Certificate,  provided that Seller shall not be required to pay any sum
of money or  commence  any  action or  proceeding  to  obtain a Tenant  Estoppel
Certificate.

     15.9. Subordination,  Attornment and Non-Disturbance Agreements. Subsequent
to the Due Diligence  Expiration Date,  Purchaser may request that tenants under
Leases  execute,  acknowledge  and deliver  subordination,  non-disturbance  and
attornment agreements (each, a "SUBORDINATION  AGREEMENT") with any lender which
may provide financing to Purchaser to be secured by a first mortgage lien on the
Property,  provided that the effectiveness of each subordination agreement shall
be expressly  conditioned upon the occurrence of Closing.  Nothing  contained in
this Section 15.9 shall be construed to condition any of Purchaser's obligations
hereunder upon  Purchaser's  receipt of (i) a  subordination  agreement from any
tenant or (ii) financing in connection with its acquisition of the Property.

                            ARTICLE 16. MISCELLANEOUS
                            -------------------------

     16.1. Notices. (a) All notices,  demands, requests and other communications
required  hereunder  shall be in writing and shall be deemed to have been given:
(i) upon delivery, if personally delivered; (ii) three (3) days after deposit in
the United States Mail when delivered,

<PAGE>

postage  prepaid,  by certified or registered  mail;  (iii) one (1) Business Day
after deposit with a nationally recognized overnight delivery service marked for
delivery on the next  Business  Day; or (iv) upon  receipt when  transmitted  by
telecopy,  provided  that  notice  is also  sent by one of the  foregoing  three
methods,  in each case  addressed  to the party for whom it is  intended  at its
address hereinafter set forth:

                  If to Seller:

                           Wellsford Capital Properties, LLC
                           c/o Wellsford Real Properties, Inc.
                           535 Madison Avenue
                           26th Floor
                           New York, NY 10022
                           Attention: William H. Darrow
                           Telecopy No: (212) 421-7244

                  with a copy to:

                           Robinson Silverman Pearce Aronsohn & Berman LLP
                           1290 Avenue of the Americas
                           New York, New York 10104
                           Attention: Dennis M. Sughrue, Esq.
                           Telecopy No. (212) 541-4630

                  If to Purchaser:

                           Windswept Development, LLC
                           31000 Northwestern Highway, Suite 220
                           Farmington Hills, Michigan 48334
                           Attention: Adam M. Lutz
                           Telecopy No. (248) 539-8833

                  with a copy to:

                           Jaffe Raitt
                           One Woodward Avenue, Suite 2400
                           Detroit, Michigan 46226
                           Attention: Brian Raznick, Esq.
                           Telecopy No. (313) 961-8366

                  If to First Escrowee:

                           Metropolitan Title Agency
                           39400 Woodward Avenue
                           Suite 135
                           Bloomfield Hills, Michigan  48304
                           Attention: Scott Schmunk

<PAGE>

                  If to Second Escrowee:

                           Commonwealth Land Title Insurance Company
                           655 Third Avenue
                           11th Floor
                           New York, New York 10012
                           Attention: Doug Forsyth
                           Telecopy No. (212) 856-9308

          (b) Any party may  designate a change of address by written  notice to
     the others given in accordance with the provisions of this Section 16.1.

          (c) The  attorney  for any  party  may send  notices  on that  party's
     behalf.

     16.2.  Governing Law. This Agreement shall be governed by, and construed in
accordance with, the laws of the Commonwealth of Pennsylvania.

     16.3. Successors. All of the provisions of this Agreement and of any of the
documents and instruments  executed in connection herewith shall apply to and be
binding upon, and inure to the benefit of Seller and Purchaser, their successors
and their permitted assigns.

     16.4. No Third Party Beneficiary. This Agreement and each of the provisions
hereof are solely for the benefit of  Purchaser  and Seller and their  permitted
assigns.  No  provisions  of  this  Agreement  or of any of  the  documents  and
instruments  executed in connection  herewith  shall be construed as creating in
any person or entity other than Purchaser and Seller and their permitted assigns
any rights of any nature whatsoever.

     16.5. No Personal  Liability.  Purchaser shall look only to Seller's estate
and  interest  in the  Property  for the  collection  of a  judgement  (or other
judicial  process)  requiring  the  payment of money by Seller in the event that
Purchaser is expressly entitled to a damage claim against Seller pursuant to the
terms of this  Agreement,  and no other  property  or  assets  of  Seller or its
partners, members, officers, managers, shareholders or principals,  disclosed or
undisclosed,   shall  be  subject  to  levy,  execution,   attachment  or  other
enforcement  procedure  for the  satisfaction  of any such damage claim  against
Seller under or with respect to this Agreement. The foregoing provisions of this
Section  are not  intended  to,  and shall  not,  limit any  express  right that
Purchaser might otherwise have to obtain equitable relief  (including the remedy
of specific  performance where applicable and appropriate)  against Seller.  The
terms and provisions of this subsection shall survive the Closing or the earlier
termination of this Agreement.

     16.6.  Entire  Agreement.  This Agreement,  together with the documents and
instruments executed and delivered in connection herewith,  set forth the entire
agreement between Purchaser and Seller relating to the transactions contemplated
hereby  and all  other  prior  or  contemporaneous  agreements,  understandings,
representations  or  statements,  oral  or  written,  relating  directly  to the
Property are superseded hereby.

     16.7. Severability.  If any provision in this Agreement is found by a court
of competent  jurisdiction to be in violation of any applicable law, and if such
court should  declare such  provision  of this  Agreement to be unlawful,  void,
illegal or unenforceable in any respect, the

<PAGE>

remainder  of this  Agreement  shall be  construed  as if such  unlawful,  void,
illegal or unenforceable  provision were not contained therein,  and the rights,
obligations  and  interests of the parties  hereto  under the  remainder of this
Agreement shall continue in full force and effect  undisturbed and unmodified in
any way.

     16.8. Modification. This Agreement and the terms hereof may not be changed,
waived, modified,  supplemented,  canceled, discharged or terminated orally, but
only by an instrument or instruments in writing executed and delivered by Seller
and Purchaser.

     16.9.  Waiver of Trial by Jury.  EACH PARTY HEREBY WAIVES,  IRREVOCABLY AND
UNCONDITIONALLY,  TRIAL BY JURY IN ANY ACTION  BROUGHT ON, UNDER OR BY VIRTUE OF
OR RELATING IN ANY WAY TO THIS AGREEMENT OR ANY OF THE DOCUMENTS OR CERTIFICATES
EXECUTED IN CONNECTION HEREWITH, THE PROPERTY, OR ANY CLAIMS,  DEFENSES,  RIGHTS
OF SET-OFF OR OTHER ACTIONS PERTAINING HERETO OR TO ANY OF THE FOREGOING.

     16.10.  Venue.  Purchaser  and Seller  each hereby  irrevocably  waives any
objection  that it may now or hereafter have to the laying of venue of any suit,
action  or  proceeding  arising  out  of  this  Agreement  or  the  transactions
contemplated  hereby  brought  in any  federal  or state  court  sitting  in the
Commonwealth of  Pennsylvania  and hereby further  irrevocably  waives and claim
that any such  suit,  action or  proceeding  brought  in any such court has been
brought in an inconvenient  forum. Seller and Purchaser further hereby expressly
submits to the  jurisdiction  of all  federal  and state  courts  sitting in the
Commonwealth of Pennsylvania.

     16.11. No Recording. Neither this Agreement nor any memorandum hereof shall
be recorded.  Each party hereby agrees to indemnify and hold harmless the others
for all liabilities,  losses,  damages, liens, suits, claims, costs and expenses
(including  reasonable  attorneys'  fees)  incurred by the others by reason of a
breach of the foregoing covenant.

     16.12.  Captions.  The captions and table of contents in this Agreement are
inserted for  convenience  of reference  only and in no way define,  describe or
limit the scope or intent of this Agreement or any of the provisions hereof.

     16.13.  Counterparts;  Effectiveness  of Agreement.  This  Agreement may be
executed  in any  number of  counterparts,  each of which  shall  constitute  an
original  but  all of  which  together  will  constitute  one  instrument.  This
Agreement shall not be effective unless and until the same has been executed and
delivered by all parties hereto whether in one or more counterparts.

     16.14.  Merger.  The delivery of the Deed to  Purchaser  and the closing of
title to the  Property  shall be  deemed  to  constitute  full  performance  and
discharge by Seller of every  agreement and  obligation on the part of Seller to
be performed hereunder, and no agreement,  promise,  representation or warranty,
express or implied, on the part of Seller shall survive Closing unless expressly
set forth to the contrary herein.

                     [Rest of Page Left Intentionally Blank]

<PAGE>

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

                                    Seller:
                                    ------

                                    WELLSFORD CAPITAL PROPERTIES, L.L.C.

                                    By: Wellsford Capital, its sole member

                                    By: /s/ James J. Burns
                                        ----------------------
                                        Name: James J. Burns
                                        Title: Chief Accounting Officer

                                    Purchaser:
                                    ---------

                                    WINDSWEPT DEVELOPMENT, LLC

                                    By: /s/ Adam Lutz
                                        -----------------
                                        Name: Adam Lutz
                                        Title: Managing Member

Agreed as to Section 3.2 only:

First Escrowee:
--------------

METROPOLITAN TITLE AGENCY:

By: /s/ Scott A. Schmunk
    ------------------------
Name: Scott A. Schmunk
Title: Legal Counsel

Second Escrowee:
---------------

COMMONWEALTH LAND TITLE INSURANCE COMPANY

By: /s/Douglas H. Forsyth
    -------------------------
Name:  Douglas H. Forsyth
Title: A. Vice President

<PAGE>

                                    Exhibit A

                                   (the Land)

PREMISES "A"

County Parcel No. 1-8-1 and 51-5-59

     ALL THAT  CERTAIN  tract or parcel of land  Situate in the Township of East
Bradford  and  Borough  of West  Chester,  County of  Chester,  Commonwealth  of
Pennsylvania,  being described according to a boundary Survey and Plan, entitled
Boundary  Survey  Plan,  prepared  for Kode  Development,  dated June 10,  1988,
prepared by Alpha  Engineering  Associates,  Inc.,  Feasterville,  Pennsylvania,
being more particularly described as follows, to wit:

     BEGINNING at a found iron pin, for a corner, on the Southerly  Right-of-Way
of  Downington-West  Chester Pike (L.R.  137) 60 feet wide, and being located on
the  dividing  line  between  East  Bradford  Township  and the  Borough of West
Chester,  thence  extending  in a  Northeasterly  direction,  through the bed of
Downingtown-West  Chester  Pike  (L.R.  137) 60 feet  wide,  North 79  degrees 9
minutes 30 seconds East, a distance of 33.95 feet to a point for a corner, being
in the centerline of the aforementioned Downingtown-West Chester Pike (L.R. 137)
60 feet wide; thence extending in a Southeasterly direction along the centerline
of  Downingtown-West  Chester  Pike (L.R.  137) 60 feet wide South 47 degrees 23
minutes 50 seconds East a distance of 481.34 feet to a found spike, for a corner
in the centerline of the aforementioned Downingtown-West Chester Pike (L.R. 137)
60 feet wide;  thence  extending  still in a  Southeasterly  direction,  passing
through the Southerly bed of  Downingtown-West  Chester Pike (L.R.  137) 60 feet
wide,  South 20 degrees 57 minutes  17 seconds  East a distance  of 303.42  feet
crossing  through the bed of Strasburg Road (L.R.  273) 50 feet wide, to a found
spike,  for a corner,  being on the centerline of the  aforementioned  Strasburg
Road (L.R.  273);  thence  extending,  in a Northwesterly  direction,  along the
centerline of Strasburg  Road (L.R.  273) 50 feet wide passing over the dividing
line  between the Borough of West  Chester  and the  Township of East  Bradford,
North 82 degrees 6 minutes 39 seconds  West a distance of 446.89 feet to a point
for a corner, being a common corner of the Southeasterly lands of Parcel "A", on
the centerline of the aforementioned Strasburg Road (L.R. 273); thence extending
in a Northwesterly  direction passing over the bed of Strasburg Road (L.R. 273);
50 feet  along the  Easterly  line of lands of Parcel  "A",  North 24 degrees 54
minutes 10 seconds  West a distance  of 559.80  feet to a found iron pin,  for a
corner,   being  a  common  corner  to  Parcel  "A";  thence  extending,   in  a
Northeasterly direction,  along the Southerly line of lands of Parcel "A", North
79 degrees 9 minutes 30 seconds  East a distance  of 177.25 feet to a found iron
pin,  for a corner,  being a common  corner to the lands of Parcel "A" and being
the first mentioned point and place of beginning.

(Continued)

<PAGE>

PREMISES "B"

County Parcel No.: 51-5-58.1

     ALL THAT CERTAIN tract or piece of ground,  Situate in the Township of East
Bradford,  County  of  Chester,  Commonwealth  of  Pennsylvania,  and  described
according to a Topographical Plan and Survey prepared for Arnko Builders,  Inc.,
by Akpha Engineering Associates, Inc., dated July 27, 1967 as follows, to wit:

     BEGINNING  at a spike on the center of  Strasburg  Road (Route No. 162) (50
feet wid) said spike being at the  distance of 195.87  feet  measured  along the
center line of  Strasburg  Road North 82 degrees 33 minutes 30 seconds West from
its  point  of  intersection  with the  extension  of the  center  line of North
Bradford  Avenue (50 feet wide);  thence  extending from said point of beginning
along the center line of  Strasburg  Road North 82 degrees 31 minutes 30 seconds
West, 864.40 feet to a spike, a corner of lands now or late of United Realty and
Construction  Company;  thence  extending  along the last mentioned  lands the 2
following courses and distances; (1) North 12 degrees 14 minutes 20 seconds West
crossing an iron pin on the  Northeasterly  side of Strasburg at the distance of
22.81  feet the  total  distance  of  1082.24  feet to a stone  and (2) North 76
degrees  53  minutes  East  crossing  an iron pin on the  Southwesterly  side of
Downingtown-West  Chester  Pike (Route No. 322) (60 feet wide)  172.26 feet to a
point on the title  line in the bed of  Downingtown-West  Chester  Pike;  thence
extending along the title line through the bed of Downingtown-West Chester Pike;
the 3  following  courses  and  distances;  (1) South 54  degrees  40 minutes 10
seconds East, 897.24 feet to a point; (2) South 47 degrees 41 minutes 20 seconds
East,  132.00  feet to a point,  said point being on the  Borough-Township  Line
dividing the  Township of East  Bradford and the Borough of West Chester and (3)
South 24 degrees 56 minutes  20  seconds  East along the  Borough-Township  Line
66.00 feet to an iron pin, a corner of lands now or late of Carl Chyrla;  thence
extending along the last mentioned  lands of 2 following  courses and distances;
(1) South 79 degrees 09 minutes 30 seconds West crossing the Southwesterly  side
of  Downingtown-West  Chester Pike,  177.54 feet to an iron pin and (2) South 24
degrees 54 minutes 10 seconds  East,  crossing an iron pin on the  Northeasterly
side of Strasburg Road,  359.80 feet to the first mentioned spike; the point and
place of beginning  (the distance  between the last  mentioned  iron pin and the
last mentioned iron spike being 29.59 feet)

<PAGE>

                                    Exhibit B

                                (Existing Leases)

1.  Shopping  Center  Lease,  dated as of April 8,  1991,  by and  between  East
Bradford Associates, L.P., as landlord, and G and J Corp., as tenant, as amended
pursuant to that certain Lease  Amendment,  dated as of (undated),  1996, by and
between  landlord and tenant,  and as further  amended  pursuant to that certain
Additional Space and Extension Agreement, dated October 20, 1997, by and between
Value Property Trust, as successor in interest to landlord, and tenant.

2.  Shopping  Center  Lease,  dated as of April 22,  1991,  by and between  East
Bradford Associates,  L.P., as landlord,  and Brandywine Floral Design, Inc., as
tenant,  as amended  pursuant to that certain  Amendment and Extension to Lease,
dated as of May 17, 1996, by and between Value Property  Trust,  as successor in
interest to landlord, and tenant.

3.  Shopping  Center  Lease,  dated as of January 25, 1991,  by and between East
Bradford  Associates,  L.P., as landlord,  and Concord Pizza Inc., as tenant, as
amended by Lease  Amendment,  dated July 13, 1995,  by and between East Bradford
Associates,  L.P.,  as landlord,  and Concord  Pizza,  Inc.,  as tenant,  and as
further amended by Lease Renewal Agreement,  dated as of January 1, 2000, by and
between  Wellsford  Capital  Properties,  L.L.C.,  as  successor  in interest to
landlord, and Familia, Inc., as successor in interest to tenant.

4. Lease, dated as of June 23, 1989, by and between East Bradford Associates, as
landlord, and East Bradford Plaza CVS, Inc., as tenant.

5.  Shopping  Center  Lease,  dated as of February 1, 1996, by and between Value
Property Trust, as landlord, and Spain's Inc., as tenant.

6.  Shopping  Center  Lease,  dated as of December 22, 1992, by and between East
Bradford Associates,  L.P., as landlord,  and Michael Casella and Joseph Kelley,
as tenant.

7. Build and Lease  Agreement,  dated as of June 21,  1989,  by and between East
Bradford Associates,  L.P., as landlord, and Fleming Companies, Inc., as tenant,
as amended  pursuant to that  certain  Amendment  to Build and Lease  Agreement,
dated as of April 23, 1990, by and between  landlord and tenant,  and as further
amended pursuant to that certain Second Amendment to Lease,  dated as of June 9,
1999,  by and between  Wellsford  Capital  Properties,  L.L.C.,  as successor in
interest to landlord, and tenant.

8.  Shopping  Center  Lease,  dated as of July 24,  1996,  by and between  Value
Property Trust, as landlord,  and Franklin Equipment Inc., as tenant, as amended
pursuant to that certain Lease Agreement,  dated as of December 10, 1998, by and
between Wellsford Capital and tenant.

9.  Shopping  Center  Lease,  dated as of June 16,  1995,  by and  between  East
Bradford  Associates,  L.P., as landlord,  and Tasra,  Inc. d/b/a Mr. Wings,  as
tenant, as amended pursuant to that certain Lease Renewal Agreement, dated as of
January 1,  2000,  by and  between  Wellsford  Capital  Properties,  L.L.C.,  as
successor in interest to landlord, and tenant.

<PAGE>

10. Shopping Center Lease, undated, by and between Kode Development  Associates,
as landlord, and James DiSante t/a Orth Brothers Cleaners, as tenant.

11.  Shopping  Center Lease,  dated as of October 31, 1996, by and between Value
Property Trusts, as landlord,  and Ostrow & Turner Physical Therapy  Associates,
P.C., as tenant.

12.  Shopping  Center  Lease,  dated as of October 11, 1991, by and between East
Bradford  Associates,  L.P.,  as  landlord,  and  Vincent  Giardina  t/a Postman
Plus-West  Chester,  as  tenant,  as  amended  pursuant  to that  certain  Lease
Agreement,  dated as of  November  1, 1999,  by and  between  Wellsford  Capital
Properties, L.L.C., as landlord, and Postman West Chester, Inc., as tenant.

13. Lease,  dated as of June 30, 1992, by and between East Bradford  Associates,
L.P.,  as  landlord,  and The Rag  Shop/Hampden,  Inc.,  as  tenant,  as amended
pursuant to that certain First Amendment to Lease, dated as of June 30, 1997, by
and between  value  Property  Trust,  as successor in interest to landlord,  and
tenant.

14.  Lease,  dated  as of  July  1,  2000,  by  and  between  Wellsford  Capital
Properties, L.L.C., as landlord, and West Chester China Buffet Corp., as tenant.

15.  Lease  Agreement,  dated as of April 17,  2000,  by and  between  Wellsford
Capital  Properties,  L.L.C., as landlord,  and Terpichore,  Inc. d/b/a Shall We
Dance, as tenant.

16. Indenture of Lease,  dated as of March 3, 1993, by and between East Bradford
Associates, L.P., as landlord, and the Commonwealth of Pennsylvania,  as tenant,
as assigned  pursuant to that certain  Assignment of Lease and Novation,  by and
among  Value  Property  Trust,   Wellsford  Capital  Properties,   LLC  and  the
Commonwealth  of  Pennsylvania,  whereby  Value  Property  Trust,  as  landlord,
assigned all of its interest  under the lease to Wellsford  Capital  Properties,
LLC.

17. Lease  Agreement,  dated as of September 1, 2000,  by and between  Wellsford
Capital  Properties,  L.L.C.,  as landlord,  and  Alexander's  For Men, Inc., as
tenant.

<PAGE>

                                    Exhibit D
                      (Form of Tenant Estoppel Certificate)

                           TENANT ESTOPPEL CERTIFICATE

Landlord:         Wellsford Capital Properties, L.L.C.

Tenant:

Original Lease Date:         .

The  undersigned  Tenant under the  above-referenced  Lease (the "LEASE") hereby
ratifies  and  certifies  to  Windswept   Development,   LLC  or  its  affiliate
("PURCHASER"),  as the prospective purchaser of the real property commonly known
as  Bradford  Plaza,  710  Downington  Pike,  West  Chester,  Pennsylvania  (the
"PROPERTY"),  of which  the  premises  demised  under  the  Lease is a part (the
"PREMISES"),  and to any lender  providing  financing to Purchaser in connection
with its acquisition of such real property ("LENDER"), as follows:

     1.   The CURRENT term of the Lease commenced on ____________ and expires on
          __________. Tenant has accepted and is in possession of the Premises.

     2.   The Lease  presently  calls for monthly  installments of fixed or base
          rent of $___________.

     4.   Rent has been paid to and including ____________, 2000, and no advance
          rental or other  payment has been made in  connection  with the Lease,
          except  rental  for the  current  month.  Tenant  has no  defenses  or
          set-offs to the payment of rent.

     5.   A  security  deposit  in the  amount of $  _________  is being held by
          Landlord.

     6.   There is no existing  event of default on the part of the  Landlord or
          the Tenant in any of the terms and conditions of the Lease.*

     7.   The Lease is valid and in full  force and effect  and  represents  the
          entire agreement between the parties, and the Lease has (check one):

          (    ) not been amended, modified, supplemented,  extended, renewed or
               assigned.

          (    ) been  amended,  modified,  supplemented,  extended,  renewed or
               assigned as follows by the following described agreements:
----------

* Will accept modified to Tenant's knowledge as to Landlord default.

<PAGE>

          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          -------------------------------------------------.

     8.   As of  the  date  hereof,  Landlord  has  fully  performed  all of its
          obligations  under the Lease and  satisfied  all  commitments  made to
          induce  Tenant to enter into the Lease and Tenant is not  entitled  to
          any rental inducements,  "free rent", rent allowance,  rent credits or
          other concession or economic  inducements in connection with the Lease
          throughout the remainder of the term except as follows:

          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          -------------------------------------------------.

     9.   All  construction,  build-out,  improvements,  or  alterations  to the
          Premises  required  under  the  Lease  have been  fully  completed  in
          accordance  with the plans and  specifications  described in the Lease
          and all contributions  required to be made by Landlord  throughout the
          term of the Lease on account thereof have been made except as follows:

          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          -----------------------------------------------------.

     10.  There are no actions,  voluntary or  involuntary,  pending against the
          Tenant  under the  bankruptcy  laws of the United  States or any state
          thereof.

     11.  Tenant has no renewal,  extension,  cancellation  or expansion  rights
          under the  Lease,  except  to the  extent  expressly  set forth in the
          Lease.

     12.  Tenant has no right of first  offer or  refusal  with  respect  to, or
          other option to purchase, all or any portion of the Premises.

     13.  Tenant  has not  assigned,  transferred  or  pledged  the Lease or any
          interest therein or sublet any portion thereof except as follows:

          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          ----------------------------------------------------------------------
          -----------------------------------------------------.

<PAGE>

This  certificate has been given to Purchaser and Lender with the  understanding
that  Purchaser  is acquiring  the Property in reliance on this Tenant  Estoppel
Certificate  and Lender will rely hereon in connection  with loans which will be
secured by the Property. The undersigned hereby certifies that he or she is duly
authorized to sign and deliver this Tenant Estoppel Certificate.

                                        Tenant:

Date:  _________, ______.           By:______________________________________
                                            Name:
                                            Title:

<PAGE>

                                    Exhibit E
                             (Form of Bill of Sale)

                                  BILL OF SALE
                                  ------------

                         KNOW ALL MEN BY THESE PRESENTS,

     That WELLSFORD CAPITAL PROPERTIES,  L.L.C., having an office at 535 Madison
Avenue,  26th  Floor,  New  York,  New  York  10022  ("GRANTOR"),   for  and  in
consideration  of the sum of Ten Dollars  ($10.00),  lawful  money of the United
States, to it in hand paid, at or before delivery of these presents by Windswept
Development,  LLC, having an office at 31000  Northwestern  Highway,  Suite 220,
Farmington  Hills,  Michigan 48334  ("GRANTEE"),  the receipt of which is hereby
acknowledged,  by these presents does hereby convey unto Grantee, its successors
and  assigns,  all right,  title and  interest of Grantor in and to all personal
property  affixed to, located upon or used in connection  with the real property
described  in Schedule 1 annexed  hereto and made a part hereof.  The  foregoing
conveyance  is made without  recourse,  representation  or warranty of any kind,
except that Grantor  represents to Grantee that the Personalty is free and clear
of any lien or encumbrance,  which  representation shall survive the delivery of
this Bill of Sale for a period of six (6) months.

     TO HAVE AND TO HOLD the same  unto  Grantee,  its  successors  and  assigns
forever.

     This Bill of Sale shall be governed by and construed in accordance with the
laws of the Commonwealth of Pennsylvania.

     IN WITNESS WHEREOF,  Grantor has caused this instrument to be duly executed
as of this         day of      ,     .

                    WELLSFORD CAPITAL PROPERTIES, L.L.C.

                    By:  Wellsford  Capital,  a Maryland real estate  investment
                    trust

                    By: _______________________________
                        Name:
                        Title:

<PAGE>

                                   Schedule 1
                                   ----------

PREMISES "A"

County Parcel No. 1-8-1 and 51-5-59

     ALL THAT  CERTAIN  tract or parcel of land  Situate in the Township of East
Bradford  and  Borough  of West  Chester,  County of  Chester,  Commonwealth  of
Pennsylvania,  being described according to a boundary Survey and Plan, entitled
Boundary  Survey  Plan,  prepared  for Kode  Development,  dated June 10,  1988,
prepared by Alpha  Engineering  Associates,  Inc.,  Feasterville,  Pennsylvania,
being more particularly described as follows, to wit:

     BEGINNING at a found iron pin, for a corner, on the Southerly  Right-of-Way
of  Downington-West  Chester Pike (L.R.  137) 60 feet wide, and being located on
the  dividing  line  between  East  Bradford  Township  and the  Borough of West
Chester,  thence  extending  in a  Northeasterly  direction,  through the bed of
Downingtown-West  Chester  Pike  (L.R.  137) 60 feet  wide,  North 79  degrees 9
minutes 30 seconds East, a distance of 33.95 feet to a point for a corner, being
in the centerline of the aforementioned Downingtown-West Chester Pike (L.R. 137)
60 feet wide; thence extending in a Southeasterly direction along the centerline
of  Downingtown-West  Chester  Pike (L.R.  137) 60 feet wide South 47 degrees 23
minutes 50 seconds East a distance of 481.34 feet to a found spike, for a corner
in the centerline of the aforementioned Downingtown-West Chester Pike (L.R. 137)
60 feet wide;  thence  extending  still in a  Southeasterly  direction,  passing
through the Southerly bed of  Downingtown-West  Chester Pike (L.R.  137) 60 feet
wide,  South 20 degrees 57 minutes  17 seconds  East a distance  of 303.42  feet
crossing  through the bed of Strasburg Road (L.R.  273) 50 feet wide, to a found
spike,  for a corner,  being on the centerline of the  aforementioned  Strasburg
Road (L.R.  273);  thence  extending,  in a Northwesterly  direction,  along the
centerline of Strasburg  Road (L.R.  273) 50 feet wide passing over the dividing
line  between the Borough of West  Chester  and the  Township of East  Bradford,
North 82 degrees 6 minutes 39 seconds  West a distance of 446.89 feet to a point
for a corner, being a common corner of the Southeasterly lands of Parcel "A", on
the centerline of the aforementioned Strasburg Road (L.R. 273); thence extending
in a Northwesterly  direction passing over the bed of Strasburg Road (L.R. 273);
50 feet  along the  Easterly  line of lands of Parcel  "A",  North 24 degrees 54
minutes 10 seconds  West a distance  of 559.80  feet to a found iron pin,  for a
corner,   being  a  common  corner  to  Parcel  "A";  thence  extending,   in  a
Northeasterly direction,  along the Southerly line of lands of Parcel "A", North
79 degrees 9 minutes 30 seconds  East a distance  of 177.25 feet to a found iron
pin,  for a corner,  being a common  corner to the lands of Parcel "A" and being
the first mentioned point and place of beginning.

(Continued)

<PAGE>

PREMISES "B"

County Parcel No.: 51-5-58.1

     ALL THAT CERTAIN tract or piece of ground,  Situate in the Township of East
Bradford,  County  of  Chester,  Commonwealth  of  Pennsylvania,  and  described
according to a Topographical Plan and Survey prepared for Arnko Builders,  Inc.,
by Akpha Engineering Associates, Inc., dated July 27, 1967 as follows, to wit:

     BEGINNING  at a spike on the center of  Strasburg  Road (Route No. 162) (50
feet wid) said spike being at the  distance of 195.87  feet  measured  along the
center line of  Strasburg  Road North 82 degrees 33 minutes 30 seconds West from
its  point  of  intersection  with the  extension  of the  center  line of North
Bradford  Avenue (50 feet wide);  thence  extending from said point of beginning
along the center line of  Strasburg  Road North 82 degrees 31 minutes 30 seconds
West, 864.40 feet to a spike, a corner of lands now or late of United Realty and
Construction  Company;  thence  extending  along the last mentioned  lands the 2
following courses and distances; (1) North 12 degrees 14 minutes 20 seconds West
crossing an iron pin on the  Northeasterly  side of Strasburg at the distance of
22.81  feet the  total  distance  of  1082.24  feet to a stone  and (2) North 76
degrees  53  minutes  East  crossing  an iron pin on the  Southwesterly  side of
Downingtown-West  Chester  Pike (Route No. 322) (60 feet wide)  172.26 feet to a
point on the title  line in the bed of  Downingtown-West  Chester  Pike;  thence
extending along the title line through the bed of Downingtown-West Chester Pike;
the 3  following  courses  and  distances;  (1) South 54  degrees  40 minutes 10
seconds East, 897.24 feet to a point; (2) South 47 degrees 41 minutes 20 seconds
East,  132.00  feet to a point,  said point being on the  Borough-Township  Line
dividing the  Township of East  Bradford and the Borough of West Chester and (3)
South 24 degrees 56 minutes  20  seconds  East along the  Borough-Township  Line
66.00 feet to an iron pin, a corner of lands now or late of Carl Chyrla;  thence
extending along the last mentioned  lands of 2 following  courses and distances;
(1) South 79 degrees 09 minutes 30 seconds West crossing the Southwesterly  side
of  Downingtown-West  Chester Pike,  177.54 feet to an iron pin and (2) South 24
degrees 54 minutes 10 seconds  East,  crossing an iron pin on the  Northeasterly
side of Strasburg Road,  359.80 feet to the first mentioned spike; the point and
place of beginning  (the distance  between the last  mentioned  iron pin and the
last mentioned iron spike being 29.59 feet)

<PAGE>

                                    Exhibit F

                  (Form of Assignment and Assumption of Leases)

                       ASSIGNMENT AND ASSUMPTION OF LEASES
                       -----------------------------------

     THIS  ASSIGNMENT AND ASSUMPTION OF LEASES (this  "ASSIGNMENT"),  made as of
the ___ day of _______,  ____,  by and  between  WELLSFORD  CAPITAL  PROPERTIES,
L.L.C.,  having an office at 535 Madison Avenue,  26th Floor, New York, New York
10022 ("ASSIGNOR"),  and Windswept  Development,  LLC, having an office at 31000
Northwestern Highway,  Suite 220, Farmington Hills, Michigan 48334 ("ASSIGNEE"),
for and in consideration of the sum of Ten Dollars ($10.00), lawful money of the
United  States,  to it in hand paid, at or before  delivery of these presents by
Assignee with reference to the following:

                                 R E C I T A L S
                                 ---------------

     Pursuant to a  Sale-Purchase  Agreement  dated as of November __, 2000 (the
"PURCHASE  AGREEMENT"),  Assignor is conveying to Assignee certain real property
more  particularly  described  therein and commonly known as Bradford Plaza, 710
Downington Turnpike, West Chester, Pennsylvania.

     NOW THEREFORE,  in  consideration of the sum of Ten Dollars  ($10.00),  the
promises,  covenants and undertakings contained in the Agreement,  and for other
good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties agree as follows:

                            ASSIGNMENT AND ASSUMPTION
                            -------------------------

     Assignor hereby  transfers,  and otherwise  conveys unto Assignee,  without
recourse, representation or warranty of any kind (except as may be expressly set
forth in the Purchase Agreement,  and subject to the limitations on survival set
forth therein),  all of the rights, title and interest of Assignor,  as landlord
under the leases  (the  "Leases")  described  in  Schedule 1 annexed  hereto and
incorporated herein by this reference,  including without limitation, all rents,
issues and profits arising  therefrom and any security held under the Leases for
the performance of the tenants' obligations thereunder,  TO HAVE AND TO HOLD all
and singular subject as aforesaid, unto Assignee.

     From and after the date  hereof,  Assignee  assumes and agrees to discharge
and perform all duties, obligations and liabilities arising on or after the date
hereof to be  performed  by Assignor,  as  landlord,  under the Leases,  for the
duration of the respective terms thereof. Without limiting the generality of the
foregoing,  the obligations and liabilities  assumed by Assignee hereunder shall
include,  but shall not be limited  to, the  obligation  to  properly  apply any
advance rental,  security  deposit or other deposit under any of the Leases,  to
the extent  such  advance  rental,  security  deposit or other  deposit has been
delivered, assigned or credited by Assignor to Assignee concurrently herewith.

<PAGE>

     This  Assignment  shall be binding upon,  enforceable by and shall inure to
the benefit of the successors and assigns of the parties.

     This Assignment may be signed in multiple  counterparts  which,  when taken
together  and signed by all parties  and  delivered  to any other party  hereto,
shall constitute a binding Assignment between the parties.

     This  Assignment  shall be governed by and construed in accordance with the
laws of the Commonwealth of Pennsylvania.

     IN  WITNESS  WHEREOF,   Assignor  and  Assignee  have  duly  executed  this
instrument as of the date first set forth above.

                ASSIGNOR:

                WELLSFORD CAPITAL PROPERTIES, L.L.C.

                By: Wellsford Capital, a Maryland real estate investment trust

                By: _______________________________
                    Name:
                    Title:

                ASSIGNEE:

                WINDSWEPT DEVELOPMENT, LLC

                By: ___________________________
                Name:
                Title:

<PAGE>

                                   Schedule 1

                                [List of Leases]

<PAGE>

                                    Exhibit G

 (Form of Assignment and Assumption of Service Contracts, Licenses and Permits)

                          ASSIGNMENT AND ASSUMPTION OF
                          ----------------------------
                     SERVICE CONTRACTS, LICENSES AND PERMITS
                     ---------------------------------------

     THIS ASSIGNMENT AND ASSUMPTION OF SERVICE  CONTRACTS,  LICENSES AND PERMITS
(this  "ASSIGNMENT"),  made as of the ___ day of _______,  ____,  by and between
WELLSFORD CAPITAL  PROPERTIES,  L.L.C.,  having an office at 535 Madison Avenue,
26th Floor,  New York, New York 10022  ("ASSIGNOR"),and  Windswept  Development,
LLC,  having an office at 31000  Northwestern  Highway,  Suite  220,  Farmington
Hills,  Michigan 48334 ("ASSIGNEE"),  for and in consideration of the sum of Ten
Dollars  ($10.00),lawful  money of the United States,  to it in hand paid, at or
before delivery of these presents by Assignee with reference to the following:

                                 R E C I T A L S
                                 ---------------

     Pursuant  to a  Sale-Purchase  Agreement  dated as of  November  ___,  2000
between Assignor and Assignee (the "PURCHASE AGREEMENT"),  Assignor is conveying
to Assignee  certain  real  property  more  particularly  described  therein and
commonly  known  as  Bradford   Plaza,   710  Downington   Pike,  West  Chester,
Pennsylvania (THE  "PROPERTY").  Capitalized terms used herein and not otherwise
defined shall have the meanings ascribed thereto in the Purchase Agreement.

     NOW THEREFORE,  in  consideration of the sum of Ten Dollars  ($10.00),  the
foregoing promises, covenants and undertakings contained in this Assignment, and
other good and valuable consideration,  the receipt and sufficiency of which are
hereby acknowledged, the parties agree as follows:

                            ASSIGNMENT AND ASSUMPTION
                            -------------------------

     1. (aa Assignor hereby assigns to Assignee, without recourse representation
or  warranty  of any kind,  all of its right,  title and  interest in and to the
Service  Contracts  identified on Schedule 1 annexed hereto  (collectively,  the
"ASSIGNED SERVICE CONTRACTS") and the assignable Licenses and Permits.

     (ba Assignee hereby accepts the foregoing  assignment and agrees to assume,
keep, perform and fulfill all of the terms, conditions and obligations which are
required to be kept,  performed and fulfilled by Assignor in connection  with or
arising out of the Assigned  Service  Contracts and the assignable  Licenses and
Permits from and after the date hereof.

     (ca  Assignee  further  hereby  assumes the  obligations  of Assignor  with
respect to  post-termination  leasing  commissions  payable in  accordance  with
Exhibit B, Section 9 of the Leasing Agency Agreement.

<PAGE>

     2. This Assignment shall be binding upon, enforceable by and shall inure to
the benefit of the parties hereto and their respective successors and assigns.

     3. This Assignment may be signed in multiple counterparts which, when taken
together  and signed by all parties  and  delivered  to any other party  hereto,
shall constitute a binding Assignment between the parties.

     4. This  Assignment  shall be governed by and construed in accordance  with
the laws of the Commonwealth of Pennsylvania.

     IN  WITNESS  WHEREOF,   Assignor  and  Assignee  have  duly  executed  this
instrument as of the date first set forth above.

           ASSIGNOR:

           WELLSFORD CAPITAL PROPERTIES, L.L.C.

           By: Wellsford Capital, a Maryland real estate investment trust

           By:____________________________
               Name:
               Title:

           ASSIGNEE:

           WINDSWEPT DEVELOPMENT, LLC

           By: ___________________________
           Name:
           Title:

<PAGE>

                                    Exhibit H
                                   (Rent Roll)

<PAGE>

                                    Exhibit I
                        (Schedule of Accounts Receivable)

<PAGE>

                                    Exhibit J
                              (Insurance Coverages)

<PAGE>

                                    Exhibit K
                             (Permitted Exceptions)

1.   The  Leases  and the  rights  of  tenants  thereunder,  including,  without
     limitation, memoranda of the Leases.

2.   Zoning and building  regulations,  ordinances,  and requirements adopted by
     any governmental or municipal  authority having jurisdiction  thereof,  and
     amendments and additions  thereto now in force and effect,  which relate to
     the Premises.

3.   Any  agreements,   financing  statements,   chattel  mortgages,   liens  or
     encumbrances entered into by, or arising from, the acts of any tenant.

4.   Subject to adjustment  as herein  provided,  real estate taxes,  tax liens,
     water and sewer charges,  assessments  and vault charges,  and the liens of
     any of the foregoing.

5.   State of facts as  disclosed on that  certain  survey of the Premises  last
     redated November 17, 2000,  prepared by International  Land Services,  Inc.
     (the "SURVEY".)

6.   That portion of premises in the bed of Strasburg Road and Downingtown  West
     Chester Pike is subject to private and public rights therein.

7.   Rights granted to public utility companies as in Deed Book 93 page 503.

8.   Rights granted to public utility companies as in Deed Book 94 page 230.

9.   Rights granted to public utility companies as in Deed Book 87 page 267.

10.  Rights granted to public utility companies as in Deed Book 113 page 391.

11.  Rights granted to public utility companies as in Deed Book 563 page 418.

12.  Rights granted to public utility companies as in Deed Book 566 page 305.

13.  Rights granted to public utility companies as in Deed Book 629 page 206.

14.  Rights granted to public utility companies as in Record Book 2258 page 287.

15.  Rights of others in and to stream crossing premises.

16.  Part of premises included within Downingtown-West Chester Pike (Route #322)
     is subject to  easement of legal and  required  right of way lines of Route
     No. 137 as shown by the Pennsylvania Highway Department Plan approved March
     30, 1965 and recorded at West Chester,  Pennsylvania  in State Highway Plan
     Book 9 page 1.  (Sheets  30, 31 and 32 of 33 sheets)  and  recorded in Plan
     Book 10 page 4 as to sheets 30 and 31 and sheet 30 as shown in Plan Book 13
     page 8.

17.  Declaration of Easements,  Covenants & Restrictions  as in Record Book 1473
     page 171.

<PAGE>

18.  Agreement as in Record Book 1473 page 589.

19.  Agreement as in Record Book 1624 page 210.

20.  Memorandum of Lease as in Record Book 2015 page 357.

<PAGE>

                      WELLSFORD CAPITAL PROPERTIES, L.L.C.
                       c/o Wellsford Real Properties, Inc.
                               535 Madison Avenue
                            New York, New York 10022

                                                              December 22, 2000

Windswept Development, LLC
31000 Northwestern Highway, Suite 220
Farmington Hills, Michigan 48334
Attention: Adam Lutz

     Re:  Sale-Purchase Agreement made as of November 27, 2000 between Wellsford
          Capital Properties,  L.L.C., as seller, and Windswept Development, LLC
          for premises known as Bradford Plaza, West Chester, Pennsylvania

Gentlemen:

     Reference  is  made  to  the   captioned   sale-purchase   agreement   (the
"Agreement").  Capitalized  terms used herein shall have the  meanings  ascribed
thereto in the Agreement.

     This letter  agreement  shall  confirm the  agreement of the parties  that,
notwithstanding the terms of the Agreement,  the "Due Diligence Expiration Date"
under the  Agreement  shall be January  4, 2001.  This  letter  agreement  shall
further  confirm the  agreement of the parties  that Exhibit B to the  Agreement
shall  be  supplemented  by  adding  the  following  to the  description  of the
Brandywine Floral Design lease set forth therein.

     "as amended by Lease Renewal  Agreement dated as of January 1, 2000 between
     Wellsford Capital Properties, L.L.C. and Brandywine Floral Design, Inc."

     The Agreement, as modified by this letter agreement,  remains in full force
and effect.  This letter  agreement may be executed (i) in counterparts and (ii)
by facsimile.

<PAGE>

     Please execute this letter  agreement in the space indicated to acknowledge
your assent to the foregoing.

                          Yours truly,

                          WELLSFORD CAPITAL PROPERTIES, L.L.C.

                          By: Wellsford Capital, its Manager

                          By: _________________________

                              William H. Darrow
                              Vice President

Agreed:

WINDSWEPT DEVELOPMENT, LLC

By:___________________________
Adam Lutz
Managing Member

<PAGE>

                                 FIRST AMENDMENT
                           TO SALE-PURCHASE AGREEMENT

     THIS FIRST AMENDMENT TO SALE-PURCHASE AGREEMENT (this "AGREEMENT") dated as
of January 4, 2001 between  WELLSFORD  CAPITAL  PROPERTIES,  L.L.C.,  a Delaware
limited liability company having an address c/o Wellsford Real Properties, Inc.,
535  Madison  Avenue,  26th  Floor,  New York,  New York 10022  ("SELLER"),  and
WINDSWEPT  DEVELOPMENT,  LLC, a Michigan  limited  liability  company  having an
address at 31000 Northwestern  Highway,  Suite 220,  Farmington Hills,  Michigan
48334 ("PURCHASER").

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

     WHEREAS,  Seller and Purchaser entered into a Sale-Purchase Agreement dated
as of November 27, 2001, as modified by letter agreement dated December 22, 2000
(the  "PURCHASE  AGREEMENT"),  with respect to premises  known as Bradford Plaza
Shopping Center and more particularly described therein; and

     WHEREAS,  Seller and Purchaser wish to modify the Purchase Agreement in the
manner hereinafter set forth.

     NOW,  THEREFORE,  in  consideration  of the  foregoing  and other  good and
valuable  consideration,   the  receipt  and  sufficiency  of  which  is  hereby
acknowledged, Seller and Purchaser hereby agree as follows:

          A.  Defined  Terms.  Capitalized  terms used herein and not  otherwise
     defined shall have the meanings ascribed thereto in the Purchase Agreement.

          B. Closing Date. The Purchase Agreement is hereby modified so that the
     Closing  Date  thereunder  shall be January 24, 2001.  Notwithstanding  the
     foregoing,  Purchaser shall have the one-time right,  upon notice to Seller
     on  or  before  5:00  P.M.  (New  York  time)  on  January  22,  2001  (the
     "ADJOURNMENT  NOTICE"),  to adjourn  the  Closing  to a Business  Day on or
     before  February  5, 2001 (the  "OUTSIDE  CLOSING  DATE"),  provided  that,
     simultaneously with Purchaser's delivery of the Adjournment Notice to

Seller,  Purchaser  increases  the Deposit to $200,000 by posting an  additional
$100,000 into escrow with Second Escrowee,  such amount to be held and disbursed
by Second Escrowee together with the remainder of the Deposit in accordance with
the terms of the Purchase  Agreement.  TIME SHALL BE OF THE ESSENCE with respect
to Purchaser's obligation to proceed to Closing by the Outside Closing Date.

<PAGE>

          C. Waiver of Due Diligence Contingency. Purchaser acknowledges that it
     has waived the due diligence  contingency  conferred upon it by Section 4.1
     of the Purchase  Agreement and further covenants to cause First Escrowee to
     transfer  the Deposit to Second  Escrowee by wire  transfer of  immediately
     available funds on or before 5:00 P.M. (New York time) on January 5, 2001.

          D. Miscellaneous.

               (1) The Purchase Agreement,  as amended by this Agreement,  shall
          continue  in full  force  and  effect  and is hereby  ratified  in all
          respects.

               (2) This  Agreement  shall bind, and inure to the benefit of, the
          parties hereto and their respective successors and assigns.

               (3) This Agreement shall not be modified  orally,  but only by an
          agreement in writing executed by Seller and Purchaser.

               (4)  This  Agreement  shall  be  governed  by  and  construed  in
          accordance with the laws of the Commonwealth of Pennsylvania,  without
          giving effect to the conflict of law principles thereof.

               (5) This Agreement may be executed in counterparts, each of which
          shall  constitute an original and all of which,  when taken  together,
          shall constitute but one and the same agreement.

               (6) This Agreement may be executed and delivered by facsimile.

<PAGE>

     IN WITNESS  WHEREOF,  Seller and Purchaser have entered into this Agreement
as of the date and year first above written.

                                    SELLER:

                                    WELLSFORD CAPITAL PROPERTIES, L.L.C.

                                    By: Wellsford Capital, its Manager

                                       By:
                                            William H. Darrow
                                            Vice President

                                    PURCHASER:

                                    WINDSWEPT DEVELOPMENT, LLC

                                       By:
                                            Adam Lutz
                                            Managing Member

<PAGE>

                      WELLSFORD CAPITAL PROPERTIES, L.L.C.
                       c/o Wellsford Real Properties, Inc.
                         535 Madison Avenue, 26th Floor
                            New York, New York 10022

                                                                 January 4, 2000

Windswept Development, LLC
31000 Northwestern Highway, Suite 220
Farmington Hills, Michigan 48334
Attention: Adam Lutz

     Re:  Sale-Purchase   Agreement  dated  as  of  November  27,  2000  between
          Wellsford Capital Properties,  L.L.C. and Windswept Development,  LLC,
          as amended by letter  agreement  dated  December 22, 2000,  as further
          amended by First Amendment to Sale-Purchase Agreement dated as of this
          date,  with  respect to  premises  known as  Bradford  Plaza  Shopping
          Center, West Chester, Pennsylvania

Gentlemen:

     Reference  is  made  to  the   captioned   sale-purchase   agreement   (the
"Agreement"). Capitalized terms used herein and not otherwise defined shall have
the meanings ascribed thereto in the Agreement.

     This letter will memorialize  Seller's agreement to reimburse  Purchaser at
Closing in an amount equal to $109,200 for  brokerage  and other fees payable by
Purchaser in connection with the transactions contemplated by the Agreement.

                       Yours truly,

                       WELLSFORD CAPITAL PROPERTIES, L.L.C.

                       By: Wellsford Capital, its Manager

                            By: _________________________
                                William H. Darrow
                                Vice President

<PAGE><PAGE>

                                                                   EXHIBIT 10.31
                                                                   -------------

                                LEASE AGREEMENT

                           (Multi-Tenant Industrial)

INDEX
-----

<TABLE>
<CAPTION>
(S)      Section                                                                                        Page
------------------------------------------------------------------------------------------------------------
<S>                                                                                                     <C>
1.       Summary of Terms and Certain Definitions. ...................................................   1

2.       Premises.....................................................................................   2

3.       Construction of the Base Building; Certification of Square Footage...........................   2

4.       Use; Compliance..............................................................................   3

5.       Term ........................................................................................   5

6.       Minimum Annual Rent..........................................................................   5

7.       Operation of Property; Payment of Expenses...................................................   6

8.       Signs ......................................................................................   12

9.       Alterations and Fixtures ...................................................................   12

10.      Mechanics' Liens ...........................................................................   13

11.      Landlord's Right of Entry ..................................................................   13

12.      Damage by Fire or Other Casualty ...........................................................   13

13.      Condemnation ................................................................................  14

14.      Non-Abatement of Rent .......................................................................  15

15.      Indemnification .............................................................................  15

16.      Waiver of Claims ............................................................................  16

17.      Quiet Enjoyment .............................................................................  16

18.      Assignment and Subletting ...................................................................  16

19.      Subordination; Mortgagee's Rights ...........................................................  17
</TABLE>

                                       i
<PAGE>

<TABLE>
<S>                                                                                                     <C>
20.      Recording; Estoppel Certificates ............................................................  18

21.      Surrender; Abandoned Property. ..............................................................  19

22.      Curing Tenant's Defaults ....................................................................  19

23.      Defaults - Remedies..........................................................................  20

24.      Representations of Tenant ...................................................................  22

25.      Liability of Landlord .......................................................................  22

26.      Interpretation; Definitions .................................................................  23

27.      Notices .....................................................................................  24

28.      Tenant Improvements; Tenant Improvement Allowance; Commencement .............................  24

29.      Parking......................................................................................  28

30.      Telecommunications...........................................................................  28

31.      Landlord's Environmental Representations.....................................................  28

32.      Extension Option.............................................................................  29

33.      Right of First Offer: Building...............................................................  30

34.      Right of First Offer: Project................................................................  31

35.      Closing Contingency..........................................................................  31

36.      Site Development.............................................................................  32

37.      Tenant Contingencies.........................................................................  33

38.      Broker's Commission..........................................................................  33

39.      Satellite Dish...............................................................................  34

40.      Backup-Generator.............................................................................  35
</TABLE>

                                      ii
<PAGE>

     THIS LEASE AGREEMENT is made by and between LIBERTY PROPERTY LIMITED
PARTNERSHIP, a Pennsylvania limited partnership ("LANDLORD") with its address at
10400 Viking Drive, Suite 130, Eden Prairie, Minnesota 55344, and MGI PHARMA,
INC., a corporation organized under the laws of Minnesota ("TENANT") with its
address at 6300 West Old Shakopee Road, Suite 110, Bloomington, Minnesota 55438
and is dated as of the date on which this lease has been fully executed by
Landlord and Tenant.

1.   Summary of Terms and Certain Definitions.

     (a)  "PREMISES":       Approximate rentable square feet:  75,000
          (Section 2)       Suite 100

     (b)  "BUILDING":       Approximate rentable square feet:  103,050
          ((S)2)            Address:    5775 Old Shakopee Road
                                        Bloomington, Minnesota 55438

     (c)  "TERM"            Eighty-four (84) months plus any partial month from
          ((S)5)            the Commencement Date until the first day of the
                            first full calendar month during the Term

          (i)   "COMMENCEMENT DATE":  See Section 28(f)

          (ii)  "EXPIRATION DATE":  See Section 5

     (d)  Minimum Rent ((S)6) & Operating Expenses ((S)7)

          (i)   "MINIMUM ANNUAL RENT": $937,500.00 (Nine Hundred Thirty-seven
                Thousand Five Hundred and 00/100 Dollars), payable in monthly
                installments of $78,125.00 (Seventy-eight Thousand One Hundred
                Twenty-five and 00/100 Dollars), based on $12.50 per rentable
                square foot for the first lease year, increased as follows:

   Lease Year             Annual          Monthly          PSF
   ----------             ------          -------          ---

       2                 957,000.00     $79,750.00       $12.76
       3                 977,250.00      81,437.50        13.03
       4                 997,500.00      83,125.00        13.30
       5               1,019,250.00      84,937.50        13.59
       6               1,040,250.00      86,687.50        13.87
       7               1,062,750.00      88,562.50        14.17

          (ii)  Estimated "ANNUAL OPERATING EXPENSES": $149,250.00 (One Hundred
                Forty-nine Thousand Two Hundred Fifty and 00/100 Dollars), based
                on estimated annual Operating Expenses of $1.99 per rentable
                square foot for calendar year 2001, subject to adjustment
                ((S)7(a))

                                       1
<PAGE>

     (e)  "PROPORTIONATE SHARE" ((S)7(a)): 72.78% (Ratio of approximate rentable
          square feet in the Premises to approximate rentable square feet in the
          Building)

     (f)  "USE" ((S)4): Any permitted use under applicable zoning and city
          approvals, subject to the provisions of Section 4

     (g)  "PROJECT": means the West Bloomington Technology Park, a business park
          consisting of one or more buildings that may be developed by Landlord
          in accordance with the Site Plan.

     (h)  "SITE PLAN": means the Site Plan attached to this lease as Exhibit
          "G".

     (i)  CONTENTS: This lease consists of the Index, pages 1 through 11
                    containing Sections 1 through 38 and the following, all of
                    which are attached hereto and made a part of this lease:
                    Exhibits:    "A" - Plan showing Premises
                                 "B" - Base Building Plans & Site Improvements
                                 "C" - Building Rules
                                 "D" - Commencement Certificate Form
                                 "E" - Exclusions from Operating Expenses
                                 "F" - Estoppel Certificate Form
                                 "G" - Site Plan
                                 "H" - Sign Criteria
                                 "I" - Tenant's Removable Equipment
                                 "J" - Tenant's Fit Plan

2.   Premises. Landlord hereby leases to Tenant and Tenant hereby leases from
Landlord the Premises as shown on attached Exhibit "A" consisting of
approximately 75,000 rentable square feet within the Building (the Building and
the lot on which it is located, the "PROPERTY") to be constructed by Landlord in
accordance with Section 3 below, together with the nonexclusive right with
Landlord and other occupants of the Building to use all areas and facilities
provided by Landlord for the use of all tenants in the Property including any
driveways, sidewalks and parking, loading and landscaped areas (the "COMMON
AREAS").

3.   Construction of the Base Building; Certification of Square Footage. The
base Building shell and the site improvements necessary to the use and occupancy
of the base Building, including parking areas, utilities, driveways and related
infrastructure serving the Building (the "Site Improvements") shall be completed
by Landlord substantially in accordance with the plans listed on attached
Exhibit "B". Exhibit "B" describes in detail the specific Site Improvements that
serve the Building and that must be substantially completed prior to the
Commencement Date. All construction shall be done in a good and workmanlike
manner and shall comply in all material respects with all applicable laws codes,
regulations, rules and requirements of the governmental authorities having
jurisdiction, as applied, enforced and interpreted as of the date the building
permit is issued, including, but not limited to, all requirements of Title III
of the ADA as applicable to commercial facilities. The target date for
substantial completion of the base Building shell is February 1, 2001. Landlord
shall use all

                                       2
<PAGE>

reasonable efforts to cause the base Building shell to be substantially
completed by February 1, 2001, but Landlord shall have no liability to Tenant
for any damages, losses, costs or expenses incurred by Tenant as a result of any
delay in the substantial completion thereof.

Prior to the Commencement Date, Landlord will cause Landlord's architect to
determine the actual rentable square footage of the Building and Premises as
constructed, and to deliver to Landlord and Tenant an appropriate certificate
certifying to the as-built rentable square footage and including the
computations on which the certification is based. Such certificate will be
conclusive unless objected to by Landlord or Tenant by written notice to the
other party given within 30 days after receipt of the certificate. If the
as-built rentable square footage of the Building and/or Premises is greater than
or less than the square footages stated in Sections 1(a) and (b), the Minimum
Annual Rent shall be adjusted, as appropriate, based on the Minimum Annual Rent
per rentable square foot set forth in Section 1(d)(i). In such event, Landlord
and Tenant shall enter into an amendment of this lease setting forth the
as-built rentable square footage of the Building and the Premises, the adjusted
schedule of Minimum Annual Rent, the adjusted Tenant's Proportionate Share and
any other appropriate adjustments. Rentable square footage shall be determined
by measuring from the center of any interior demising wall(s) and from the
inside surface of the glass, or outside surface, as the case may be, of the
permanent outer building walls.

4.   Use; Compliance.

     (a)  Permitted Use. Tenant may occupy and use the Premises for and only
for any lawful use permitted under applicable zoning and city approvals provided
that such use is compatible with and appropriate for the business park of which
the Building is a part, as reasonably determined by Landlord. Tenant will use
the Premises in such a manner as is lawful, reputable and will not create a
nuisance or otherwise unreasonably interfere with any other tenant's normal
operations or the management of the Building. All Common Areas shall be subject
to Landlord's exclusive control and management at all times. Tenant shall not
use or permit the use of any portion of the Property for outdoor storage or
installations outside of the Premises nor for any use that would interfere with
any other person's use of any portion of the Property outside of the Premises.

     The foregoing notwithstanding, Tenant shall not use the Premises for any
purpose or in any manner that could reasonably be expected to result in odors,
noise, fumes, or vibration that would disturb, in any material respect, any
tenant of space adjacent to the Premises, and Landlord shall not lease space
adjacent to the Premises to any tenant (i) whose use could reasonably be
expected to result in odors, noise, fumes or vibration that would disturb Tenant
in any material respect, or (ii) whose use of parking, when combined with other
tenants, could reasonably be expected to be more than 5 spaces per 1,000
rentable square feet.

     (b)  Compliance with Laws.

          (i)  Landlord's Obligations.  Except as expressly provided in
subsection (b)(ii) below, Landlord shall be responsible for maintaining the base
Building, including any exterior areas constructed by Landlord as part of
Landlord's initial work, in compliance with all

                                       3
<PAGE>

applicable laws, ordinances, notices, orders, rules, regulations and
requirements regulating the Property during the Term (as the same may be
amended, the "LAWS AND REQUIREMENTS"). The foregoing shall not be construed to
obligate Landlord to comply with changes in Laws and Requirements unless and
until the time compliance is required under the applicable Laws and
Requirements. Following the initial construction of the base Building, all
capital expenditures made by Landlord with respect to complying with Laws and
Requirements may be amortized over a stipulated useful life of fifteen years,
and, notwithstanding any provision in this lease to the contrary, such annual
amortization of such costs (including interest) may be included in Operating
Expenses.

          (ii)  Tenant's Obligations. Tenant shall use and occupy the Premises
and the Common Areas in compliance with all Laws and Requirements and the
building rules attached as Exhibit "C", as reasonably amended by Landlord from
time to time (the "BUILDING RULES").

     Moreover, Tenant shall bear the entire cost and expense of complying with
Laws and Requirements (i) relating to Tenant's unique or particular use or
occupancy of the Premises, (ii) relating to the Initial Tenant Improvements or
any alterations to the Premises made by or on behalf of Tenant, (iii) relating
to any property or equipment of Tenant placed or installed on the Premises, (iv)
triggered by any alterations to the Premises made by or on behalf of Tenant, or
(v) resulting from any act or omission of Tenant or any employees, agents,
contractors, licensees or invitees ("AGENTS") of Tenant.

          (iii) Accessibility Regulations.  The parties acknowledge that the
Americans With Disabilities Act of 1990 (42 U.S.C. (S) 1201 et seq.) and
regulations and guidelines promulgated thereunder, as all of the same may be
amended and supplemented from time to time (collectively referred to herein as
the "ADA") establish requirements under Title III of the ADA ("Title III")
pertaining to business operations, accessibility and barrier removal, and that
such requirements may be unclear and may or may not apply to the Premises and
the Building depending on, among other things: (1) whether Tenant's business
operations are deemed a "place of public accommodation" or a "commercial
facility," (2) whether compliance with such requirements is "readily achievable"
or "technically infeasible," and (3) whether a given alteration affects a
"primary function area" or triggers so-called "path of travel" requirements. The
parties acknowledge and agree that Tenant has been provided an opportunity to
review the plans and specifications for the construction of the base Building
and Site Improvements from the perspective of Tenant's intended use and
occupancy, that Tenant will prepare and review the plans and specifications for
the Initial Tenant Improvements for Tenant's use and occupancy, and that Tenant
has independently determined that such plans and specifications are in
conformance with ADA Accessibility Guidelines ("ADAAG") and any other
requirements of the ADA, except that, notwithstanding the foregoing, Landlord,
and not Tenant, shall be responsible for causing the base Building and Site
Improvements to be designed and constructed in compliance with Title III of the
ADA as applicable to commercial facilities. Tenant further acknowledges and
agrees that to the extent that Landlord prepared, reviewed or approved any of
those plans and specifications, such action shall in no event be deemed any
representation or warranty that the same comply with any requirements of the
ADA, except that Landlord warrants that the base Building and Site Improvements
will comply with the requirements of Title III of the ADA

                                       4
<PAGE>

applicable to commercial facilities as applied, enforced and interpreted as of
the date the building permit is issued. Notwithstanding anything to the contrary
in this lease, the parties hereby agree to allocate responsibility for Title III
compliance as follows: (a) Landlord shall be responsible to construct and
maintain the base Building and Site Improvements in compliance with Title III of
the ADA as applicable to commercial facilities, (b) Tenant shall be responsible
for all other Title III compliance and costs in connection with the Premises,
the Initial Tenant Improvements or any work performed or to be performed by or
on behalf of Tenant in the Premises under or in connection with this lease, and
(c) Landlord shall perform, and Tenant shall be responsible for the cost of, any
so-called Title III "path of travel" requirements triggered solely by any
construction activities or alterations in the Premises by or on behalf of Tenant
as referenced in clause (b) above. Except as set forth above with respect to
Landlord's Title III obligations, Tenant shall be solely responsible for all
other requirements under the ADA relating to the Tenant or any affiliates or
persons or entities related to the Tenant (collectively, "Affiliates"),
operations of the Tenant or Affiliates, or the Premises, including, without
limitation, requirements under Title I of the ADA pertaining to Tenant's
employees.

          (iv)  Environmental.  Tenant shall comply, at its sole expense, with
all Laws and Requirements as set forth above, all manufacturers' instructions
and all requirements of insurers relating to the treatment, production, storage,
handling, transfer, processing, transporting, use, disposal and release of
hazardous substances, hazardous mixtures, chemicals, pollutants, petroleum
products, toxic or radioactive matter (the "RESTRICTED ACTIVITIES") by Tenant or
Tenant's Agents. Tenant shall deliver to Landlord copies of all Material Safety
Data Sheets or other written information, if any, prepared by manufacturers,
importers or suppliers of any chemical and all notices, filings, permits and any
other written communications, if any, from or to Tenant and any entity
regulating any Restricted Activities.

          (v)   Notice.  If at any time during or after the Term, Landlord or
Tenant becomes aware of any inquiry, investigation or proceeding regarding the
Restricted Activities affecting or concerning the Property or activities
conducted thereon or becomes aware of any claims, actions or investigations
regarding the ADA affecting or concerning the Property, such party shall give
the other party written notice, within 5 days after first learning thereof,
providing all available information and copies of any notices.

5.   Term.  The Term of this lease shall commence on the Commencement Date (as
defined in Section 28(f) below) and shall end at 11:59 p.m. on the last day of
the Term (the "EXPIRATION DATE"), without the necessity for notice from either
party, unless sooner terminated in accordance with the terms hereof. At
Landlord's request, Tenant shall confirm the Commencement Date and Expiration
Date by executing a lease commencement certificate in the form attached as
Exhibit "D".

6.   Minimum Annual Rent.  Tenant agrees to pay to Landlord the Minimum Annual
Rent in equal monthly installments in the amount set forth in Section l(d) (as
increased at the beginning of each lease year as set forth in Section l(d)), in
advance, on the first day of each calendar month during the Term, without
notice, demand or setoff (except as expressly permitted under this lease), at
Landlord's address designated at the beginning of this lease unless Landlord
designates otherwise; provided that rent for the first full month shall be paid
at the signing of this

                                       5
<PAGE>

lease. At Landlord's request, Tenant shall pay monthly installments of Minimum
Annual Rent and estimated Annual Operating Expenses via electronic funds
transfer to an account designated by Landlord automatically from an account of
Tenant designated by Tenant. If the Commencement Date falls on a day other than
the first day of a calendar month, the rent shall be apportioned pro rata on a
per diem basis for the period from the Commencement Date until the first day of
the following calendar month and shall be paid on or before the Commencement
Date. As used in this lease, the term "lease year" means the period from the
Commencement Date through the succeeding 12 full calendar months (including for
the first lease year any partial month from the Commencement Date until the
first day of the first full calendar month) and each successive 12-month period
thereafter during the Term.

7.   Operation of Property; Payment of Expenses.

     (a)  Payment of Operating Expenses. Tenant shall pay to Landlord the
Annual Operating Expenses in equal monthly installments in the amount set forth
in Section l(d) (prorated for any partial month), from the Commencement Date and
continuing throughout the Term on the first day of each calendar month during
the Term, as additional rent, without notice, demand or setoff; provided that
the monthly installment for the first full month shall be paid at the signing of
this lease. "Operating Expenses" shall mean all costs, charges and expenses
incurred by Landlord in connection with ownership, operation, security,
maintenance, repair and replacement of the Property, the Common Areas (including
the costs of Common Area utility services) and other appurtenances to the
Property, including but not limited to the expenses to be reimbursed to Landlord
by Tenant pursuant to the following Sections 7(b)-(f). Operating Expenses shall
specifically include a management and administrative fee equal to four (4)
percent of gross rentals (i.e. Minimum Annual Rent plus annual Operating
Expenses) payable hereunder.

     To the extent that Operating Expenses include expenses provided under
contracts that include other properties or that are otherwise aggregated and
spread among the Property and other properties owned or managed by Landlord,
Landlord agrees that the allocation of such expenses to the Property shall be
done on a reasonable and uniform basis, appropriate to the level of services
provided to the Property; at Tenant's request, Landlord shall provide Tenant
with information explaining in reasonable detail the basis on which any such
costs are allocated to the Property.

     If the Building is or becomes part of a campus of buildings owned by
Landlord in the same vicinity, Landlord, may, at Landlord's option, treat the
entire campus, or any portion thereof, as a single unified project for purposes
of determining and allocating Operating Expenses. In such event, Operating
Expenses shall include the aggregate of all expenses properly includable in
Operating Expenses under this lease for all buildings and their attendant common
areas included in the unified project, and Tenant's Proportionate Share shall be
equal to a fraction, the numerator of which shall be the rentable square footage
of the Premises, and the denominator of which shall be the rentable square
footage of all buildings included in the unified project. Without limiting the
foregoing, Landlord agrees that so long as Landlord owns the entire Project, the
entire Project shall be treated as a single unified project for the purpose of
determining and allocating Operating Expenses.

                                       6
<PAGE>

     The amount of the Annual Operating Expenses set forth in Section 1(d)
represents Tenant's Proportionate Share of the estimated Operating Expenses
during the first calendar year of the Term on an annualized basis; from time to
time Landlord may adjust such estimated amount if the estimated Operating
Expenses increase. By April 30th of each year (and as soon as practical after
the expiration or termination of this lease or at any time in the event of a
sale of the Property), Landlord shall provide Tenant with a statement of the
actual amount of such expenses for the preceding calendar year or part thereof.
Landlord or Tenant shall pay to the other the amount of any deficiency or
overpayment then due from one to the other or, at Landlord's option during the
term of the lease, Landlord may credit Tenant's account for any overpayment.
Tenant's obligation to pay the Annual Operating Expenses pursuant to this
Section 7 shall survive the expiration or termination of this lease.

     Any provision in this Section 7 to the contrary notwithstanding, the items
listed on attached Exhibit "E" shall not be included in Operating Expenses.

     Tenant shall be entitled at any reasonable time during regular business
hours, but no more than once in each calendar year, after giving to Landlord at
least five (5) business days prior written notice, to inspect in Landlord's
local business office all Landlord's records necessary to satisfy itself that
all charges have been correctly allocated to Tenant, for any or all of the three
(3) c alendar years immediately preceding the year during which such notice is
given, and to obtain an audit thereof by an independent certified public
accountant (selected by Tenant with Landlord's written consent, which shall not
be withheld unreasonably) to determine the accuracy of Landlord's certification
of the amount of additional rent charged Tenant, provided, however, that Tenant
shall make all payments of additional rent without delay, and that Tenant's
obligation to pay such additional rent shall not be contingent on any such
right. If it is determined that Tenant's liability for additional rent for
either such calendar year is less than ninety-seven percent (97%) of that amount
which Landlord previously certified to Tenant for such calendar year, Landlord
shall pay to Tenant the cost of such audit (provided, however, that Landlord
shall not be required to pay the cost of any audit based on a contingency fee or
percentage of the amount recovered for Tenant) and regardless of such percentage
Landlord shall refund promptly to Tenant the amount of the additional rent paid
by Tenant for such calendar year which exceeds the amount for which Tenant
actually is liable, as determined following such audit. If it is determined that
Tenant's liability for additional rent for either such calendar year is more
than the amount which Landlord previously certified to Tenant for such calendar
year, Tenant shall promptly pay to Landlord (net of the cost to Tenant of the
audit) the amount of the additional rent underpaid by Tenant, as determined
following such audit. Except as provided above, Tenant shall bear the total cost
of any inspection or audit performed by or for Tenant. Tenant shall keep, and
shall cause Tenant's auditor to keep, the results of such audit or inspection
confidential.

     (b)  Taxes and Other Impositions.  Tenant shall pay prior to delinquency
all taxes (including sales and gross receipt taxes, if any, based on rentals),
assessments, license and permit fees, which are applicable to the Term, and
which are imposed by any authority or under any law, ordinance or regulation
thereof, and the reasonable cost of contesting any of the foregoing (the
"IMPOSITIONS") upon or with respect to the Premises, or any improvements
thereto, or

                                       7
<PAGE>

directly upon this lease or the Rent (defined in Section 7(f)) or amounts
payable by any subtenants or other occupants of the Premises, or against
Landlord because of Landlord's estate or interest herein. Additionally, Tenant
shall pay as aforesaid its Proportionate Share of any Imposition which is not
imposed upon the Premises as a separate entity but which is imposed upon all or
part of the Property or upon the leases or rents relating to the Property.
Notwithstanding any provision to the contrary in this lease, Tenant's obligation
to pay for any installments of special assessments relating to the acquisition,
original construction or development (including any special assessments or
similar taxes levied as a condition of municipal approvals) of the Building,
Site Improvements or Project (the "Development Special Assessments") shall not
exceed fifteen cents ($.15) per rentable square foot of the Premises per year.
If Landlord enters into a lease with any other tenant in the Project that does
not impose on such tenant a comparable obligation to pay such tenant's
proportionate share of the Development Special Assessments, then Landlord must
notify Tenant thereof and shall reduce Tenant's obligation with respect thereto
so that the obligation of Tenant with respect to Development Special Assessments
(on a rentable square foot per year basis) is no greater than the obligation of
such other tenant.

     During any full calendar year that Tenant is leasing 100% of the rentable
area of the Building, Tenant may elect by written notice to Landlord to pay its
Proportionate Share of real estate taxes and installments of special assessments
payable therewith on a semi-annual rather than monthly basis. In such event,
Tenant shall pay its Proportionate Share of real estate taxes and installments
of special assessments to Landlord on or before the later of: (1) 15 days after
Landlord furnishes Tenant a copy of the tax statement received from the taxing
authority, or (2) 20 calendar days prior to the due date of the semi-annual
installments of such real estate taxes and special assessments.

     Provided Tenant is then leasing at least 50% of the rentable area of the
Building, Tenant shall have the independent right to contest, at its sole cost
and expense, the valuation of, and real estate taxes assessed against, the
Building for any period falling within the lease Term. Tenant shall provide
Landlord notice of any such contest and copy Landlord on all filings, settlement
offers and counter-offers, correspondence and other documents relating to such
contest. If Tenant is leasing less than 50% of the Building, Tenant shall not
initiate any proceeding to contest or dispute the amount of any real estate
taxes or the assessed value of the Property. However, at the written request of
Tenant, Landlord shall, unless Landlord has reasonable grounds for refusing,
bring proceedings to contest the validity or amount of any real estate taxes or
valuation. Tenant shall cooperate with Landlord with respect to such proceedings
to the extent reasonably necessary and shall pay Landlord Tenant's Proportionate
Share of all reasonable costs, fees and expenses incurred in connection with
such proceedings as additional rent promptly upon being billed.

     Landlord shall refund or credit to Tenant Tenant's Proportionate Share of
any rebate received by Landlord with respect to any real estate taxes payable
during the lease Term, regardless of whether the rebate is actually received by
Landlord during the Term or after the expiration of the Term.

                                       8
<PAGE>

     Nothing herein contained shall be interpreted as requiring Tenant to pay
any income, excess profits or corporate capital stock tax imposed or assessed
upon Landlord, unless such tax or any similar tax is levied or assessed in lieu
of all or any part of any Imposition or an increase in any Imposition. Nothing
herein contained shall be interpreted as requiring Tenant to pay any state deed
tax upon the transfer of the Property by Landlord.

     If it shall not be lawful for Tenant to reimburse Landlord for any of the
Impositions, the Minimum Annual Rent shall be increased by the amount of the
portion of such Imposition allocable to Tenant, unless prohibited by law.

     (c)  Insurance.

          (i)   Landlord's Insurance.  Landlord shall keep in effect, and Tenant
shall pay to Landlord its Proportionate Share of the cost of, (i) insurance
against loss or damage to the Building or the Property by fire and such other
casualties as may be included within fire, extended coverage and special form
insurance covering the full replacement cost of the Building (but excluding
coverage of the Initial Tenant Improvements or of Tenant's personal property in,
and any alterations by Tenant to, the Premises), (ii) commercial general
liability insurance with limits not less than the limits required of Tenant
under subsection (ii) below, and (iii) such other insurance as Landlord may
reasonably deem appropriate or as may be required from time-to-time by any
mortgagee.

          (ii)  Liability.  Tenant, at its own expense, shall keep in effect
comprehensive general public liability insurance with respect to the Premises
and the Property, including contractual liability insurance, with such limits of
liability for bodily injury (including death) and property damage as reasonably
may be required by Landlord from time-to-time, but not less than a combined
single limit of $1,000,000 per occurrence and a general aggregate limit of not
less than $3,000,000 (which aggregate limit shall apply separately to each of
Tenant's locations if more than the Premises); however, such limits shall not
limit the liability of Tenant hereunder. The policy of comprehensive general
public liability insurance also shall name Landlord and Landlord's agent as
insured parties with respect to the Premises, shall be written on an
"occurrence" basis and not on a "claims made" basis (provided, however, that
Tenant may maintain "claims made" liability coverage provided such coverage
contains an extended reporting period of 5 years following the cancellation or
nonrenewal of the insurance policy by either Tenant or the insurer), shall
provide that it is primary with respect to any policies carried by Landlord and
that any coverage carried by Landlord shall be excess insurance, shall provide
that it shall not be cancelable or reduced without at least 30 days prior
written notice to Landlord and shall be issued in form satisfactory to Landlord.
The insurer shall be a responsible insurance carrier which is authorized to
issue such insurance and licensed to do business in the state in which the
Property is located and which has at all times during the Term a rating of no
less than A VII in the most current edition of Best's Insurance Reports. Tenant
shall deliver to Landlord on or before the Commencement Date, and subsequently
renewals of, a certificate of insurance evidencing such coverage and the waiver
of subrogation described below.

          (iii) Waiver of Subrogation.  Landlord and Tenant shall have included
in their respective property insurance policies waivers of their respective
insurers' right of subrogation

                                       9
<PAGE>

against the other party. If such a waiver should be unobtainable or
unenforceable, then such policies of insurance shall state expressly that such
policies shall not be invalidated if, before a casualty, the insured waives the
right of recovery against any party responsible for a casualty covered by the
policy.

          (iv)  Increase of Premiums.  Tenant agrees not to do anything or fail
to do anything which will increase the cost of Landlord's insurance or which
will prevent Landlord from procuring policies (including public liability) from
companies and in a form satisfactory to Landlord. If any breach of the preceding
sentence by Tenant causes the rate of fire or other insurance to be increased,
Tenant shall pay the amount of such increase as additional rent promptly upon
being billed. Landlord acknowledges that under Landlord's present insurance
coverage, the fact that Tenant may use part of the Premises for a wet lab and
dry lab for the formulation and development of pharmaceutical products, will
not, in itself, result in any increase in the cost of Landlord's insurance.

     (d)  Repairs and Maintenance; Common Areas; Building Management. Except
as specifically otherwise provided in this Section (d), Tenant at its sole
expense shall maintain the Premises in good order and condition, promptly make
all repairs necessary to maintain such condition, and repair any damage to the
Premises caused by Tenant or its Agents. All repairs made by Tenant shall
utilize materials and equipment which are comparable to those originally used in
constructing the Building and Premises. When used in this Section (d), the term
"repairs" shall include replacements and renewals when necessary.

          (i)   Landlord, at its sole expense, shall make all necessary repairs
to the footings, foundations, structural steel columns and girders forming a
part of the Premises.

          (ii)  Landlord shall maintain and repair the HVAC systems appurtenant
to the Premises, the cost of which shall be included in Operating Expenses.

          (iii) Landlord shall make all necessary repairs to the roof, exterior
portions of the Premises and the Building, and, to the extent not exclusively
serving Tenant, to utility and communications lines, equipment, systems
(including, but not limited to, electrical, mechanical, plumbing, security, fire
suppression [except that Tenant shall maintain any specialized fire suppression
systems serving tenant spaces, such as Tenant's laboratory space, having fire
suppression requirements in excess of normal office space] and life safety
systems) and facilities in the Building, and to the Common Areas, the cost of
which shall, subject to the exclusions set forth in Exhibit "E", be an Operating
Expense of which Tenant shall pay its Proportionate Share. Landlord shall
operate and manage the Property and shall maintain all Common Areas and any
paved areas appurtenant to the Property in a clean and orderly condition.
Landlord reserves the right to make alterations to the Common Areas from time to
time, provided, however, that Landlord shall not, without Tenant's prior written
consent, make any alterations to the Common Areas that would materially and
adversely affect access to the Premises, that would reduce the parking available
to the Premises below the thresholds required under Section 29 of this lease,
that would materially change the proximity of such parking to the Premises, or
that would materially and adversely impact the visibility of the Premises.
Moreover, Landlord shall not

                                      10
<PAGE>

convert any leasable space into Common Area without Tenant's consent if such
conversion would result in an increase in Operating Expenses payable by Tenant.

                  (iv) Notwithstanding anything herein to the contrary, repairs
and replacements to the Property including the Premises made necessary by
Tenant's use, occupancy or alteration of, or Tenant's installation in or upon
the Property or by any act or omission of Tenant or its Agents shall be made at
the sole expense of Tenant to the extent not covered by any applicable insurance
maintained or required to be maintained by Landlord under this Lease. Tenant
shall not bear the expense of any repairs or replacements to the Property
arising out of or caused by any other tenant's use, occupancy or alteration of,
or any other tenant's installation in or upon, the Property or by any act or
omission of any other tenant or any other tenant's Agents.

                  (v)  Both Landlord and Tenant shall, with respect to their
respective maintenance and repair obligations, observe standards that are
consistent with those prevailing among comparable first class suburban single
story flex buildings in the southwest Minneapolis suburban area.

                  (vi) If Tenant becomes aware of any condition that is
Landlord's responsibility to repair, Tenant shall promptly notify Landlord of
the condition.

         (e) Utility Charges. Tenant shall pay for water, sewer, gas,
electricity, heat, power, telephone and other communication services and any
other utilities supplied to or consumed in or on the Premises. Landlord and
Tenant expect that all utilities provided to the Premises, except for water and
sanitary sewer, will be separately metered to Tenant, said metering to be
installed by Tenant as part of the Initial Tenant Improvements. If Tenant's use
of water in the Premises is proportionally greater than Tenant's proportionate
share of space in the Project, Landlord may install a separate sub-meter at
Tenant's expense and bill Tenant for Tenant's actual water and sewer usage.
Tenant shall promptly pay all utility bills for separately metered services
without delinquency. Landlord shall not be responsible or liable for any
interruption in utility service, nor shall such interruption affect the
continuation or validity of this lease, provided, however, that if any
interruption in utility service is the result of Landlord's negligence or
willful misconduct, and such interruption renders the Premises untenantable for
more than 24 hours, then all Rent hereunder shall abate from the date of such
interruption until such utility service is restored.

         (f) Net lease. Except for the obligations of Landlord expressly set
forth herein, this lease is a "triple net lease" and Landlord shall receive the
Minimum Annual Rent as net income from the Premises, not diminished by any
expenses other than payments under any mortgages, and Landlord is not and shall
not be required to render any services of any kind to Tenant. The term "RENT" as
used in this lease means the Minimum Annual Rent, Annual Operating Expenses and
any other additional rent or sums payable by Tenant to Landlord pursuant to this
lease, all of which shall be deemed rent for purposes of Landlord's rights and
remedies with respect thereto. Tenant shall pay all Rent to Landlord within 30
days after Tenant is billed, unless otherwise provided in this lease, and
interest shall accrue on all sums due but unpaid.

                                      11
<PAGE>

8.   Signs. Tenant shall have the right to procure, install and maintain, at
Tenant's sole cost and expense, up to three (3) building-mounted identification
signs on the exterior of the Building. Moreover, Tenant shall be entitled to the
top position on the Project monument sign to be installed by Landlord at the
110/th/ Street entrance to the Project (any Tenant signage placed on the sign
monument to be provided at Tenant's expense). The design, size and location of
all Tenant signage shall be consistent with Landlord's sign criteria (as set
forth on Exhibit "H") and otherwise subject to Landlord's approval, which
approval shall not be unreasonably withheld. Tenant shall cause all Tenant
signage to comply with all Laws and Requirements applicable thereto. Except as
permitted above, and except for signs which are located wholly within the
interior of the Premises and not visible from the exterior of the Premises, no
signs shall be placed on the Property without the prior written consent of
Landlord. All Tenant signage shall be maintained by Tenant in good condition.
Upon the expiration or termination of this lease, Tenant shall remove all Tenant
signage and shall restore the Premises and Building to the condition that
existed prior to the installation of Tenant's signage. In the event Tenant
expands in the Project, Tenant shall be entitled to signage consistent with that
granted to other tenant's of the Project and commensurate with the size of
Tenant's expansion premises.

9.   Alterations and Fixtures.

     (a)  Subject to Section 10, Tenant shall have the right to install its
trade fixtures, furniture and equipment in the Premises, provided that no such
installation or removal thereof shall affect any structural portion of the
Property nor any utility lines, communications lines, systems, equipment or
facilities in the Building serving any tenant other than Tenant. At the
expiration or termination of this lease and at the option of Landlord or Tenant,
Tenant shall remove such installation(s) and, in the event of such removal,
Tenant shall repair any damage caused by such installation or removal; if
Tenant, with Landlord's written consent, elects not to remove such
installation(s) at the expiration or termination of this lease, all such
installations shall remain on the Property and become the property of Landlord
without payment by Landlord.

     (b)  Tenant may, without the need for Landlord's prior consent, make non-
structural alterations in the Premises to the extent that such alterations (i)
do not affect any utility lines, communication lines or Building mechanical,
electrical, HVAC, plumbing, security, life safety or other systems, (ii) do not
exceed a cost of $100,000 in the aggregate, and (iii) do not affect the exterior
appearance of the Building. Tenant shall not make or permit to be made any other
alterations to the Premises without Landlord's prior written consent, which
consent shall not be unreasonably withheld. Tenant shall pay the reasonable
costs of any required architectural/engineering reviews. In making any
alterations, (i) Tenant shall deliver to Landlord the plans, specifications and
necessary permits, together with certificates evidencing that Tenant's
contractors and subcontractors have adequate insurance coverage naming Landlord
and Landlord's agent as additional insureds, at least 10 days prior to
commencement thereof, (ii) Tenant shall comply with Section 10 and (iii) the
occupants of the Building and of any adjoining property shall not be disturbed
thereby. All alterations to the Premises by Tenant shall be the property of
Tenant until the expiration or termination of this lease. If Tenant elects to
remove any Tenant alteration, Tenant shall repair any damage and restore the
Premises to the condition existing prior to the alteration. All Tenant
alterations not removed by Tenant prior to the expiration or termination of this
lease shall be surrendered with the Premises and become the
                                      12
<PAGE>

property of Landlord without payment by Landlord. The foregoing notwithstanding,
(i) except for those items listed on attached Exhibit "I", Tenant shall not
remove, and shall not be required to remove, the Initial Tenant Improvements,
and (ii) Landlord reserves the right, as a condition of Landlord's consent to a
proposed alteration, to require Tenant to remove such alteration upon the
expiration or termination of this lease and restore the Premises to the
condition existing prior to such alteration, provided that if Landlord is going
to require Tenant to remove such alteration and restore the Premises, Landlord
must so inform Tenant at the time Landlord gives its consent.

10.  Mechanics' Liens. Tenant shall pay promptly any contractors and materialmen
who supply labor, work or materials to Tenant at the Property and shall take all
steps permitted by law in order to avoid the imposition of any mechanic's lien
upon all or any portion of the Property. Should any such lien or notice of lien
be filed for work performed for Tenant other than by Landlord, Tenant shall bond
against or discharge the same within 30 days after Tenant has notice that the
lien or claim is filed regardless of the validity of such lien or claim. Nothing
in this lease is intended to authorize Tenant to do or cause any work to be done
or materials to be supplied for the account of Landlord, all of the same to be
solely for Tenant's account and at Tenant's risk and expense. Throughout this
lease the term "mechanic's lien" is used to include any lien, encumbrance or
charge levied or imposed upon all or any portion of, interest in or income from
the Property on account of any mechanic's, laborer's, materialman's or
construction lien or arising out of any debt or liability to or any claim of any
contractor, mechanic, supplier, materialman or laborer and shall include any
mechanic's notice of intention to file a lien given to Landlord or Tenant, any
stop order given to Landlord or Tenant, any notice of refusal to pay naming
Landlord or Tenant and any injunctive or equitable action brought by any person
claiming to be entitled to any mechanic's lien.

11.  Landlord's Right of Entry. Tenant shall permit Landlord and its Agents to
enter the Premises at all reasonable times following not less than 24 hours
notice (except in the event of an emergency), for the purpose of inspection,
maintenance or making repairs, alterations or additions as well as to exhibit
the Premises for the purpose of sale or mortgage and, during the last 9 months
of the Term, to exhibit the Premises to any prospective tenant. The requisite
notice prior to entry contemplated above may be given by telephone or other
informal means. Except in the event of an emergency, Tenant shall have the right
to have an employee or representative of Tenant accompany Landlord and its
Agents to the extent necessary and appropriate to protect and limit access to
trade secrets or other confidential information of Tenant and Tenant's
customers. Landlord will make reasonable efforts to minimize interference with
Tenant in exercising the foregoing rights.

12.  Damage by Fire or Other Casualty.

     (a)  If the Premises or Building shall be damaged or destroyed by fire
or other casualty, Tenant promptly shall notify Landlord and Landlord, subject
to the conditions set forth in this Section 12, shall repair such damage and
restore the Premises to substantially the same condition in which they were
immediately prior to such damage or destruction, but not including the repair,
restoration or replacement of the Initial Tenant Improvements or of other
fixtures or alterations installed by Tenant. Landlord shall notify Tenant in
writing, within 30 days after the date of the casualty, if Landlord anticipates
that the restoration will take more than 180 days

                                      13
<PAGE>

from the date of the casualty to complete; in such event, either Landlord or
Tenant may terminate this lease effective as of the date of casualty by giving
written notice to the other within 10 days after Landlord's notice. Moreover, if
Landlord does not give Tenant notice that Landlord anticipates that the
restoration will take more than 180 days from the date of the casualty to
complete, but the actual restoration nevertheless exceeds 180 days, then Tenant
may give Landlord written notice of Tenant's intent to terminate this lease; if
Landlord fails to substantially complete Landlord's repair and restoration
obligations within 30 days following Tenant's notice, Tenant may, by further
written notice given before substantial completion of Landlord's repair and
restoration, terminate this lease. Further, if a casualty occurs during the last
12 months of the Term or any extension thereof, Landlord or Tenant may cancel
this lease unless Tenant has the right to extend the Term for at least 3 more
years and does so within 30 days after the date of the casualty.

     (b)  Landlord shall maintain a 12-month rental coverage endorsement or
other comparable form of coverage as part of its fire, extended coverage and
special form insurance. Tenant will receive an abatement of its Minimum Annual
Rent and Annual Operating Expenses to the extent the Premises are rendered
untenantable. The foregoing notwithstanding, Tenant's rental abatement period
shall extend for a reasonable period (not to exceed 60 days) following
substantial completion of Landlord's restoration of the base Building, in order
to afford Tenant time to restore tenant improvements.

13.  Condemnation.

     (a) Termination. If (i) all of the Premises are taken by a condemnation or
otherwise for any public or quasi-public use, (ii) any part of the Premises is
so taken and the remainder thereof is insufficient for the reasonable operation
of Tenant's business or (iii) any of the Property is so taken, and, in
Landlord's opinion, it would be impractical or the condemnation proceeds are
insufficient to restore the remainder of the Property, then this lease shall
terminate and all unaccrued obligations hereunder shall cease as of the day
before possession is taken by the condemnor.

     (b) Partial Taking. If there is a condemnation and this lease has not been
terminated pursuant to this Section, (i) Landlord shall restore the Building and
the improvements which are a part of the Premises to a condition and size as
nearly comparable as reasonably possible to the condition and size thereof
immediately prior to the date upon which the condemnor took possession and (ii)
the obligations of Landlord and Tenant shall be unaffected by such condemnation
except that there shall be an equitable abatement of the Minimum Annual Rent
according to the rental value of the Premises before and after the date upon
which the condemnor took possession and/or the date Landlord completes such
restoration.

     (c) Award. In the event of a condemnation affecting Tenant, Tenant shall
have the right to make a claim against the condemnor for moving expenses and
business dislocation damages and any other damages available to Tenant, but only
to the extent that such claim does not reduce the sums otherwise payable by the
condemnor to Landlord. Without limiting the foregoing, in no event shall Tenant
have the right to make any claim for the value of Tenant's leasehold estate.
Except as aforesaid and except as set forth in (d) below, Tenant hereby assigns

                                      14
<PAGE>

all claims against the condemnor (including any claims for the value of Tenant's
leasehold estate) to Landlord.

     (d) Temporary Taking. No temporary taking of the Premises shall terminate
this lease or give Tenant any right to any rental abatement. Such a temporary
taking will be treated as if Tenant had sublet the Premises to the condemnor and
had assigned the proceeds of the subletting to Landlord to be applied on account
of Tenant's obligations hereunder. Any award for such a temporary taking during
the Term shall be applied first, to Landlord's costs of collection and, second,
on account of sums owing by Tenant hereunder, and if such amounts applied on
account of sums owing by Tenant hereunder should exceed the entire amount owing
by Tenant for the remainder of the Term, the excess will be paid to Tenant.

14.  Non-Abatement of Rent. Except as otherwise expressly provided as to damage
by fire or other casualty in Section 12(b), as to condemnation in Section 13(b),
as to utility interruption as provided in Section 7(e), and as to payment by
Landlord of the Allowance for Initial Tenant Improvements as provided in Section
28(d), there shall be no abatement or reduction of the Rent for any cause
whatsoever, and this lease shall not terminate, and Tenant shall not be entitled
to surrender the Premises.

15.  Indemnification. Subject to Sections 7(c)(iii) and 16, Tenant will protect,
indemnify and hold harmless Landlord and its Agents from and against any and all
claims, actions, damages, liability and expense (including reasonable fees of
attorneys, investigators and experts) in connection with loss of life, personal
injury or damage to property in or about the Premises or arising out of the
occupancy or use of the Premises by Tenant or its Agents or occasioned wholly or
in part by any act or omission of Tenant or its Agents, whether prior to, during
or after the Term, except to the extent such loss, injury or damage was caused
by the negligence of Landlord or its Agents. In case any action or proceeding is
brought against Landlord and/or its Agents by reason of the foregoing, Tenant,
at its expense, shall resist and defend such action or proceeding, or cause the
same to be resisted and defended by counsel (reasonably acceptable to Landlord
and its Agents) designated by the insurer whose policy covers such occurrence or
by counsel designated by Tenant and approved by Landlord and its Agents.
Tenant's obligations pursuant to this Section 15 shall survive the expiration or
termination of this lease.

     Subject to Sections 7(c)(iii) and 16, Landlord will protect, indemnify and
hold harmless Tenant and its Agents from and against any and all claims,
actions, damages, liability and expense (including reasonable fees of attorneys,
investigators and experts) in connection with loss of life, personal injury or
damage to property caused to any person in or about the Property occasioned
wholly or in part by the negligence of Landlord or its Agents, except to the
extent such loss, injury or damage was caused by the negligence of Tenant or its
Agents. In case any action or proceeding is brought against Tenant and/or its
Agents by reason of the foregoing, Landlord, at its expense, shall resist and
defend such action or proceeding, or cause the same to be resisted and defended
by counsel (reasonably acceptable to Tenant and its Agents) designated by the
insurer whose policy covers such occurrence or by counsel designated by Landlord
and approved by Tenant and its Agents. Landlord's obligations pursuant to this
Section shall survive the expiration or termination of this lease.

                                      15
<PAGE>

16.      Waiver of Claims. Any provision to the contrary in this lease
notwithstanding, Landlord and Tenant each hereby waive, and release each other
from and against, all claims for recovery against the other for any loss or
damage to the property of such party arising out of fire or other casualty
coverable by a standard "Causes of Special Loss" property insurance policy with,
in the case of Tenant, such endorsements and additional coverages as are
considered good business practice in Tenant's business, even if such loss or
damage shall be brought about by the fault or negligence of the other party or
its Agents. This waiver and release is effective regardless of whether the
releasing party actually maintains the insurance described above in this
paragraph and is not limited to the amount of insurance actually carried, or to
the actual proceeds received after a loss.

17.      Quiet Enjoyment. Landlord covenants that Tenant, upon performing all
of its covenants, agreements and conditions of this lease, shall have quiet and
peaceful possession of the Premises as against anyone claiming by or through
Landlord, subject, however, to the exceptions, reservations and conditions of
this lease.

18.      Assignment and Subletting.

         (a) Limitation. Tenant shall not sublet the Premises or assign this
lease, voluntarily or by operation of law, without the prior written consent of
Landlord, which consent shall not be unreasonably withheld. The foregoing
notwithstanding, Landlord shall not withhold its consent to a proposed
assignment of this lease or a proposed subletting of all or any part of the
Premises provided that the nature of the proposed tenancy and proposed use of
the Premises are, in Landlord's reasonable judgment, compatible with and
appropriate for the business park of which the Premises are a part. Tenant shall
give Landlord not less than 30 days prior written notice of any proposed
assignment or subletting, together with a description of the business of the
proposed subtenant or assignee, a description of the proposed use of the
Premises and current financial statements or other financial information
reasonably acceptable to Landlord with respect to the proposed subtenant or
assignee.

         Any transfer not in conformity with this Section 18 shall be void at
the option of Landlord, and Landlord may exercise any or all of its rights under
Section 23. A consent to one transfer shall not be deemed to be a consent to any
subsequent transfer.

         (b)      Conditions.  Notwithstanding the above, the following shall
apply to any transfer of Tenant's interest in this lease or the Premises, with
or without Landlord's consent:

                  (i)  As of the date of any transfer, Tenant shall not be in
default under this lease nor shall any act or omission have occurred which would
constitute a default with the giving of notice and/or the passage of time.

                  (ii) Except as provided in subsection (c) below, No transfer
shall relieve Tenant of its obligation to pay the Rent and to perform all its
other obligations hereunder. The acceptance of Rent by Landlord from any person
shall not be deemed to be a waiver by Landlord of any provision of this lease or
to be a consent to any transfer.

                                      16
<PAGE>

                  (iii) Each transfer shall be by a written instrument in form
and substance reasonably satisfactory to Landlord which shall (A) include an
assumption of liability by any transferee of all Tenant's obligations and the
transferee's ratification of and agreement to be bound by all the provisions of
this lease, (B) afford Landlord the right of direct action against the
transferee pursuant to the same remedies as are available to Landlord against
Tenant and (C) be executed by Tenant and the transferee.

                  (iv)  Tenant shall pay, within 10 days of receipt of an
invoice, Landlord's reasonable attorneys' fees and costs in connection with the
review, processing and documentation of any transfer for which Landlord's
consent is requested.

                  (v)   Except as provided below, in the event that the rent due
and payable by a subtenant under any such permitted sublease (or a combination
of the rent payable under such sublease plus any bonus or other consideration
therefor or incident thereto) exceeds the rent payable under this lease, or if
with respect to a permitted assignment, permitted license, or other transfer by
Tenant permitted by Landlord or this lease, the consideration payable to Tenant
by the assignee, licensee, or other transferee exceeds the rent payable under
this lease, then Tenant shall be bound and obligated to pay Landlord 50% of such
excess rent and other excess consideration, after deduction of (i) Annual
Minimum Rent and Operating Expenses paid by Tenant during any time the Premises
being assigned or sublet were vacant, and (ii) reasonable leasing costs incurred
by Tenant in connection with such assignment or subletting, including marketing
costs, attorneys' fees, leasing commissions, and leasehold improvements or
allowances. The excess rent or other excess consideration so payable to Landlord
shall be remitted by Tenant to Landlord within ten (10) days following receipt
thereof by Tenant from such sublessee, assignee, licensee, or other transferee,
as the case may be. The foregoing notwithstanding, Tenant shall not be obligated
to pay Landlord the excess rent or other excess consideration described in this
subsection in the case of (i) a subletting by Tenant of less than 25,000
rentable square feet, (ii) an assignment or subletting by Tenant to any entity
controlled by, under common control with or controlling Tenant, or (iii) an
assignment or subletting by Tenant to any successor to the interests of Tenant
by merger or consolidation or to any person or entity acquiring all or
substantially all of the assets of Tenant as a going concern.

         (c)      Release. In the event of a permitted assignment of this lease
by Tenant to any assignee having a tangible net worth of $55,000,000 or greater,
Landlord shall, upon Tenant's request, release Tenant from all liability under
this lease with respect to matters and obligations arising from and after the
date of the assignment. Such release must be in writing, and will be issued by
Landlord upon receipt of reasonable documentation from Tenant confirming the net
worth of the assignee.

19.      Subordination; Mortgagee's Rights.

         (a)      This lease shall be subordinate to any first mortgage or other
primary encumbrance now or hereafter affecting the Premises, provided, however,
that Tenant's right of possession of the Premises shall not be disturbed by the
Mortgagee so long as Tenant is not in default under this lease. Although the
subordination is self-operative, within 10 days after written request, Tenant
shall execute and deliver any further reasonable instruments confirming

                                      17
<PAGE>

such subordination of this lease and any further reasonably necessary
instruments of attornment that may be requested by any such mortgagee or
Landlord. However, any mortgagee may at any time subordinate its mortgage to
this lease, without Tenant's consent, by giving written notice to Tenant, and
thereupon this lease shall be deemed prior to such mortgage without regard to
their respective dates of execution and delivery; provided, however, that such
subordination shall not affect any mortgagee's right to condemnation awards,
casualty insurance proceeds, intervening liens or any right which shall arise
between the recording of such mortgage and the execution of this lease.

         (b) It is understood and agreed that any mortgagee shall not be liable
to Tenant for any funds paid by Tenant to Landlord unless such funds actually
have been transferred to such mortgagee by Landlord.

         (c) Notwithstanding the provisions of Sections 12 and 13 above, (i)
Landlord's obligation to restore the Premises after a casualty or condemnation
shall be subject to the consent and prior rights of Landlord's first mortgagee,
and (ii) if (A) Landlord's first mortgagee refuses to make casualty insurance
proceeds or the condemnation awards available for restoration, and (B) Landlord
does not otherwise have sufficient funds to complete its restoration of the
Premises, then Landlord shall promptly so notify Tenant, and Landlord or Tenant
shall have the right to terminate this lease by giving written notice of
termination to the other not more than 10 days following Landlord's notice.

20.      Recording; Estoppel Certificates.

         (a) All parties will, upon the request of any other party, execute a
short form lease ("Memorandum of Lease"), in a form suitable for recording. Such
Memorandum of Lease will be dated as of the date of this lease and will disclose
the parties, the Term of this lease, a description of the Premises, extension
rights, expansion rights and such other terms and conditions as the parties
agree upon. The party requesting the execution of such Memorandum will bear all
costs of the Memorandum, including any recording fees. All parties will,
following any termination of this lease and upon the written request of any
other party, execute a document setting forth the date of termination, in a form
suitable for recording. Failure of a party to execute such a document will not
affect the termination, and in such event the party requesting the document may
execute and file an affidavit setting forth the date of termination. The party
requesting the execution of a document setting forth the date of termination
will bear all costs thereof, including any recording fees.

         (b) Within 10 days after Landlord's written request from time to time:

             (i) Tenant shall execute, acknowledge and deliver to Landlord
a written statement certifying the Commencement Date and Expiration Date of this
lease, that this lease is in full force and effect and has not been modified and
otherwise as set forth in the form of estoppel certificate attached as Exhibit
"F" or with such modifications as may be necessary to reflect accurately the
stated facts and/or such other certifications as may be requested by a mortgagee
or purchaser. Tenant understands that its failure to execute such documents may
cause Landlord serious financial damage by causing the failure of a financing or
sale transaction.

                                      18
<PAGE>

             (ii) Tenant shall furnish to Landlord, Landlord's mortgagee,
prospective mortgagee or purchaser reasonably requested financial information.

         (c) Within 10 days after Tenant's written request from time to time,
Landlord shall execute, acknowledge and deliver to Tenant an estoppel
certificate containing such reasonable and customary certifications regarding
the lease as Tenant may request.

21.      Surrender; Abandoned Property.

         (a) Subject to the terms of Sections 9(b), 12(a) and 13(b), at the
expiration or termination of this lease, Tenant promptly shall yield up in the
same condition, order and repair in which they are required to be kept
throughout the Term, the Premises and all improvements thereto, and all fixtures
and equipment servicing the Building, ordinary wear and tear excepted. The
foregoing notwithstanding, Tenant shall be entitled to remove from the Premises
the fixtures and equipment listed on attached Exhibit "I", provided Tenant shall
repair any damage resulting from such removal and shall restore the Premises to
the condition existing prior to the installation of such Tenant fixtures or
equipment.

         (b) Upon or prior to the expiration or termination of this lease,
Tenant shall remove any personal property from the Property. Any personal
property remaining thereafter shall be deemed conclusively to have been
abandoned, and Landlord, at Tenant's expense, may remove, store, sell or
otherwise dispose of such property in such manner as Landlord may see fit and/or
Landlord may retain such property as its property. If any part thereof shall be
sold, then Landlord may receive and retain the proceeds of such sale and apply
the same, at its option, against the expenses of the sale, the cost of moving
and storage and any Rent due under this lease.

         (c) If Tenant, or any person claiming through Tenant, shall continue to
occupy the Premises after the expiration or termination of this lease or any
renewal thereof, such occupancy shall be deemed to be under a month-to- month
tenancy under the same terms and conditions set forth in this lease, except that
the monthly installment of the Minimum Annual Rent during such continued
occupancy shall be 150% of the amount applicable to the last month of the Term.
Anything to the contrary notwithstanding, any holding over by Tenant without
Landlord's prior written consent shall constitute a default hereunder and shall
be subject to all the remedies available to Landlord.

22.      Curing Tenant's Defaults. If Tenant shall be in default in the
performance of any of its obligations hereunder, Landlord, without any
obligation to do so, in addition to any other rights it may have in law or
equity, may elect to cure such default on behalf of Tenant after written notice
(except in the case of emergency) to Tenant and after affording Tenant the
opportunity to cure required under Section 23 (c) below. Tenant shall reimburse
Landlord upon demand for any sums paid or costs incurred by Landlord in curing
such default, including interest thereon from the respective dates of Landlord's
incurring such costs, which sums and costs together with interest shall be
deemed additional rent.

                                      19
<PAGE>

23.      Defaults - Remedies.

         (a) Defaults.  It shall be an event of default:

             (i)   If Tenant does not pay in full when due any and all Rent;

             (ii)  If Tenant fails to observe and perform or otherwise breaches
any other provision of this lease;

             (iii) If Tenant abandons the Premises; or

             (iv)  If Tenant becomes insolvent or bankrupt in any sense or
makes a general assignment for the benefit of creditors or offers a settlement
to creditors, or if a petition in bankruptcy or for reorganization or for an
arrangement with creditors under any federal or state law is filed by or against
Tenant, or a bill in equity or other proceeding for the appointment of a
receiver for any of Tenant's assets is commenced, or if any of the real or
personal property of Tenant shall be levied upon; provided, however, that any
proceeding brought by anyone other than Landlord or Tenant under any bankruptcy,
insolvency, receivership or similar law shall not constitute a default until
such proceeding has continued unstayed for more than 60 consecutive days.

         (b) Remedies. Then, and in any such event, Landlord shall have the
following rights:

             (i)   To charge a late payment fee equal to the greater of $100
or 4% of any amount owed to Landlord pursuant to this lease which is not paid
within 10 days after the due date.

             (ii)  To enter and repossess the Premises, by breaking open
locked doors if necessary, and remove all persons and all or any property
therefrom, by action at law or otherwise, without being liable for prosecution
or damages therefor, and Landlord may, at Landlord's option, make alterations
and repairs in order to relet the Premises and relet all or any part(s) of the
Premises for Tenant's account. Tenant agrees to pay to Landlord on demand any
deficiency that may arise by reason of such reletting. In the event of reletting
without termination of this lease, Landlord may at any time thereafter elect to
terminate this lease for such previous breach.

             (iii) To terminate this lease and the Term and to require
Tenant to pay to Landlord all past due amounts under this lease plus the present
value (as of the date of such election) of the amount, if any, by which (1) the
Minimum Annual Rent which would have been payable during the period (the
"Remaining Period") from the date of such election through the last day of the
Term if this lease had remained in effect exceeds (2) the fair market minimum
annual rent as determined by Landlord in its reasonable discretion for the
Premises for the Remaining Period. For purposes of calculating the present value
of such excess, a discount rate equal to the annual yield on U.S. Treasury Bonds
with a remaining term that most closely approximates the Remaining Period shall
be employed, and it shall be assumed that the excess will be payable in equal
monthly installments over the Remaining Period.

                                      20
<PAGE>

               (iv) To terminate this lease and the Term without any right on
the part of Tenant to save the forfeiture by payment of any sum due or by other
performance of any condition, term or covenant broken.

         (c)   Grace Period. Notwithstanding anything hereinabove stated,
neither party will exercise any available right because of any default of the
other, except those remedies contained in subsection (b)(i) of this Section,
unless such party shall have first given 10 days written notice thereof to the
defaulting party, and the defaulting party shall have failed to cure the default
within such period; provided, however, that:

               (i) No such notice shall be required if Tenant fails to comply
with the provisions of Sections 10 or 20(a), in the case of emergency as set
forth in Section 22 or in the event of any default enumerated in subsections
(a)(iii) and (iv) of this Section.

               (ii) Landlord shall not be required to give such 10 days notice
more than 2 times during any 12 month period.

               (iii) If the default consists of something other than the failure
to pay money which cannot reasonably be cured within 10 days, neither party will
exercise any right if the defaulting party begins to cure the default within the
10 days and continues actively and diligently in good faith to completely cure
said default.

               (iv) Tenant agrees that any notice given by Landlord pursuant to
this Section which is served in compliance with Section 27 shall be adequate
notice for the purpose of Landlord's exercise of any available remedies.

         (d)   Non-Waiver; Non-Exclusive. No waiver by Landlord of any breach by
Tenant shall be a waiver of any subsequent breach, nor shall any forbearance by
Landlord to seek a remedy for any breach by Tenant be a waiver by Landlord of
any rights and remedies with respect to such or any subsequent breach. Efforts
by Landlord to mitigate the damages caused by Tenant's default shall not
constitute a waiver of Landlord's right to recover damages hereunder. No right
or remedy herein conferred upon or reserved to Landlord is intended to be
exclusive of any other right or remedy provided herein or by law, but each shall
be cumulative and in addition to every other right or remedy given herein or now
or hereafter existing at law or in equity. No payment by Tenant or receipt or
acceptance by Landlord of a lesser amount than the total amount due Landlord
under this lease shall be deemed to be other than on account, nor shall any
endorsement or statement on any check or payment be deemed an accord and
satisfaction, and Landlord may accept such check or payment without prejudice to
Landlord's right to recover the balance of Rent due, or Landlord's right to
pursue any other available remedy.

         (e)   Costs and Attorneys' Fees. If either party commences an action
against the other party arising out of or in connection with this lease, the
prevailing party shall be entitled to have and recover from the losing party
reasonable attorneys' fees, costs of suit, investigation expenses and discovery
costs, including costs of appeal.

                                      21
<PAGE>

24.  Representations of Tenant.  Tenant represents to Landlord and agrees that:

     (a) The word "Tenant" as used herein includes the Tenant named above as
well as its successors and assigns, each of which shall be under the same
obligations and liabilities and each of which shall have the same rights,
privileges and powers as it would have possessed had it originally signed this
lease as Tenant. Each and every of the persons named above as Tenant shall be
bound jointly and severally by the terms, covenants and agreements contained
herein. However, no such rights, privileges or powers shall inure to the benefit
of any assignee of Tenant immediate or remote, unless Tenant has complied with
the terms of Section 18 and the assignment to such assignee is permitted or has
been approved in writing by Landlord. Any notice required or permitted by the
terms of this lease may be given by or to any one of the persons named above as
Tenant, and shall have the same force and effect as if given by or to all
thereof.

     (b) If Tenant is a corporation, partnership or any other form of business
association or entity, Tenant is duly formed and in good standing, and has full
corporate or partnership power and authority, as the case may be, to enter into
this lease and has taken all corporate or partnership action, as the case may
be, necessary to carry out the transaction contemplated herein, so that when
executed, this lease constitutes a valid and binding obligation enforceable in
accordance with its terms. Tenant shall provide Landlord with corporate
resolutions or other proof in a form acceptable to Landlord, authorizing the
execution of this lease at the time of such execution.

25.  Liability of Landlord. The word "Landlord" as used herein includes the
Landlord named above as well as its successors and assigns, each of which shall
have the same rights, remedies, powers, authorities and privileges as it would
have had it originally signed this lease as Landlord. Any such person or entity,
whether or not named herein, shall have no liability hereunder after it ceases
to hold title to the Premises except for obligations already accrued (and, as to
any unapplied portion of Tenant's Security Deposit, Landlord shall be relieved
of all liability therefor upon transfer of such portion to its successor in
interest) and Tenant shall look solely to Landlord's successor in interest for
the performance of the covenants and obligations of the Landlord hereunder which
thereafter shall accrue. Neither Landlord nor any principal of Landlord nor any
owner of the Property, whether disclosed or undisclosed, shall have any personal
liability with respect to any of the provisions of this lease or the Premises,
and if Landlord is in breach or default with respect to Landlord's obligations
under this lease or otherwise, Tenant shall look solely to the equity of
Landlord in the Property for the satisfaction of Tenant's claims.
Notwithstanding the foregoing, no mortgagee or ground lessor succeeding to the
interest of Landlord hereunder (either in terms of ownership or possessory
rights) shall be (a) liable for any previous act or omission of a prior
landlord, (b) subject to any rental offsets or defenses against a prior landlord
unless specifically provided for in this lease or unless (and only to the extent
that) the default giving rise to the defense or offset is continuing, or (c)
bound by any amendment of this lease made without its written consent, or by
payment by Tenant of Minimum Annual Rent in advance in excess of one monthly
installment.

                                      22
<PAGE>

26.  Interpretation; Definitions.

     (a) Captions. The captions in this lease are for convenience only and are
not a part of this lease and do not in any way define, limit, describe or
amplify the terms and provisions of this lease or the scope or intent thereof.

     (b) Entire Agreement. This lease represents the entire agreement between
the parties hereto and there are no collateral or oral agreements or
understandings between Landlord and Tenant with respect to the Premises or the
Property. No rights, easements or licenses are acquired in the Property or any
land adjacent to the Property by Tenant by implication or otherwise except as
expressly set forth in the provisions of this lease. This lease shall not be
modified in any manner except by an instrument in writing executed by the
parties. The masculine (or neuter) pronoun and the singular number shall include
the masculine, feminine and neuter genders and the singular and plural number.
The word "including" followed by any specific item(s) is deemed to refer to
examples rather than to be words of limitation. Both parties having participated
fully and equally in the negotiation and preparation of this lease, this lease
shall not be more strictly construed, nor any ambiguities in this lease
resolved, against either Landlord or Tenant.

     (c) Covenants. Each covenant, agreement, obligation, term, condition or
other provision herein contained shall be deemed and construed as a separate and
independent covenant of the party bound by, undertaking or making the same, not
dependent on any other provision of this lease unless otherwise expressly
provided. All of the terms and conditions set forth in this lease shall apply
throughout the Term unless otherwise expressly set forth herein.

     (d) Interest. Wherever interest is required to be paid hereunder, such
interest shall be at the "prime rate" plus four percent (4%). "Prime rate"
herein means the rate of interest per annum from time to time published in The
Wall Street Journal (or comparable financial publication if The Wall Street
Journal ceases to be published or ceases to publish a prime rate) as the "High
Prime Rate", or the "Prime Rate" if only one "Prime Rate" is published, as the
same may fluctuate from time to time.

     (e) Severability; Governing Law. If any provisions of this lease shall be
declared unenforceable in any respect, such unenforceability shall not affect
any other provision of this lease, and each such provision shall be deemed to be
modified, if possible, in such a manner as to render it enforceable and to
preserve to the extent possible the intent of the parties as set forth herein.
This lease shall be construed and enforced in accordance with the laws of the
state in which the Property is located.

     (f) "Mortgage" and "Mortgagee." The word "mortgage" as used herein includes
any lien or encumbrance on the Premises or the Property or on any part of or
interest in or appurtenance to any of the foregoing, including without
limitation any ground rent or ground lease if Landlord's interest is or becomes
a leasehold estate. The word "mortgagee" as used herein includes the holder of
any mortgage, including any ground lessor if Landlord's interest is or becomes a
leasehold estate. Wherever any right is given to a mortgagee, that right may be

                                      23
<PAGE>

exercised on behalf of such mortgagee by any representative or servicing agent
of such mortgagee.

     (g) "Person." The word "person" is used herein to include a natural person,
a partnership, a corporation, an association and any other form of business
association or entity.

27.  Notices. Any notice or other communication under this lease shall be in
writing and addressed to Landlord or Tenant at their respective addresses
specified at the beginning of this lease, except that after the Commencement
Date Tenant's address shall be at the Premises, (or to such other address as
either may designate by notice to the other) with a copy to any mortgagee
(provided Landlord or the mortgagee has notified Tenant of the mortgage and of
the notice address for the mortgagee) or other party designated by Landlord.
Each notice or other communication shall be deemed given if sent by prepaid
overnight delivery service or by certified mail, return receipt requested,
postage prepaid or in any other manner, with delivery in any case evidenced by a
receipt, and shall be deemed received on the day of actual receipt by the
intended recipient or on the business day delivery is refused. The giving of
notice by Landlord's or Tenant's attorneys, representatives and agents under
this Section shall be deemed to be the acts of Landlord or Tenant, as the case
may be; however, the foregoing provisions governing the date on which a notice
is deemed to have been received shall mean and refer to the date on which a
party to this lease, and not its counsel or other recipient to which a copy of
the notice may be sent, is deemed to have received the notice.

28.  Tenant Improvements; Tenant Improvement Allowance; Commencement.

     (a) Initial Tenant Improvements. The initial tenant improvements (the
"Initial Tenant Improvements") shall be constructed by Tenant in accordance with
the Tenant Improvement Plans as defined in Section 28(b) below and in accordance
with the terms and conditions of this Section 28.

     (b) Tenant Improvement Plans. Landlord and Tenant have approved the space
plans for the Initial Tenant Improvements prepared by Tenant's architect and
attached to this lease as Exhibit "J" (the "Fit Plan") (the parties acknowledge
that the Fit Plan is preliminary, and Tenant may propose refinements thereto for
Landlord's approval, which approval shall not be unreasonably withheld). Tenant
will provide Landlord, on or before January 16, 2001, complete construction
drawings and specifications for the Initial Tenant Improvements. The
construction drawings and specifications shall be consistent with the approved
Fit Plan. Within 3 business days after its receipt of the construction drawings
and specifications, Landlord shall notify Tenant of its approval or disapproval
thereof (which approval shall not be unreasonably withheld), and if Landlord
disapproves thereof, the revisions that Landlord requires in order to obtain
such approval. It is agreed that Landlord will not object to construction
drawings and specifications to the extent that they conform to the approved Fit
Plan. As promptly as reasonably possible thereafter, but no later than 3
business days after Landlord's response, Tenant shall submit to Landlord
modified construction drawings incorporating appropriate revisions. Upon
approval of the final construction drawings and specifications, Landlord's and
Tenant's authorized representatives shall each evidence such approval by
initialing the top of

                                      24
<PAGE>

each sheet of the approved construction drawings and specifications. The
approved construction drawings and specifications are herein termed the "Tenant
Improvement Plans".

     (c)  Construction. Tenant shall cause the Initial Tenant Improvements to be
constructed (i) pursuant to the approved Tenant Improvement Plans by C-70
Construction, Bainey, or other general contractor approved by Landlord (which
approval shall not be unreasonably withheld), (ii) in a good and workmanlike
manner in compliance with all applicable Laws and Requirements and (iii) in
accordance with the provisions of Sections 9 and 10 of this lease. Tenant shall
deliver to Landlord copies of all certificates of occupancy, permits and
licenses required to be issued by any authority in connection with Tenant's
construction.

     (d)  Tenant Allowances.

          (i) Space Planning Services. Landlord shall provide Tenant an
allowance of up to $60,000 toward architectural fees for preliminary space
planning services. Landlord shall reimburse Tenant within 30 days following
submission by Tenant to Landlord of a written request for payment and
documentation reasonably acceptable to Landlord evidencing Tenant's costs.
Landlord shall have the right to condition payment on receipt of lien waivers.
Landlord shall have no obligation to disburse this allowance, or any other
allowance, unless and until the contingencies in favor of Tenant set forth in
Section 37 below have lapsed or have been waived by Tenant, except that Landlord
shall reimburse Tenant up to eight cents ($.08) per rentable square foot toward
architectural fees payable by Tenant for Tenant's Fit Plan if Tenant terminates
this lease pursuant to Section 37(a).

          (ii) Tenant Improvement Allowance. Landlord shall provide Tenant a
leasehold improvement allowance of up to $30.00 per rentable square foot of the
Premises (the "Allowance") toward the cost of the Initial Tenant Improvements
(including the cost of architectural, engineering and construction drawings, of
reasonable moving expenses, of obtaining necessary permits and of constructing
the interior improvements, except that Tenant may not use the Allowance to pay
for trade fixtures, equipment, furniture or other removable personal property of
Tenant). The Allowance shall be disbursed to Tenant by Landlord promptly after
submission by Tenant to Landlord of evidence of the costs and expenses of the
Initial Tenant Improvements, evidence of payment thereof by Tenant, lien waivers
from all persons supplying labor or materials to the Initial Tenant
Improvements, and any other information or documentation that Landlord may
reasonably request (including the requirements for final disbursement listed in
the following paragraph). If the costs and expenses of the Initial Tenant
Improvements, whether constructed by Landlord or by Tenant, exceed the
Allowance, Tenant shall be solely responsible for payment of any excess.
Landlord shall not charge Tenant a construction supervision or similar fee in
connection with any oversight by Landlord of the construction of the Initial
Tenant Improvements and Landlord shall not charge Tenant any fee for Landlord's
review of plans or construction drawings for the Initial Tenant Improvements.

If Tenant requests, Landlord agrees to disburse the Allowance pursuant to
monthly "draws", in accordance with this paragraph. To request a disbursement
from the Allowance, Tenant may submit (no more frequently than monthly) an
application for payment prepared by Tenant's contractor for the Initial Tenant
Improvement work completed and Landlord will pay a pro rata

                                      25
<PAGE>

portion (if the estimated costs for the construction of the Initial Tenant
Improvements exceed the Allowance; Tenant shall be responsible to pay at that
time its pro rata portion of the cost of the work covered by the application for
payment) of a properly submitted application for payment based on the total
estimated costs for the Initial Tenant Improvements. A properly submitted
application for payment must include a general contractor's affidavit and
unconditional lien waivers and subcontractor's lien waivers and an affidavit
from Tenant's general contractor certifying the cost and stating that it has
delivered to Landlord all lien waivers and that the contractor has paid all
debts for Initial Tenant Improvements, all in form and substance reasonably
acceptable to Landlord and such other documentation as Landlord may reasonably
request. Landlord will pay its pro rata portion of a properly submitted
application for payment within 30 days of receipt. Landlord will only pay the
last installment of the Allowance upon final completion of the Initial Tenant
Improvements, the issuance of a certificate of occupancy by the appropriate
governmental authorities, receipt of Tenant's signed statement that it is
satisfied with the Initial Tenant Improvements and that all contractors have
been paid, receipt of a certificate of completion signed by Tenant's architect,
and receipt of a complete set of "as built" plans and specifications. Landlord
shall have no obligation to make any final disbursement of the Allowance,
unless, in connection therewith, Tenant delivers to Landlord a statement signed
by Tenant acknowledging that the entire Allowance has been disbursed in full to
Tenant and that the offset rights provided in the following paragraph are of no
further force or effect.

If Landlord shall default in its obligation to fund the Allowance, Tenant may
provide Landlord written notice of default, which notice shall specify the
amount of the Allowance Tenant claims Landlord has failed to pay. If Landlord
fails to cure the default within 30 days following Tenant's notice, Tenant may
set off the Allowance owed to Tenant against Minimum Annual Rent (but not
payments of Operating Expenses) payable under this lease subject to the
following condition: if Landlord disputes in good faith (by written notice to
Tenant) Tenant's right to the claimed unfunded Allowance, Tenant shall have no
right of setoff hereunder unless and until Tenant has obtained a final,
non-appealable money judgment in favor of Tenant.

If the total Allowance disbursed by Landlord to Tenant (the "Actual Allowance")
is less than $30.00 multiplied by the rentable square footage of the Premises
(the "Available Allowance"), the Minimum Annual Rent payable with respect to
each lease year during the initial Term will be decreased by an amount equal to
(i) the difference between the Available Allowance and the Actual Allowance
disbursed, multiplied by (ii) .2055. For example, if the Actual Allowance
disbursed is $100,000 less than the Available Allowance of $30 per rentable
square foot, the Minimum Annual Rent payable in each lease year of the initial
Term shall be decreased by $20,550 ($100,000 times .2055).

At Tenant's request (which request must be made prior to February 15, 2001),
Landlord will increase the Allowance by an amount not to exceed $2.00 per
rentable square foot (the "Increase"). In such event, the Minimum Annual Rent
will be increased by an amount equal to the Increase multiplied by .2316. For
example, if the Increase in the Allowance is $150,000, the Minimum Annual Rent
will increase by $34,740 ($150,000 times .2316).

                                      26
<PAGE>

     (e) Access. From and after the satisfaction or waiver of the Tenant
contingencies set forth in Section 37, Landlord will afford Tenant access, at
Tenant's own risk, expense and responsibility, for purposes of installing the
Initial Tenant Improvements, and Tenant's furniture, trade fixtures and
equipment; provided, however, that until the base Building is substantially
completed, Tenant will schedule its access through, and coordinate its
construction activities with, Landlord and the base Building contractor so that
the construction of the Initial Tenant Improvements do not interfere with or
delay the completion of the base Building. Also, upon Tenant's timely request
with respect to any component of the Initial Tenant Improvements that need to be
installed or constructed prior to the completion of the base Building shell or a
particular component thereof, Landlord will afford Tenant limited access to the
Premises, subject to coordination with and the cooperation of the base Building
contractor, for the construction or installation of such component. In
connection with all access by Tenant or its contractors prior to the
Commencement Date, Tenant shall abide by the terms and conditions of this lease
including carrying the insurance specified by the lease, as if the term of this
lease had already commenced, except that Tenant shall have no obligation to pay
the Minimum Annual Rent or Annual Operating Expenses until the Commencement
Date. Tenant shall, however, pay the charges for all utilities furnished to the
Premises during Tenant's early-access period and after the substantial
completion of the Base Building, as reasonably estimated by Landlord (with due
consideration and care to estimate and exclude the expenses of any utilities
relating to base Building construction or furnished to space outside of the
Premises).

     (f) Commencement Date. The "Commencement Date" of this lease shall be the
earlier of (i) the date Tenant occupies all or any portion of the Premises for
the purpose of conducting business therein, or (ii) May 7, 2001 (provided,
however, that this date shall be extended day for day by reason of any delay
past March 1, 2001, in the substantial completion of the base Building shell,
other than delay caused by Tenant or its contractors. In order for Landlord to
assert a Tenant delay in the completion of the base Building pursuant to the
preceding sentence, Landlord must notify Tenant in writing of any circumstance
constituting a Tenant delay within 2 business days of Landlord's knowledge that
such circumstance has resulted or is likely to result in a delay.

     The outside Commencement Date of May 7, 2001 shall also be extended day for
day for any Excused Delay in the construction of the Initial Tenant
Improvements. Excused Delay shall be mean delay in the substantial completion of
the Initial Tenant Improvements resulting from the following, and only the
following events or circumstances: floods, fire, tornado, earthquake or other
casualties or natural disasters, war or national emergency, governmental
restrictions and limitations or any cause similar to the foregoing beyond the
reasonable control of Tenant or Tenant's contractors, subcontractors or
suppliers, except that the term Excused Delay shall expressly exclude delays due
to snow, cold weather or similar adverse weather conditions, strikes or other
labor troubles or due to scarcity or unavailability of fuel, labor or materials
(unless directly related to one of the expressly enumerated causes above). In
order for Tenant to claim an extension of the Commencement Date resulting from
an Excused Delay, Tenant must (i) notify Landlord in writing of any circumstance
constituting an Excused Delay within 2 business days of Tenant's knowledge that
such circumstance has resulted or is likely to result in a delay, and (ii)
submit to Landlord a certification by Tenant's architect of the length of the
delay resulting from such circumstance, which certification shall be subject to
the reasonable review

                                      27
<PAGE>

and approval of Landlord's architect. In no event shall Excused Delays, in the
aggregate, exceed 60 days.

     (g) Move-in. Landlord, at Landlord's expense, shall cause the floor of the
warehouse area to be cleaned by power washing prior to Tenant's move-in.

29.  Parking. Landlord shall provide, and Tenant shall be entitled to the use
of, not less than 4.2 unreserved parking spaces for each 1,000 rentable square
feet of the Premises. Except as provided below, such parking shall be
nonexclusive, undesignated and unreserved parking provided as part of the
Building's common area parking facilities. In the event that Tenant does not
require use of the loading area of the Building, Tenant's parking ratio shall be
increased to 4.9 unreserved parking spaces for each 1,000 rentable square feet
of the Premises. Tenant shall have the right at its expense to have up to two
parking spaces in front of Tenant's entrance striped as a "no parking area", and
Landlord will sign, at Tenant's expense, up to three parking spaces as Tenant's
visitor parking, such signage to conform to Landlord's sign criteria for the
Project. The striped and signed parking shall be part of, and not in addition
to, the parking allocated to Tenant based on the ratios set forth above in this
paragraph.

30.  Telecommunications. Landlord will provide 400 pair copper service to D-mark
in the main electrical room of the Building. Landlord shall run conduit to the
property line stubbed for future cabling for Tenant's use in accordance with
Exhibit "B". Landlord acknowledges that Tenant may, as part of the Initial
Tenant Improvements and subject to Landlord's review and approval of Tenant's
Plans with respect thereto, install T1 and ISDN lines to the Premises.

31.  Landlord's Environmental Representations.

     (a) Landlord has provided Tenant a copy of the following environmental
         assessments and reports regarding the Property:

         .   Environmental Site Assessment, Lot 2, Block 1, Worldwide Addition,
             prepared by American Engineering Testing, Inc. dated February 25,
             2000 (AET #03-00646)

         .   Phase I Environmental Site Assessment Update; Lot 2 Block 1
             Worldwide Addition, Bloomington, Minnesota, prepared by American
             Engineering Testing, Inc., dated September 12, 2000

         .   Review of Phase I Environmental Site Assessment and Phase I Update;
             Lot 2, Block 1, Worldwide Addition; Bloomington, MN; prepared by
             LawGibb Group, dated September 19, 2000

         Landlord represents to Tenant that the foregoing is a complete list of
         all studies and reports in Landlord's possession or under Landlord's
         control with respect to hazardous substances or Restricted Activities
         (as defined in Section 4 of the lease) on or about the Property.
         Landlord will provide Tenant a copy of any additional or updated
         environmental assessments obtained by Landlord in connection with

                                      28
<PAGE>

         its acquisition or development of the Property. Except as may be
         disclosed in the reports listed above, Landlord has no actual knowledge
         of the presence of any hazardous substances on or about the Property.
         Landlord has no actual knowledge of, and has received no notice from
         any governmental authority regarding, any inquiry, investigation or
         proceeding regarding hazardous substances or Restricted Activities on
         or about the Property.

     (b) Landlord represents that the base Building will be constructed in
         compliance, in all material respects, with all applicable environmental
         Laws and Requirements as applied, enforced and interpreted as of the
         date the building permit is issued.

32.  Extension Option. Tenant shall have the right and option to extend the Term
of this lease for two (2) additional extension terms of three (3) years each.
Each extension option must be exercised, if at all, by giving Landlord prior
written notice, at least nine (9) months in advance of the expiration date of
the initial lease Term or first extension Term, as the case may be, of Tenant's
election to extend the lease Term. Except as follows, and subject to the
following conditions, each extension Term shall be under the same terms and
conditions as provided in the lease:

     (a) Tenant's extension option shall be void at Landlord's option if there
exists any event of material default by Tenant under this lease beyond any
applicable notice and cure period at the time Tenant exercises an extension
option or as of the commencement date of the extension term;

     (b) there shall be no options to extend the Term beyond the second
extension term;

     (c) Tenant shall accept the Premises in their "as is" condition, without
any obligation on the part of Landlord to provide any tenant improvements or
tenant improvement allowance; and

     (d) the Minimum Annual Rent for the extension term shall be as follows:

         First Extension Term
         --------------------

             Lease Year          Annual             Monthly           PSF
             ----------          ------             -------           ---

                  8           $1,085,250.00       $ 90,437.50        $14.47
                  9            1,108,500.00         92,375.00         14.78
                 10            1,132,500.00         94,375.00         15.10

         Second Extension Term
         ---------------------

             Lease Year          Annual             Monthly           PSF
             ----------          ------             -------           ---

                 11           $1,157,250.00       $ 96,437.50        $15.43
                 12            1,182,000.00         98,500.00         15.76
                 13            1,207,500.00        100,625.00         16.10

                                      29
<PAGE>

Upon the timely exercise of an extension option, at the request of either party
the parties hereto will enter into an appropriate amendment to the lease
incorporating the terms of the lease extension.

33.  Right of First Offer: Building. The term "Building Offer Space" herein
means any rentable space in the 5775 Building not included in the Premises.
Landlord agrees that Landlord will not, without Tenant's prior written consent,
enter into any initial lease of all or part of the Building Offer Space to any
third party having a term (including all tenant extension options) that extends
beyond the expiration date of the initial Term of this lease. Landlord further
agrees that if Landlord enters into any initial lease of the Building Offer
Space consisting of 6,000 rentable square feet or less, the term (including all
tenant extension options) of such lease shall not exceed 60 months. After the
initial leasing of the Building Offer Space, in the event such Building Offer
Space becomes available for lease at any time during the Term because of the
expiration or termination of an existing lease (Landlord shall not extend or
renew any existing lease other than pursuant to options provided in such lease
without first offering the space to Tenant under this Section), Landlord shall
give Tenant written notice of the availability of such Building Offer Space and
of the Minimum Annual Rent for such Building Offer Space (determined as provided
below), and Tenant shall have the right, at its option, to lease such Building
Offer Space provided (a) Tenant delivers to Landlord written notice exercising
its right to lease such Building Offer Space within 30 days of receipt of
Landlord's notice of availability of such Building Offer Space, and (b) Tenant
is not in default in any material respect under this lease at the time Tenant
exercises its right to lease such Building Offer Space and at the time Tenant is
to take possession of such Building Offer Space. If Tenant fails to exercise
timely its right to lease such Building Offer Space with respect to a particular
notice of availability given by Landlord, Tenant will have no further right to
lease such Building Offer Space, and this right of first offer shall terminate
with respect to such Building Offer Space, provided, however, that any portion
of such Building Offer Space that remains unleased as of the date that is six
months following Landlord's notice of availability must be re-offered to Tenant
in accordance with this Section. If Tenant elects to exercise its right to lease
such Building Offer Space, the terms, conditions and covenants applicable to
such Building Offer Space shall be as set forth in this lease, except that the
Minimum Annual Rent regarding such space shall be equal to 102% of the Minimum
Annual Rent that was scheduled to be paid (without accounting for abatement,
offset or any other reduction) by the prior tenant of the Offer Space over the
last lease year in which the prior tenant paid or was to pay full Minimum Annual
Rent, and such Minimum Annual Rent shall increase 2% (compounded) per lease year
during the term of this lease with respect to the Offer Space, and the Building
Offer Space shall be delivered to Tenant in an "as is" condition. The
commencement date for the lease covering such space shall be the date following
the exercise of such option on which such space is first made available to
Tenant. If Tenant exercises its right to lease such space, Landlord and Tenant
shall execute and deliver an appropriate amendment to this lease regarding the
lease of such space. The foregoing notwithstanding, Tenant shall have no right
to lease any Building Offer Space unless at least two (2) full years remain in
the Term hereof or unless Tenant has the right to extend the Term and does so in
connection with its lease of the Building Offer Space. As noted above, Tenant
shall not have any offer rights with respect to the initial leasing of any space
in the Building, but these offer rights shall apply when such initial leases
expire or terminate.

                                      30
<PAGE>

34.  Right of First Offer: Project. The term "Project Offer Space" herein means
any rentable space in the Project, excluding the "Building Offer Space". Tenant
shall not have any offer rights with respect to the initial leasing of any
Project Offer Space, but these offer rights shall apply when such initial leases
expire or terminate. After the initial leasing of the Project Offer Space, in
the event any Project Offer Space becomes available for lease at any time during
the Term and the party, if any, in possession of such Project Offer Space does
not desire to remain in possession, Landlord shall give Tenant written notice of
the availability of such Project Offer Space and of the proposed Minimum Annual
Rent for such Project Offer Space (determined as provided below), and Tenant
shall have the right, at its option, to lease such Project Offer Space provided
(a) Tenant delivers to Landlord written notice exercising its right to lease
such Project Offer Space within 30 days of receipt of Landlord's notice of
availability of such Project Offer Space, and (b) Tenant is not in default in
any material respect under this lease at the time Tenant exercises its right to
lease such Project Offer Space and at the time Tenant is to take possession of
such Project Offer Space. If Tenant fails to exercise timely its right to lease
such Project Offer Space with respect to a particular notice of availability
given by Landlord, Tenant will have no further right to lease such Project Offer
Space, and this right of first offer shall terminate with respect to such
Project Offer Space, provided, however, that any portion of such Project Offer
Space that remains unleased as of the date that is six months following
Landlord's notice of availability must be re-offered to Tenant in accordance
with this Section. If Tenant elects to exercise its right to lease such Project
Offer Space, the terms, conditions and covenants applicable to such Project
Offer Space shall be as set forth in this lease, except that the Minimum Annual
Rent regarding such space shall be equal to 102% of the Minimum Annual Rent that
was scheduled to be paid (without accounting for abatement, offset or any other
reduction) by the prior tenant of the Offer Space over the last lease year in
which the prior tenant paid or was to pay full Minimum Annual Rent, and such
Minimum Annual Rent shall increase 2% (compounded) per lease year during the
term of this lease with respect to the Offer Space, and the Project Offer Space
shall be delivered to Tenant in an "as is" condition. The commencement date for
the lease covering such space shall be the date following the exercise of such
option on which such space is first made available to Tenant. If Tenant
exercises its right to lease such space, Landlord and Tenant shall execute and
deliver an appropriate amendment to this lease regarding the lease of such
space. The foregoing notwithstanding, Tenant shall have no right to lease any
Project Offer Space unless at least two (2) full years remain in the Term hereof
or unless Tenant has the right to extend the Term and does so in connection with
its lease of the Project Offer Space. As noted above, Tenant shall not have any
offer rights with respect to the initial leasing of any space in the Project,
but these offer rights shall apply when such initial leases expire or terminate.

35.  Closing Contingency. Pursuant to that certain Purchase Agreement (the
"Purchase Agreement") by and between West Bloomington Technology Park, LLC, as
Seller, and Landlord, as Buyer, dated September 18, 2000, Landlord has the right
and obligation to purchase the Property upon the substantial completion of the
Building by Landlord's seller, West Bloomington Technology Park, LLC. This
lease, and Landlord's obligation hereunder, is contingent upon Landlord closing
on its acquisition of the Property, provided, however, that if this lease is
terminated based on this contingency, Landlord shall remain obligated to pay to
Tenant that portion of the Tenant Improvement Allowance necessary to fully
reimburse Tenant

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<PAGE>

for all costs and expenses incurred by Tenant with respect to the construction
of the Initial Tenant Improvements through the date of termination. Landlord
covenants and agrees that it will perform its obligations as buyer under the
Purchase Agreement, and that Landlord will close on its acquisition of the
Property, provided that West Bloomington Technology Park, LLC performs its
obligations under the Purchase Agreement. In connection with the foregoing
contingency, Landlord represents that (i) Landlord has completed its due
diligence with respect to the Property, and, absent any material adverse change
with regard to the Property between the date hereof and the closing of the
purchase, the only contingency to Landlord's obligation to close on the
acquisition of the Property is that West Bloomington Technology Park, LLC cause
the base Building and site improvements to be substantially completed in
accordance with the provisions of the Purchase Agreement and that West
Bloomington Technology Park LLC perform its other material obligations under the
Purchase Agreement, and (ii) Landlord is not currently aware of any events or
circumstances that are likely to prevent the substantial completion of the base
Building on or before the target date of February 1, 2001. Landlord agrees that
if Landlord becomes aware of any fact or circumstance that would be likely to
cause the substantial completion of the base Building to be delayed past the
target completion date of February 1, 2000, Landlord shall promptly give Tenant
written notice thereof.

The foregoing notwithstanding, Tenant agrees that in the event Landlord fails to
close on its acquisition of the Property, Landlord may, at the request of West
Bloomington Technology Park, LLC, assign this lease, with Tenant's consent, to
West Bloomington Technology Park, LLC, in which event this lease shall continue
in full force and effect so long as West Bloomington Technology Park, LLC
assumes and agrees to perform the obligations of Landlord hereunder, including,
but not limited to, the construction obligations of Landlord set forth in
Section 3 of this lease. Tenant further agrees (i) that it will not unreasonably
withhold its consent to such assignment, and (ii) there shall be no restrictions
on Landlord's right to assign this lease or transfer its interest in the
Property after Landlord becomes the fee owner of the Property.

36.  Site Development. Landlord represents to Tenant that pursuant to the
Purchase Agreement described in Section 35 above, that West Bloomington
Technology Park, LLC is obligated to Landlord to construct the Project in three
Phases in accordance with, and as shown on, the Site Plan. Landlord further
represents that so long as West Bloomington Technology Park, LLC performs its
obligations under the Purchase Agreement, Landlord is obligated to purchase the
Project Phase by Phase as construction proceeds. Landlord may, however, elect to
stop the construction of Buildings in a Phase of the Project if Landlord's
leasing of the previous Phase has not reached certain thresholds. Landlord
represents to Tenant that if this lease is fully executed (with all
contingencies in favor of Tenant waived or expired) on or before the date that
Landlord purchases Phase I (this is the Phase that includes the Building) as
shown on the Site Plan, that the parties to the Purchase Agreement are obligated
thereunder to proceed with the construction of the Phase II Buildings. Landlord
represents to Tenant that if Phase II is 50% leased on terms acceptable to
Landlord at the time Landlord purchases the Phase II Buildings, then the parties
are obligated under the Purchase Agreement to proceed with the construction of
the Phase III Building. In connection with the development of the Project,
Landlord and Tenant agree that (i) Landlord will not make any changes to the
Site Plan that would materially and adversely affect access to the Building,
that would reduce the parking available to the Building below the thresholds
required under Section 29 of this lease, that would materially change the

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<PAGE>

proximity of such parking to the Building, or that would materially and
adversely impact the visibility of the Building, without in each instance first
obtaining Tenant's written consent, (ii) although Landlord presently intends to
proceed with Phase II and Phase III of the Project, and may be contractually
obligated to do so under the Purchase Agreement, Landlord shall have no
liability to Tenant if Landlord for any reason, elects not to proceed with the
construction and acquisition of the Phase II and Phase III buildings, or,
subject to clause (i) of this sentence, elects to develop the remainder of the
Project in a manner different from that shown on the Site Plan.

Tenant acknowledges that, when Landlord acquires Phase I, Landlord will acquire
fee title to the Building and the lot on which the Building is located, which
lot approximates the Building footprint. A declaration of easements and
operating covenants (the "Declaration") will provide parking, access, utilities
and other Common Area rights and amenities appurtenant to the Building. Landlord
represents to Tenant that, pursuant to the Declaration, Landlord shall have the
requisite right and interest in the Project to grant to Tenant all appurtenant
rights granted to Tenant in this lease, including, but not limited to parking,
utilities and access. Landlord agrees that Landlord shall not enter into any
amendment or modification of the Declaration that will materially and adversely
affect or diminish any such rights afforded Tenant under this lease. Landlord
may include in Operating Expenses any costs and expenses to which the Property
may be subject under the Declaration, but subject in all cases to the exclusions
and limitations on Operating Expenses set forth in Exhibit "E" attached to this
lease.

37.  Tenant Contingencies.

     (a) City Approval. Tenant may terminate this lease by written notice to
         Landlord given on or before 5 p.m. Central Time on January 10, 2001,
         time being of the essence, if Tenant has not by that date and time
         received City of Bloomington approval or other City assurances
         acceptable to Tenant confirming that Tenant's proposed plans and uses
         are permitted under applicable zoning and development approvals. If
         Tenant fails to timely give notice of termination as provided above,
         this lease shall remain in full force and effect, binding upon Tenant
         in accordance with its terms.

     (b) Board Approval. This lease is contingent upon the approval of this
         lease by Tenant's Board of Directors. Tenant will notify Landlord of
         such approval by the end of the business day following the date on
         which such approval is adopted, and will provide with such notice
         certified resolutions or other evidence reasonably acceptable to
         Landlord of such Board approval. If such Board approval is not granted
         by January 17, 2001, either Landlord or Tenant may terminate this lease
         by giving written notice to the other. At the request of either party
         following such approval, Landlord and Tenant agree to confirm in
         writing that this contingency has been satisfied.

38.  Broker's Commission. In connection with the leasing of space in the
Project, Woodbridge Partners, Inc. ("Broker") has introduced MGI Pharma, Inc.
("MGI Pharma") as a prospective tenant of the Project and will be entitled to
the payment of a Commission ("Commission") in connection with the leasing of
space in the Project by Liberty Property Trust,

                                      33
<PAGE>

the Landlord of the Project ("Landlord"), to MGI Pharma according to the terms
as set forth herein.

Landlord shall pay Broker a Commission, as provided below, with respect to the
Premises initially leased by MGI Pharma (the "Initial Space") pursuant to this
lease, with respect to any expansion space leased to MGI Pharma in the Project
("Expansion Space"), and with respect to any renewal or extension of any lease
(whether pursuant to an express extension right granted in this lease or
otherwise) by MGI Pharma for any space in the Project ("Lease Renewal").

The Commission for the Initial Space shall be $3.00 per rentable square foot.
The Commission for any Expansion Space shall be paid at the rate of sixty cents
($0.60) per rentable square foot per year for the term of the Expansion Space,
not to exceed in any event $3.00 per rentable square foot. The Commission for
any Lease Renewal shall be paid at the rate of sixty cents ($0.60) per rentable
square foot per year of the renewal lease term, not to exceed for any single
renewal event $3.00 per rentable square foot. The Commission with respect to the
Initial Space shall be payable one-half upon the waiver or satisfaction of the
Tenant contingencies provided in Section 37, and one-half upon the commencement
of payments by MGI Pharma of the full minimum annual rent and additional rent
hereunder. The Commission with respect to any Expansion Space shall be payable
one-half upon the full execution and delivery of the lease amendment adding
Expansion Space, and one-half upon the commencement of payments by MGI Pharma of
the full minimum annual rent and additional rent thereunder. The Commission with
respect to a Lease Renewal shall be payable one-half upon the full execution and
delivery of the document binding Landlord and MGI Pharma to the renewal or
extension term, and one-half upon the commencement of payments by MGI Pharma of
the full minimum annual rent and additional rent for the renewal or extension
term.

Landlord acknowledges that Woodbridge Partners, Inc. represents MGI Pharma and
that Landlord does not rely on Woodbridge Partners, Inc. for advice or
representation. If MGI Pharma notifies Landlord in writing that MGI Pharma has
retained a real estate broker other than Woodbridge Partners, Inc. to represent
it in connection with any extension, renewal, expansion or new lease in the
Project, Landlord shall not be obligated to pay Woodbridge Partners, Inc. a
commission with respect to any such lease transaction consummated following such
notice.

MGI Pharma represents and warrants to Landlord that Woodbridge Partners, Inc. is
the only broker or finder that MGI Pharma has had any dealings, negotiations or
consultations with relating to the Premises or this transaction and that no
other broker or finder called the Premises to MGI Pharma's attention for lease
or took any part in any dealings, negotiations or consultations relating to the
Premises or this lease. MGI Pharma agrees to be responsible for, indemnify,
defend and hold harmless Landlord from and against all costs, fees (including,
without limitation, attorney's fees), expenses, liabilities and claims incurred
or suffered by Landlord arising from any breach by MGI Pharma of MGI Pharma's
foregoing representation and warranty, excluding any other broker retained by
MGI Pharma in connection with an expansion or renewal of whom MGI Pharma
notifies Landlord.

39.  Satellite Dish. Provided that Tenant is not in material default (beyond
applicable cure periods) under this lease, Tenant shall have the right to
install, maintain and repair up to three (3)

                                      34
<PAGE>

satellite dish antennae (the "Antennae") on the Property under and subject to
the following conditions:

     (a) Tenant shall comply with all Laws and Requirements.

     (b) Tenant shall obtain Landlord's prior approval of the location of the
         Antennae on the Property and of the specifications for the Antennae. If
         Landlord approves installation of the Antennae on the roof of the
         Building, Tenant agrees to consult with Landlord's roofing contractor
         prior to installation and strictly to comply with the roofing
         contractor's recommendations and requirements. Tenant shall pay all
         costs incurred by Landlord in connection with the Antennae including
         without limitation all architectural, engineering, contractors' and
         legal fees.

     (c) Tenant shall comply with the provisions of Sections 9(b)(i) through
         (iv) of this lease.

     (d) At least 3 business days prior to installation, Tenant shall notify
         Landlord of the date and time of the installation. Tenant shall install
         the Antennae only if Landlord is present with Tenant at the
         installation.

     (e) Tenant shall maintain the Antennae in a safe, good and orderly
         condition. The installation, maintenance, repair and removal of the
         Antennae shall be performed at Tenant's sole expense in a manner which
         will not impair the integrity of, damage or adversely affect the
         warranty applicable to, the roof or any other portion of the Property.

     (f) No later than the expiration or sooner termination of the Term, at
         Tenant's sole expense, Tenant shall remove the Antennae and repair any
         resulting damage.

     (g) Tenant's indemnification of Landlord pursuant to Section 15 of this
         lease also applies to the Antennae and Tenant's use of any portion of
         the Property therefor. Without limiting the foregoing, Tenant solely
         shall be responsible for any damages or injury caused by or in any way
         relating to the Antennae, including, but not limited to, damage or
         injury caused by reason of the Antennae collapsing or being blown from
         the roof or any other portion of the Property.

     (h) Use of the Antennae shall be limited to the personal use of Tenant or
         the personal use of any subtenant or assignee occupying the Premises;
         Tenant shall have no right to license, lease or sublet the use of the
         Antennae to any third party; without limiting the foregoing, the
         Antennae shall not be used to provide any collocation rights or
         services or otherwise for commercial purposes by any company in the
         communications business.

40.  Back-up Generator. Subject to Landlord's reasonable approval of the size
and location thereof, Tenant shall have the right, at its expense, to install,
maintain, operate, repair and replace as necessary a back-up generator serving
the Premises. Tenant shall be responsible

                                      35
<PAGE>

for obtaining any necessary permits or other approvals for the installation and
operation of the generator, and shall comply with all Laws and Requirements
applicable thereto. Upon the expiration or termination of this lease, Tenant, at
its expense, shall remove the generator and any related installations, shall
repair any damage resulting from such removal, and shall restore the Property to
the condition existing prior to the installation.

     IN WITNESS WHEREOF, and in consideration of the mutual entry into this
lease and for other good and valuable consideration, and intending to be legally
bound, Landlord and Tenant have executed this lease.

Date signed:                    Landlord:

1/03/01                         LIBERTY PROPERTY LIMITED PARTNERSHIP

                                By: Liberty Property Trust, Sole General Partner

                                By: /s/ Robert L. Kiel
                                   ---------------------------------
                                   Name: Robert L. Kiel
                                   Title: Senior Vice President
                                          Regional Director

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

                                                   ___Regional Manager

                                                   ___Leasing Representative

                                                   ___Property Manager

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

Date signed:                    Tenant:

12-21-00                        MGI PHARMA, INC.

                                By: /s/ Chuck Blitzer
                                    --------------------------------
                                    Its:  CEO
                                        ----------------------------

                                                  [Initials 1/2/01 and 12/20/00]

                                      36

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