Document:

<PAGE>

                                                                   EXHIBIT 10.9

                                                    [LOGO OF COMMUNITY NETWORKS]
--------------------------------------------------------------------------------

Existing Lease Abstract -- Switch Space

Building:              224 Harrison Street -- 4th Floor Syracuse

LeaseDate:             June l6, 1999

Landlord:              224 Harrison Associates, LLC

Tenant:                Community Networks

Premises:              Partial 4th Floor

Rentable Area:         Approximately 8,000 RSF

Lease Term:            Ten (10) Years and Three (3) Months

Lease Commencement:    July 15, 1999

Lease Expiration:      October 14, 2009

Rent Commencement:     Three (3) Months from Lease Commencement

Base Rent:             $12.00 pRSF (to increase by 2% per annum)

Electricity:           Direct Meter

Real Estate Taxes:     Tenant shall pay a 2% increase in the rental rate in lieu
                       of paying Real Estate Taxes.

Operating Expense:     Tenant shall pay a 2% increase in the rental rate in lieu
                       of paying Operating Expenses.

Use:                   Telecommunications services, telephone switching stations
                       and uses incidental hereto.

Sublet/Assignment:     Tenant may sublet all or a portion of the premises or
                       assign the lease with prior written consent of owner,
                       which may not be unreasonably withheld or delayed.

Termination Option(s): N/A

Expansion Option(s):   Tenant shall have an ongoing Right of First Refusal on
                       any adjacent vacant space in the building.

Security Deposit:      No Security Deposit is required of Tenant.

Renewal Option(s):     Tenant shall have two consecutive five (5) year renewal
                       options.
                                                                           Equis
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<PAGE>

                                   STANDARD
                              OFFICE SPACE LEASE
                              ------------------

                             The Syracuse Building
                              224 Harrison Street
                              Syracuse, New York

               LANDLORD:           224 Harrison Associates, LLC

               TENANT:             Community Networks, Inc.

               DATE OF LEASE:      June 16, 1999
<PAGE>

                               TABLE OF CONTENTS
                               -----------------
        Article
        -------
        Page
        ----

           1.  Premises......................

           2.  Term of Lease.....................

           3.  Rent, Taxes, Lease Year and Parking....................

           4.  Construction. Financing and Alterations...............

           5.  Use of Premises...............

           6.  Operating Costs...............

           7.  Energy Costs and Water..........

           8.  Repairs.............

           9.  Indemnity..............

           10. Insurance................

           11. Damage By Fire, Theft and Water Damage..............

           12. Eminent Domain..............

           13. Bankruptcy and Default Provisions..............

           14. Mechanic's Liens............

           15. Mortgages Assignments, Subleases and
               Transfers of Tenant's Interest............

           16. Subordination of Lease.............

           17. Entry to Premises.................

           18. Notices and Certificates..............

           19. Covenant of Quiet Enjoyment...............

           20. Services..............

           21. Certain Rights Reserved to Landlord................

           22. Miscellaneous Provisions...(Renewal Option, Signage, Existing
               Tenant Obligation, Right of First Refusal, Additional Tenant
               Improvements, Brokerage)...................

                             SCHEDULE OF EXHIBITS
                             --------------------

               Exhibit "A" Floor Plan(s) Outlining Premises

               Exhibit "B" Description/Plan of Land/Intentionally Omitted

               Exhibit "C" Landlord's Work

               Exhibit "D" Tenant's Work and Tenant's Insurance
                           Requirements

               Exhibit "E" Rules and Regulations
<PAGE>

                                   STANDARD
                              OFFICE SPACE LEASE
                              ------------------

     AGREEMENT made as of this 16th day of June, 1999, by and between the
following parties: 224 Harrison Associates, LLC. a New York limited liability
company, having an office at 4 Clinton Square, Syracuse, New York 13202
("Landlord"), and Community Networks, Inc a corporation duly organized under the
laws of the State of New York having its principal office at 45-18 Court Square,
Long Island City, NY 11101 Attention: Scott Matukas (the "Tenant").

                                  WITNESSETH:
                                  ----------

                                   ARTICLE 1
                                   Premises
                                   --------

1.01 - Premises
---------------

          Landlord hereby leases to Tenant and Tenant hereby leases and hires
from Landlord those certain premises in AS IS condition except as otherwise
expressly provided herein the building commonly known as "The Syracuse Building"
(the "Building") which is located at 224 Harrison Street in the City of
Syracuse, County of Onondaga and State of New York, which premises are outlined
on the plan attached as Exhibit "A" (the "Premises"), together with the right to
use, in common with others, the Building Commons Areas and Outside Common Areas
as hereinafter defined. For purposes of this Paragraph 1.01, the sum of the
square feet in the Premises and Tenant's share of Building Common Areas (as
defined in Paragraph 1.02 hereof) shall be the aggregate of 8,000 square feet on
the fourth floor of the Building. The Premises shall include the area bounded
by: the center line of any walls common to adjacent tenants, the Building Common
Area side of any wall adjoining Building Common Areas (but not the surface
thereof), the line established by the exterior face of the exterior walls of the
Building and the exterior face of any windows in the exterior walls of the
Building, the concrete floor surface of the Premises and the lower surface of
the next higher floor (or roof). Landlord reserves unto itself, its successors
and assigns, the right to install, maintain, use, repair and replace pipes,
ducts, conduits, wires and structural elements leading through the Premises in
locations which will not materially interfere with Tenant's use of the Premises.
Except as set forth herein, no right to use any part of the exterior of the
Building and no casement for light or air are included in the lease of the
Premises hereby made.

1.02 - Definition of Building Common Areas
------------------------------------------

          "Building Common Areas" shall be defined to mean all areas. space,
equipment, signs and special services provided by Landlord specifically for the
Building or for the common or joint use and benefit of all the tenants in the
Building, their employees, agents, customers, visitors and other invitees,
including without limitation hallways, corridors, trash rooms, mechanical and
electrical rooms, storage rooms, stairways, entrances, elevators, rest rooms,
lobbies, stairs, loading docks, pedestrian walks, roofs and basements, janitor's
and storage closets within the Building and all other common rooms and common
facilities within the Building.

1.03 - Definition of Outside Common Areas
-----------------------------------------

          The term "Outside Common Areas" is defined to mean the land described
on Exhibit "B" attached hereto and made a part hereof, or such
<PAGE>

portion thereof as may from time to time devoted to uses associated with the
Building, and any adjacent or contiguous land which may from time to time be
devoted to such uses, together with such improvements as may from time to time
be erected upon or under any of such lands, including, but not limited to,
surface and subsurface parking areas, lighting facilities, utility lines,
sidewalks, covered walkways, underground walkways, driveways, plazas, courts,
sidewalks, retaining walls, access roads, truck serviceways, landscaped areas,
signs, and equipment.

                                                        ARTICLE 2
                                                        Term of Lease
                                                        -------------

2.01 - Term
-----------
          The term of this Lease shall be for TEN (10) years and THREE (3)
months.

2.02 - Term Commencement
------------------------

          The term of this Lease shalt commence on completion of Landlord's work
which will be the 15th day of July 1999, and shall end on the 14th day of
October 2009; provided LL has substantially completed Landlord's work. If
Landlord has not substantially completed Landlord's work the term commencement
date is the date the Landlord has substantially completed Landlord's work. The
date of commencement of the term of this Lease is herein referred to as the
"Term Commencement Date." The word "term" shalt, unless otherwise expressly
provided to the contrary, be deemed to include the Initial and any renewal term.

2.03 - Rent Commencement
------------------------

          The rent shall commence three (3) months after the term commencement
date.

2.04 - Condition of Premises
----------------------------

          Tenant's taking possession shall be conclusive evidence as against
Tenant that the Premises were in good order and satisfactory condition when
Tenant took possession, subject to latent defects and punch list items. At the
expiration or sooner termination of this Lease, Tenant shalt return the Premises
broomclean and in as good condition as when Tenant took possession, ordinary
wear and loss by fire or other casualty excepted, failing which the Landlord may
restore the Premises to such condition and Tenant shall pay the cost thereof.

                                                        ARTICLE 3
                                                        Rent, Taxes, Lease
                                                        ------------------
                                                        Year end Parking
                                                        ----------------

3.01 - Fixed Annual Rent
------------------------

          Tenant agrees to pay to Landlord at the offices of Landlord, or at
such other place designated by Landlord, without any prior demand therefor and
without any deduction or set-off whatsoever, except as set forth in this lease,
as fixed annual rent, the sum of $96,000.00 per annum (computed as follows:
8,000 square feet at $12.00 per square foot), payable in equal monthly
Installments of $8,000.00 each (the "fixed monthly rent"), payable in advance
upon the first day of each calendar month during the term hereof. The monthly
installments shall be deemed to have been paid upon such first day only if
actually received by such first day.
<PAGE>

          If the term shall commence or expire upon a day other than the first
(or in the case of termination the last) day of a calendar month. Tenant shall
pay, upon the Term Commencement Date, and on the first day of the last calendar
month, a pro rata portion of the fixed monthly rent and additional rent for the
first and last fractional calendar month, respectively, prorated on a per diem
basis with respect to such fractional calendar month based upon the actual
number of days in those months.

The fixed annual rent shalt increase by two percent (2%) per annum commencing on
the first anniversary of the rent commencement.

3.02 - Taxes
------------

          (a) Landlord shall in the first instance, during the term of this
Lease, pay to the public officers charged with the collection thereof, all
Building Taxes as hereinafter defined.

          The term "Building Taxes" shall be deemed to include (i) all real
property taxes (which shall be deemed to include all property taxes and
assessments, water and sewer rents, rates and charges, parking and environmental
surcharges and any other governmental charges, general and special, ordinary and
extraordinary), which may be levied or assessed by any lawful authority against
the Building, the Building Common Areas and the Outside Common Areas. The amount
required to be paid by Landlord pursuant to any Payment-in-Lieu-of-Tax Agreement
between Landlord and any taxing authority having jurisdiction over the Building
shall, for purposes of this Lease, be deemed to be a real property tax
obligation and included within the definition of Building Taxes.

          (b) Tenant shall at all times be responsible for and pay, before
delinquency, all municipal, county, state or federal taxes assessed against its
leasehold interest or any fixtures, furnishings, equipment, stock-in-trade or
other personal property of any kind owned, installed or used in or on the
Premises.

          (c) Tenant shall not be responsible to pay for any building (real
estate) taxes.

3.03 - Past Due Rent
--------------------

     If, during the term of this Lease, Tenant shall fail to pay any installment
of the fixed monthly rent or additional rent or any other charge hereunder
within ten (10) days after the same is due and payable, then interest at the
rate of two percent (2%) per month shall accrue from and after the date on which
such sum was due and payable, and such interest, together with a late charge of
$50.00 for each past-due payment to cover the extra expense of handling such
delinquency, shall be paid to Landlord as additional rent and liquidated damages
at the time of payment of such past-due sum. Landlord shall have the right to
apply any payments made by Tenant first to any deficiency in the payment of the
interest and Late Charge provided for herein. Nothing contained in this
Paragraph 3.03 shall be construed to be a limitation of or in substitution of
Landlord's rights and remedies under Article 13 of this Lease.

3.04 - Definition of Lease Year and Partial Lease Year
------------------------------------------------------

     The term "lease year" is defined to mean a period of twelve (12)
consecutive calendar months, the first full lease year commencing on the first
day of the first full calendar month following the Term Commencement Date (if
other than on the first day of a month), and each succeeding lease year
commencing on the anniversary of the commencement of the first full lease year.
Any portion of the term which is less than a lease year shall be deemed a
"partial lease year" and computations requiring proration shall be pro-rated on
a per diem basis using 365 day year.
<PAGE>

3.05  -  Security  Deposit
--------------------------

            Intentionally Deleted

                                                     ARTICLE 4
                                                Construction, Financing  and
                                                ----------------------------
                                                Alterations
                                                -----------

4.01 -   Landlord's  Obligation
-------------------------------

          Landlord has constructed the Premises for Tenant's use and occupancy
and Landlord shall have no further obligation to construct the Premises, except
as otherwise provided in ExhibIt "C" attached hereto and made a part hereof,

4.02 -   Financing
------------------

          If Landlord can obtain mortgage financing or refinancing only upon the
basis of modifications of the terms and provisions of this Lease, then Tenant
shall not unreasonably withold or delay it's consent thereto, provided, the
lease modifications referred to herein shall not relate to those provisions
pertaining to length of the term of the lease, amount of rent, additional rent,
and other charges.

          In the event of a refinancing or a bona fide sale of the Building by
the Landlord. Tenant shall, promptly upon request therefor, provide to Landlord
a balance sheet, and a statement of income and expenses for Tenant's last fiscal
year, for which a statement has been prepared.

4.03  -  Tenant's   Obligation
------------------------------

          Subject to Landlord's work, Tenant is leasing the Premises in AS IS
CONDITION and Tenant shall perform such work therein as is described in Exhibit
"D" attached hereto and made a part hereof.

4.04 -  Alterations,  Additions  and  Improvements
------  ------------------------------------------

     Tenant shall not make any alterations, additions or improvements in or to
the Premises without the prior written consent of Landlord, which consent shall
not be unreasonably witheld or delayed, and then only by contractors approved by
Landlord which approval shall not be unreasonably witheld or delayed. Landlord
represents to Tenant and Tenant acknowledges the existence of certain covenants
affecting the Building and the Premises including those portions of the
architecturally or historically significant interior features of the Building
which may limit the construction of, or removal, as the ease may be, of certain
alterations, additions or improvements in or to the Premises, notwithstanding
the requirement of consent thereto by Landlord. If Landlord shall grant its
consent, Tenant shall provide Landlord with certificates evidencing the
insurance coverages and limits required by Exhibit "F" to the commencement of
any such work. Tenant shall not make nor permit any defacement, injury or waste
in, so or about said Premises or any part of the Building. Tenant agrees that
any improvements as may be installed within the Premises by Tenant pursuant to
this paragraph 4.04 shall, at the option of Landlord, remain as part of the
Premises at the expiration of the Lease or any extension or renewal thereof
except any equipment installed by Tenant that is a part of Tenant's operation.
Landlord, however, shall have the right to require Tenant to remove any
alterations, additions or improvements so made. Tenant shall, at its expense,
repair or cause to be repaired any damage to the Premises caused by such
removal.
<PAGE>

4.05 - Signs, Awnings and Canopies
----------------------------------

          Tenant will not place or maintain or suffer to be placed or maintained
on or in an exterior door, wall or window of the Premises any sign, awning or
canopy, decoration, lettering or advertising matter without first obtaining the
written consent of Landlord thereto, which consent shall not be unreasonably
witheld or delayed. In the event such consent is received, then Tenant shall
maintain such sign, awning, canopy, decoration, lettering or advertising matter
as may be approved in good condition and repair at all times during the term of
this Lease.

                                                                 ARTICLE 5
                                                                 Use of Premises
                                                                 ---------------

5.01 - Use of Premises
----------------------

          Tenant shall occupy and use the Premises during the term for its
telecommunication services, telephone switching stations and uses incidental
thereto and no other purpose whatsoever. Tenant further agrees to comply with
the rules and regulations set forth in Exhibit "E" attached hereto and made a
part hereof and with such reasonable modifications thereof and additions thereto
as Landlord may hereafter from time to time make for the Building, the Building
Common Areas or the Outside Common Areas. Landlord shall not be responsible for
the nonobservance by any other tenant of any said rules and regulations and
shall not be responsible to Tenant for any violation of the rules and
regulations, or the covenants or agreements contained in any other lease, by any
other tenant of the Building, or its agents or employees.

                                                                 ARTICLE 6
                                                                 Operating Costs
                                                                 ---------------

6.01 - Definitions
------------------

            Not Applicable

6.02 - Tenant to Share Increases in Operating Costs
---------------------------------------------------

            Not Applicable

                                                              ARTICLE 7
                                                              Energy Costs and
                                                              ----------------
                                                              Water
                                                              -----

7.01 - Definitions
------------------

          As used in this Lease, "Premises Electrical Energy Cost" shall mean
the cost of the electrical energy consumed by the lighting fixtures and
electrical convenience outlets within the Premises only. As used in this Lease,
"Energy Costs and Water" shall mean (i) the cost of all energy, including
electrical, oil, gas, solar, steam and any other energy and the cost of all
water used in or at the Building, the Building Common Areas and the Outside
Common Areas, excluding the Premises.

7.02 - Charge for Premises Electrical Energy Costs
--------------------------------------------------

          Tenant agrees to pay to Landlord, as additional rent, monthly within
ten (10) days after receipt of Landlord's estimate therefor (and thereafter on
the first day of each month without invoice), a charge for Premises Electrical
Energy Costs at a usage based upon plans and specifications for the Premises
during the hours set forth in Paragraph 20.01 of this Lease. Landlord reserves
the right to survey and calculate Tenant's connected electrical load and hours
of usage thereof from time to time during the term
<PAGE>

and to adjust the monthly charge herein set forth by the amount of electrical
energy usage exceeding the walls per square root and hours herein set forth.
Tenant agrees to pay to Landlord, as additional rent, the amount of such monthly
charge, as adjusted, within ten (10) days following Tenant's receipt of notice
of the adjustment and on the first day of each calendar month thereafter. A
check meter will be installed to provide an accurate measure of Tenant's
electrical usage.

ARTICLE 8 Repairs
-----------------

8.01 - Repairs
--------------

     Tenant shall give to Landlord prompt written notice of any damage to, or
defective condition in any part of or appurtenance to the Building's plumbing,
electrical, heating, ventilating, air-conditioning or other systems serving,
located in, or passing through the Premises. Subject to the provisions of
Article 11 of this Lease, Tenant shall, at Tenant's own expense, keep the
Premises, including everything therein (except the heating and air-conditioning
systems), in good order, condition and repair during the term. Landlord shall
maintain the heating, ventilating and air-conditioning systems throughout the
Building (including the Premises) and the outside walls, outside windows,
floors, and roof of the Building in good order and repair. Repairs made by
Landlord required solely and directly due to negligence or fault of Tenant, its
contractors, agents or employees shall be made at Tenant's expense plus a 10%
administrative charge.

     Tenant, at Tenant's expense, shall comply with all laws or ordinances, and
all rules and regulations of all governmental authorities and of all insurance
bodies at any time in force, applicable to the Premises or to Tenant's use
thereof, except that Tenant shall not hereby be under any obligation to comply
with any law, ordinance, rule or regulation requiring any structural alteration
of the Premises or with respect to the Premises, unless such alteration is
required by reason of a condition which has been created by, or at the instance
of, Tenant, or is required by reason of a breach of any of Tenant's covenants
and agreements hereunder. All repairs made by Tenant shall be made using
contractors approved by Landlord which approval shall not be unreasonably
withheld or delayed.

ARTICLE 9 Indemnity
-------------------

9.01 - Indemnification by Tenant
--------------------------------

     Tenant does hereby Indemnify and shall defend Landlord (and such other
persons as are in privity of estate with Landlord) and save it harmless from and
against any and all claims, actions, damages, liability and expense in
connection with loss of life, personal injury and/or damage to property arising
from or out of any occurrence in, upon or at the Premises, from out of the
occupancy or use by Tenant of the Premises or any part thereof, or occasioned
wholly or in part by any act or omission of Tenant, its agents, contractors,
employees, lessees or concessionaires. In case Landlord and such other persons
as are in privity of estate with Landlord) shall, without fault on its part be
made a party to any litigation commenced by or against Tenant, then Tenant
agrees to protect and hold Landlord harmless and to pay all costs, expenses and
reasonable attorney's fees incurred or paid by Landlord in connection with such
litigation. Tenant agrees also to pay all costs, expenses and reasonable
attorney's fees that may be incurred or paid by Landlord in enforcing the
covenants and agreements in this Lease.

<PAGE>

ARTICLE 10 Insurance
--------------------

10.01 - Liability Insurance
---------------------------

     At all during the term of this Lease, Tenant shall, at its sole cost and
expense, for the mutual benefit of Landlord and Tenant, maintain personal
injury, death or property damage occurring on, in or about the Premises during
the term of this Lease in an amount of not less than Two Million Dollars
($2,000,000.00) with respect to personal injury, death or property damage and
including contractual indemnity coverage. In the event that Tenant shall not
have delivered to Landlord a policy or certificate evidencing such insurance
fifteen (15) days prior to the Term Commencement Date and fifteen (15) days
prior to the expiration dates of each expiring policy, Landlord upon ten (10)
days notice to Tenant may obtain such insurance as it may reasonably require to
protect its interest. The cost for such policies shall be paid by Tenant to
Landlord as additional rent upon demand, plus ten percent (10%) administrative
charge. All insurance policies required hereunder shall be issued by insurers of
recognized responsibility and licensed to conduct business in the State of New
York.

10.02 - All  Risks  and  Difference  in  Condition  Insurance
-------------------------------------------------------------

     At all times during the term of this Lease, Landlord shall keep the
Building Insured for the benefit of Landlord against loss or damage by risks now
or hereafter embraced by "All Risks," "Difference in Conditions", and loss of
rent coverages, and against such other risks as Landlord from time to time
reasonably may designate in amounts sufficient to prevent Landlord from becoming
a coinsurer.

     In any event, the amount applicable to "All Risks" shall be ninety percent
(90%) of the then full replacement cost (being the cost of replacing the
Building, exclusive of the costs of excavations and footings below the lowest
grade level). Such full replacement cost shall be determined From time to time
(but not more frequently than once in any twelve (12) calendar months) by an
appraiser, architect or other person or firm designated by Landlord.

     The parties agree that Landlord shall not provide any insurance coverage
for Tenant's merchandise, trade fixtures, furnishings, equipment and other
personal property of Tenant.

10.03 - Insurance  on Common  Areas
-----------------------------------

     At all times during the term of this Lease, Landlord shall keep the
Common Areas insured for personal injury and property damage liability, "All
Risk" property coverage, "Difference in Conditions," workers' compensation,
employee's liability and any other casualty or risk insurance which Landlord
or Landlord's insurance carrier deems necessary or appropriate.

10.04  -  Waiver of Subrogation
-------------------------------

     Each of the parties shall have a waiver of subrogation clause attached to,
and made a part of, its insurance policy or policies in the following or
equivalent form:

                          Waiver of Subrogation Clause

     This insurance shall not be invalid should the insured waive in writing,
prior to a loss, any or all rights of recovery against any party for loss
occurring to the property described herein. Notice is hereby accepted that the
insured has agreed in writing, prior to a loss, to waive any and all of its
rights of recovery from (the Landlord or the Tenant as the case may be).
<PAGE>

ARTICLE 11 Damage by Fire Theft and Water Damage
------------------------------------------------

11.01 - Untenantability
-----------------------

     If the Premises are made untenantable in whole or in part by fire or other
casualty, the fixed monthly rent, additional rent and other charges, until
repairs shall be made or the Lease terminated as hereinafter provided, shall be
apportioned on a per diem basis according to the part or the Premises which is
usable by Tenant. If such damage shall be so extensive that the Premises cannot
be restored by Landlord within a period of nine (9) months, Landlord or Tenant
shall have the right to cancel this Lease by notice to the other given at any
time within thirty (30) days after the date of such damage. If a portion of the
Building other than the Premises shall be so damaged that in the reasonable
opinion of Landlord the Building should be restored in such a way as to alter
the Premises materially, Landlord may cancel this Lease by notice to Tenant
given at any time within thirty (30) days after the date of such damage. In the
event of giving effective notice pursuant to this paragraph, this Lease and the
term and the estate hereby granted shall expire on the date fifteen (15) days
after the giving of such notice as fully and complete as if such date were the
date hereinbefore set for the expiration of the term of this Lease. If this
Lease is not so terminated, Landlord will promptly, (talking into account the
time necessary to effectuate a satisfactory settlement with Landlord's insurance
company) restore the damage insured by Landlord pursuant to Paragraph 10.02.
Tenant hereby expressly waives the provisions of Section 227 of the New York
Real Property Law and agrees that the foregoing provisions of this Paragraph
11.01 shall govern and control in lieu thereof.

11.02 - Loss or Property and Water Damage
-----------------------------------------

     Landlord shall not be responsible to Tenant for any loss or theft or damage
of or to any property left with any employee of Landlord, however occurring.
Landlord shall net be liable for any damage caused by water, rain, snow or ice,
or by breakage, stoppage or leakage of water, gas, heating, air conditioning,
sewer or other pipes or conduits, or arising from any other cause, in, upon,
about or adjacent to the Premises, or the Building in which said Premises are
located.

ARTICLE 12 Eminent Domain
-------------------------

12.01 - Eminent Domain
--------------------

     (a) In the event that title to the whole or any part of the Premises shall
be lawfully condemned or taken in any manner for any public or quasi-public use,
this Lease and the term and estate hereby granted shall forthwith cease and
terminate as of the date of vesting of title and Landlord shall be entitled to
receive the entire award for the real property. Tenant hereby assigning to
Landlord Tenant's interest therein, if any, provided Tenant may make a claim for
the value of its property and Tenant's expenses incurred.

     (b) In the event that title to a part of the Building other than the
Premises shall be so condemned or taken and if in the opinion of Landlord, the
Building should be restored in such a way as to alter the Premises materially,
Landlord may terminate this Lease and the term and estate hereby granted by
notifying Tenant of such termination within sixty (60) days following the date
of vesting of title, and this Lease and the term and estate hereby granted shall
expire on the date specified in the notice of termination, which date shall be
not less than sixty (60) days after the giving of such notice, as fully and
completely as if such date were the date hereinbefore set for the expiration of
the term of this Lease, and the fixed monthly rent, additional rent, and other
charges hereunder shall be apportioned as if such
<PAGE>

date. In such event, Tenant shall not be entitled to any portion of Landlord's
award hereunder, if any, nor shall Tenant have any claim against Landlord for
the value of the unexpired portion of the term.

                                                              ARTICLE 13
                                                              Bankruptcy and
                                                              --------------
                                                              Default Provisions
                                                              ------------------

13.01 - Conditional Limitations
-------------------------------

     This Lease and the demised term are subject to the limitation that if, at
any time prior to or during the term, any one or more of the following events
(herein called an "event of default") shall occur, that is to say:

     (a) If Tenant shall make an assignment for the benefit of its creditors; or

     (b) If the leasehold estate hereby created shall be taken on execution or
by other process of law; or

     (c) If any petition shall be filed against Tenant in any court, whether or
not pursuant to any statute of the United States or of any State, in any
bankruptcy, reorganization, composition, extension, arrangement, or insolvency
proceedings, and Tenant shall thereafter be adjudicated bankrupt, or such
petition shall be approved by the court, or the court shall assume jurisdiction
of the subject matter and if such proceedings shall not be dismissed within
thirty (30) days after the institution of the same; or if any such petition
shall be so filed by the Tenant; or

     (d) If in any proceedings a receiver or trustee be appointed for Tenant's
property, and such receivership or trusteeship shall not be vacated or set
aside within thirty (30) days after the appointment of such receiver or
trustee; or

     (e) If Tenant shall vacate or abandon the Premises and permit the same to
remain unoccupied or closed for business for more than thirty (30) days; or

     (f) If Tenant shall fail to pay any installment of the fixed monthly rent
or any part thereof when the same shall become due and payable, and such failure
shall continue for ten (10) days after notice from Landlord; or

     (g) If Tenant shall fail to pay any other charge required to be paid by
Tenant hereunder, and failure shall continue for ten (10) days after notice
thereof from Landlord to Tenant; or

     (h) If Tenant shall fail to perform or observe any other requirement of
this Lease (not hereinbefore in this paragraph specifically referred to) on the
part of Tenant to be performed or observed, and such failure shall continue for
thirty (30) days after notice thereof from Landlord to Tenant, provided if not
susceptible of cure, Tenant not in default if it commences cure within thirty
(30) days and diligently pursues cure; then, upon the happening of any one or
more of the aforementioned events of default, and the expiration of the period
of time prescribed above, Landlord may give Tenant a notice (hereinafter
called "notice of termination") of its intention to end the term of this Lease
at the expiration of five (5) days from the date of service of such notice of
termination, and at the expiration of such five (5) days, provided the default
has not been cured, this Lease and the term hereof, as well as all of the right,
title and interest of Tenant hereunder, shall wholly cease and expire in the
same manner and with the same force and effect as if the date of expiration of
such five (5) day period were the date originally specified herein for the
expiration of this Lease and the demised term, and Tenant shall then
<PAGE>

quit and surrender the Premises to Landlord, but Tenant shall remain liable as
hereinafter provided.

13.02 - Landlord's Remedies
---------------------------

     (a) If this Lease shall be terminated as in Paragraph 13.01 provided,
Landlord or Landlord's agents or employees may immediately or at any time
thereafter re-enter the Premises and remove therefrom Tenant, its agents,
employees, licensees, and any subtenants and other persons, firms or
corporations, and all or any of its or their property therefrom either by
summary dispossess proceedings or by any suitable action or proceeding at law or
by force or otherwise, without being liable to indictment, prosecution or
damages therefor, and repossess and enjoy said Premises, together with all
alterations, additions and improvements thereto.

     (b) In case of any such termination, re-entry or dispossess by summary
proceedings or otherwise, the rents and all other charges required to be paid up
to the time of such termination, re-entry or dispossess, shall be paid by
Tenant and Tenant shall also pay to Landlord all reasonable expenses which
Landlord may then or thereafter incur for legal expenses, attorneys' fees,
brokerage commissions and all other costs paid or incurred by Landlord for
restoring the Premises to good order and condition and for altering and
otherwise preparing the same for reletting and for reletting thereof. Landlord
may, at any time and from time to time, relet the Premises, in whole or in
part, for any rental then obtainable either in its own name or as agent of
Tenant, for a term of terms which, at Landlord's option, may be for the
remainder of the then current term of this Lease or for any longer or shorter
period.

     (c) If this Lease be terminated as aforesaid. Tenant nevertheless covenants
and agrees, notwithstanding any entry or reentry by Landlord whether by summary
proceedings, termination, or otherwise, to pay and be liable for on the days
originally fixed herein for the payment thereof, amounts equal to the several
installments of fixed monthly rent, additional rent and other charges as they
would, under the terms of this Lease, become due if this Lease had not been
terminated or if Landlord had not entered or reentered as aforesaid, and
whether the Premises be relet or remain vacant in whole or in part or for a
period less than the remainder of the term, and for the whole thereof, but in
the event the Premises be relet by Landlord. Tenant shall be entitled to a
credit in the net amount of rent received by Landlord in reletting the Premises
after deduction of all reasonable expenses and costs incurred or paid as
aforesaid in reletting the Premises and in collecting the rent in connection
therewith.

     (d) Tenant hereby expressly waives, so far as permitted by law, the service
of any notice of Intention to re-enter provided for in any statute, or of the
institution of legal proceedings to that end, and Tenant, for and on behalf of
itself and all persons claiming through or under Tenant also waives any and all
right of redemption or re-entry or repossession under present or future laws
including specifically but without limitation Section 761 of the New York Real
Property Actions and Proceedings law including any amendments hereafter, or to
restore the operation of this Lease. In case Tenant shall be dispossessed by a
judgment or by warrant of any court or judge or in case of re-entry or
repossession by Landlord or in case or any expiration or termination of this
Lease, Landlord and Tenant, so far as permitted by law, waive and will waive
trial by jury in any action, proceeding or counterclaim brought by either of the
parties hereto against the other on any matters whatsoever arising out of or in
any way connected with this Lease, the relationship of Landlord and Tenant.
Tenant's use or occupancy of said Premises, or any claim or injury or damage.
The terms "enter," "entry," or "re-entry" as used in this Lease are not
restricted to their technical legal meaning.

     (e) No failure by Landlord to insist upon the strict performance of any
covenant, agreement, term or condition of this Lease or to
<PAGE>

exercise any right or remedy consequent upon a breach thereof, and no acceptance
of full or partial rent during the continuance of any such breach, shall
constitute a waiver of any such breach or of such covenant, agreement, term
and condition. No waiver of any breach shall affect or alter this Lease, but
each and every covenant, agreement, term and condition of this Lease shall
continue in full force and effect with respect to any other than existing or
subsequent breach thereof. No payment by Tenant or receipt by Landlord of a
lesser amount than the monthly installments of rent or additional rent
stipulated in this Lease shall be deemed to be other than on account of the
earliest stipulated rent nor shall any endorsement or statement on any check or
letter accompanying a cheek for payment of rent be deemed any accord and
satisfaction, and Landlord may accept such check or payment without prejudice to
Landlord's right to recover the balance of such rent or to pursue any other
remedy provided by this Lease.

     (f) In the event of any breach or threatened breach by Tenant of any of the
covenants, agreements, terms or conditions contained in this Lease, Landlord
shall be entitled to enjoin such breach or threatened breach and shall have the
right to invoke any right and remedy allowed at law or in equity or by statute
or otherwise.

     (g) Each right and remedy of Landlord provided for in this Lease shall be
cumulative and shall be in addition to every other right or remedy provided for
in this Lease or now or hereafter existing at law or in equity or by statute or
otherwise.

ARTICLE 14
Mechanic's  Liens
-----------------

14.01 - Mechanic's Liens
------------------------

     Tenant agrees to pay when due all sums of money that may become due for, or
purporting to be due for, any labor, services, materials, supplies, or equipment
alleged to have been furnished or to be furnished to or for Tenant in, upon or
about the Premises and/or Landlord's interest therein. If any mechanic's lien
shall be filed against the Premises or the Building based upon any act of Tenant
or anyone claiming through Tenant, Tenant, after notice thereof from Landlord
(or any person in privity of estate with Landlord) forthwith shall commence such
action by bonding, deposit, payment or otherwise, as will remove or satisfy such
lien within fifteen (15) days. In the event Tenant does not remove or satisfy
said lien with said fifteen (15) day period, Landlord shall have the right to do
so by posting a bond or undertaking and Tenant agrees to reimburse Landlord for
any and all expenses incurred by Landlord in connection therewith within five
(5) days after receipt by Tenant of Landlord's invoice therefor. These expenses
include, but are not limited to filing fees, legal fees and bond premiums.
However, nothing in this Article 14 shall be deemed or construed as (a)
Landlord's consent to any person, firm or corporation for the performance of any
work or services or the supply of any materials to the Premises, or (b) giving
Tenant or any other person, firm or corporation any right to contract for or to
perform or supply any work, services or materials that would permit or give rise
to a lien against the Premises or the Building.

ARTICLE 15
Mortgages, Assignments, Subleases and Transfers of Tenant's Interest
--------------------------------------------------------------------

15.01 - Limitation on Tenant's Rights
-------------------------------------

     Except as hereinafter otherwise provided, during the term of this Lease, In
each case, without the prior written consent of Landlord first had

<PAGE>

and received, which consent shall not be unreasonably withheld or delayed,
neither this Lease nor the interest of Tenant In this Lease, or in any sublease,
or in any rentals under any sublease shall be sold, assigned, transferred,
mortgaged, pledged, hypothecated or otherwise disposed of, whether by operation
of law or otherwise, nor shall the Premises be sublet.

     It is understood and agreed between the parties that, should Tenant request
Landlord's consent to a proposed assignment of this Lease or a subletting of
all or any portion of the Premises, Landlord will, in addition to any other
requirements which may be imposed as conditions to Landlord's consent, require
that Tenant execute and deliver to Landlord an agreement whereby Tenant
obligates itself, as additional rent, to pay over to Landlord fifty percent
(50%) of all net rental profits, additional rent and any other consideration
paid by such assignee or sublessee to Tenant, excluding any amount paid for
Tenant's equipment and personal property, pursuant to such assignment or
sublease which is in excess of rent and additional rent due and payable from
time to time from Tenant to Landlord pursuant to this Lease.

     No consent by Landlord to an assignment of this Lease and no assignment
made as hereinafter permitted, shall be effective until there shall have been
delivered to Landlord (a) an agreement, in recordable form, executed by Tenant
and the proposed assignee, wherein and whereby such assignee assumes due
performance of the obligation on Tenant's part to be performed under this Lease
to the end of the term hereof, and (b) the written consent of such assignment of
the holder of any fee or leasehold mortgage to which this Lease is then subject
shall have been obtained and delivered to Landlord if so required by the terms
of such fee or leasehold mortgage.

     In the event Tenant sublets or assigns this lease the Tenant will be
released from its obligation and the sub-tenant or assignee will assume all
obligations for this lease.

     Tenant has the right to assign this lease without consent to affiliates,
subsidiaries or successors, assuming the assignee has equal or greater
financial strength as Tenant. Tenant must still notify Landlord of such
potential assignment.

     Any assignment, mortgage, pledge, sublease or hypothecation of this Lease,
or of the interest of Tenant hereunder, without full compliance with any and all
requirements set forth in this Lease shall be a breach of this Lease and a
default hereunder.

15.02 - Effect of Landlord's Consent
------------------------------------

     Any consent Landlord sale, assignment, sublease, mortgage, pledge,
hypothecation, or transfer of this Lease, shall apply only to the specific
transaction thereby authorized and shall not relieve Tenant from the requirement
of obtaining prior written consent of Landlord to any further sale, assignment,
sublease, mortgage, pledge, hypothecation, or transfer of this Lease. In
instances where the consent of Landlord is required hereunder to any proposed
assignment or sublease of this Lease, or to the mortgaging, pledging or
hypothecation of this Lease, contemporaneously with the request of Tenant
therefor Tenant shall submit in writing information reasonably sufficient to
enable Landlord to decide with respect thereto. Landlord shall reply to Tenant
within ten (10) days after receipt of the request as aforementioned.

     With respect to any of the consents requested by Tenant under the
provisions of this Article 15, whether or not the Landlord shall have consented
thereto, Tenant shall pay to the Landlord all reasonable counsel fees and other
out-of-pocket expenses incurred by the Landlord in connection therewith.
<PAGE>

ARTICLE 16 Subordination of Lease
---------------------------------

16.01 - Subordination to Mortgages and Ground Leases/Non-Disturbance
--------------------------------------------------------------------

     This Lease and all the rights of Tenant hereunder are and shall be
automatically subject and subordinate to the lien of any ground or underlying
leases and to any mortgage or mortgages, whether fee or leasehold mortgages,
which may now or hereafter affect the Premises or the Building or the land under
the Building and to all renewals, modifications, consolidations, replacements
and extensions thereof, and advances thereunder. In order to confirm such
subordination, Tenant shall execute and deliver such instruments as may be
requested by any ground lessor or mortgagee and in the event Tenant fails to
do so within ten (10) days after written demand therefor, Tenant does hereby
make, constitute and irrevocably appoint Landlord as its attorney-in-fact to
execute same in Its name and on its behalf.

     Landlord will use its best efforts to provide Tenant with a non-
disturbance agreement from any existing or future lender of the building.

16.02  -  Other  Agreed  Matters
--------------------------------

     Tenant will not do, suffer or permit any act, happening or occurrence or
any condition to occur or remain which may be prohibited under the terms or
provisions of any ground or underlying lease or mortgage to which this Lease is
subject or which will create a default thereunder except that Tenant shall not
be obligated to pay the principal indebtedness or any installment thereof or
interest thereon. Landlord represents that Tenant's use hereunder is not
prohibited.

     So long as any such mortgage or lease shall remain a lien on the Premises,
Tenant agrees simultaneously with the giving of any notice of default to
Landlord which is required to be given by this Lease to give a duplicate copy
thereof to any mortgagee or ground lessor, notice of whose name and address have
been given to Tenant. Further, Tenant agrees that if Landlord defaults in the
performing of any of Its covenants under this Lease and if such default allows
Tenant to cancel or surrender said Lease, the mortgagee or ground lessor may
cure said default with the same effect as if cured by Landlord, and if
necessary, enter upon the Premises for the purpose of curing any such default,
provided that the mortgagee or ground lessor must cure the default within the
time which Landlord is obligated to cure such default In the Lease. The giving
of any such notice to Landlord shall not be properly given under the terms of
this Lease and shall not be of any force and effect until a duplicate copy
thereof shall also have been given to the mortgagee or ground lessor pursuant to
this paragraph.

ARTICLE 17 Entry to Premises
----------------------------

17.01 - Entry to Premises by Landlord
-------------------------------------

     Provided that at all times Landlord will minimize the interference with
Tenant's business, Landlord shall have the right to enter the Premises at all
reasonable times for the purpose of:

     (a) Inspecting the same, and

     (b) making any repairs to the Premises and performing any work therein that
may be necessary by reason of Tenant's default under the terms of this Lease
continuing beyond the applicable periods of grace,
<PAGE>

     (c) exhibiting the Premises for the purpose of sale, ground lease or
mortgage, and

     (d) exhibiting the Premises to prospective tenants within six (6) months
prior to the expiration of the term hereof.

ARTICLE 18 Notices and Certificates
-----------------------------------

18.01 - Notices
---------------

     Any notice. statement, certificate, request or demand required or permitted
to be given in this Lease shall be in writing sent by recognized overnight
courrier service providing for a receipt upon delivery, or by registered or
certified mail, postage prepaid, return receipt requested, addressed, as the
case may be, to Landlord at the mailing address shown at the beginning of this
Lease, and to Tenant at the address shown at the beginning of this Lease or to
such other addresses as Landlord or Tenant shall designate in the manner herein
provided. Such notice, statement, certificate, request or demand shall be deemed
to have been given one business day after the date deposited with such courrier
or three business days after being mailed as aforesaid in any post office or
branch post office regularly maintained by the United States Government, except
for notice of change of address or revocation of a prior notice, which shall
only be effective upon receipt.

     At any time or times when Tenant's interest herein shall be vested in
more than one person, firm or corporation, jointly in common or in severally, a
notice given by Landlord to any one such person, firm or corporation shall be
conclusively deemed to have been given to all such persons, firms or
corporations. Any notice by Tenant pursuant to the provisions hereof shall be
void and ineffective unless signed by all such persons, firms and
corporations, unless all such persons, firms and corporations shall have
previously given notice to Landlord, signed by each of them designating and
authorizing one or more of them to give the notice referred to, and such notice
shall then be unrevoked by any notice to Landlord.

     Notices must be mailed to the following addresses and shall only be sent to
another address if requested in writing by party changing address:

                    TENANT:    Community Networks, Inc
                               Attn: Scott Matukas
                               45-18 Court Square
                               Long Island City, NY 11101

                    LANDLORD:  224 Harrison Street Associates
                               Attn: John Funicleilo
                               4 Clinton Square
                               Syracuse, NY  13202

18 02 - Certificate by Tenant
-----------------------------

     Within fifteen (15) days after request by Landlord, Tenant from time to
time and without charge shall deliver to Landlord or to a person, firm or
corporation, specified by Landlord, a duly executed and acknowledged instrument
certifying:

     (a) that this Lease is unmodified and in full force and effect, or if
there has been any modification, that the Lease is in full force and effect, as
modified, and identifying the date of any such modification; and

     (b) whether Tenant knows or does not know, as the case may be, of any
default by Landlord in the performance by Landlord of the terms,
<PAGE>

covenants, and conditions of this Lease, and specifying the nature of such
defaults, if any; and

     (c) whether or not there are any then existing set-offs or defenses by
Tenant to the enforcement by Landlord of the terms, covenants and conditions
of this Lease and any modification thereof, and if so, specifying them; and

     (d) the date to which the fixed monthly rent has been paid.

                                                              ARTICLE 19
                                                              Covenant of Outlet
                                                              ------------------
                                                              Employment
                                                              ----------

19.01 - Covenant of Quiet Enjoyment
-----------------------------------

     Tenant, subject to the terms and provisions of this Lease, on payment of
the rent and observing, keeping and performing all the terms and provisions of
this Lease on its part to be observed, kept and performed shall lawfully,
peaceably and quietly have, hold and enjoy the Premises during the term hereof
on and after the Term Commencement Date without hindrance or ejection, by
Landlord and any persons lawfully claiming under Landlord, subject nevertheless
to terms and conditions of this Lease and to any ground or underlying lease
and/or mortgage(s): but it is understood and agreed that this  covenant, and
any and all covenants of Landlord contained in this Lease shall  be binding
upon Landlord and its successors only with respect to breaches occurring during
its and their respective ownership of Landlord's interest hereunder.

                                                                      ARTICLE 20
                                                                      Services
                                                                      --------

20.01 - Services
----------------

     During the term of this Lease, while Tenant is not in default hereunder
beyond the applicable notice and cure period hereunder, w Landlord shall furnish
to the Premises electricity, lighting, heating, ventilating, air conditioning,
elevator service, and water to the plumbing fixtures, if any, on Monday through
Friday from 8:00 A.M. to 6:00 P.M. and on Saturday from 9:00 AM. to 1:00 P.M.,
principal legal holidays excepted. The following temperature ranges shall be
maintained during the term of this lease: from 73 degrees to 75 degrees when
outside temperatures are 80 degrees or higher, and settings shall range from
70 degrees to 73 degrees when outside temperatures are 32 degrees or lower. Use
of these services by Tenant outside these days and hours could result in an
additional charge to Tenant which shall be paid by Tenant to Landlord, as
additional rent, within fifteen (15) days following the receipt of an invoice.
Landlord shall also furnish janitorial service consisting of cleaning floors and
removing waste paper each business day. Tenant shall have twenty-four (24) hour
per day, seven (7) day per week access to the building and tenant premises.

20.02 - Interruption of Service
-------------------------------

     No diminution or abatement of rent or other compensation shall be claimed
or allowed for inconvenience or discomfort arising from the making of repairs or
improvements to the Building or its appurtenances. There shall be no diminution
or abatement of rent or any other compensation for interruption or curtailment
of any service or utility herein expressly or impliedly agreed to be furnished
by Landlord when such interruption or curtailment shall be due to accident,
alterations, repairs desirable or necessary, or to inability or difficulty in
securing supplies or labor, or to some other cause not gross negligence on the
part of Landlord. No such interruption or curtailment shall be deemed a
constructive eviction. Tenant

<PAGE>

agrees that Landlord shall not be responsible for interruption of utility
service caused by any utility company or governmental regulatory agency.

                                                          ARTICLE 21
                                                          Certain Rights
                                                          --------------
                                                          Reserved  to  Landlord
                                                          ----------------------

21.01 - Certain Rights Reserved to Landlord
-------------------------------------------

     Landlord reserves the following rights:

     (a) To name the Building and to change the name or street address of the
Building;

     (b) To install and maintain a sign or signs on the exterior or interior or
the Building:

     (c) To designate all sources furnishing sign painting, and lettering, ice,
drinking water, towels, toilet supplies, shoe shining, vending machines, mobile
vending service, catering, and like services used on the Premises;

     (d) During the last ninety (90) days of the term, if during or prior to
that time Tenant vacates the Premises, to decorate, remodel, repair, alter or
otherwise prepare the Premises for reoccupancy, including the placing of a
notice of reasonable size on or in the Premises offering said Premises "For
Rent" or "For Lease", all without affecting Tenant's obligation to pay rental
for the Premises;

     (e) To constantly have pass keys to the Premises;

     (f) At any time in the event of an emergency, or otherwise at reasonable
times, to take any and all measures, including inspections, repairs,
alterations, additions and improvements to the Premises or to the Building, as
may be necessary or desirable for the safety, protection or preservation of the
Premises or the Building or the Landlord's interests, or as may be necessary or
desirable in the operations or improvement of the Building or in order to comply
with all laws, orders and requirements of governmental or other authority: and

     (g) At any reasonable time and from time to time throughout the term of the
Lease show the Premises to persons wishing to purchase the Building.

  Nothing in this Lease shall imply any duty on the part of the Landlord to do
work which, under any of the provisions of this Lease Tenant may be required to
perform, and the performance thereof by Landlord shall not constitute a
constructive eviction nor a waiver of Tenant's default in failing to so perform.
In the event Landlord performs or causes any such work to be performed, Tenant
shall pay the cost thereof to Landlord forthwith as additional rent upon receipt
of Landlord's invoice therefor. No exercise by Landlord of any rights provided
in this paragraph 21.01 or elsewhere in this Lease shall entitle Tenant to any
damages for inconvenience, disturbance, loss of business or other damage to
Tenant occasioned thereby nor to any abatement of rent or additional rent.

                                                               ARTICLE 22
                                                               Miscellaneous
                                                               -------------
                                                               Provisions
                                                               ----------

22.01 - Holdover
----------------

  Should Tenant continue to occupy the Premises after the expiration of the
term hereof or after a forfeiture incurred, whether with or against the consent
of Landlord, such tenancy shall be from month-to-month,
<PAGE>

and such month-to-month tenancy shall be under all the terms, covenants and
conditions of this Lease, and at double the rent reserved herein. However, if
Tenant notifies Landlord in writing upon three months prior notice, Tenant may
holdover for three months at the Tenant's then escalated rent. Tenant shall pay
125% of their then escalated rent thereafter.

22.02 - Limitation on Personal Liability
----------------------------------------

     (a) It is understood and agreed that Tenant shall look solely to the estate
and property of Landlord in the Building for the satisfaction of Tenant's
remedies for the collection or a judgment (or other judicial process) requiring
the payment of money by Landlord in the event of any default or breach by
Landlord with respect to any of the terms, covenant, and conditions of this
Lease to be observed and/or performed by Landlord and any other obligation of
Landlord created by or under this Lease and no other property or assets of
Landlord or of its partners, beneficiaries, co-tenants, shareholders, or
principals (as the case may be) shall be subject to levy, execution or other
enforcement procedures.

     (b) The term "Landlord," as used in subparagraph 22.02(a) above and
throughout this Lease, so far as covenants and agreements on the part or the
Landlord are concerned, shall be limited to mean and include only the owner or
owners at the time in question of the Building and Lease. Further, in the event
of any transfer or transfers of the title to the said Lease and/or the Building,
Landlord herein named (and in case of any subsequent transfers or conveyances,
the then grantor), including each of its partners, beneficiaries, co-tenants,
shareholders, or principals (as the case may be), shall, be automatically freed
and relieved from and after the date of such transfer and conveyance of all
liability as respects the performance of any covenants and agreements on the
part of Landlord. Landlord or the grantor shall turn over to the grantee all
monies and security, if any, then held by Landlord or such grantor on behalf of
Tenant and shall assign to such grantee all right, title and interest of
Landlord or such grantor thereto, it being intended that the covenants and
agreements contained in this Lease on the part of Landlord to be performed
shall, subject as aforesaid, be binding on Landlord, its successors and assigns.

22.03 - No Representations by Landlord
--------------------------------------

          Landlord or Landlord's agents have made no representations or promises
 with respect to the Building, the land upon which the Building is erected or
 the Premises except as herein expressly set forth in the provisions of this
 Lease.

22.04 - Lease Binding
---------------------

          All covenants in this Lease which are binding upon Tenant shall be
construed to be equally applicable to and binding upon Tenant's agents,
employees and others claiming the right to be in the Premises or in the Building
through or under Tenant.

          If more than one individual, firm or corporation shall join as Tenant,
the singular context shall be construed to be plural wherever necessary and the
covenants of Tenant shall be the joint and several obligations of each party
signing as Tenant, and, when the parties signing as Tenant are partners, shall
be the joint and several obligations of the firm and of the individual members
thereof..

22.05 - Vaults, Vault Space, Etc.
--------------------------------

          No vaults, vault space or space not within the property line of the
Building is leased hereunder, anything contained in or indicated on any sketch,
blueprint or plan, or anything contained elsewhere in this Lease to the contrary
notwithstanding. Landlord makes no representations as to the location of the
property line of the Building. All vaults and vault space and all
<PAGE>

space not within the property line of the Building, which Tenant may be
permitted to use and/or occupy, is to be used and/or occupied under a revocable
license, and if any such license be revoked, or if the amount of such space be
diminished or required by any Federal, State, Municipal Authority or public
utility, Landlord shall not be subject to any liability nor shall Tenant be
entitled to any compensation or diminution or abatement of rent, nor shall such
revocation, diminution or requisition be deemed constructive or actual
eviction. Any fee or charge of municipal authorities for such vault shall be
paid by Tenant.

22.06 - Failure to Give Possession
----------------------------------

        If Landlord shall not be able to turn space over substantially completed
to Tenant by July 15, 1999, then for each day of delay at substantial completion
Tenant shall receive three (3) additional days of rent abatement.

22.07 - Force Majeure
---------------------

     The period of time during which either party is prevented or delayed, in
the performance or the making of any improvements or repairs or fulfilling any
obligation other than the payment of fixed monthly rent or additional rent
required under this Lease due to unavoidable delays caused by fire, catastrophe,
strikes or labor trouble, civil commotion, Acts of God or the public enemy,
governmental prohibitions or regulation or inability to obtain materials by
reason thereof, or other causes beyond such party's reasonable control, shall be
added to such party's time for performance thereof, and such party shall have no
liability by reason thereof.

22.08 - Attornment  by  Tenant
------------------------------

     If at any time during the term of this Lease Landlord hereunder shall be
the holder of a leasehold estate covering premises which include the Premises
and if such leasehold estate shall be cancelled or otherwise terminated prior to
the expiration date thereof and prior to the expiration of the term of this
Lease or in the event of the surrender thereof whether voluntary, involuntary or
by operation of law, Tenant shall make full and complete attornment to the
lessor of such leasehold estate for the balance of the term of this Lease upon
the same covenants and conditions as are contained herein so as to establish
direct privity between such lessor and Tenant and with the same force and effect
as though this Lease was made directly from such lessor to the Tenant. Tenant
shall make all rent payments thereafter directly to such, lessor. In the event
any proceedings are brought for the foreclosure of, or in the event of
conveyance by deed in lieu of foreclosure of, or in the event of exercises of
the power of sale under any mortgage or deed or trust made by Landlord covering
the leases Premises, or in the event Landlord sells, conveys or otherwise
transfers its interest in the Building or any portion thereof containing the
leased Premises, Tenant shall attorn to and hereby covenants and agrees to
execute an instrument in writing reasonably satisfactory to the new owner
whereby Tenant attorns to such successor in interest and recognizes such
successor as the Landlord under this Lease.

22.09 - Landlord May Pay Tenant's Obligations
---------------------------------------------

     All costs and expenses which Tenant assumes or agrees to pay under the
provisions of this Lease shall at Landlord's election be treated as additional
rent, and in the event of nonpayment, Landlord shall have all the rights and
remedies herein provided for in case of nonpayment of rent or of a breach of
covenant. If Tenant shall default, beyond the applicable notice and cure period,
in making any payment required to be made by Tenant (other than the payment of
rent as provided by Article 3 above) or shall default in performing any term,
covenant or condition of this Lease on the part of Tenant to be performed which
shall involve the expenditure of money by Tenant, Landlord at Landlord's option
may, but shall not be obligated to,

<PAGE>

make such payment or, on behalf of Tenant, expend such sum as may be necessary
to perform and fulfill such term, covenant or condition, and any and all sums so
expended by Landlord, with interest thereon at the rate of one and one-half
percent (1-1/2%) per month from the date of such expenditure, shall be and be
deemed to be additional rent, in addition to the rent provided in Article 3 and
shall be repaid by Tenant to Landlord on demand, but no such payment or
expenditures by Landlord shall be deemed a waiver of Tenant's default nor shall
it affect any other remedy of Landlord by reason of such default.

22.10 - Effect of Captions
--------------------------

     The captions or legends on this Lease are inserted only for convenient
reference or identification of the particular paragraphs. They are in no way
intended to describe, interpret, define or limit the scope, extent or intent of
this Lease, or any paragraph or provision thereof.

22.11 - Tenant Authorized to Do Business in New York
----------------------------------------------------

     Tenant represents and covenants that it is and throughout the term of this
Lease shall be authorized to do business in the State of New York.

22.12 - Execution in Counterparts
---------------------------------

     This Lease may be executed in one or more counterparts, any one or all of
which shall constitute but one agreement.

22.13 - Memorandum of Lease
---------------------------

     Tenant agrees, if requested by Landlord, to execute a Memorandum of Lease
in recordable form pursuant to Section 291-c of the Real Property Law. of the
State of New York.

22.14 - Law Governing, Effect and Gender
----------------------------------------

     This Lease shall be construed in accordance with the laws of the State of
New York and shall be binding upon the parties hereto and their respective legal
representatives, successors and assigns except as expressly provided otherwise.
Use of the neuter gender shall be deemed to include the masculine or feminine,
as the sense requires. Any reference to successors and assigns of Tenant is not
intended to constitute a consent to any assignment by Tenant but has reference
only to those Instances in which Landlord may later give consent to a particular
assignment as required by the provisions of Article 15 hereof.

22.15 - Amendments
------------------

     The parties hereto mutually agree that so long as a mortgage or any
extension thereof shall be a lien upon the Premises, they will not reduce the
rents from that provided for in this Lease, provide for payments of rents prior
to the time herein provided for, nor terminate said Lease, except as set forth
herein, prior to the end of the term, except as otherwise provided in this
Lease, without first obtaining the consent of the mortgagee in writing, and that
any such proposed modification or termination without said mortgagee's consent
shall be void as against said mortgagee.

22.16 - Complete Agreement
--------------------------

     This Lease contains and embraces the entire Agreement between the parties
hereto and it or any part of it may not be changed, altered, modified,
limited, terminated, or extended orally or by any agreement between the parties
unless such agreement be expressed in writing, signed and acknowledged by the
parties hereto, their legal representative, successors or assigns, except as may
be expressly otherwise provided herein.
<PAGE>

22.17 - Invalidity of Particular Provisions
-------------------------------------------

     If any term or provision of this Lease or the application thereof to any
person or circumstances shall to any extent, be invalid or unenforceable, the
remainder of this Lease, or the application of such term or provision to persons
or circumstances other than those as to which it is held invalid or
unenforceable, shall not be affected thereby and each term and provision of this
Lease shall be valid and be enforced to the fullest extent permitted by law.

22.18 - Execution of Lease by Landlord
--------------------------------------

     The submission of this document for examination and negotiation does not
constitute an offer to lease, or a reservation of, or option for, the Premises
and this document becomes effective and binding only upon the execution and
delivery hereof by Landlord and by Tenant. All negotiations, considerations,
representations and understandings between Landlord and Tenant are incorporated
herein and may be modified or altered only by agreement in writing between
Landlord and Tenant, and no act or omission of any employee or other agent of
Landlord shall alter, change or modify any of the provisions hereof.

22.19 - Relationship of the Parties
-----------------------------------

     Nothing contained herein shall be deemed or construed by the parties hereto
nor by any third party as creating the relationship of principal and agent or
of partnership or of joint venture between the parties hereto, it being
understood and agreed that neither the method of computation of rent nor any
other provision herein contained, nor any acts of the parties hereto, shall be
deemed to create any relationship between the parties hereto other than Landlord
and Tenant.

22.20 - Renewal Option
----------------------

     Tenant shall have two (2) consecutive five (5) year lease renewal options
for up to 100% of Tenant's space then under lease at the lesser of 90% of fair
market or the then escalated rate. At the exercise of each option, the space
will be repainted and recarpeted at Landlord's expense. Replacement costs
including Landlord concessions and marketing time will be utilized to determine
fair market rent in each renewal period.

22.21 - Existing Tenant Obligation
----------------------------------

     Landlord shall assume Community Network's, Inc. current lease obligations
at 205 South Salina Street, Syracuse, NY from the time of rent commencement at
224 Harrison Street, Community Networks current lease at 205 S.Salina Street
expires 12/31/00. In the event Community Networks, Inc. is released from any or
all of it's rent obligation at 205 S.Salina Street prior to lease expiration,
then Landlord will cover only whatever obligation is left, if any.

22.22 - Exterior Building Signage
---------------------------------

     Landlord will agree to work with Tenant, and Tenant at Tenant's sole cost
and expense, will be allowed to install a sign on the building. Location, size
style, and design must all be approved by Landlord, which approval shall not be
unreasonably withheld or delayed.

22.23 - Right of First Refusal
------------------------------

     Tenant shall have an ongoing Right of First Refusal on adjacent vacant
space in the building. Should Tenant exercise a
<PAGE>

refusal right, the rental rate shall be at the same terms and conditions of the
other offer.

22.24 - Additional Tenant Improvements
--------------------------------------

     Tenant, at Tenant's option, shall have the right to amortize up to an
additional $10.00 per rentable square feet over the entire lease term at an
interest rate of nine percent (9%). This allowance may be applied towards any
hard or soft, construction or moving-related costs, included but not limited to
construction, furniture, telecommunications, professional fees or moving
expenses.

22.25 - Brokerage
-----------------

     Landlord and Tenant represent that Equis of N.Y. is the sole brokerage
company related to this lease agreement and Landlord will pay Equis of N.Y. a
real estate commission per a separate agreement between Equis or N.Y. and
Landlord.

22.26 - Other Provisions
------------------------

     Landlord will use its best efforts to provide Tenant with a nondisturbance
agreement from the lendor of the building.

     Landlord shall provide a pad space outside the building approximately 10
feet by 10 feet for tenant's gas emergency generator and day tank.

        IN WITNESS WHEREOF, Landlord and Tenant have executed this Lease as of
the day and year first above written.

                                                LANDLORD:
                                                --------

                                                244 Harrison Associates, LLC.

Date:  6/25/99                                  By: John Finiciello
     ----------------------------------------      ----------------------------

Date:  6/25/99                                  By: [SIGNATURE ILLEGIBLE]
     ----------------------------------------      ----------------------------

                                                TENANT
                                                ------

                                                Community Networks, Inc.

Date:  6/16/99                                  By: Scott Matukas
     ----------------------------------------      ----------------------------

Date:  6/16/99                                  By: [SIGNATURE ILLEGIBLE]
     ----------------------------------------      ----------------------------
<PAGE>

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

        On this 25th day of June, 1999, before me personally came Anthony
[ILLEGIBLE], to me personally known, who, being by me duly sworn, did depose and
say that he resides in Liverpool, New York; that he is a Partner of 224 Harrison
Associates, LLC, that he is known to me to be one of the partners of the
Partnership that executed the within instrument; and he is acknowledged to me
that he executed the same on behalf of and in the name of such Partnership as
Landlord.

                                                  /s/ Kristen Exner
                                                  -----------------------------
                                                  Notary Public

                                                         KRISTEN EXNER
                                                NOTARY PUBLIC, State of New York
                                                  Qualified in Onondaga County
                                                  Reg. No. 01F1505053373
                                                 My Commission Expires 12/13/99
STATE OF NEW YORK           )
COUNTY OF QUEENS            )SS.:

        On this 16th day of June, 1999, before me personally came Scott M.
Matukas, to me personally known, who, being by me duly sworn, did depose and say
that he resides at 17 Laurelton Rd. Mt. Kisco, NY 10543 and who acknowledges
that he executed the within instrument as Tenant.

                                                  /s/ Raquel A. Brown
                                                  -----------------------------
                                                  Notary Public

                                                           Notary Public
                                                         State of New York
                                                          Raquel A. Brown
                                                          ID #01BR6019598
                                                          Exp. Feb, 08, 2001
STATE OF NEW YORK           )
COUNTY OF                   )SS.:

        On this __ day of __________, 199_, before me personally came________
________,to me personally known, who, being by me duly sworn, did depose and say
that he resides in ___________________________; that he is the________________
___________________ of ____________________________, the corporation described
in, and which executed the within instrument; that he signed his name thereto by
order of the Board of Directors of said corporation.

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

<PAGE>

                                                                     EXHIBIT "A"

                                                                  FLOOR  PLAN(S)
                                                                  --------------

OUTLINING PREMISES
------------------
<PAGE>

                                                                     EXHIBIT "C"

                                                                 LANDLORD'S WORK
                                                                 ---------------

Landlord will provide Tenant with a twenty-five dollar ($25.00/sq.ft.) per
square foot buildout allowance for the demised space.

In addition, to the $25.00/sq.ft. allowance, Landlord shall do the following
work as Base Building Work:

                                .   Deliver the premises demised and secure in
                                    broom clean condition and ready for new
                                    tenant construction.

                                .   Comply with ADA and local building life
                                    safety codes throughout the lease term.

                                .   Provide pad space (10 x 10) for tenant's gas
                                    emergency generator and access to same from
                                    designated platform, size of pad space may
                                    vary.

                                .   Provide access way for an electrical conduit
                                    from generator to Tenant's ATC switch
                                    located at the Tenants service breaker as
                                    designated by the Landlord.

                                .   Provide the right and access to install
                                    horizontal and vertical conduit for fiber
                                    optics and for MCM Ground, subject to
                                    Landlord's approval, which shall not be
                                    unreasonably withheld.

                                .   Provide freight elevator access capable of
                                    handeling Tenant's switch and battery items.
                                    If freight elevator and area is not capable
                                    of this requirement than Landlord will be
                                    responsible for renting a crane and booming
                                    the equipment into the demised premises.
                                    Tenant and Landlord shall agree on rating
                                    certification of crane.

                                .   Provide a minimum of 125 lbs. per square
                                    foot floor loading to the demised premises.

                                .   From existing building electric service
                                    Landlord will provide Tenant with 800 amp
                                    service.

Tenant and Landlord agree that Landlord will upgrade electric capacity by 1200
amps. This coat shall be divided accordingly, 2/3 of the cost to Tenant and 1/3
of the cost to Landlord. Landlord's cost is not part of the Base Building Work.

In conjunction with Landlord's work to be done by July 15, 1999, Landlord
will upgrade the forth floor loading, beyond the 125 lbs. per square foot, in
designated areas. This cost shall not be part of Landlord's Base Building Work.
A floor plan is to be provided by Tenant as to the layout of the switch room.

<PAGE>

                                                               EXHIBIT "D"

                                                               TENANT'S WORK and
                                                               -----------------
                                                 TENANT'S INSURANCE REQUIREMENTS
                                                 -------------------------------

                                 TENANT'S WORK
                                 -------------

Tenant to take the space in as is condition accept for the Base Building items
listed in Landlord's work in Exhibit "C". Tenant will be responsible for all
construction on the demised premises and will use the landlord's buildout
allowance to do the same. Any cost above and beyond the landlord's buildout
allowance will be at the cost of the tenant.

      In fulfillment of its obligations pursuant to Paragraph 4.03 of this
Lease, Tenant shall carry, at its own expense, and shall name Landlord as
additional insured upon the following insurance coverages in the following
amounts:

          (a)  Comprehensive General Liability including completed operations,
explosions, collapse and underground operations, if any; broad form property
damage including completed operations, protective liability, contractual
liability and indemnity:

               $1,000,000 - Each Occurrence

          (b)  Personal Injury (with employment exclusion deleted and
contractual exclusion deleted):

               $1,000,000 - Occurrence and Aggregate

          (c)  Auto Liability (including non-owned and hired vehicles):

               $250,000/$500,000 - Bodily Injury
               $250,000 - Property Damage

          (d)  Statutory Worker's Compensation, Employers' Liability an
Disability Benefits:

               Unlimited

          (e)  Excess Liability, Umbrella Form: $1,000,000 and any other special
insurance as required by Landlord so as to fully protect Landlord against loss
or damage throughout the period during the Tenant's Work is being performed.

<PAGE>

                                   EXHIBIT E

                              RULES AND REGULATIONS

     (a) Tenant shall not exhibit, sell or offer for sale on the Premise or in
the Building any article or thing except those articles and things essentially
connected with the stated use of the Promises by the Tenant without the advance
consent of Landlord, nor shall Tenant install or permit to be installed any
vending machines in the Premises, other than those vending machines used soley
by employees, customers, or visitors.

     (b) Tenant will not make or permit to be made any use of the Premises or
any part thereof which would violate any of the covenants, agreements, terms,
provisions and conditions of this Lease or which directly or Indirectly may be
dangerous to life, limb, or property, or which may invalidate or increase the
premium cost of any policy of insurance carried on the Building or covering its
operation, or which will suffer or permit the Premises or any part thereof to
be used in any manner including storage therein which, in the judgement of
Landlord, shall in any way impair the character, reputation or appearance of the
Building as a high quality office building, or which will impair or interfere
with or tend to impair or interfere with any of the services performed by
Landlord for the Building.

     (c) Tenant shall not display, inscribe, print, paint, maintain or affix on
any place in or about the Building any sign, notice, legend, direction, figure
or advertisement, without consent of Landlord, which consent shall not be
unreasonably withheld. The listing of any name other than that of Tenant,
whether at the doors of the Premises, on the Building directory, or otherwise,
shall not operate to vest any right or interest in this Lease or in the
Premises or be deemed to be the written consent of Landlord mentioned in Article
12, it being expressly understood that any such listing is a privilege extended
by Landlord revocable at will by written notice to Tenant. Tenant will be
allowed to place a sign on the outside sign directly below Eve's Cafe sign.
Landlord must approve of the size and color. Approval by Landlord not to be
unreasonably withheld.

     (d) Tenant shall not advertise the business, profession or activities of
Tenant conducted in the Building in any manner which violates the letter or
spirit of any code of ethics adopted by any recognized association or
organization pertaining to such business, profession or activities, and shall
not use the name of the Building for any purpose other than that of the
business address of Tenant, and shall never use any picture or likeness of the
Building in any circulars, notices, advertisements or correspondence without the
Landlord's consent.

     (e) No additional locks or similar devices shall be attached to any door
or window other than those provided in Exhibit A, attached hereto, without
Landlord's written consent. No keys for any door other than those provided by
the Landlord shall be made. If more than one key per employee for one lock is
desired, Landlord will provide the same upon payment by Tenant. All keys must be
returned to Landlord at the expiration or termination of this Lease.

     (f) All persons entering or leaving the Building between the hours of 6
p.m. and 8 a.m. Monday through Friday, or any time on Saturdays, Sundays or
holidays, may be required to do so under such regulations as Landlord may
impose. Landlord may exclude or expel any peddler, unless specifically otherwise
provided in the lease.

     (g) Tenant shall not overload any floor. Landlord may direct the time and
manner of delivery, routing and removal of all items that are delivered to the
Building for the Tenant's use and may specify the location of safes and other
heavy articles. Fire proof files are located on Exhibit A, attached hereto.

     (h) Unless Landlord gives advance written notice, Tenant shall not install
or operate any steam or internal combustion engine, machinery, refrigerating or
heating device or air-conditioning apparatus in or about the Premises, or carry
on any mechanical business herein, or use the Premises for housing
accommodations or lodging or sleeping purposes, or do any cooking therein or use
any illumination other than electric light, or use or permit to be brought into
the building any flammable fluids such as gasoline, kerosene, naphta, bonzing
and solvents, or any explosives, radioactive materials or other articles deemed
extra-hazardous to life, limb or property except in a manner which would violate
any ordinance or regulation or any condition imposed by the standard fire
insurance policy issued for office buildings in the municipality where the
Building is located, or do or permit anything to be done, or keep or permit
anything to be kept, in the Premises, which would increase the fire or other
casualty insurance rate on the Building or the

<PAGE>

property therein, or which would result in insurance companies of good standing
refusing to insure the Building or any such property in amounts reasonably
satisfactory to Landlord, Tenant shall not use the Premises for any illegal or
immortal purpose. Tenant is allowed to have a microwave, soda machine,
refrigerator, dishwasher and coffee pot in office space for it's sole use.

     (i) Tenant shall cooperate fully with Landlord to assure the effective
operation of the Building's air-conditioning system, including the closing of
blinds and drapes, and if windows are operable to keep them closed when the air-
conditioning system is in use. Landlord shall provide, heating and air
conditioning according to the standard Ashrac conditions, except in the two
designated areas as noted on Exhibit D which need additional cooling.

     (j) Tenant shall not contract for any work or service which might involve
the employment of labor unreasonably incompatible with the Building employees or
employees of contractor doing work or performing services by and on behalf of
Landlord, during the times when the Landlord is doing work.

     (k) The sidewalks, halls, passages, exits, entrances, elevators and
stairways shall not be obstructed by Tenant or used for any purpose other than
for ingress to and egress from its Premises. The halls, passages, exits,
entrances, elevators, stairways and roof are not for the use of the general
public and Landlord shall in all cases retain the right to control and prevent
access thereto by all persons whose presence, in the judgement of Landlord,
shall be prejudicial to the safety, character, reputation and interests of the
Building and Its tenants, provided that nothing herein contained shall be
construed to prevent such access to persons with whom Tenant normally deals, in
the ordinary course of Tenant's business unless such persons arc engaged in
illegal activities. No tenant and no employees or invites or any tenant shall go
upon the roof or into the mechanical rooms of the Building.

     (l) Tenant shall not use, keep or permit to be used or kept any foul or
noxious gas or substance in the Premises, or permit or suffer the Premises to be
occupied or used in a manner offensive or objectionable to Landlord or other
occupants of the Building by reason or noise, odors and/or vibrations, or
interfere in any way with other tenants or those, having business herein, nor
shall any animals or birds be brought in or kept in or about the Premises of
the Building.

     (m) With respect to the Premises Tenant shall see that the doors and
windows, if operable, are closed and securely locked before leaving the Building
and must observe strict care and caution that all water faucets or water
apparatus are entirely shut off before Tenant or Tenant's employees leave the
Building, and that all electricity shall likewise be carefully shut off so as to
prevent waste or damage, exception being that certain computers be loft on 24
hours per day 7 days per week due to the nature of Tenant's business. The
building hours are from 7 a.m. no 6 p.m. Monday thru Friday. After these hours
Tenant will have access Into the building with a "card-key" system.

     (n) There shall not be used in any space, or in the public halls of the
Building, either by any tenant or by jobbers or others, in the delivery or
receipt of merchandise, any hand trucks, except those equipped with rubber tires
and side guards. All removals, or, the, carrying in or out of any safes,
freight, furniture or bulky matter of any description must take place during the
hours which the Landlord or its Manager may reasonably determine from time to
time, The Landlord reserves the right to exclude from the Building all freight
which violates any or the Rules and Regulations or the Lease of which these
Rules and Regulations are a part.

     (o) Tenant shall have the non-exclusive right in common with others to
whom Landlord has or may hereafter grant rights, to use the Building Common
Areas and the Outside Common Areas as designated from time to time by
Landlord, subject to such reasonable regulations as Landlord may impose. All
parking areas in or about (per Exhibit C) the Building provided by Landlord
shall be subject to the exclusive control and management of the Landlord, unless
specifically otherwise provided in the lease. Landlord shall have the right
to reasonably designate from time to time, specific areas in which cars owned or
used by Tenant. Its permitted officers, partners, employees, clients, visitors
and agents must be parked. If Landlord shall designate such specific parking
areas and if any car of Tenant or its permitted officers, partners, employees or
agents of Tenant is parked In any other portion of the parking area, then Tenant
shall pay to Landlord after being warned by Landlord in writing one prior time,
upon demand, the sum of Ten Dollars ($10.00) for each such car for each day, or
part thereof, such car is so parked, and Tenant hereby authorizes Landlord to
tow or cause any such car to be towed to the then designated parking area and
agrees to reimburse Landlord for the cost thereof, upon demand.<PAGE>

                                                                 EXHIBIT 10.10

                              AGREEMENT OF LEASE

                     TRI-STATE CONSUMER INSURANCE COMPANY

                                      AND

                             STARBUCKS CORPORATION
<PAGE>

                             SUBLEASE AND CONSENT

     This SUBLEASE (the "Sublease") is entered into as of the 25th day of
November 1998, by and between STARBUCKS CORPORATION, a Washington corporation
("Sublandlord") and COMMUNITY NETWORKS, a___________ (d/b/a __________________)
("Subtenant").

                                    RECITALS

     A. Sublandlord is a party to that certain lease (the "Master Lease") dated
as of January __, 1996 with TRI-STATE CONSUMER INSURANCE COMPANY ("Master
Landlord") for certain premises commonly known as Suite 202 (comprising 2215
gross rentable square feet resulting in 1883 usable square feet) at 2 Robbins
Lane, Jericho, NY 11753 (the "Premises") and legally described on Exhibit A
attached to the Master Lease. A copy of the Master Lease is attached hereto.

     B. Subtenant wishes to sublease from Sublandlord all of the Premises (the
"Subleased Premises").

     C. Master Landlord is willing to approve this Sublease, all on the terms
and conditions hereinafter set forth.

     NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:

     1. Sublease. On the terms and conditions stated herein, Sublandlord hereby
        --------
subleases the Subleased Premises to Subtenant and Subtenant hereby subleases the
Subleased Premises from Sublandlord. Except only as otherwise stated herein,
Subtenant accepts the Subleased Premises subject to all the terms and conditions
of the Master Lease. Unless otherwise defined herein, all capitalized terms used
in this Sublease shall have the meanings given such terms in the Master Lease.

     2. Term. The term (the "Sublease Term") of this Sublease shall commence on
        ----
the date Sublandlord tenders possession of the Subleased Premises to Subtenant
(the "Commencement Date"). If Subtenant shall not receive possession of the
Premises by January 1, 1999, Subtenant shall have the right to terminate this
Sublease. The Commencement Date is currently estimated to be December 1, 1998.
Sublandlord shall deliver written notice to Subtenant of its tender of
possession and such notice conclusively shall establish the Commencement Date.
The Sublease Term shall expire May 31, 2001, to coincide exactly with the
expiration of the initial Term of the Master Lease or upon such earlier date as
this Sublease may be canceled or terminated pursuant to any of the provisions of
this Sublease, the Master Lease or pursuant to law (the "Expiration Date").
Notwithstanding anything to the contrary contained in this Sublease, Subtenant
shall not have the right to exercise the option to extend in the Master Lease.

<PAGE>

     3.   Base Rent.
          ---------

          3.1   Rent shall begin to accrue thirty (30) days after possession of
the Premises is tendered to Subtenant, subject to an extension of one (1) day
for each day of delay, if any, that the Commencement Date is later than December
1, 1998 (the "Rent Commencement Date"); provided however, that Subtenant shall
                                        -------- -------
deliver to Sublandlord a check in an amount equal to the payment of the first
full month's installment of rent upon its execution of this Sublease which
amount shall be applied to the Base Rent first due. Commencing on the Rent
Commencement Date and throughout the Term, Subtenant shall pay Sublandlord in
advance on the first day of each and every month, at its address set forth in
Section 17 below, without demand, notice, abatement, deduction or offset, annual
rent ("Base Rent") at the rates set forth below in equal monthly installments on
or before the first day of each calendar month of the Term:

          Lease Year          Base Rent           Monthly
          ----------          ---------           -------
                                                  Installment
                                                  -----------
          all                 $44,300.00          $3,691.67

          3.2   Partial Months. If the Sublease Term includes any partial
                --------------
calendar months, the monthly installment of Base Rent for such months shall be
prorated based on a thirty (30) day month.

          3.3   Late Charges and Interest. If any monthly installment of Base
                -------------------------
Rent and/or any other payments to be made by Subtenant to Sublandlord hereunder
is not paid by the fifth (5th) day following the due date thereof, a service
charge equal to the greater of $100.00 or five percent (5%) of the past due
amount shall become immediately due and payable. Sublandlord and Subtenant agree
that the late charges provided for herein represent a fair and reasonable
estimate as to the additional administrative, processing and accounting costs
that will be incurred by Sublandlord as a result of any late payments by
Subtenant hereunder. In addition to the foregoing late charges, any amounts owed
by Subtenant to Sublandlord shall bear interest from the date due until paid at
the lesser of (a) twelve percent (12%) per annum, or (b) the maximum rate of
commercial interest allowed by applicable law.

     4.   Additional Charges. Notwithstanding any provision to the contrary
          ------------------
contained herein, in the event Subtenant's default, acts, omissions or occupancy
result in a charge against Sublandlord or the Premises, Subtenant shall pay the
entire amount of such charge to Sublandlord.

     5.   Condition of Subleased Premises.
          -------------------------------

          5.1   Subtenant acknowledges that it has had an opportunity to
thoroughly inspect the Subleased Premises and Subtenant agrees to accept the
Subleased Premises "as is, where is," with all faults.

                                       2

<PAGE>

          5.2   SUBTENANT ACKNOWLEDGES THAT SUBLANDLORD HAS NOT MADE AND WILL
NOT MAKE ANY WARRANTIES TO SUBTENANT WITH RESPECT TO THE QUALITY OF CONSTRUCTION
OF ANY LEASEHOLD IMPROVEMENTS OR TENANT FINISHES WITHIN THE SUBLEASED PREMISES
OR AS TO THE CONDITION OF THE SUBLEASED PREMISES OR THE PREMISES, WHETHER
EXPRESS, STATUTORY, IMPLIED OR OTHERWISE, AND THAT SUBLANDLORD EXPRESSLY
DISCLAIMS ANY IMPLIED WARRANTY THAT THE SUBLEASED PREMISES ARE OR WILL BE
SUITABLE FOR SUBTENANT'S USE OR INTENDED COMMERCIAL PURPOSES.

     6.   Use and Operations.
          ------------------

          6.1   Use. Subtenant shall use the Subleased Premises solely for
                ---
offices.

          6.2   Operating Requirements. In addition to complying with all
                ----------------------
operational requirements imposed on Subtenant by the terms of the Master Lease
(as incorporated herein in Section 8), Subtenant agrees as follows:

                (a)  Subtenant's operations shall at all times be first class
and in keeping with the highest commercial standards.

                (b)  Subtenant shall not create or permit a nuisance or
otherwise interfere with or disturb Sublandlord, Master Landlord, any
neighboring tenants or any of their employees, contractors, agents or invitees.

                (c)  Subtenant shall not operate in any manner that increases
the rate for or invalidates any policy of insurance carried by Sublandlord or
Master Landlord.

          6.3   Rules. Subtenant shall comply with any reasonable rules and
                -----
regulations established by Sublandlord or Master Landlord for the Subleased
Premises and communicated to Subtenant in writing.

          6.4   Compliance with Law. Subtenant, at its expense, shall comply
                -------------------
promptly with all laws, rules, and regulations made by any governmental
authority having jurisdiction over the Subleased Premises. Subtenant shall not
be responsible for any structural repairs to the Premises pursuant to Article 9
(a) of the Master Lease.

     7.   Subordination: Incorporation of Master Lease.
          --------------------------------------------

          7.1   Incorporation of Master Lease. Except to the extent hereinafter
                -----------------------------
provided, this Sublease is subject and subordinate to all of the covenants,
agreements, terms, provisions, conditions and obligations of the Master Lease.
Subtenant agrees that all rights and privileges granted hereunder are subject to
the limitations imposed on Sublandlord by the Master Lease and that, except as
expressly provided herein, Sublandlord is not granting any rights or privileges
to Subtenant that are not expressly

                                       3
<PAGE>

Premises or any alteration, addition or change to the Demised Premises costing
less than $20,000 that does not affect the structural, mechanical or electrical
integrity of the Demised Premises or Building.

        7.     ACTIVITIES INCREASING FIRE INSURANCE RATES. Lessee shall not do
or suffer anything to be done on the Premises which will increase the rate of
fire insurance on the Building.

        8.     ASSIGNMENT AND SUBLETTING.

               (a) Lessee will not by operation of law or otherwise, assign,
mortgage or encumber this Lease, nor sublet or permit the Demised Premises to be
used by others (except to RIPCO Real Estate Company at any time after the twenty
four (24) month anniversary of the Commencement Date hereof with respect to a
sublet of the whole Premises), in whole or in part, without Lessor's prior
express written consent in each instance. The consent by Lessor to any
assignment or subletting (including a sublease to RIPCO Real Estate Company)
shall not in any manner be construed to relieve Lessee from obtaining Lessor's
express written consent to any other or further assignment or subletting nor
shall any such consent by Lessor serve to, relieve or release Lessee from its
obligations to fully and faithfully observe and perform all of the terms,
covenants and conditions of this Lease on Lessee's part to be observed and
performed.

               (b) If Lessee shall desire to assign or to sublet all or any
portion of the Demised Premises, Lessee shall give notice thereof to Lessor and
in said notice shall set forth the name and address of the proposed assignee or
sublessee, information as to financial condition of such assignee or sublessee
and proposed use which assignee or sublessee desires to make of the Demised
Premises. Said notice shall bear the signature of the proposed sublessee or
assignee or an officer or managing partner, as the case may be, attesting to its
accuracy. Lessee shall in addition, at Lessor's request, furnish such other
further information as Lessor may reasonably request concerning such proposed
assignment or subletting. If Lessor does not respond to Lessee's request within
fifteen (15) days thereof, Lessor shall be deemed to have consented to such
request.

               (c)   As a condition of Lessor's consent to any assignment or
subletting:

                     (i)    Lessee at the time of requesting Lessor's consent
shall not be in default of any of the terms, covenants and conditions which are
the obligations of the Lessee hereunder;

                     (ii)   Each assignee of this Lease shall assume in writing
all of the terms, covenants and conditions of this Lease on the part of Lessee
hereunder to be performed and observed, to the extent they accrue after the date
of the assignment;

                     (iii)  An original or duplicate original of the instrument
of assignment and assumption shall be delivered to Lessor within ten (10) days
following the execution thereof;

                     (iv)   Any instrument of sublease shall specifically state
that each sublease is subject to all of the terms, covenants and conditions of
this Lease; and

                                       4
<PAGE>

both Master Landlord and Sublandlord. Any permitted alterations, additions or
improvements shall be completed in a first-class manner using all-new equipment,
furnishings and fixtures. Subtenant shall submit its plans and specifications
for its initial improvements to Master Landlord and to Sublandlord as soon as
practicable after the execution of this Sublease. Subtenant shall use only
first-class, reputable contractors approved by Sublandlord to perform any work
in the Subleased Premises and shall coordinate with Sublandlord's work.
Subtenant shall not commence any work upon the Subleased Premises until it has
provided Master Landlord and Sublandlord with a copy of an executed construction
contract and a building permit for such work. Subtenant shall perform all work
in accordance with the requirements of the Master Lease, at Subtenant's sole
expense.

        8.2 Upon Master Landlord or Sublandlord's request, Subtenant shall
remove any and all alterations, additions, improvements and signage from the
Subleased Premises which were installed by Subtenant upon the expiration or
termination of the Sublease and shall repair any damage caused by such removal.

        8.3 Before commencing any alterations, additions or improvements using
outside contractors, Subtenant shall notify Master Landlord and Sublandlord of
the expected commencement and completion dates of the work and shall permit
Master Landlord and Sublandlord to post a notice of non-responsibility on the
Subleased Premises. Subtenant shall not permit any mechanics' or materialmen's
liens to be levied against the Premises or the property on which it is located
for any labor or material furnished to Subtenant or to its agents or contractors
and shall indemnify and hold Sublandlord and Master Landlord harmless from and
against any such claims. If Subtenant has not removed any lien within ten (10)
days after the lien is filed, then Sublandlord may pay the lienholder and
Subtenant shall reimburse Sublandlord for such costs as additional rent.

     9. Repair and Maintenance: Surrender.
        ---------------------------------

        9.1 Repair and Maintenance. Subtenant, at Subtenant's expense, shall
            ----------------------
keep the Subleased Premises in good order, condition and repair in accord with
the provisions of the Master Lease

        9.2 Surrender. Upon the expiration or termination of this Sublease,
            ---------
Subtenant shall surrender the Subleased Premises to Sublandlord in broom clean
condition, in comparable or better than the condition in which the Subleased
Premises were delivered at the beginning of the Initial Term, ordinary wear and
tear excepted, and in accordance with all applicable terms and standards of the
Master Lease.

     10. Compliance with Master Lease. Notwithstanding anything to the contrary
         ----------------------------
contained in this Sublease, neither Sublandlord nor Subtenant shall not do or
permit anything to be done by its employees, agents, contractors or invitees
which would constitute a violation or breach of any of the terms, conditions or
provisions of the Master

                                       5
<PAGE>

Lease or which would cause the Master Lease to be terminated or forfeited by
virtue of any rights of termination or forfeiture reserved by or vested in
Master Landlord. Sublandlord and Subtenant shall each indemnify, defend and hold
the other harmless from and against any and all losses, claims, liabilities,
damages, costs or expenses (including, without limitation, reasonable attorneys'
fees and disbursements) arising from Sublandlord's or Subtenant's respective
actions, omissions or failure to perform or observe any of the terms and
conditions of the Master Lease (as and to the extent incorporated herein) or
this Sublease, as they relate to the Subleased Premises or the Premises.
Sublandlord's and Subtenant's obligations and indemnity in this Section shall
survive the expiration or sooner termination of this Sublease.

     11.  Default.
          -------

          11.1 The occurrence of any one or more of the following events shall
constitute a default and breach of this Sublease by Subtenant:

               (a) The failure by Subtenant to make any payment of Base Rent,
additional rent, or any other payment required to be made by Subtenant
hereunder, as and when due.

               (b) The failure by Subtenant to observe or perform any of the
covenants, conditions, or provisions of this Sublease to be observed or
performed by Subtenant (including the terms of the Master Lease which have been
incorporated herein by reference), other than the payment of sums due hereunder,
where such failure shall continue for a period of fifteen (15) days after
written notice thereof from Sublandlord to Subtenant; provided, however, that if
the nature of Subtenant's default is such that more than fifteen (15) days are
reasonably required for its cure, then Subtenant shall not be deemed to be in
default if Subtenant commences such cure within such fifteen (15) day period and
thereafter diligently pursues such cure to completion.

               (c) The occurrence of any act or omission that is, or with the
giving of notice or passage of time would be, a default under the Master Lease.

          11.2 In the event of any breach hereunder by Subtenant, Sublandlord
shall have all of the rights and remedies available at law or in equity or
available to Master Landlord against Sublandlord under the Master Lease, as if
such breach occurred under such document.

          11.3 If Subtenant defaults in the performance of any of its
obligations under this Sublease, other than its obligation to pay Base Rent to
Sublandlord, Sublandlord, without being under any obligation to do so and
without thereby waiving such default, may remedy such default for the account
and at the expense of Subtenant.

     12.  Insurance: Indemnity.
          --------------------

                                       6
<PAGE>

             12.1 Subtenant's Insurance. Throughout the Term of this Sublease,
                  ---------------------
     Subtenant shall, for the benefit of Sublandlord and Master Landlord, obtain
     and keep in full force and effect insurance as required by the Master
     Lease.

             12.2 Waiver of Subrogation. Neither Sublandlord nor Subtenant shall
                  ---------------------
     be liable to the other or to any insurance company (by way of subrogation
     or otherwise) insuring the other party for any loss or damage to any
     building, structure or other tangible property, or any resulting loss of
     income and benefits, even though such loss or damage might have been
     occasioned by the negligence of such party, its agents or employees if any
     such loss or damage is covered by insurance benefiting the party suffering
     such loss or damage or was required to be covered by insurance pursuant to
     this Sublease. Sublandlord and Subtenant shall require their respective
     insurance companies to include a standard waiver of subrogation provision
     in their respective policies.

             12.3 Indemnification by Subtenant. Subtenant shall defend,
                  ----------------------------
     indemnify, and hold Sublandlord and Sublandlord's agents, officers,
     directors, employees, and contractors harmless against and from any and all
     injuries, costs, expenses, liabilities, losses, damages, injunctions,
     suits, actions, fines, penalties, and demands of any kind or nature
     (including reasonable attorneys' fees) arising in connection with any and
     all third party claims arising out of (a) injuries occurring within the
     Subleased Premises; (b)any intentional acts or negligence of Subtenant or
     Subtenant's agents, employees, or contractors; (c) any breach or default in
     the performance of any obligation on Subtenant's part to be performed under
     this Sublease; or (d) the failure of any representation or warranty made by
     Subtenant herein to be true when made. This indemnity does not include the
     intentional or negligent acts or omissions of Sublandlord or its agents,
     officers, contractors or employees. This indemnity shall survive
     termination of this Sublease only as to claims arising out of events that
     occur prior to termination of the Sublease.

       13. Assignment: Subletting. Subtenant shall not assign, mortgage, pledge,
           ----------------------
     encumber or otherwise transfer this Sublease or any interest in the
     Subleased Premises, nor shall Subtenant further sublet all or any part of
     the Subleased Premises, nor allow the Subleased Premises or any part
     thereof to be used or occupied by anyone other than Subtenant. Any transfer
     of a partnership interest, if Subtenant is a partnership, or shares of
     stock, if Subtenant is a corporation, shall be deemed an assignment. Should
     Subtenant desire to assign, sublet or otherwise transfer any rights under
     this Sublease or all or a portion of the Premises, to (i) a parent,
     subsidiary, affiliate, division or corporation controlling, controlled by
     or under common control with Subtenant; (ii) a successor corporation
     related to Subtenant by merger, consolidation, non-bankruptcy
     reorganization or government action; or (iii) a purchaser of substantially
     all of the Subtenant's assets, then Subtenant may proceed with such
     transfer upon its delivery to Sublandlord of(a) a written notice of same;
     (b) copies of documents evidencing and describing the transaction, redacted
     to delete any proprietary or confidential information; (c) a written
     statement giving contact information for the transferee; and (d) a written,
     executed

                                       7
<PAGE>

covenant running from Subtenant to Sublandlord that such transferee has the
financial ability to pay sums due hereunder and has a net worth not less than
that of Subtenant.

     14. Brokers. Other than Jeff Pacy of Equis of New York, Inc., Sublandlord
         -------
and Subtenant hereby warrant and represent to each other that they have dealt
with no brokers or agents in connection with the Subleased Premises or this
Sublease or Subtenant's leasing of the Subleased Premises, and that no other
broker(s) or agent(s) brought the Subleased Premises and/or the other party to
the attention of the indemnifying party. Sublandlord and Subtenant hereby agree
to indemnify, defend and hold each other harmless from and against any and all
claims, losses, liabilities, damages, costs or expenses (including, without
limitation, reasonable attorneys' fees and disbursements) arising or resulting
from the indemnifying party's breach or alleged breach of its warranty and
representation contained in this Section. The provisions of this Section shall
survive the expiration or sooner termination of this Sublease.

     15. Notices. Whenever a provision is made under this Lease for any demand,
         -------
notice or declaration of any kind, or where it is deemed desirable or necessary
by either party to give or serve any such notice, demand or declaration to the
other party, it shall be in writing and served either personally or sent by
United States mail, certified, postage prepaid. Notices to Subtenant shall be
given at the Premises. Notices to Sublandlord shall be given to the address set
forth below:

     By Mail:                P.O. Box 34067
                             Seattle, WA 98124-1067

     By Overnight Delivery:  2401 Utah Avenue South, 8th Floor
                             Seattle, WA 98134
                             Attn:  Property Management Department

With a duplicate copy to the attention of the Law and Corporate Affairs
Department at the same address.

     Notices given hereunder shall be deemed to have been given on the date of
personal delivery (or the first business day thereafter if delivered on a
non-business day) or two (2) days after the date of mailing. Each party shall
have the right to change its notice addresses from time to time by written
notice given in accordance with this Section; provided, however, that legal
service of process may always be served on Subtenant by service on the employee
in charge of the Subleased Premises.

     16. Parking. Sublandlord makes no representations with respect to parking
         -------
at the Subleased Premises. Subtenant agrees that it has the sole responsibility
for investigating parking and ensuring that adequate parking exists for its
intended use.

     17. Security Deposit. Upon execution of this Sublease by Subtenant,
         ----------------
Subtenant shall deposit with Sublandlord the sum of Three Thousand Six Hundred
Ninety

                                       8
<PAGE>

One and 67/100 Thousand Dollars ($3,691.67), which sum shall be held by
Sublandlord as security for the full and faithful performance of all terms,
conditions and agreements contained in this Lease by Subtenant. In the event of
any default by Subtenant hereunder, or in the event Sublandlord advances sums on
Subtenant's behalf, Sublandlord shall have the right to use the security deposit
to recover its expenditures, and Subtenant shall, within ten (10) days request
of Sublandlord, restore the deposit to its original amount. Sublandlord may
commingle the deposit with Sublandlord's other funds and shall not be required
to pay interest on the deposit.

     18. Governing Law: Sectional Headings. This Sublease shall be governed,
         --------------------------------
enforced and regulated by the laws of the state where the Subleased Premises are
located. The sectional headings herein are inserted for convenience only and
shall not be used in any way to limit or modify the terms and provisions of this
Sublease.

     19. Partial Invalidity. If any term or provision of this Sublease, or any
         ------------------
application thereof, shall be found invalid or unenforceable by a court of
competent jurisdiction, the remainder of  this Sublease and any other
application thereof shall not be affected thereby, but shall remain in full
force and effect.

     20. Entire Agreement. This Sublease, together with: (a) all schedules
         ----------------
attached to and referenced in this Sublease and (b) all of the terms and
provisions of the Master Lease wholly or partially incorporated herein,
constitutes the entire agreement between the parties hereto concerning the
matters set forth herein, and any prior or contemporaneous agreement or
understanding (whether oral or written) between such parties with respect to the
subject matter herein shall have no force or effect.

     21. Changes. This Sublease shall not be modified or amended except by a
         -------
writing signed by the party against whom enforcement of the modification or
amendment is sought.

     22. Unexecuted/Undelivered Drafts. Unless and until executed and delivered
         -----------------------------
by all parties to this Sublease, this Sublease is, and shall remain, a draft
only, and delivery or discussion of the draft shall not be construed as an offer
or commitment with respect to the proposed transaction to which the draft
pertains. No party to the proposed transaction (and no person or entity related
to any such party) will be under any legal obligation with respect to the
proposed transaction or any similar transaction, and no offer, commitment,
undertaking, estoppel or obligation of any nature whatsoever shall be implied in
fact, in law or in equity, unless and until the formal Sublease providing for
the transaction has been executed and delivered by all parties hereto.

     23. Binding Effect. The terms and provisions of this Sublease shall bind
         --------------
and inure to the benefit of Sublandlord and Subtenant and their respective
successors and assigns, but this Section shall not give Subtenant any rights to
assign this Sublease or to sub-sublet the Subleased Premises except as and if
allowed by some other Section(s) of this Sublease.

                                       9
<PAGE>

     24. Conflict in Terms. If any provision of this Sublease (express or
         -----------------
implied) shall be in unintentional conflict with the terms of the Master Lease,
the terms of the Master Lease shall be controlling. Any capitalized terms used
but not defined in this Sublease shall have the meanings ascribed to them in the
Master Lease.

     25. Holding Over. In the event of any holding over by Subtenant after the
         ------------
expiration or any termination of this Sublease without the prior written consent
of Sublandlord, Subtenant shall pay as liquidated damages one hundred fifty
percent (150%) of the amount of all rental which was payable by Subtenant
immediately prior to such expiration or termination, pro rated on a daily basis
for the entire holdover period. In the event of any unauthorized holding over,
Subtenant shall also indemnify Sublandlord against all claims for damages by any
other tenant to whom Sublandlord or Master Landlord may have subleased all or
any part of the Subleased Premises effective upon the expiration or termination
of this Sublease. Any such holding over, without the prior written consent of
Sublandlord, shall create only a tenancy at sufferance relationship with
Subtenant and shall not operate to renew or extend this Sublease for any period
of time.

     26. Utilities. Subtenant shall pay directly to the utility provider or
         ---------
reimburse Sublandlord for any and all utilities consumed at or for the Subleased
Premises. To the extent practicable, Subtenant, at its sole cost and expense,
shall cause each utility providing service to the Subleased Premises to be
separately metered or submetered. In addition, Subtenant shall reimburse
Sublandlord for its Pro Rata Share of any utilities for which submetering is not
practical, unless Subtenant's use of such utilities is disproportionate to the
size of its space, in which event the cost of such utilities shall be equitably
divided. For the purposes of this Sublease, refuse and recycling services are
utilities.

     27. No Waiver. No oral waiver, delay in enforcing, or failure to enforce,
         ---------
any right(s) (including but not limited to the right to collect late charges and
interest) of either party under this Sublease shall prevent, hinder or delay
such party's future enforcing of any such right(s), with respect to the same or
any other matter.

     28. Joint and Several Liability. Each person executing this Sublease shall
         ---------------------------
be jointly and severally liable for the full performance of all obligations
imposed hereunder, including without limitation the payments of all amounts
required hereby.

     29. Attorneys' Fees. If either party to this Sublease brings an action to
         ---------------
enforce the terms hereof or to declare rights hereunder, the prevailing party in
any such action, on trial or appeal, shall be entitled to its reasonable
attorneys' fees to be paid by the losing party as fixed by the court.

                                       10
<PAGE>

IN WITNESS WHEREOF, Sublandlord and Subtenant have hereunto caused this Sublease
to be duly executed as of the date first set forth above.

SUBTENANT:                                    SUBLANDLORD:

COMMUNITY NETWORKS,                           STARBUCKS CORPORATION,
a NY corporation                              a Washington corporation
 ---------------

By /s/ Scott M. Matukas                       By
   -----------------------------                 -------------------------
       Scott M. Matukas
   -----------------------------                    ----------------------
   Title: VP HR & ADMINISTRATION                    Title:
          ----------------------                           ---------------

Consented to this 30th day of November, 1998.

MASTER LANDLORD

TRI-STATE CONSUMER INSURANCE COMPANY

By  [SIGNATURE ILLEGIBLE]
   -----------------------------

   -----------------------------
   Title: President
          ----------------------

                                       11
<PAGE>

Sublandlord Notary Acknowledgment

STATE OF WASHINGTON )
                    ) ss.
COUNTY OF KING      )

     On this ____ day of , l99______, before me, the undersigned, a Notary
Public in and for the State of Washington, duly commissioned and sworn,
personally appeared _______________, to me known to be the ______________of
STARBUCKS CORPORATION, a Washington corporation, the corporation that executed
the foregoing instrument and acknowledged the said instrument to be the free and
voluntary act and deed of said corporation for the uses and purposes therein
mentioned, and on oath stated that he is authorized to execute said instrument.

     WITNESS my hand and official seal hereto affixed the day and year this
certificate above written.

                   _________________________________________
                   NOTARY PUBLIC, in and for the State
                   of Washington, residing at ______________
                   Commission expires: _____________________
                   Print Name: _____________________________

                                       12
<PAGE>

Subtenant Notary Acknowledge

STATE OF New York  )
                   ) ss.
COUNTY OF Onondaga )

     On this 30th day of November, 1998 before me, the undersigned, a Notary
Public in and for the State of New York duly commissioned and sworn, personally
appeared Scott Matukas, to me known as, or providing satisfactory evidence that
he is the VP HR & Admin. of Community Networks a _____________the party that
executed the foregoing instrument and acknowledged the said instrument to be the
free and voluntary act and deed of said Scott Matukas for the uses and purposes
therein mentioned and on oath stated that he is authorized to execute said
instrument.

     WITNESS my hand and official seal hereto affixed the day and year in this
certificate above written.

                                    /s/ Tracy E. Blair
                                  -----------------------------------------
                                  NOTARY PUBLIC, in and for the State
                                  of New York, residing at Onondaga County
                                  My Commission expires 9-7-99
                                  Print Name: Tracy E. Blair
                                             ------------------------------

                                   -----------------------------------------
                                                TRACY E. BLAIR
                                          Notary Public, State of New York
                                   [SEAL]    Qualified in Onondaga County
                                                  Reg. 016L5017617
                                              My Comm. expires 9-7-99
                                   -----------------------------------------

                                       13
<PAGE>

Master Landlord Notary Acknowledgment

STATE OF New York   )
                    ) ss.
COUNTY OF Nassau    )

     On this 30th day of November, 1998 before me, the undersigned, a Notary
Public in and for the State of New York duly commissioned and sworn, personally
appeared Penny Hart, to me known as, or providing satisfactory evidence that she
is the President of Tri-State Consumer Ins. Co. a ____________the party that
executed the foregoing instrument and acknowledged the said instrument to be the
free and voluntary act and deed of said Penny Hart for the uses and purposes
therein mentioned and on oath stated that he is authorized to execute said
instrument.

     WITNESS my hand and official seal hereto affixed the day and year in this
certificate above written.

                                    /s/ Kevin P. McCabe
                                  -----------------------------------------
                                  NOTARY PUBLIC, in and for the County of
                                  Suffolk, residing at 2 Robbans Lane,
                                  [ILLEGIBLE], NY
                                  My Commission expires 7/15/1999
                                  Print Name: Kevin P. McCabe
                                             ------------------------------

                                                KEVIN P. McCABE
                                          NOTARY PUBLIC, State of New York
                                                No. 02MC801XXXX
                                          Qualified in Suffolk County
                                          Commission Expires July 16, 1999

                                       14
<PAGE>

    LEASE, made this ___ day of January, 1996, between, Tri-State Consumer
Insurance Company, whose address is 2 Robbins Lane, Jericho, New York 11753,
hereinafter called ("Lessor") and STARBUCKS CORPORATION, a corporation organized
and existing under the laws of the State of Washington, having a place of
business located at 2401 Utah Avenue South (98134), P.O. Box 34067, Seattle,
WA 98124-1067 (hereinafter called "Lessee").

     For and in consideration of the covenants herein, contained and upon the
terms and conditions herein set forth, Lessor and Lessee agree as follows:

     1.  DESCRIPTION. Lessor, as the owner of the Building (as defined below),
hereby leases to Lessee and Lessee hereby leases from Lessor, the following
space: Suite 202 consisting of 2,215 gross rentable square feet (resulting in
1,883 usable square feet) on, the Second Floor as outlined on Exhibit A
(hereinafter called "Demised Premises" or "Premises"), together with a right in
common to use the common facilities, all as shown on the plan or plans initialed
by the parties thereto, marked Exhibit A attached hereto and made part of the
Lease in the building known as 2 Robbins Lane, Jericho, New York 11753
(hereinafter called the "Building"), together with the right to use in common
with the other lessees of the Building, their invitees, customers and employees,
those public areas of the common facilities as hereinafter defined. Lessor
represents to Lessee that the loss factor for the Demised Premises is fifteen
percent (15%).

     2. TERM.

     (a) The Premises are leased for an initial term of five (5) years, one (1)
month (plus, if the Commencement Date is not the first day of a month, the
period from the Commencement Date to the end of the then current month)
commencing on the Commencement Date, and ending at 12:00 midnight on the day
preceding the fifth (5th) anniversary of the second full month of the Term
hereof. The Commencement Date shall be the later of (i) February 1, 1996 or (ii)
the date that Lessor notifies Lessee that Lessor has Substantially Completed (as
defined below) all of the work to be done in the Demised Premises by Lessor and
delivers the said Premises to Lessee, provided that the Commencement Date shall
always be the first day of the month following the month in which Lessor
provides Lessee 10 days prior written notice that the Premises are Substantially
Completed. For the purposes of this paragraph, "Substantially Completed" shall
mean (a) so completed as to allow the Lessee to take possession of the Demised
Premises and conduct its normal business therein, (b) Lessee has been given the
opportunity to inspect Lessor's work in the Demised Premises and (c) Lessor has
completed, to Lessee's reasonable satisfaction, any repairs to defects in
Lessor's work and any punchlist times noted during Lessee's inspection. The
Demised Premises shall not be deemed to be substantially completed if any
details of construction, decoration or mechanical adjustment or any cleanup
remains to be done to the Demised Premises, or any part thereof, that would, in
Lessee's reasonable judgment, materially impair, reduce or hinder its ability to
utilize the Demised Premises for the purpose intended hereby. In the event the
Premises are not Substantially Completed on or before April 1, 1996, Lessee may
cancel this Lease with no further obligation hereunder on the part of either
party with respect to the other. Notwithstanding the foregoing, Lessee's right
to cancel is conditional upon Lessee having final plans for the Premises within
ten (10) business days of the date hereof. Within ten (10) business days after
the Commencement Date, Lessor and Lessee shall execute a written acknowledgment
of the Commencement Date,
<PAGE>

but Lessor's and Lessee's failure to execute such acknowledgement shall not
affect the actual Commencement Date. Lessor shall promptly correct all defects
in Lessor's work in the Demised Premises and all failures of the Lessor's work
to conform to the requirements set forth in this Lease that are discovered
within sixty (60) days after the date Lessee first occupies the Demised
Premises. Lessor shall bear all costs of correcting Lessor's work. Lessor and
Lessee shall each give the other prompt written notice after discovering the
existence of any such defects or nonconformities in Lessor's work and Lessee
shall be deemed to have waived this right if notice is not given within ten (10)
days of discovery.

        (b)  Lessee shall have the option in its discretion, provided no Event
of Default (as defined below) has occurred under this Lease that remains uncured
at the commencement of the Extended Term, to extend the Term of this Lease for
an additional five (5) year period beyond the expiration of the Initial Term
(the "Extended Term"). Lessee shall notify Lessor, in writing, at least ninety
(90) but not more than one hundred twenty (120) days prior to the
expiration of the Initial Term of Lessee's desire to exercise said option. All
terms of this Lease shall remain in full force and effect during the Extended
Term. Failure by Lessee to timely notify Lessor in writing of its exercise of
the option shall constitute a waiver of the option.

        (c)  For purposes of this Lease, the Initial Term and the Extended Term
may collectively hereinafter be referred to as the "term" or the "Term";
provided if Lessee does not exercise its option, the Initial Term shall
constitute the entire term of this Lease.

        (d)  Notwithstanding anything to the contrary herein, Lessee may, by
written notice given at least ninety (90) days prior to the twenty four (24)
month anniversary of the Commencement Date, elect to cancel this Lease and upon
payment by Lessee to Lessor of Ten Thousand Dollars ($10,000.00) (the
"Cancellation Fee"), which may be paid at any time before such 24 month
anniversary, the Lessee's leasehold of the Premises shall be deemed cancelled as
of the twenty four (24) month anniversary of the Commencement Date. In the
event Lessee so elects to cancel, Lessee shall vacate the Premises on or before
the 24 month anniversary of the Commencement Date or Lessee shall be deemed a
holdover tenant and Section 23 hereof shall govern the rental payments due.
Lessee's failure to vacate shall not entitle Lessee to any refund or return of
the Cancellation Fee.

        (e)  If Lessee cancels this Lease as provided above, Lessor shall grant
RIPCO Real Estate Company a right of first refusal to assume this Lease on
the prevailing terms and conditions. Said right of first refusal must be
exercised by RIPCO within ten (10) days of receipt of notice from the Lessor of
such right.

     3. BASIC RENT.

        (a)  The Lessee shall pay to the Lessor at the address of the Lessor
hereinabove set forth, without notice, demand, off-set or deduction, a basic
rent (hereinafter referred to as "Basic Rent") in the amount of $40,423.80
payable in advance on the first day of each and every month during the Term
hereof in equal monthly installments of $3,368.65 each. In accordance with, and
in furtherance of, Section 3(c) hereof, Lessee has paid to Lessor upon the
signing of this Lease the sum of $3,368.65 representing Basic Rent for the first
month of the term hereof for which Basic Rent is due.

                                       2
<PAGE>

             (b) Commencing on the thirteenth (13th) full month following the
Commencement Date, and annually thereafter, including any renewals or extensions
thereto, the Basic Rent shall be increased by four (4%) percent, on a compounded
basis so that each year the Basic Rent shall be increased by four (4%) percent
over the prior year.

             (c)   Notwithstanding the forgoing, Lessee shall not be required to
make payments of Basic Rent for the first month after the Commencement Date of
this Lease.

  4.   USE AND  [*ILLEGIBLE] premises for a general office space and for
[*ILLEGIBLE] may lawfully be used for these purposes.

  5.   CARE AND [*ILLEGIBLE] no act of waste and shall take good care of
[*ILLEGIBLE] therein, and shall, in the use and occupancy of [*ILLEGIBLE] of the
federal, state and municipal government [*ILLEGIBLE] make all necessary repairs
to the Premises, [*ILLEGIBLE] if any, including, without limitation, those
[*ILLEGIBLE] [*ILLEGIBLE] of the federal, state and municipal governments
[*ILLEGIBLE] repair has been made necessary by misuse or neglect [*ILLEGIBLE] or
licensees, in which event Lessor shall [*ILLEGIBLE] to Lessor, as additional
rent, immediately [*ILLEGIBLE] made by Lessee to the Premises, which are so
attached to the premises that may [*ILLEGIBLE] removed without material injury
to the Premises, shall become the property of Lessor upon installation. Not
later than the last day of the term, Lessee shall, at Lessee's expense, remove
all Lessee's personal property and those improvements made by Lessee which have
not become the property of Lessor, including trade fixtures movable paneling,
partitions and the like; repair all injury done by or in connection with the
installation or removal of said property and improvements; and surrender the
Premises in as good condition as they were at the beginning of the term,
reasonable wear and damage by fire, the elements, casualty, or to the cause not
due to the misuse or neglect by Lessee, Lessee's agents, Servants, visitors or
licensees excepted.

       Except in the event of a holdover tenancy, all property of Lessee
remaining on the Premises after the last day of the term of this Lease shall be
conclusively deemed abandoned and may be removed by Lessor, and Lessee shall
reimburse Lessor for the cost of such removal. Lessor may have any such property
stored at Lessee's risk and expense.

  6.   ALTERATIONS, ADDITIONS OR IMPROVEMENT. Lessee shall not, without first
obtaining the written consent of Lessor, make any alterations, additions or
improvements in, to or about the premises. Such consent shall not be
unreasonably withheld or delayed. Any alterations to the Building's HVAC's
plumbing or electrial systems may only be made by Lessor's designated
contractors or by a contractor selected by Lessee, which contractor is
appropriately licensed in the trade in which such contractor is performing work
at the Building, maintains appropriate levels of insurance and which contractor
provides Lessor with evidence of said license and insurance prior to commencing
work at the Building. Notwithstanding the foregoing, Lessor's consent shall not
be required in connection with decorations to the Demised

                                       3
<PAGE>

Premises or any alteration, addition or change to the Demised Premises costing
less than $20,000 that does not affect the structural, mechanical or electrical
integrity of the Demised Premises or Building.

        7.  ACTIVITIES INCREASING FIRE INSURANCE RATES. Lessee shall not do or
suffer anything to be done on the Premises which will increase the rate of fire
insurance on the Building.

        8.  ASSIGNMENT AND SUBLETTING.

            (a)  Lessee will not by operation of law or otherwise, assign,
mortgage or encumber this Lease, nor sublet or permit the Demised Premises to be
used by others (except to RIPCO Real Estate Company at any time after the twenty
four (24) month anniversary of the Commencement Date hereof with respect to a
sublet of the whole Premises), in whole or in part, without Lessor's prior
express written consent in each instance. The consent by Lessor to any
assignment or subletting (including a sublease to RIPCO Real Estate Company)
shall not in any manner be construed to relieve Lessee from obtaining Lessor's
express written consent to any other or further assignment or subletting nor
shall any such consent by Lessor serve to, relieve or release Lessee from its
obligations to fully and faithfully observe and perform all of the terms,
covenants and conditions of this Lease on Lessee's part to be observed and
performed.

            (b)  If Lessee shall desire to assign or to sublet all or any
portion of the Demised Premises, Lessee shall give notice thereof to Lessor and
in said notice shall set forth the name and address of the proposed assignee or
sublessee, information as to financial condition of such assignee or sublessee
and proposed use which assignee or sublessee desires to make of the Demised
Premises. Said notice shall bear the signature of the proposed sublessee or
assignee or an officer or managing partner, as the case may be, attesting to its
accuracy. Lessee shall in addition, at Lessor's request, furnish such other
further information as Lessor may reasonably request concerning such proposed
assignment or subletting. If Lessor does not respond to Lessee's request within
fifteen (15) days thereof, Lessor shall be deemed to have consented to such
request.

            (c)  As a condition of Lessor's consent to any assignment or
subletting:

                 (i)    Lessee at the time of requesting Lessor's consent shall
not be in default of any of the terms, covenants and conditions which are the
obligations of the Lessee hereunder;

                 (ii)   Each assignee of this Lease shall assume in writing all
of the terms, covenants and conditions of this Lease on the part of Lessee
hereunder to be performed and observed, to the extent they accrue after the date
of the assignment;

                 (iii)  An original or duplicate original of the instrument of
assignment and assumption shall be delivered to Lessor within ten (10) days
following the execution thereof;

                 (iv)   Any instrument of sublease shall specifically state that
each sublease is subject to all of the terms, covenants and conditions of this
Lease; and

<PAGE>

                     received by Lessee from a sublease or assignment of the
attorneys' fees, brokerage commissions and costs [*ILLEGIBLE] the Demised
Premises for the new tenant) (exclusive of rent [*ILLEGIBLE] Demised Premises)
which is in excess of [*ILLEGIBLE]  pursuant to this Lease shall constitute
Additional Rent hereunder [*ILLEGIBLE] Lessee to Lessor.

           Lessor's consent to any proposed assignment or subletting shall not
be unreasonably withheld or unduly delayed. In determining reasonableness,
however, Lessor may take into consideration the financial conditions or business
history of the proposed assignee or subleasee, the specific use to which the
Demised Premises will be put and the impact of all of the foregoing on other
tenants of Lessor and the Building as a whole.

           If this Lease shall be assigned, or if the Demised Premises or any
part thereof be sublet or occupied by any person or persons other han Lessee in
breach of this Section 8, Lessor may, after default by Lessee, collect rent from
the assignee, subtenant or occupant and apply the net amount collected (which
may be treated by Lessor as rent or as use and occupany) to the rent herein
reserved but no such assignment, subletting, occupancy or collection of rent
shall be deemed a waiver of the covenants in this paragraph, nor shall it be
deemed acceptance of the assignee, subtenant or occupant as a tenant, or a
release of Lessee from the full performance by Lessee of all the terms,
conditions and covenants of this Lease.

           Each permitted assignee or transferee shall assume and be deemed to
have assumed this Lease and shall be and remain liable jointly and severally
with Lessee for the payment of rent, additional rent and adjustment of rent, and
for the due performance of all the terms, covenants, conditions and agreements
herein contained on Lessee's part shall be performed for the term of this Lease
and any renewals and modifications hereof. No assignment shall be binding on
Lessor unless, as hereinbefore provided such assignee or Lessee shall deliver to
Lessor a duplicate original of the instrument of assignment which contains a
covenant of assumption by the assignee of all the obligations aforesaid and
shall obtain from Lessor the aforesaid written consent prior thereto. Any
assignment, sublease or agreement permitting the use and occupancy of the
Premises to which Lessor shall not have expressly consented in writing shall be
deemed null and void and of no force and effect and Lessee shall bear all costs
and expenses (including attorney's fees) of Lessor resulting from any wrongful
assigning of this Lease.

           Notwithstanding the foregoing, Lessee may, without Lessor's prior
written consent, sublet all or any portions of the Demised Premises or assign
the Lease to (i) a parent, subsidiary, affiliate division or corporation
controlling, controlled by or under common control with Lessee; (ii) a successor
corporation related to lessee by merger, consolidation, non-bankruptcy
reorganization or government action; (iii) a purchaser of substantially all of
the Lessee's assets located in the Demised Premises, provided that as of the
date of such transfer, the purchaser has the reasonable financial ability to
perform its obligations with respect to this Lease and/or the Demised Premises
and provided further that Lessee shall remain liable for payments due hereunder
subsequent to any such transfer. For the purpose of this Lease, any sale or
transfer or Lessee's capital stock though any public exchange, or redemption or
issuance of additional stock of any

                                       5

<PAGE>

class shall not be deemed an assignment, subletting or any other transfer of the
Lease or the Demised Premises.

     9. COMPLIANCE WITH RULES AND REGULATIONS.

       (a) Lessee shall observe and comply with the rules and regulations as
lessor may reasonably prescribe, from time to time, on a uniform basis to all
the Building's tenants, on written notice to the Lessee, for the safety, care
and cleanliness of the Building and the comfort, quiet and convenience of other
occupants of the Building. Lessee shall not place load upon any floor of the
Demised Premises exceeding the floor load per square foot area for which it was
designed to carry and which is allowed by law. Lessor reserves the right, but
shall not have the obligation, to prescribe acting reasonably, the weight and
position of all safes, business machines and mechanical equipment. Such
installations shall be placed and maintained by Lessee, at Lessee's expense, in
settings sufficient to absorb and prevent unreasonable vibration, noise and
annoyance. Notwithstanding anything contained herein to the contrary, Lessee's
obligations to comply with laws relating to the physical condition of the
Demised Premises is strictly limited to those that pertain to the physized
conditions of improvements constructed or requested by Lessee and those that
pertain to repairs and maintenance required as a result of Lessee's operation
upon the Demised Premises. Lessee shall not be required to make structural
changes to the Demised Premises or to install any sprinkler system in the
Demised Premises that may be required under applicable laws. Lessor shall be
responsible for all such repairs.

       (b) The lessor reserves the following rights:

           (i)   To change the name of the building;

           (ii)  To install, change and maintain a building sign or signs on the
exterior or interior of the Building;

           (iii) To approve all sources furnishing sign painting and lettering,
ice, shoe shining, vending machines, mobile and vending service, catering, and
the like services used at the Premises.

           (iv) To have  pass  keys to the  Demised  Premises,  which  shall  be
retained by Lessor for use in the operation and maintenance of the Building;

           (v) Subject to Section 17, at any time in the event of an  emergency,
and otherwise at reasonable  times, upon 24 hours' prior notice, to take any and
all  measures,  including  inspections,  repairs,  alterations,   additions  and
improvements  to the  Premises  or to the  Building,  as  may  be  necessary  or
desirable for the safety,  protection  and  preservation  of the Premises or the
building or Lessor's interests  therein,  or as may be necessary or desirable in
the operation or  improvement of the Building or in order to comply with all the
laws,  orders and  requirements of  governmental  or other  authority  provided,
however, that Lessor shall not unreasonably interfere with Lessee's operations.

       (c)  Violation of  reasonably  promulgated  rules and  regulations  shall
constitute a material breach hereunder and after the expiration of the
applicable notice and cure periods
<PAGE>

may be the basis for an action of eviction notwithstanding Lessee's timely
payment of all moneys due hereunder.

     10.  DAMAGES TO BUILDING/WAIVER OF SUBROGATION.

          (a) If the Demised Premises or any part thereof be damaged by fire or
other casualty, Lessee shall give immediate notice thereof to Lessor and shall
continue in force and effect except as hereinafter set forth.

          (b) If the Demised Premises are partially damaged or rendered
partially unusable by fire or other casualty, the damages thereto shall be
repaired by and at the expense of the Lessor.

          (c) If the Demised Premises are totally damaged and rendered wholly
unusable by fire or other casualty, then the Lessor shall have the right to
elect not to restore the same as hereinafter provided.

          (d) If the Demised Premises are rendered wholly unusable (whether or
not the Demised Premises are damaged in whole or in part) or if the Building
shall be so damaged that Lessor shall decide to demolish it or not to restore
it, then in any of such events, Lessor may elect to terminate this Lease by
written notice to Lessee given within ninety days after such fire or casualty
specifying the date of the casualty as the date of termination, and upon such
notice the term of this lease shall expire as fully and completely as if such
date were the date set forth above for the termination of this lease, and Lessee
shall forthwith quit, surrender and vacate the premises without prejudice to
Lessor's right and remedies against Lessee under the Lease provisions in effect
prior to such termination, and any Basic Annual Rent or Additional Rent owing
for the period prior to the date of termination shall be paid up to such date
and any payments of Basic Annual Rent or Additional Rent made by Lessee which
were on account of any period subsequent to such date shall be returned to
Lessee. Unless Lessor shall serve a termination notice as provided for herein,
Lessor shall make the repairs and restorations with all reasonable dispatch
subject to delays due to adjustment of insurance claims, labor troubles and
causes beyond Lessor's control.

          (e) Lessor and Lessee each hereby releases and waives the right of
recovery against the other or any other claiming through or under each of them
by way of subrogation or otherwise, for damage as a result of fire or other
insured against casualty. Lessor's and Lessee's insurance policies shall contain
a clause providing that such a release or waiver shall not invalidate the
insurance if such clause is available. If such clause is not available then the
foregoing waiver shall be void. In the event that there are additional premiums
for such inclusion the party in whose favor such waiver is intended shall have
the option to either pay the additional premiums or waive the condition that the
other's policy contain the same. Lessee acknowledges that Lessor will not carry
insurance on Lessee's furniture and/or furnishings including decorating or any
fixtures or equipment, records, improvements or appurtenances removable by
Lessee and agrees that Lessor will not be obligated to repair any damage thereto
or replace the same nor will Lessor carry flood or water damage insurance.

<PAGE>

          (f) Lessee hereby waives the provisions of Section 227 of the Real
Property Law and agrees that the provisions of this Article shall govern and
control in lieu thereof.

          (g) Notwithstanding anything to the contrary contained in this Lease
during any period after a damage or destruction and until the restoration of the
Demised Premises have been Substantially Completed, the Lessee shall be entitled
to an abatement of Basic Annual Rent for the unusable portion of the Demised
Premises on a per square foot basis.

          (h) Notwithstanding anything to the contrary contained in this Lease,
in the event of damage or destruction to the Demised Premises or the Building,
Lessee shall have the right to terminate this Lease under the following
conditions: (a) the damage renders the Demised Premises insufficient for
Lessee's normal use for sixty (60) consecutive days in Lessee's reasonable
business judgment; (b) the damage is such that the Demised Premises cannot be
(or are not) restored within one hundred eighty (180) days from the date of
damage; or (c) the damage or destruction occurs during the last six (6) months
of the Term (or any Extended Term) and Lessee has not previously exercised any
option rights it may have for succeeding extension or renewal terms.

     11.  EMINENT DOMAIN. If Lessee's use of the Premises is materially affected
due to the taking by eminent domain of (a) the Premises or any part thereof or
any estate therein; or (b) any other part of the Building, the appurtenances
thereto or the real property upon which the Building is located; then in either
event, at the Lessee's option, which option must be exercised within twenty (20)
days of receipt of notice of such proposed taking, this Lease shall terminate on
the date when title vests pursuant to such taking. The rent, and any additional
rent, shall be apportioned as of said termination date any basic or additional
rent paid for any period beyond said date shall be repaid to Lessee. Lessee
shall not be entitled to any part of the award for such taking or any payment in
lieu thereof, but Lessee may file a separate claim for Lessee's fixtures and for
moving expenses, provided the same shall in no way affect or diminish Lessor's
award. In the event of a partial taking which does not effect a termination of
this Lease, but does deprive Lessee of the used more than twenty-five (25%)
percent of the Demised Premises, Lessee shall have option to be exercised within
twenty (20) days of receipt of notice of the proposed taking to cancel this
Lease when title vests pursuant to such taking and if Lessee does not cancel
this Lease, then there shall be an adjustment of the basic rent, additional rent
and Proportionate Share, as hereinafter defined depending upon the extent to
which the Demised Premises and Building may be taken.

     12.  BANKRUPTCY OF LESSEE AND OTHER DEFAULTS.

     12.1

          (a) Events of Bankruptcy. The following shall be Events of Bankruptcy
              --------------------
              under this lease.

                 (1) Lessee's becoming insolvent, as that term is defined in
Title 11 of the United States Code, entitled Bankruptcy, 11 U.S.C. Section 101,
et. seq. (the "Bankruptcy Code") or under the insolvency laws of New York State;
<PAGE>

           (2) The appointment of a receiver or custodian for any or all of
Lessee's property or assets;

           (3) The filing of a volutary petition under the provisions of the
Bankruptcy Code or other insolvency laws;

           (4) The filing of an involuntary petition against Lessee as the
subject debtor under the Bankruptcy Code or other insolvency laws, which is
either not dismissed within sixty (60) days of filing, or results in the
issuance of an order for relief against the debtor, whichever is later; or,

           (5) Lessee's making or consenting to an assignment for the benefit of
creditors of a common law composition of creditors.

       (b) Lessor's Remedies.

           (i)   Termination of Lease. Upon the occurrence of an Event of
                 --------------------
Bankruptcy, Lessor shall have the right to terminate this lease by giving ninety
(90) days prior written notice to Lessee, provided, however, that this Section
12.1(b)(i) shall have no effect while a case in which Lessee is the subject
debtor under the Bankruptcy Code is pending, unless Lessee or its Trustee in
Bankruptcy is unable to comply with the provisions of Sections 12.1(b)(v),
12.1(b)(vi) and (vii) below. If Lessee or its Trustee is unable to comply with
Sections 12.1(b)(v), 12.1(b)(vi) and (vii) below, this lease shall automatically
cease and terminate, and Lessee shall be immediately obligated to quit the
premises upon the giving of notice pursuant to this Section 12.1(b)(i). Any
other notice to quit, or notice of Lessor's intention to reenter is hereby
expressly waived. If lessor elects to terminate this lease, everything contained
in this lease on the part of the Lessor to be done and performed shall cease
without prejudice, subject however, to the right of Lessor to recover from
Lessee all rent and any other sums accrued up to the time of termination or
recovery of possession by Lessor, whichever is later, and any other monetary
damages or loss or reserved rent sustained by Lessor.

           (ii)  Suit for Possession. Upon termination of this lease pursuant to
                 -------------------
Section 12.1(b)(i), Lessor may proceed to recover possession under and by virtue
of the provisions of the laws of the State of New York, or by such other
proceedings, including reentry and possession, as may be applicable.

           (iii) Reletting of Premises. Upon termination of this lease pursuant
                 ---------------------
to Section 12.1(b)(i), the Lessor may, but is not obligated to relet the
premises (though Lessor shall be obligated to use reasonable efforts to mitigate
its damages provided lessor shall be deemed to have acted reasonably by listing
the premises with a reputable commercial real estate brokerage firm) for such
rent and upon such terms as are not unreasonable under the circumstances and, if
the full rental reserved under the lease (and any of the costs, expenses or
damages indicated below) shall not be realized by Lessor, Lessee shall be liable
for all damages sustained by Lessor, including, without limitation, deficiency
in rent, reasonable attorneys' fees, brokerage fees, and expenses of placing the
premises in good order and repair (excluding the cost of any alterations
required by the new tenant). Lessor, in putting the premises in good order may,
at Lessor's option, make such alterations, repairs, or replacements in the
premises as Lessor, in Lessor's sole
<PAGE>

judgment  and acting  reasonably,  considers  advisable  and  necessary  for the
purpose of reletting the premises, and the making of such alterations,  repairs,
or  replacements  shall not  operate  or be  construed  to release  Lessee  from
liability hereunder as aforesaid.  Lessor shall in no event be liable in any way
whatsoever for failure to relet the premises  (provided  Lessor uses  reasonable
efforts to do so), or in the event that the premises  are relet,  for failure to
collect the rent thereof under such  reletting,  and in no event shall Lessee be
entitled to receive any excees, if any, or such net rent collected over the sums
payable by Lessee to Lessor hereunder.

           (iv) Monetary Damages. Any damage or loss of rent sustained by Lessor
                ----------------
Any damage or loss of rent sustaned by Lessor as a result of an Event of
Bankruptcy may be recovered by Lessor, at Lessor's option, at the time of the
reletting, or in separate actions, from time to time, as said damage shall have
been made more easily ascertainable by successive relettings, or, in a single
proceeding deferred until the expiration of the term of this lease or any
renewal term or in a single proceeding prior to either the time of reletting or
the expiration of the term of this lease or any renewal term, in which event
Lessee agrees to pay Lessor the difference between the present value of the rent
reserved under this lease on the date of breach, discounted at eight (8%)
percent per annum, and the fair market value of the lease on the date of breach.
In the event Lessee becomes the subject debtor in a case under the Bankruptcy
Code, the provisions of this Section 12.1(b)(iv) may be limited by the
limitations of damage provisions of the Bankruptcy Code.

           (v) Assumption or Assignment by Trustee. In the event Lessee becomes
               -----------------------------------
the subject debtor in a case pending under the Bankruptcy Code, Lessor's right
to terminate this lease pursuant to this Section 12.1 shall be subject to the
rights of the Trustee in Bankruptcy to assume or assign this lease. The Trustee
shall not have the right to assume or assign this lease unless the Trustee;

               (1) promptly cures all defaults under this lease;

               (2) promptly compensates Lessor for monetary damages incurred as
a result of such default; and,

               (3) provides adequate assurance of future performance all of
which shall be subject to the laws of the United States of America and the
orders of direction of the Bankruptcy Court.

           (vi) Adequate Assurance of Future Performance. Lessor and Lessee
                ----------------------------------------
hereby agree in advance that adequate assurance of future performance, as used
in Section 12.1(b)(v) above, shall mean that all of the following minimum
criteria must be met:

                (1) The Trustee must pay to Lessor, at the time the next payment
of rent is then due under this lease, in addition to such payment of rent, an
amount equal to the next three (3) months' rent due under this lease, said
amount to be held by Lessor in escrow until either the Trustee or Lessee
defaults in its payment of rent or other obligations under this lease (whereupon
Lessor shall have the right to draw upon such escrowed funds) or until the
expiration of this lease or renewal term (whereupon the funds shall be returned
to the Trustee or Lessee);
<PAGE>

                 (2) The Lessee or Trustee must agree to pay to the Lessor, at
any time the Lessor is authorized to and does draw on the funds escrowed
pursuant to Section 12.1(b)(vi)(1) above, the amount necessary to restore such
escrow account to the original level required by such provision;

                 (3) Lessee must pay its estimate pro rata share of the cost of
all services provided by Lessor (whether directly or through agents or
contractors, and whether or not the cost of such services is to be passed
through to Lessee) in advance of the performance or provision of such services;

                 (4) The Trustee must agree that Lessee's business shall be
conducted in a first class manner, and that no liquidating sales, auctions, or
other non-first class business operations shall be conducted on the premises;

                 (5) The Trustee must agree that the use of the premises as
stated in this lease will remain unchanged;

                 (6) The Trustee must agree that the assumption or assignment of
this lease will not violate or affect the rights of other tenants in the
Building. All of the foregoing shall be subject to the laws of the United States
of America and the orders of direction of the Bankruptcy Court.

           (vii) Failure to Provide Adequate Assurance. In the event Lessee is
unable to;

                 (1) cure its defaults;

                 (2) reimburse Lessor for its monetary damages;

                 (3) pay the rent due under this lease, or any other payments
required of Lessee under this lease, on time (or within ten (10) days of written
notice that it is overdue); or,

                 (4) meet the criteria and obligations imposed by Section
12.1(b)(vi) above, then Lessee agrees in advance that it has not met its burden
to provide adequate assurance of future performance, and this lease may be
terminated by Lessor in accordance with Section 12.1(b)(i) above.

     12.2  Default of Lessee.
           -----------------

           (a) Events of Default. The following shall be Events of Default under
               -----------------
this Lease:

               (i) Lessee's failure to pay any monthly installments of Basic
Rent or Additional Rent, the amount of which has been ascertained, (as required
in this lease) within ten (10) days after notice from Lessor that same is
overdue.
<PAGE>

               (ii)  Lessee's failure to make any other payment required under
this Lease if such failure shall continue beyond the time period specified by
the making of such payment, after notice of the amount of such payment is given
to Lessee by Lessor. If no time period is specifically set forth within which
Lessee must make such payments, Lessee shall be required to make such payment
within thirty (30) days of Lessor's notice to Lessee of the amount of such
payment.

               (iii) Lessee's violation or failure to perform any of the other
terms, conditions, covenants or agreements herein made by Lessee, if such
violation or failure continues for a period of thirty (30) days after Lessor's
written notice thereof to Lessee; provided, however, that if the violation or
failure cannot be cured within thirty (30) days Lessee shall not be considered
to be in default hereunder if it commences the cure within such thirty (30) day
period and continue to diligently prosecute same.

           (b) If an event of default as hereinabove specified in Section
12.2(a)(i), (ii) or (iii) shall occur, and shall not be cured within the time
period specified in Lessor's notice, or if Lessee shall commence a cure as
provided in Section 12.2(a)(iii) and shall fail to diligently proceed with such
cure, then:

               (i)  Lessor may give Lessee a fifteen (15) day notice of its
intention to end the term of this lease, and thereupon, at the expiration of
said fifteen day period, this lease shall expire as fully and completely as if
that day were the date herein originally fixed for the expiration of the term,
and Lessee shall then quit and surrender the premises to Lessor but Lessee shall
continue to remain liable as hereinafter provided.

               (ii) Lessor, without prejudice to any other right or remedy of
Lessor, held hereunder or by operation of law, and notwithstanding any waiver of
any breach of a condition or event of default hereunder, may at its option and
without further notice, dispossess Lessee and any legal representative or
successor of Lessee or other occupant of the premises by summary proceedings or
other appropriate suit, action or proceeding and remove his, her or its effects
and hold the Demised Premises as if this lease had not been made.

     12.3  Notwithstanding any such default, reentry, expiration and/or
dispossession by summary proceeding or other action or proceeding, as provided
in Paragraph 12.2(b) above, Lessee shall continue to be liable during the full
period which would otherwise have constituted the balance of the term hereof,
and shall pay as liquidated damages at the same times as the Basic Rent and
Additional Rent and other charges that become payable under the terms hereof,
together with reasonable attorneys' fees, a sum equivalent to the Basic Rent and
Additional Rent and other charges reserved herein (less only the net proceeds of
reletting as hereinafter provided), and Lessor may rent the Demised Premises for
a term or terms which may be less than or exceed the period which would
otherwise have been the balance of the term of this lease without releasing the
original Lessee from any liability, applying any monies collected, first to the
expense of resuming or obtaining possession, next to restoring the premises to a
rentable condition, then to the payment of any brokerage commissions and legal
fees in connection with the reletting of the Demised Premises and then to the
payment of the Basic Rent, Additional Rent and other charges

<PAGE>

due and to become due to Lessor hereunder, together with reasonable legal fees
of Lessor therefor.

     Lessor's failure to do, observe, keep and perform any of the terms,
covenants, conditions, agreements or provisions of this Lease required to be
done, observed, kept or performed by Lessor, for a period greater than thirty
(30) days after written notice by Lessee to Lessor of said failure (except if
the nature of Lessor's obligation is such that more than thirty (30) days are
required for its performance, then Lessor shall not be deemed in default if it
commences performance within the thirty (30) day period and thereafter
diligently pursues the cure to completion), shall be deemed a default by Lessor
and a material breach of the Lease; then, Lessee may, at its option, with or
without notice or demand of any kind to Lessor or any other person, have any one
or more of the following described remedies in addition to all other rights and
remedies provided at law or in equity or elsewhere herein: (i) remedy such
default or breach and deduct the costs including but not limited to, attorney
fees thereof from the installments of rent next falling due; (ii) pursue the
remedy of specific performance; (iii) terminate this Lease; and/or (iv) seek
money damages for loss arising from Lessor's failure to discharge its
obligations under the Lease. Nothing contained in this Lease shall relieve
Lessor of its duty to effect the repair, replacements, correction or maintenance
required of it pursuant to this Lease, nor shall lessor be relieved of its
obligation to restore the affected services or utilities, and this Section shall
not be construed to obligate Lessee to undertake any such work.

     12.4  WAIVER OF TRIAL BY JURY AND COUNTERCLAIM:
           -----------------------------------------
           VENUE; AND REDEMPTION
           ---------------------

           (a) Lessor and Lessee do hereby mutually agree to waive trial by jury
in any action, proceeding or counterclaim brought by either Lessor or Lessee
against the other with regard to any matters whatsoever arising out of or in any
way connected with this lease, the relationship of Lessor and Lessee and
Lessee's use or occupancy of the Demised Premises, provided such waiver is not
prohibited by any laws of the State of New York. Any action or proceeding
brought by either party hereto against the other, directly or indirectly,
arising out of this agreement, shall be brought in a court in Nassau County and
all motions in any such action shall be made in Nassau County, Lessee hereby
expressly waives all rights of redemption as provided in (S)761 et seq. of the
Real Property Actions and Proceedings Law of the State of New York.

           (b) Lessee hereby agrees that in any action or summary proceeding
brought by Lessor for the recovery of Basic Rent or Additional Rent, it will
not interpose noncompulsory any counterclaim or any setoff not will Lessee seek
to consolidate any such action or proceeding with any other action or
proceeding.

     13. SUBORDINATION OF LEASE. Lessee agrees that this Lease and the Lessee's
interest herein shall be subordinate to any mortgage, deed of trust, ground or
underlying lease, or any method of financing or refinancing now or hereafter
placed against the land and building of which the Demised Premises form a part,
and to renewals, modifications, replacements, refinancings, consolidations and
extensions thereof. Upon request of Lessor, Lessee agrees to execute and deliver
any and all documents, subordinating its rights under this Lease as aforesaid
provided the same are drawn by Lessor or Mortgagee or their attorneys at no cost
to the Lessee. No financing or refinancing hereunder shall affect the Lessee's
right to use the Premises so long

                                      13
<PAGE>

as Lessee is not in default hereunder. Notwithstanding anything to the contrary
herein, this Article 13 shall be self-operative with no further instrument of
subordination required to give effect hereto. Notwithstanding the foregoing,
Lessee shall not be obligated to subordinate this Lease or attorn to any
transferee of Lessor's interest under this Lease unless such transferee agrees
in writing that Lessee shall not be disturbed under this Lease as long as Lessee
is not in default under this Lease beyond any applicable notice and cure period.

     Lessee shall give to any mortgagee, by registered mail, a copy of any
notice of default served upon the Lessor, provided that prior to such notice,
Lessee has been notified, in writing, (by way of Notice of Assignment of Rents
and Leases) of the address of such mortgagees. In addition, if Lessor shall have
failed to cure such default within the time provided for in this lease, then the
mortgagees shall have an additional thirty (30) days within which to cure such
default or if such default cannot be cured within that time, then such
additional time as may be necessary if within such thirty (30) days, any
Mortgagee has commenced and is diligently pursuing the remedies necessary to
cure such default (including but not limited to commencement of foreclosure
proceedings, if necessary to effect such cure), in which event this lease shall
not be terminated while such remedies are being so diligently pursued.
Notwithstanding anything to the contrary herein, Lessee shall cooperate with
Lessor and any mortgagee with respect to any financing, refinancing and any
matter relating thereto including notices in case of default by Lessor.

     Lessee shall promptly execute a modification of this lease incorporating
therein any changes required by such mortgagee or prospective mortgagee
provided, however, that Lessee shall not be required to make any changes or
amendments to the Term, Basic Annual Rent or Additional Rent, nor shall any
modification affect the operation of Lessee's business change the size or
location of the Demised Premises or change any other Basic Business Terms or
increase any charge or expense to be incurred by Lessee pursuant to the terms of
this Lease.

     14. SECURITY. Lessee has deposited with Lessor the sum of Three Thousand
Three Hundred Sixty Eight Dollars and 65/100 Cents ($3,368.65) as security for
the faithful performance and observance by Lessee of the terms, provisions and
conditions of this Lease; it is agreed that in the event Lessee defaults in
respect of any of the terms, provisions and conditions of this Lease, including,
but not limited to, the payment of Basic Rent and Additional Rent, Lessor may
use, apply or retain the whole or any part of the security so deposited to the
extent required for the payment of any Basic Rent and Additional Rent or any
other sum as to which Lessee is in default beyond the expiration of the
applicable cure period or for any sum which Lessor may expend or may be required
to expend by reason of Lessee's default beyond the expiration of the applicable
cure period in respect of any of the terms, covenants and conditions of this
Lease, including but not limited to, any damages or deficiency in the re-letting
of the premises, whether such damages or deficiencies accrued before or after
summary proceedings or other re-entry by Lessor. In no event may security be
used by the Lessee as a credit or right of offset to its obligation to pay rent.
Within fifteen (15) days after written notice to Lessee that any portion of the
security deposit has been used or applied as provided herein, Lessee shall
replace the same with Lessor. Lessor shall have the same remedies for failure to
replace the security deposit as Lessor has for failure to pay Basic rent. In the
event that Lessee shall fully and faithfully comply with all of the terms,
provisions, covenants and conditions of this lease, the security shall be
returned to Lessee, within thirty (30) days, after the date fixed as the end of
the Lease and after delivery of entire possession of the Demised Premises to
Lessor. In the event of
<PAGE>

a sale of the land and building or leasing of the building, of which the Demised
Premises form a part, Lessor shall transfer the security to the vendee or lessee
and the Lessor shall upon acknowledgment of receipt of the security deposit by
such transferee be deemed released by Lessee from all liability for the return
of such security, and Lessee agrees to look solely to the new Lessor for the
return of said security; and it is agreed that the provisions hereof shall apply
to every transfer or assignment made of the security to a new Lessor. Lessee
further covenants that it will not assign or encumber or attempt to assign or
encumber the monies deposited herein as security and that neither Lessor nor its
successors or assigns shall be bound by any such assignment, encumbrance,
attempted assignment or attempted encumbrance.

          Lessor's security shall be held in a short-term interest bearing
account, the interest earned thereon shall be accrued and shall be held by the
Lessor as additional security hereunder. At the end of the Term, interest on the
security deposit shall be earned for the benefit of the Lessee. Lessor shall,
however, be entitled to deduct on an annual basis that portion of the interest
permitted by law to be retained by Lessor provided that the amount so deducted
does not exceed one (1%) percent of the security.

     15. RIGHT TO CURE LESSEE'S BREACH. If Lessee breaches any covenant or
condition of this Lease, Lessor may, on reasonable notice to Lessee (except that
no notice need be given, in case of an emergency), cure such breach at the
expense of the Lessee and the reasonable amount of all expenses, including
attorneys' fees, expended by Lessor in so doing shall be deemed additional rent
payable on demand. If such amounts are not paid within fifteen (15) days of
demand therefor, such amounts shall bear interest at the then prevailing "Prime
Rate" plus two percent (2%) per annum until payment is made. "Prime Rate" shall
mean the "Prime Rate" of leading money center banks as published in the New York
                                                                        --------
Times, or if no longer published therein, another national newspaper, from time
-----
to time.

     16. MECHANIC'S LIENS. Lessee shall, within sixty (60) days after notice
from Lessor, discharge or satisfy by bonding or otherwise any mechanic's liens
for materials or labor claimed to have been furnished to the Premises on
Lessee's behalf.

     17. RIGHT TO INSPECT AND REPAIR. Lessor may enter the Demised Premises but
shall not be obligated to do so (except as required by any specific provision of
this Lease) at any reasonable time so as not to unreasonably interfere with
Lessee's operations and on 24 hours prior notice to Lessee (except that no
notice need be given in case of emergency) for the purpose of inspection or the
making of such repairs, replacement or additions, to, on and about the Premises
or the Building, as Lessor deems necessary or desirable. Lessee shall have no
claims or cause of action against Lessor by reason thereof.

     18.  SERVICES TO BE PROVIDED BY LESSOR; LESSOR'S EXCULPATION.

          (a) Subject to intervening laws, ordinances, regulation and executive
orders, while Lessee is not in default under any of the provisions of this
Lease, Lessor agrees to furnish;

          (b) Heating, ventilating and air conditioning (herein "HVAC"), as
appropriate for the reason, together with lighting and electric energy for the
common facilities shall be from
<PAGE>

8:00 a.m. to 6:00 p.m. on Monday through Friday and 9:00 a.m. to 2:00 p.m. on
Saturday except for the holidays set forth on Exhibit B attached hereto and made
a part hereof. All other HVAC ("Overtime HVAC") shall be billed at $18 per hour
for each additional hour for which the Lessee utilizes the HVAC system. Overtime
HVAC shall be paid as Additional Rent hereunder. The Lessor, at its expense,
shall have a 3-hour spring timer installed in the Premises, which timer shall be
the basis for the determation of Overtime HVAC.

          (c) Cold and hot water for drinking and lavatory purposes available
twenty-four hours every day.

          (d) Elevator service available twenty-four (24) hours every day.

          (e) Restroom supplies and exterior window cleaning when reasonably
required, including:

          (f) Maintenance and cleaning of the common areas except for the
holidays set forth on Exhibit B attached hereto and made a part hereof; and

          (g) Cleaning of the Demised Premises each day Monday through Friday
except for the holidays set forth on Exhibit B attached hereto and made a part
hereof.

          (h) Lessor shall have no liability to Lessee for any loss, damage or
expense which Lessee may sustain or incur by reason of any change, failure,
inadequacy or defect in the supply or character of HVAC to the common area or
common area lighting furnished to the Building or if the quantity or character
of the HVAC or common area lighting is no longer available or satisfactory for
Lessee's requirements so long as the foregoing does not arise from any
conditions or acts within the control and dominion of Lessor, its agents or
employees. Notwithstanding the foregoing, Lessor may make such changes to the
common area lighting and HVAC as it deems necessary in its sole discretion
acting reasonably.

     19.  INTERRUPTION OF SERVICES OR USE. Lessor shall not be responsible for
any interruption of any utilities servicing the Building which arise from
conditions or acts not within the control and dominion of Lessor or Lessor's
agents and employees. Notwithstanding anything to the contrary in this Lease, if
any failure or interruption of service occurs by reason of the negligence or
willful act of Lessor or Lessor's employees, agents or contractors, or
conditions within the reasonable control of Lessor or Lessor's employees, agents
or contractors, and such failure or interruption of service continues unabated
for five (5) consecutive days, Basic Rent and Additional Rent shall be abated
from the date of such interruption or failure in the same proportion as the
rentable area that Lessee reasonably determines is unfit for its normal uses
bears to the rentable area of the entire Demised Premises. If any such failure
or interruption of service continues for 30 consecutive days, Lessee shall have
the right to terminate this Lease upon written notice to Lessor; provided,
however, Lessee may not cancel if such failure or interruption cannot be cured,
using reasonable efforts, within such thirty day period.

     20.  ELECTRICITY, HEATING, VENTILATING AND AIR CONDITIONING; GAS.
<PAGE>

          (a) Lessee may, at its expense, have a separate electric service and
meter from LILCO for electrical service. If so installed, Lessee will pay
directly to LILCO the bills for electric service to the Demised Premises. Lessee
shall pay to LILCO any deposits required for the provision of electric service
to the Demised Premises. In the event Lessor is unable to arrange a separate
electric service, in whole or in part, to the Demised Premises, Lessor may, at
Lessor's expense, install a separate electric submeter for the Demised Premises,
in which event Lessee shall pay to Lessor for the electricity consumed in the
Demised Premises at the same rates as Lessor shall pay to LILCO plus the
appropriate allocable portion of the taxes billed to Lessor by LILCO (based upon
the square footage of the Demised Premises).

          (b) Until such time as Lessee has a separate meter installed, Lessee
shall intentionally pay $2.25 per square foot for electric service as Additional
Rent. This amount shall change by such amount (on a percentage basis) and at
such time as Long Island Lighting Company shall change rates to the Building,
provided Landlord documents such changes to Tenant's reasonable satisfaction.

          (c) Lessee shall pay its "Proportionate Share" (as defined below) of
all gas charges levied by LILCO on the Building at the rate per cubic foot that
the Building is billed by LILCO.

          (d) Lessor shall have no liability to Lessee for any loss, damage or
expense which Lessee may sustain or incur by reason of any change, failure,
inadequacy or defect in the supply or character of the electrical energy or HVAC
furnished to the Demised Premises or if the quantity or character of the
electrical energy or HVAC is no longer available or satisfactory for Lessee's
requirements so long as such loss, damage or expense results from any conditions
or acts within the control and dominion of Lessee, its agents or employees.
Notwithstanding anything to the contrary in this Lease, if any failure or
interruption of service occurs by reason of the negligence or willful act of
Lessor or Lessor's employees, agents or contractors, or conditions within the
reasonable control of Lessor or Lessor's employees, agents or contractors, and
such failure or interruption of service continues unabated for five (5)
consecutive days, Basic Rent and Additional Rent shall be abated from the date
of such interruption or failure in the same proportion as the rentable area that
Lessee reasonably determines is unfit for its normal uses bears to the rentable
area of the entire Demised Premises. If any such failure or interruption of
service continues for 30 consecutive days, Lessee shall have the right to
terminate this Lease upon written notice to Lessor; provided, however; Lessee
may not cancel if such failure or interruption cannot be cured, using reasonable
efforts, within such thirty day period.

     21.  ADDITIONAL RENT. It is expressly agreed that Lessee will pay in
addition to the Basic Rent provided in Article 3 above, an additional rental to
cover the Lessee's "Proportionate Share" (as hereinafter defined) of the
increased cost to Lessor, for each of the categories enumerated herein, over the
"Base Period Costs" (as hereinafter defined) for said categories.

          (a) TAX ESCALATION. If the Real Estate Taxes for the Building at which
the Demised Premises are located for any Lease Year or proportionate part
thereof, during the Lease Term, shall be greater than the Base Real Estate Taxes
(adjusted proportionately for periods less than a Lease Year) then Lessee shall
pay to Lessor as additional rent, its proportionate share, as hereinafter
defined, of all such excess Real Estate Taxes.
<PAGE>

          (b) As assumed in this Article, the words and terms which follow mean
and include the following:

              (i)  "Base Real Estate Taxes" shall mean those real estate taxes
for the 1996 Town Tax year (January 1-December 31) and the 1995/1996 School Tax
year (July 1-June 30) for the Building, as said amounts shall finally be
determined.

              (ii) "Real Estate Taxes" shall mean the property taxes and
assessments imposed upon the Building. If due to a future change in the method
of taxation, any franchise, income or profit tax shall be levied against Lessor
in substitution for, or in lieu of, any tax which would other constitute a Real
Estate Tax, such franchise, income or profit tax shall be deemed to be a Real
Estate Tax for the purposes hereof. Notwithstanding anything in this Lease to
the contrary, Real Estate Taxes shall not include any assessments upon the
Building (including, but not limited to, any assessments covering the initial
costs of development of the Building that Lessor elects to be placed against the
Building in the form of an assessment or tax payable over a term of years; i.e.,
sewers initially installed, connection of utilities or fees for connecting
utilities, installation of required traffic control devices, off-site street
work, etc.), or any franchise corporate, estate, inheritance, succession, income
or transfer tax of Lessor except as stated above.

          (c) Lease Year. As used in this Lease, Lease Year shall mean the
twelve (12) month period commencing with the Commencement Date, and each twelve
(12) month period thereafter. Once the base costs are established, in the event
any lease period is less than twelve (12) months, then the costs for the
categories listed above shall be adjusted (on an actual per diem basis) to equal
the proportion that said period bears to twelve (12) months, and Lessee shall
pay to Lessor as additional rent for such period, an amount equal to Lessee's
proportionate share, as hereinafter defined, of the excess for said period over
the adjusted base with respect to each of the aforesaid categories.

          (d) Payment. At any time, and from time to time, after the
establishment of the costs for each of the referred to above, Lessor shall
advise the Lessee in writing of Lessee's proportionate share with respect to
each of the categories as estimated for the next twelve (12) month period (and
for each succeeding twelve (12) month period or proportionate part thereof if
the last period prior to the Lease's termination is less than twelve (12)
months) as then known to the Lessor, and thereafter, the Lessee shall pay as
additional rent, its Proportionate Share, as hereinafter defined, of these costs
for the periods affected by such advice in equal monthly installments, such new
rates being applied to any months for which the rental shall have already been
paid which are affected by the Tax escalation costs above referred to, as well
as the expired months of the current period, the adjustment for the then expired
months to be made at the payment of the next succeeding monthly rental, all
subject to final adjustment at the expiration of each Lease Year as defined in
Subparagraph (c) hereof (or proportionate part hereof, if the last period prior
to the Lease's termination is less than twelve (12) months).

          Notwithstanding anything herein, contained to the contrary, in the
event the last period prior to the Lease's termination is less than twelve (12)
months, the costs during said period

<PAGE>

shall be proportionately reduced on an actual per diem basis to correspond to
the duration of said final period.

          (e)  Books and Records. Lessor shall maintain books of account in
regard to all of its operating expenses and taxes. On request of Lessee no more
frequently than once each year, Lessor shall exhibit copies of all such books
and records, together with back-up bills and statements to Lessee during
Lessor's normal business hours. Any disagreement with respect to any one or more
of said charges if not satisfactorily settled between Lessor and Lessee shall be
referred by either party to an independent certified public accountant to be
mutually agreed upon and if such an accountant cannot be agreed upon, the
American Arbitration Association may be asked by either party to select an
arbitrator, whose decision on the dispute will be final and binding upon both
parties, who shall jointly share any cost of such arbitration. Pending
resolution of said dispute the Lessee shall pay to Lessor the sum so billed by
Lessor subject to its ultimate resolution as aforesaid.

          If, after Lessee shall have made a payment of Additional Rent for Real
Estate Taxes, Lessor shall receive a refund of any portion of the Real Estate
Taxes payable during any Lease year upon which such payment of Additional Rent
shall have been based, as a result of a reduction of such Real Estate Taxes by
final determination of legal proceedings, settlement or otherwise, Lessor shall,
within 20 days after receiving the refund, pay to Lessee, Lessee's proportionate
share of the refund.

     22.  LESSEE'S ESTOPPEL. Lessee shall, from time to time, on not less than
ten (10) days' prior written request by Lessor, execute, acknowledge and deliver
to Lessor a written statement certifying that the Lease is unmodified and in
full force and effect, or that the Lease is in full force and effect as modified
and listing the instruments of modification; the dates to which the rents and
charges have been paid; and, to the best of Lessee's knowledge, whether or not
Lessor is in default hereunder, and if so, specifying the nature of the default.
It is intended that any such statement delivered pursuant to this Article 22 may
be relied on by a prospective purchaser of Lessor's interest or mortgagee of
Lessor's interest or assignee of any mortgage of Lessor's interest.

     23. HOLDOVER TENANCY. If Lessee holds possession of the Premises after the
term of this Lease, Lessee shall become a tenant from month to month under the
provisions herein. For the first thirty (30) days of a holdover tenancy, the
basic rent shall be the then prevailing basic rent during the last month of the
term set forth in Article 3 hereof, for days thirty-one (31) through ninety (90)
at a monthly basic rent equal to one and one half (1-1/2) times the basic rent
paid during the last month of the term set forth in Article 3 hereof and for all
days after ninety (90), at a basic monthly rent equal to two (2) times the basic
rent during the last month of the term set forth in Article 3 hereof, plus, in
all cases, the additional rent provided for in Article 21 for the period of the
hold over.

     24. RIGHT TO SHOW PREMISES. Lessor may show the Premises to prospective
purchasers and mortgagees; and, during the three (3) months prior to termination
of either the Initial Term or the Extended Term of this Lease, to prospective
tenants, during regular business hours (i.e., between 8:30 a.m and 5:30 p.m.) on
reasonable notice to Lessee.

                                      19
<PAGE>

     25. LATE CHARGE. Anything in this Lease to the contrary notwithstanding, at
Lessor's option, Lessee shall pay a "Late Charge" of two percent (2%) on the
first late payment made during any Lease year and five percent (5%) on each late
payment thereafter during such Lease year, each late payment being any
installment of rent or additional rent paid more than ten (10) days after the
due date thereof, to cover the extra expense involved in handling delinquent
payments.

     26.  INSURANCE. Lessee covenants to provide on or before the Commencement
Date (i) a comprehensive policy of general liability insurance and (ii) a policy
insuring against damage to property each naming the Lessor as an additional
named insured, insuring Lessee and Lessor against any liability commonly insured
against and occasioned by accident resulting from any act or omission on or
about the Premises and any appurtenances thereto or any property damage
occurring on, in or adjacent to the Demised Premises. Such policy is to be
written by an insurance company qualified to do business in the State of New
York reasonably satisfactory to Lessor. The liability policy shall be with
limits in the aggregate of not less than One Million Dollars ($1,000,000.00)
coverage and the property damage insurance shall be in an amount of not less
than Five Hundred of Thousand Dollars ($500,000). Said limits shall be subject
to periodic review and Lessor reserves the right to increase said coverage
limits no more frequently than twice during the Lease Term, if in the reasonable
opinion of Lessor, said coverage becomes inadequate and is less than that
commonly maintained by tenants in similar buildings in the area by tenants
making similar uses. At least fifteen (15) days prior to the expiration or
termination date of any policy, the Lessee shall deliver a renewal or
replacement policy with proof of the payment of the premium therefor. Each said
policy shall contain an endorsement providing that the policy may not be
cancelled or terminated without at least fifteen (15) days notice to Lessor and
an endorsement that no act or failure to act of Lessee shall invalidate the
coverage afforded Lessor under the policy.

     27.  NO OTHER REPRESENTATIONS. No representations or promises shall be
binding on the parties hereto except those representations and promises
contained herein or in some future writing signed by the party making such
representation(s) or promise(s).

     28.  QUIET ENJOYMENT. Lessor covenants that if, and so long as, Lessee pays
the rent, and any additional rent as herein provided, and performs the covenants
hereof, Lessor shall do nothing to affect Lessee's right to peaceably and
quietly have, hold and enjoy the Premises for the term herein mentioned, subject
to the provisions of this Lease.

     29.  INDEMNITY. If insurance required to be maintained by Lessee does not
cover claims against Lessor, Lessee shall indemnify and save harmless Lessor and
its agents against and from (a) any and all claims (i) arising from (x) the
conduct or management by Lessee, its subtenants, licensees, its or their
employees, agents, contractors or invitees on the Demised Premises or of any
business therein, or (y) any work or thing whatsoever done, or any condition
created (other than by Lessor for Lessor's account) in or about the Demised
Premises during the term of this Lease or during the period of time, if any,
prior to the Commencement Date that Lessee may have been given access to the
Demised Premises, or (ii) arising from any negligent or otherwise wrongful act
or omission of Lessee or any of its subtenants or licensees or its or their
employees, agents, contractors, or invitees, and (b) all costs, expenses and
liabilities incurred in or in connection with each such claim or action or
proceeding brought thereon.

<PAGE>

case any action or proceeding be brought against Lessor by reason of any such
claim, Lessee, upon notice from Lessor, shall resist and defend such action or
proceeding.

           Lessor shall defend, indemnify, and hold Lessee and Lessee's agents,
officers, directors, employees, and contractors harmless against and from any
and all injuries, costs, expenses, liabilities, losses, damages, injunctions,
suits, actions, fines, penalties, and demands of any kind or nature (including
reasonable attorneys' fees) by or on behalf of any person, entity, or
governmental authority occasioned by or arising out of (a) any acts, negligence,
or default performed solely by Lessor or Lessor's agents, employees, or
contractors, (b) Lessor's failure to comply with any laws, ordinances,
requirements, orders, directions, rules or regulations of any federal, state, or
municipal governmental authority or agent of record affecting the Demised
Premises or the Building, (c) any failure by Lessor to perform any of the
agreements, terms, covenants, conditions of this Lease on Lessor's part to be
performed or any environmental pollution, damage, condition or problem,
including without limitation, the presence of any hazardous substances, asbestos
or other toxic waste as defined in any federal, state, or municipal governmental
or quasi-governmental laws, rules, regulations, or ordinances in or about the
Demised Premises or the Building that are (i) existing in the Demised Premises
or the Building prior to Lessee's occupancy of the Demised Premises, or (ii)
caused by the acts, omissions or negligence of Lessor, its agents, servants,
independent contractors, or invitees or (iii) caused by another tenant's
negligence or intentional acts, and not caused by Lessee's use of the Demised
Premises. This indemnity shall expire at the end of the applicable statutes of
limitation for the matters indemnified for herein. Nothing herein shall waive or
release Lessor's right to seek indemnity and/or contribution from Lessee.

      30.  PARAGRAPH HEADINGS. The paragraph headings in this Lease and position
of its provisions are intended for convenience only and shall not be taken into
consideration in any construction or interpretation of this Lease or any of
its provisions.

      31. APPLICABILITY TO HEIRS AND ASSIGNS. The provisions of this Lease shall
apply to, bind and inure to the benefit of Lessor and Lessee and their
respective heirs, successors, legal representations and assigns. It is
understood that the term "Lessor" as used in this Lease means only the owner, a
mortgagee in possession or a term lessee of the Building, so that in the event
of any sale of the Building or any lease thereof, or if a mortgagee shall take
possession of the Premises, the Lessor named herein shall be and hereby is
entirely freed and relieved of all covenants and obligations of Lessor hereunder
accruing thereafter, and it shall be deemed without further agreement that the
purchaser, the term lessee of the Building, or the mortgagee in possession has
assumed and agreed to carry out any and all covenants and obligations of Lessor
hereunder.

      32.  PARKING SPACES. Lessee's occupancy of the Demised Premises shall not
include the use of any reserved parking spaces. Lessee shall have the right to
use the parking areas located around the Building in common with the other
tenants of the Building. Lessee shall, upon request, promptly furnish to Lessor
the license numbers of the cars operated by Lessee and its subtenants,
licensees, invitees, concessionaires, officers and employees. If required by
Lessor, Lessee agrees that the parking of Lessee, its employees and invitees'
automobiles shall be in spaces designated for Lessee. Lessor reserves the right
to designate a portion of the parking around the building as visitor parking.

<PAGE>

        33.    LESSOR'S LIABILITY FOR LOSS OF PROPERTY. Lessor shall not be
liable for any loss or property from any cause whatsoever, including, but not
limited to (i) theft or burglary from the Demised Premises, and any such loss
arising there from, other than if such loss results from the negligence or
willful misconduct of Lessor, its agents, servants or invitees, or (ii) defects,
errors or omissions in the construction or design of the Demised Premises and/or
the Building including the structural and non-structural portions thereof, and
Lessee covenants and agrees to make no claim for any such loss at any time
except as specifically provided to the contrary herein.

        34.    PARTIAL INVALIDITY.  If any of the provisions of this Lease, or
the application thereof to any person or circumstances, shall to any extent, be
invalid or unenforceable, the reminder of this Lease, or the application of
such provisions or provisions to persons or circumstances other than those to
whom or which it is held to be invalid or unenforceable, shall not be affected
thereby, and every provision of this Lease shall be valid and enforceable to the
fullest extent permitted by law, except if tenant's use of the Demised Premises
is not permitted by the operation of the foregoing, except illegal acts by the
principles or employees of the tenant.

        35.    BROKER.  Lessor and Lessee warrant and represent that they dealt
with no broker other than Real Estate Strategies, Inc. in connection with this
transaction and each hereby indemnifies the other against any claims of any
broker other than Real Estate Strategies, Inc. (collectively, the "Brokers") by
reason of such broker having had any conversations or dealings with such party
in connection with this transaction. If either party has breached the foregoing
provisions, such party agrees to reimburse the other party for any damages it
might sustain by reason of such claims including the cost of defending any
action in connection therewith and any reasonable legal fees in connection
therewith. Lessor shall pay any commission or fee owing to Broker in connection
with the Lease.

        36.    PERSONAL LIABILITY.  Notwithstanding anything to the contrary
provided in this Lease, it is specifically understood and agreed, such agreement
being a primary consideration for the execution of this Lease by Lessor, that
there shall be absolutely no personal liability on the part of the Lessor, or
its successors, assigns or any mortgagee in possession (for the purposes of this
paragraph, collectively referred to as "Lessor"), with respect to any of the
terms, covenants and conditions of this Lease, and that Lessee shall look solely
to the equity of Lessor in the Building for the satisfaction of each and every
remedy of Lessee in the event of any breach by Lessor of any of the terms,
covenants and conditions of this Lease to be performed by Lessor. Such
exculpation of liability shall be absolute and without exception whatsoever.

        37.    NO OPTIONS.  The submission of this Lease Agreement for
examination does not constitute a reservation of, or option for, the Premises
and this Lease Agreement shall become effective only upon execution and delivery
thereof by Lessor and Lessee.

        38.    DEFINITIONS.  A Proportionate Share. Lessee's Proportionate
Share, wherever that phrase is used, shall be 7.38 percent, which the parties
agree reflects the ratio of the rentable square footage of the Demised Premises
to the gross square footage of the Building measured from outside of outside
wall to outside of outside wall (as determined by Lessor's architect or
engineer).
<PAGE>

        (a)  Common Facilities. Common facilities shall mean the non-assigned
parking areas; lobby; elevator(s); fire stairs; public hallways; public
lavatories, all other general Building facilities that service all Building
tenants; air conditioning; fan rooms; janitors' closets; electrical closets;
telephone closets; elevator shafts and machine rooms; flues; stacks; pipe shafts
and vertical ducts with their enclosing walls. Lessor may at any time close
temporarily any Common Facility to make repairs or changes therein or to effect
construction, repairs or changes within the Building, or to discourage
non-tenant parking, and may do other such acts in and to the Common Facility as
in its judgment may be desirable to improve the convenience thereof.

        (b)  Force Majeure. Force Majeure shall mean and include those
situations beyond Lessor's or Lessee's control, including by way of example and
not by limitation, acts of God; accidents; repairs; strikes; shortages of labor,
supplies or materials; inclement weather; or where applicable, the passage of
time while waiting for any adjustment of insurance proceeds.

    39.  NOTICES. All notices, demands and requests under this Lease shall be in
writing and shall be sent by United States registered or certified mail, postage
prepaid, return receipt requested or by Federal Express or other similar
overnight carrier or by hand delivery or by facsimile followed by telephonic
confirmation of receipt with a signature accepting delivery and addressed as
follows:

                (a)  If to Lessor:

                     Tri-State Consumer Insurance Company
                     2 Robbins Lane
                     Jericho, New York  11753
                     Attn:  Penny F. Hart

                     with a copy to:

                     Rivkin, Radler & Kremer
                     EAB Plaza
                     Uniondale, New York  11556-0111
                     Attn: Gary C. Hisiger, Esq.
                     Tel: 516-357-3128
                     Fax: 516-357-3333

                (b)  If to Lessee:

                        Starbucks Corporation
                        P.O. Box 34067
                        Seattle, WA 98124-1067
                        Attention: Property Management Department
                        Tel:  447-1575
                        Fax:  (206) 625-9068

                      by overnight mail to:
<PAGE>

                        2401 Utah Ave., South
                        Seattle, WA 98134

                With a duplicate copy to the attention of the Legal Department
at the same address.

                Either party may, by notice given to the other party, designate
a new address to which notices, demands and requests shall be sent and,
thereafter, any of the foregoing shall be sent to the address most recently
designated by such party. Notices, demands and requests which shall be served
upon Lessor or Lessee in the manner aforesaid shall be deemed to have been
served or given for all purposes under this Lease at the time such notice,
demand or request shall be received or returned as having been "refused" or
"undeliverable". Notices given by an attorney for a party shall be deemed given
by such party.

        40.     ACCORD AND SATISFACTION. No payment by Lessee or receipt by
Lessor of a lesser amount than the rent and additional charges payable hereunder
shall be deemed to be other than a payment on account of the earliest stipulated
basic rent and additional rent, nor shall any endorsement or statement on any
check or any letter accompanying any check or payment for rent or additional
rent be deemed an accord and satisfaction, and Lessor may accept such check or
payment without prejudice to Lessor's right to recover the balance of such rent
and additional rent or pursue any other remedy provided herein or by law.

        41.     EFFECT OF WAIVERS. No failure by Lessor or Lessee to insist upon
the strict performance of any covenant, agreement, term or condition of this
Lease or to exercise any right or remedy consequent upon a breach thereof, and
no acceptance of full or partial rent during the continuance of any such breach
thereof, shall constitute a waiver by Lessor of any such breach or of such
covenant, agreement, term or condition. No consent or waiver, express or implied
by either party to or of any breach of any covenant, condition or duty of the
other party shall be construed as a consent or waiver to or of any other breach
of the same or any other covenant, condition, or duty, unless in writing signed
by the waiving party.

        42.     INITIAL LEASEHOLD IMPROVEMENTS. Lessor agrees that prior to the
commencement of the term hereof, Lessor will do any and all work shown on the
plans and specifications attached hereto as Exhibit C irrespective of the party
responsible for payment thereof. Lessor will pay the first $31,010 (the "Work
Allowance") of the cost of such work. Any amounts due which relate to work at
the Demised Premises in excess of the Work Allowance shall be paid by Lessee
within ten (10) days of demand therefor, provided that Lessor shall have
received Lessee's written consent to incur the additional expense prior to
commencing Lessor's work.

                At such time that Lessee's space is Substantially Completed,
same shall be measured by Lessor's and Lessee's architect from inside of glass
to inside of glass, or mid-point of demising walls. In the event that the usable
square footage increases or decreases by 66 square feet plus or minus, the basic
rent and Lessee's Proportionate Share shall be appropriately adjusted and this
Lease shall be deemed amended by the writing, which shall be signed by both
Lessor and Lessee, reflecting such adjustment provided in no event shall Lessee
be responsible for more than one hundred (100) square feet of increased space as
a result of such measurements.
<PAGE>

        43.  DIRECTORY LISTINGS. Lessor shall provide Lessee with directory
listings on the main floor of the Building identifying the Lessee and its suite
within the Demised Premises, at no additional cost to Lessee.

        44.  CONSENTS. Whenever Lessor is requested by Lessee to issue its
consent, Lessor's consent shall be timely delivered and shall not be
unreasonably withheld.

        45.  NO SMOKING. Lessee agrees and acknowledges that smoking is
prohibited within the Building and outside the main entrances (front and rear)
of the Building and will cause its guests, employees and agents to comply with
this provision.

        46.  WINDOW TREATMENTS. Lessee recognizes and agrees that, as of the
date of this Lease, window coverings, vertical blinds, shades and other types of
window treatments shall not be provided by Lessor but may be installed by
Lessee, at its cost and expense. In the event Lessee elects to install window
coverings or window treatments, Lessee shall request Lessor's permission to
install such window treatments, which permission may be withheld by Lessor in
its sole discretion.

        47.  KEYPAD SECURITY. Lessor, at its cost and expense, shall have a
keypad security system installed on the exterior main entrance doors to the
Building. Lessor shall provide Lessee with the necessary codes to afford access
to Lessee. Nothing herein shall limit Lessor's rights to change the exterior
security system at any time, in Lessor's sole discretion.

        48.  ACCESS. Notwithstanding anything to the contrary herein, Lessee
agrees that RIPCO and any assignee, sublessee or successor hereunder thereto
shall have a right of access through a common interior doorway, which Lessee
shall leave unlocked at all times.

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

                                TRI-STATE CONSUMER INSURANCE COMPANY

                                By:   /s/ Penny Hart
                                  --------------------------
                                      Penny Hart
                                      President

                                STARBUCKS CORPORATION

                                By:   /s/ Howard Schultz
                                  ---------------------------
                                      Howard Schultz
                                      CEO/Chairman
<PAGE>

                                Accepted as to Section 2(e):

                                RIPCO II Real Estate Corp.

                                By:[*ILLEGIBLE]
                                   --------------------------
<PAGE>

                                   EXHIBIT B

                                   HOLIDAYS

1.  New Year's Day                   6.  Thanksgiving Day
2.  Washington's Birthday            7.  Day After Thanksgiving
3.  Memorial Day                     8.  Christmas Day
4.  Independence Day
5.  Labor Day
<PAGE>

                                   EXHIBIT C

                          TRISTATE CONSUMER INSURANCE
                         OFFICE INTERIOR SPECIFICATION

Note: Any reference to "Landlord" or "TriState" refers to TriState Consumer
Insurance Company. TriState has designated STRUCTURE TECH, INC. to act as their
Construction Managers, and MoJo Stumer Architects, for the work. All
correspondence regarding the following should be directed accordingly.

1. PARTITIONS
   ----------

      A.  Demising partitions shall be constructed of 3-5/8" 25 gauge steel
          studs with two layers of 5/8" fire code drywall from floor to
          underside of steel roof deck. These will be provided as per Town Code.

          LANDLORD will erect lineal interior office partitions in accordance
          with approved plan. Studs shall be 3-5/8" 25 gauge steel, 24" on
          center, with a single layer of 5/8" drywall on both sides. Joints
          shall be taped and spackled, three coats. Exterior corners shall be
          furnished with metal corner beads. Studs shall be erected from
          finished floor to 6" above ceiling. Drywall installation in accordance
          with U.S. Gypsum specifications. All toilet walls shall receive water
          resistant drywall and 2 1/2" sound batts. Batt insulation for
          conference rooms and executive offices.

      B.  Sound Baffles and Filler Panels
          -------------------------------

          Where any type of partition intersects a window mullion, a filler
          panel shall be provided. Sound baffles and filler panels shall have
          the same sound transfer coefficient as the material of which the
          partition is constructed.

2.  DOOR BUCKS AND HARDWARE
    -----------------------

      A.  Ordinary Doors
          --------------

          Interior doors will be 3'-0" x 7'-0" hollow core paint grade in office
          areas. Such doors will be set in one piece steel buck equipped with
          one and one-half pair 4 1/2" door butts and cylindrical latchset of
          standard building finish. Master keying will be provided by TRISTATE.
          Doors will have removable lock cores for keying system. All doors
          shall be undercut as required.

      B.  Corridor Entry Doors
          --------------------

<PAGE>

        Entry doors shall be 3'-0" x 7'-0" solid core wood white oak veneer.
        Such doors will be set in one piece steel buck equipped with one and
        one-half pair 4 1/2" door butts and cylindrical lockset of standard
        building finish. Master keying will be provided by TRISTATE. Doors will
        have removable lock cores for keying system. All doors shall be undercut
        as required.

    C.  Hardware
        --------

        1. Door closures shall be provided for all doors opening on public
        corridors and at other locations where closures are required by building
        codes.

        2. A heavy duty floor stop shall be provided for every door.

        3. All hardware shall be Schlage, Taco, Arrow, or equal.

    D.  Door Saddles and Reducing Strips
        --------------------------------

        Door saddles or reducing strips shall be furnished between carpeted and
        non-carpeted areas.

3.   CEILINGS
     --------

        Throughout the general offices, a mechanically attached acoustic ceiling
        system will be provided. Existing shall be reused wherever possible. In
        the General Office areas, a 2x4 lay-in ceiling Armstrong Minaboard shall
        be provided. In the Reception Area, and (1) office, the tile shall be
        Armstrong Second Look 2' x 2' upgraded material.

4.   FLOORING
     --------

         TRISTATE will provide commercial grade carpeting in the OFFICE AREAS,
         or VCT in general office areas, accounting/support function offices;
         storage areas, lounge and file room. A 4" vinyl wall base in either
         straight or cove shape will be provided throughout.

<PAGE>

5.  WALL TREATMENT
    --------------

    A.  Painting
        --------

        1.  Initial painting of all walls, vertical furring, non-acoustically
            treated ceiling, doors, door bucks, and all masonry, gypsum board or
            metal surfaces not having a factory finish to consist of one prime
            coat, and one finish coat of paint, flat finish (doors and trim may
            be in matching semi-gloss finish) in not more than a total of three
            selected colors, two of which may be used in a private office or
            other enclosed space, and one of which may be used in general office
            area. Patch samples shall be submitted by TRISTATE for approval by
            TENANT prior to application of the final coat.

        2.  Painting shall be done in ALL areas not receiving Vinyl
            Wallcovering.

    B.  Wall Covering
        -------------

        1.  Vinyl wall covering may be specified at additional cost to Tenant.

6.  LIGHTING
    --------

    A.  Fixtures
        --------

        1.  2x4 recessed lighting fixtures with rapid start ballasts and an
        acrylic prismatic plastic diffuser will be standard.

        2. Where required by design conditions, a 2' x 2' fixture will be
        installed. Where air conditioning ducts or other obstructions will not
        permit the use of standard depth fluorescent fixtures, a shallow type
        fixture will be substituted so as to maintain adjacent ceiling levels.
        The number of fixtures furnished and installed will be adequate to
        furnish a lighting level of 75 foot candles in office and work areas,
        and 55 foot candles in hallways and technician's areas.
<PAGE>

    B.  Switches
        --------

        All single pole switches, or 3-way switches, and associated wiring
        facilities required to service the lighting fixtures shall be provided
        in locations and quantities shown. Breaker control shall be provided to
        lighting fixtures except when otherwise mutually agreed with Tenant.

7.  ELECTRICAL AND TELEPHONE
    ------------------------

    A.  Metering
        --------

        Since contracting for LILCO provided service is the responsibility of
        TENANT, TRISTATE shall furnish, install, and connect all wiring,
        cabinets, and switches in order to perform the metering function by the
        utility. All deposits shall be paid by TENANT, when applicable. Meters
        are located in building meter room.

    B.  Distribution System
        -------------------

        1.  Distribution panels for lighting and electrical equipment shall be
        of the circuit breaker type including counter-pulsation equipment.

        2.  Electrical power and distribution panels shall be installed with
        circuit breakers, safety switches, conduit, and required wiring
        facilities to such panel for Tenant. The Tenant's special business
        machines, pantry, employee lunch room, and other special electrical
        requirements are an additional expense to Tenant and will be determined
        during the planning stage of the installation, but prior to lease
        signing.

        3.  All circuit wiring from the lighting and power panels to the various
        outlets shall be as selected by TRISTATE as Building Standard and in
        accordance with local electrical codes.

        4. Electrical receptacles shall be circuited separately from lighting
        fixtures and in accordance with local codes but no more than eight
        duplex receptacles shall be included on one circuit.

        5. Low voltage wiring without conduit may be run in peripheral
        enclosures and/or hung ceiling to the extent practicable and permitted
        by local codes.

C.      Convenience and Telephone Outlets
        ---------------------------------

            1.  TRISTATE will install 120 volt convenience duplex receptacles
            in the walls in general accordance with Tenant layout,

<PAGE>

        such location being adjusted to follow good practice, but with a maximum
        of 3 per 100 square feet.

        2.  Kitchen and copying rooms will have an additional wall mounted
        dedicated outlet for their respective equipment.

        3. The telephone and computer distribution system is to be provided by
        Tenant. TRISTATE shall furnish electrical outlets and coordinate the
        incoming main telephone line. All New York Telephone fees shall be paid
        by Tenant. No isolated grounding or power conditioning has been
        included.

8.    PLUMBING
      --------

      A.  Tenant shall utilize the existing toilets.

9.    HEATING, VENTILATION AND AIR CONDITIONING
      ----------------------------------------

      A.  Office Area Air Conditioning/Heating
          ------------------------------------

          1.  Galvanized steel ductwork for air distribution including:
              a. Supply ductwork, ceiling return plenum.
              b. Fresh air intake.
              c. Registers, grilles, diffusers, balancing dampers.
              d. Insulation of ductwork in hung ceilings not used as return
                 plenums.
              e. All ductwork design and construction as per ASHRAE.

          2.  Zoning of air conditioning as possible utilizing existing
              equipment wherever possible.

      B.  Office Area Ventilation:
          -----------------------

          1.  Air exhaust in accordance with local/state codes, standard of
              ASHRAE.

          2.  Exhausts to be of the roof or ceiling mounted centrifugal type
              with curbs, backdraft damper, birdscreens, and disconnect
              switches. Light switch control fans.

      C.  Equipment
          ---------

          1.  Existing equipment will be utilized.

<PAGE>

10.  MILLWORK
     --------

       None included in base rent.

11.    ADDITIONAL WORK
       ---------------

       A.  Items Included in Specification
           -------------------------------

             1. Tenant may at any time request additional work of the TRISTATE.
             Additional quantities of fixtures or materials such as are provided
             for in this specification. These shall be provided by TRISTATE as
             extras at unit prices to be provided upon request.

       B.  Approval of Costs
           -----------------

             1. Unless expressly so authorized in writing by Tenant, TRISTATE
             shall not proceed with any item of work or material at Tenant
             expense until Tenant has received and approved an estimate of the
             cost thereof.
<PAGE>

                         EXCLUSIONS AND CLARIFICATIONS
                         -----------------------------

1.   Telephone equipment or cabling.
2.   Utility Deposit Fees.
3.   Installation of Tenant supplied equipment other than as specified in
     previous section.
4.   Security required at the time of delivery of Tenant supplied equipment and
     furnishings.
5.   Signage of any type.
6.   Any special lighting fixtures, equipment power, or those electrical
     requirements not referenced herein.
7.   Security locking systems, grand master keying, card access systems, etc.
8.   Furnishings, desks, chairs, landscape partitions, file cabinets, tables,
     etc.
9.   Pneumatic tube system.
10.  Burglar Alarms.
11.  Satellites equipment, or connection.
12.  Computer equipment, or connection.
13.  Internal music system.
14.  Permit fees.
15.  Bullet proof glass, closed circuit cameras, shielded or reinforced vault
     areas.
16.  Environmental or hazardous material handling.
17.  Window treatments or decorations.

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