Document:

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                                                                 Exhibit 10.113

                                                            PPM LOAN NO. 99-0018

                                 PROMISSORY NOTE

 $90,000,000.00                                                    June 28, 1999

         1.     PROMISE TO PAY. FOR VALUE RECEIVED, the undersigned, GLIMCHER
PROPERTIES LIMITED PARTNERSHIP, a Delaware limited partnership ("Maker") hereby
promises to pay to the order of JACKSON NATIONAL LIFE INSURANCE COMPANY, a
Michigan corporation, its successors or assigns ("Noteholder"), the principal
sum of Ninety Million Dollars ($90,000,000.00), with interest on the unpaid
principal balance thereof from the date hereof until maturity at the rate set
forth herein both principal and interest being payable as hereinafter provided
in lawful money of the United States of America at 225 West Wacker Drive, Suite
1200, Chicago, Illinois 60606 or at such other place as from time to time may be
designated by Noteholder. Interest shall be calculated and paid on the basis of
a 30-day month and 360-day year.

         2.     INTEREST. (a) Maker shall pay interest on the outstanding
principal balance hereof from the date disbursed until paid in full at a rate
per annum equal to the Interest Rate. Until the Conversion Date, the Interest
Rate shall be a variable rate per annum. From and after the Conversion Date, the
Interest Rate shall be a fixed rate per annum. The Initial Interest Rate shall
be 7.36%.

         (b)    Prior to the Conversion Date, the Interest Rate hereunder shall
be adjusted on each Adjustment Date, with the adjusted rate to become effective
on the first day of the month following the month in which the Adjustment Date
occurs. Noteholder shall give notice to Maker of the new Interest Rate promptly
following the Adjustment Date.

         (c)   At any time prior to April 19, 2000, Maker may elect to convert
the interest rate hereunder to a fixed rate by providing Noteholder with notice
thereof (a "Rate Fix Notice"). If Noteholder receives a Rate Fix Notice after
7:00 a.m. central time on a Business Day, then the Treasury Rate shall be
determined based on the rate prevailing at 4:00 p.m., central time, on the
Business Day the Rate Fix Notice is received. If Noteholder receives a Rate Fix
Notice prior to 7:00 a.m. central time on a Business Day, then the Treasury Rate
shall be determined based on the rate prevailing at 4:00 p.m., central time, on
the Business Day preceding the Business Day the Rate Fix Notice is received. If
Noteholder does not receive a Rate Fix Notice by April 19, 2000, then the
interest rate shall automatically convert to a fixed rate on May 1, 2000 and the
Treasury Rate shall be determined at the close of business on April 19, 2000.

         (d)    As used herein, the following terms shall have the meanings set
forth below:

                "ADJUSTMENT DATE" shall mean the last Business Day of each
                September, December, March and June occurring during the term
                of the Loan and prior to the Conversion Date.

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                "CONVERSION DATE" shall mean the date on which the Interest Rate
                adjusts to a fixed rate pursuant to Section 2(c) below, which
                shall be the first day of the month following the date on which
                a Rate Fix Notice is received by Noteholder or, if no Rate Fix
                Notice is received, May 1, 2000.

                "INTEREST RATE" shall mean (a) prior to the Conversion Date, a
                rate per annum equal to the greater of (i) the Index Rate plus
                2.10% (210 basis points) and (ii) six percent (6.0%) and (b)
                from and after the Conversion Date, a rate per annum equal to
                the greater of (i) the Treasury Rate plus 2.10% (210 basis
                points) and (ii) six percent (6%).

                "INDEX RATE" shall mean the three month interbank offered rate
                for dollar deposits in the London market ("LIBOR"), as shown in
                the "Money Rates" column in the "Money and Investing" section of
                the Wall Street Journal, as published on the business day prior
                to the Adjustment Date or, in the event that the Wall Street
                Journal shall cease to publish such rate daily, then as
                published by Bloomberg L.P. or a similar service designated by
                Noteholder. If the three month LIBOR shall cease to exist, then
                Noteholder and Maker shall in good faith mutually agree upon an
                alternate Index Rate.

                "TREASURY RATE" shall mean the average yield of the ten-year
                U.S. Government/Treasury Constant Maturities, as reported by
                Bloomberg, L.P. at the time specified in Section 2(c).

         3.     PAYMENTS. A payment of interest only on the unpaid principal
balance of this Note shall be due and payable in advance on the date hereof in
an amount equal to interest accrued from and including the date hereof through
June 30, 1999*. Maker agrees to pay Noteholder monthly installment payments of
principal and interest on the 1st day of August, 1999* and on the same day of
each succeeding month through and including the 1st day of July, 2009 (the
"Maturity Date"), on which date all unpaid principal and interest, together with
any other sums due under the terms of this Note, shall be due and payable. Such
payments shall be determined based on the then-applicable Interest Rate and a
principal amortization schedule of twenty (20) years.

         4.     TREATMENT OF PAYMENTS. All payments of principal, interest, late
charges (as described below), and prepayment premium (as described below), if
any, due under this Note shall be paid to Noteholder by wire transfer or check
of immediately available funds to such bank or place, and in such other manner,
as Noteholder may from time to time designate. If such payment is received by
2:00 p.m., such payment will be credited to Maker's account as of the date on
which received. If such payment is received after 2:00 p.m., such payment will
be credited to Maker's account on the business day next following the date on
which received. Each installment payment under this Note shall be applied first
to the payment of any cost or expense for which Maker is liable hereunder or
under the other Loan Documents, including any unpaid late charge, then to
accrued interest and the remainder to the reduction of unpaid principal. Time is
of the essence as to all payments hereunder.

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         5.     LATE CHARGES. If any monthly installment of principal and/or
interest is not paid in full on or before the tenth day of the month in which
such payment is due, then a charge for late payment ("Late Charge") in the
amount of five percent (5%) of the amount of such installment shall be
immediately assessed and shall be immediately due and payable by Maker. The
parties hereby recognize that the Late Charge is a reasonable approximation of
an actual loss difficult to estimate. Noteholder's failure to collect such Late
Charge shall not constitute a waiver of Noteholder's right to require payment of
such Late Charge for past or future defaults. The Late Charge shall be in
addition to all other rights and remedies available to Noteholder upon the
occurrence of a default under the Loan Documents.

         6.     DEFAULT INTEREST. Upon the occurrence of (a) an Event of Default
(as defined in the Loan Agreement) and acceleration of the Loan or (b) maturity
of this Note, interest shall accrue hereunder at an annual rate (the "Default
Rate") equal to the lesser of (i) eighteen percent (18%) and (ii) the maximum
rate allowed by law. The Default Rate shall accrue on the entire outstanding
balance hereof, including, without limitation, delinquent interest and any and
all costs and expenses incurred by Noteholder in connection therewith.

         7.     SECURITY. This Note is made pursuant to a Loan Agreement of even
date herewith (the "Loan Agreement") and secured by, among other things, certain
mortgages, deeds of trust and deeds to secure debt of even date herewith for the
benefit of Noteholder evidencing liens on certain real properties described
therein and in the Loan Agreement, and evidencing a security interest in certain
personal property, fixtures and equipment described therein. Capitalized terms
not otherwise defined herein shall have the meanings ascribed to such terms in
the Loan Agreement.

         8.     EVENT OF DEFAULT. Upon the failure to pay any installment of
principal and/or interest due on this Note as above promised or upon the
occurrence of an Event of Default, Noteholder shall have the option of declaring
the indebtedness evidenced hereby to be immediately due and payable ("the Loan
Acceleration"). After Loan Acceleration, Noteholder shall have the option of
applying any payments received to principal or interest or any other costs due
pursuant to the terms of this Note or the Loan Documents.

         9.     PREPAYMENT. This Note may not be prepaid before July 1, 2002.
Thereafter, Maker may prepay this Note in whole or in part upon payment of a
prepayment premium equal to the greater of (i) 1% of the prepaid amount and (ii)
an amount calculated at the time of prepayment using a formula designed to
compensate Noteholder for the loss of its performing Loan. The amount referred
to in clause (ii) will be calculated by (a) determining the present value on the
date of prepayment of all future principal and interest payments, including any
balloon payments, assuming payment in accordance with the terms of this Note and
(b) subtracting therefrom the then-outstanding principal balance of this Note.
The discount rate for purposes of determining such present value shall be the
quotient obtained by dividing (A) the Treasury Rate plus 50 basis points by (B)
twelve. As used herein, "Treasury Rate" shall mean the yield (as of the date
three (3) business days prior to the date of prepayment) as reported by
Bloomberg L.P. of U.S. Government Treasury Securities having a maturity date
which is the same as the Maturity Date; provided, however, that if no Treasury
Constant Maturities are published for the specific length of time to the
Maturity Date, the index to be utilized shall be the weighted average of the
Treasury Constant Maturities published for the two periods most nearly

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corresponding to the Maturity Date, and provided further that if such yields are
no longer reported by Bloomberg L.P., the Treasury Rate shall be based on the
yields reported in another publication of comparable reliability and
institutional acceptance as selected by Lender in its sole discretion which most
closely approximates yields in percent per annum of selected U.S. Treasury
securities of varying maturities. Maker may prepay the Loan at par during the
ninety (90) day period preceding the Maturity Date. No prepayment premium will
be charged on amounts attributable to insurance or condemnation proceeds applied
to reduce the principal balance of this Note. Maker agrees that Noteholder shall
not be obligated to actually reinvest the amount prepaid in any Treasury
obligations as a condition precedent to receiving a prepayment premium
hereunder. In addition to the foregoing right to prepay this Note in full, Maker
may, commencing on July 1, 2002, prepay an amount up to 5% of the
then-outstanding principal balance of this Note in any year without any
prepayment premium or penalty.

         10.    LIMITATION ON PERSONAL LIABILITY. The personal liability of
Maker and its general partners hereunder is limited to the extend provided in
Section 9.18 of the Loan Agreement.

         11.    NON-USURIOUS LOAN. It is the intent of Noteholder and Maker in
this Note and the other Loan Documents now or hereafter securing this Note to
contract in strict compliance with applicable usury law. In furtherance thereof,
Noteholder and Maker stipulate and agree that none of the terms and provisions
contained in this Note, or in any other instrument executed in connection
herewith including but not limited to the Loan Documents, shall ever be
construed to create a contract to pay for the use, forbearance or detention of
money, or interest at a rate in excess of the maximum interest rate permitted to
be charged by applicable law. Neither Maker nor any guarantors, endorsers or
other parties now or hereafter becoming liable for payment of this Note shall
ever be required to pay interest on this Note at a rate in excess of the maximum
interest that may be lawfully charged under applicable law, and the provisions
of this paragraph shall control over all other provisions of this Note, the Loan
Documents and any other instruments now or hereafter executed in connection
herewith which may be in apparent conflict herewith. Noteholder expressly
disavows any intention to charge or collect excessive unearned interest or
finance charges in the event the maturity of this Note is accelerated. If the
maturity of this Note is accelerated for any reason or if the principal of this
Note is paid prior to the Maturity Date, and as a result thereof the interest
received for the actual period of existence of this Note exceeds the applicable
maximum lawful rate, Noteholder shall, at its option, either refund the amount
of such excess or credit the amount of such excess against the principal balance
of this Note then outstanding and thereby shall render inapplicable any and all
penalties of any kind provided by applicable law as a result of such excess
interest. In the event that Noteholder collects monies which are deemed to
constitute interest which would increase the effective interest rate on this
Note to a rate in excess of that permitted to be charged by applicable law, all
such sums deemed to constitute interest in excess of the lawful rate shall, upon
such determination, at the option of Noteholder, be either immediately returned
or credited against the principal balance of this Note then outstanding, in
which event any and all penalties of any kind under applicable law as a result
of such excess interest shall be inapplicable. By execution of this Note Maker
acknowledges that it believes this Note and all interest and fees paid in
connection with the loan represented by this Note, to be non-usurious. Maker
agrees that if, at any time, Maker should believe that this Note or the loan
represented by this Note is in fact usurious, Maker will give Noteholder notice
of such condition and Maker agrees that Noteholder shall have ninety (90) days
in which to make appropriate refund or other adjustment in order to

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correct such condition if in fact such condition exists. The term "applicable
law" as used in this Note shall mean the laws of the State of Illinois or the
laws of the United States, whichever allows the greater rate of interest, as
such laws now exist or may be changed or amended or come into effect in the
future.

         12.    NOTEHOLDER'S ATTORNEY FEES. Should the indebtedness represented
by this Note or any part thereof be collected at law or in equity or through any
bankruptcy, receivership, probate or other court proceedings or if this Note is
placed in the hands of attorneys for collection after default, or if the lien or
priority of the lien represented by any Mortgage or the other Loan Documents is
the subject of any court proceeding, Maker and all endorsers, guarantors and
sureties of this Note jointly and severally agree to pay to Noteholder in
addition to the principal and interest due and payable hereon reasonable
attorney and collection fees including those incurred by Noteholder for any
appeal.

         13.    MAKER'S WAIVERS. Maker and all endorsers, guarantors and
sureties of this Note and all other persons liable or to become liable on this
Note severally waive presentment for payment, demand, notice of demand and of
dishonor and nonpayment of this Note, notice of intention to accelerate the
maturity of this Note, notice of acceleration, protest and notice of protest,
diligence in collecting, and the bringing of suit against any other party, and
agree to all renewals, extensions, modifications, partial payments, releases or
substitutions of security, in whole or in part, with or without notice, before
or after maturity.

         14.    PAYMENT OF TAXES AND FEES. Maker agrees to pay the cost of any
revenue, tax or other documentary fee or stamps now or hereafter required by law
to be affixed to this Note or the Mortgages. Maker shall also pay any
out-of-pocket expenses incurred by Noteholder in connection with the conversion
of the Interest Rate hereunder.

         15.    GOVERNING LAW. This Note and the rights, duties and liabilities
of the parties hereunder and/or arising from or relating in any way to the
indebtedness evidenced by this Note or the transaction of which such
indebtedness is a part shall be governed and construed for all purposes by the
law of the State of Illinois.

         16.    WAIVER OF TRIAL BY JURY. MAKER HEREBY WAIVES, TO THE FULLEST
EXTENT PERMITTED BY LAW, THE RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR
COUNTERCLAIM, WHETHER IN CONTRACT, TORT OR OTHERWISE, RELATING DIRECTLY OR
INDIRECTLY TO THE LOAN, THE APPLICATION FOR THE LOAN, THE LOAN DOCUMENTS OR ANY
ACTS OR OMISSIONS OF NOTEHOLDER, ITS OFFICERS, EMPLOYEES, DIRECTORS OR AGENTS IN
CONNECTION THEREWITH.

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         IN WITNESS WHEREOF, Maker has caused this Note to be duly executed as
of the day and year first above written.

                                   MAKER:

                                   GLIMCHER PROPERTIES LIMITED
                                   PARTNERSHIP, a Delaware limited partnership

                                   By:  Glimcher Properties Corporation, a
                                        Delaware corporation, its sole general
                                        partner

                                        By: /s/ William G. Cornely
                                            -----------------------------------
                                        Name: William G. Cornely
                                              ---------------------------------
                                        Title: Executive Vice President/CFO/COO
                                               --------------------------------

                                   (Taxpayer ID Number)
                                                       ------------------------

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STATE OF ILLINOIS     )
                      ) ss
COUNTY OF COOK        )

         On the 28th day of June, 1999 before me, a notary public in and for the
State and County aforesaid, personally appeared William G. Cornely, who
acknowledged himself/herself to be the Executive Vice President/COO & CFO of
Glimcher Properties Corporation, a Delaware corporation, the general partner of
Glimcher Properties Limited Partnership, a Delaware Limited Partnership, and
that he/she as such officer, being authorized to so do, executed the foregoing
instrument for the purposes therein contained on behalf of such corporation as
general partner of such limited partnership.

         IN WITNESS WHEREOF, I have hereunto set my hand and official seal.

                                        /s/ Linda J. Polka
                                        ----------------------------------
                                        Notary Public
                                        My Commission Expires: 7-2-2000
                                                               --------

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                                                                Exhibit - 10.114

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RECORDING REQUESTED BY AND
WHEN RECORDED RETURN TO:

Milos Markovic, Esq.
Sonnenschein Nath & Rosenthal
8000 Sears Tower
Chicago, Illinois   60606

                                                            PPM Loan No. 99-0018
                                                                         -------

                   DEED TO SECURE DEBT AND SECURITY AGREEMENT
                   ------------------------------------------

         THIS DEED TO SECURE DEBT AND SECURITY AGREEMENT (together with all
amendments and supplements hereto, this "Mortgage") is made as of September,
1999, between GLIMCHER PROPERTIES LIMITED PARTNERSHIP a Delaware limited
partnership (the "Mortgagor") 20 South Third Street, Columbus, Ohio 43215, and
JACKSON NATIONAL LIFE INSURANCE COMPANY, a Michigan corporation (the
"Mortgagee"), c/o PPM Finance, Inc., 225 West Wacker Drive, Suite 1200, Chicago,
Illinois 60606.

1.      MORTGAGE AND SECURED OBLIGATIONS.
        --------------------------------

         1.1.   MORTGAGE. For purposes of securing payment and performance of
the Secured Obligations defined and described in SECTION 1.2, Mortgagor hereby
irrevocably and unconditionally grants, bargains, sells, conveys, warrants,
assigns and pledges to Mortgagee, with right of entry and possession, and with
power of sale, all estate, right, title and interest which Mortgagor now has or
may later acquire in and to the following property (all or any part of such
property, or any interest in all or any part of it, as the context may require,
the "Property"):

                (a) the real property located in the County of Richmond and
         County of Columbia, State of Georgia and more particularly described in
         EXHIBIT A attached hereto, together with all existing and future
         easements and rights affording access to it (the "Land");

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                (b) all buildings, structures and improvements now located or
         later to be constructed on the Land (the "Improvements");

                (c) all existing and future appurtenances, privileges,
         easements, franchises and tenements of the Land, including all
         minerals, oil, gas, other hydrocarbons and associated substances,
         sulfur, nitrogen, carbon dioxide, helium and other commercially
         valuable substances which may be in, under or produced from any part of
         the Land, all development rights and credits, air rights, water, water
         rights (whether riparian, appropriative or otherwise, and whether or
         not appurtenant) and water stock, and any land lying in the streets,
         roads or avenues, open or proposed, in front of or adjoining the Land
         and Improvements;

                (d) all existing and future leases, subleases, subtenancies,
         licenses, occupancy agreements and concessions ("Leases", as defined in
         the Assignment of Leases and Rents described in SECTION 2 herein,
         executed and delivered to Lender contemporaneously herewith) relating
         to the use and enjoyment of all or any part of the Land and
         Improvements, and any and all guaranties and other agreements relating
         to or made in connection with any of such leases;

                (e) all goods, materials, supplies, chattels, furniture,
         fixtures, equipment and machinery now or later to be attached to,
         placed in or on, or used in connection with the use, enjoyment,
         occupancy or operation of all or any part of the Land and Improvements,
         whether stored on the Land or elsewhere, including all pumping plants,
         engines, pipes, ditches and flumes, and also all gas, electric,
         cooking, heating, cooling, air conditioning, lighting, refrigeration
         and plumbing fixtures and equipment, all of which shall be considered
         to the fullest extent of the law to be real property for purposes of
         this Mortgage;

                (f) all building materials, equipment, work in process or
         other personal property of any kind, whether stored on the Land or
         elsewhere, which have been or later will be acquired for the purpose of
         being delivered to, incorporated into or installed in or about the Land
         or Improvements;

                (g) all of Mortgagor's interest in and to the Loan funds,
         whether disbursed or not, the Escrow Accounts (as defined in SECTION
         3.1 of the Loan Agreement) and any of Mortgagor's funds now or later to
         be held by or on behalf of Mortgagee;

                (h) all rights to the payment of money, accounts, accounts
         receivable, reserves, deferred payments, refunds, cost savings,
         payments and deposits, whether now or later to be received from third
         parties (including all earnest money sales deposits) or deposited by
         Mortgagor with third parties (including all utility deposits), contract
         rights, development and use rights, governmental permits and licenses,
         applications, architectural and engineering plans, specifications and
         drawings, as-built drawings, chattel paper, instruments, documents,
         notes, drafts and letters of credit (other than letters of credit in
         favor of Mortgagee), which arise from or relate to construction on the
         Land or to any business now or later to be conducted on it, or to the
         Land and Improvements generally;

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                (i) all proceeds, including all claims to and demands for
         them, of the voluntary or involuntary conversion of any of the Land,
         Improvements or the other property described above into cash or
         liquidated claims, including proceeds of all present and future fire,
         hazard or casualty insurance policies and all condemnation awards or
         payments now or later to be made by any public body or decree by any
         court of competent jurisdiction for any taking or in connection with
         any condemnation or eminent domain proceeding, and all causes of action
         and their proceeds for any damage or injury to the Land, Improvements
         or the other property described above or any part of them, or breach of
         warranty in connection with the construction of the Improvements,
         including causes of action arising in tort, contract, fraud or
         concealment of a material fact;

                (j) all books and records pertaining to any and all of the
         property described above, including computer-readable memory and
         software necessary to access and process such memory ("Books and
         Records"). Notwithstanding anything in the foregoing to the contrary,
         Books and Records shall not be deemed to include the general corporate
         books and records of the Mortgagor which are maintained by Mortgagor on
         a consolidated basis for all of Mortgagor's properties (which
         properties include the Property being secured hereunder) except to the
         extent that information in such consolidated books and records pertains
         to the Property secured hereunder;

                (k) the agreements described in EXHIBIT B attached hereto,
         which exhibit is incorporated herein by reference; (ii) all other
         agreements heretofore or hereafter entered into relating to the
         construction, ownership, operation, management, leasing or use of the
         Land or Improvements; (iii) any and all present and future amendments,
         modifications, supplements, and addenda to any of the items described
         in (i) and (ii) above; (iv) any and all guarantees, warranties and
         other undertakings (including payment and performance bonds) heretofore
         or hereafter entered into or delivered with respect to any of the items
         described in clauses (i) through (iii) above; (v) all trade names,
         trademarks, logos and other materials used to identify or advertise, or
         otherwise relating to the Land or Improvements; and (vi) all building
         permits, governmental permits, licenses, variances, conditional or
         special use permits, and other authorizations (collectively, the
         "Permits") now or hereafter issued in connection with the construction,
         development, ownership, operation, management, leasing or use of the
         Land or Improvements, to the fullest extent that the same or any
         interest therein may be legally assigned by Mortgagor; and

                (l) all right, title and interest of Mortgagor, now or
         hereafter arising, in and to that certain parcel of real property
         adjoining the Land and described in EXHIBIT B attached hereto (the
         "Adjacent Tract") arising and provided under that certain
         Third Amendment to Lease Agreement by and between PaineWebber Retail
         Property Investments, Ltd., a Texas limited partnership transacting
         business in the State of Georgia as PaineWebber Retail Property
         Investments, Ltd. L.P., as lessor, and Wal-Mart Stores, Inc., as
         lessee dated October 16, 1996 (the "Lease Agreement"); in the event
         Mortgagor acquires fee title to all or any portion of the Adjacent
         Tract as provided in the Lease Agreement, the lien and security title
         of this Mortgage shall, without further action by any party, extend and
         spread to such portion of the Adjacent Tract so acquired by Mortgagor
         and the buildings, structures and

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         improvements thereon, and the Additional Tract shall thereafter
         constitute a portion of the Land for all purposes and the buildings,
         structures and improvements thereon shall thereafter constitute part of
         the Improvements for all purposes (upon acquisition of fee title to the
         Adjacent Tract, Mortgagor shall execute any instrument reasonably
         requested by Mortgagee to confirm the expansion and spread of the lien
         and security title of this Mortgage to the Adjacent Tract),

                (m) all proceeds of, additions and accretions to, substitutions
         and replacements for, and changes in any of the property described
         above.

Capitalized terms used above and elsewhere in this Mortgage without definition
have the meanings given them in the Loan Agreement referred to in SECTION 1.2
below.

         1.2.   SECURED OBLIGATIONS. This Mortgage is made for the purpose of
securing the following obligations (the "Secured Obligations") in any order of
priority that Mortgagee may choose:

                (a) Payment of all obligations at any time owing under a
         Promissory Note (the "Note") of even date herewith, payable by
         Mortgagor as maker in the stated principal amount of Ninety Million
         Dollars ($90,000,000.00) to the order of Mortgagee, which Note matures
         and is due and payable in full not later than July 1, 2009; and

                (b) Payment and performance of all obligations of Mortgagor
         under a Loan Agreement of even date herewith between Mortgagor, as
         borrower, and Mortgagee, as lender (the "Loan Agreement"); and

                (c) Payment and performance of all obligations of Mortgagor
         under this Mortgage; and

                (d) Payment and performance of any obligations of Mortgagor
         under any Loan Documents (as defined in the Loan Agreement) which are
         executed by Mortgagor, including without limitation the Environmental
         Indemnity; and

                (e) Payment and performance of all future advances and other
         obligations that Mortgagor or any successor in ownership of all or part
         of the Property may agree to pay and/or perform (whether as principal,
         surety or guarantor) for the benefit of Mortgagee, when a writing
         evidences the parties' agreement that the advance or obligation be
         secured by this Mortgage; and

                (f) Payment and performance of all modifications, amendments,
         extensions and renewals, however evidenced, of any of the Secured
         Obligations.

All persons who may have or acquire an interest in all or any part of the
Property will be considered to have notice of, and will be bound by, the terms
of the Secured Obligations and each other agreement or instrument made or
entered into in connection with each of the Secured Obligations. These terms
include any provisions in the Note or the Loan Agreement which provide that the
interest rate on one or more of the Secured Obligations may vary from time to
time.

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2.      ASSIGNMENT OF RENTS. As an inducement to Mortgagee to make the loan
evidenced by the Note and the Loan Agreement, Mortgagor has contemporaneously
herewith executed and delivered to Mortgagee an Assignment of Leases and Rents
with respect to the Property.

3.      GRANT OF SECURITY INTEREST.

        3.1.    SECURITY AGREEMENT. The parties acknowledge that some of the
Property and some or all of the Rents (as defined in the Assignment of Leases
and Rents) may be determined under applicable law to be personal property or
fixtures. To the extent that any Property or Rents may be personal property,
Mortgagor as debtor hereby grants Mortgagee as secured party a security interest
in all such Property and Rents, to secure payment and performance of the Secured
Obligations. This Mortgage constitutes a security agreement under the Uniform
Commercial Code as in effect in the State in which the Property is located (the
"Code), covering all such Property and Rents.

        3.2.    FINANCING STATEMENTS. Mortgagor shall execute one or more
financing statements and such other documents as Mortgagee may from time to time
require to perfect or continue the perfection of Mortgagee's security interest
in any Property or Rents. Mortgagor shall pay all fees and costs that Mortgagee
may incur in filing such documents in public offices and in obtaining such
record searches as Mortgagee may reasonably require. In case Mortgagor fails to
execute any financing statements or other documents for the perfection or
continuation of any security interest, Mortgagor hereby appoints Mortgagee as
its true and lawful attorney-in-fact to execute any such documents on its
behalf.

         3.3.   FIXTURE FILING. This Mortgage constitutes a financing statement
filed as a fixture filing under Sections 9-313 and 9-402 of the Code, as amended
or recodified from time to time, covering any of the Property which now is or
later may become fixtures attached to the Land or the Improvements. The
following addresses are the mailing addresses of Mortgagor, as debtor under the
Code, and Mortgagee, as secured party under the Code, respectively:

MORTGAGOR:      Glimcher Properties Limited Partnership
                20 South Third Street
                Columbus, Ohio   43215
                Attention:  General Counsel

MORTGAGEE:      Jackson National Life Insurance Company
                c/o PPM Finance, Inc.
                225 West Wacker Drive, Suite 1200
                Chicago, Illinois  60606

4.       REPRESENTATIONS, COVENANTS AND AGREEMENTS.

         4.1.   GOOD TITLE. Mortgagor covenants that it is lawfully seized of
the Property, that the Property is unencumbered except for the Permitted
Exceptions (as defined in the Loan Agreement), and that it has good right, full
power and lawful authority to convey and mortgage

                                      -5-
<PAGE>   6

the same, and that it will warrant and forever defend the Property and the quiet
and peaceful possession of the same against the lawful claims of all persons
whomsoever.

         4.2.   INSURANCE. In the event of any loss or damage to any portion of
the Property due to fire or other casualty, or a taking of any portion of the
Property by condemnation or under the power of eminent domain, the settlement of
all insurance and condemnation claims and awards and the application of
insurance and condemnation proceeds shall be governed by SECTION 5 of the Loan
Agreement.

         4.3.   STAMP TAX. If, by the laws of the United States of America, or
of any state or political subdivision having jurisdiction over Mortgagor, any
tax is due or becomes due in respect of the issuance of the Note, or recording
of this Mortgage, Mortgagor covenants and agrees to pay such tax in the manner
required by any such law. Mortgagor further covenants to hold harmless and
agrees to indemnify Mortgagee, its successors or assigns, against any liability
incurred by reason of the imposition of any tax on the issuance of the Note or
recording of this Mortgage.

         4.4.   CHANGES IN TAXATION. Other than a tax that may arise in
connection with a transfer of the Note by Mortgagee or that is imposed on the
income of the Mortgagee, in the event of the enactment after this date of any
law of the State in which the Property is located or any political subdivision
thereof deducting from the value of land for the purpose of taxation any lien
thereon, or imposing upon Mortgagee the payment of the whole or any part of the
taxes or assessments or charges or liens herein required to be paid by
Mortgagor, or changing in any way the laws relating to the taxation of mortgages
or debts secured by mortgages or the Mortgagee's interest in the Property, or
the manner of collection of taxes, so as to affect this Mortgage or the Secured
Obligations, then Mortgagor, upon demand by Mortgagee, shall pay such taxes or
assessments, or reimburse Mortgagee therefor; provided, however, that if in the
opinion of counsel for Mortgagee (i) it might be unlawful to require Mortgagor
to make such payment or (ii) the making of such payment might result in the
imposition of interest beyond the maximum amount permitted by law, then
Mortgagee may elect, by notice in writing given to Mortgagor, to declare all of
the Secured Obligations to be and become due and payable sixty (60) days from
the giving of such notice.

         4.5.   SUBROGATION. Mortgagee shall be subrogated to the liens of all
encumbrances, whether released of record or not, which are discharged in whole
or in part by Mortgagee in accordance with this Mortgage or with the proceeds of
any loan secured by this Mortgage.

         4.6.   NOTICE OF CHANGE. Mortgagor shall give Mortgagee prior written
notice of any change in: (a) the location of its place of business or its chief
executive office if it has more than one place of business; (b) the location of
any of the Property, including the Books and Records; and (c) Mortgagor's name
or business structure. Unless otherwise approved by Mortgagee in writing, all
Property that consists of personal property (other than the Books and Records)
will be located on the Land and all Books and Records will be located at
Mortgagor's place of business or chief executive office if Mortgagor has more
than one place of business.

         4.7.   RELEASES, EXTENSIONS, MODIFICATIONS AND ADDITIONAL SECURITY.
From time to time, Mortgagee may perform any of the following acts without
incurring any liability or giving notice

                                      -6-
<PAGE>   7

to any person: (i) release any person liable for payment of any Secured
Obligation; (ii) extend the time for payment, or otherwise alter the terms of
payment, of any Secured Obligation; (iii) accept additional real or personal
property of any kind as security for any Secured Obligation, whether evidenced
by deeds of trust, mortgages, security agreements or any other instruments of
security; (iv) alter, substitute or release any property securing the Secured
Obligations; (v) consent to the making of any plat or map of the Property or any
part of it; (vi) join in granting any easement or creating any restriction
affecting the Property; or (vii) join in any subordination or other agreement
affecting this Mortgage or the lien of it.

5.       DEFAULTS AND REMEDIES.

         5.1.   EVENTS OF DEFAULT. An "Event of Default," as defined in the Loan
Agreement, shall constitute an Event of Default hereunder.

         5.2.   REMEDIES At any time after an Event of Default, Mortgagee shall
be entitled to invoke any and all of the rights and remedies described below, in
addition to all other rights and remedies available to Mortgagee at law or in
equity. All of such rights and remedies shall be cumulative, and the exercise of
any one or more of them shall not constitute an election of remedies.

                (a) ACCELERATION. Mortgagee may declare any or all of the
         Secured Obligations to be due and payable immediately.

                (b) RECEIVER. Mortgagee shall, as a matter of right, without
         notice and without giving bond to Mortgagor or anyone claiming by,
         under or through Mortgagor, and without regard for the solvency or
         insolvency of Mortgagor or the then value of the Property, to the
         extent permitted by applicable law, be entitled to have a receiver
         appointed for all or any part of the Property and the Rents, and the
         proceeds, issues and profits thereof, with the rights and powers
         referenced below and such other rights and powers as the court making
         such appointment shall confer, and Mortgagor hereby consents to the
         appointment of such receiver and shall not oppose any such appointment.
         Such receiver shall have all powers and duties prescribed by the
         applicable laws in effect in the state in which the Property is
         located, all other powers which are necessary or usual in such cases
         for the protection, possession, control, management and operation of
         the Property, and such rights and powers as Mortgagee would have, upon
         entering and taking possession of the Property under subsection (c)
         below.

                (c) ENTRY. Mortgagee, in person, by agent or by court-appointed
         receiver, may enter, take possession of, manage and operate all or any
         part of the Property, and may also do any and all other things in
         connection with those actions that Mortgagee may in its sole discretion
         consider necessary and appropriate to protect the security of this
         Mortgage. Such other things may include: taking and possessing all of
         Mortgagor's or the then owner's Books and Records; entering into,
         enforcing, modifying or canceling leases on such terms and conditions
         as Mortgagee may consider proper; obtaining and evicting tenants;
         fixing or modifying Rents; collecting and receiving any payment of
         money owing to Mortgagor; completing any unfinished construction;
         and/or contracting for and making repairs and alterations. If Mortgagee
         so requests, Mortgagor shall

                                      -7-
<PAGE>   8

         assemble all of the Property that has been removed from the Land and
         make all of it available to Mortgagee at the site of the Land.
         Mortgagor hereby irrevocably constitutes and appoints Mortgagee as
         Mortgagor's attorney-in-fact to perform such acts and execute such
         documents as Mortgagee in its sole discretion may consider to be
         appropriate in connection with taking these measures, including
         endorsement of Mortgagor's name on any instruments.

                (d) CURE; PROTECTION OF SECURITY. Mortgagee may cure any
         breach or default of Mortgagor, and if it chooses to do so in
         connection with any such cure, Mortgagee may also enter the Property
         and/or do any and all other things which it may in its sole discretion
         consider necessary and appropriate to protect the security of this
         Mortgage. Such other things may include: appearing in and/or defending
         any action or proceeding which purports to affect the security of, or
         the rights or powers of Mortgagee under, this Mortgage; paying,
         purchasing, contesting or compromising any encumbrance, charge, lien or
         claim of lien which in Mortgagee's sole judgment is or may be senior in
         priority to this Mortgage, such judgment of Mortgagee to be conclusive
         as between the parties to this Mortgage; obtaining insurance and/or
         paying any premiums or charges for insurance required to be carried
         under the Loan Agreement; otherwise caring for and protecting any and
         all of the Property; and/or employing counsel, accountants, contractors
         and other appropriate persons to assist Mortgagee. Mortgagee may take
         any of the actions permitted under this SECTION 5.2(D) either with or
         without giving notice to any person. Any amounts expended by Mortgagee
         under this SECTION 5.2(D) shall be secured by this Mortgage.

                (e) UNIFORM COMMERCIAL CODE REMEDIES. Mortgagee may exercise
         any or all of the remedies granted to a secured party under Code.

                (f) FORECLOSURE; LAWSUITS. Mortgagee shall have the right, in
         one or several concurrent or consecutive proceedings, to foreclose the
         lien hereof upon the Property or any part thereof, for the Secured
         Obligations, or any part thereof, by any proceedings appropriate under
         applicable law. Mortgagee or its nominee may bid and become the
         purchaser of all or any part of the Property at any foreclosure or
         other sale hereunder, and the amount of Mortgagee's successful bid
         shall be credited on the Secured Obligations. Without limiting the
         foregoing, Mortgagee may proceed by a suit or suits in law or equity,
         whether for specific performance of any covenant or agreement herein
         contained or contained in any of the other Loan Documents (as defined
         in the Loan Agreement), or in aid of the execution of any power herein
         granted, or for any foreclosure under the judgment or decree of any
         court of competent jurisdiction, or for damages, or to collect the
         indebtedness secured hereby, or for the enforcement of any other
         appropriate legal, equitable, statutory or contractual remedy.
         Mortgagee may sell the Property at public auction in one or more
         parcels, at Mortgagee's option, and convey the same to the purchaser in
         fee simple, Mortgagor to remain liable for any deficiency for which
         Mortgagor shall be personally liable.

                (g) OTHER REMEDIES. Mortgagee may exercise all rights and
         remedies contained in any other instrument, document, agreement or
         other writing heretofore, concurrently or in the future executed by
         Mortgagor or any other person or entity in favor

                                      -8-
<PAGE>   9

         of Mortgagee in connection with the Secured Obligations or any part
         thereof, without prejudice to the right of Mortgagee thereafter to
         enforce any appropriate remedy against Mortgagor. Mortgagee shall have
         the right to pursue all remedies afforded to a mortgagee under the
         applicable laws of the state in which the Property is located, and
         shall have the benefit of all of the provisions of any such laws,
         including all amendments thereto which may become effective from time
         to time after the date hereof. In the event any provision of any such
         laws may be repealed, Mortgagee shall have the benefit of such
         provision as most recently existing prior to such repeal, as though the
         same were incorporated herein by express reference.

                (h) POWER OF SALE FOR PERSONAL PROPERTY. Under this power of
         sale, Mortgagee shall have the discretionary right to cause some or all
         of the Property, which constitutes personal property, to be sold or
         otherwise disposed of in any combination and in any manner permitted by
         applicable law.

                           (i) For purposes of this power of sale, Mortgagee may
                  elect to treat as personal property any Property which is
                  intangible or which can be severed from the Land or
                  Improvements without causing structural damage. If it chooses
                  to do so, Mortgagee may dispose of any personal property in
                  any manner permitted by Article 9 of the Code, including any
                  public or private sale, or in any manner permitted by any
                  other applicable law.

                           (ii) In connection with any sale or other disposition
                  of such Property, Mortgagor agrees that the following
                  procedures constitute a commercially reasonable sale:
                  Mortgagee shall mail written notice of the sale to Mortgagor
                  not later than ten (10) days prior to such sale. Upon receipt
                  of any written request, Mortgagor will make the Property
                  available to any bona fide prospective purchaser for
                  inspection during reasonable business hours. Notwithstanding,
                  Mortgagee shall be under no obligation to consummate a sale
                  if, in its judgment, none of the offers received by it equals
                  the fair value of the Property offered for sale. The foregoing
                  procedures do not constitute the only procedures that may be
                  commercially reasonable.

                  (i) SINGLE OR MULTIPLE FORECLOSURE SALES. If the Property
         consists of more than one lot, parcel or item of property, Mortgagee
         may:

                      (i) designate the order in which the lots, parcels
                  and/or items shall be sold or disposed of or offered for sale
                  or disposition; and

                     (ii) elect to dispose of the lots, parcels and/or
                  items through a single consolidated sale or disposition to be
                  held or made under or in connection with judicial proceedings,
                  or by virtue of a judgment and decree of foreclosure and sale,
                  or pursuant to the power of sale contained herein; or through
                  two or more such sales or dispositions; or in any other manner
                  Mortgagee may deem to be in its best interests (any
                  foreclosure sale or disposition as permitted by the terms
                  hereof is sometimes referred to herein as a "Foreclosure
                  Sale;" and any two or more such sales, "Foreclosure Sales").

                                      -9-
<PAGE>   10

                        (j) POWER OF SALE. Mortgagee, with or without entry,
                  personally or by its agents or attorneys, may sell the
                  Property or any part of the Property at one or more public
                  sale or sales at the usual place for conducting sales of the
                  county in which the Land or any part of the Land is situated,
                  to the highest bidder for cash, in order to pay the Secured
                  Obligations, and all expenses of sale and of all proceedings
                  in connection therewith, including reasonable attorney's fees,
                  after advertising the time, place, and terms of sale once a
                  week for four (4) weeks immediately preceding such sale (but
                  without regard to the number of days) in a newspaper in which
                  sheriff's sales are advertised in said county, all other
                  notice being hereby waived by Mortgagor. Mortgagor or its
                  nominee may bid and become the purchaser of all or any part of
                  the property at any foreclosure sale hereunder (to the extent
                  permitted by applicable law). At any such public sale,
                  Mortgagee may execute and deliver to the purchaser a
                  conveyance of the Property or any part of the Property in fee
                  simple, with full warranties of title, and to this end
                  Mortgagor hereby constitutes and appoints Mortgagee the agent
                  and attorney-in-fact of Mortgagor to make such sale and
                  conveyance, and thereby to divest Mortgagor of all right,
                  title and equity that Mortgagor may have in and to the
                  Property and to vest the same in the purchaser or purchasers
                  at such sale or sales, and all the acts and doings of said
                  agent and attorney-in-fact are hereby ratified and confirmed,
                  and any recitals in said conveyance or conveyances as to facts
                  essential to a valid sale shall be binding upon Mortgagor. The
                  aforesaid power of sale and agency hereby granted are coupled
                  with an interest and are irrevocable by death or otherwise and
                  shall not be exhausted by one exercise thereof but may be
                  exercised until full payment of all of the indebtedness
                  secured hereby. In the event of any sale under this Mortgage
                  by virtue of the exercise of the powers herein granted, or
                  pursuant to any order in any judicial proceeding or otherwise,
                  the Property may be sold as an entirety or in separate parcels
                  and in such manner or order as Mortgagee in its discretion may
                  elect, and if Mortgagee so elects, Mortgagee may sell the
                  personal property covered by this Mortgage at one or more
                  separate sales in any manner permitted by the Code, and one or
                  more exercises of the powers herein granted shall not
                  extinguish nor exhaust such powers, until the entire Property
                  is sold or the indebtedness secured hereby is paid in full.
                  Mortgagee may, at its option, sell the Property subject to the
                  rights of any tenants of the Property, and the failure to make
                  any such tenants parties to the foreclosure proceedings and to
                  foreclose their rights will not be asserted by Mortgagor to be
                  a defense to any proceedings instituted by Mortgagee to
                  collect the indebtedness secured hereby. If the indebtedness
                  secured is now or hereafter further secured by any chattel
                  mortgages, pledges, contracts of guaranty, assignments of
                  lease or other security instruments, Mortgagee may at its
                  option exhaust the remedies granted under any of the said
                  security either concurrently or independently, and in such
                  order as Mortgagee may determine in its discretion. In the
                  event of any such foreclosure sale by Mortgagee, Mortgagor
                  shall be deemed a tenant holding over and shall forthwith
                  deliver possession to the purchaser or purchasers at such sale
                  or be summarily dispossessed according to provisions of law
                  applicable to tenants holding over. Mortgagee may proceed in a
                  suit or suits in law or equity for the enforcement of any
                  appropriate legal, equitable, statutory, or contractual
                  remedy. In case Mortgagee shall have proceeded to enforce any
                  right, power or remedy under this Mortgage by foreclosure,
                  entry or otherwise in the event Mortgagee commences
                  advertising of the intended exercise of the sale under power
                  provided hereunder, and such

                                      -10-
<PAGE>   11

                  proceeding or advertisement shall have been withdrawn,
                  discontinued or abandoned for any reason, then in every such
                  case (i) Mortgagor and Mortgagee shall be restored to their
                  former positions and rights, (ii) all rights, powers, and
                  remedies of Mortgagee shall continue as if no such proceeding
                  had been taken, (iii) each and every Event of Default declared
                  or occurring prior or subsequent to such withdrawal,
                  discontinuance or abandonment shall be deemed to be a
                  continuing Event of Default, and (iv) neither this Mortgage,
                  nor the Note, nor the indebtedness secured hereby, nor any
                  other Loan Document shall be or shall be deemed to be
                  reinstated or otherwise affected by such withdrawal,
                  discontinuance or abandonment; and Mortgagor hereby expressly
                  waives the benefit of any statute or rule of law now provided,
                  or which may hereafter be provided, which would produce a
                  result contrary to or in conflict with this sentence.
                  Mortgagee reserves the right to proceed against Mortgagor for
                  any deficiency owed to Mortgagee after any such public sale
                  described herein by pursuing a confirmation action after the
                  foreclosure sale in accordance with applicable Georgia law.

If it chooses to have more than one Foreclosure Sale, Mortgagee at its option
may cause the Foreclosure Sales to be held simultaneously or successively, on
the same day, or on such different days and at such different times and in such
order as it may deem to be in its best interests. No Foreclosure Sale shall
terminate or affect the liens of this Mortgage on any part of the Property which
has not been sold, until all of the Secured Obligations have been paid in full.

         5.3.   APPLICATION OF FORECLOSURE SALE PROCEEDS. The proceeds of any
Foreclosure Sale shall be applied in the following manner:

                (a) First, to pay the portion of the Secured Obligations
         attributable to the expenses of sale, costs of any action and any other
         sums for which Mortgagor is obligated to reimburse Mortgagee hereunder
         or under the other Loan Documents;

                (b) Second, to pay the portion of the Secured Obligations
         attributable to any sums expended or advanced by Mortgagee under the
         terms of this Mortgage which then remain unpaid;

                (c) Third, to pay all other Secured Obligations in any order
         and proportions as Mortgagee in its sole discretion may choose; and

                (d) Fourth, to remit the remainder, if any, to the person or
         persons entitled to it.

6.      RELEASE OF LIEN. If Mortgagor shall fully pay and perform all of the
Secured Obligations and comply with all of the other terms and provisions hereof
and the other Loan Documents to be performed and complied with by Mortgagor,
then Mortgagee shall release this Mortgage and the lien thereof by proper
instrument upon payment, performance and discharge of all of the Secured
Obligations and payment by Mortgagor of any filing fee in connection with such
release.

                                      -11-
<PAGE>   12

7.       MISCELLANEOUS PROVISIONS.

         7.1.   ADDITIONAL PROVISIONS. The Loan Documents fully state all of the
terms and conditions of the parties' agreement regarding the matters mentioned
in or incidental to this Mortgage. The Loan Documents also grant further rights
to Mortgagee and contain further agreements and affirmative and negative
covenants by Mortgagor which apply to this Mortgage and the Property.

         7.2.   GIVING OF NOTICE. Any notice, demand, request or other
communication which any party hereto may be required or may desire to give
hereunder shall be given as provided in SECTION 9.3 of the Loan Agreement.

         7.3.   REMEDIES NOT EXCLUSIVE. No action for the enforcement of the
lien or any provision hereof shall be subject to any defense which would not be
good and available to the party interposing same in an action at law upon the
Note. Mortgagee shall be entitled to enforce payment and performance of any of
the Secured Obligations and to exercise all rights and powers under this
Mortgage or other agreement or any laws now or hereafter in force,
notwithstanding some or all of the Secured Obligations may now or hereafter be
otherwise secured, whether by mortgage, deed of trust, pledge, lien, assignment
or otherwise. Neither the acceptance of this Mortgage nor its enforcement,
whether by court action or other powers herein contained, shall prejudice or in
any manner affect Mortgagee's right to realize upon or enforce any other
security now or hereafter held by Mortgagee, it being agreed that Mortgagee
shall be entitled to enforce this Mortgage and any other remedy herein or by law
provided or permitted, but each shall be cumulative and shall be in addition to
every other remedy given hereunder or now or hereafter existing at law or in
equity or by statute. No waiver of any default of the Mortgagor hereunder shall
be implied from any omission by Mortgagee to take any action on account of such
default if such default persists or is repeated, and no express waiver shall
affect any default other than the default specified in the express waiver and
that only for the time and to the extent therein stated. No acceptance of any
payment of any one or more delinquent installments which does not include
interest at the Default Rate from the date of delinquency, together with any
required late charge, shall constitute a waiver of the right of Mortgagee at any
time thereafter to demand and collect payment of interest at such Default Rate
or of late charges, if any.

         7.4.   WAIVER OF STATUTORY RIGHTS. To the extent permitted by law,
Mortgagor hereby agrees that it shall not and will not apply for or avail itself
of any appraisement, valuation, stay, extension or exemption laws, or any
so-called "Moratorium Laws," now existing or hereafter enacted, in order to
prevent or hinder the enforcement or foreclosure of this Mortgage, but hereby
waives the benefit of such laws. Mortgagor for itself and all who may claim
through or under it waives any and all right to have the property and estates
comprising the Property marshaled upon any foreclosure of the lien hereof and
agrees that any court having jurisdiction to foreclose such lien may order the
Property sold as an entirety. Mortgagor hereby waives any and all rights of
redemption from sale under the power of sale contained herein or any order or
decree of foreclosure of this Mortgage on its behalf and on behalf of each and
every person, except decree or judgment creditors of Mortgagor, acquiring any
interest in or title to the Property subsequent to the date of this Mortgage.

                                      -12-
<PAGE>   13

         7.5.   ESTOPPEL AFFIDAVITS. Mortgagor, within fifteen (15) days after
written request from Mortgagee, shall furnish a written statement, duly
acknowledged, setting forth the unpaid principal of, and interest on, the
Secured Obligations and stating whether or not any offset or defense exists
against such Secured Obligations, and covering such other matters as Mortgagee
may reasonably require.

         7.6.   MERGER. No merger shall occur as a result of Mortgagee's
acquiring any other estate in or any other lien on the Property unless Mortgagee
consents to a merger in writing.

         7.7.   BINDING ON SUCCESSORS AND ASSIGNS. This Mortgage and all
provisions hereof shall be binding upon Mortgagor and all persons claiming under
or through Mortgagor, and shall inure to the benefit of Mortgagee and its
successors and assigns.

         7.8.   CAPTIONS. The captions and headings of various paragraphs of
this Mortgage are for convenience only and are not to be construed as defining
or limiting, in any way, the scope or intent of the provisions hereof.

         7.9.   SEVERABILITY. If all or any portion of any provision of this
Mortgage shall be held to be invalid, illegal or unenforceable in any respect,
then such invalidity, illegality or unenforceability shall not affect any other
provision hereof or thereof, and such provision shall be limited and construed
as if such invalid, illegal or unenforceable provision or portion thereof was
not contained herein.

         7.10.  EFFECT OF EXTENSIONS OF TIME AND AMENDMENTS. If the payment of
the Secured Obligations or any part thereof be extended or varied or if any part
of the security be released, all persons now or at any time hereafter liable
therefor, or interested in the Property, shall be held to assent to such
extension, variation or release, and their liability and the lien and all
provisions hereof shall continue in full force, the right of recourse, if any,
against all such persons being expressly reserved by Mortgagee, notwithstanding
such extension, variation or release. Nothing in this SECTION 7.10 shall be
construed as waiving any provision contained herein or in the Loan Documents
which provides, among other things, that it shall constitute an Event of Default
if the Property be sold, conveyed, or encumbered.

         7.11.  MORTGAGEE'S LIEN FOR SERVICE CHARGE AND EXPENSES. At all times,
regardless of whether any proceeds of the loan secured hereby have been
disbursed, this Mortgage secures (in addition to the amounts secured hereby) the
payment of any and all commissions, service charges, liquidated damages,
expenses and advances due to or incurred by Mortgagee in connection with such
loan; provided, however, that in no event shall the total amount secured hereby
exceed two hundred percent (200%) of the face amount of the Note.

         7.12.  APPLICABLE LAW. This Mortgage shall be governed by and construed
under the internal laws of the State in which the Property is located.

         7.13.  LIMITATION OF LIABILITY. The personal liability of Mortgagor and
its general partner hereunder is limited to the extent set forth in SECTION 9.18
of the Loan Agreement.

         7.14.  DUE ON SALE CLAUSE. As more fully set forth in SECTION 6.4 of
the Loan Agreement, the transfer or encumbrance of the Property, or any interest
therein, or the transfer of

                                      -13-
<PAGE>   14

an interest in Mortgagor, except for the permitted transfers set forth in
SECTION 6.5 of the Loan Agreement, without prior written consent of Mortgagee,
shall constitute an Event of Default.

         7.15.  TIME IS OF THE ESSENCE. Time is of the essence with respect to
each and every covenant, agreement and obligation of Mortgagor under this
Mortgage, the Note and the other Loan Documents.

         7.16.  RECORDATION. Mortgagor forthwith upon the execution and delivery
of this Mortgage, and thereafter from time to time, will cause this Mortgage,
and any security instrument creating a lien or evidencing the lien hereof upon
the Property, or any portion thereof, and each instrument of further assurance,
to be filed, registered or recorded in such manner and in such places as may be
required by any present or future law in order to publish notice of and fully to
protect the lien hereof upon, and the interest of Mortgagee in, the Property.

         Mortgagor will pay all filing, registration or recording fees and
taxes, and all expenses incident to the preparation, execution and
acknowledgment of this Mortgage, any mortgage supplemental hereto, any security
instrument with respect to the Property and any instrument of further assurance,
and all federal, state, county and municipal stamp taxes, duties, impositions,
assessments and charges arising out of or in connection with the execution and
delivery of the Note, this Mortgage, any mortgage supplemental hereto, any
security instrument, any other Loan Documents or any instrument of further
assurance.

         7.17.  MODIFICATIONS. This Mortgage may not be changed or terminated
except in writing signed by both parties. The provisions of this Mortgage shall
extend and be applicable to all renewals, amendments, extensions,
consolidations, and modifications of the other Loan Documents, and any and all
references herein to the Loan Documents shall be deemed to include any such
renewals, amendments, extensions, consolidations or modifications thereof.

         7.18.  INDEPENDENCE OF SECURITY. Except as may exist pursuant to
easements and agreements existing as of the date hereof which have been
disclosed to Mortgagee, Mortgagor shall not by act or omission permit any
building or other improvement on any premises not subject to the lien of this
Mortgage to rely on the Property or any part thereof or any interest therein to
fulfill any municipal or governmental requirement, and Mortgagor hereby assigns
to Mortgagee any and all rights to give consent for all or any portion of the
Property to rely on any premises not subject to the lien of this Mortgage or any
interest therein to fulfill any municipal or governmental requirement. Mortgagor
shall not by act or omission impair the integrity of the Property as a single
zoning lot, and as one or more complete tax parcels, separate and apart from all
other premises. Any act or omission by Mortgagor which would result in a
violation of any of the provisions of this SECTION 7.18 shall be void.

8.      GEORGIA LAW PROVISIONS. The following provisions are included in this
Mortgage and shall prevail to the extent of any conflict with any other
provision of this Mortgage.

         8.1.   HABENDUM CLAUSE. TO HAVE AND TO HOLD all and singular the
Property, whether now owned or held or hereafter acquired, unto Mortgagee and
its successors and assigns, forever in fee simple, WITH POWER OF SALE, upon the
terms and conditions herein

                                      -14-
<PAGE>   15

set forth for the benefit and security of the Note and for the enforcement of
the payment of the principal, premium and interest on the Note in accordance
with its terms, and all other sums payable hereunder or under the Note and the
performance and observance of the provisions of the Note and this Mortgage, all
as herein set forth.

         IT IS HEREBY COVENANTED, DECLARED AND AGREED that the Note is to be
issued under and secured by this Mortgage and that the Property is to be held by
Mortgagee upon and subject to the provisions of the Mortgage.

         THIS INSTRUMENT is a deed passing title to the Property to Mortgagee
and is made under laws of the State of Georgia relating to deeds to secure debt,
and is not a mortgage, and is given to secure the Secured Obligations evidenced
by the Note and the performance and observance of the provisions of the Loan
Documents.

         SHOULD THE INDEBTEDNESS BE PAID according to the tenor and effect
thereof when the same shall become due and payable, and should Mortgagor perform
all covenants and obligations herein contained in a timely manner, then this
Mortgage shall be canceled and surrendered.

9.      DELIVERY OF MORTGAGE. Mortgagor hereby acknowledges that it has received
a copy of this Mortgage.

10.     FUTURE ADVANCES. This Mortgage is given to secure not only the existing
indebtedness, but also any and all future advances and disbursements (the
"Future Advances") now and hereafter (i) made by Mortgagee to Mortgagor under
the terms of the Loan Documents, and (ii) made prior to Mortgagee receiving
"actual notice" (as such term is defined in Section 44-14-2 1(b) of the Official
Code of Georgia Annotated) of any transfer by Mortgagor of the Property or any
valuable interest therein, regardless of the total amount of such advances and
disbursements and regardless of whether such total amount of advances and
disbursements should exceed the aggregate face amount of the Note, together with
any and all additional advances made by Mortgagee to protect and preserve the
Property or the security interest created hereby in the Property, or for the
payment of any insurance premiums, or for the performance of any of Mortgagor's
obligations hereunder or under the Loan Documents, or for another purpose
provided herein or therein (to the extent permitted by applicable law).

                                      -15-
<PAGE>   16

         IN WITNESS WHEREOF, Mortgagor has executed, sealed and delivered this
Mortgage under seal as of the date first written above.

                                    MORTGAGOR

Signed, sealed and delivered
in the Presence of:                 GLIMCHER PROPERTIES LIMITED
                                    PARTNERSHIP, a Delaware
                                    limited partnership

                                    By: Glimcher Properties Corporation,
------------------------------          a Delaware Corporation, its
Unofficial Witness                      sole general partner

                                     By: /s/ William G. Cornely
                                         -----------------------------------
/s/ Carolee J. Oertel                    William G. Cornely
------------------------------           Executive Vice President
Notary Public                            Chief Financial Officer and COO

My Commission expires: 1-30-2000
                                     (CORPORATE SEAL)
[Notary Seal]

                                      -16-
<PAGE>   17

                                    EXHIBIT A
                                    ---------

                                LEGAL DESCRIPTION
                                -----------------

PARCEL I

All that tract or parcel of land lying and being located in the 1269th G.M.D.,
west of the City of Augusta, (Richmond County and Columbia County) Georgia,
containing 44.79 acres and being more particularly described as follows:

Beginning at the intersection of the southerly right of way of Scott Nixon
Memorial Drive and the easterly right of way of Bobby Jones Expressway
(Interstate 520); thence along the easterly right of way of Bobby Jones
Expressway (Interstate 520) in a northerly direction a distance of 288.29 feet
to a #4 rebar found being the POINT OF BEGINNING; thence along the easterly
right of way of Bobby Jones Expressway (Interstate 520) North 18 degree  54'47"
West a distance of 768.39 feet to a #4 rebar set; thence leaving the easterly
right of way of Bobby Jones Expressway (Interstate 520) North 71 degree 05'13"
East a distance of 250.00 feet to a #4 rebar found; thence North
18 degree 56'40" West a distance of 58.63 feet to a p.k. nail found; thence
18 degree 46'40" West a distance of 8.63 feet to a #4 rebar found; thence along
a curve a length of 729.94 feet having a radius of 2970.47 feet with a chord of
North 25 degree 06'12" West a distance of 728.10 feet to a p.k. nail found;
thence South 64 degree 48'55" West a distance of 251.98 feet to a p.k. nail
found on the easterly right of way of Bobby Jones Expressway; thence along the
easterly right of way of Bobby Jones Expressway as it curves a length of 280.40
feet having a radius of 2720.43 feet with a chord of North 35 degree 43'47" West
a distance of 280.28 feet to a #4 rebar found; thence leaving the easterly right
of way of Bobby Jones Expressway (Interstate 520) North 58 degree 09'13" East a
distance of 242.05 feet to an "X" in concrete found; thence North
38 degree 12'59" West a distance of 240.00 feet to a #4 rebar found; thence
South 46 degree 21'59" West a distance of 251.34 feet to a #4 rebar found on the
easterly right of way of Bobby Jones Expressway (Interstate 520); thence along
the easterly right of way of Bobby Jones Expressway (Interstate 520) North
46 degree 26'56" West a distance of 55.04 feet to a 3" open top pipe found;
thence leaving the easterly right of way of Bobby Jones Expressway (Interstate
520) North 50 degree 11'42" East a distance of 234.51 feet to a #4 rebar set;
thence North 50 degree 21'20" East a distance of 418.09 feet to a #8 rebar
found; thence South 67 degree 09'37" East a distance of 136.30 feet to a #4
rebar found; thence North 66 degree 01'32" East a distance of 30.12 feet to a #4
rebar set; thence North 24 degree 00'33" West a distance of 21.46 feet to a #4
rebar set; thence North 74 degree 19'40" East a distance of 199.10 feet to a
point; thence North 74 degree 14'14" East a distance of 176.76 feet to a point;
thence North 74 degree 17'39" East a distance of 18.80 feet to a p.k. nail set;
thence South 23 degree 22'34" East a distance of 288.86 feet to a p.k. nail set;
thence South 18 degree 41'24" East a distance of 182.37 feet to a #4 rebar set;
thence South 00 degree 36'30" West a distance of 59.01 feet to a #4 rebar set;
thence South 11 degree 11'48" East a distance of 440.80 feet to a #4 rebar set;
thence South 46 degree 00'51" East a distance of 71.42 feet to a #4 rebar set;
thence South 20 degree 49'39" East a distance of 179.32 feet to a #4 rebar set;
thence South 80 degree 43'27" East a distance of 119.77 feet to a #4 rebar
found; thence along a curve a length of 135.16 feet having a radius of 1014.30
feet with a chord of South 05 degree 36'51" East a distance of 135.06 feet to a
#4 rebar found; thence along a curve a length of 40.01 feet having a radius of
1014.30 feet with a chord of South 10 degree 35'02" East a distance of 40.01
feet to a #4 rebar found; thence along a curve a length of 106.24 feet having a
radius of 1014.30 feet with a chord of South 15 degree 04'59" East a distance of
106.19 feet to a #4 rebar found; thence South 17 degree 37'24" East

                                      -17-
<PAGE>   18

a distance of 293.63 feet to a #4 rebar found; thence South 24 degree 02'29"
East a distance of 149.29 feet to a #4 rebar found; thence South 24 degree
00'22" East a distance of 342.43 feet to a #4 rebar found on the northerly right
of way of Scott Nixon Memorial Drive; thence along the northerly right of way of
Scott Nixon Memorial Drive South 65 degree 48'43" West a distance of 687.66 feet
to a #4 rebar found; thence along the northerly right of way of Scott Nixon
Memorial Drive North 22 degree 01'16" West a distance of 10.00 feet to a #4
rebar found; thence continuing along the northerly right of way of Scott
Memorial Drive South 65 degree 52'29" West a distance of 76.80 feet to a #4
rebar found; thence leaving the northerly right of way of Scott Memorial Drive
North 09 degree 40'14" West a distance of 218.29 feet to a #4 rebar found;
thence South 71 degree 00'30" West a distance of 230.10 feet to the POINT OF
BEGINNING.

PARCEL II

Together with Easement for the benefit of Parcel I, which constitutes rights in
real property created, defined and limited by that certain Cross Easement
entered into and between Hubert E. Anderson and Frances F. Anderson and Dayton &
Associates-XVI, a South Carolina General Partnership, dated July 30, 1987 and
recorded August 3, 1987 in Realty Reel 267, Page 1940, in Richmond County,
Georgia and recorded in Deed Book 602, Pages 56 through 65, in Columbia County,
Georgia, and by that subsequent Easement Agreement entered into and between
Hubert E. Anderson and Frances F. Anderson and Dayton & Associates-XVI, a South
Carolina General Partnership, dated August 16, 1989 and recorded August 17, 1989
in Realty Reel 316, Page 1248, in Richmond County, Georgia, and recorded August
18, 1989 in Deed Book 771, Page 277, in Columbia County, Georgia.

PARCEL III

Together with Easement for the benefit of Parcel I, which constitutes rights in
real property created, defined and limited by that certain Declaration of
Restrictions and Easements, imposed by Dayton & Associates-XVI, a South Carolina
General Partnership, dated August 16, 1989, recorded in Deed Book 780, Page 271,
in Columbia County, Georgia, and recorded September 20, 1989 in Realty Reel 316,
Page 1238, in Richmond County, Georgia.

PARCEL IV

Together with Easement for the benefit of Parcel I, which constitutes rights in
real property created, defined and limited by that certain Easement Agreement
between Richmond County and PaineWebber Retail Property Investments, Inc., dated
January 7, 1992 and recorded January 17, 1992 in Realty Reel 376, Page 1048,
Richmond County, Georgia.

PARCEL V

Together with Easements for the benefit of Parcel I, which constitutes rights in
real property created, defined and limited by that certain First Amendment to
Declaration of Restrictions and Easements between PaineWebber Retail Property
Investments, Ltd. and Wal-Mart Stores, Inc., dated December 18, 1992 and
recorded February 9, 1993 in Deed Book 1174, Pages 297-302, in

                                      -18-
<PAGE>   19

Columbia County, Georgia, and recorded February 14, 1997 in Realty Reel 548,
Pages 948-955, in Richmond County, Georgia.

PARCEL VI

Together with Easements for the benefit of Parcel I, which constitutes rights in
real property created, defined and limited by that certain Easement Agreement
with Covenants and Restrictions Affection Land ("ECR") between Wal-Mart Stores,
Inc. and PaineWebber Retail Property Investments, Ltd., dated October 16, 1996
and recorded October 30, 1996 in Realty Reel 538, Pages 1002-1017, in Richmond
County, Georgia, and recorded November 21, 1996 in Deed Book 1778, Pages
193-207, in Columbia County, Georgia.

                                      -19-

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