Document:

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                                                                    EXHIBIT 10.1

                              EMPLOYMENT AGREEMENT

           AGREEMENT ("Agreement"), dated as of September 14, 2000, by and
between New Plan Excel Realty Trust, Inc., a Maryland corporation (the
"Company") and Leonard Brumberg ("Executive").

                                     RECITAL

           The Company desires to employ Executive on the terms and conditions
set forth in this Agreement, and Executive desires to be so employed.

                                    AGREEMENT

            IN CONSIDERATION of the premises and the mutual covenants set forth
below, the parties hereby agree as follows:

           1.        Employment.  The Company hereby agrees to employ Executive
and Executive hereby accepts such employment, on the terms and conditions
hereinafter set forth.

           2.        Term. The period of employment of Executive by the Company
hereunder (the "Employment Period") shall commence on the date Executive
commences full time employment with the Company (the "Effective Date") (but in
no event later than October 1, 2000) and shall continue through the third
anniversary of the Effective Date. Thereafter, the Employment Period shall
automatically be extended for one (1) additional year unless either party shall
provide notice of nonrenewal not less than six (6) months prior to the date on
which such extension would be effective. The Employment Period may be sooner
terminated by either party in accordance with Section 6 of this Agreement. At
the time Executive ceases to be a full-time employee of the Company, the
Executive agrees that he shall resign from any positions Executive holds as a
director, trustee or officer of the Company and its subsidiaries and any entity
in control of, controlled by or under common control with the Company or in
which the Company owns any common or preferred stock or interest or any entity
in control of, controlled by or under common control with such entity
("Affiliate") and as a member of any committee of the board of directors and the
board of trustees of the Company and its subsidiaries and Affiliates of which he
is a member.

           3.        Position and Duties.

                     (a)       Executive Vice President.  At all times during
the Employment Period, Executive shall serve as an Executive Vice President of
the Company. Executive shall have those powers and duties normally associated
with the position of an Executive Vice President and such other powers and
duties as may be properly prescribed by the Chief Executive Officer of the
Company, provided that such other powers and duties are consistent with
Executive's position as an Executive Vice President. Except as specifically set
forth in this section, Executive shall

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perform full-time services for the Company and devote such time, attention and
energies to Company affairs as are necessary to fully perform his duties (other
than absences due to illness or vacation) for the Company. Notwithstanding the
above, Executive shall be permitted, to the extent such activities do not
materially and adversely affect the ability of Executive to fully perform his
duties and responsibilities hereunder, to (i) manage Executive's personal,
financial and legal affairs and (ii) serve on civic or charitable boards or
committees.

           4.        Place of Performance. The principal place of employment of
Executive shall be at the Company's corporate offices in New York, New York.

           5.        Compensation and Related Matters.

                     (a)     Salary.  During the Employment Period, the Company
shall pay Executive an annual base salary of $250,000 ("Base Salary").
Executive's Base Salary shall be paid in approximately equal installments in
accordance with the Company's customary payroll practices. If Executive's Base
Salary is increased by the Company, such increased Base Salary shall then
constitute the Base Salary for all purposes of this Agreement.

                     (b)     Bonus.  The executive compensation and stock option
committee (the "Compensation Committee") of the Board of Directors of the
Company (the "Board") shall review Executive's performance at least annually
during each year of the Employment Period and cause the Company to award
Executive a cash bonus which the Compensation Committee shall reasonably
determine as fairly compensating and rewarding Executive for services rendered
to the Company and/or as an incentive for continued service to the Company, but
in no event shall Executive's bonus for the 2000 calendar year be less than
$100,000 (the "First Year Bonus") (calculated on a prorated basis based on the
number of days in calendar year 2000 from and after the Effective Date). The
amount of Executive's cash bonus shall be determined in the discretion of the
Compensation Committee and shall be dependent upon, among other things, the
achievement of certain performance levels by the Company, including, without
limitation, growth in funds from operations, and Executive's performance and
contribution to increasing the funds from operations. Notwithstanding anything
contained herein to the contrary, except with respect to the First Year Bonus,
there shall be no guarantee as to the amount of Executive's yearly bonus and a
decrease in Executive's bonus to an amount less than the First Year Bonus shall
not constitute a breach or violation of this Agreement by the Company or
constitute a Good Reason Event.

                     (c)     Expenses.  The Company shall promptly reimburse
Executive for all reasonable business expenses upon the presentation of
reasonably itemized statements of such expenses in accordance with the Company's
policies and procedures now in force or as such policies and procedures may be
modified with respect to all senior executive officers of the Company.

                     (d)     Vacation.  Executive shall be entitled to the
number of weeks of vacation per year provided to the Company's senior executive
officers, but in no event less than four (4) weeks annually.

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                     (e)     Welfare, Pension and Incentive Benefit Plans.
During the Employment Period, Executive (and his spouse and dependents to the
extent provided therein) shall be entitled to participate in and be covered
under all the welfare benefit plans or programs maintained by the Company from
time to time on terms no less favorable than provided for any of its full time
senior executives (other than the Chief Executive Officer) including, without
limitation, all medical, hospitalization, dental, disability, accidental death
and dismemberment and travel accident insurance plans and programs. In addition,
during the Employment Period, Executive shall be eligible to participate in and
be covered under all pension, retirement, savings and other employee benefit,
perquisite, change in control and executive compensation plans and any annual
incentive or long-term performance plans and programs maintained from time to
time by the Company on terms no less favorable than provided for any of its full
time senior executives (other than the Chief Executive Officer).

                     (f)     Automobile.  During the Employment Period, the
Company shall provide Executive with an automobile allowance in the amount of
$600 per month or, in lieu thereof, at the Company's election, the Company shall
purchase and allow Executive the use of a Company automobile of a quality and
nature similar to other senior executives of the Company (other than the Chief
Executive Officer).

                     (g)     Option.  Executive shall be granted on the
Effective Date options ("Option") to purchase seventy five thousand (75,000)
shares of common stock of the Company ("Shares"). Such Option shall be granted
by the Compensation Committee pursuant to the 1993 Stock Option Plan of New Plan
Excel Realty Trust, Inc., as amended ("Stock Option Plan"). The Option shall be
an incentive stock option to the extent permissible under the limitations
applicable to incentive stock options under the Stock Option Plan and under
applicable law. The Option shall have an exercise price per Share equal to the
fair market value (as defined in the Stock Option Plan) of a Share underlying an
option granted on the Effective Date, i.e., the closing price on the last
trading day preceding the Effective Date (the "Effective Date Market Price").

                     (i) Of the Option, options to purchase fifty four thousand
                     (54,000) Shares ("Time Vested Options") shall become vested
                     at the rate of ten thousand eight hundred (10,800) Shares
                     on each anniversary of the Effective Date. Notwithstanding
                     the foregoing, Time Vested Options shall become vested if
                     the Executive's employment is terminated (x) during the
                     Employment Period but after the first anniversary of the
                     Effective Date by the Company without "Cause" (as herein
                     defined) or by the Executive for "Good Reason" (as herein
                     defined) or (y) after the Employment Period if Executive's
                     termination after the expiration of the Employment Period
                     would have accelerated the vesting of the Time Vested
                     Options if such employment was terminated during the
                     Employment Period, as provided, in (x) above. In addition,
                     if the Executive dies or the Executive's employment is
                     terminated because of Disability during the Employment
                     Period, 50% of the Time Vested Options which were not
                     vested immediately prior to his death or Disability shall
                     become vested on the date of his death or Disability.

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Subject to the provisions of the Stock Option Plan, the Time Vested Options
shall have a maximum term of ten years from the Effective Date but no additional
vesting of Time Vested Options shall occur after termination of Executive's
employment (subject however to acceleration of said Time Vested Options as
otherwise specifically provided in this Agreement) and the Time Vested Options
shall terminate earlier [1] on the ninetieth (90th) day after Executive is no
longer employed by the Company on a full-time basis for any reason other than
death or Disability, or [2] on the first anniversary of the Executive's
termination of employment by reason of death or Disability.

(ii) Of the Option, options to purchase twenty-one thousand (21,000) Shares
("Performance Vested Options") shall vest on the eighth anniversary of the
Effective Date provided Executive is a full-time employee of the Company at such
time or may vest earlier on the basis of performance as herein described.

                        [1]     Performance Vested Options for ten thousand five
           hundred (10,500) Shares shall vest on the fourth anniversary of the
           Effective Date if the annualized return on investment on a Share from
           the Effective Date through the fourth anniversary of the Effective
           Date (determined in good faith by the Compensation Committee based
           upon dividends paid and appreciation in Share price during such
           period) ("Cumulative Four Year ROI") is at least 16%. If Cumulative
           Four Year ROI is not greater than 14%, no Performance Vested Options
           shall vest on the fourth anniversary of the Effective Date. To the
           extent Cumulative Four Year ROI is greater than 14% but not at least
           16%, Performance Vested Options for fifty two and one-half (52.5)
           Shares shall become vested on the fourth anniversary of the Effective
           Date for each .01% by which Cumulative Four Year ROI exceeds 14%.

                        [2]     All Performance Vested Options which have not
           previously vested shall vest on the fifth anniversary of the
           Effective Date if the annualized return on investment of a Share from
           the Effective Date through the fifth anniversary of the Effective
           Date (determined in good faith by the Compensation Committee based
           upon dividends paid and appreciation in Share price during such
           period) ("Cumulative Five Year ROI") is at least 16%. If Cumulative
           Five Year ROI is not greater than 14%, no additional Performance
           Vested Options shall vest on the fifth anniversary of the Effective
           Date. To the extent Cumulative Five Year ROI is greater than 14% but
           not at least 16%, for each .01% by which Cumulative Five Year ROI
           exceeds 14%, additional Performance Vested Options shall become
           vested for a number of Shares equal to the quotient of (A) the
           difference between twenty-one thousand (21,000) and the number of
           Performance Vested Options which became vested on the fourth
           anniversary of the Effective Date and (B) two hundred (200).

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                        [3]     Notwithstanding the foregoing, Performance
           Vested Options shall become vested if the Executive's employment with
           the Company is terminated by the Company (x) during the Employment
           Period but after the first anniversary of the Effective Date by the
           Company without "Cause" (as herein defined) or by the Executive for
           "Good Reason" (as herein defined) or (y) after the Employment Period
           if Executive's termination after the expiration of the Employment
           Period would have accelerated the vesting of the Performance Vested
           Options if such employment was terminated during the Employment
           Period, as provided in (x) above. If the Executive dies or the
           Executive's employment is terminated because of Disability during the
           Employment Period prior to the fourth anniversary of the Effective
           Date, Performance Vested Options for ten thousand five hundred
           (10,500) Shares shall vest if the cumulative return on investment
           from the Effective Date through the date of death or termination of
           Executive's employment because of Disability is at least 16% or
           Performance Vested Options for fifty-two and one half (52.5) Shares
           for each .01% by which the cumulative return on investment from the
           Effective Date through the date of death or Disability exceeds 14%
           (up to 16%) shall vest (such determinations to be made in a manner
           consistent with the Cumulative Four Year ROI calculations). Subject
           to the provisions of the Stock Option Plan, the Performance Vested
           Options shall have a maximum term of ten years but no additional
           vesting of Performance Vested Options shall occur after termination
           of Executive's employment (subject however to acceleration of said
           Time Vested Options as otherwise specifically provided in this
           Agreement) and the Performance Vested Options shall terminate earlier
           [A] on the ninetieth (90th) day after Executive is no longer employed
           by the Company as a full-time employee for any reason other than
           death or Disability, or [B] on the first anniversary of the
           Executive's termination of employment by reason of death or
           Disability.

     (i)   No Hedging.  During the Employment Period, Executive will not in any
way attempt to limit the financial risk with respect to the Options which are
not vested by means of any hedging (including without limitation, selling short)
or other techniques.

 6.  Termination.  Executive's employment hereunder may be terminated during the
Employment Period under the following circumstances:

     (a)   Death.  Executive's employment hereunder shall terminate upon his
death.

     (b)   Disability.  If, as a result of Executive's incapacity due to
physical or mental illness, Executive shall have been substantially unable to
perform his duties hereunder for an entire period of one hundred twenty (120)
days, and within thirty (30) days after written Notice of Termination (as
defined in Section 7(a)) is given after such one hundred twenty (120) day
period, Executive shall not have returned to the substantial performance of his
duties on a

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full-time basis, the Company shall have the right to terminate Executive's
employment hereunder for "Disability", and such termination in and of itself
shall not be, nor shall it be deemed to be, a breach of this Agreement. For
purposes of this Agreement, the Disability of Executive shall be determined by
an independent physician mutually selected by the Company and Executive.

     (c)   Cause.  The Company shall have the right to terminate Executive's
employment for Cause, and such termination in and of itself shall not be, nor
shall it be deemed to be, a breach of this Agreement. For purposes of this
Agreement, the Company shall have "Cause" to terminate Executive's employment
upon Executive's:

           (i)     conviction of, or plea of guilty or nolo contendere
     to, a felony; or

           (ii)    willful and continued failure to use reasonable best efforts
     to substantially perform his duties hereunder (other than such failure
     resulting from Executive's incapacity due to physical or mental illness or
     subsequent to the issuance of a Notice of Termination by Executive for Good
     Reason (as defined in Section 6(d)) after demand for substantial
     performance is delivered by the Company in writing that specifically
     identifies the manner in which the Company believes Executive has not used
     reasonable best efforts to substantially perform his duties; or

           (iii)   willful misconduct (including, but not limited to, a willful
     breach of the provisions of Section 10) that is materially economically
     injurious to the Company or to any Affiliate.

           For purposes of this Section 6(c), no act, or failure to act, by
Executive shall be considered "willful" unless committed in bad faith and
without a reasonable belief that the act or omission was in the best interests
of the Company or any Affiliates thereof; provided, however, that the willful
requirement outlined in paragraphs (ii) or (iii) above shall be deemed to have
occurred if the Executive's action or non-action continues for more than ten
(10) days after Executive has received written notice of the inappropriate
action or non-action. Failure to achieve performance goals, in and of itself,
shall in no event be grounds for a termination for Cause hereunder. Cause shall
not exist under paragraph (ii) or (iii) above unless and until the Company has
delivered to Executive a copy of a resolution duly adopted by a majority of the
Board (excluding Executive for purposes of determining such majority) at a
meeting of the Board called and held for such purpose (after reasonable (but in
no event less than thirty (30) days) notice to Executive and an opportunity for
Executive, together with his counsel, to be heard before the Board), finding
that in the good faith opinion of the Board, Executive was guilty of the conduct
set forth in paragraph (ii) or (iii) and specifying the particulars thereof in
detail. This Section 6(c) shall not prevent Executive from challenging in any
court of competent jurisdiction the Board's determination that Cause exists or
that Executive has failed to cure any act (or failure to act) that purportedly
formed the basis for the Board's determination.

     (d)   Good Reason.  Executive may terminate his employment for "Good
Reason" upon the occurrence, without the written consent of Executive, of one of
the following

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events (a "Good Reason Event"); provided, however, that the Company shall have
the right to challenge in any court of competent jurisdiction the Executive's
determination that he has the right to terminate his employment for "Good
Reason.":

                     (i)     the assignment to Executive of duties materially
           and adversely inconsistent with Executive's status as an Executive
           Vice President of the Company or a material and adverse alteration in
           the nature of Executive's duties and/or responsibilities, reporting
           obligations, titles or authority as an Executive Vice President;

                     (ii)    a reduction by the Company in Executive's Base
           Salary or a failure by the Company to pay any such amounts when due;

                     (iii)   the relocation of the Company's executive offices
           or Executive's own office location to a location that is more than
           fifty (50) miles from New York, New York;

                     (iv)    any purported termination of Executive's employment
           for Cause which is not effected substantially in accordance with the
           procedures of Section 6(c) (and for purposes of this Agreement, no
           such purported termination shall be effective);

                     (v)     the failure to grant the Option as provided in
           Section 5(g) of this Agreement or the Company's failure to pay or
           provide in any material respect any employee benefits due to be
           provided to Executive under this Agreement;

                     (vi)    the Company's failure to provide in all material
           respects the indemnification set forth in Section 11 of this
           Agreement, or to require any successor to assume and agree to perform
           this Agreement as set forth in Section 13 of this Agreement; or

                     (vii)   a Change in Control (as defined below) of the
           Company.

           In order for the Executive to terminate his employment hereunder for
Good Reason, the Executive shall be required to give the Company written notice
(the "Cure Notice") of the alleged Good Reason Event within thirty (30) days
following the date on which the Executive obtains actual knowledge of the
occurrence of such Good Reason Event, which Cure Notice shall indicate the
specific termination provision in this Agreement relied upon and shall set forth
in reasonable detail the facts and circumstances claimed to constitute such Good
Reason Event. In the event that the Company fails to cure such alleged Good
Reason Event within thirty (30) days (the "Cure Period") following the date on
which the Executive delivered the Cure Notice to the Company, then Executive
shall have a period of thirty (30) days from the expiration of the Cure Period
to deliver a Notice of Termination pursuant to Section 7(a) hereof.
Notwithstanding anything to the contrary contained in this Agreement, in the
event that the Executive fails to deliver the Cure Notice or the Notice of
Termination within the required time

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periods set forth above (time being of the essence with respect thereto), then
Executive shall thereafter waive any rights to terminate this Agreement with
respect to the facts and circumstances giving rise to such Good Reason Event.

           Executive's right to terminate his employment hereunder for Good
Reason shall not be affected by his incapacity due to physical or mental
illness. Executive's continued employment during the Cure Period shall not
constitute consent to, or a waiver of rights with respect to, any act or failure
to act constituting Good Reason hereunder.

           If Executive terminates employment hereunder for Good Reason and is
reemployed by the Company or any successor within six months of such termination
of employment, Executive's termination of employment shall retroactively not be
considered a termination for Good Reason and Executive shall have no entitlement
to any payments or benefits pursuant to Section 8(a) (including without
limitation, Section 8(a)(v)). To the extent Executive has already received
payments or benefits pursuant to Section 8(a) (including without limitation,
Section 8(a)(v)), Executive shall repay to the Company such payments or benefits
or make other equitable restitution to the Company, as the Board shall
determine.

           For purposes of this Agreement, a "Change in Control" of the Company
means the occurrence of one of the following events:

                                (1)   individuals who, on the Effective Date,
                      constitute the Board (the "Incumbent Directors") cease for
                      any reason to constitute at least a majority of the Board,
                      provided that any person becoming a director subsequent to
                      the Effective Date whose election or nomination for
                      election was approved by a vote of a majority of the
                      Incumbent Directors then on the Board (either by a
                      specific vote or by approval of the proxy statement of the
                      Company in which such person is named as a nominee for
                      director, without objection to such nomination) shall be
                      an Incumbent Director; provided, however, that no
                      individual initially elected or nominated as a director of
                      the Company as a result of an actual or threatened
                      election contest with respect to directors or as a result
                      of any other actual or threatened solicitation of proxies
                      by or on behalf of any person other than the Board shall
                      be an Incumbent Director;

                                (2)   any "person" (as such term is defined in
                      Section 3(a)(9) of the Securities Exchange Act of 1934
                      (the "Exchange Act") and as used in Sections 13(d)(3) and
                      14(d)(2) of the Exchange Act) is or becomes, after the
                      Effective Date, a "beneficial owner" (as defined in Rule
                      13d-3 under the Exchange Act), directly or indirectly, of
                      securities of the Company representing 30% or more of the
                      combined voting power of the Company's then outstanding
                      securities eligible to vote for the election of the Board
                      (the "Company Voting Securities"); provided, however, that
                      an event described in this paragraph (2) shall not be
                      deemed to be a Change in Control if any of following
                      becomes such a beneficial owner: (A) the Company or any
                      majority-owned entity (provided, that this exclusion
                      applies solely to the ownership levels of the Company or
                      the majority-owned entity), (B)

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                      any tax-qualified, broad-based employee benefit plan
                      sponsored or maintained by the Company or any
                      majority-owned entity, (C) any underwriter temporarily
                      holding securities pursuant to an offering of such
                      securities, (D) any person pursuant to a Non-Qualifying
                      Transaction (as defined in paragraph (3)), or (E)
                      Executive or any group of persons including Executive (or
                      any entity controlled by Executive or any group of persons
                      including Executive);

                                (3)   the consummation of a merger,
                      consolidation, share exchange or similar form of
                      transaction involving the Company or any of its
                      subsidiaries, or the sale of all or substantially all of
                      the Company's assets (a "Business Transaction"), unless
                      immediately following such Business Transaction (i) more
                      than 50% of the total voting power of the entity resulting
                      from such Business Transaction or the entity acquiring the
                      Company's assets in such Business Transaction (the
                      "Surviving Corporation") is beneficially owned, directly
                      or indirectly, by the Company's shareholders immediately
                      prior to any such Business Transaction, and (ii) no person
                      (other than the persons set forth in clauses (A), (B), or
                      (C) of paragraph (2) above or any tax-qualified,
                      broad-based employee benefit plan of the Surviving
                      Corporation or its Affiliates) beneficially owns, directly
                      or indirectly, 30% or more of the total voting power of
                      the Surviving Corporation (a "Non-Qualifying
                      Transaction"); provided, however, that in the event a
                      definitive agreement is entered into providing for the
                      occurrence of an event which, if consummated, would result
                      in a Change in Control of the Company (a "Merger Event"),
                      then all options and equity interests granted or acquired
                      by the Executive pursuant to this Agreement which have not
                      then become fully vested, shall become fully vested but
                      only on a provisional basis, for the sole purpose of
                      enabling the Executive to exercise any such options and
                      tender any such equity interests as necessary to permit
                      the Executive to participate in the Merger Event on the
                      same basis as all other stockholders. If the Merger Event
                      is consummated, such accelerated vesting shall no longer
                      be provisional. If the Merger Event is not consummated,
                      the Executive shall continue to have the same vested
                      status in his options and equity interests as he had
                      without regard to the provisional vesting terms included
                      herein; or

                                (4)   Board and to the extent necessary,
                      shareholder approval of a liquidation or dissolution of
                      the Company, unless the voting common equity interests of
                      an ongoing entity (other than a liquidating trust) are
                      beneficially owned, directly or indirectly, by the
                      Company's shareholders in substantially the same
                      proportions as such shareholders owned the Company's
                      outstanding voting common equity interests immediately
                      prior to such liquidation and such ongoing entity assumes
                      all existing obligations of the Company to Executive under
                      this Agreement and the Stock Option Agreements pursuant to
                      which the Stock Options were granted.

                     (e)       Without Good Reason.  Executive shall have the
right to terminate his employment hereunder without Good Reason by providing the
Company with a Notice of

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Termination, and such termination shall not in and of itself be, nor shall it be
deemed to be, a breach of this Agreement.

     7.    Termination Procedure.

           (a)       Notice of Termination.  Any termination of Executive's
employment by the Company or by Executive during the Employment Period (other
than termination pursuant to Section 6(a)) shall be communicated by written
Notice of Termination to the other party hereto in accordance with Section 14
and subject to the other provisions of this Agreement. For purposes of this
Agreement, a "Notice of Termination" shall mean a notice which shall indicate
the specific termination provision in this Agreement relied upon and shall set
forth in reasonable detail the facts and circumstances claimed to provide a
basis for termination of Executive's employment under the provision so
indicated.

           (b)       Date of Termination.  "Date of Termination" shall mean (i)
if Executive's employment is terminated by his death, the date of his death,
(ii) if Executive's employment is terminated pursuant to Section 6(b), thirty
(30) days after Notice of Termination (provided that Executive shall not have
returned to the substantial performance of his duties on a full-time basis
during such thirty (30) day period), and (iii) if Executive's employment is
terminated for any other reason, the date on which a Notice of Termination is
given or any later date (within thirty (30) days after the giving of such
notice) set forth in such Notice of Termination.

     8.    Compensation Upon Termination or During Disability. In the event
Executive is disabled or his employment terminates during the Employment Period,
the Company shall provide Executive with the payments and benefits set forth
below; provided, however, as a specific condition to being entitled to any
payments or benefits under this Section 8 Executive must have resigned from any
position as a director, trustee and officer of the Company and all of its
subsidiaries and Affiliates and as a member of any committee of the board of
directors and the board of trustees of the Company and its subsidiaries and
Affiliates of which he is a member and must have joined the Company in having
executed a mutual release of the Company and its Affiliates, in a form
reasonably acceptable to the Company and Executive. Executive acknowledges and
agrees that the payments set forth in this Section 8 constitute liquidated
damages for termination of his employment during the Employment Period.

           (a)       Termination By Company Without Cause or By Executive for
Good Reason. If Executive's employment is terminated by the Company without
Cause or by Executive for Good Reason:

                     (i)     the Company shall pay to Executive his Base Salary
           and accrued vacation pay through the Date of Termination, as soon as
           practicable following the Date of Termination; and

                     (ii)    the Company shall pay to Executive a payment equal
           to two times Executive's average total cash compensation paid (Base
           Salary and bonus only) for the two (2) preceding fiscal years of the
           Company ending prior to termination

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           as soon as practicable following the Date of Termination; provided,
           however, if the Executive has previously given a notice of
           non-renewal with respect to the Employment Period pursuant to Section
           2, the payment referred to in this subsection (ii) shall not be made;

                     (iii)   the Company shall reimburse Executive pursuant to
           Section 5(c) for reasonable expenses incurred, but not paid prior to
           such termination of employment;

                     (iv)    Executive shall be entitled to any other rights,
           compensation and/or benefits as may be due to Executive in accordance
           with the terms and provisions of any agreements, plans or programs of
           the Company; and

                     (v)     to the extent that termination occurs after the
           first anniversary of the Effective Date, the stock options described
           in Section 5(g) shall fully vest as of the Date of Termination.

       The foregoing notwithstanding, the total of the severance payments
payable under this Section 8(a) shall be reduced to the extent the payment of
such amounts would cause Executive's total termination benefits (as determined
by Executive's tax advisor) to constitute an "excess" parachute payment under
Section 280G of the Internal Revenue Code of 1986, as amended (the "Code") and
by reason of such excess parachute payment Executive would be subject to an
excise tax under Section 4999(a) of the Code, but only if Executive determines
that the after-tax value of the termination benefits calculated with the
foregoing restriction exceed those calculated without the foregoing restriction.

               (b)   Termination by Company For Cause or By Executive
Without Good Reason. If Executive's employment is terminated by the Company for
Cause or by Executive (other than for Good Reason):

                     (i)    the Company shall pay Executive his Base Salary and,
       to the extent required by law or the Company's vacation policy, his
       accrued vacation pay through the Date of Termination, as soon as
       practicable following the Date of Termination; and

                     (ii)   the Company shall reimburse Executive pursuant to
       Section 5(c) for reasonable expenses incurred, but not paid prior to such
       termination of employment, unless such termination resulted from a
       misappropriation of Company funds; and

                     (iii)  Executive shall be entitled to any other rights,
       compensation and/or benefits as may be due to Executive in accordance
       with the terms and provisions of any agreements, plans or programs of the
       Company.

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               (c)   Disability.  During any period that Executive fails to
perform his duties hereunder as a result of incapacity due to physical or mental
illness ("Disability Period"), Executive shall continue to receive his full Base
Salary set forth in Section 5(a) until his employment is terminated pursuant to
Section 6(b). In the event Executive's employment is terminated for Disability
pursuant to Section 6(b):

                     (i)    the Company shall pay to Executive (A) his Base
               Salary and accrued vacation pay through the Date of Termination,
               as soon as practicable following the Date of Termination, and (B)
               continued Base Salary (as provided for in Section 5(a)) for six
               (6) months; and

                     (ii)   the Company shall reimburse Executive pursuant to
               Section 5(c) for reasonable expenses incurred, but not paid prior
               to such termination of employment; and

                     (iii)  Executive shall be entitled to any other rights,
               compensation and/or benefits as may be due to Executive in
               accordance with the terms and provisions of any agreements, plans
               or programs of the Company.

               (d)   Death.  If Executive's employment is terminated by his
death:

                     (i)    the Company shall pay in a lump sum to Executive's
               beneficiary, legal representatives or estate, as the case may be,
               Executive's Base Salary through the Date of Termination and one
               (1) times Executive's annual rate of Base Salary;

                     (ii)   the Company shall reimburse Executive's beneficiary,
               legal representatives, or estate, as the case may be, pursuant to
               Section 5(c) for reasonable expenses incurred, but not paid prior
               to such termination of employment; and

                     (iii)  Executive's beneficiary, legal representatives or
               estate, as the case may be, shall be entitled to any other
               rights, compensation and benefits as may be due to any such
               persons or estate in accordance with the terms and provisions of
               any agreements, plans or programs of the Company.

               (e)   Failure to Extend.  A failure to renew the term of this
Agreement by either party shall not be deemed to constitute a termination of
Executive's employment for purposes of this Agreement.

               (f)   Bonus.  In the event the Executive's termination of
employment occurs for any reason after the end of any fiscal year of the Company
for which annual bonus performance criteria have been established, the Executive
shall be entitled to payment of any bonus which is earned by reason of such
performance criteria having been met for such fiscal year according to

                                       12
<PAGE>   13

the performance criteria established, without regard to whether the Executive's
termination of employment precedes the bonus payment date.

     9.    Mitigation. Executive shall not be required to mitigate amounts
payable under this Agreement by seeking other employment or otherwise, and there
shall be no offset against amounts due Executive under this Agreement on account
of subsequent employment. Additionally, amounts owed to Executive under this
Agreement shall not be offset by any claims the Company may have against
Executive, and the Company's obligation to make the payments provided for in
this Agreement and otherwise to perform its obligations hereunder shall not be
affected by any other circumstances, including, without limitation, any
counterclaim, recoupment, defense or other right which the Company may have
against Executive or others.

     10.   Confidential Information, Ownership of Documents; Non-Competition.

           (a)   Confidential Information.  Executive shall hold in a fiduciary
capacity for the benefit of the Company all trade secrets and confidential
information, knowledge or data relating to the Company and its businesses and
investments, which shall have been obtained by Executive during Executive's
employment by the Company and which is not generally available public knowledge
(other than by acts by Executive in violation of this Agreement). Except as may
be required or appropriate in connection with his carrying out his duties under
this Agreement, Executive shall not, without the prior written consent of the
Company or as may otherwise be required by law or any legal process, or as is
necessary in connection with any adversarial proceeding against the Company (in
which case Executive shall use his reasonable best efforts in cooperating with
the Company in obtaining a protective order against disclosure by a court of
competent jurisdiction), communicate or divulge any such trade secrets,
information, knowledge or data to anyone other than the Company and those
designated by the Company or on behalf of the Company in the furtherance of its
business or to perform duties hereunder.

           (b)   Removal of Documents; Rights to Products.  All records, files,
drawings, documents, models, equipment, and the like relating to the Company's
business, which Executive has control over shall not be removed from the
Company's premises without its written consent, unless such removal is in the
furtherance of the Company's business or is in connection with Executive's
carrying out his duties under this Agreement and, if so removed, shall be
returned to the Company promptly after termination of Executive's employment
hereunder, or otherwise promptly after removal if such removal occurs following
termination of employment. Executive shall assign to the Company all rights to
trade secrets and other products relating to the Company's business developed by
him alone or in conjunction with others at any time while employed by the
Company.

           (c)   Protection of Business.  During the Employment Period and if
the Executive is terminated by the Company with or without Cause or Executive
terminates employment without Good Reason, until the first anniversary of
Executive's Date of Termination, the Executive will not (i) serve as an officer,
employee, director or consultant of a REIT or other real estate business with a
significant portion of its business involved with

                                       13
<PAGE>   14

community shopping centers; (ii) engage, anywhere within the geographical areas
in which the Company or any of its Affiliates (the "Designated Entities") are
conducting their business operations or providing services as of the Date of
Termination, in any business which is being engaged in by the Designated
Entities as of the Date of Termination or pursue or attempt to develop any
project known to Executive and which the Designated Entities are pursuing,
developing or attempting to develop as of the Date of Termination, unless such
project has been inactive for over nine (9) months (a "Project"), directly or
indirectly, alone, in association with or as a shareholder, principal, agent,
partner, officer, director, employee or consultant of any other organization;
(iii) divert to any entity which is engaged in any business conducted by the
Designated Entities in the same geographic area as the Designated Entities, any
Project or any customer of any of the Designated Entities; or (iv) solicit any
officer, employee (other than secretarial staff) or consultant of any of the
Designated Entities to leave the employ of any of the Designated Entities.
Notwithstanding the preceding sentence, Executive shall not be prohibited from
owning less than three (3%) percent of any publicly traded corporation, whether
or not such corporation is in competition with the Company. If, at any time, the
provisions of this Section 10(c) shall be determined to be invalid or
unenforceable, by reason of being vague or unreasonable as to area, duration or
scope of activity, this Section 10(c) shall be considered divisible and shall
become and be immediately amended to only such area, duration and scope of
activity as shall be determined to be reasonable and enforceable by the court or
other body having jurisdiction over the matter; and Executive agrees that this
Section 10(c) as so amended shall be valid and binding as though any invalid or
unenforceable provision had not been included herein.

           (d)   Injunctive Relief.  In the event of a breach or threatened
breach of this Section 10, Executive agrees that the Company shall be entitled
to injunctive relief in a court of appropriate jurisdiction to remedy any such
breach or threatened breach, Executive acknowledging that damages would be
inadequate and insufficient.

           (e)   Continuing Operation.  Except as specifically provided in this
Section 10, the termination of Executive's employment or of this Agreement shall
have no effect on the continuing operation of this Section 10.

     11.   Indemnification.

           (a)   General.  The Company agrees that if Executive is made a party
or a threatened to be made a party to any action, suit or proceeding, whether
civil, criminal, administrative or investigative (a "Proceeding"), by reason of
the fact that Executive is or was a trustee, director or officer of the Company
or any subsidiary of the Company or is or was serving at the request of the
Company or any subsidiary as a trustee, director, officer, member, employee or
agent of another corporation or a partnership, joint venture, trust or other
enterprise, including, without limitation, service with respect to employee
benefit plans, whether or not the basis of such Proceeding is alleged action in
an official capacity as a trustee, director, officer, member, employee or agent
while serving as a trustee, director, officer, member, employee or agent,
Executive shall be indemnified and held harmless by the Company to the same
extent as other officers and directors, as in effect from time to time, against
all Expenses incurred or suffered by

                                       14
<PAGE>   15

Executive in connection therewith, and such indemnification shall continue as to
Executive even if Executive has ceased to be an officer, director, trustee or
agent, or is no longer employed by the Company and shall inure to the benefit of
his heirs, executors and administrators.

               (b)   Expenses.  As used in this Agreement, the term "Expenses"
shall include, without limitation, damages, losses, judgments, liabilities,
fines, penalties, excise taxes, settlements, and costs, attorneys' fees,
accountants' fees, and disbursements and costs of attachment or similar bonds,
investigations, and any expenses of establishing a right to indemnification
under this Agreement.

               (c)   Enforcement.  If a claim or request under this Agreement is
not paid by the Company or on its behalf, within thirty (30) days after a
written claim or request has been received by the Company, Executive may at any
time thereafter bring suit against the Company to recover the unpaid amount of
the claim or request and, if Executive prevails in respect to the material
issues, Executive shall be entitled to be paid also the Expenses of prosecuting
such suit. All obligations for indemnification hereunder shall be subject to,
and paid in accordance with, applicable Maryland law.

               (d)   Partial Indemnification.  If Executive is entitled under
any provision of this Agreement to indemnification by the Company for some or a
portion of any Expenses, but not, however, for the total amount thereof, the
Company, shall nevertheless indemnify Executive for the portion of such Expenses
to which Executive is entitled.

               (e)   Advances of Expenses.  Expenses incurred by Executive in
connection with any Proceeding shall be paid by the Company in advance upon
request of Executive that the Company pay such Expenses; but only in the event
that Executive shall have delivered in writing to the Company (i) an undertaking
to reimburse the Company for Expenses with respect to which Executive is not
entitled to indemnification and (ii) an affirmation of his good faith belief
that the standard of conduct necessary for indemnification by the Company has
been met.

               (f)   Notice of Claim.  Executive shall give to the Company
notice of any claim made against him for which indemnification will or could be
sought under this Agreement. In addition, Executive shall give the Company such
information and cooperation as it may reasonably require and as shall be within
Executive's power and at such times and places as are convenient for Executive.

               (g)   Defense of Claim. With respect to any Proceeding as to
which Executive notifies the Company of the commencement thereof:

                     (i)     The Company will be entitled to participate
              therein at its own expense; and

                                       15
<PAGE>   16

                     (ii)    Except as otherwise provided below, to the
           extent that it may wish, the Company will be entitled to assume the
           defense thereof, with counsel reasonably satisfactory to Executive,
           which in the Company's sole discretion may be regular counsel to the
           Company and may be counsel to other officers and directors of the
           Company or any subsidiary. Executive also shall have the right to
           employ his own counsel in such action, suit or proceeding if he
           reasonably concludes that failure to do so would involve a conflict
           of interest between the Company and Executive, and under such
           circumstances the fees and expenses of such counsel shall be at the
           expense of the Company.

                     (iii)   The Company shall not be liable to indemnify
           Executive under this Agreement for any amounts paid in settlement of
           any action or claim effected without its written consent. The Company
           shall not settle any action or claim in any manner which would impose
           any penalty or limitation on Executive or which would otherwise
           adversely affect Executive's personal or professional reputation
           without in either case obtaining Executive's written consent. Neither
           the Company nor Executive will unreasonably withhold or delay their
           consent to any proposed settlement.

           (h)   Non-exclusivity.  The right to indemnification and the payment
of expenses incurred in defending a Proceeding in advance of its final
disposition conferred in this Section 11 shall not be exclusive of any other
right which Executive may have or hereafter may acquire under any statute,
provision of the declaration of trust or certificate of incorporation or by-laws
of the Company or any subsidiary, agreement, vote of shareholders or
disinterested directors or trustees or otherwise.

     12.   Legal Fees and Expenses. If any contest or dispute shall arise
between the Company and Executive regarding any provision of this Agreement, the
Company shall reimburse Executive for all legal fees and expenses reasonably
incurred by Executive in connection with such contest or dispute, but only if
Executive prevails in respect of the material issues in dispute of Executive's
claims brought and pursued in connection with such contest or dispute. Such
reimbursement shall be made as soon as practicable following the final
resolution of such contest or dispute to the extent the Company receives
reasonable written evidence of such fees and expenses.

     13.   Successors; Binding Agreement.

           (a)     Company's Successors.  No rights or obligations of the
Company under this Agreement may be assigned or transferred except that the
Company will require any successor (whether direct or indirect, by purchase,
merger, consolidation or otherwise) to all or substantially all of the business
and/or assets of the Company to expressly assume and agree to perform this
Agreement in the same manner and to the same extent that the Company would be
required to perform it if no such succession had taken place. As used in this
Agreement, "Company" shall mean the Company as herein before defined and any
successor to its business and/or assets (by merger, purchase or otherwise) which
executes and delivers the agreement

                                       16
<PAGE>   17

provided for in this Section 13 or which otherwise becomes bound by all the
terms and provisions of this Agreement by operation of law.

           (b)     Executive's Successors.  No rights or obligations of
Executive under this Agreement may be assigned or transferred by Executive other
than his rights to payments or benefits hereunder, which may be transferred only
by will or the laws of descent and distribution. Upon Executive's death, this
Agreement and all rights of Executive hereunder shall inure to the benefit of
and be enforceable by Executive's beneficiary or beneficiaries, personal or
legal representatives, or estate, to the extent any such person succeeds to
Executive's interests under this Agreement. Executive shall be entitled to
select and change a beneficiary or beneficiaries to receive any benefit or
compensation payable hereunder following Executive's death by giving the Company
written notice thereof. In the event of Executive's death or a judicial
determination of his incompetence, reference in this Agreement to Executive
shall be deemed, where appropriate, to refer to his beneficiary(ies), estate or
other legal representative(s). If Executive should die following his Date of
Termination while any amounts would still be payable to him hereunder if he had
continued to live, all such amounts unless otherwise provided herein shall be
paid in accordance with the terms of this Agreement to such person or persons so
appointed in writing by Executive, or otherwise to his legal representatives or
estate.

     14.   Notice. All notices or other communications which are required or
permitted hereunder shall be in writing and sufficient if delivered personally,
or sent by nationally recognized, overnight courier or by telecopy with copy
sent by personal delivery or nationally recognized overnight courier, or by
registered or certified mail, return receipt requested and postage prepaid,
addressed as follows:

If to Executive:

     Mr. Leonard Brumberg
     c/o New Plan Excel Realty Trust, Inc.
     1120 Ave of the Americas
     New York, NY 10036
     Fax: 212-302-4776

If to the Company:

     New Plan Excel Realty Trust, Inc.
     1120 Ave of the Americas
     New York, NY 10036
     Attn: General Counsel
     Fax: 212-302-4776

                                       17
<PAGE>   18

or to such other address as any party may have furnished to the others in
writing in accordance herewith. All such notices and other communications shall
be deemed to have been received (a) in the case of personal delivery, on the
date of such delivery, (b) in the case of delivery by nationally-recognized,
overnight courier, on the business day following dispatch, (c) in the case of
telecopy, on the date of transmission if copy is delivered not later than the
next business day via either personal delivery or nationally-recognized
overnight courier, and (d) in the case of mailing, on the third business day
following such mailing.

                                       18
<PAGE>   19

     15.   Miscellaneous.  No provisions of this Agreement may be amended,
modified, or waived unless such amendment or modification is agreed to in
writing signed by Executive and by a duly authorized officer of the Company, and
such waiver is set forth in writing and signed by the party to be charged.
Subject to the provisions of Section 6(d) of this Agreement, no waiver by either
party hereto at any time of any breach by the other party hereto of any
condition or provision of this Agreement to be performed by such other party
shall be deemed a waiver of similar or dissimilar provisions or conditions at
the same or at any subsequent time. No agreements or representations, oral or
otherwise, express or implied, with respect to the subject matter hereof have
been made by either party which are not set forth expressly in this Agreement.
The respective rights and obligations of the parties hereunder of this Agreement
shall survive Executive's termination of employment and the termination of this
Agreement to the extent necessary for the intended preservation of such rights
and obligations. The validity, interpretation, construction and performance of
this Agreement shall be governed by the laws of the State of New York without
regard to its conflicts of law principles.

     16.   Validity.  The invalidity or unenforceability of any provision or
provisions of this Agreement shall not affect the validity or enforceability of
any other provision of this Agreement, which shall remain in full force and
effect.

     17.   Counterparts.  This Agreement may be executed in one or more
counterparts, each of which shall be deemed to be an original but all of which
together will constitute one and the same instrument.

     18.   Entire Agreement. This Agreement sets forth the entire agreement
of the parties hereto in respect of the subject matter contained herein and
supersede all prior agreements, promises, covenants, arrangements,
communications, representations or warranties, whether oral or written, by any
officer, director, employee or representative of any party hereto in respect of
such subject matter. Any prior agreement of the parties hereto in respect of the
subject matter contained herein is hereby terminated and canceled.

     19.   Withholding.  All payments hereunder shall be subject to any required
withholding of Federal, state and local taxes pursuant to any applicable law or
regulation.

     20.   Noncontravention. The Company represents that the Company is not
prevented from entering into, or performing this Agreement by the terms of any
law, order, rule or regulation, its by-laws or certificate of incorporation, or
any agreement to which it is a party, other than which would not have a material
adverse effect on the Company's ability to enter into or perform this Agreement.
Executive represents to the Company that he is not a party to any contract that
would preclude him from accepting employment as an Executive Vice President of
the Company and he has no reason to believe that accepting employment as an
Executive Vice President of the Company would result in a disclosure of any
confidential information of any prior employer.

                                       19
<PAGE>   20

     21.   Section Headings.  The section headings in this Agreement are for
convenience of reference only, and they form no part of this Agreement and shall
not affect its interpretation.

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement
on the date first above written.

                                         NEW PLAN EXCEL REALTY TRUST, INC.,
                                         a Maryland corporation

                                         By: /s/ STEVEN F. SIEGEL
                                             --------------------
                                             Name:
                                             Title:

                                         /s/ LEONARD BRUMBERG
                                         --------------------
                                         LEONARD BRUMBERG

                                       20<PAGE>   1
                                                                    EXHIBIT 10.2

                                    GUARANTY

       THIS GUARANTY ("GUARANTY") is made as of the 5th day of April, 2000, by
Guarantor (as hereinafter defined) for the benefit of BANK ONE, TEXAS, NATIONAL
ASSOCIATION, a national banking association ("AGENT"), as Agent for itself and
each of the Lenders (as defined in the Construction Loan Agreement dated of even
date herewith by and among Borrower, Agent and the Lenders ("LENDERS") from time
to time a party thereto (including Agent, in its capacity as a Lender), as may
be amended, supplemented or restated from time to time, the "LOAN AGREEMENT").

       1.     Definitions. As used in this Guaranty, the following terms shall
have the meanings indicated below:

              (a)    The term "AGENT" shall mean Bank One, Texas, National
       Association, whose address for notice purposes is the following:

                     1700 Pacific Avenue, Suite 2100
                     Dallas, Dallas County, Texas  75201
                     Attn:  Jeff Etter, First Vice President

              (b)    The term "BORROWER" (whether one or more) shall mean the
       following:

                     Briar Preston Ridge Partners, L.P.
                     11300 N. Central Expressway, Suite 407
                     Dallas, Texas  75243

              (c)    The term "GUARANTEED INDEBTEDNESS" shall mean (i) all
       indebtedness, obligations and liabilities of Borrower to Lenders, now
       existing or hereafter arising under or evidenced by the Loan Agreement,
       the Notes, the other Loan Documents, and all other indebtedness,
       obligations and liabilities of Borrower to Lenders arising under the Loan
       Documents or in connection with the Loan, (ii) all accrued but unpaid
       interest on any of the indebtedness described in (i) above, (iii) all
       indebtedness of Borrower owing to Lenders under any ISDA Master Agreement
       now or hereafter executed between Borrower and Agent and/or the Lenders
       and any other interest rate agreements, interest rate swap agreements,
       interest rate caps, collars or similar agreements or any rate management
       agreements entered into between Borrower and Agent and/or the Lenders,
       (iv) all obligations of Borrower to Agent and the Lenders under any
       documents evidencing, securing, governing and/or pertaining to all or any
       part of the indebtedness described in (i), (ii) and (iii) above
       (collectively, the "LOAN DOCUMENTS"), (v) all costs and expenses incurred
       by Agent and Lenders in connection with the collection and administration
       of all or any part of the indebtedness and obligations described in (i),
       (ii), (iii) and (iv) above or the protection or preservation of, or
       realization upon, the collateral securing all or any part of such
       indebtedness and obligations, including without limitation all reasonable
       attorneys' fees, and (vi) all renewals, extensions, modifications and
       rearrangements of the indebtedness and obligations described in (i),
       (ii), (iii), (iv) and (v) above.

GUARANTY - PAGE 1

<PAGE>   2

              (d)    The term "GUARANTOR" shall mean NEW PLAN EXCEL REALTY
       TRUST, INC., a Maryland corporation, whose address for notice purposes is
       the following:

                     New Plan Excel Realty Trust, Inc.
                     1120 Sixth Avenue
                     New York, New York  10036
                     Attn:  Mr. Steve Siegel

              (e)    The term "FINAL COMPLETION" shall mean the date on which
       (i) all of the shell portion of the Improvements have been completed in
       accordance with the Plans and Specifications, without any mechanic's or
       materialmen's liens currently filed and outstanding against the Premises
       (except for any liens which have been bonded around in accordance with
       the requirements of Tex. Property Code Section 53.171 et. seq.), (ii) all
       invoices for labor and/or material provided in connection with the
       construction of the Improvements have been paid in full, and full and
       final lien waivers and releases have been provided by all Contractors and
       subcontractors providing such materials and/or labor, except for invoices
       or amounts which are being contested in accordance with Section 4.1(o) of
       the Loan Agreement, (iii) the Architect issues a certificate of
       substantial completion for the shell portion of the Improvements and the
       Tenant Improvements where Borrower is required to construct such Tenant
       Improvements under the Leases, (iv) the appropriate Governmental
       Authority issues a final, unconditional certificate of occupancy for all
       of the shell portion of the Improvements and for those Tenant
       Improvements which Borrower is required to construct under the Leases and
       (v) all governmental permits and approvals necessary for the use,
       occupancy and operation of all areas within the Improvements have been
       issued by the appropriate Governmental Authority.

              (f)    Any capitalized terms used but not defined in this Guaranty
       shall have the meaning given to such capitalized terms in the Loan
       Agreement.

       2.     Obligations.

              (a)    As an inducement to the Lenders to extend or continue to
       extend credit and other financial accommodations to Borrower, Guarantor,
       for value received, does hereby unconditionally and absolutely guarantee
       to Agent for the benefit of the Lenders the prompt and full payment and
       performance of the Guaranteed Indebtedness when due or declared to be due
       and at all times thereafter; provided, however, Guarantor's liability for
       the Guaranteed Indebtedness shall not in any event exceed the "MAXIMUM
       AMOUNT". As used herein, the term "MAXIMUM AMOUNT" means the sum of (i)
       $26,850,939, plus (ii) the amount of any sitework costs which Lenders
       have advanced under the Loan to pay for sitework costs on the Target
       Tract and which have not been reimbursed by Target and used to pay for
       Project Costs in accordance with the Project Budget (herein called the
       "UNREIMBURSED TARGET SITEWORK COSTS").

GUARANTY - PAGE 2

<PAGE>   3

              (b)    Borrower and/or an affiliate of Guarantor has funded a
       portion of the required Borrower's Equity as of this date in the amount
       of $20,000,000, and Guarantor agrees that $15,850,939 of the remaining
       Borrower's Equity (the "REMAINING EQUITY") is to be funded by an
       affiliate of Guarantor in monthly installments of approximately
       $1,300,000 in accordance with the terms of Section 6.3 of the Loan
       Agreement as construction of the Improvements progresses. Guarantor's
       liability for the Maximum Amount of the Guaranteed Indebtedness shall be
       reduced on a dollar for dollar basis as each dollar of the Remaining
       Equity is funded by Borrower or any affiliate of Guarantor and used to
       pay Project Costs in accordance with the Project Budget, so that at such
       time as all of the Remaining Equity is funded and used to pay Project
       Costs in accordance with the Project Budget, the Maximum Amount (and
       Guarantor's maximum liability for the Guaranteed Indebtedness) shall be
       reduced to and deemed not to exceed the sum of (i) Eleven Million Dollars
       ($11,000,000), plus (ii) the amount of any Unreimbursed Target Sitework
       Costs.

              (c)    At such time as (i) all of the Remaining Equity has been
       funded, (ii) Final Completion has been achieved, (iii) the Premises
       achieves for a period of six (6) consecutive months the greater of (x) a
       Debt Coverage Ratio of 1.30, or (y) a Yield on Debt of at least 13%, and
       (iv) no Event of Default is then existing under the Loan Agreement, then
       Guarantor's liability for the Guaranteed Indebtedness (and the Maximum
       Amount) shall be reduced to and deemed not to exceed the sum of (i)
       $6,000,000, plus (ii) the amount of any Unreimbursed Target Sitework
       Costs.

              (d)    In the event of a foreclosure by Agent on the Premises
       pursuant to the Deed of Trust, or the acceptance by Agent of a deed in
       lieu of foreclosure for an amount agreed to by Agent (herein called a
       "DEED-IN-LIEU"), the liability of Guarantor for the Guaranteed
       Indebtedness shall be equal to the lesser of (i) the Guaranteed
       Indebtedness outstanding immediately (x) after such foreclosure sale and
       credit of the bid price accepted at such foreclosure sale or (y) after
       acceptance by Agent of such Deed-In-Lieu and application to the
       Indebtedness of the amount agreed to by Agent and Borrower in exchange
       for such Deed-In-Lieu, or (ii) the amount of the Guaranteed Indebtedness
       for which Guarantor was liable under this Guaranty (if any) immediately
       prior to such foreclosure or acceptance of a Deed-In-Lieu, it being the
       intention of the Agent, the Lenders and Guarantor that the application of
       proceeds of such foreclosure sale or the amount agreed to by Agent in
       exchange for a Deed-In-Lieu shall be in such a manner as not to reduce or
       extinguish such Guarantor's liability hereunder for the Guaranteed
       Indebtedness until that portion of the Guaranteed Indebtedness
       outstanding under the Note, the Loan Agreement and the other Loan
       Documents for which such Guarantor is not liable hereunder has been paid
       in full. Notwithstanding the foregoing, Agent and the Lenders shall not
       be required to enforce its rights against any collateral which has been
       given or pledged to secure all or any part of the Guaranteed Indebtedness
       or this Guaranty, it being agreed that Agent may first seek to enforce
       the obligations of the Guarantor under this Guaranty prior to enforcing
       any rights or remedies against any other parties or any collateral. In no
       event, however, shall Guarantor be liable under this Guaranty for any
       amount exceeding the sum of (i) the Maximum Amount, plus (ii) the amount
       of any Unreimbursed Target Sitework Costs.

GUARANTY - PAGE 3

<PAGE>   4

              (f)    At any time and from time to time, but no more often than
       once every calendar quarter, Guarantor may request in writing to Agent
       that Agent confirm whether Guarantor's liability for the Guaranteed
       Indebtedness has been reduced pursuant to the terms of this Guaranty.
       Upon receipt of such request, Agent shall respond to Guarantor within
       fifteen (15) days of such request confirming the amount of the Guaranteed
       Indebtedness for which Guarantor is liable under this Guaranty (or which
       shall request any further information needed by Agent to make such
       determination such as the most recent financial statements for the
       Premises or evidence of Guarantor's equity being funded to pay Project
       Costs), provided such confirmation shall be based on the assumption that
       all financial information provided to Agent to make such determination is
       true and correct in all material respects.

       3.     Character of Obligations.

              (a)    This is an absolute, continuing and unconditional guaranty
       of payment and not of collection and if at any time or from time to time
       there is no outstanding Guaranteed Indebtedness, the obligations of
       Guarantor with respect to any and all Guaranteed Indebtedness incurred
       thereafter shall not be affected. All Guaranteed Indebtedness heretofore,
       concurrently herewith or hereafter made by Lenders to Borrower shall be
       conclusively presumed to have been made or acquired in acceptance hereof.
       Guarantor shall be primarily liable, jointly and severally, with Borrower
       and any other guarantor of all or any part of the Guaranteed
       Indebtedness.

              (b)    Agent and the Lenders may, at its sole discretion and
       without impairing its rights hereunder, apply any payments on the
       Guaranteed Indebtedness that Agent and the Lenders receive to that
       portion of the Guaranteed Indebtedness, if any, not guaranteed hereunder.

              (c)    Guarantor agrees that its obligations hereunder shall not
       be released, diminished, impaired, reduced or affected by the existence
       of any other guaranty or the payment by any other guarantor of all or any
       part of the Guaranteed Indebtedness.

              (d)    Guarantor's obligations hereunder shall not be released,
       diminished, impaired, reduced or affected by, nor shall any provision
       contained herein be deemed to be a limitation upon, the amount of credit
       which the Lenders may extend to Borrower, the number of transactions
       between Agent, the Lenders and Borrower, payments by Borrower to Agent
       and/or the Lenders, or Agent's or Lenders' allocation of payments by
       Borrower.

       4.     Representations and Warranties. Guarantor hereby represents and
warrants the following to Agent and each of the Lenders:

              (a)    This Guaranty may reasonably be expected to benefit,
       directly or indirectly, Guarantor, and (i) if Guarantor is a corporation,
       the Board of Directors of Guarantor has determined that this Guaranty may
       reasonably be expected to benefit,

GUARANTY - PAGE 4

<PAGE>   5

       directly or indirectly, Guarantor, or (ii) if Guarantor is a partnership,
       the requisite number of its partners have determined that this Guaranty
       may reasonably be expected to benefit, directly or indirectly, Guarantor;
       and

              (b)    Guarantor is familiar with, and has independently reviewed
       the books and records regarding, the financial condition of Borrower and
       is familiar with the value of any and all collateral intended to be
       security for the payment of all or any part of the Guaranteed
       Indebtedness; provided, however, Guarantor is not relying on such
       financial condition or collateral as an inducement to enter into this
       Guaranty; and

              (c)    Guarantor has adequate means to obtain from Borrower on a
       continuing basis information concerning the financial condition of
       Borrower and Guarantor is not relying on Agent to provide such
       information to Guarantor either now or in the future; and

              (d)    Guarantor has the power and authority to execute, deliver
       and perform this Guaranty and any other agreements executed by Guarantor
       contemporaneously herewith, and the execution, delivery and performance
       of this Guaranty and any other agreements executed by Guarantor
       contemporaneously herewith do not and will not violate (i) any agreement
       or instrument to which Guarantor is a party, (ii) any law, rule,
       regulation or order of any governmental authority to which Guarantor is
       subject, or (iii) its articles or certificate of incorporation or bylaws,
       if Guarantor is a corporation, or its partnership agreement, if Guarantor
       is a partnership; and

              (e)    None of the Agent, Lenders or any other party has made any
       representation, warranty or statement to Guarantor in order to induce
       Guarantor to execute this Guaranty; and

              (f)    The financial statements and other financial information
       regarding Guarantor heretofore and hereafter delivered to Agent are and
       shall be true and correct in all material respects and fairly present the
       financial position of Guarantor as of the dates thereof, and no material
       adverse change has occurred in the financial condition of Guarantor
       reflected in the financial statements and other financial information
       regarding Guarantor heretofore delivered to Agent since the date of the
       last statement thereof; and

              (g)    As of the date hereof, and after giving effect to this
       Guaranty and the obligations evidenced hereby, (i) Guarantor is and will
       be solvent, (ii) the fair saleable value of Guarantor's assets exceeds
       and will continue to exceed its liabilities (both fixed and contingent),
       (iii) Guarantor is and will continue to be able to pay its debts as they
       mature, and (iv) if Guarantor is not an individual, Guarantor has and
       will continue to have sufficient capital to carry on its business and all
       businesses in which it is about to engage.

       5.     Covenants. Guarantor hereby covenants and agrees with Agent and
the Lenders as follows:

GUARANTY - PAGE 5

<PAGE>   6

              (a)    Guarantor shall not, so long as its obligations under this
       Guaranty continue, transfer or pledge any material portion of its assets
       for less than full and adequate consideration.

              (b)    Guarantor will deliver to Agent within one hundred twenty
       (120) days after the close of each fiscal year of Guarantor: (a) a
       statement of condition or balance sheet of Guarantor as at the end of
       such fiscal year; (b) an annual operating statement showing in reasonable
       detail all income and expenses of Guarantor for such fiscal year; and (c)
       a cash flow statement showing in reasonable detail all cash flow of
       Guarantor for such fiscal year. The statements in (a), (b) and (c) above
       shall be audited by an independent certified public accountant and shall
       contain an unqualified opinion by such independent certified public
       accountant that the financial statements fairly present the financial
       condition of Guarantor in all material respects. In addition to the
       foregoing annual financial statements, all of the foregoing shall also be
       furnished to Agent within sixty (60) days after the end of each calendar
       quarter on an unaudited basis, reflecting the financial status and
       results of operations of the Guarantor for the calendar quarter then
       ended and the results of the Guarantor's operations for the fiscal year
       to date, and shall be certified to by an officer of Guarantor.

              (c)    Guarantor shall comply with all terms and provisions of the
       Loan Documents that apply to Guarantor.

              (d)    Guarantor shall promptly inform Agent of (i) any litigation
       or governmental investigation against Guarantor which has a significantly
       likelihood of success or affecting any security for all or any part of
       the Guaranteed Indebtedness or this Guaranty which, if determined
       adversely, might have a material adverse effect upon the financial
       condition of Guarantor or upon such security or might cause a default
       under any of the Loan Documents, (ii) any claim or controversy which
       might become the subject of such litigation or governmental investigation
       relating to this Guaranty, the Premises or the Loan, and (iii) any
       material adverse change in the financial condition of Guarantor.

       6.     Consent and Waiver.

              (a)    Guarantor waives (i) promptness, diligence and notice of
       acceptance of this Guaranty and notice of the incurring of any
       obligation, indebtedness or liability to which this Guaranty applies or
       may apply and waives presentment for payment, notice of nonpayment,
       protest, demand, notice of protest, notice of intent to accelerate,
       notice of acceleration, notice of dishonor, diligence in enforcement and
       indulgences of every kind, and (ii) except as expressly required by the
       Loan Documents, the taking of any other action by Agent or any Lender,
       including without limitation, giving any notice of default or any other
       notice to, or making any demand on, Borrower, any other guarantor of all
       or any part of the Guaranteed Indebtedness or any other party.

              (b)    Guarantor waives any rights Guarantor has under, or any
       requirements imposed by, Chapter 34 of the Texas Business and Commerce
       Code, as in effect on the date of this Guaranty or as it may be amended
       from time to time.

GUARANTY - PAGE 6

<PAGE>   7

              (c)    Agent and Lenders may at any time, without the consent of
       or notice to Guarantor, without incurring responsibility to Guarantor and
       without impairing, releasing, reducing or affecting the obligations of
       Guarantor hereunder: (i) change the manner, place or terms of payment of
       all or any part of the Guaranteed Indebtedness, or renew, extend, modify,
       rearrange or alter all or any part of the Guaranteed Indebtedness (except
       for any provisions relating to the reduction or release of Guarantor's
       liability under this Guaranty); (ii) change the interest rate accruing on
       any of the Guaranteed Indebtedness (including, without limitation, any
       periodic change in such interest rate that occurs because such Guaranteed
       Indebtedness accrues interest at a variable rate which may fluctuate from
       time to time); (iii) sell, exchange, release, surrender, subordinate,
       realize upon or otherwise deal with in any manner and in any order any
       collateral for all or any part of the Guaranteed Indebtedness or this
       Guaranty or setoff against all or any part of the Guaranteed Indebtedness
       after the occurrence of an Event of Default; (iv) neglect, delay, omit,
       fail or refuse to take or prosecute any action for the collection of all
       or any part of the Guaranteed Indebtedness or this Guaranty or to take or
       prosecute any action in connection with any of the Loan Documents; (v)
       exercise or refrain from exercising any rights against Borrower or
       others, or otherwise act or refrain from acting; (vi) settle or
       compromise all or any part of the Guaranteed Indebtedness and subordinate
       the payment of all or any part of the Guaranteed Indebtedness to the
       payment of any obligations, indebtedness or liabilities which may be due
       or become due to Agent, the Lenders or others; (vii) apply any deposit
       balance, fund, payment, collections through process of law or otherwise
       or other collateral of Borrower to the satisfaction and liquidation of
       the indebtedness or obligations of Borrower to Agent and the Lenders, if
       any, not guaranteed under this Guaranty; and (viii) apply any sums paid
       to Agent or any Lender by Guarantor, Borrower or others to the Guaranteed
       Indebtedness in such order and manner as specified in the Loan Documents
       or if not so specified, in such order as Agent and the Lenders, in their
       sole discretion, may determine.

              (d)    Notwithstanding any provision in this Guaranty to the
       contrary, Guarantor hereby subordinates in favor of Agent and the Lenders
       (i) any and all rights of subrogation, reimbursement, indemnification or
       contribution which it may have after payment in full or in part of the
       Guaranteed Indebtedness against others liable on all or any part of the
       Guaranteed Indebtedness, (ii) any and all rights to be subrogated to the
       rights of Agent and the Lenders in any collateral or security for all or
       any part of the Guaranteed Indebtedness after payment in full or in part
       of the Guaranteed Indebtedness, and (iii) any and all other rights and
       claims of Guarantor against Borrower or any third party as a result of
       Guarantor's payment of all or any part of the Guaranteed Indebtedness.

              (e)    Should Agent and/or the Lenders seek to enforce the
       obligations of Guarantor hereunder by action in any court or otherwise,
       Guarantor waives any requirement, substantive or procedural, that (i)
       Agent and Lenders first enforce any rights or remedies against Borrower
       or any other person or entity liable to Agent and the Lenders for all or
       any part of the Guaranteed Indebtedness, including without limitation
       that a judgment first be rendered against Borrower or any other person or
       entity, or that

GUARANTY - PAGE 7

<PAGE>   8

       Borrower or any other person or entity should be joined in such cause, or
       (ii) Agent and Lenders shall first enforce rights against any collateral
       which shall ever have been given to secure all or any part of the
       Guaranteed Indebtedness or this Guaranty. Such waiver shall be without
       prejudice to Agent's and Lenders' right, at their option, to proceed
       against Borrower or any other person or entity, whether by separate
       action or by joinder.

              (f)    In addition to any other waivers, agreements and covenants
       of Guarantor set forth herein, Guarantor hereby further waives and
       releases all claims, causes of action, defenses and offsets for any act
       or omission of Agent and the Lenders, and their directors, officers,
       employees, representatives or agents in connection with the
       administration of the Guaranteed Indebtedness, except for such parties'
       willful misconduct and gross negligence.

       7.     Obligations Not Impaired.

              (a)    Guarantor agrees that its obligations hereunder shall not
       be released, diminished, impaired, reduced or affected by the occurrence
       of any one or more of the following events: (i) the disability or lack of
       corporate power of Borrower, Guarantor or any other guarantor of all or
       any part of the Guaranteed Indebtedness, (ii) any receivership,
       insolvency, bankruptcy or other proceedings affecting Borrower, Guarantor
       or any other guarantor of all or any part of the Guaranteed Indebtedness,
       or any of their respective property; (iii) the partial or total release
       or discharge of Borrower or any other guarantor of all or any part of the
       Guaranteed Indebtedness, or any other person or entity from the
       performance of any obligation contained in any instrument or agreement
       evidencing, governing or securing all or any part of the Guaranteed
       Indebtedness, whether occurring by reason of law or otherwise; (iv) the
       taking or accepting of any collateral for all or any part of the
       Guaranteed Indebtedness or this Guaranty; (v) the taking or accepting of
       any other guaranty for all or any part of the Guaranteed Indebtedness;
       (vi) any failure by Agent or the Lenders to acquire, perfect or continue
       any lien or security interest on collateral securing all or any part of
       the Guaranteed Indebtedness or this Guaranty; (vii) the impairment of any
       collateral securing all or any part of the Guaranteed Indebtedness or
       this Guaranty; (viii) any failure by Agent or the Lenders to sell any
       collateral securing all or any part of the Guaranteed Indebtedness or
       this Guaranty in a commercially reasonable manner or as otherwise
       required by law; (ix) any invalidity or unenforceability of or defect or
       deficiency in any of the Loan Documents; or (x) any other circumstance
       which might otherwise constitute a defense available to, or discharge of,
       Borrower or any other guarantor of all or any part of the Guaranteed
       Indebtedness.

              (b)    This Guaranty shall continue to be effective or be
       reinstated, as the case may be, if at any time any payment of all or any
       part of the Guaranteed Indebtedness is rescinded or must otherwise be
       returned by Agent or any Lender upon the insolvency, bankruptcy or
       reorganization of Borrower, Guarantor, any other guarantor of all or any
       part of the Guaranteed Indebtedness, or otherwise, all as though such
       payment had not been made.

GUARANTY - PAGE 8
<PAGE>   9

              (c)    In the event Borrower is a corporation, joint stock
       association or partnership, or is hereafter incorporated, none of the
       following shall affect Guarantor's liability hereunder: (i) the
       unenforceability of all or any part of the Guaranteed Indebtedness
       against Borrower by reason of the fact that the Guaranteed Indebtedness
       exceeds the amount permitted by law; (ii) the act of creating all or any
       part of the Guaranteed Indebtedness is ultra vires; or (iii) the officers
       or partners creating all or any part of the Guaranteed Indebtedness acted
       in excess of their authority. Guarantor hereby acknowledges that
       withdrawal from, or termination of, any ownership interest in Borrower
       now or hereafter owned or held by Guarantor shall not alter, affect or in
       any way limit the obligations of Guarantor hereunder.

              (d)    If, by operation of law, Borrower is not liable for any
       amounts that would otherwise be owed under any of the Loan Documents,
       including, without limitation, interest accruing under the Loan Documents
       following the filing of any bankruptcy or any insolvency proceeding by or
       against Borrower, Guarantor agrees that it is the intention and agreement
       hereof that Guarantor shall be liable for the payment of the aforesaid
       amounts and the Guaranteed Indebtedness regardless of whether such
       amounts may be enforceable against Borrower or whether the obligation to
       pay such amounts is non-existent or ceases by operation of law.

       8.     Actions against Guarantor. Upon the occurrence of an Event of
Default in the payment or performance of all or any part of the Guaranteed
Indebtedness when such Guaranteed Indebtedness becomes due, whether by its
terms, by acceleration or otherwise, Guarantor shall, without notice or demand,
promptly pay the amount due thereon to Agent, in lawful money of the United
States, at Agent's address set forth in subparagraph 1(a) above. One or more
successive or concurrent actions may be brought against Guarantor, either in the
same action in which Borrower is sued or in separate actions, as often as Agent
deems advisable. The exercise by Agent or any Lender of any right or remedy
under this Guaranty or under any other agreement or instrument (including any
Loan Document), at law, in equity or otherwise, shall not preclude concurrent or
subsequent exercise of any other right or remedy. The books and records of Agent
shall be admissible in evidence in any action or proceeding involving this
Guaranty and shall be prima facie evidence of the payments made on, and the
outstanding balance of, the Guaranteed Indebtedness. If there is more than one
Guarantor of the Guaranteed Indebtedness, suit may be brought against any
Guarantor, jointly and severally and against less than all of them without
impairing the rights of Agent and the Lenders against the other Guarantors; and
Agent and the Lenders may compromise with any of the Guarantors for less than
all of the Guaranteed Indebtedness and release any of the Guarantors from all
further liability to Agent and the Lenders for the Guaranteed Indebtedness
without impairing the right of Agent and Lenders to demand and collect the
balance of the Guaranteed Indebtedness from other Guarantors not so released,
but it is agreed among any such Guarantors that such compromising and release
shall not impair the rights of Guarantors as among themselves.

       9.     Payment by Guarantor. Whenever Guarantor pays any sum which is or
may become due under this Guaranty, written notice must be delivered to Agent
contemporaneously with such payment stating the amount of such payment and that
such payment is made pursuant to this Guaranty. Such notice shall be effective
for purposes of this paragraph when

GUARANTY - PAGE 9
<PAGE>   10

contemporaneously with such payment Agent receives such notice either by: (a)
personal delivery to the address and designated department of Agent identified
in subparagraph 1(a) above, or (b) United States mail, certified or registered,
return receipt requested, postage prepaid, addressed to Agent at the address
shown in subparagraph 1(a) above. In the absence of such notice to Agent by
Guarantor in compliance with the provisions hereof, any sum received by Agent on
account of the Guaranteed Indebtedness shall be conclusively deemed paid by
Borrower.

       10.    Notice of Sale. In the event that Guarantor is entitled to receive
any notice under the Uniform Commercial Code, as it exists in the state
governing any such notice, of the sale or other disposition of any collateral
securing all or any part of the Guaranteed Indebtedness or this Guaranty,
reasonable notice shall be deemed given when such notice is deposited in the
United States mail, postage prepaid, at the address for Guarantor set forth in
subparagraph 1(d) above, ten (10) days prior to the date any public sale, or
after which any private sale, of any such collateral is to be held; provided,
however, that notice given in any other reasonable manner or at any other
reasonable time shall be sufficient.

       11.    Subordination. Guarantor hereby subordinates any and all
indebtedness of Borrower now or hereafter owed to Guarantor to the Guaranteed
Indebtedness, and agrees with Agent and the Lenders that Guarantor shall not
demand or accept any payment of principal or interest from Borrower except as
expressly permitted by the terms of that certain Intercreditor and Subordination
Agreement dated of even date herewith between Agent, Guarantor and Borrower,
shall not claim any offset or other reduction of Guarantor's obligations
hereunder because of any such indebtedness and shall not take any action to
obtain any of that collateral securing the Guaranteed Indebtedness; provided,
however, that, if Agent so requests, any indebtedness of Borrower to Guarantor
shall be collected, enforced and received by Guarantor as trustee for the
Lenders and be paid over to Agent on account of the Guaranteed Indebtedness, but
without reducing or affecting in any manner the liability of Guarantor under the
other provisions of this Guaranty.

       12.    Participation. Guarantor acknowledges and agrees that Agent and
the Lenders may from time to time sell or offer to sell interests in the
Guaranteed Indebtedness and the Loan Documents to one or more participants.
Guarantor authorizes Agent to disseminate any information it has pertaining to
the Guaranteed Indebtedness, including, without limitation, complete and current
credit information on Borrower, any of its principals and Guarantor, to any such
participant or prospective participant.

       13.    Waiver by Agent or Lenders. No delay on the part of Agent or the
Lenders in exercising any right hereunder or failure to exercise the same shall
operate as a waiver of such right. In no event shall any waiver of the
provisions of this Guaranty be effective unless the same be in writing and
signed by an officer of Agent, and then only in the specific instance and for
the purpose given.

       14.    Successors and Assigns. This Guaranty is for the benefit of Agent
and the Lenders, and their successors and assigns. This Guaranty is binding upon
Guarantor and Guarantor's heirs, executors, administrators, personal
representatives and successors, including

GUARANTY - PAGE 10
<PAGE>   11

without limitation any person or entity obligated by operation of law upon the
reorganization, merger, consolidation or other change in the organizational
structure of Guarantor.

       15.    Costs and Expenses. Guarantor shall pay on demand by Agent all
costs and expenses, including without limitation, all reasonable attorneys' fees
incurred by Agent and the Lenders in connection with the enforcement and/or
collection of this Guaranty. This covenant shall survive the payment of the
Guaranteed Indebtedness.

       16.    Severability. If any provision of this Guaranty is held by a court
of competent jurisdiction to be illegal, invalid or unenforceable under present
or future laws, such provision shall be fully severable, shall not impair or
invalidate the remainder of this Guaranty and the effect thereof shall be
confined to the provision held to be illegal, invalid or unenforceable.

       17.    No Obligation. Nothing contained herein shall be construed as an
obligation on the part of Agent or the Lenders to extend or continue to extend
credit to Borrower.

       18.    Amendment. No modification or amendment of any provision of this
Guaranty, nor consent to any departure by Guarantor therefrom, shall be
effective unless the same shall be in writing and signed by an officer of Agent,
and then shall be effective only in the specific instance and for the purpose
for which given.

       19.    Cumulative Rights. All rights and remedies of Agent and the
Lenders hereunder are cumulative of each other and of every other right or
remedy which Agent and the Lenders may otherwise have at law or in equity or
under any instrument or agreement, and the exercise of one or more of such
rights or remedies shall not prejudice or impair the concurrent or subsequent
exercise of any other rights or remedies.

       20.    GOVERNING LAW. THIS GUARANTY SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS AND APPLICABLE FEDERAL LAWS.

       21.    VENUE. THIS GUARANTY HAS BEEN ENTERED INTO IN THE COUNTY IN TEXAS
WHERE AGENT'S ADDRESS FOR NOTICE PURPOSES IS LOCATED, AND IT SHALL BE
PERFORMABLE FOR ALL PURPOSES IN SUCH COUNTY. COURTS WITHIN THE STATE OF TEXAS
SHALL HAVE JURISDICTION OVER ANY AND ALL DISPUTES ARISING UNDER OR PERTAINING TO
THIS GUARANTY AND VENUE FOR ANY SUCH DISPUTES SHALL BE IN THE COUNTY OR JUDICIAL
DISTRICT WHERE THE AGENT'S ADDRESS FOR NOTICE PURPOSES IS LOCATED.

       22.    Compliance with Applicable Usury Laws. Notwithstanding any other
provision of this Guaranty or of any instrument or agreement evidencing,
governing or securing all or any part of the Guaranteed Indebtedness, Guarantor
and Agent by its acceptance hereof agree that Guarantor shall never be required
or obligated to pay interest in excess of the maximum nonusurious interest rate
as may be authorized by applicable law for the written contracts which
constitute the Guaranteed Indebtedness. It is the intention of Guarantor, Agent
and the Lenders

GUARANTY - PAGE 11

<PAGE>   12

to conform strictly to the applicable laws which limit interest rates, and any
of the aforesaid contracts for interest, if and to the extent payable by
Guarantor, shall be held to be subject to reduction to the maximum nonusurious
interest rate allowed under said law.

       23.    JURY WAIVER. THE GUARANTOR, AGENT AND THE LENDERS HEREBY
VOLUNTARILY, KNOWINGLY, IRREVOCABLY AND UNCONDITIONALLY WAIVE ALL RIGHT TO HAVE
A JURY PARTICIPATE IN RESOLVING ANY DISPUTE (WHETHER BASED UPON CONTRACT, TORT
OR OTHERWISE) BETWEEN OR AMONG THE PARTIES HERETO ARISING OUT OF OR IN ANY WAY
RELATED TO THIS GUARANTY OR ANY OF THE LOAN DOCUMENTS. THIS PROVISION IS A
MATERIAL INDUCEMENT TO AGENT AND THE LENDERS TO PROVIDE THE LOAN DESCRIBED
HEREIN OR IN THE OTHER LOAN DOCUMENTS.

       24.    Descriptive Headings. The headings in this Guaranty are for
convenience only and shall not define or limit the provisions hereof.

       25.    Gender. Within this Guaranty, words of any gender shall be held
and construed to include the other gender.

       26.    Entire Agreement. This Guaranty contains the entire agreement
between Guarantor, Agent and the Lenders regarding the subject matter hereof and
supersedes all prior written and oral agreements and understandings, if any,
regarding same; provided, however, this Guaranty is in addition to and does not
replace, cancel, modify or affect any other guaranty of Guarantor now or
hereafter held by Agent and/or the Lenders that relates to Borrower or any other
person or entity, including without limitation, the Other Guaranty.

GUARANTY - PAGE 12

<PAGE>   13

         EXECUTED as of the date first above written.

                                 NEW PLAN EXCEL REALTY TRUST, INC., a
                                 Maryland corporation

                                 By:      /s/ DEAN BERNSTEIN
                                    -------------------------------------------
                                        Name: DEAN BERNSTEIN
                                             ----------------------------------
                                        Title:    SVP
                                              ---------------------------------

STATE OF NEW YORK          Section
                           Section
COUNTY OF NEW YORK         Section

       This instrument was acknowledged before me on the 5th day of April, 2000,
by Dean Berstein, Sr.V.P. of New Plan Excel Realty Trust, Inc., a Maryland
corporation, on behalf of said corporation.

                                 /s/ GLORIA MARUFF
                                 ----------------------------------------------
                                 Notary Public, State of New York

                                    GLORIA MARUFF
                                 ----------------------------------------------
                                 Printed Name of Notary:
My Commission Expires:

     10/31/01
---------------------

GUARANTY - PAGE 13

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