WITNESSETH THAT

                                                                  Exhibit (9)(b)

           AMENDMENT TO ADMINISTRATION AND BLUE SKY SERVICES AGREEMENT

         This  Amendment,  dated as of the 16th day of September,  1998, made by
and between  Third Avenue Trust  ("Third  Avenue"),  a Delaware  business  trust
operating as a registered investment company under the Investment Company Act of
1940, as amended, and duly organized and existing under the laws of the State of
Delaware  and First Data  Investor  Services  Group,  Inc., a  corporation  duly
organized and existing under the laws of the Commonwealth of  Massachusetts  and
the successor in interest to FPS Services, Inc. (collectively, the "Parties").


                                 WITNESSETH THAT

         WHEREAS,  the  Parties are  Parties to an  Administration  and Blue Sky
Service Agreement dated January 1, 1997 (the "Agreement"); and

         WHEREAS,  the Parties  wish to amend the  Agreement  to provide for the
addition of a new series of shares;

         NOW,  THEREFORE,  in consideration of the premises and mutual covenants
contained herein,  the Parties hereto,  intending to be legally bound, do hereby
agree as follows:

         1. The  Agreement is hereby  amended to add a new series,  THIRD AVENUE
            REAL ESTATE VALUE FUND,  by replacing  Schedule "C" of the Agreement
            with the attached amended Schedule "C".

         2. Exept as specifically  amended  hereby,  the Agreement shall not be
            modified or amended and shall remain in full force and effect.

IN WITNESS WHEREOF,  the Parties hereto have caused this Agreement consisting of
one typewritten page,  together with amended Schedule "C", to be signed by their
duly authorized officers as of the day and year first above written.


Third Avenue Trust                  First Data Investor Services Group, Inc.


By:                                 By:
   ------------------------            ----------------------------------------
    Xxxxx Xxxxx, President             Xxxxxxx X. Xxxxx, Senior Vice President








                                                                    SCHEDULE "C"
                                                                    ============

                            IDENTIFICATION OF SERIES

Below are listed the Series to which  services  under this  Agreement  are to be
performed as of the execution date of this Agreement:

                               THIRD AVENUE TRUST
                               ------------------

                             THIRD AVENUE VALUE FUND
                        THIRD AVENUE SMALL-CAP VALUE FUND
                          THIRD AVENUE HIGH YIELD FUND
                       THIRD AVENUE REAL ESTATE VALUE FUND

This Schedule "C" may be amended from time to time by agreement of the parties.