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Authorization to sell alcoholJune 18, 2002 Ms. Marci Diamond CI'TY OF COPPELL 255 Parkway Blvd. Coppell, TX 75019 RE: Authorization for selling of alcohol at the Siam Thai Cuisine Restaurant - Valley Ranch Center, 820 South MacArthur, Coppell, TX 75019. Dear Ms. Diamond: Although ! am for and would love for Siam Thai Cuisine to be able to se!! alcohol there are some restrictions we must abide by. Per section 38. Property Covenants of Lessor and Lessee a. General Use Restrictions (copy a~ached) found in the Tom Thumb lease "....Notwithstanding the foregoing, no use or operation will be made, conducted or permitted on or with respect to all or any part of the Shopping Center which use or operation is inconsistent with a first-class Shopping Center, including the following...." xvii. "....With respect to the Tom Thumb Parcel and any portion of the Phase I Parcel ...... any bar, tavern, dance hall, night club, lounge or other establishment (including, if applicable, a restaurant) whose annual gross revenues from the sale of alcholic beverages exceeds thirty- five percent (35%) of gross revenues arising out of or resulting from such business. Basically Siam needs to write us a letter stating that their alcohol ~ale$ will not exceed thirty-five percent (35%) of their gro~ revenues. As soon as we receive that letter we can approve the sale of alcohol at their location. Should you have any questions or concerns, please don't hesitate to contact me. ~e Property Manager Regency Centers, L.P. /SS enclosures CC: Chuck Chalermchai and Piengta Gunasayan 453 Cooper Lane Coppell, TX 75019 Regency Centers, 8140 Walnut Hill Lane Suite 400 Dallas, TX 75231 Office: 214.706.2500 Toll Free: 800.225.4646 Fax: 214.696.9512 www. resencycenters.com 37. Sales Promotions. Notwithstanding any provisions in this Lease to the contrary, unless prohibited by law or restrictive covenant, it is agreed that (i) Lessee may place special sales promotion signs in its store windows from time to time, and (ii) Lessee may from time to time, display signs or banners on the exterior of the Premises for special promotions. These signs and decorations, however, must be of a strictly temporary nature and must reasonably conform to Lessor's exterior sign code. 38. Property Covenants Of Lessor and Lessee. a. General Use Restrictions. During the term of this Agreement, no part of the Shopping Center shall be used except for commercial or retail or discount sales, service or appurtenant uses, or any combination of such uses. Service uses include but are not limited to offices, financial institutions, doctor and dental offices, brokerage offices, travel agencies, print or copying shops, but do not include offices which are incidental to non-service uses. Notwithstanding the foregoing, no use or operation will be made, conducted or permitted on or with respect to all or any part of the Shopping Center which use or operation is inconsistent with a first-class Shopping Center, including the following: i. Any noise or sound that is objectionable due to intermittence, beat, frequency, shrillness or loudness; ii. Any obnoxious odor; iii. Any noxious, toxic, caustic, or corrosive fuel or gas; iv. Any dust, dirt, or fly ash in excessive quantities; v. Any unusual fire, explosion or other damaging or dangerous hazard, including the storage, display or sale of explosives or fireworks; vi. Any warehouse (not including storage which is incidental to a permitted use), assembly, manufacture, distillation, refining, smelting or mining operations; vii. Any "second hand" store, Army, Navy, or government "surplus" or "unclaimed" merchandise store; viii. Any mobile home or trailer court, labor camp, junk yard, stock yard, or animal raising; ix. refuse; Any dumping, disposal, incineration, reduction or garbage or Any fire or bankruptcy sale or auction house operation; DRRITDAE 18913 23 23 xi. Any central laundry, dry cleaning plant or laundromat; provided, however, this prohibition shall not be applicable to on-site pick up and delivery by the ultimate consumer, including nominal supporting facilities, as the same may be found in retail shopping districts in the metropolitan area where the Shopping Center is located; xii. Any automobile sales, leasing or display, including body repair facilities (but not including first class automotive service and accessory stores such as a "Goodyear Tire Center" and "Firestone MasterCare Store"); xiii. Any bowling alley, skating rink or other amusement center (other than arcades or video game areas that are incidental to some other business use); xiv. Living quarters, sleeping apartments4~ rooms; xv. Any m0rmary; xvi. Adult bookstore; ~ / xw~.With respect to the Tom Thumb Parcel and any portion , Phase I Parcel and the Phase II Parcel (col?,ctively, the "Developer Pa ') J between the area east of the line designated ' Maximum Alcohol Sales Area" In / the Site Plan and the boundary of the Shopping Center, any bar, tavern, da ~e [ hall, night club, lounge or other establishment (including, if applicable, ~ ~ restaurant) whose annual gross revenues from the sale of alcoholic beverat ts ~ exceeds thirty-five percent (35%) of gross revenues arising out of or x ~ultJ tg \ from such business. With respect to any ,,portion of the Developer 'ar~ ls ~ between the area west of the line designated Maximum Alcohol Sales ~a~' on ~ the Site Plan and MacArthur Blvd., any bar, tavern, dance hall, club, ~ lounge or other establishment (including, if applicable, annual '~ss revenues from the sale of alcoholic beverages (60%) ot gr.~ revenues arising out of or resulting from xviii. -~"Aa-y.3r_ailer or truck xix. Any church, temple, chapel or other place of religious worship; or xx. Any education facilities and educational uses, including without limitation, beauty schools, barber colleges, reading rooms, places of instruction, or any other operation catering primarily to students or trainees rather than to customers, but excludes employee training by parties or occupants incidental to the conduct of their businesses within the Shopping Center. b. Restrictions Applicable to Developer Parcels. In addition to the foregoing, and provided that a grocery store has been opened and is being operated on the Tom DRRI7DAE 18913-23 24 Thumb Parcel by Lessee, no part of the Developer Parcels shall be used for a grocery store, supermarket, meat market, bakery, delicatessen or produce store (the "Grocery Restriction"), or the sale of prescription drugs (the "Drugstore Restriction"). The Grocery Restriction specifically does not include the following: (i) a convenience store having less than 3,000 square feet of rentable floor area, (ii) a retail operation which sells any of such products as an incidental part of its business so long as the sum of the gross revenues from the sale of all of such products does not exceed 20% of the gross revenues of such business as a whole, (iii) a doughnut shop having less than 3,500 square feet of rentable floor area, (iv) an ice cream or yogurt store, (v) a delicatessen where sales are primarily for on-premises consumption, and having less than 3,500 square feet of rentable floor area, and (vi) a cookie or pie shop. In the event Lessee shall ever cease to operate for a continuous period of 180 days (exclusive of periods of non-operation due to remodeling, repairs or reconstruction which have been promptly commenced and thereafter prosecuted to completion with due diligence), (a) a grocery store on the Tom Thumb Parcel, the Grocery Restriction shall automatically terminate forever, (b) a drugstore or department offering for sale to the public prescription drugs, the Drugstore Restriction shall automatically terminate. c. Restrictions Applicable to Tom Thumb Parcel. No part of the Tom Thumb Parcel shall be used as a furniture store, entertainment facility (including, without limitation, a dinner theater, playhouse or video game parlor, office (except as may be incidental to retail uses being operated on the premises), for the sale of auto parts (unless incidental to some other business enterprise). 39. Subordination and Attornment. a. Lessee agrees that this Lease is subordinate to any mortgages, liens or security interests ("Mortgage") that may at this time or hereafter be placed upon the Premises or the Shopping Center as a whole and to all renewals and extensions thereof, and Lessor is hereby irrevocably vested with full power and authority to subordinate this Agreement to any such Mortgage, provided that the mortgagee or lienholder named in such Mortgage (the "Lender"), by written instrument delivered to Lessee contemporaneous with any subordination of the Lease, agrees (i) to recognize this Agreement and (ii) that Lessee's occupancy must not be disturbed in the event the mortgagee or lienholder takes possession of the Property because of foreclosure or deed in lieu of foreclosure, if Lessee is not then in default. Lessee agrees upon demand to execute and deliver such other and further documents and instruments subordinating this Lease as Lessor may request. In the event that any institutional mortgagee requests a change or modification to this Lease in order to facilitate a mortgage loan for the Shopping Center, Lessee agrees to allow such change or modification hereto so long as the effect thereof does not increase the monetary obligations of Lessee hereunder or otherwise adversely affect the rights of Lessee hereunder. b. i. Lessee agrees that if Lessor transfers or conveys its interest to the Property and the Shopping Center, whether voluntarily or involuntarily (including, DRRI7DAE 18913-23 25