Document:

ex10_1.htm

  
Exhibit 10.1

SEVENTH LEASE MODIFICATION AGREEMENT

THIS SEVENTH LEASE MODIFICATION AGREEMENT (the “Agreement”), entered into as of the 9th day of June, 2009, by and between NEW HANOVER PUBLIC WAREHOUSING LLC, a Delaware limited liability company, having an office at 210 Route 4 East, Paramus, New Jersey 07652 (“Landlord”) and FIVE STAR GROUP, INC., a Delaware corporation,
having an office at 903 Murray Road, PO Box 1960, East Hanover, New Jersey 07936 (“Tenant”).

 

W I T N E S S E T H:

 

WHEREAS, Vornado, Inc. and J. Leven & Co. heretofore entered into a lease, dated May 11, 1983 and amended by Lease Modification and Extension Agreement, dated July 25, 1988, as amended by Lease Modification and Extension Agreement, dated as of March 1, 1992, as amended by Lease Modification and Extension Agreement, dated as of January
1, 1994, as amended by Lease Modification and Extension Agreement, dated June 6, 1996, and as amended by a Fifth Lease Modification and Extension Agreement, dated December 22, 2006, as amended by a Sixth Lease Modification and Extension Agreement, dated March 4, 2008 (collectively, the “Lease”), covering certain premises consisting of 236,195 square feet of floor area, Space No. 1 (the “Demised Premises”), located in East Hanover, New Jersey as more particularly described in the Lease;
and

 

WHEREAS, all of the right, title and interest of Vornado, Inc., as Landlord under the Lease, was heretofore acquired by New Hanover Public Warehousing LLC; and

 

WHEREAS, all of the right, title and interest of J. Leven & Co., as Tenant under the Lease, was heretofore acquired by Five Star Group, Inc.; and

 

 

 

 

 

WHEREAS, Landlord and Tenant desire to modify the Lease, as hereinafter set forth in this Agreement.

 

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

 

1.           All capitalized terms used in this Agreement to the extent not otherwise expressly defined herein, shall have the same meanings ascribed to them in the Lease.

 

2.           (a)           Provided Tenant is not then in Default under the terms of this Lease and provided further that this Lease has not therefore been terminated pursuant to the provisions hereof, Tenant shall have the option
to renew this Lease for one additional period of six (6) months (the “Renewal Term”).  The option to renew shall expire and be of no force or effect unless exercised by Tenant giving written notice thereof to Landlord sent not later than June 30, 2009.  The failure by Tenant to notify Landlord of its intent to renew this Lease by the required date shall be deemed a waiver of Tenant’s right to renew this Lease for the Renewal Term.

 

(b)           All of the terms, conditions and provisions of this Lease shall remain in full force and effect during the Renewal Term, including the Minimum Rent which shall remain at $1,535,267.50 per annum ($127,938.96/month).

 

(c)           Neither the foregoing option granted to Tenant to renew this Lease, nor the exercise thereof by Tenant, shall prevent Landlord from exercising any right granted or reserved to Landlord in this Lease or which Landlord may have by virtue of any law to terminate this Lease,
either during the original Term or during the Renewal Term.  Any termination of this Lease shall serve to terminate the renewal option whether or not Tenant shall have exercised same.  Any right on the part of Landlord to terminate this Lease shall continue during the Renewal Term, and the foregoing option granted to Tenant to renew this Lease shall not be deemed to give Tenant any further option to renew this Lease.

 

 

 

 

 

3.           Landlord has appointed Vornado Realty Trust (“Vornado”), whose address is 210 Route 4 East, Paramus, New Jersey 07652, as its authorized signatory to execute this Agreement.  Tenant acknowledges that Vornado will not be acting in a personal capacity,
but rather in a representative capacity as the authorized signatory for Landlord.  Tenant agrees that it shall look, only to Landlord for the performance of Landlord’s obligations under the Lease as modified by this Agreement and for the satisfaction of any right of Tenant for the collection of any claim, judgment or other judicial determination (whether at law or in equity) or arbitration award requiring the payment of money, and neither Vornado nor any of its or Landlord’s agents, incorporators,
shareholders, beneficiaries, trustees, officers, directors, employees, partners, principals (disclosed or undisclosed) or affiliates or any of their respective assets or property shall be subject to any claim, judgment, levy, lien, execution, attachment or other enforcement procedure (whether at law or in equity) for the satisfaction of Tenant’s rights and remedies under or with respect to the Lease as modified by this Agreement, the relationship of Landlord and Tenant under the Lease as modified by this
Agreement or under law, or Tenant’s use and occupancy of the Demised Premises or any liability or obligation of Landlord to Tenant.  The limitation of Landlord’s liability under the Lease as modified by this Agreement, including any waiver of subrogation rights, shall apply with equal force and effect to, and as a limitation on and a waiver of any liability of, Vornado.

 

4.           Tenant represents and warrants that it is not listed, nor is it owned or controlled by, or acting for or on behalf of any person or entity, on the list of Specially Designated Nationals and Blocked Persons maintained by the Office of Foreign Assets Control of the United
States Department of the Treasury, or any other list of persons or entities with whom Landlord is restricted from doing business with (AOFAC List@).  Notwithstanding anything to the contrary herein contained, Tenant shall not permit the Demised Premises or any portion thereof to be used, occupied or operated by or for the benefit of any person or entity that is on the OFAC List.  Tenant shall provide documentary and other evidence of Tenant’s identity and ownership as may be reasonably
requested by Landlord at any time to enable Landlord to verify Tenant’s identity or to comply with any legal requirement.

 

 

 

 

 

5.           Except as amended by this Agreement, the terms and conditions of the Lease shall continue in full force and effect and is hereby ratified in its entirety.  In the event of a conflict between the terms of this Agreement and the terms of the Lease, the terms of
this Agreement shall govern the rights and obligations of the parties.

 

6.           This Agreement shall be binding upon and inure to the benefit of the parties hereto and to the extent as allowed in the Lease, their respective successors, assigns and legal representatives.

 

7.           This Agreement shall be construed in accordance with the laws of the State in which the Demised Premises is situated.

 

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

 

 

 

 

 

	
  ATTEST:

 

 

 

 

 

  _____________________________
	
  LANDLORD: New Hanover Public 

  Warehousing LLC

 

  By: Vornado Realty Trust, as its Authorized 

  Signatory

 

  By:  /s/  [Not legible]                 

  Name:

  Title:

	
  ATTEST: :

 

 

 

  /s/ Carole Nussbaum                                
	
  TENANT: Five Star Group, Inc.

 

 

 

  By:   /s/ Joseph Leven               

  Name:    Joseph Leven

  Title:     Senior Vice President

 

 

	
STATE OF     
	N.J.	
)
	  
	  	  	
)               
	ss.:
	
COUNTY OF  
	MORRIS          	
)
	  

 

On this 9th day of  June, 2009, before me personally came to me Joseph Leven known, who, being by me duly sworn, did depose and say that he resides at                                     that
he is the Senior Vice President of Five Star Group, Inc., the corporation described in and which executed the foregoing instrument; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
                /s/ Annegret M. Sandau                

 

 

Notary Public

 

 

 

 

 

 

AFFIRMATION OF GUARANTOR

 

The undersigned acknowledges this Agreement as being part of the Lease for the purpose of the Guaranty, dated May 4, 1983, and further acknowledges and reaffirms its continued obligations under the Guaranty for the full performance of Tenant’s or its assignee’s obligations under the Lease and any amendments, modifications or
alterations thereto (including this Agreement), including the payment of all amounts that may become due and payable by the Tenant to or for the benefit of the Landlord.

 

	
 

 

 

 

  

  Dated:  June 9, 2009                                                     
	
  Guarantor:

  National Patent Development Corporation

 

 

 

  /s/ Ira J. Sobotko                              

  Name:  Ira J. Sobotko

  Title:  VP, CFO

 

 

	
STATE OF     
	N.J.	
)
	  
	  	  	

)               

	  ss.:
	
COUNTY OF  
	MORRIS          	
)
	  

 

On this 9th day of  June, 2009, before me personally came to me Ira Sobotko known, who, being by me duly sworn, did depose and say that he resides at                                     that
he is the VP, CFO of National Patient Development Corporation, the corporation described in and which executed the foregoing instrument; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
         /s/ Annegret M. Sandau                  

 

 

Notary Public

 

 

 

 

 

SIXTH LEASE MODIFICATION AND EXTENSION AGREEMENT

THIS SIXTH LEASE MODIFICATION AND EXTENSION AGREEMENT (the “Agreement”), entered into as of the 4th day of March, 2008,  by and between NEW HANOVER PUBLIC WAREHOUSING LLC, a Delaware limited liability company, having an office at
210 Route 4 East, Paramus, New Jersey 07652 (“Landlord”) and FIVE STAR GROUP, INC., a Delaware corporation, having an office at 903 Murray Road, P0 Box 1960, East Hanover, New Jersey 07936 (“Tenant”).

WITNESSETH:

WHEREAS, Vornado, Inc. and J. Leven & Co. heretofore entered into a lease, dated May 11, 1983 and amended by Lease Modification and Extension Agreement, dated July 25, 1988, as amended by Lease Modification and Extension Agreement, dated as of March 1, 1992, as amended by Lease Modification and Extension Agreement, dated as of January
1, 1994, as amended by Lease Modification and Extension Agreement, dated June 6, 1996, and as amended by a Fifth Lease Modification and Extension Agreement, dated December 22, 2006 (collectively, the “Lease”), covering certain premises consisting of 236,195 square feet of floor area, Space No. I (the “Demised Premises’), located in East Hanover, New Jersey as more particularly described in the Lease; and

 

WHEREAS, all of the right, title and interest of Vornado, Inc., as Landlord under the Lease, was heretofore acquired by New Hanover Public Warehousing LLC; and

 

WHEREAS, all of the right, title and interest of J. Leven & Co., as Tenant under the Lease, was heretofore acquired by Five Star Group, Inc.; and

 

WHEREAS, Landlord and Tenant desire to extend the Term of the Lease and to modify the Lease, as hereinafter set forth in this Agreement.

 

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

 

1. All capitalized terms used in this Agreement to the extent not otherwise expressly defined herein, shall have the same meanings ascribed to them in the Lease.

 

 

 

 

 

2.        The Term of the Lease is hereby extended by one (1) year commencing on April 1, 2009
and expiring on March 31,2010 (“Extended Term”).

 

3. Tenant shall pay Minimum Rent to Landlord at the annual rate of One Million Five Hundred Thirty-Five Thousand Two Hundred Sixty-Seven Dollars 50/100
Cents ($1,535,267.50) ($127,938.96/month), for the period from April 1, 2009 through March 31, 2010.

 

4. During the Extended Term, all other Rent, charges, rates and sums payable by Tenant shall be payable in the same manner as provided in the Lease.

 

5. Landlord has appointed Vornado Realty Trust (“Vornado”), whose address is 210 Route 4 East, Paramus, New Jersey 07652, as its authorized signatory to execute this Agreement Tenant acknowledges that Vornado will not be acting in a personal capacity,
but rather in a representative capacity as the authorized signatory for Landlord. Tenant agrees that it shall look only to Landlord for the performance of Landlord’s obligations under the Lease as modified by this Agreement and for the satisfaction of any right of Tenant for the collection of any claim, judgment or other judicial determination (whether at law or in equity) or arbitration award requiring the payment of money, and neither Vornado nor any of its or Landlord’s agents, incorporators, shareholders,
beneficiaries, trustees, officers, directors, employees, partners, principals (disclosed or undisclosed) or affiliates or any of their respective assets or property shall be subject to any claim, judgment, levy, lien, execution, attachment or other enforcement procedure (whether at law or in equity) for the satisfaction of Tenant’s rights and remedies under or with respect to the Lease as modified by this Agreement, the relationship of Landlord and Tenant under the Lease as modified by this Agreement or
under law, or Tenant’s use and occupancy of the Demised Premises or any liability or obligation of Landlord to Tenant. The limitation of Landlord’s liability under the Lease as modified by this Agreement, including any waiver of subrogation rights, shall apply with equal force and effect to, and as a limitation on and a waiver of any liability of, Vornado.

 

6.        Landlord and Tenant represent that there was no broker instrumental in consummating this Agreement, and that no conversations or prior negotiations were had with any broker concerning the Extended Term.
Landlord and Tenant agree to indemnity, defend and hold each other harmless from and against any claims for brokerage commission or compensation arising out of any conversations or negotiations had by them with any broker with respect to the Extended Term.

 

 

 

 

 

7.        Tenant represents and warrants that it is not listed, nor is it owned or controlled by, or acting for or on behalf of any person or entity, on the list of Specially Designated Nationals and Blocked Persons maintained by the Office of Foreign Assets Control of the United States Department
of the Treasury, or any other list of persons or entities with whom Landlord is restricted from doing business with (“OFAC List”). Notwithstanding anything to the contrary herein contained, Tenant shall not permit the Demised Premises or any portion thereof to be used, occupied or operated by or for the benefit of any person or entity that is on the OFAC List. Tenant shall provide documentary and other evidence of Tenant’s identity and ownership as may be reasonably requested by Landlord at
any time to enable Landlord to verify Tenant’s identity or to comply with any legal requirement.

 

8.        Except as amended by this Agreement, the terms and conditions of the Lease shall continue in full force and effect and is hereby ratified in its entirety. In the event of a conflict between the terms of this Agreement and the terms of the Lease, the terms of this Agreement shall govern
the rights and obligations of the parties.

 

9.        This Agreement shall be binding upon and inure to the benefit of the parties hereto and to the extent as allowed in the Lease, their respective successors, assigns and legal representatives.

 

10.        This Agreement shall be construed in accordance with the laws of the State in which the Demised Premises is situated.

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 

 

 

 

 

 

 

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

	
ATTEST:
	  	
LANDLORD:  New Hanover Public

	  	  	
Warehousing LLC

	  	  	
By:  Vornado Realty Trust, as its

	  	  	
Authorized Signatory

	  	  	  
	
/s/ Suzanne H. Weir
	  	 	
/s/ Sandeep Mathrani

	  	  	
Name:   
	
Sandeep Mathrani

	  	  	
Title:
	
Executive Vice President

	  	  	  
	
ATTEST:
	  	
TENANT:  Five Star Group, Inc.

	  	  	  
	
/s/ Ira Sobotko
	  	By:    	          /s/ John C. Belknap
	  	  	
Name:   
	
John C. Belknap

	  	  	
Title:
	
Vice President

 

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

 

On this 20th day of February, 2008, before me personally came to me John Belknap  known, who being by me duly sworn, did depose and say that he resides at Bedford Cors, NY that he is the Vice President of Five Star Group, Inc., the corporation described in and which executed the
foreign instrument; that he know the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

In witness whereof I hereunto set my hand and official seal.

 

	
(Notarial Seal)
	
          /s/ Andy Collado          

	  	
Notary Public

AFFIRMATION OF GUARANTOR

The undersigned acknowledges this Agreement as being part of the Lease for the purpose of their Guaranty, dated May 4, 1983, and further acknowledges and reaffirms its continued obligation sunder the Guaranty for the full performance of Tenant’s or its assignee’s obligations under
the Lease and any amendments, modifications or alternation thereto (including this Agreement), including the payment of all amounts that may become due and payable by the Tenant to or for the benefit of the Landlord.

 

	  	  	  	
Guarantor:

	  	  	  	
National Patent Development Corporation

	
Dated:
	
February 20, 2008
	  	 	
/s/ John C. Belknap

	  	  	  	
Name:   
	
John C. Belknap

	  	  	  	Title:    Vice President

 

 

 

 

 

	
STATE OF     
	  	
   )
	  
	  	   	
   ) ss.:
	  
	
COUNTY OF  
	  	
   )
	  

On this 20th day of February, 2008, before me personally came to me John Belknap  known, who being by me duly sworn, did depose and say that he resides at Bedford Cors, NY that he is the Vice President of National Patent Development Corporation, the corporation described in and which executed the foreign instrument; that he
know the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

In witness whereof I hereunto set my hand and official seal.

  

	
(Notarial Seal)
	
          /s/ Andy Collado          

	  	
Notary Public

 

 

 

 

 

 

 

FIFTH LEASE MODIFICATION AND EXTENSION AGREEMENT

 

THIS FIFTH LEASE MODIFICATION AND EXTENSION AGREEMENT (the “Agreement”), entered into as of the 22nd day of December, 2006, by and between NEW HANOVER PUBLIC WAREHOUSING LLC, a Delaware limited liability company, having an office at 210 Route 4 East, Paramus, New Jersey 07652 (“Landlord”) and FIVE STAR GROUP, INC.,
a Delaware corporation, having an office at 903 Murray Road, PO Box 1960, East Hanover, New Jersey 07936 (“Tenant”).

 

W I T N E S S E T H:

 

WHEREAS, Vornado, Inc. and J. Leven & Co. heretofore entered into a lease, dated May 11, 1983 and amended by Lease Modification and Extension Agreement, dated July 25, 1988, as amended by Lease Modification and Extension Agreement, dated as of March 1, 1992, as amended by Lease Modification and Extension Agreement, dated as of January
1, 1994 and as amended by Lease Modification and Extension, dated June 6, 1996 (collectively, the “Lease”), covering certain premises consisting of 236,195 square feet of floor area, Space No. 1 (the “Demised Premises”), located in East Hanover, New Jersey as more particularly described in the Lease; and

 

WHEREAS, all of the right, title and interest of Vornado, Inc., as Landlord under the Lease, was heretofore acquired by New Hanover Public Warehousing LLC; and WHEREAS, all of the right, title and interest of J. Leven & Co., as Tenant under the Lease, was heretofore acquired by Five Star Group, Inc.; and

 

WHEREAS, Landlord and Tenant desire to extend the Term of the Lease and to modify the Lease, as hereinafter set forth in this Agreement.

 

 

 

 

 

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

 

1.           All capitalized terms used in this Agreement to the extent not otherwise expressly defined herein, shall have the same meanings ascribed to them in the Lease.

 

2.           The Term of the Lease is hereby extended by two (2) years commencing on March 15, 2007 and expiring on March 31, 2009 (“Extended Term”).

 

3.           Tenant shall pay Minimum Rent to Landlord at the annual rate of One Million Two Hundred Ninety-Nine Thousand Seventy-Two Dollars 50/100 Cents ($1,299,072.50) ($108,256.04/month), for the period from March 15, 2007 through March 14, 2009.  For the period from
March 15, 2009 through March 31, 2009, Minimum Rent shall be in the amount of Fifty Nine Thousand Three Hundred Six Dollars and 21/100 cents ($59,366.21).

 

4.           During the Extended Term, all other Rent, charges, rates and sums payable by Tenant shall be payable in the same manner as provided in the Lease.

 

5.           Landlord has appointed Vornado Realty Trust (“Vornado”), whose address is 210 Route 4 East, Paramus, New Jersey 07652, as its authorized signatory to execute this Agreement.  Tenant acknowledges that Vornado will not be acting in a personal capacity,
but rather in a representative capacity as the authorized signatory for Landlord.  Tenant agrees that it shall look only to Landlord for the performance of Landlord’s obligations under the Lease as modified by this Agreement and for the satisfaction of any right of Tenant for the collection of any claim, judgment or other judicial determination (whether at law or in equity) or arbitration award requiring the payment of money, and neither Vornado nor any of its or Landlord’s agents, incorporators,
shareholders, beneficiaries, trustees, officers, directors, employees, partners, principals (disclosed or undisclosed) or affiliates or any of their respective assets or property shall be subject to any claim, judgment, levy, lien, execution, attachment or other enforcement procedure (whether at law or in equity) for the satisfaction of Tenant’s rights and remedies under or with respect to the Lease as modified by this Agreement, the relationship of Landlord and Tenant under the Lease as modified by this
Agreement or under law, or Tenant’s use and occupancy of the Demised Premises or any liability or obligation of Landlord to Tenant.  The limitation of Landlord’s liability under the Lease as modified by this Agreement, including any waiver of subrogation rights, shall apply with equal force and effect to, and as a limitation on and a waiver of any liability of, Vornado.

 

 

 

 

 

6.           Landlord and Tenant represent that there was no broker (other than Cushman & Wakefield of New Jersey, the “Broker”) instrumental in consummating this Agreement, and that no conversations or prior negotiations were had with any broker (other than Broker)
concerning the Extended Term.  The brokerage commission shall be the obligation of the Landlord.  Landlord and Tenant agree to indemnify, defend and hold each other harmless from and against any claims for brokerage commission or compensation arising out of any conversations or negotiations had by them with any broker (other than Broker) with respect to the Extended Term.

 

7.           Tenant represents and warrants that it is not listed, nor is it owned or controlled by, or acting for or on behalf of any person or entity, on the list of Specially Designated Nationals and Blocked Persons maintained by the Office of Foreign Assets Control of the United
States Department of the Treasury, or any other list of persons or entities with whom Landlord is restricted from doing business with (“OFAC List”).  Notwithstanding anything to the contrary herein contained, Tenant shall not permit the Demised Premises or any portion thereof to be used, occupied or operated by or for the benefit of any person or entity that is on the OFAC List.  Tenant shall provide documentary and other evidence of Tenant’s identity and ownership as may
be reasonably requested by Landlord at any time to enable Landlord to verify Tenant’s identity or to comply with any legal requirement.

 

 

 

 

 

8.           Except as amended by this Agreement, the terms and conditions of the Lease shall continue in full force and effect and is hereby ratified in its entirety.  In the event of a conflict between the terms of this Agreement and the terms of the Lease, the terms of
this Agreement shall govern the rights and obligations of the parties.

 

9.           This Agreement shall be binding upon and inure to the benefit of the parties hereto and to the extent as allowed in the Lease, their respective successors, assigns and legal representatives.

 

10.         This Agreement shall be construed in accordance with the laws of the State in which the Demised Premises is situated.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 

 

 

 

 

 

 

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

 

	
ATTEST:
	  	
LANDLORD:  New Hanover Public

	  	  	
Warehousing LLC

	  	  	
By:  Vornado Realty Trust, as its

	  	  	
Authorized Signatory

	  	  	  
	
/s/ Suzanne H. Weir
	  	 	
/s/ Sandeep Mathrani

	  	  	Name:   	
Sandeep Mathrani

	  	  	Title:    	
Executive Vice President

	  	  	  
	
ATTEST:
	  	
TENANT:  Five Star Group, Inc

	  	  	  
	
/s/ Vicki Macias
	  	
By:
	
/s/ Joseph Leven

	  	  	
Name:  
	
Joseph Leven

	  	  	
Title:
	
Vice President

 

	
STATE OF     
	N.J.	
)
	  
	  	  	
)               
	  ss.:
	
COUNTY OF  
	MORRIS          	
)
	  

 

On this 20th day of  November, 2006, before me personally came to me Joseph Leven known, who, being by me duly sworn, did depose and say that he resides at that he is the Vice President of Five Star Group, Inc., the corporation described in and which executed the foregoing instrument; that he knows the seal of said corporation,
that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
         /s/ Annegret M. Sandau                    

 

 

Notary Public

 

 

 

 

 

LEASE MODIFICATION AND EXTENSION  AGREEMENT

 

THIS AGREEMENT, made this 6th day of June, 1996, by and between Hanover Public Warehousing, Inc., a New Jersey corporation, having an office at Park 80 West, Plaza II, Saddle Brook, New Jersey 07663 ("Landlord"), and Five Star Group, Inc., a Delaware corporation (successor by corporate merger to J. Leven & Co.), having an address at
903 Murray Road, P.O. Box 1960, Emit Hanover, New Jersey 07936 ("Tenant").

W I T N E S S E T H:

WHEREAS, Landlord's predecessor in interest and Tenant's predecessor in interest entered into a lease, dated May 11, 1983, (as same may have been amended from time to time, the "Lease"), covering certain premises consisting of 192,513 square feet of floor area (the "Demised Premises") in the "Building" (as defined in the Lease" located
in the "Complex" (as defined the Lease) situated in East Hanover, New Jersey; and

 

WHEREAS, all of the right, title and interest of Vornado, Inc. as Landlord under the Lease was heretofore acquired by Hanover Public Warehousing, Inc.; and

 

WHEREAS, Landlord and Tenant desire to modify the Lease so as to increase the floor area of the Demised Premises, to increase the "Rent" (as defined in the Lease) payable by Tenant and to change the Lease in other respects, all as hereinafter set forth in this Agreement; and

 

NOW, THEREFORE, in consideration of the terms and provisions herein contained, the Lease is modified as follows:

 

1.           From and after the "Fourth Additional Space Commencement Date" (as hereinafter defined), Exhibit A attached to the Lease shall be deleted in its entirety and all references to Exhibit
A in the Lease shall be deemed to refer to Exhibit A-4 attached hereto and made a part hereof.

 

 

 

 

 

2.           From and after the Fourth Additional Space Commencement Date the size of the Demised Premises, presently consisting of 192,513 square feet of floor area, shall be changed and increased to 236,195 square feet of floor area.  The changed and increased Demised Premises
is shown on Exhibit A-4.  The floor area hereby added to the Demised Premises is hereinafter sometimes referred to as the "Fourth Additional Space".

 

3.           Except for "Landlord's Work" as described on Exhibit B attached hereto and made a part hereof, Tenant shall accept possession of the Fourth Additional Space
in its present "As Is" condition and shall, at its own expense, perform all work necessary to make the Second Additional Space suitable for Tenant's business operation at the Demised Premises. Such work shall be performed by Tenant in accordance with the provisions of Section 3.04 of the Lease. Landlord shall commence Landlord's Work as soon as the current tenant vacates the Fourth Additional Space.

 

4.           Effective as of the Fourth Additional Space Commencement Date, Section 1.03 of the Lease shall be deemed to be deleted in its entirety and the following shall
be deemed to be inserted in its place and stead:

 

"Section 1.03.     Expiration Date:   Means March 14, 2007."

 

5.           Effective as of the Fourth Additional Space Commencement Date, the "Minimum Rent" (as defined in the Lease) shall be increased as follows and Section 1.04 of
the Lease shall be deemed to be amended accordingly:

 

"(i)           From the Fourth Additional Space Commencement Date through March 14, 1997, Minimum Rent shall be the sum of $767,633.75 per annum; and

 

 

 

 

 

(ii)            From March 15, 1997 through March 14, 2002, Minimum Rent shall be the sum of $885,731.25; and

(iii)           From March 15, 2002 through March 14, 2007, Minimum Rent shall be the sum of $944,780.00 per annum."

6.           Effective as of the Fourth Additional Space Commencement Date, the floor area of the entire Demised Premises (236,195 square feet) shall be included in the numerator and denominator of Tenant's "Pro Rata Share" (as defined
in the Lease).

 

7.           "Fourth Additional Space Commencement Date" means the later to occur of:  (i) September 1, 1996; or (ii) the date that the current Tenant vacates the Fourth Additional Space.

 

8.           As herein expressly modified and supplemented, all of the terms, covenants and conditions of the Lease shall remain in full force and effect and be binding upon and inure to the benefit of the parties hereto and their respective
successors and assigns.

 

 

 

 

 

 

 

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

	
ATTEST:
	  	
LANDLORD:  Hanover Public Warehousing, Inc.

	
 
	  	  
	
/s/ Susan D. Schmider
	  	
By:
	
/s/ Joseph Macnow

	  	  	  
	
ATTEST:
	  	
TENANT:  Five Star Group, Inc.

	
 
	  	  
	
/s/ Ira J. Sobotko
	  	
By:
	
/s/ Richard Grad

	  	  	  
	
CONSENTED TO:
	  	
ATTEST:

	
 
	  	  
	
By:
	
/s/ Scott Greenberg
	  	
/s/ Lydia De Santis

 

Dated: June 6th, 1996

 

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

 

On this 6th day of June, 1996, before me personally came to me Richard Grad known, who, being by me duly sworn, did depose and say that he resides at 903 Murray Road, E. Hanover, New Jersey, that he is the President
of Five Star Group, Inc., the corporation described in and which executed the foregoing Lease Modification and Extension Agreement; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

In witness whereof I hereunto set my hand and official seal.

  

	 	
        /s/ Nancy Harger                          

	
(Notarial Seal)
	
Notary Public

 

 

 

 

  

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

 

On this 6th day of June, 1996, before me personally came to me Scott N. Greenberg known, who, being by me duly sworn, did depose and say that he resides at 9 West 57th Street, New York, New York, that he is the
V.P. & Chief Financial Officer of National Patent Development Corporation, the corporation described in and which executed the foregoing Lease Modification and Extension Agreement; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

In witness whereof I hereunto set my hand and official seal.

  

	 	
                   /s/ Nancy Harger                   

	
(Notarial Seal)
	
Notary Public

 

 

 

 

 

 

 

EXHIBIT "B"

Landlord's Work

J. Leven

1.           Landlord to demolish entire demising wall.

2.           All electric, plumbing, lighting and heating to be in working order.

3.           Leave fenced area in place.

 

 

 

 

 

 

 

LEASE MODIFICATION AND EXTENSION AGREEMENT

THIS AGREEMENT, made as of January 1, 1994 by and between Hanover Public Warehousing, Inc., a New Jersey corporation, having an office at Park 80 West, Plaza II, Saddle Brook, New Jersey 07662 ("Landlord"), and J. Leven & Co., a New Jersey corporation, having an address at 903 Murray
Road, P.O. Box 1960, East Hanover, New Jersey 07936 ("Tenant").

 

W I T N E S S E T H:

WHEREAS, Landlord's predecessor in interest and Tenant entered into a lease, dated May 11, 1983, (as same may have been amended from time to time, the "Lease"), covering certain premises consisting of approximately 164,341 square feet of floor area (the "Demised Premises") in the "Building"
(as defined in the Lease) located in the "Complex" (as defined in the Lease) situated in East Hanover, New Jersey; and

 

WHEREAS, Landlord and Tenant desire to modify the Lease so as to increase the floor area of the Demised Premises, to increase the "Rent" (as defined in the Lease) payable by Tenant, and to change the Lease in other respects, all as hereinafter set forth in this Agreement; and

 

NOW THEREFORE, in consideration of the terms and provisions herein contained, the Lease is modified as follows:

 

1.           From and after the "Third Additional Space Commencement Date" (as hereinafter defined), Exhibit A attached to the Lease shall be deleted in its entirety and
all references to Exhibit A in the Lease shall be deemed to refer to Exhibit A-3 attached hereto and made a part hereof.

 

2.           From and after the Third Additional Space Commencement Date the size of the Demised Premises, presently consisting of approximately 164,341 square feet of floor area, shall be changed and increased to approximately 192,153
square feet of floor area.  The changed and increased Demised Premises is shown on Exhibit A-3.  The floor area hereby added to the Demised Premises is hereinafter sometimes referred to as the "Third Additional Space".

 

 

 

 

 

3.           Except for "Landlord's Work" as described on Exhibit B attached hereto and made a part hereof, Tenant shall accept possession of the Third Additional Space in its present "As Is" condition and shall, at its own expense, perform
all work necessary to make the Third Additional Space suitable for Tenant's business operation at the Demised Premises, including but not limited to installation (or transfer, as the case may be) of appropriate gas and electric meters. Such work shall be performed by Tenant in accordance with the provisions of Section 3.04 of the Lease. Landlord will commence Landlord's Work as soon as the current tenant vacates the Third Additional Space.

 

4.           Effective as of the Third Additional Space Commencement Date, Section 1.03 of the Lease shall be deemed to be deleted in its entirety and the following shall
be deemed to be inserted in its place and stead:

 

"Section 1.03.   Expiration Date:  Means March 14, 2002"

 

5.           Effective as of the Third Additional Space Commencement Date, the "Minimum Rent" (as defined in the Lease) shall be increased as follows and Section 1.04 of
the Lease shall be deemed to be amended accordingly:

 

"                            (i) From April 1, 1994 through September 14, 1994, Minimum Rent shall be the sum of $576,459.00 per annum;

 

  (ii)           From September 15, 1994 through March 14, 1997, Minimum Rent shall be the sum of $624,497.25 per annum; and

 

 

 

 

 

  (iii)           From March 15, 1997 through March 14, 2002, Minimum rent shall be the sum of $720,573.75 per annum."

 

6.           Effective as of the Third Additional Space Commencement Date, Section 19.11 of the Lease shall be deemed to be deleted in its entirety.  It being
understood and agreed that Tenant shall not have an option to renew the Term of the Lease.

 

7.           Effective as of the Third Additional Space Commencement Date, the floor area of the entire Demised Premises (192,153 square feet) shall be included in the numerator and denominator of Tenant's "Pro Rata Share" (as defined
in the Lease).

 

8.           "Third Additional Space Commencement Date" means January 1, 1994.

 

9.           As herein expressly modified and supplemented, all of the terms, covenants and conditions of the Lease shall remain in full force and effect and be binding upon and inure to the benefit of the parties hereto and their respective
successors and assigns.

 

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

 

	
ATTEST:
	  	
LANDLORD:  Hanover Public Warehousing, Inc.

	
 
	  	  
	
/s/ Susan D. Schmider
	  	
By:  
	
/s/ Joseph Macnow

	  	  	  
	  	  	  
	
ATTEST:
	  	
TENANT:  J. Leven & Co.

	
 
	  	  
	  	  	
By:  
	
/s/ Richard Grad   President

	  	  	  
	
CONSENTED TO:
	  	
ATTEST:

	  	  	  
	
National Patent Development Corporation
	  	  
	  	  	  
	  	  	  
	
By:  
	
/s/ Lawrence M. Gordon
	  	  

Dated:  December    , 19__

 

 

 

 

  

	
STATE OF     
	N.J.	
)
	  
	  	  	
)             
	  ss.:
	
COUNTY OF  
	MORRIS          	
)
	  

 

On this 2nd day of  March, 1994, before me personally came to me Richard Grad known, who, being by me duly sworn, did depose and say that he resides at 87 Chestnut Street, Livingston, N.J. that he is the President of J. Leven & Co., the corporation described in and which executed the foregoing instrument; that he knows the
seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
         /s/ Annegret M. Sandau                    

 

 

Notary Public

 

 

	
STATE OF     
	 	
)
	  
	  	  	
) ss.:
	  
	
COUNTY OF  
	 	
)
	  

 

On this ________ day of June, 1993, before me personally came to me ______________ known, who, being by me duly sworn, did depose and say that he resides at ________________, __________________, that he is the ___________________________ of National Patent Development Corporation, the corporation
described in and which executed the foregoing Lease Modification and Extension Agreement; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

In witness whereof I hereunto set my hand and official seal.

  

	 	
                                                 
                          

	
(Notarial Seal)
	
Notary Public

 

 

 

 

 

	
STATE OF     
	N.J.	
)
	  
	  	  	
)              
	  ss.:
	
COUNTY OF  
	MORRIS          	
)
	  

 

On this 2nd day of  March, 1994, before me personally came to me Richard Grad known, who, being by me duly sworn, did depose and say that he resides at 87 Chestnut Street, Livingston, N.J. that he is the President of J. Leven & Co., the corporation described in and which executed the foregoing instrument; that he knows the
seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
         /s/ Annegret M. Sandau                    

 

 

Notary Public

 

 

 

  

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

 

On this 4 day of April, 1994, before me personally came to me Lawrence M. Gordon known, who, being by me duly sworn, did depose and say that he resides at 30 Talbot Court, Short Hills, NJ, that he is the Vice President of National Patent Development Corporation, the corporation described
in and which executed the foregoing Lease Modification and Extension Agreement; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

In witness whereof I hereunto set my hand and official seal.

  

	 	
               /s/ Lydia M. DeSantis                           

	
(Notarial Seal)
	
Notary Public

 

 

 

 

 

EXHIBIT "B"

Landlord's Work

 

 

1)           All overhead doors in working order.

2)           All mechanicals, electric, plumbing, heating and lighting to be in working order.

	
  
	
a)
	
Lights in office area, which will be removed, shall be replaced with standard warehouse lighting.

	
3)
	
Landlord to demolish office and demising wall except for bathrooms and corridor from front door to bathrooms. Tenant to pay demolition costs.

4)           Entire area to be in broom clean condition.

 

 

 

 

 

 

 

LEASE MODIFICATION AND EXTENSION AGREEMENT

 

THIS AGREEMENT, made as of March 1, 1992, by and between Hanover Public Warehousing, Inc., a New Jersey corporation, having an office at Park 80 West, Plaza II, Saddle Brook, New Jersey 07662 (“Landlord”), and J. Leven & Co., a New Jersey corporation, having an address at 903 Murray Road, P.O. Box 1960, East Hanover, New
Jersey 07936 (“Tenant”).

 

W I T N E S S E T H:

 

WHEREAS, Vornado, Inc. and Tenant entered into a lease, dated May 11, 1983, (as same may have been amended from time to time, the “Lease”), covering certain premises consisting of approximately 112,913 square feet of floor area (the “Demised Premises”) in the “Building” (as defined in the Lease) located
in the “Complex” (as defined in the Lease) situated in East Hanover, New Jersey; and

 

WHEREAS, all of the right, title and interest of Vorando, Inc. as Landlord under the Lease was heretofore acquired by Hanover Public Warehousing, Inc.; and

 

WHEREAS, Landlord and Tenant desire to modify the Lease so as to increase the floor area of the Demised Premises, to increase the “Rent” (as defined in the Lease) payable by Tenant, and to change the Lease in other respects, all as hereinafter set forth in this Agreement; and

 

NOW, THEREFORE, in consideration of the terms and provisions herein contained, the Lease is modified as follows:

 

1.           From and after the “Second Additional Space Commencement Date” (as hereinafter defined), Exhibit A attached to the Lease shall be deleted in its entirety and all references to Exhibit
A in the Lease shall be deemed to refer to Exhibit A-2 attached hereto and made a part hereof.

 

 

 

 

 

2.           From and after the Second Additional Space Commencement Date the size of the Demised Premises, presently consisting of approximately 112,913 square feet of floor area, shall be changed and increased to approximately 164,341 square feet of floor area.  The changed
and increased Demised Premises is shown on Exhibit A-2.  The floor area hereby added to the Demised Premises is hereinafter sometimes referred to as the “Second Additional Space”.

 

3.           Except for “Landlord’s Work” as described on Exhibit B attached hereto and made a part hereof, Tenant shall accept possession of the Second Additional Space in its present “As Is”
condition and shall, at its own expense, perform all work necessary to make the Second Additional Space suitable for Tenant’s business operation at the Demised Premises.  Such work shall be performed by Tenant in accordance with the provisions of Section 3.04 of the Lease.

 

4.           Effective as of the Second Additional Space Commencement Date, Section 1.03 of the Lease shall be deemed to be deleted in its entirety and the following shall be deemed to be inserted in its place and stead:

 

“Section 1.03.  Expiration Date:  Means February 28, 2002.”

 

5.           Effective as of the Second Additional Space Commencement Date, the “Minimum Rent” (as defined in the Lease) shall be increased as follows and Section 1.04 of the Lease shall be deemed to be amended
accordingly:

 

(i)             From March 15, 1992 through September 14, 1994, Minimum Rent shall be the sum of $493,023.00 per annum;

 

(ii)            From September 15, 1994 through March 14, 1997, Minimum Rent shall be the sum of $534,108.25 per annum; and

 

(iii)           From March 15, 1997 through March 14, 2002, Minimum Rent shall be the sum of $616,278.75 per annum.”

 

 

 

 

 

6.           Effective as of the Second Additional Space Commencement Date, Section 19.11 of the Lease shall be deemed to be deleted in its entirety.  It being understood and agreed that Tenant shall not have
an option to renew the Term of the Lease.

 

7.           Effective as of the Second Additional Space Commencement Date, the floor area of the entire Demised Premises (164,341 square feet) shall be included in the numerator and denominator of Tenant’s “Pro Rata Share” (as defined in the Lease).

 

8.           “Second Additional Space Commencement Date” means March 15, 1992.

 

9.           As herein expressly modified and supplemented, all of the terms, covenants and conditions of the Lease shall remain in full force and effect and be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

 

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

 

 

	
ATTEST:
	  	
LANDLORD:  Hanover Public 

                                  Warehousing, Inc.

	
 
	  	  
	
/s/ [Not legible]
	  	
By:  
	
/s/ Joseph Macnow

	  	  	  
	  	  	  
	
ATTEST:
	  	
TENANT:  J. Leven & Co.

	
 
	  	  
	  	  	
By:  
	
/s/ Richard Grad

	  	  	  
	
CONSENTED TO:
	  	
 

	  	  	
ATTEST:

	
National Patent Development Corporation
	  	  
	  	  	  
	  	  	  
	
By:  
	
/s/ Jerome I. Feldman
	  	  

            

Dated:  March 12, 1992

 

 

 

 

  

	STATE OF New Jersey      	
)
	  
	  	  	
) 
	  ss.:
	COUNTY OF Bergen	
)
	  

 

 

On this 12 day of March, 1992, before me personally came to me Richard Grad known, who, being by me duly sworn, did depose and say that he resides at 87 Chestnut Street South, Livingston, N.J. 07039, that he is the President of J. Leven & Co., the corporation described in and which executed the foregoing Lease Modification and Extension
Agreement; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
         /s/ Annegret M. Sandau                    

 

 

Notary Public

 

 

 

 

	STATE OF New Jersey      	
)
	  
	  	  	
) 
	  ss.:
	COUNTY OF Bergen	
)
	  

 

On this 12 day of March, 1992, before me personally came to me Jerome Feldman known, who, being by me duly sworn, did depose and say that he resides at 9 West 57th Street, New York, N.Y. 10019, that he is the President of National Patent Development Corporation,
the corporation described in and which executed the foregoing Lease Modification and Extension Agreement; that he knows the seal of said corporation, that the seal affixed to said instrument is such corporate seal, that it was so affixed by order of the board of directors of said corporation, and that he signed his name thereto by like order.

 

In witness whereof I hereunto set my hand and official seal.

 

	
  (Notarial Seal)
	
         /s/ Annegret M. Sandau                    

 

 

Notary Publicex10_2.htm

  
 Exhibit 10.2

 

FIVE STAR GROUP

Distributors of home decorating, hardware and finishing products

March 24,2008

Mr. Michael Nelson

Vernel Co

1 Gracie Square

New York, NY 10028

Dear Michael,

Five Star Group requests that Vernal Company extend the lease in the Newington, CT facility, for one additional year expiring in March 2010. The rent will remain at the current lease’s rate.

Sincerely,

/s/ Joseph Leven

Joseph Leven

Senior Vice President

Five Star Group

	  	  	  
	  	
3/27/08
	
Agreed and Accepted.

	  	  	
Vernel Company

	  	  	
Marnew Corp. – Gen. Partner

	  	  	
Michael Nelson

	  	  	
/s/ Michael Nelson

 

 

 

 

VERNEL COMPANY

1 Gracie Square

New York, NY 10028

October 12, 2006

Mr. Steve Schilit

Five Star Group

81 Alumni Road

Newington CT 06111

Dear Mr. Schilit:

The purpose of this letter is to set forth the terms of an amendment and extension of the Lease, dated February 1, 1986. as amended on October 5, 1989, and amended by letter agreement of July 25, 1994 and February 9. 2000, and February 2, 2005, between Vernel Company and E. Rabinowe & Co. (the “Lease”) with respect to the
term of the lease and the number of square feet of warehouse space leased thereunder. All terms, provisions and conditions contained in the Lease shall remain the same, except as hereinafter provided.

 

	 	
1.
	
The term of the Lease is hereby extended through February 28, 2009;

	 	
2.
	
As of March 1, 2007, Lessee herby agrees to return to Lessor approximately 4200 square feet of warehouse space rented as of March 1, 2005 in accordance with the letter agreement dated February 2, 2005; and an additional approximately 6700 square feet of warehouse space located in the back of the premises contiguous with the Connecticut
Labor Department;

	 	
3.
	
As of March 1, 2007, Lessee shall pay an annual rent to Lessor at the rate of $3.60 per square foot (90,000 square feet) of Three Hundred Twenty Four Thousand and 00/00 dollars ($324,000) per annum, payable in successive monthly installments of Twenty Seven Thousand 00/00 dollars ($27,000) per month;

	 	
4.
	
As of March 1, 2007, the factor to be used in determining Lessee’s prorated payments to Lessor for Real Estate Taxes, Snow Removal, Insurance and Landscaping shall be 58.66% (based on 105.000 square feet;

	 	
5.
	
Lessee shall pay all the expenses in connection with its return of the warehouse space referred to in paragraph 2 above and shall leave such space in broom clean condition. Such expenses shall include the cost of segregating electricity, gas and lighting;

	 	
6.
	
Lessor shall have the right to cancel the Lease, if there is a signed contract for the sale of the property, at any time after February 28, 2007 upon six months written notice sent to Lessee at the subject premises by registered mail, overnight delivery or by fax. The cancellation of the Lease will become effective on the last day of the
sixth month after the month that notice is sent.

If you are in agreement with the foregoing, please sign the duplicate copy of this letter and return it to me at your earliest convenience.

 

	ACCEPTED AND AGREED:	 	 	 	 
	 	 	Vernel Company	 
	Five Star Group	 	Marnew Corporation – General Partner	 
	 	 	 	 	 	 
	By: 	
/s/ Steve Schilit
	 	By: 	
/s/ Michael Nelson
	 
	Title:   	
Exec V.P.
	 	Title:   	
President  
	 

 

 

 

 

 

VERNEL COMPANY

50 CLOSE ROAD

GREENWICH, CT 06831

 

 

	  	
February 2, 2005

Mr. Steve Schilit

Five Star Group

81 Alumni Road

Newington, CT 06111

 

Re:           E. Rabinowe & Co.

Dear Mr. Schilit:

The purpose of this letter is to set forth the terms of an amendment to the Lease, dated February 1, 1986, as amended on October 5, 1989, and amended in letter agreement of July 25, 1994, and February 9, 2000, between Vernel Company and E. Rabinowe & Co. (the “Lease”) with respect to the renewal option. All terms,
provisions and conditions contained in the Lease shall remain the same, except as hereinafter provided.

 

	
  
	
1.
	
Lessee is Five Star Group, Inc. (“Five Star”). On December 31, 1989, E. Rabinowe & Co. of Connecticut, Inc. merged into Five Star Group, Inc. E. Rabinowe is now a division, not a subsidiary, of Five Star Group, Inc.

 

	
  
	
2.
	
Paragraph 32 - Renewal Option shall be replaced in its entirety by the following:

 

Five Star Group, Inc. (“Five Star”) and Vernel are in agreement that Five Star will rent an additional 4,200 square feet of warehouse space contiguous to their present warehouse, beginning March 1, 2005. The first period will commence on March 1, 2005 and terminate on February 28, 2007. Lessee shall pay an annual rent to
Lessor throughout the first extended term at an annual rate of $3.60 per square foot, (115,900 square feet) or Four Hundred Seventeen Thousand Two Hundred Forty and 00/00 dollars ($417,240.00) per annum, payable in successive monthly installments of Thirty Four Thousand Seven Hundred Seventy and 00/00 dollars ($34,770.00) per month.

 

 

 

 

 

The second period will commence on March 1, 2007 and terminate on February 28, 2012 (sixty months), provided that Lessee shall give Lessor written advance notice of its election to so extend said tern for the second period at least six (6) months prior to March 1, 2007.  If Lessee hall have exercised the renewal option for the
second period, the term of this lease shall be extended for said additional period upon all of the same terms, provisions and conditions as are contained in this lease. Lessee shall pay an annual rent to Lessor throughout the second extended term at an annual rate of $4.00 per square foot (115,900) or Four Hundred Sixty Three Thousand Six Hundred and 00/00 dollars ($463,600.00) per annum, payable in successive monthly installments of Thirty Eight Thousand Six Hundred Thirty Three and 33/00 dollars ($38,633.33)
per month.

If you are in agreement with the foregoing, please sign the duplicate copy of this letter.

 

	ACCEPTED AND AGREED:	 	 	 	 
	 	 	 	 	 
	
VERNEL COMPANY
	 	
FIVE STAR GROUP, INC.
	 
	 	 	 	 	 	 
	By: 	
/s/ Howard Nelson
	 	By: 	
/s/ Steve Schilit 
	 
	Title:   	
President
	 	Title:   	
President  
	 

 

 

 

 

VERNEL COMPANY

50 CLOSE ROAD

GREENWICH, CT 06831

	  	

February 9, 2000

Mr. Steve Schilit

Five Star Group

81 Alumni Road

Newington, CT 06111

	
  
	
Re:
	
E. Rabinowe & Co.

Dear Mr. Schilit:

The purpose of this letter is to set forth the terms of an amendment to the Lease, dated February 1, 1986, as amended on October 5, 1989, and amended in letter agreement of July 25, 1994, between Vernel Company and E. Rabinowe & Co. (the “Lease”) with respect to the renewal option. All terms, provisions and conditions
contained in the Lease shall remain the same, except as hereinafter provided.

	
  
	
1.
	
Lessee is Five Star Group, Inc. (“Five Star”). On December 31, 1989, E. Rabinowe & Co. of Connecticut, Inc. merged into Five Star Group, Inc.  E. Rabinowe is now a division, not a subsidiary, of Five Star Group, Inc.

 

	
  
	
2. 
	
Paragraph 32 - Renewal Option shall be replaced in its entirety by the following:

 

If this lease shall be in full force and effect and Lessee shall not be in material default beyond any applicable grace period provided herein for the cure thereof of any of the covenants and provisions hereof, Renewal Option shall be amended in the following manner: Lessee shall have the right to extend the terms of the lease for
two periods commencing on March 1, 2000. The first period will commence on March 1, 2000 and terminate on February 28, 2007.  Lessee shall pay an annual rent to Lessor throughout the first extended term at an annual rate of $3.60 per square foot, (111,700 square feet) or Four Hundred Two Thousand One Hundred Twenty and 00/00 dollars ($402,120.00) per annum, payable in successive monthly installments of Thirty Three Thousand Five Hundred Ten and 00/00 dollars ($33,510.00) per month.  The second
period will commence on March 1, 2007 and terminate on February 28, 2012 (sixty months), provided that Lessee shall give Lessor written advance notice of its election to so extend said term for the second period at least six (6) months prior to March 1, 2006. If Lessee shall have exercised the renewal option for the second period, the term of this lease shall be extended for said additional period upon all of the same terms, provisions and conditions as are contained in this lease. Lessee shall pay an annual
rent to Lessor throughout the second extended term at an annual rate of $4.00 per square foot (111,700) or Four Hundred Forty Six Thousand Eight Hundred and 00/00 dollars ($446,800.00) per annum, payable in successive monthly installments of Thirty Seven Thousand Two Hundred Thirty Three and 33/00 dollars ($37,233.33) per month.

 

 

 

 

If you are in agreement with the foregoing, please sign the duplicate copy of this letter.

ACCEPTED AND AGREED:

 

	ACCEPTED AND AGREED:	 	 	 	 
	 	 	 	 	 
	
VERNEL COMPANY
	 	
FIVE STAR GROUP, INC.
	 
	 	 	 	 	 	 
	By: 	
/s/ Howard Nelson
	 	By: 	
/s/ Steve Schilit 
	 
	Title:   	
President
	 	Title:   	Exec V.P.	
2/10/00 
	 

 

 

 

 

 

FIVE STAR GROUP

Distributors of home decorating, hardware and finishing products

 
	  	

July 25, 1994

Mr. Howard Nelson

General Partner

Vernel Company

50 Close Road

Greenwich, CT 06830

Re:  E. Rabinowe & Co.

Dear Mr. Nelson:

The purpose of this letter is to set-forth the terms of an amendment to the Lease, dated February 1, 1986, as amended on October 5, 1989, between Vernel Company and E. Rabinowe & Co. (the “Lease”) with respect to the renewal option. All terms, provisions and conditions contained in the Lease shall remain the same,
except as hereinafter provided.

 

	
  
	
1.
	
Lessee is Five Star Group, Inc. (“Five Star”). On December 31, 1989, E.Rabinowe & Co. of Connecticut, Inc. merged into Five Star Group, Inc. E.Rabinowe is now a division, not a sub­sidiary, of Five Star Group, Inc.

 

	
  
	
2. 
	
Paragraph 32 — Renewal Option shall be replaced in its entirety by the following:

 

If this lease shall be in full force and effect and Lessee shall not be in material default beyond any applicable grace period provided herein for the cure thereof of any of the covenants and provisions hereof, Renewal Option shall be amended in the following manner: Lessee shall have the right to extend the terms of the lease for
two periods commencing on June 1, 1994. The first period will commence on June 1, 1994 and terminate on February 28, 2001 (eighty-one months). Lessee shall pay an annual rent to Lessor throughout the first extended term at an annual rate of ($3.40) per square foot, (111,700 square feet) or Three Hundred Seventy-Nine Thousand Seven Hundred Eighty and 00/100 dollars ($379,780)per annum, payable in successive monthly installments of Thirty-One Thousand Six Hundred Forty-Eight and 33/100 dollars ($31,648.33) per
month. The second period will commence on March 1, 2001 and terminate on February 28, 2006 (sixty months), provided that Lessee shall give Lessor written advance notice of its election to so extend said term for the second period at least six (6) months prior to March 1, 2001. If Lessee shall have exercised the renewal option for the second period, the term of this lease shall be extended for said additional period upon all of the same terms, provisions and conditions as are contained in this lease. Lessee shall
pay an annual rent to Lessor throughout the second extended term at an annual rate of ($3.75) per square foot (111,700) or Four Hundred Eighteen Thousand Eight Hundred Seventy-Five and 00/100 dollars ($418,875) per annum, payable in successive monthly installments of Thirty-Four Thousand Nine Hundred Six and 25/100 dollars ($34,906.25) per month.

 

If you are in agreement with the foregoing, please sign the duplicate copy of this letter.

 

	ACCEPTED AND AGREED:	 	 	 	 
	 	 	 	 	 
	
VERNEL COMPANY
	 	
FIVE STAR GROUP, INC.
	 
	 	 	 	 	 	 
	By: 	
/s/ Howard Nelson
	 	By: 	
/s/ Steve Schilit 
	 
	Title:   	
President
	 	Title:   	Exec V.P.	
7/26/94 
	 

 

 

 

 

Vernel Company

50 Close Road

Greenwich, CT 06831

 

	  	

October 5, 1989

 

Mr. Steve Schillit

E. Rabinowe & Co., Inc.

81 Alumni Road

Newington, CT 06111

 

Dear Steve:

 

We are taking this opportunity of restating the annual and monthly rent, a prorata share of the real estate taxes and your prorata share of all operating expenses that result from the acquisition by you of an additional 6,700 square feet, so that your tenancy now occupies 111,700 square feet.

 

Until February 1991, your annual rent will now be $318,345 and your monthly rent $26,528.75. This is based on $2.85 a square foot.

 

From March 1, 1991 to February 28, 1996 your annual rent will be $340,685 and monthly rent $28,390.41 based upon $3.05 a square foot.

 

Your option from March 1, 1996 to February 28, 2001 will provide an annual rent of $418,875 or $34,906.25 based upon $3.75 a square foot.

 

Your prorate share of real estate taxes and other operating expenses will be 62.43%.

 

We thought it appropriate to restate our understanding, but if there is any discrepancy between the amounts above, the lease shall govern in all events.

 

We would appreciate your reviewing these numbers and letting us know if there is any problem in that regard.

 

	 	 	Yours truly,
	 	 	 
	
 
	
 
	/s/ Howard Nelson 
	 	 	 
	 	 	Howard Nelson

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