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                              EMPLOYMENT AGREEMENT


                  AGREEMENT, dated as of January 3, 2000, by and among GLIMCHER
DEVELOPMENT CORPORATION, a Delaware Corporation, with offices at 20 South Third
Street, Columbus, Ohio, 43215, ("the Company") and P. Martin Yates, an
individual residing at 4890 Gardner Road, Metamora, MI 48455 (the "Executive").

                  WHEREAS, the Executive Compensation Committee of the Board of
Trustees of Glimcher Realty Trust ("Committee"), ratified and approved the
employment by Glimcher Development Corporation, an affiliate of Glimcher Realty
Trust, of the Executive pursuant to the terms and conditions of the Executed
Engagement Letter; and

                  WHEREAS, the Company, upon approval of the employment of
Executive by the Committee, agreed to prepare a formal written Employment
Agreement containing provisions of the Engagement Letter.

                  IT IS AGREED:

A. JOB COMMENCEMENT:

   January 3, 2000

B. TERM OF EMPLOYMENT AGREEMENT:

   1. 2 years

   2. Subject to Termination Issues as set forth below

C. DUTIES:

   1. Title: Senior Vice President, Director of Leasing
   2. Report to Michael Glimcher, President
   3. Responsibilities: The position and Executive will be directly responsible
      for the releasing of all existing properties and the leasing of future
      properties within the parameters of proforma rents and allowances that
      will be budgeted for on a project by project basis and to further increase
      the occupancy percentage of the GLA on an ongoing basis. The position and
      Executive will have direct reporting supervision of the leasing department
      personnel and further train and hire additional personnel as needed. The
      position and Executive will have the sole responsibility of all hiring and
      terminations within the department, subject to guidelines of the Executive
      Compensation Committee of Glimcher Properties Corporation and upon the
      approval of the Vice President, Human Resources.

D. TERMINATION ISSUES:

   1. Death or Disability: Agreement terminates upon death or total disability

   2. Termination with Cause: During the term of your employment, you can only
      be terminated by the Company for Cause. "Cause" means the willful failure
      to perform Executive's duties with the Company or Executive's engagement
      in conduct (including but in no way limited to fraud or theft) which has a
      material adverse effect on the business affairs of the Company, monetarily
      or otherwise. For a termination with cause, Executive shall not be
      entitled to any benefits or compensation referenced in item D.3 of this
      document.

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   3. Termination without cause: If you are terminated without cause, the
      Company shall pay Executive's base salary and bonus for a period of two
      years form employment termination date. The Company shall also pay
      Executive's health, life and disability insurance for a two year
      severance period from employment termination date. Benefit and
      compensation amounts referenced herein are not subject to mitigation.
   4. Termination by Executive: If Executive voluntarily terminates your
      employment for any reason, Executive shall not be entitled to any benefits
      or compensation referenced in item D.3 of this document.

E. COMPENSATION:

   1. Salary: Base Salary of $300,000 annual. Fixed percentage increases to be
      determined annually by the Executive Compensation Committee. Additional
      compensation in the amount of $60,000 will be paid in quarterly
      installments of $15,000.
   2. Bonus: To mutually agree upon on a system based on performance.
   3. Incentive Compensation: Bonus based on achievement of certain targets
      regarding Net Operating Income in connection with new projects as they
      are developed such as Cincinnati and Polaris. This incentive should be
      structured on the basis of maximizing income and minimizing costs. The
      terms and conditions of the incentive compensation shall be equivalent to
      other executives at similar levels within the Company as determined by the
      Executive Compensation Committee.

   4.  Equity Compensation: Participation in stock options or stock grant
       issues; amounts of options or shares to be determined by the Executive
       Compensation Committee.

F. RETIREMENT PROGRAMS: Participation in the 401(k)

G. SEVERANCE BENEFIT AGREEMENTS: The Severance Benefit Agreement to which
   Executive and the Company are already parties will continue in full force and
   effect. This is substantially the same severance benefit agreement as
   provided other senior executives which provides a lump sum payment equal to
   three (3) times the Executive's total compensation. Severance benefits shall
   also include acceleration of vesting of options and other benefits in the
   event of change of control as contained in the current Severance Benefit
   Agreements currently in effect with other senior executives. There will be no
   severance benefit agreement between Executive and the Company relating to a
   change in control other than that agreed to by the Executive and the Company
   in writing.

H. MISCELLANEOUS BENEFITS:

   1. Travel expenses
   2. Temporary Housing/Relocation expenses. A one time payment of $25,000 for
      miscellaneous relocation expenses payable upon commencement of employment.
      The Company will also pay your moving expenses.
   3. Insurance: Medical, Dental, Life and Disability, in accordance with
      current Company guidelines.
   4. 3 weeks vacation
   5. Holidays are per Company policy as outlined in the Managers Handbook.


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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
date first above written,


GLIMCHER DEVELOPMENT CORPORATION
A Delaware Corporation


By: /s/ Michael P. Glimcher                          December 22, 2000
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      Michael P. Glimcher                            Date
      President



EXECUTIVE


/s/ P. Martin Yates                                  December 22, 2000
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P. Martin Yates                                      Date