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Exhibit 10.6
ANTIGUA AND BARBUDA.
TENANCY AGREEMENT
AN AGREEMENT made the 15th June, 1999 between THE BARBADOS MUTUAL LIFE
ASSURANCE SOCIETY (hereinafter called "The Mutual") of the One Part and
PLAYSTAR CORPORATION (hereinafter called the "Tenant") of the Other Part.
1.0 The Mutual offers and Playstar Corporation accepts approximately 2818
square feet of office space in the building known as The Mutual
Financial Centre situate at No. 9 Factory Road, St. John's, Antigua.
2.0 The prescribed space is located in the eastern section of the middle
floor of the building and is highlighted on the attached floor-plan
marked Appendix A.
3.0 The tenancy will commence on 1st September, 1999 for a period of five
(5) years and shall be ratified by way of a lease which shall be
executed within three months of the effective date of the tenancy.
The Tenant shall have the option to renew and extend the lease for
successive periods to be mutually agreed upon.
Notwithstanding anything mentioned herein to the contrary the Tenant
shall have the option to terminate this agreement by giving twelve (12)
months notice in writing of its intentions.
4.0 The rental rate shall be EC$4.50 per square foot of rental space per
calendar month and shall be fixed for the first three (3) years of the
tenancy. The rate shall increase by not more than 10 per centum per
annum for each of the remaining two (2) years. Should the Tenant
exercise the renewal option the rental rate will be reviewed at that
time.
5.0 The Tenant shall pay a monthly variable service charge of EC$0.25 per
square foot of rental space to cover expenses relating to the
maintenance of common areas and the provision of the following
services:- parking, public water supply, insurance, property taxes,
security, garbage disposal and stand-by electricity.
The monthly variable service charge will be determined by our auditors
and adjusted proportionately in relation to the overall expenses for the
provision of these services as they relate to the space you occupy,
however, it is understood and agreed that the said monthly service
charge shall not exceed 15% of the basic rental rate during the term of
this agreement.
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6.0 The Tenant shall pay a security deposit equal to one month's rent upon
execution of this agreement. This amount shall be held by The Mutual and
returned to the Tenant without interest upon satisfactory termination of
the tenancy.
7.0 The Tenant shall be responsible for the payment of all other charges not
mentioned in clause 5 above including APUA - supplied electricity and
telephone charges.
8.0 The prescribed space is leased with general lighting, a sealed concrete
floor, central air conditioning, wired telephone and electrical
circuits, without internal partitions and is independently metered for
electricity consumption.
All additions and/or changes are for the Tenant's account and require
The Mutual's prior written consent. All changes/alterations shall become
the property of The Mutual upon expiration of the tenancy.
9.0 No part of the leased premises may be sub-let without The Mutual's prior
written consent.
10.0 The Tenant shall have access to the leased premises from, 19th July,
1999 to effect leasehold improvements.
In WITNESS whereof the parties have set their hands hereunto the day and
year first written hereinabove.
SIGNED BY GLYNN GRUMMETT
on behalf of PLAYSTAR CORPORATION
in the presence of:-
[SIGNATURE ILLEGIBLE] [SIGNATURE ILLEGIBLE]
_______________________________ _______________________________
SIGNED BY D. TREVOR VIGO
on behalf of THE BARBADOS
MUTUAL LIFE ASSURANCE SOCIETY
in the presence of:-
[SIGNATURE ILLEGIBLE] [SIGNATURE ILLEGIBLE]
_______________________________ _______________________________
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