FIRST AMENDMENT TO NET LEASE AGREEMENT
THIS AMENDMENT TO NET LEASE AGREEMENT, made and entered
into effective as of this 30th day of September, 2003, by and
between AEI REAL ESTATE FUND XV LIMITED PARTNERSHIP ("Fund XV")
whose corporate general partner is AEI Fund Management 86-A,
Inc., whose address is 1300 ▇▇▇▇▇ Fargo Place, ▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇
▇▇▇▇▇▇, ▇▇. ▇▇▇▇, ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇ ("Lessor")(fax #▇▇▇ ▇▇▇ ▇▇▇▇),
and Kona Restaurant Group, Inc., a Delaware corporation, whose
address is ▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇ ▇▇▇▇, ▇▇▇▇▇ ▇, ▇▇▇▇▇▇▇▇▇, ▇▇▇▇▇ ▇▇▇▇▇
("Lessee") (fax # ▇▇▇ ▇▇▇ ▇▇▇▇);
WITNESSETH:
WHEREAS, Lessor is the fee owner of a certain parcel of real
property and improvements located at Pharr, Texas, and legally
described in Exhibit "A", which is attached hereto and
incorporated herein by reference and shall substitute for the
Exhibit A heretofore attached to the Lease (as defined below);
and
WHEREAS, Lessee has constructed the building and
improvements (together the "Building") on the real property
described in Exhibit "A", which Building is described in the
plans and specifications heretofore submitted to Lessor; and
WHEREAS, Lessee and Lessor have entered into that certain
Net Lease Agreement dated March 3, 2003 (the "Lease") providing
for the lease of said real property and Building (said real
property and Building hereinafter referred to as the "Leased
Premises"), from Lessor upon the terms and conditions therein
provided in the Lease;
NOW, THEREFORE, in consideration of the Rents, terms,
covenants, conditions, and agreements hereinafter described to be
paid, kept, and performed by Lessee, including the completion of
the Building and other improvements constituting the Leased
Premises, Lessee and Lessor do hereby agree to amend the Lease as
follows:
1. Article 2(A) and (B) of the Lease shall henceforth read as
follows:
ARTICLE 2. TERM
(A) The term of this Lease ("Term") shall be the period
commencing March 3, 2003 ("Occupancy Date") through the effective
date hereof, plus seventeen (17) consecutive "Lease Years", as
hereinafter defined, commencing on the effective date hereof,
with the contemplated initial term hereof ending on October 31,
2020.
(B) The first full Lease Year shall commence on the date of
this First Amendment and continue through October 31, 2004. Each
Lease Year after the first Lease Year shall be a successive
period of twelve (l2) calendar months.
2. Article 4(A) of the Lease shall henceforth read as follows:
ARTICLE 4. RENT PAYMENTS
(A) Annual Rent Payable for the first Lease Year: Lessee shall
pay to Lessor an annual Base Rent of $200,600, which amount
shall be payable in advance on the first day of each month
in equal monthly installments of $16,716.67 to Fund XV. If
the first day of the Lease Term is not the first day of a
calendar month, then the monthly Rent payable for that
partial month shall be a prorated portion of the equal
monthly installment of Base Rent.
3. Article 35 is hereby deleted in its entirety; Lessor and
Lessee agree that the referenced Development Financing
Agreement is terminated in accordance with its terms.
4. Exhibit B to the Lease shall be as attached hereto,
reflecting personalty on the Leased Premises owned by Lessor.
All other terms and conditions of the Lease shall remain in
full force and effect.
5. Lessee has accepted delivery of the Leased Premises and has
entered into occupancy thereof;
6. Lessee has fully inspected the Premises and found the same
to be as required by the Lease,in good order and repair, and
all conditions under the Lease to be performed by the Lessor
have been satisfied;
7. As of this date, the Lessor is not in default under any of
the terms, conditions, provisions or agreements of the Lease
and the undersigned has no offsets, claims or defenses
against the Lessor with respect to the Lease.
8. This Agreement may be executed in multiple counterparts,
each of which shall be deemed an original and all of which
shall constitute one and the same instrument.
IN WITNESS WHEREOF, Lessor and Lessee have respectively signed
and sealed this Lease as of the day and year first above written.
LESSEE: Kona Restaurant Group, Inc.,
By /s/ ▇▇▇▇▇ ▇▇▇▇▇▇▇
Its:Chief Financial Officer
(Lessor's signature on following page)
LESSOR:
AEI REAL ESTATE FUND XV LIMITED PARTNERSHIP
By: AEI Fund Management 86-A, Inc.
By: /s/ ▇▇▇▇▇▇ ▇ ▇▇▇▇▇▇▇
▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇, President
EXHIBIT "A"
▇▇▇▇ ▇-▇ ▇▇▇ ▇-▇, ▇▇ ▇▇▇▇ ▇-▇, ▇-▇, ▇-▇ and 7-A,
PARADISE COMMERCIAL PARK, an Addition to the City
of ▇▇▇▇▇, ▇▇▇▇▇▇▇ County, Texas, according to the
plat thereof recorded in Volume 38, Page 178, Map
Records of ▇▇▇▇▇▇▇ County, Texs.