Document:

<PAGE>   1
                                                            Exhibit 10(i)(J)(1)

            FIRST AMENDMENT TO MORTGAGE AND SECURITY AGREEMENT

            This First Amendment (this "Amendment") dated as of February 24,
2000 between ALEXANDER'S OF FORDHAM ROAD, INC., a Delaware corporation, having
an office at Park 80 West, Plaza II, Saddle Brook, New Jersey 07663
("MORTGAGOR") and BANC OF AMERICA COMMERCIAL FINANCE CORPORATION (formerly known
as Greyrock Capital Group Inc.), having an office at 187 Danbury Road, Wilton,
Connecticut ("MORTGAGEE").

                                R E C I T A L S:

            A. Lender is the holder of that certain Mortgage and Security
Agreement dated as of February 24, 1995 made by Alexander's Inc. ("Alexander's")
to Mortgagee and recorded on February 27, 1995 in the office of the City
Register, Bronx County, New York in Reel 1303, Page 457 (the "MORTGAGE"), which
Mortgage encumbers the land described in Exhibit A hereto, the improvements
thereon and other property more particularly described in the Mortgage, and
which Mortgage was assumed by Mortgagor.

            B. The Mortgage secures that certain Promissory Note (Secured) dated
February 24, 1995 in the original principal amount of $25,000,000 made by
Alexander's to Mortgagee (the "ORIGINAL NOTE"), which Original Note was assumed
by Mortgagor.

            C. Simultaneously with the execution and delivery hereof, Mortgagor
and Mortgagee are executing and delivering an amendment and restatement of the
Original Note (the "RESTATED NOTE"), which Restated Note, among other things,
extends the term of the loan secured by the Mortgage and provides for the
accrual of part of the interest on the Loan.

            D. Mortgagor and Mortgagee desire to amend the Mortgage so as to,
among other things, confirm that it will secure the Restated Note.

            NOW, THEREFORE, in consideration of the covenants and agreements
hereinafter set forth and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged by all of the parties hereto,
and to induce Mortgagee to accept the Restated Note, the parties hereto agree as
follows:

            1. DEFINITIONS. All capitalized terms used and not defined herein
shall have the respective meanings given such terms in the Mortgage.

            2. NOTE. All references in the Mortgage to "Note" shall be deemed to
refer to the Restated Note, as the same may hereafter from time to time be
amended, extended, consolidated, replaced, supplemented, substituted for,
restated, severed or otherwise modified.

            3.  LEASES.

                        (a) Mortgagor shall not enter into any lease, occupancy
agreement or license agreement with respect to the Mortgaged Property or
any part thereof, or any other agreement with respect to the Mortgaged Property
or any part thereof (other than a service contract that can be terminated
without penalty or premium on not more than 30 days notice to the other party to
such service contract) without the prior written consent of Mortgagee in each
instance; provided,

<PAGE>   2

however, that Lender shall not unreasonably withhold, delay or condition its
consent to any lease. Mortgagee shall enter into a subordination, nondisturbance
and attornment agreement ("SNDA") in the form attached hereto as Exhibit B with
any tenant under a lease that has been approved or been deemed approved by
Mortgagee in accordance with this Paragraph 3, and Mortgagee shall in good faith
consider requests made by any such tenant to make changes to such form (although
Mortgagee shall not be obligated to make such changes). In addition, in the case
of a Credit Lease (as hereinafter defined) only, the form of SNDA shall be
modified to give the tenant a right (so long as the tenant is not in default
under the lease beyond any applicable grace period) to offset against rent (i)
the amount of any contribution for tenant improvements which the landlord under
the lease is obligated to pay but does not pay when due and/or (ii) the
reasonable cost of any tenant improvements that the landlord under the lease is
obligated to perform that were performed by tenant after the landlord failed to
perform same when required under the lease and the expiration of any grace
period available to the landlord. Notwithstanding anything to the contrary
contained in the foregoing, Lender shall not be obligated to approve any lease
or negotiate or enter into any SNDA at any time that an Event of Default is
continuing or after Mortgagor has given a Borrower Notice (as such term is
defined in that certain Trigger Agreement dated the date hereof between
Guarantor and Lender). "Credit Lease" means a lease with an investment grade
rated tenant on market terms for a term of at least five years.

                        (b) The following procedure shall be followed regarding
lease approvals. Mortgagor may but shall not be required to submit to
Mortgagee and Mortgagee's Counsel (as hereinafter defined) a term sheet
summarizing the principal terms of the lease (together with, at Mortgagor's
option, a draft of the proposed lease), accompanied by a request (the "First
Request") for approval thereof and also accompanied by, to the extent that
Mortgagor was able to obtain them after having used reasonable efforts to do so,
the respective current financial statements of the lessee under such proposed
lease and the guarantor(s), if any, of such lessee's obligations thereunder. If
Mortgagee does not notify Mortgagor of its approval or disapproval of the term
sheet (and, if applicable, lease draft) within five Business Days after the term
sheet (and, if applicable, lease draft) and accompanying materials are received
by Mortgagee and Mortgagee's Counsel, Borrower may submit a second request (the
"Second Request") to Mortgagee and Mortgagee's Counsel which shall be identical
to the First Request. If Mortgagee does not notify Mortgagor of Mortgagee's
approval or disapproval of the term sheet (and, if applicable, lease draft)
within two Business Days after the Second Request is received by Mortgagee and
Mortgagee's Counsel, the term sheet (and, if applicable, the lease draft) shall
be deemed approved, provided the First Request and the Second Request each
contained the legend set forth in the last sentence of this Section. Mortgagor
shall also submit to Mortgagee and Mortgagee's' Counsel a request (also, a
"First Request") for approval of the lease itself, accompanied by (1) a copy of
the proposed lease, executed by the tenant, (2) any guaranty(ies) of said lease,
and (3) if the lease is based on Mortgagor's standard form, a copy of the lease
marked to show changes from the approved standard lease form, or, if a draft has
previously been submitted, a copy of the lease marked to show changes from such
draft. If Mortgagee does not notify Mortgagor of Mortgagee's approval or
disapproval of the lease within five Business Days after the lease and
accompanying materials are received by Mortgagee and Mortgagee's Counsel,
Mortgagor may submit a second request (also, a "Second Request") to Mortgagee
and its counsel which shall be identical to the First Request. If Mortgagee does
not notify Mortgagor of Mortgagee's approval or disapproval of the lease within
two Business Days after the Second

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Request is received by Mortgagee and Mortgagee's Counsel, the lease shall be
deemed approved, provided the First Request and the Second Request each
contained the legend set forth in the last sentence of this Section. Mortgagee
may not object to any lease term that was in a term sheet or draft lease that
was previously approved (or deemed approved) by Mortgagee. To the extent plans
(or schematic plans) are included in the documents constituting a lease,
Mortgagee and its construction consultant shall have the right to review the
same (at Mortgagor's expense) as part of the lease approval process and, if such
plans call for structural work, Landlord shall have an additional two (2)
Business Days to notify Tenant of its approval or disapproval thereof. All
requests made pursuant to this Paragraph 3 shall be made in accordance with the
notice provisions set forth in the Restated Note, with an additional copy to
Kaye, Scholer, Fierman, Hays & Handler, LLP, 425 Park Avenue, New York, New York
10022, Attention Louis J. Hait, Esq. ("Mortgagee's Counsel"). Each request for
approval of a lease, lease draft or term sheet pursuant to this Section shall
make specific reference to the provisions of this Section and shall expressly
state, in all capital letters on the first page thereof: "YOU ARE HEREBY
REMINDED THAT YOUR FAILURE TO PROVIDE NOTIFICATION OF APPROVAL OR DISAPPROVAL
NOT LATER THAN [for First Request: FIVE (5) BUSINESS DAYS][for Second Request:
TWO (2) BUSINESS DAYS or, in the case of a lease including structural plans,
FOUR (4) BUSINESS DAYS] AFTER YOUR RECEIPT OF THIS REQUEST, SHALL BE DEEMED TO
CONSTITUTE YOUR APPROVAL HEREOF."

                        (c) Notwithstanding anything to the contrary contained
in this Paragraph 3, (i) in no event shall Mortgagee have any obligation to
approve or consent to, and in no event shall Mortgagee be deemed to have
approved or consented to, any Lease that contains a purchase option, or a right
of first refusal or right of first offer, with respect to a sale of the
Mortgaged Property or any part thereof or interest therein, and (ii) in no event
shall a lease be deemed approved if the term sheet or draft lease with respect
thereto was disapproved and, notwithstanding anything to the contrary contained
in this Section, no lease or term sheet shall be deemed approved during the
existence of an Event of Default.

            4. CASH MANAGEMENT. Prior to entering into any lease, occupancy
agreement or license agreement with respect to the Mortgaged Property or any
part thereof, Mortgagor (i) shall open a trust account (the "CLEARING ACCOUNT ")
at a bank selected by Mortgagor and reasonably acceptable to Mortgagee (the
"CLEARING BANK ") and (ii) shall execute and deliver to Mortgagee, and shall
cause the Clearing Bank and any manager of the Mortgaged Property to execute and
deliver to Mortgagee, an agreement in the form of Exhibit C hereto (the
"CLEARING ACCOUNT AGREEMENT"). Mortgagor shall cause all Property Income to be
transmitted directly by all tenants, occupants and licensees of the Mortgaged
Property into the Clearing Account as more fully described in the Clearing
Account Agreement. Without in any way limiting the foregoing, all Property
Income received by Mortgagor or any manager of the Mortgaged Property shall be
deposited into the Clearing Account within one Business Day of receipt. Funds
deposited into the Clearing Account shall be swept by the Clearing Bank on a
daily basis into Mortgagor's operating account at the Clearing Bank, unless an
Event of Default is continuing, in which event such funds shall be swept on a
daily basis to a bank account designated and controlled by Mortgagee (the
"DEPOSIT ACCOUNT ") and applied to the Loan and/or Operating Expenses in such
order and manner as Mortgagee may elect in its sole and absolute discretion,
subject, however, to the provisions of Paragraph 2(d) of the Trigger Agreement.
The Deposit Account will be under

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the sole control and dominion of Mortgagee, and Mortgagor shall have no right of
withdrawal therefrom. Mortgagor shall pay for all expenses of opening and
maintaining all of the above accounts.

            5.  PRINCIPAL AMOUNT. As of the date hereof, the outstanding
principal amount secured by the Mortgage as amended hereby is $21,262,848.54.
The Mortgage as amended hereby does not secure any new or further principal
indebtedness other than the principal indebtedness secured by the Mortgage.

            6.  CONFLICTS.  In the event of any conflict between the terms of
this Amendment and the terms of the Mortgage, the terms of this Amendment shall
control.

            7.  FULL FORCE AND EFFECT. As amended hereby the Mortgage remains in
full force and effect. Mortgagor has no offsets, defenses or counterclaims with
respect to any of its obligations under the Mortgage as amended hereby, the
Restated Note or any of the other Loan Documents (including, without limitation,
the Assignment and the Assignment of Licenses, Permits and Approvals and
Contracts and Agreements and Equipment Leases).

            8.  NOTICES.  All notices given under this Amendment or the Mortgage
 shall be given in accordance with Section 9 of the Restated Note.

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<PAGE>   5

            IN WITNESS WHEREOF, each of the undersigned has duly executed or
caused this Agreement to be duly executed as of the day and year first above
written.

                                     ALEXANDER'S OF FORDHAM ROAD, INC.

                                     By: /s/ Irwin Goldberg
                                         ----------------------------

                                     BANC OF AMERICA COMMERCIAL FINANCE
                                     CORPORATION

                                     By: /s/ Leslie S. Brown
                                         ----------------------------
                                     Name: Leslie S. Brown
                                     Title: Vice President

                                       5
<PAGE>   6

STATE OF NEW YORK       )
                        )  ss.:
COUNTY OF NEW YORK      )

            On the ____ day of April, in the year 2000, before me, the
undersigned, personally appeared _________________, personally known to me or
proved to me on the basis of satisfactory evidence to be the individual(s) whose
name(s) is (are) subscribed to the within instrument and acknowledged to me that
he/she/they executed the same in his/her/their capacity(ies), and that by
his/her/their signature(s) on the instrument, the individual(s), or the person
upon behalf of which the individual(s) acted, executed the instrument.

---------------------------
Notary Public

STATE OF NEW YORK       )
                        )  ss.:
COUNTY OF NEW YORK      )

            On the ____ day of April, in the year 2000, before me, the
undersigned, personally appeared _________________, personally known to me or
proved to me on the basis of satisfactory evidence to be the individual(s) whose
name(s) is (are) subscribed to the within instrument and acknowledged to me that
he/she/they executed the same in his/her/their capacity(ies), and that by
his/her/their signature(s) on the instrument, the individual(s), or the person
upon behalf of which the individual(s) acted, executed the instrument.

---------------------------
Notary Public

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<PAGE>   7

                                    Exhibit A

                                Legal Description

                                       1
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                                    Exhibit B

                           CLEARING ACCOUNT AGREEMENT

                        CLEARING ACCOUNT AGREEMENT (the "AGREEMENT") dated as of
________, 1999 among ______________, having an address at ___________________
(the "CLEARING BANK"), ALEXANDER'S OF FORDHAM ROAD INC., a Delaware corporation,
having an office at Park 80 West, Plaza II, Saddle Brook, New Jersey 07663
("BORROWER") and BANC OF AMERICA COMMERCIAL FINANCE CORPORATION, having an
address at 187 Danbury Road, Wilton Connecticut 06897 (together with its
successors and assigns, "LENDER").

                              W I T N E S S E T H:

RECITALS:

a) Pursuant to certain loan documents (collectively, the "LOAN DOCUMENTS"),
between Lender and Borrower, Lender has made a loan to Borrower secured by a
mortgage (the "MORTGAGE"), on certain real property owned by Borrower and known
as 2501-2511 Grand Concourse and 2519-2525 Creston Avenue in Bronx, New York
(the "PROPERTY");
b)
c) [Borrower and _________________ (the "MANAGER") are parties to a management
agreement with respect to the Property pursuant to which the Manager has agreed
to manage the Property;]
d)
e) The Loan Documents provide that all Rents (as defined in Section 13) shall be
sent directly to a financial institution reasonably acceptable to Lender for
deposit into an account designated and established by Lender or its designee;
and
f)
g) Lender and Borrower desire to retain the Clearing Bank to provide the
services described herein.
h)
i) NOW THEREFORE, in consideration of the mutual promises contained herein and
for other good and valuable consideration, the sufficiency of which is hereby
acknowledged, the parties hereto agree as follows:
j)

2.  DUTIES OF THE CLEARING BANK.

       a.           The Clearing Bank shall receive and process any deposits
              presented by Borrower, the Manager or any of their respective
              agents pursuant to Section 4 in accordance with the terms of this
              Agreement. The Clearing Bank shall also receive and process all
              Rents sent directly to the Clearing Bank by tenants at the
              Property. The receipts described in this paragraph (a) are
              collectively referred to herein as the "RECEIPTS." The Clearing
              Bank shall establish and maintain a collection account for the
              Property (the "CLEARING ACCOUNT"), into which the
<PAGE>   9

              Clearing Bank shall deposit all Receipts received by it with
              respect to the Property. The Clearing Account shall be entitled
              as follows:

<TABLE>
<S>                                     <C>
                 Name:                  Banc of America Commercial Finance Corporation,
                                        as mortgagee of Alexander's of Fordham Road, Inc.

                                        ----------------------
                 Account No.:
                                        ----------------------
                 ABA No.:
                                        ----------------------

</TABLE>

               The Clearing Bank shall maintain a microfilm or other record of
               each Receipt which is processed by the Clearing Bank for a period
               of one year from the date of processing.

               a.          Items deposited with the Clearing Bank which are
                     returned for insufficient or uncollected funds will be
                     re-deposited the first time. Items returned unpaid the
                     second time for whatever reason shall be debited to the
                     Clearing Account under advice and returned to Borrower.
                     Borrower shall be liable to the Clearing Bank for the
                     amount of any exchange or collection charges incurred by
                     the Clearing Bank. Return item fees will be charged
                     directly to the Clearing Account. The Clearing Bank shall
                     send a monthly report to Borrower and Lender, which monthly
                     report shall specify the amount deposited into the Clearing
                     Account with respect to the Property for the previous
                     month.

               a.          During any period other than a Cash Management Period
                     (as defined in Section 13), the Clearing Bank shall, on a
                     daily basis, transfer funds from time to time on deposit in
                     the Clearing Account to the operating account of Borrower
                     at the Clearing Bank (Account No. _____) or as Borrower may
                     otherwise direct by written notice to the Clearing Bank.

               a.          During a Cash Management Period, however, the
                     Clearing Bank shall disburse all amounts that are then in
                     the Clearing Account by wire transfer (or transfer via the
                     ACH system) of immediately available funds on a daily basis
                     to the Deposit Account at the Deposit Bank (as defined in
                     Section 13). Borrower hereby irrevocably instructs and
                     authorizes the Clearing Bank to make transfers into the
                     Deposit Account in accordance with this Section 1(d). The
                     foregoing instructions are irrevocable and not subject to
                     modification in any manner, except that Lender, its
                     designee or its successor as servicer may, by written
                     notice to the Clearing Bank amend or rescind such
                     instructions. Simultaneously with any transfer to the
                     Deposit Bank pursuant to this Section 1(d), the Clearing
                     Bank shall send to the Deposit Bank, Lender and Borrower,
                     via telecopy, a notice of wire transfer or ACH system
                     advice setting forth the amount transferred.

1.          FEES.    To compensate the Clearing Bank for performing the
            herein-described services, Borrower agrees to pay the fees owed to
            the Clearing Bank. The Clearing Bank shall debit the Clearing
            Account under advice on a monthly basis or shall include its fees
            in an account analysis statement, in accordance with the
            particular arrangements between the Clearing Bank and Borrower.
<PAGE>   10

1.          TERMINATION.

            a.       The Clearing Bank may resign from obligations under this
                     Agreement at any time after 30 days' prior written notice
                     to the other parties hereto, but in no event shall the
                     Clearing Bank be released of its obligations hereunder
                     unless and until a substitute bank has been designated and
                     assumed its respective obligations hereunder. With respect
                     to the appointment of a successor to the Clearing Bank,
                     Borrower and Lender shall use reasonable efforts to
                     designate such a bank promptly after receipt of notice of
                     resignation by the Clearing Bank and shall take all
                     reasonable actions necessary to cause such designated
                     successor promptly to assume the obligations of the
                     Clearing Bank hereunder.

            a.       Lender may terminate this Agreement at any time upon 30
                     days' prior written notice to the other parties hereto.

            a.       Borrower may not unilaterally terminate this Agreement
                     or close the Clearing Account established hereunder and
                     the Clearing Bank shall not comply with any request from
                     Borrower to close the Clearing Account.

1.          MATTERS CONCERNING BORROWER AND MANAGER. Borrower and the Manager
            hereby agree to deposit with the Clearing Bank within one Business
            Day of receipt, all Rents received by Borrower or the Manager,
            respectively, with respect to the Property. Concurrently with the
            execution and delivery hereof, Borrower shall deliver a notice in
            the form of Exhibit A to each existing tenant at the Property
            directing them to remit their rent checks directly to the Clearing
            Bank, and shall also deliver such a notice to each future tenant
            at the Property.

1.          INDEMNIFICATION. The Clearing Bank shall not be liable for any
            claims, suits, actions, costs, damages, liabilities or expenses or
            for any interruption of services, or incidental, consequential,
            special or punitive damages ("LIABILITIES") in connection with the
            subject matter of this Agreement other than Liabilities caused by
            the negligence or willful misconduct of the Clearing Bank, and
            Borrower hereby agrees to indemnify and hold harmless the Clearing
            Bank and the directors, officers, employees and agents of the
            Clearing Bank and the successors and assigns of the Clearing Bank
            from and against any and all Liabilities arising from or in
            connection with any acts or omissions taken by the Clearing Bank
            or any director, officer, employee or agent of any of them, as
            applicable, in connection with this Agreement, other than those
            Liabilities caused by the negligence or willful misconduct of the
            Clearing Bank.

1.          LENDER'S RIGHTS IN CLEARING ACCOUNT.

            a.          Borrower hereby pledges, transfers and assigns to
                     Lender, and grants to Lender, as additional security for
                     Borrower's obligations under the Loan Documents, a
                     continuing perfected security interest in and to, and a
                     general first lien upon, all of Borrower's right, title and
                     interest in and to (i) the Clearing
<PAGE>   11

                     Account and all cash, property or rights transferred to or
                     deposited in the Clearing Account from time to time, (ii)
                     all earnings, investments and securities held in the
                     Clearing Account, and (iii) any and all proceeds of the
                     foregoing. Borrower further agrees to execute, acknowledge,
                     deliver, file or do, at its sole cost and expense, all
                     other acts, assignments, notices, agreements or other
                     instruments as Lender may reasonably require in order to
                     effectuate, assure, secure, assign, transfer and convey
                     unto Lender any of the rights granted by this Section.

            a.          Borrower and Lender hereby notify the Clearing Bank of
                     the grant by Borrower to Lender of a security interest in
                     the Clearing Account and all of the Borrower's right, title
                     and interest in and to all cash, property and rights
                     transferred or deposited in the Clearing Account. In
                     addition, the Clearing Bank and Borrower each acknowledge
                     and agree that the Clearing Account maintained hereunder is
                     subject to the sole dominion, control and discretion of
                     Lender and its authorized agents or designees, and Borrower
                     shall have no right to close any such account or right of
                     withdrawal with respect to any such account, except as
                     expressly permitted under the Loan Documents, except with
                     the prior written consent of Lender. Borrower shall be
                     entitled to request and receive any information about the
                     Clearing Account that it shall reasonably request from time
                     to time. The Clearing Bank waives any right to offset any
                     claim against Borrower which it might have against the
                     Clearing Account maintained hereunder; provided, however,
                     that the Clearing Bank retains the right to charge the
                     Clearing Account for (i) any of the Clearing Bank's
                     charges, fees and expenses provided for herein for which
                     Borrower is responsible and (ii) all items deposited in and
                     credited to such account and subsequently returned unpaid
                     or with respect to which the Clearing Bank fails to receive
                     final settlement.

1.          SUCCESSORS  AND ASSIGNS; ASSIGNMENTS. This Agreement shall bind and
       inure to the benefit of and be enforceable by the Clearing Bank, Borrower
       and Lender and their respective successors and assigns. Lender shall have
       the right to assign or transfer its rights under this Agreement without
       limitation. Any assignee or transferee shall be entitled to all the
       benefits afforded Lender under this Agreement; provided, however, that
       such assignee or transferee shall have delivered to the other parties
       hereto written confirmation that such assignee or transferee agrees to be
       bound by the terms of this Agreement and is also the assignee or
       transferee (or agent thereof) of the note secured by the Mortgage.

1.          AMENDMENTS; OTHER AGREEMENTS. This Agreement may be further amended
       from time to time in writing by all parties hereto. This Agreement is
       supplemented by the terms of the Clearing Bank's deposit account
       agreement with Borrower, and to the extent the terms of such agreement
       conflict with this Agreement, the specific terms of this Agreement shall
       control.

1.     NOTICES.  Notices to the Clearing Bank should be sent to the address
       first above written or by telecopy to ___________, Attention:
       _______________; notices to Borrower should be sent to the address first
       above written or by telecopy to ________________, Attention:

<PAGE>   12

       _____________; and notices to Lender should be sent to the address first
       above written or by telecopy to (203) 423-4003, Attention: Real Estate
       Administration (Attn: James Kaufman); or, in each case, to such other
       address as shall be designated in writing by the respective party to the
       other parties hereto. Unless otherwise expressly provided herein, all
       such notices, to be effective, shall be in writing (including by
       facsimile), and shall be deemed to have been duly given or made (a) when
       delivered by hand or by nationally recognized overnight carrier, (b) upon
       receipt after being deposited in the mail, certified mail and postage
       prepaid or (c) in the case of facsimile notice, when sent and
       electronically confirmed, addressed as set forth above.

1.     GOVERNING LAW AND VENUE. This Agreement shall be governed by, and
       construed in accordance with, the laws of the State of New York (without
       regard to conflicts of laws principles applied in New York). Borrower
       hereby submits to the nonexclusive jurisdiction of the state and federal
       courts of the State of New York for the purposes of all legal proceedings
       arising out of or relating to this Agreement or the transactions
       contemplated hereby. Borrower irrevocably waives, to the fullest extent
       permitted by law, any objection which it may now or hereafter have to the
       laying of the venue of any such proceeding brought in such a court and
       any claim that any such proceeding brought in such a court has been
       brought in an inconvenient forum.

1.     CERTAIN MATTERS AFFECTING THE CLEARING BANK. The Clearing Bank may rely
       and shall be protected in acting or refraining from acting upon any
       notice (including but not limited to electronically confirmed facsimiles
       of such notice) believed by it to be genuine and to have been signed or
       presented by the proper party or parties. The duties and obligations of
       the Clearing Bank set forth in this Agreement shall be determined solely
       by the express provisions of this Agreement, the Clearing Bank shall not
       be liable except for the performance of such party's duties and
       obligations as are specifically set forth in this Agreement, and no
       implied covenants or obligations shall be read into this Agreement
       against the Clearing Bank.

1.     INTERPLEADER. If at any time the Clearing Bank, in good faith, is in
       doubt as to the action it should take under this Agreement, the Clearing
       Bank shall have the right to commence an interpleader action in the
       United States District Court for the State of New York and to take no
       further action except in accordance with joint instructions from Lender
       and Borrower or in accordance with the final order of the court in such
       action.

1.     DEFINED TERMS.  As used herein the following capitalized terms shall have
       the respective meanings set forth below:

       a.   "BUSINESS DAY" shall mean any day other than a Saturday, Sunday or
            any day on which commercial banks in New York, New York are
            authorized or required to close.

       a.          "CASH MANAGEMENT PERIOD" shall mean each period
            commencing upon the giving by Lender or its designee to the
            Clearing Bank of a notice stating either that an "Event of Default
            exists under the Loan Documents" or that "Borrower
<PAGE>   13
            has delivered a Borrower Notice" and terminating upon the giving by
            Lender or its designee to the Clearing Bank of a notice stating that
            the Cash Management Period has ended. The Clearing Bank shall have
            no duty, obligation or right to inquire into the truth or accuracy
            of any such notice from Lender and Borrower hereby irrevocably
            directs and authorizes Clearing Bank to comply with any notice
            received from Lender.

       a.          "DEPOSIT ACCOUNT" shall mean the bank account as shall have

            at the time in question most recently been designated as such in a
            written notice from Lender to the Clearing Bank.

       a.          "DEPOSIT BANK" shall mean the bank at which the Deposit
            Account is located.

       a.          "RENTS" shall mean all rents, rent equivalents, moneys
            payable as damages (including payments by reason of a rejection of
            a lease in a bankruptcy proceeding) or in lieu of rent or rent
            equivalents, royalties (including, without limitation, all oil and
            gas or other mineral royalties and bonuses), income, fees,
            receivables, receipts, revenues, deposits (including, without
            limitation, security, utility and other deposits), accounts, cash,
            issues, profits, charges for services rendered, and other payment
            and consideration of whatever form or nature received by or paid
            to or for the account of or benefit of Borrower, Manager or its
            agents or employees from any and all sources arising from or
            attributable to the Property and the improvements thereon,
            including, without limitation, all receivables, customer
            obligations, installment payment obligations and other obligations
            now existing or hereafter arising or created out of the sale,
            lease, sublease, license, concession or other grant of the right
            of the use and occupancy of the Property or rendering of services
            by Borrower, Manager or any of their agents or employees and
            proceeds, if any, from business interruption or other loss of
            income insurance.

                  [The rest of this page is left blank intentionally]
<PAGE>   14

            IN WITNESS WHEREOF, the parties hereto have executed this Agreement
in several counterparts (each of which shall be deemed an original) as from the
date first above written.

                                               [CLEARING BANK]

                                               By:
                                                           -------
                                                           Name:
                                                           Title:

                                               ALEXANDER'S OF FORDHAM ROAD, INC.

                                               By:                 ,
                                                           -------

                                               BANC OF AMERICA COMMERCIAL
                                               FINANCE CORPORATION

                                               By:
                                                           -------
                                                           Name:
                                                           Title:

The Manager hereby agrees to the
provisions of Section 4 hereof

---------------------------------

By:
            ---------------------
            Name:
            Title:

<PAGE>   15

                                    EXHIBIT A

                            FORM OF NOTICE TO TENANTS

                          [BORROWER'S NAME AND ADDRESS]

                                          , 1999
                               -----------

CERTIFIED MAIL
RETURN RECEIPT REQUESTED

[Name and Address of Tenant]

                        Re:         Lease of Space at
                                                      -------------------------
                                              ,               (the "Building")
                                     -----------------------------------------
Ladies and Gentlemen:

                        The undersigned is the owner of the Building and the
landlord under your lease of space in the Building (your "Lease").

                        By this letter, you are hereby directed (1) to make all
checks, in payment of rent and other sums due to the landlord under your
Lease, payable to the order of "Alexander's of Fordham Road, Inc. for the
benefit of Banc of America Commercial Finance Corporation, as mortgagee, Account
No. ____________" , and (2) to deliver such checks or otherwise make such
payments to the following address:

                       [Name and Address of Clearing Bank]

                        The foregoing direction is irrevocable, except with the
written consent of our mortgagee, Banc of America Commercial Finance
Corporation (or its successors or assigns), notwithstanding any future contrary
request or direction from the undersigned or any other person (other than Banc
of America Commercial Finance Corporation (or its successors or assigns)). Thank
you for your cooperation.

                                   Very truly yours,

                                   [BORROWER]

                                   By:
                                               ------------------------------
                                               Name:
                                               Title:<PAGE>   1
                                                            Exhibit 10(i)(J)(2)

                 AMENDED AND RESTATED PROMISSORY NOTE (SECURED)

                  $21,262,848.54         As of February 24, 2000

         FOR VALUE RECEIVED, the undersigned, ALEXANDER'S OF FORDHAM ROAD, INC.,
a Delaware Corporation, with an office at Park 80 West, Plaza II, Saddle Brook,
New Jersey 07663 ("Borrower"), promises to pay to the order of BANC OF AMERICA
COMMERCIAL FINANCE CORPORATION, a Delaware corporation with a principal place of
business at 187 Danbury Road, Wilton, Connecticut 06897 ("Lender"), to the
account set forth in Section 2.e below, or at such other place as Lender may
from time to time direct, the principal sum of TWENTY-ONE MILLION TWO HUNDRED
SIXTY TWO THOUSAND EIGHT HUNDRED FORTY EIGHT AND 54/100 DOLLARS
($21,262,848.54), on or before the Maturity Date (as hereinafter defined),
together with interest thereon, all as hereinafter provided. Interest shall be
computed and accrue on the principal amount hereof from time to time outstanding
from the date hereof through and including the Maturity Date at a rate per annum
equal to the Interest Rate (as hereinafter defined).

1.       Definitions. In addition to terms defined elsewhere in this Note, the
following terms shall have the following definitions:
2.
3.                "Accrued Interest" shall have the meaning given such term in
Section 2(b) of this Note.
4.
5.                "Advance" shall have the meaning given such term in the
Mortgage.
6.
7.                "Base Rate" shall mean the LIBOR Rate plus the Spread. or, if
the LIBOR Rate is not available to the Lender, the Substitute Rate.
8.
9.                "Business Day" shall mean any day other than a Saturday,
Sunday or legal holiday on which commercial banks are authorized or required to
be closed in Illinois, New York or Connecticut.
10.
11.               "Commercial Paper Rate" shall mean, for each Loan Month, the
highest discount rate reported as having been the rate in effect for "high-grade
unsecured notes" having thirty (30) day maturities "sold through dealers by
major corporations in multiples of $1,000" (whether or not such notes have
actually been sold by such dealers at such rates) in the "Money Rates" column of
The Wall Street Journal (the "Published Rate") published on the first day of the
applicable Loan Month, or, if the Published Rate is not published on the first
day of the applicable Loan Month, on the immediately preceding Publication Date.
If The Wall Street Journal (i) publishes more than one Published Rate on any
Publication Date, the higher of such rates shall apply, or (ii) publishes a
retraction or correction of any Published Rate, the corrected rate reported in
such retraction or correction shall apply. If the Published Rate is no longer
published at least monthly, the Base Rate shall be deemed to be the Substitute
Rate.
12.
<PAGE>   2

13.               "Conditional Payment Guaranty" means that certain Conditional
Payment Guaranty made by Guarantor to Greyrock Capital Group Inc. (Lender's
former name) as amended by that certain Ratification of and Amendment to
Conditional Payment Guaranty dated as of February 24, 2000.
14.
15.               "Cumulative Net Cash Flow Amount" shall mean, as of the close
of any Loan Month, the amount, which may be a positive or a negative number, by
which (i) the sum of the Monthly Cash Flow Amount for such Loan Month and for
all prior Loan Months occurring since the date hereof, exceeds (ii) all Net Cash
Flow Payments made to Lender with respect to prior Loan Months since the date
hereof. Notwithstanding the foregoing, for purposes of this definition, the
calendar year for 2000 shall be deemed to commence on April 1, 2000 (such that
Monthly Cash Flow Amounts for the first three months of 2000 shall be ignored).
A hypothetical example of the calculation of Cumulative Net Cash Flow Amount is
set forth on Exhibit A hereto.
16.
17.               "Default Rate" shall mean a rate per annum equal to the lesser
of (i) five percent (5%) per annum plus the Base Rate, and (ii) the Maximum
Rate.
18.
19.               "Dollars" and the symbol "$" shall mean lawful money of the
United States of America.
20.
21.               "Environmental Indemnity" means that certain Hazardous
Materials Indemnity Agreement dated as of February 24, 1995 made by Borrower and
Guarantor to Greyrock Capital Group Inc. (Lender's former name) as amended by
that certain Ratification of and Amendment to Hazardous Materials Indemnity
Agreement dated as of February 24, 2000.
22.
23.               "Event of Default" shall have the meaning given such term in
the Mortgage.
24.
25.               "Gross Revenues" for any Loan Month shall mean all rents,
revenues and other payments actually received by or for the benefit of Borrower
during such Loan Month in cash, current funds or other consideration from any
source whatsoever in connection with the Mortgaged Property and/or Borrower's
ownership, operation or management thereof, including, without limitation, all
payments made by tenants or other occupants of the Mortgaged Property during
such Loan Month.
26.
27.               "Incipient Default" shall mean any event or condition which
with the giving of notice or passage of time, or both, would constitute an Event
of Default.
28.
29.               "Interest Rate" shall mean the lesser of (i) the Maximum Rate,
and (ii) the Base Rate or the Default Rate, as applicable, from time to time in
effect hereunder.
30.
31.               "LIBOR Rate" shall mean, for each Loan Month, the 30-day
London Interbank Offered Rate (LIBOR) published in The Wall Street Journal (the
"Reported Rate") on the first day of the applicable Loan Month or, if the
Reported Rate is not published on the first

<PAGE>   3

day of the applicable Loan Month, on the immediately preceding Publication Date.
If The Wall Street Journal (i) publishes more than one Reported Rate on any
Publication Date, the higher or highest of such rates shall apply, or (ii)
publishes a retraction or correction of any Reported Rate, the corrected rate
reported in such retraction or correction shall apply. If the Reported Rate is
no longer published at least monthly, the Base Rate shall be deemed to be the
Substitute Rate.
32.
33.               "Limited Guaranty" means that certain Guaranty and Indemnity
Agreement made by Guarantor to Greyrock Capital Group Inc. (Lender's former
name) as amended by that certain Ratification of and Amendment to Limited
Guaranty dated as of February 24, 2000.
34.
35.
36.               "Loan" shall mean the loan from Lender to Borrower evidenced
by this Note.
37.
38.               "Loan Documents" shall have the meaning given such term in the
Mortgage.
39.
40.               "Loan Month" shall mean February 2000 and each full or partial
calendar month thereafter occurring during the term of this Note.
41.
42.               "Maturity Date" shall mean the earlier to occur of: (i) the
third anniversary of the Restructure Date; or (ii) the date on which the entire
principal amount evidenced by this Note and all accrued and unpaid interest
thereon shall be paid or be required to be paid in full, whether by prepayment,
acceleration or otherwise in accordance with the terms of this Note or any of
the Loan Documents.
43.
44.               "Maximum Rate" shall mean the maximum interest rate allowed by
applicable law in effect with respect to the Loan on the date for which a
determination of interest accrued hereunder is made and after taking into
account all fees, payments and other charges which are, under applicable law,
characterized as interest.
45.
46.               "Minimum Pay Rate" shall mean the LIBOR Rate or, if the LIBOR
Rate is not available to Lender, the Commercial Paper Rate or, if neither the
LIBOR Rate nor the Commercial Paper Rate is available to Lender, the Prime Rate
less one and seventy-five hundredths of one percent (1.75%).
47.
48.               "Monthly Cash Flow Amount" shall mean, for any Loan Month, the
result obtained (which result may be a negative or a positive number) by
subtracting the Operating Expenses for such Loan Month from the Gross Revenue
for such Loan Month.
49.
50.               "Mortgage" shall mean that certain Mortgage and Security
Agreement dated as of February 24, 1995 made by Alexander's, Inc. to Lender (and
assumed by Borrower pursuant to that certain Assignment, Assumption and Release
Agreement dated as of February 24, 1995 among Borrower, Alexander's, Inc. and
Lender), as amended and restated by that

<PAGE>   4

certain First Amendment of Mortgage and Security Agreement dated as of the date
hereof between Borrower and Lender.
51.
52.               "Mortgaged Property" shall have the meaning set forth in
Article I of the Mortgage.
53.
54.               "Net Cash Flow Payment" shall mean, with respect to any Loan
Month, 100% of the positive Cumulative Net Cash Flow Amount as of the close of
such Loan Month. Net Cash Flow Payments for each Loan Month shall be calculated
by Lender based upon Lender's review of Borrower's monthly financial statements
provided to Lender pursuant to Section 2.16 of the Mortgage, together with such
other information as Lender may reasonably request
55.
                  "Operating Expenses" shall mean the reasonably necessary and
customary costs and expenses incurred and actually paid by Borrower in
connection with its ownership, operation and management of the Mortgaged
Property, specifically including in Operating Expenses (i) all customary
maintenance and upkeep expenses, leasing expenses, real estate taxes and legal
fees, (ii) payments actually made by Borrower to fund reasonable reserves for
operating expenses payable on other than a monthly basis (e.g., a reasonable
reserve for real estate taxes where Lender is not requiring an escrow), and (ii)
all principal, interest and all other payments made under the Loan Documents and
actually received by Lender (excluding payments made pursuant to Section 4 of
this Note); specifically excluding from Operating Expenses, however (x) all
income and franchise taxes payable by Borrower, (y) all capital expenditures
incurred by Borrower (other than capital expenditures that are required to be
incurred pursuant to leases that have been approved in writing by Lender or that
have been specifically approved in writing or deemed approved by Lender, and
Lender agrees to approve any capital expenditures required in order for Borrower
not to be in default under the Loan Documents), and (z) depreciation and all
other non-cash expenses of the Mortgaged Property.

                  "Publication Date" shall mean any date on which the Commercial
Paper Rate and/or the LIBOR Rate, as applicable, is published in The Wall Street
Journal.

                  "Prepayment Notice" shall have the meaning given such term in
Section 6 of this Note.

                  "Prime Rate" shall mean the rate per annum announced by
Citibank, N.A. as its prime or base rate from time to time and in effect on the
first day of each Loan Month or, if such rate is not available, such other rate
announced by a New York City based money center bank selected by Lender as its
prime or base rate.

                  "Property Income" shall have the meaning set forth in Article
I of the Mortgage.

                  "Restructure Date" is defined in Section 8(d) below.

<PAGE>   5

                  "Spread" shall mean (i) from the Restructure Date to and
including the day immediately preceding the second anniversary of the
Restructure Date: one and fifty one hundredths percent (1.50%) per annum; and
(ii) from and after the second anniversary of the Restructure Date: one and
seventy-five one hundredths percent (1.75%) per annum.

                  "Substitute Rate" shall mean the Commercial Paper Rate plus
the Spread; provided, however, if the Commercial Paper Rate is not available to
Lender, the Substitute Rate shall be deemed to be (i) from the Restructure Date
to and including the day immediately preceding the second anniversary of the
Restructure Date: the Prime Rate less twenty-five one hundredths percent (0.25%)
per annum; and (ii) from and after the second anniversary of the Restructure
Date: the Prime Rate.

                  "Trigger Agreement" means that certain Trigger Agreement dated
as of February 24, 2000 between Guarantor and Lender.

1.  Interest; Payment of Interest and Principal.
2.
(a)      Interest shall accrue on the outstanding principal amount of this Note
at the Interest Rate.
(b)
(c)      Commencing on the fifth day of the second Loan Month and on the fifth
day of each Loan Month thereafter, Borrower shall pay to Lender interest at the
Minimum Pay Rate, on the principal amount hereof then outstanding, through the
last day of the immediately preceding Loan Month. All interest accruing in
respect of the principal amount of this Note pursuant to Section 2(a) above
(i.e., at the Interest Rate) in excess of the Minimum Pay Rate ("Accrued
Interest") shall, to the extent not paid, be deferred and shall be due and
payable on the Maturity Date. Borrower acknowledges that the payment of monthly
installments of interest at the Minimum Pay Rate will not be sufficient to pay
all interest accruing on this Note on a current basis and that, as a result,
each month a portion of the interest accruing on the principal balance of this
Note will not be paid, and the amount required to be paid by Borrower on the
Maturity Date in order to pay the Loan in full will be substantially greater
than the principal amount of this Note.
(d)
(e)      In addition to the payments required under Subsection 2(b) above, on
the fifth day of each Loan Month, Borrower shall pay the Net Cash Flow Payments
to Lender in accordance with Section 4 below.
(f)
(g)      The entire outstanding principal amount of the Loan, and all accrued
and unpaid interest thereon (including all Accrued Interest and interest accrued
thereon), shall be due and payable on the Maturity Date.
(h)
<PAGE>   6

(i)      All payments hereunder shall be made by wire transfer of immediately
available federal funds without set-off or counterclaim and shall be made to the
following account of Lender prior to 1:30 p.m., Eastern Standard Time, on the
date due:
(j)
(k)      BANC ONE
(l)      CHICAGO, ILLINOIS
(m)      ABA #071000013
(n)      ACCOUNT NUMBER:  #52-56933
(o)      ACCOUNT NAME: BANC OF AMERICA COMMERCIAL FINANCE CORPORATION
(p)      REFERENCE:  ALEXANDER'S
(q)
(r)Whenever any payment to be made hereunder shall be stated to be due on a date
other than a Business Day, such payment may be made on the next succeeding
Business Day, and such extension of time shall be included in the calculation of
interest on such principal. Any payments received after 1:30 p.m., Eastern
Standard Time shall be deemed received on the next Business Day and shall
include interest to such next Business Day.
(s)
(t)      All interest required to be paid by Borrower hereunder shall be
calculated on the basis of a year consisting of 360 days and shall be paid in
arrears for the actual number of days elapsed, calculated as to each Advance
from and including the date the applicable period commences to, and including,
the date such period ends.
(u)
(v)      If any regular monthly installment of interest shall not be paid at the
place required under this Note on or before the fifth (5th) day following the
due date thereof, Borrower shall pay to Lender a late charge (the "Late Charge")
of five cents ($0.05) for each Dollar so overdue in order to compensate Lender
for its frustration in the meeting of its financial and loan commitments and to
defray part of Lender's expenses incident to handling such delinquent payments.
This charge shall be in addition to any other remedy Lender may have and is in
addition to Lender's right to collect reasonable fees and charges of any agents
or attorneys which Lender employs in connection with any Event of Default. To
the extent that any Late Charge shall constitute interest under applicable law,
the amount thereof, together with all other interest hereunder and under the
Loan Documents, shall be expressly limited to the Maximum Rate. Nothing herein
contained shall be deemed to constitute a waiver or modification of the due date
for such installments or for any deposits required to be made hereunder or under
any of the Loan Documents or the requirement that Borrower make all payments of
installments and deposits as and when the same are due and payable. Borrower
shall pay to Lender interest at the Default Rate on (i) any regular monthly
installment of interest and/or any payment required to be made under Subsection
2(c) of this Note which is not paid on or before the fifth (5th) day following
the due date thereof, and (ii) any other amounts owed or payable to Lender
hereunder or under any Loan Document which are not paid on or before the tenth
(10th) day following the due date thereof; such interest at the Default Rate
shall be calculated from the date the payment in question became due to the date
such payment was made.
(w)
(x)      If at any time the Base Rate exceeds the Maximum Rate and the Interest
Rate is reduced to the Maximum Rate, any subsequent reductions in the Base Rate
to a level which is

<PAGE>   7

less than the Maximum Rate shall not reduce the Interest Rate below the Maximum
Rate unless and until the total amount of the interest accrued and actually paid
on this Note equals the amount of interest which would have been paid or accrued
if the Interest Rate had at all times been equal to the Base Rate.
(y)
(z)      All agreements between Borrower and Lender, whether now existing or
hereafter arising and whether written or oral, are hereby expressly limited so
that in no contingency or event, whether by reason of acceleration of the
maturity of this Note or otherwise, shall the amount paid or agreed to be paid
to Lender for the use, forbearance, or detention of the money loaned under this
Note or otherwise or for the payment or performance of any covenant or
obligation contained herein or in any other document evidencing, securing or
pertaining to the Loan, to the extent any of the foregoing payments are
characterized or deemed to be of the nature of "interest" under applicable law,
exceed the Maximum Rate. If from any circumstances whatsoever fulfillment of any
provision hereof or any of such other agreements shall cause such amount paid to
exceed the Maximum Rate, then ipso facto, the amount paid to Lender shall be
reduced to the Maximum Rate, and if from any such circumstances Lender shall
ever receive interest which exceeds the Maximum Rate, such amount which would be
excessive interest shall be applied to the reduction of the principal of this
Note and not to the payment of interest, or if such excessive interest exceeds
the unpaid balance of principal of this Note, such excess shall be refunded to
Borrower. All sums paid or agreed to be paid to Lender for the use, forbearance
or detention of the indebtedness of Borrower to Lender shall, to the extent
permitted by applicable law, (i) be amortized, prorated, allocated and spread
throughout the full term of such indebtedness until payment in full, so that the
actual rate of interest on account of such indebtedness does not exceed the
Maximum Rate throughout the term thereof; (ii) be characterized as a fee,
expense, charge or damage other than interest; and (iii) be computed without
regard to the effects of any voluntary prepayments. The terms and provisions of
this Subsection 2(i) shall control and supersede every other provision of all
agreements between Lender and Borrower.
(aa)
(bb)     Except as otherwise expressly provided in this Note or in the Mortgage,
each payment received by Lender shall be applied by Lender to amounts
outstanding under the Loan Documents in such order and priority as Lender may
elect in its sole and absolute discretion; provided, however, that if at the
time of any payment there is due and payable any portion of the principal
balance of this Note and sums not constituting repayment of principal, then such
payment shall first be allocated to sums not constituting repayment of principal
(in such order of priority as among the various obligations constituting such
sums as Lender may elect in its sole and absolute discretion) before Lender
applies such payments to reduction of the outstanding principal balance of this
Note.
(cc)
3.  Loan Proceeds. The proceeds of the Loan have been advanced in full to
Borrower prior to the date hereof.
4.
5.  Net Cash Flow Payments.
<PAGE>   8

(a)      On the fifth day of each Loan Month (each such date, an "NCF Payment
Date"), Borrower shall pay to Lender the Net Cash Flow Payment with respect to
the immediately preceding Loan Month. On each NCF Payment Date Borrower shall
make its required Net Cash Flow Payment simultaneously with the payment of
interest due on such NCF Payment Date pursuant to Subsection 2(b) of this Note.
So long as no Event of Default exists, Lender shall apply all Net Cash Flow
Payments received by Lender first to pay any unpaid Accrued Interest and then to
reduce the outstanding principal balance of the Loan. Upon the occurrence and
during the continuation of an Event of Default, Lender may apply the Net Cash
Flow Payments in accordance with Subsection 2(j) of this Note. In no event shall
Lender be obligated to return any Net Cash Flow Payment to Borrower (even if,
following the making of any Net Cash Flow Payment, the Cumulative Net Cash Flow
Amount becomes negative).
(b)
(c)      For purposes of calculating and making the Net Cash Flow Payment due on
the fifth day of a Loan Month, Borrower shall base such calculation upon
Borrower's unaudited, internally generated financial statements, which Borrower
hereby covenants will be substantially true, correct and accurate at the time
delivered to Lender. Following Lender's receipt of Borrower's audited financial
statements (as required under Section 2.16 of the Mortgage), Lender shall
recalculate the Net Cash Flow Payments based upon said audited financial
statements. Any shortage in the aggregate Net Cash Flow Payments shall be paid
to Lender by Borrower within five (5) days after written demand therefor from
Lender to Borrower. Any overage in the aggregate Net Cash Flow Payments shall be
credited by Lender to the Net Cash Flow Payment next coming due.
(d)
2.  [Intentionally Left Blank].
3.
4.  Prepayment. The Loan may be prepaid, in whole or in part, at any time during
the term hereof, without penalty or premium, provided that Borrower has given
Lender ten (10) days' prior written notice of the proposed prepayment (the
"Prepayment Notice").
5.
6.  Default. In the event Borrower fails to pay when due any installment of
interest under this Note or any payment required to be made under Subsection
2(c) of this Note and such failure continues for five (5) days following the
giving of notice by Lender to Borrower of such failure, or upon the occurrence
and during the continuation of any other Event of Default (as defined in the
Mortgage or any other Loan Document), the principal amount of the Loan, together
with all accrued interest thereon (including all Accrued Interest and all
interest accrued thereon) and all amounts due and payable hereunder shall
immediately become due and payable upon written demand therefor. If this Note,
or any part hereof, is not paid when due, whether by acceleration or otherwise,
Borrower promises to pay all costs of collection, including, but not limited to,
reasonable attorneys' fees and disbursements, incurred by the holder hereof on
account of such collection, whether or not suit is filed hereon. Additionally,
after the Maturity Date, the Interest Rate shall without notice immediately
become the Default Rate.
7.
8.  Indebtedness; Security.
9.
<PAGE>   9

(a)      This Note evidences the principal indebtedness heretofore evidenced by
that certain Promissory Note (Secured) dated February 24, 1995 in the principal
sum of $25,000,000 (the "Original Note") made by Alexander's, Inc. to Lender and
assumed by Borrower pursuant to that certain Assignment, Assumption and Release
Agreement dated as of February 24, 1995 among Borrower, Alexander's, Inc. and
Lender. As of immediately prior to the execution and delivery of this Note, the
outstanding principal balance of the Original Note was $21,262,848.54.
(b)
(c)      The terms of this Note amend, restate and supersede the terms of the
Original Note in their entirety. This Note has been executed and delivered to,
and accepted by, Lender in substitution for the Original Note but not in
payment, satisfaction or cancellation of the outstanding indebtedness evidenced
by the Original Note. This Note does not secure any new or additional principal
indebtedness other than the principal indebtedness evidenced by the Original
Note.
(d)
(e)      This Note is secured by, among other things, the Mortgage, all of the
terms of which are incorporated herein by this reference.
(f)
(g) (d)  Notwithstanding that this Note is dated as of February 24, 2000,
Borrower and Lender agree that this Note shall not be effective until April 17,
2000 (the "Restructure Date"), which is the date of the actual execution and
delivery of this Note, and that for the period from February 24, 2000 to and
including the day before the Restructure Date, Borrower's obligations in respect
of principal and interest shall be governed by the Original Note (subject,
however, to paragraph 5 of that certain forbearance letter agreement among
Borrower, Lender and Guarantor dated as of February 24, 2000 as amended by
letter agreement dated as of March 23, 2000). Accordingly, the interest payment
due on May 5, 2000 shall be calculated based on the Original Note with respect
to the period from April 1, 2000 to and including the day before the Restructure
Date, and shall be calculated based on this Note for the period from the
Restructure Date to and including April 30, 2000.
(h)
10. Notices. All notices, demands and requests required or desired to be given
hereunder shall be in writing and shall be delivered (i) in person, (ii) by
United States registered or certified mail, return receipt requested, postage
prepaid, (iii) by overnight courier or (iv) by telecopier, followed by a hard
copy delivered pursuant to clause (i), (ii) or (iii) above, addressed in each
case as follows:
11.
12.      To Borrower:
13.
         Alexander's, Inc.
         Park 80 West
         Plaza II
         Saddle Brook, New Jersey  07663
                  Attn: Chief Financial Officer
                  Telephone: 201/587-1000
                  Telecopier: 201/587-0600
<PAGE>   10

         with a copy to:

         Whitman Breed Abbott & Morgan LLP
         200 Park Avenue
         New York, New York  10166
                  Attn: Neil Underberg
                  Telephone: 212/351-3488
                  Telecopier: 212/351-3131

         and to:

         Vornado Realty Trust
         Park 80 West
         Plaza II
         Saddle Brook, New Jersey  07663
                  Attn: Vice President for Real Estate
                  Telephone: 201/587-1000
                  Telecopier: 201/587-0600

         and to:

<PAGE>   11

Vornado Realty Trust
         Park 80 West
         Plaza II
         Saddle Brook, New Jersey  07663
                  Attn: Chief Financial Officer
                  Telephone: 201/587-1000
                  Telecopier: 201/587-0600

         and to:

         Vornado Realty Trust
         Park 80 West
         Plaza II
         Saddle Brook, New Jersey  07663
                  Attn: Steven Roth
                  Telephone: 201/587-1000
                  Telecopier: 201/587-0600

NOTWITHSTANDING THE FOREGOING, AS OF JULY 1, 2000, THE SADDLE BROOK ADDRESS
LISTED FOR ALEXANDER'S, INC. AND VORNADO REALTY TRUST SHALL BE CHANGED TO THE
FOLLOWING ADDRESS:

         210 ROUTE 4 EAST
         PARAMUS, NEW JERSEY 07652

         To Lender:

              Banc of America Commercial Finance Corporation
              187 Danbury Road
              Wilton, Connecticut  06897
                  Attn: Vice President, Commercial Real Estate
                  Telephone: (203) 423-4000
                  Telecopier: (203) 423-4003

         with a copy to:

              Banc of America Commercial Finance Corporation
              187 Danbury Road
              Wilton, Connecticut  06897
                  Attn: Vice President, Commercial Real Estate
                  Telephone: (203) 423-4000
                  Telecopier: (203) 423-4003

or at such other addresses or to the attention of such other persons as may from
time to time be designated by the party to be addressed by written notice to the
other in the manner herein provided. Notices, demands and requests given in the
manner aforesaid shall be deemed

<PAGE>   12

sufficiently served or given for all purposes hereunder when received or when
delivery is refused or when the same are returned to sender for failure to be
called for.

1.  Governing Law. In all respects, including, without limitation, matters of
construction and performance of this Note and the obligations arising hereunder,
this Note shall be governed by, and construed in accordance with, the laws of
the State of New York applicable to contracts and obligations made and to be
performed in such state and any applicable laws of the United States of America.
2.
3.  Waiver. Borrower hereby (a) waives demand, presentment for payment, notice
of nonpayment, notice of intent to accelerate, notice of acceleration, protest,
notice of protest and all other notice (except notice specifically provided for
herein or in the other Loan Documents), filing of suit and diligence in
collecting this Note or enforcing any of the security for this Note, (b) agrees
to any substitution, exchange or release of any party primarily or secondarily
liable hereon and/or of any collateral for the debt evidenced or secured by any
of the Loan Documents, (c) agrees that Lender or any other holder hereof shall
not be required first to institute suit or exhaust its remedies hereon or to
enforce its rights under any Loan Document in order to enforce payment of this
Note, (d) consents to any extension or postponement of time of payment of this
Note and to any other indulgence with respect hereto without notice thereof to
Borrower, and (e) agrees that the failure to exercise any option or election
herein provided upon the occurrence of any default in respect hereto shall not
be construed as a waiver of the right to exercise such option or election at any
later date or upon the occurrence of a subsequent default in respect hereto.
4.
5.  Business Purpose. Borrower represents and warrants that the proceeds of this
Note will be used for business purposes and not for personal, family or
household purposes.
6.
7.  Severability. If any provision of this Note or any payments pursuant to this
Note shall be invalid or unenforceable to any extent, the remainder of this Note
and any other payments hereunder shall not be affected thereby and shall be
enforceable to the greatest extent permitted by applicable law.
8.
9.  Miscellaneous.
10.
(a)      BORROWER HEREBY WAIVES THE RIGHT TO A TRIAL BY JURY IN ANY ACTION OR
PROCEEDING BASED UPON, OR RELATED TO, THE SUBJECT MATTER OF THIS NOTE. THIS
WAIVER IS KNOWINGLY, INTENTIONALLY, AND VOLUNTARILY MADE BY BORROWER, AND
BORROWER ACKNOWLEDGES THAT LENDER HAS NOT MADE ANY REPRESENTATIONS OF FACT TO
INDUCE THIS WAIVER OF TRIAL BY JURY OR IN ANY WAY TO MODIFY OR NULLIFY ITS
EFFECT. BORROWER FURTHER ACKNOWLEDGES THAT BORROWER HAS BEEN REPRESENTED (OR HAS
HAD THE OPPORTUNITY TO BE REPRESENTED) IN THE SIGNING OF THIS NOTE AND IN THE
MAKING OF THIS WAIVER BY INDEPENDENT LEGAL COUNSEL SELECTED BY BORROWER, AND
THAT BORROWER HAS HAD THE OPPORTUNITY TO DISCUSS THIS WAIVER WITH COUNSEL.

<PAGE>   13

(b)
(c)      Borrower hereby submits to personal jurisdiction in the State of New
York for the enforcement of the provisions of this Note and irrevocably waives
any and all rights to object to such jurisdiction for the purposes of litigation
to enforce any provision of this Note. Borrower hereby consents to the
jurisdiction of the Supreme Court of the State of New York, the United States
District Court for the Southern District of New York, in any action, suit, or
proceeding which Borrower or Lender may at any time wish to file in connection
with this Note or any related matter. Borrower hereby agrees that any action,
suit or proceeding to enforce this Note may be brought in any state or federal
court in the State of New York, and hereby irrevocably waives any objection
which Borrower may have to the laying of the venue of any such action, suit, or
proceeding in any such court and hereby further irrevocably waives any claim
that any such action, suit or proceeding brought in such a court has been
brought in an inconvenient forum. Borrower hereby consents that service of
process in any action, suit or proceeding may be made by personal service upon
Borrower, or by delivery in accordance with the notice requirements of Section 9
of this Note; provided, however, that the provisions of this Section 14 shall
not affect the right of Lender to serve legal process in any other manner
permitted by law.
(d)
(e)      This Note shall be binding upon Borrower and its representatives,
successors and assigns and shall inure to the benefit of Lender and its
successors and assigns.
(f)
(g)      This Note may not be changed orally, but only by an agreement in
writing signed by the party against whom enforcement of such change is sought.
(h)
(i)      The headings used in this Note are for ease of reference only and shall
not be used to construe or interpret this Note.
(j)
(k)      Borrower agrees that the terms and conditions of this Note are the
result of negotiations between Borrower and Lender and that this Note shall not
be construed in favor of or against any party by reason of the extent to which
any party or its professionals participated in the preparation of this Note.
(l)
(m)
11. Limitation on Liability.
12.
(a)      Borrower (subject to the limitations and exceptions contained in
subsections (b), (c) and (d) below) shall have no personal liability under this
Note, and no deficiency judgment shall be sought or enforced against Borrower.
Lender's recourse shall, subject to the limitations and exceptions contained in
subsections (b), (c) and (d) below, be limited to the collateral and security
provided under the Loan Documents.

(a)      A judgment may be sought, obtained, entered and enforced against
Borrower to the extent necessary to preserve or enforce the rights and remedies
of Lender in, to or against the collateral and other security provided under the
Loan Documents, and nothing contained in this Section 15 shall be construed to
limit, prejudice or impair the rights of Lender to enforce its rights and
remedies against any real or personal property mortgaged, pledged, encumbered,

                                       14
<PAGE>   14

assigned or granted to secure payment or performance under this Note and the
Loan Documents. In addition to all of the other rights and remedies provided
herein, in the other Loan Documents, or by law, Lender shall, to the fullest
extent permitted by law, be entitled to injunctive relief and specific
performance.
(b)
(c)      Anything herein contained to the contrary notwithstanding, Borrower
shall be liable to Lender, without limitation, for Lender's harm, loss
(including, without limitation, any lost interest on and principal of the Loan),
damage, costs and expenses (including Lender's reasonable attorneys' fees and
collection costs) arising out of any of the following circumstances:
(d)

                  (i)     the distribution by Borrower (by payments of dividends
    or otherwise) of any Property Income to any of its shareholders or otherwise
    in violation of Section 2.28 of the Mortgage;

                  (ii)    the collection of rents or other income from the
    Mortgaged Property or other collateral or security provided under the Loan
    Documents more than thirty (30) days in advance or otherwise in violation of
    the terms and provisions of the Loan Documents; or the failure to account
    for security deposits of tenants or other occupants at the Mortgaged
    Property, if any, not turned over to Lender immediately after Lender's
    written demand following the occurrence and during the continuation of an
    Event of Default;

                  (iii)   fraud in connection with the Loan or any Loan
    Document;

              (iv)    any material breach of any representation or warranty made
    by any person or entity under any Loan Document or otherwise in connection
    with the Loan, excluding, however any representation, warranty or covenant
    contained in the Letter Agreement dated February 24, 1995 among Lender,
    Borrower and Alexander's, Inc. (which Letter Agreement contains eight
    numbered paragraphs);

                  (v)     any material misrepresentation or inaccuracy contained
    in any financial statement or other document provided to Lender pursuant to
    Section 2.16 of the Mortgage;

                  (vi)    waste with respect to the Mortgaged Property or other
    collateral or security provided under the Loan Documents (including
    nonpayment of insurance premiums and taxes to the extent there is sufficient
    Property Income to make such payments but Borrower fails to pay such
    premiums or taxes, but otherwise excluding nonpayment of taxes and insurance
    premiums and other non-physical waste);

                  (vii)   the misappropriation or misapplication of insurance
    proceeds or condemnation awards relating to the Mortgaged Property or other
    collateral or security provided under the Loan Documents;

                                       15
<PAGE>   15

                  (viii)  any breach of any of the terms and provisions of the
    Environmental Indemnity;

                  (ix)    the occurrence of a transfer of the Mortgaged Property
    or any portion thereof or interest therein in violation of the Loan
    Documents; and

                  (x)     the occurrence of a transfer of any direct or indirect
    interest in Borrower or any Special Entity (as defined in the Mortgage) in
    violation of the Loan Documents.

(a)      Nothing contained in this Section 15 shall be construed to release
Borrower or any other person or entity from their respective obligations under
the Limited Guaranty, the Conditional Payment Guaranty, the Environmental
Indemnity or the Trigger Agreement or under any other guaranty delivered by
Borrower or such other person or entity to Lender. Lender hereby releases
Borrower from all liability under the Letter Agreement.
(b)
(c) IN WITNESS WHEREOF, the undersigned has caused this Note to be executed by
its duly authorized representative as of the date and year first above written.
(d)
(e)
(f)
(g)                                       ALEXANDER'S OF FORDHAM ROAD, INC.,
                                       a Delaware Corporation
(h)
(i)
(j)                                       By: /s/ Irwin Goldberg
                                              -------------------------------
(k)                                           Name: Irwin Goldberg
(l)                                           Title: Secretary
(m)
(n)                                       Borrower's Taxpayer Identification
(o)                                       Number:
(p)
(q)                                       BANC OF AMERICA COMMERCIAL
                                       FINANCE CORPORATION
(r)
(s)
(t)                                       By: /s/ Leslie S. Brown
                                              -------------------------------
(u)                                           Name: Leslie S. Brown
(v)                                           Title: Vice President
(w)
(x)
(y)

                                       16
<PAGE>   16

                                    EXHIBIT A

                              HYPOTHETICAL EXAMPLE

CALENDAR YEAR 2001

<TABLE>
<CAPTION>
                         JAN.    FEB.   MARCH   APRIL    MAY   JUNE   JULY  AUGUST   SEPT.    OCT.    NOV.    DEC.    JAN.
                                                                                                                      2002
---------------------------------------------------------------------------------------------------------------------------
<S>                      <C>    <C>     <C>     <C>      <C>   <C>    <C>   <C>      <C>     <C>     <C>     <C>      <C>
Gross Revenue              0       0      50     250     250    250    250    250     250     250     250     250     300
---------------------------------------------------------------------------------------------------------------------------
Operating Expenses        50      50      50     200     200    200    200    300     300     250     250     250     250
---------------------------------------------------------------------------------------------------------------------------
Monthly Net Cash Flow
Amount                   (50)    (50)      0      50      50     50     50    (50)    (50)      0       0       0      50
---------------------------------------------------------------------------------------------------------------------------
Cumulative Net Cash
Flow Amount              (50)   (100)   (100)    (50)      0     50    100    (50)   (100)   (100)   (100)   (100)    (50)
---------------------------------------------------------------------------------------------------------------------------
Net Cash Flow Payment      0       0       0       0       0     50     50      0       0       0       0       0       0
---------------------------------------------------------------------------------------------------------------------------
</TABLE>

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00009-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00009-of-00352.parquet"}]]