AMENDMENT TO LEASE

This Amendment to the Lease dated November 8, 1983 (“Lease”) is entered into by and between the City of Portland, by and through Portland Parks and Recreation Bureau (PP&R), and Macadam Bay Homeowners Association, assignee of the Lease, on the ___ day of ______________, 2007.

RECITALS

WHEREAS, the leasehold is used as a residential moorage. Parks owns the upland property and holds Waterway Lease ML-10421 from the Department of State Lands (“Waterway Lease”). Macadam Bay Homeowners’ Association leases a portion of the upland property and is the sublessee under the Department of State Lands lease.

WHEREAS, the parties have become aware that some of the house boats on the northern boundary of the leasehold are encroaching on the State waterway. To correct this, PP&R has amended the Waterway Lease to expand the leasehold to incorporate the encroaching structures.

WHEREAS, the parties now wish to amend the Lease to include the entire area that PP&R now leases from the Department of State Lands.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows:

1.  Section 3 of the Lease is amended to add the following to the leased area:

A TRACT OF LAND IN SECTION 22, T1S, R1E, W.M. IN THE CITY OF PORTLAND MULTNOMAH COUNTY, OREGON, DESCRIBED AS FOLLOWS:

COMMENCING AT THE INITIAL POINT AS DESCRIBED IN THE WARRENTY DEED BOOK 1744 PAGE 290 RECORDED IN SEPTEMBER 12, 1955; THENCE, N89°50'OO"E A DISTANCE OF 292.91 FEET TO THE POINT OF BEGINNING OF LEASE AREA "A"; THENCE, N89°50'00"E A DISTANCE OF 372.52 FEET; THENCE, N03°59'49"E A DISTANCE OF 50.13 FEET; THENCE, S89°50'OO"W A DISTANCE OF 376.16 FEET; THENCE, S00°10'00"E A DISTANCE OF 50.00 FEET, MORE OR LESS, TO THE POINT OF BEGINNING.

2.  Macadam Bay Homeowners’ Association will continue to reimburse PP&R for any and all rents and fees, including those charged by the Department of State Lands for ML-10421, as well as taxes or other charges attributable to such leased property. It is expressly understood that the annual rent owned to the Department of State Lands for the site will increase due to the increased leasehold area.

3.  Except as set forth in this Amendment or in previous amendments, all the terms and conditions of the Lease shall continue in full force and effect throughout the term of the Agreement.

IN WITNESS WHEREOF, the parties hereto have duly executed this Amendment as of the date above.

MACADAM BAY HOMEOWNERS’ ASSOCIATION, an Oregon non-profit

By: ______________________________________

Name:____________________________________

Title:_____________________________________

PORTLAND PARKS AND RECREATION, a municipal corporation

By: _____________________________________

 Dan Saltzman, Commission in Charge

Approved as to Form

________________________________________

Chief Deputy City Attorney