Document:

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                                                                  Exhibit 10.354

This document prepared by,
and after recording return to:

Sandra L. Waldier
Bell, Boyd & Lloyd LLC
70West Madison Street
Suite 3300
Chicago, Illinois 60602

                                                 Allstate Life Insurance Company
                                                      Allstate Insurance Company
                                                                 Loan No. 122532

                   DEED TO SECURE DEBT AND SECURITY AGREEMENT

                                      FROM

            INLAND WESTERN LAWRENCEVILLE SIMONTON, L.L.C., AS GRANTOR
                                  ("BORROWER")

                                       TO

         ALLSTATE LIFE INSURANCE COMPANY AND ALLSTATE INSURANCE COMPANY,
                      AS GRANTEE (COLLECTIVELY, "LENDER")

                            DATED: SEPTEMBER 27, 2004

                             LOAN AMOUNT: $7,561,700

                                PROPERTY ADDRESS:

                                930 NEW HOPE ROAD
                             LAWRENCEVILLE, GEORGIA

     THIS DEED TO SECURE DEBT secures the indebtedness of those certain two
Mortgage Notes of even date herewith executed by BORROWER and payable to the
order of LENDER in the aggregate principal sum of SEVEN MILLION FIVE HUNDRED
SIXTY-ONE THOUSAND SEVEN HUNDRED DOLLARS ($7,561,700) (collectively, the "Note")
with interest thereon and all late charges, loan fees, commitment fees, and
prepayment premiums, maturing April 1, 2009.

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                                TABLE OF CONTENTS

<Table>
<Caption>
                                                                                            Page
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<S>           <c>                                                                             <C>
ARTICLE I     COVENANTS OF BORROWER............................................................5

     1.01.    Performance of Obligations Secured...............................................5
     1.02.    Insurance........................................................................5
     1.03.    Condemnation.....................................................................6
     1.04.    Damage to Property...............................................................8
     1.05.    Escrow Fund for Condemnation and Insurance Proceeds..............................9
     1.06.    Taxes, Liens and other Items....................................................11
     1.07.    Assignment of Leases, Contracts, Rents and Profit...............................12
     1.08.    Due on Sale or Encumbrance......................................................16
     1.09.    Preservation and Maintenance of Property........................................16
     1.10.    Use of Property.................................................................16
     1.11.    Alterations and Additions.......................................................17
     1.12.    Offset Certificates.............................................................18
     1.13.    Lender's Costs and Expenses.....................................................18
     1.14.    Protection of Security; Costs and Expenses......................................19
     1.15.    Borrower's Covenants Respecting Collateral......................................20
     1.16.    Covenants Regarding Financial Statements........................................22
     1.17.    Environmental Covenants.........................................................24
     1.18.    Further Assurances..............................................................25
     1.19.    Borrower's Continued Existence..................................................25

ARTICLE II    EVENTS OF DEFAULT...............................................................26

     2.01.    Monetary and Performance Defaults...............................................26
     2.02.    Bankruptcy, Insolvency, Dissolution.............................................26
     2.03.    Misrepresentation...............................................................27
     2.04.    Default under Subordinate Loans.................................................27
     2.05.    Liens...........................................................................27
     2.06.    Judgments.......................................................................27
     2.07.    Leases..........................................................................28
     2.08.    Borrower's Continued Existence..................................................28
     2.09.    Breach of Due on Sale or Encumbrance Provision..................................28
     2.10.    Default under Indemnity.........................................................28

ARTICLE III   REMEDIES........................................................................28

     3.01.    Acceleration....................................................................28
     3.02.    Entry...........................................................................28
     3.03.    Judicial Action.................................................................30
     3.04.    Power of Sale...................................................................30
     3.05.    Rescission of Notice of Default.................................................31
     3.06.    Lender's Remedies Respecting Collateral.........................................31
</Table>

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<Table>
<S>           <C>                                                                             <C>
     3.07.    Proceeds of Sales...............................................................31
     3.08.    Condemnation and Insurance Proceeds.............................................32
     3.09.    Waiver of Marshalling, Rights of Redemption, Homestead and Valuation............32
     3.10.    Remedies Cumulative.............................................................33
     3.11.    Nonrecourse.....................................................................33

ARTICLE IV    MISCELLANEOUS...................................................................35

     4.01.    Severability....................................................................35
     4.02.    Certain Charges and Brokerage Fees..............................................35
     4.03.    Notices.........................................................................36
     4.04.    Borrower Not Released; Certain Lender Acts......................................37
     4.05.    Inspection......................................................................38
     4.06.    Release or Reconveyance or Cancellation.........................................38
     4.07.    Statute of Limitations..........................................................38
     4.08.    Interpretation..................................................................38
     4.09.    Captions........................................................................38
     4.10.    Consent.........................................................................38
     4.11.    Delegation to Subagents.........................................................39
     4.12.    Successors and Assigns..........................................................39
     4.13.    Governing Law...................................................................39
     4.14.    Changes in Taxation.............................................................39
     4.15.    Maximum Interest Rate...........................................................39
     4.16.    Time of Essence.................................................................40
     4.17.    Reproduction of Documents.......................................................40
     4.18.    No Oral Modifications...........................................................40
     4.19.    Waiver of Borrower's Rights.....................................................40
     4.20     Attorneys' Fees.................................................................41
</Table>

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                   DEED TO SECURE DEBT AND SECURITY AGREEMENT

     THIS DEED TO SECURE DEBT AND SECURITY AGREEMENT is made as of September 27,
2004 ("Security Deed"), from INLAND WESTERN LAWRENCEVILLE SIMONTON, L.L.C., a
Delaware limited liability company ("Borrower"), as Grantor, whose mailing
address is 2901 Butterfield Road, Oakbrook, Illinois 60523, to ALLSTATE LIFE
INSURANCE COMPANY, an Illinois insurance corporation ("ALIC"), and ALLSTATE
INSURANCE COMPANY, an Illinois insurance corporation ("AIC", and together with
ALIC, "Lender"), as Grantee, whose mailing address is c/o Allstate Investments,
LLC, Allstate Plaza South, Suite G5C, 3075 Sanders Road, Northbrook, Illinois,
60062.

     BORROWER, in consideration of the indebtedness herein recited, hereby
irrevocably grants, bargains, sells, conveys, transfers and assigns, to Lender,
its successors and assigns, with power of sale and right of entry and
possession, all of Borrower's estate, right, title and interest in, to and under
that certain real property located in Gwinnett County, Georgia, more
particularly described in EXHIBIT A attached hereto and incorporated herein by
this reference (the "Land");

     TOGETHER with all of Borrower's now or hereafter acquired estate, right,
title and interest in, to and under all buildings, structures, improvements and
fixtures now existing or hereafter erected on the Land and all right, title and
interest, if any, of Borrower in and to the streets and roads, opened or
proposed, abutting the Land to the center lines thereof, and strips within or
adjoining the Land, the air space and right to use said air space above the
Land, all rights of ingress and egress on or within the Land, all easements,
rights and appurtenances thereto or used in connection with the Land, including,
without limitation, all lateral support, alley and drainage rights, all
revenues, income, rents, cash or security deposits, advance rental deposits,
profits, royalties, and other benefits thereof or arising from the use or
enjoyment of all or any portion thereof (subject however to the rights and
authorities given herein to Borrower to collect and apply such revenues, and
other benefits), all interests in and rights, royalties and profits in
connection with all minerals, oil and gas and other hydrocarbon substances
thereon or therein, and water stock, all options to purchase or lease, all
development or other rights relating to the Land or the operation thereof or
used in connection therewith (including, without limitation, all concurrency
rights, permits, prepaid utilities and impact fees of any nature, storm water
drainage rights and reservations, sanitary sewer rights and reservations,
potable water rights and reservations, allocations of traffic trips, use, rights
and reservations, law enforcement, library, park and educational fees, uses,
rights and reservations), including all Borrower's right, title and interest in
all fixtures, attachments, partitions, machinery, equipment, building materials,
appliances and goods of every nature whatever, whether now or hereafter located
on, or attached to, the Land, all of which, including replacements and additions
thereto, shall, to the fullest extent permitted by law and for the purposes of
this Security Deed, be deemed to be real property and, whether affixed or
annexed thereto or not, be deemed conclusively to be real property; and Borrower
agrees to execute and deliver, from time to time, such further instruments and
documents as may be required by Lender to confirm the legal operation and effect
of this Security Deed on any of the foregoing. All of the foregoing property
described in this Section (the "Improvements") together with the Land and the
hereinafter defined Collateral, shall be hereinafter referred to as the
"Property").

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     TOGETHER with all of Borrower's now existing or hereafter acquired right,
title and interest in the following:

     (A)    All equipment, fixtures, inventory, goods, farm goods, instruments,
appliances, furnishings, machinery, tools, raw materials, component parts, work
in progress and materials, and all other tangible personal property of
whatsoever kind, used or consumed in the improvement, use or enjoyment of the
Property now or any time hereafter owned or acquired by Borrower, wherever
located and all products thereof whether in possession of Borrower or whether
located on the Property or elsewhere;

     (B)    To the extent such general intangibles are assignable, all general
intangibles relating to the Property or the design, development, operation,
management and use of the Property (other than trademarks that contain the word
"Inland"), including, but not limited to, (1) all names under which or by which
the Property may at any time be owned and operated or any variant thereof, and
all goodwill in any way relating to the Property and all service marks and
logotypes used in connection therewith, (2) all permits, licenses,
authorizations, variances, land use entitlements, approvals, consents,
clearances, and rights obtained from governmental agencies issued or obtained in
connection with the Property, (3) all permits, licenses, approvals, consents,
authorizations, franchises and agreements issued or obtained in connection with
the construction, use, occupation or operation of the Property, (4) all
materials prepared for filing or filed with any governmental agency, and (5) all
of the books and records of Borrower in any way relating to construction or
operation of the Property;

     (C)    All shares of stock or partnership interest or other evidence of
ownership of any part of the Property that is owned by Borrower in common with
others, including all water stock relating to the Property, if any, and all
documents or rights of membership in any owners' or members' association or
similar group having responsibility for managing or operating any part of the
Property provided, however, that the foregoing shall not include any ownership
interests in Borrower;

     (D)    All accounts, deposit accounts, supporting obligations,
letter-of-credit rights, tax and insurance escrows held pursuant to or in
connection with this Security Deed or otherwise in connection with the Property,
(including, without limitation, the escrow established pursuant to that certain
Escrow and Guaranty Agreement dated as of August 9, 2004, as amended, among
Borrower, Barclay Simonton Partners, L.L.C., a Florida limited liability
company, and Chicago Title and Trust Company, as escrowee, including the funds
and securities held under such escrow), accounts receivable, instruments,
documents, documents of title, general intangibles, rights to payment of every
kind, all of Borrower's rights, direct or indirect, under or pursuant to any and
all construction, development, financing, guaranty, indemnity, maintenance,
management, service, supply and warranty agreements, commitments, contracts,
subcontracts, insurance policies, licenses and bonds now or anytime hereafter
arising from construction on the Land or the use or enjoyment of the Property to
the extent such are assignable;

     (E)    All condemnation and eminent domain proceeds (including payments in
lieu thereof) and insurance proceeds related to the Property;

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     (F)    All articles of personal property now or hereafter attached to,
placed upon for an indefinite term or used in connection with the Land,
appurtenances to the Land, and the Improvements together with all goods and
other property which are or at any time become so related to the Property that
an interest in them arises under real estate law as fixtures;

     TOGETHER with all additions to, substitutions for and the products of all
of the above, and all proceeds therefrom, whether cash proceeds or noncash
proceeds, received when any such property (or the proceeds thereof) is sold,
used, exchanged, leased, licensed, or otherwise disposed of, whether voluntarily
or involuntarily. Such proceeds shall include any of the foregoing specifically
described property of Borrower acquired with cash proceeds. Together with, and
without limiting the above items, all Goods, Accounts, Documents, Instruments,
Money, Chattel Paper, Deposit Accounts, Letter-of-Credit Rights, Investment
Property, Equipment and General Intangibles arising from or used in connection
with the Property, as those terms are defined in the Uniform Commercial Code
from time to time in effect in the state in which the Property is located. (All
of the foregoing including such products and proceeds thereof, are collectively
referred to as "Collateral".)

     The personal property in which Lender has a security interest includes
goods which are or shall become fixtures on the Property. This Security Deed is
intended to serve as a security agreement pursuant to the terms of the
applicable provisions of the Uniform Commercial Code of the state in which the
Property is located. Borrower warrants and agrees that there is no financing
statement covering the foregoing Collateral, the Property, or any part thereof,
on file in any public office. Borrower hereby authorizes Lender, its counsel and
its representatives, at any time and from time to time, to file financing
statements and amendments thereto relating to the security interest granted
herein without the signature of Borrower.

     THIS CONVEYANCE IS INTENDED TO OPERATE AND IS TO BE CONSTRUED AS A DEED
PASSING TITLE TO THE PROPERTY TO LENDER AND IS MADE UNDER THOSE PROVISIONS OF
THE EXISTING LAWS OF THE STATE OF GEORGIA RELATING TO DEEDS TO SECURE DEBT, AND
NOT AS A MORTGAGE, AND MADE FOR THE FOLLOWING USES AND FOR THE PURPOSE OF
SECURING IN SUCH ORDER OF PRIORITY AS LENDER MAY ELECT:

     (A)    The repayment of the indebtedness evidenced by (1) that certain
Mortgage Note (the "ALIC Note") of even date herewith with a maturity date of
April 1, 2009, executed by Borrower and payable to the order of ALIC, in the
principal sum of FIVE MILLION SIX HUNDRED SEVENTY ONE THOUSAND TWO HUNDRED
SEVENTY FIVE DOLLARS ($5,671,275), with interest thereon as provided therein and
all late charges, loan fees, commitment fees, Prepayment Premium (as described
in the ALIC Note), and all extensions, renewals, modifications, amendments and
replacements of the ALIC Note, and (2) that certain Mortgage Note (the "AIC
Note" and, together with the ALIC Note, the "Note" or the "Notes") of even date
herewith with a maturity date of April 1, 2009, executed by Borrower and payable
to the order of AIC, in the principal sum of ONE MILLION EIGHT HUNDRED NINETY
THOUSAND FOUR HUNDRED TWENTY FIVE DOLLARS ($1,890,425), with interest thereon as
provided therein and all late charges, loan fees, commitment fees, Prepayment
Premium (as described in the AIC Note), and all extensions, renewals,
modifications, amendments and replacements of the AIC Note;

                                        3
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     (B)    The payment of all other sums which may be advanced by or otherwise
be due to Lender under any provision of this Security Deed or under any other
instrument or document referred to in clause (C) below or otherwise, with
interest thereon at the rate provided herein or therein;

     (C)    The performance of each and every covenant and agreement of Borrower
contained (1) herein, in the Note, or in any note evidencing a Future Advance
(as hereinafter defined), and (2) in the obligations of Borrower upon any and
all pledge or other security agreements, loan agreements, disbursement
agreements, supplemental agreements, environmental indemnity agreements (the
foregoing shall not include the Commitment Letter between Borrower and Lender),
assignments (both present and collateral) and all instruments of indebtedness or
security now or hereafter executed by Borrower in connection with any
indebtedness referred to in clauses (A), (B), or (D) - (H) of this Section
(including but not limited to the Absolute Assignment of Leases and Rents of
even date herewith from Borrower to Lender (the "Assignment of Leases and
Rents") or for the purpose of supplementing or amending this Security Deed or
any instrument secured hereby (all of the foregoing in this clause (C), as the
same may be amended, modified or supplemented from time to time, together with
the Note and this Security Deed, being referred to hereinafter as "Related
Agreements") and all costs and expenses, including reasonable attorneys' and
paralegals' fees with respect to all such documents, including, without
limitation, the negotiation and drafting of any loan settlement or workout
agreement;

     (D)    The repayment of any other loans or advances, with interest thereon,
hereafter made to Borrower (or any successor in interest to Borrower as the
owner of the Property or any part thereof) by Lender when the promissory note
evidencing the loan or advance specifically states that said note is secured by
this Security Deed, together with all extensions, renewals, modifications,
amendments and replacements thereof (herein and in the Related Agreements
"Future Advance");

     (E)    Any and all additional advances made by Lender to protect or
preserve the Property or the security title and security interest created
hereby, or to pay taxes, insurance premiums or to repair or maintain the
Property, to complete the Improvements (whether or not the original grantor or
Borrower remains the owner of the Property at the time of such advances and
whether or not the original grantee or Lender remains the owner of the
indebtedness secured hereby and this instrument);

     (F)    Any and all expenses incident to the collection of the indebtedness
secured hereby and the foreclosure hereof by action in any court or by exercise
of the power of sale herein contained;

     (G)    Any and all indebtedness now owing or which may hereafter be owing
by Borrower to Lender, however, and whenever incurred or evidenced, whether
direct or indirect, absolute or contingent, due or to become due, together with
any and all renewal or renewals and extensions of said indebtedness; and

     (H)    The full and prompt payment and performance of any and all
obligations or covenants of Borrower to Lender under the terms of any other
agreements, assignments or other

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instruments now or hereafter evidencing, securing or otherwise relating to the
indebtedness evidenced by the Note.

     TO HAVE AND TO HOLD the Property to the use, benefit, and behoof of Lender,
forever, in Fee Simple. This Security Deed is intended (i) to constitute a
security agreement as required under the Uniform Commercial Code, and (ii) to
operate and is to be construed as a deed passing title to the Property to Lender
and is made under those provisions of the existing laws of the State of Georgia
relating to deeds to secure debt, and not as a mortgage, and is given to secure
the payment of the indebtedness described above.

     Borrower warrants that Borrower has good title to the Property, is lawfully
seized and possessed of the Property and every part thereof, and has the right
to convey same; that the Property is unencumbered except as may be expressly
provided in the Permitted Exceptions described in EXHIBIT B attached hereto and
incorporated herein by this reference (the "Permitted Exceptions"); and that
Borrower will forever warrant and defend title to the Property unto Lender
against the claims of all persons whomsoever.

                                    ARTICLE I

                             COVENANTS OF BORROWER

     To protect the security of this Security Deed, and as additional
consideration to Lender, Borrower covenants, warrants and agrees as follows:

     1.01.  PERFORMANCE OF OBLIGATIONS SECURED. Borrower shall promptly pay when
due the principal of and interest on the indebtedness evidenced by the Note, the
principal of and interest on any Future Advance, any Prepayment Premium and late
charges provided for in the Note or in any note evidencing a Future Advance, and
shall further perform fully and in a timely manner all other obligations of
Borrower contained herein or in the Note or in any note evidencing a Future
Advance or in any of the Related Agreements.

     1.02.  INSURANCE. For all times during the period there remains any
indebtedness under the Note, or any and all other indebtedness (including
without limitation Future Advances) secured by this Security Deed, Borrower
shall keep the Property insured against all risks or hazards as Lender may
reasonably require. Such insurance shall be in policy form, amount and coverage
reasonably satisfactory to Lender, including, but not limited to:

     (A)    Fire and extended coverage on an "all risk" replacement cost basis,
in an amount equal to the insurable value of the Improvements, without
coinsurance or deducting for depreciation, containing a waiver of subrogation
clause and a deductible amount acceptable to Lender;

     (B)    General public liability insurance, in such form, amount and
deductible satisfactory to Lender, and naming Lender c/o Lender's servicing
agent, if any, as additional insured covering Lender's interest in the Property;

     (C)    Business interruption or rent loss insurance endorsement in an
amount at least equal to 100 percent of the sum of: annual debt service on the
Note, the annual debt service on

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any other financing permitted by Lender, ground rents, if any, and operating
expenses (without contribution from Borrower for a period of 12 months),
including, without limitation, real estate taxes and assessments and insurance,
for the Property;

     (D)    Flood insurance (whether or not available through the National Flood
Insurance Program) sufficient to cover any damage which may be anticipated in
the event of flood unless Borrower has provided Lender evidence satisfactory to
Lender that no portion of the Property is located within the boundaries of the
100 year flood plain (Flood Zone A);

     (E)    "Dram shop" insurance if alcoholic beverages are sold on the
Property;

     (F)    Boiler and machinery insurance when risks covered thereby are
present and Lender requires such insurance; and

     (G)    Earthquake insurance if Lender requires such insurance.

     The insurance coverages described in subsections (A), (C), (D), (F), and
(G) above shall name Lender c/o Lender's servicing agent, if any, under a
standard noncontributory mortgagee loss payable clause (and naming Lender as
loss payee for rent loss coverage) or otherwise directly insure Lender's
interest in the Property. All losses under said insurance shall be payable to
Lender in the manner provided in Sections 1.04 and 1.05 hereof. All policies of
insurance required under this Section 1.02 shall be with a company or companies
with a policy rating of A and financial rating of at least Class X in the most
current edition of Best's Key Rating Guide and authorized to do business in the
state in which the Property is located. All policies of insurance shall provide
that they will not be canceled or modified without 30 days' prior written notice
to Lender. True copies of the above mentioned insurance policies or evidence of
such insurance (in the form of Acord Form 28) satisfactory to Lender shall be
delivered to and held by Lender. True copies of all renewal and replacement
policies or evidences of such insurance forms (Acord Form 28) thereof shall be
delivered to Lender at least 30 days before the expiration of the expiring
policies. If any renewal or replacement policy is not obtained as required
herein, Lender is authorized to obtain the same in Borrower's name and at
Borrower's expense. Lender shall not by the fact of failing to obtain any
insurance, incur any liability for or with respect to the amount of insurance
carried, the form or legal sufficiency of insurance contracts, solvency of
insurance companies, or payment or defense of lawsuits, and Borrower hereby
expressly assumes full responsibility therefor and all liability, if any, with
respect thereto.

     1.03.  CONDEMNATION.

     (A)    Immediately upon obtaining knowledge of the commencement or threat
of any action in connection with (1) any condemnation, (2) any other taking of
the Property or any part thereof by any public authority or private entity
having the power of eminent domain, or (3) any conveyance in lieu of such
condemnation or taking of the Property or any part thereof ("Condemnation"),
Borrower shall notify Lender in writing but in no event later than ten (10) days
after Borrower obtains knowledge of the commencement of or threat or likelihood
of a Condemnation: Lender shall have the right, but not the obligation, to
participate in any proceedings relating to any Condemnation and may, in its sole
discretion, consent or withhold its consent to any settlement, adjustment, or
compromise of any claims arising from the

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Condemnation and no such settlement, adjustment or compromise shall be final or
binding upon Lender without Lender's prior consent.

     (B)    Except as expressly provided in Section 1.03(C), if all or part of
the Property is taken by Condemnation and Lender in its reasonable judgment
determines that the remainder of the Property, if any, cannot be operated as an
economically viable entity at substantially the same level of operations as
immediately prior to such Condemnation, then all proceeds of the Condemnation
("Condemnation Proceeds") shall be paid over to Lender and shall be applied
first toward reimbursement of the costs and expenses (including reasonable
attorneys' and paralegals' fees) of Lender, if any, in connection with the
condemnation or the recovery of such Condemnation Proceeds, and then, in the
sole and absolute discretion of Lender and without regard to the adequacy of its
security under this Security Deed, shall be applied against all amounts due
hereunder or under the Note in such amounts and priority as Lender shall deem
appropriate and any remaining Condemnation Proceeds shall be released to
Borrower. Partial prepayment of the Note under this Section 1.03(B) with
Condemnation Proceeds shall not be subject to the Prepayment Premium; however,
such partial prepayment shall not entitle Borrower to prepay the portion of the
Note remaining unpaid after application of the Condemnation Proceeds. Full or
partial prepayment of the balance shall continue to be subject to the terms and
conditions of the Note, including the No-Prepayment Period and the Prepayment
Premium as defined and described therein.

     (C)    If less than all of the Property is taken by Condemnation and Lender
in its reasonable judgment determines that the remainder of the Property can be
operated as an economically viable entity at substantially the same level of
operations as immediately prior to such Condemnation, then Borrower shall
diligently restore the Property to a condition and use as close as possible to
its condition immediately prior to the Condemnation and all Condemnation
Proceeds shall be made available to Borrower for such restoration. If the
estimated cost of restoration, as reasonably determined by Lender, is equal to
or less than One Hundred Fifty Thousand Dollars ($150,000), all Condemnation
Proceeds shall be released directly to Borrower for restoration of the Property.
If the estimated cost of restoration exceeds One Hundred Fifty Thousand Dollars
($150,000), all Condemnation Proceeds shall be deposited into an escrow fund in
accordance with Section 1.05 below. Lender shall have the right to obtain an
opinion of an independent contractor or engineer satisfactory to Lender, at
Borrower's expense, to estimate the cost to restore the remaining portion of the
Property. If the amount of the Condemnation Proceeds is not sufficient to
restore the Property based on the opinion of an independent contractor or
engineer, subject to revision as restorations are made, Borrower shall be
obligated to pay the difference toward the restoration of the Property, prior to
the disbursement of any Condemnation Proceeds to, or for the account of,
Borrower.

     (D)    If an Event of Default exists at any time from the time of a
Condemnation through the completion of restoration and payment of any
Condemnation Proceeds, the use of the Condemnation Proceeds shall be governed by
the remedies set forth in Article III below. If an event has occurred which with
notice, the passage of time, or both, could become an Event of Default, then,
the Condemnation Proceeds shall be held by Lender or in the Escrow Fund (as
defined below), as applicable, pending cure of such event prior to the
expiration of any applicable cure or grace period. The application of any
Condemnation Proceeds to the

                                        7

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indebtedness secured hereby shall not cure or waive any Event of Default
hereunder, or invalidate any act done pursuant to any notice thereof.

     1.04.  DAMAGE TO PROPERTY.

     (A)    Promptly upon obtaining knowledge of any damage to the Property or
any part thereof with an estimated cost of restoration in excess of Fifty
Thousand Dollars ($50,000), but in no event later than ten (10) days after
Borrower obtains such knowledge, Borrower shall notify Lender of such damage in
writing. Borrower shall diligently restore the Property to the same condition
that existed immediately prior to the damage whether or not insurance proceeds
are sufficient for such restoration. All proceeds of any insurance on the
Property ("Insurance Proceeds") received by Borrower shall be applied to such
restoration. Lender shall have the right to obtain an opinion of an independent
contractor or engineer satisfactory to Lender, at Borrower's expense, to
estimate the cost to restore the Property to its original condition, which
opinion may be revised as restorations are made. If the amount of the Insurance
Proceeds is not sufficient to restore the Property based on an independent
contractor's or engineer's opinion, subject to revision as restorations are
made, Borrower shall be obligated to pay the difference toward the restoration
of the Property, prior to the application of any Insurance Proceeds to such
restoration as provided herein.

     (B)    If the estimated cost of restoration is equal to or less than One
Hundred Fifty Thousand Dollars ($150,000), Borrower shall promptly settle and
adjust any claims under the insurance policies which insure against such risks
and, upon receipt of the Insurance Proceeds, Lender shall deliver such to
Borrower for use in restoration of the Property.

     (C)    If the estimated cost of restoration is greater than One Hundred
Fifty Thousand Dollars ($150,000), Lender shall have the right, but not the
obligation, to participate in the settlement of the insurance claims and may, in
its sole discretion, consent or withhold its consent to any settlement,
adjustment, or compromise of such insurance claims and no such settlement,
adjustment, or compromise shall be final or binding upon Lender without its
prior consent. Upon settlement of insurance claims, and if Borrower can
demonstrate to the reasonable satisfaction of Lender that the projected ratio of
Net Operating Income, as defined below, to annual debt service due under the
Note and any other notes secured by the Property ("Debt Coverage Ratio") will be
at least one hundred five percent (105%) for the twelve (12) months immediately
following reconstruction of the Property, the Insurance Proceeds shall be
deposited into an escrow fund in accordance with Section 1.05 below.

     As used in this Security Deed, "Net Operating Income" shall mean:

     (i)    all gross operating revenues anticipated to be received during the
following twelve-month period based on leases in effect as of the date of
calculation and only for such time as those leases are contracted to remain in
effect without expiration by their terms or optional termination by the tenant
(unless the tenant has waived its termination rights in writing or the term of
the lease has been extended in writing), including without limitation all
amounts to be received from tenants as payment of operating expenses (including
real estate taxes and insurance and/or other operating expenses reimbursed by
tenants) but not including refundable deposits, lease termination payments,
excess tenant improvement and leasing commission

                                        8
<Page>

payments included as additional rent, principal or interest payments received by
Borrower on loans to tenants and fees and reimbursements for work performed for
tenants by Borrower, less:

     (ii)   all amounts, calculated on a pro forma basis, for the operation or
maintenance of the Property for the following 12 month period, including ground
rents, the cost of property management (which shall be no less than four percent
(4%) of gross revenues), maintenance, cleaning, security, landscaping, parking
maintenance and utilities, and other costs and expenses approved in writing by
Lender and amounts reasonably estimated by Lender for the payment of real estate
taxes and assessments and other taxes related to the operation of the Property,
insurance premiums, necessary repairs and future replacements of equipment;
payments under the Note shall not be included in Net Operating Income.

     Notwithstanding the foregoing, if any of the Related Agreements require a
historical calculation of Net Operating Income, it shall be calculated on a cash
basis for the previous twelve-month period as of the date of such calculation.

     (D)    If in the reasonable judgment of Lender the conditions of Section
1.04(C) cannot be satisfied, then at any time from and after the occurrence of
the damage, upon written notice to Borrower, Lender may declare the entire
balance of the Note and/or any Future Advances then outstanding and accrued and
unpaid interest thereon, and all other sums or payments required thereunder or
under this Security Deed, without any Prepayment Premium (provided there is no
Event of Default hereunder), to be immediately due and payable, and all
Insurance Proceeds shall be applied by Lender first to the reimbursement of any
costs or expenses (including reasonable attorneys' and paralegals' fees and
expenses) incurred by Lender in connection with the damage, the recovery of
Insurance Proceeds, or the determination to be made hereunder, and then to the
payment of the indebtedness secured by this Security Deed in such order as
Lender may determine in its sole discretion.

     (E)    Notwithstanding any provision herein to the contrary, if an Event of
Default exists at any time from the time of damage through the completion of
restoration and the final release of any Insurance Proceeds to Borrower, the use
of the Insurance Proceeds shall be governed by the remedies set forth in Article
III below. If an event has occurred which with notice, the passage of time, or
both, could become an Event of Default, then the Insurance Proceeds shall be
held by Lender or in the Escrow Fund, as applicable, pending cure of such event
prior to the expiration of any applicable cure or grace period. The application
of any Insurance Proceeds to the indebtedness secured hereby shall not cure or
waive any Event of Default hereunder or invalidate any act done pursuant to any
notice thereof.

     1.05.  ESCROW FUND FOR CONDEMNATION AND INSURANCE PROCEEDS.

     (A)    In the circumstances indicated above in subsections 1.03(C) and
1.04(C), all Condemnation Proceeds and Insurance Proceeds, as the case may be
("Proceeds"), shall be deposited in an interest bearing escrow fund ("Escrow
Fund"). The escrow agent and the form of the escrow agreement shall be
reasonably satisfactory to Lender and Borrower. The costs and fees of such
escrow agent shall be paid by Borrower. If the amount of the Proceeds is not
sufficient to restore the Property based on an independent contractor's or
engineer's opinion obtained by Lender at Borrower's expense, subject to revision
as restorations are made,

                                        9
<Page>

Borrower shall be obligated to deposit in the Escrow Fund the difference between
the contractor's or engineer's estimate and the amount of the Proceeds or
deliver to the escrow agent an irrevocable, unconditional letter of credit
issued in the amount of such difference in a form and by a financial institution
acceptable to Lender or other cash equivalent acceptable to Lender. Borrower's
funds, if necessary, and the Proceeds shall be deposited into the Escrow Fund
and shall not be released by the escrow agent unless used to restore the
Property to its original condition and unless a disbursement agent satisfactory
to Lender and Borrower approves such disbursements from time to time. The escrow
agreement shall provide that the escrow agent shall only disburse funds to
Borrower so long as the restoration work is being diligently performed by
Borrower and only after (1) Borrower has delivered to Lender and Lender has
approved the plans and specifications for the restoration of the Property; (2)
Borrower has executed a contract acceptable to Lender with a general contractor
acceptable to Lender for the restoration of the Property; (3) the general
contractor has submitted lien waivers and/or releases, executed by the general
contractor and all subcontractors and suppliers which may be partial to the
extent of partial payments and which, in the case of releases, may be contingent
upon payment if the escrow agent makes payment directly to such contractor,
subcontractor or supplier; (4) Borrower has furnished Lender with an endorsement
to its title policy showing no additional exceptions; and (5) Borrower has
deposited its funds in the Escrow Fund as provided in this Section and has
submitted such other documents and information as may be reasonably requested by
Lender to determine that the work to be paid for has been performed in
accordance with the plans and specifications reasonably approved by Lender. If
any requisition for payment of work performed is for an amount which would
result in the remaining balance of the Escrow Fund to be insufficient to
complete the remainder of the restoration, Borrower shall advance the requisite
amount in cash to the Escrow Fund immediately upon written request from the
disbursement agent or Lender. Any failure by Borrower to satisfy any of the
conditions to the disbursement of proceeds set forth in this paragraph upon
demand by Lender shall constitute a Performance Default, as hereinafter defined.

     (B)    Any Condemnation Proceeds and any interest thereon remaining in the
Escrow Fund after payment of the costs to complete the restoration of the
Property pursuant to the approved plans and specifications and the costs of the
escrow agent and other costs described in Section 1.05(A) shall be paid first,
to Borrower to the extent of any funds of Borrower's contributed to the
restoration pursuant to Section 1.05(A) (so long as there is no Event of Default
or an event which with notice, the passage of time, or both, could become an
Event of Default); thereafter any remaining Condemnation Proceeds shall be
returned to Borrower (i) if in Lender's sole discretion (reasonably exercised)
the restoration of the Property has been completed in a satisfactory manner and
with satisfactory results and (ii) so long as there is no Event of Default or an
event which with notice, the passage of time, or both, could become an Event of
Default. If the conditions of Section 1.05(B)(i) are not satisfied, then any
remaining Condemnation Proceeds shall be applied to the partial payment or
prepayment of the Note without payment of any Prepayment Premium; provided,
however, that any such partial prepayment shall not entitle Borrower to prepay
the portion of the Note remaining unpaid after application of the Proceeds.
Prepayment of the balance shall continue to be subject to the terms and
conditions of the Note, including the No-Prepayment Period and the Prepayment
Premium described therein. If an Event of Default exists, the use of the
Condemnation Proceeds shall be governed by Article III below. If, however, an
event exists which with notice, the passage of time, or both, could become an
Event of Default, the remaining balance in the Escrow Fund shall be held by the

                                       10
<Page>

escrow agent pending cure of the event prior to the expiration of any applicable
cure or grace period.

     (C)    Any Insurance Proceeds and any interest thereon remaining in the
Escrow Fund after payment of the costs to complete the restoration of the
Property pursuant to the approved plans and specifications and the costs of the
escrow agent and other costs described in Section 1.05(A) shall be paid first,
to Borrower to the extent of any funds of Borrower's contributed to the
restoration pursuant to Section 1.05)(A) (so long as there is no Event of
Default or an event which with notice, the passage of time, or both, could
become an Event of Default); thereafter any remaining Insurance Proceeds shall
be returned to Borrower (i) if in Lender's sole discretion (reasonably
exercised) the restoration of the Property has been completed in a satisfactory
manner and with satisfactory results and (ii) so long as there is no Event of
Default or an event which with notice, the passage of time, or both, could
become an Event of Default. If the conditions of Section 1.05(C)(i) are not
satisfied, then any remaining Insurance Proceeds shall be applied to the partial
payment or prepayment of the Note without payment of any Prepayment Premium;
provided, however, that any such partial prepayment shall not entitle Borrower
to prepay the portion of the Note remaining unpaid after application of the
Proceeds. Prepayment of the balance shall continue to be subject to the terms
and conditions of the Note, including the No-Prepayment Period and the
Prepayment Premium described therein. If an Event of Default exists, the use of
the Insurance Proceeds shall be governed by Article III below. If, however, an
event exists which with notice, the passage of time, or both, could become an
Event of Default, the remaining balance in the Escrow Fund shall be held by the
escrow agent pending cure of the event prior to the expiration of any applicable
cure or grace period.

     1.06.  TAXES, LIENS AND OTHER ITEMS.

     (A)    Borrower shall pay or cause to be paid any and all taxes, bonds,
assessments, fees, liens, charges, fines, impositions and any accrued interest
or penalty thereon, and any and all other items which are attributable to or
affect the Property (collectively, "Impositions") by making payment prior to
delinquency directly to the payee thereof and promptly furnish copies of paid
receipts for these to Lender. Borrower shall promptly discharge or bond any lien
or encumbrance on the Property whether or not said lien or encumbrance has or
may attain priority over this Security Deed. This Security Deed shall be the
sole encumbrance on the Property and, if with the consent of Lender it is not
the sole encumbrance, then it shall be prior to any and all other liens or
encumbrances on the Property. Borrower may in good faith and with due diligence
protest the payment of any Imposition which it believes unwarranted or excessive
and may defer payment of such Imposition pending conclusion of such contest if
legally permitted to do so, provided that the priority of this Security Deed and
Lender's security is not materially and adversely affected and that Borrower
shall have furnished Lender or the taxing authority such security as may be
required.

     (B)    As further security for the payment of the Note and the payment of
real estate taxes, regular or special assessments and insurance premiums,
Borrower shall be required to deposit one-twelfth (1/12) of the annual amounts
of such items as estimated by Lender, with each monthly payment on the Note, so
that Lender will hold a sufficient amount to pay all such charges not less than
thirty (30) days prior to the date on which such items become due and payable.
Lender shall be furnished evidence to allow it to estimate such amounts,
including paid

                                       11
<Page>

receipts or annual insurance premium statements, assessment notices and tax
receipts. All funds so deposited shall, until applied to the payment of the
aforesaid items, as hereinafter provided, be held by Lender without interest
(except to the extent required under applicable law) and may be commingled with
other funds of Lender. All funds so deposited shall be applied to the payment of
the aforesaid items only upon the satisfaction of the following conditions: (1)
no Event of Default or event, which with notice or the passage of time or both
could become an Event of Default, shall have occurred; (2) Lender shall have
sufficient funds to pay the full amounts of such items (which funds may include
amounts paid solely for such purpose by Borrower in addition to the escrowed
funds); and (3) Borrower shall have furnished Lender with prior written
notification that such items are due and with the bills and invoices therefor in
sufficient time to pay the same before any penalty or interest attaches and
before policies of insurance lapse, as the case may be, and shall have deposited
any additional funds as Lender may determine as necessary to pay such items.

     (C)    Lender expressly disclaims any obligation to pay the aforesaid items
unless and until Borrower complies with all of the provisions set forth in
subsections 1.06(A) and (B). Borrower hereby pledges and grants a security
interest in any and all monies now or hereafter deposited pursuant to subsection
1.06(B) as additional security for the Note and Related Agreements. If any Event
of Default shall have occurred, or if the Note shall be accelerated as herein
provided, all funds so deposited may, at Lender's option, be applied as
determined solely by Lender or to cure said Event of Default or as provided in
this Section 1.06. In no event shall Borrower claim any credit against the
principal and interest due hereunder for any payment or deposit for any of the
aforesaid items.

     1.07.  ASSIGNMENT OF LEASES, CONTRACTS, RENTS AND PROFITS.

     (A)    Borrower hereby absolutely, presently and unconditionally grants,
assigns, transfers, conveys and sets over to Lender, subject to all of the
terms, covenants and conditions set forth herein, all of Borrower's right, title
and interest in and to the following whether arising under the Leases (as
defined herein), by statute, at law, in equity, or in any other way:

            (1)    All of the leases of the Property which are in effect on the
date hereof and all leases entered into or in effect from time to time after the
date hereof, including, without limitation, all amendments, extensions,
replacements, modifications and renewals thereof and all subleases, concession
agreements, any ground leases or ground subleases and all other agreements
affecting the same (the "Leases") and all guaranties thereunder;

            (2)    All of the rents, income, profits, revenue, security
deposits, judgments, Condemnation Proceeds, Insurance Proceeds, unearned
insurance premiums, all termination and/or cancellation payments received by
Borrower in connection with any Lease, proceeds from the surrender, sale or
other disposition of any Lease, any other fees or sums payable to Borrower or
any other person as landlord and any award or payment in connection with any
enforcement action of any Lease, including, without limitation, any award to
Borrower made hereafter in any court involving any of the tenants under the
Leases in any bankruptcy, insolvency, or reorganization proceeding in any state
or federal court, and Borrower's right to appear in any action and/or to collect
any such award or payment, and all payments by any tenant in lieu of rent
(collectively, "Rents and Profits"); and

                                       12
<Page>

            (3)    All contracts, agreements, management, operating and
maintenance agreements, warranties, licenses, permits, guaranties and sales
contracts relating to the Property and the Collateral entered into by, or
inuring to the benefit of, Borrower (the "Contracts").

     (B)    Notwithstanding the provisions of subsection 1.07(A), so long as no
Event of Default has occurred and is continuing hereunder, and, subject to
subsection 1.07(F) and Article III, Borrower shall have a license to manage the
Property; to collect, receive and use all Rents and Profits in accordance with
the terms of the Leases; to let the Property subject to the terms hereof and to
take all actions which a reasonable and prudent landlord would take in enforcing
the provisions of the Leases and Contracts; provided, however, that all amounts
so collected shall be applied toward operating expenses, real estate taxes and
insurance relating to the Property, capital repair items necessary to the
operation of the Property on a current basis, and the payment of sums due and
owing under the Note and this Security Deed prior to any other expenditure or
distribution by Borrower. From and after the occurrence of an Event of Default
(whether or not Lender shall have exercised Lender's option to declare the Note
immediately due and payable), such license shall be automatically revoked
without any action required by Lender. Any amounts received by Borrower or its
agents in the performance of any acts prohibited by the terms of this Security
Deed, including but not limited to any amounts received in connection with any
cancellation, modification or amendment of any of the Leases prohibited by the
terms of this Security Deed and any amounts received by Borrower as rents,
income, issues or profits from the Property from and after the occurrence of an
Event of Default under this Security Deed, the Note, or any of the other Related
Agreements, shall be held by Borrower as trustee for Lender and all such amounts
shall be accounted for to Lender and shall not be commingled with other funds of
Borrower. Any person acquiring or receiving all or any portion of such trust
funds shall acquire or receive the same in trust for Lender as if such person
had actual or constructive notice that such funds were impressed with a trust in
accordance herewith.

     (C)    Upon the occurrence of an Event of Default, Lender shall have the
right but not the obligation to perform as landlord under the Leases and as a
party under the Contracts. The assignment of Rents and Profits set forth herein
constitutes an irrevocable direction and authorization to all tenants under the
Leases to pay all Rents and Profits to Lender upon demand and without further
consent or other action by Borrower. Borrower irrevocably appoints Lender its
true and lawful attorney, at the option of Lender at any time after the
occurrence of an Event of Default, to demand, receive and enforce payment, to
give receipts, releases and satisfactions, and to sue, either in the name of
Borrower or in the name of Lender, for all such Rents and Profits and apply the
same to the indebtedness secured by this Security Deed.

     (D)    Neither the foregoing assignment of Rents and Profits, Leases and
Contracts to Lender nor the exercise by Lender of any of its rights or remedies
under Article III shall be deemed to make Lender a "mortgagee-in-possession" or
otherwise liable in any manner with respect to the Property, unless Lender, in
person or by agent, assumes actual possession thereof. Nor shall appointment of
a receiver for the Property by any court at the request of Lender or by
agreement with Borrower, or the entering into possession of the Property by such
receiver, be deemed to make Lender a "mortgagee-in-possession" or otherwise
liable in any manner with respect to the Property, Collateral or any of the
Rents and Profits.

                                       13
<Page>

     (E)    In the event Lender collects and receives any Rents and Profits
under this Section 1.07 pursuant to any Monetary or Performance Default as
defined in Section 2.01 hereof, such collection or receipt shall in no way
constitute a curing of the Monetary or Performance Default.

     (F)    Borrower shall not, without the prior written consent of Lender, (1)
enter into any lease, extend or renew any Lease (other than extensions or
renewals in accordance with the terms of a lease approved by Lender), or consent
to or permit the assignment or subletting of any Leases (other than assignments
or subleases in accordance with the terms of a lease approved by Lender), or
amend or terminate any Lease; (2) alter, modify, change or terminate the terms
of any guaranties of any Leases; (3) create or permit any lien or encumbrance
which, upon foreclosure, would be superior to any such Leases or in any other
manner impair Lender's rights and interest with respect to the Rents and
Profits; (4) pledge, transfer, mortgage or otherwise encumber or assign the
Leases, the Contracts or the Rents and Profits; or (5) collect rents more than
30 days prior to their due date. Notwithstanding the foregoing, so long as no
Event of Default has occurred and is continuing hereunder, Borrower may enter
into Leases, extend or renew Leases, and permit the assignment or sublease of
Leases which demise 10,000 rentable square feet or less for a term of five years
or less ("Non-material Leases"), provided they are on rental rates, including
rental concessions, at least equal to that charged for comparable properties
within the Property's submarket area, have been negotiated at arm's length, and
do not contain material modifications to the form of lease previously approved
by Lender. Borrower may also amend Non-material Leases without Lender's prior
written consent if, in Borrower's prudent business judgment, such amendments are
necessary and do not impair the value of the Property. Lender will not
unreasonably withhold or delay its consent to any item submitted to it for
approval pursuant to subsections 1.07(F)(1) or (2) above. Any lease submitted
for Lender's consent shall, at Lender's option, be accompanied by a
Subordination, Nondisturbance and Attornment Agreement in Lender's then current
form or another form reasonably acceptable to Lender.

     (G)    Borrower shall promptly give notice to Lender of any default under
any of the Leases meeting the criteria of a lease for which Lender's consent
would have been required pursuant to Section 1.07(F) regardless of whether such
Leases were executed before or after the date of this Security Deed, together
with a complete copy of any notices delivered to or by the tenant as a result of
such default. Lender shall have the right, but not the obligation, to cure any
default of Borrower under any of the Leases and all amounts disbursed in
connection with said cure shall be deemed to be indebtedness secured hereby.

     (H)    Lender shall have the right to approve any lease forms used by
Borrower for lease of space in the Property.

     (I)    Borrower hereby represents, warrants and agrees that:

     (1)    Borrower has the right, power and capacity to make this assignment
and that no person, firm or corporation or other entity other than Borrower has
or will have any right, title or interest in or to the Leases, Contracts, or
Rents and Profits.

     (2)    Borrower shall, at its sole cost and expense, perform and discharge
all of the obligations and undertakings of the landlord under the Leases.
Borrower shall enforce the

                                       14
<Page>

performance of each obligation of the tenants under the Leases and will appear
in and prosecute or defend any action connected with the Leases or the
obligations of the tenants thereunder.

     (J)    Lender shall not be obligated to perform or discharge, nor does it
hereby undertake to perform or discharge, any obligation, duty or liability
under the Leases or under or by reason of this assignment. Borrower shall and
does hereby agree to indemnify Lender for and to defend and hold Lender harmless
from any and all liability, loss or damage which Lender may or might incur under
the Leases or under or by reason of this assignment, and from any and all claims
whatsoever which may be asserted against Lender by reason of any alleged
obligations or undertakings on Lender's part to perform or discharge any of the
terms, covenants or agreements contained in the Leases; provided, however, that
the foregoing indemnity shall not apply to the extent any of the foregoing
arises wholly or in substantial part from the gross negligence or willful
misconduct of Lender. Should Lender incur any liability, loss or damage under
the Leases or under or by reason of this assignment, or in the defense of any of
such claims or demands, the amount thereof, including costs, expenses and
attorneys' and paralegals' fees at all trial and appellate levels and whether
suit be brought or not, shall be secured by this Security Deed; and Borrower
shall reimburse Lender therefor immediately upon demand, and upon failure of
Borrower to do so, Lender may declare all sums so secured to be immediately due
and payable.

     (K)    Lender may take or release other security, may release any party
primarily or secondarily liable for any indebtedness secured hereby, may grant
extensions, renewals or indulgences with respect to such indebtedness, and may
apply any other security therefor held by it to the satisfaction of such
indebtedness, without prejudice to any of its rights hereunder.

     (L)    Nothing herein contained and no act done or omitted by Lender
pursuant to the powers and rights granted it herein shall be deemed to be a
waiver by Lender of its other rights and remedies under the Note, this Security
Deed and the Related Agreements, and this assignment is made and accepted
without prejudice to any of the other rights and remedies possessed by Lender
under the terms thereof. The right of Lender to collect said indebtedness and to
enforce any other security therefor held by it may be exercised by Lender either
prior to, simultaneously with, or subsequent to any action taken by it
hereunder. It is the intent of both Borrower and Lender that this assignment be
supplementary to, and not in substitution or derogation of, any other provision
contained in this Security Deed giving Lender any interest in or rights with
respect to the Leases, Contracts, or Rents and Profits.

     (M)    Neither this assignment nor pursuit of any remedy hereunder by
Lender shall cause or constitute a merger of the interests of the tenant and
Borrower under any of the Leases such that any of the Leases hereby assigned are
no longer valid and binding legal obligations of the parties executing the same.

     (N)    Borrower agrees, from time to time, to execute and deliver, upon
demand, all assignments and any and all other writings as Lender may reasonably
deem necessary or desirable to carry out the purpose and intent hereof, or to
enable Lender to enforce any right or rights hereunder.

                                       15
<Page>

     (O)    In the event of any conflict between the terms of this Section 1.07
and the terms of the Assignment of Leases and Rents, the terms of the Assignment
of Leases and Rents shall control.

     1.08.  DUE ON SALE OR ENCUMBRANCE. Neither Borrower, nor its sole member
shall, without the prior written consent of Lender: (i) create, effect, consent
to, suffer to exist, assume, incur, permit (voluntarily or involuntarily, by
operation of law or otherwise) any direct or indirect conveyance, sale,
assignment, transfer, grant, lien, pledge, mortgage, security interest or other
encumbrance or disposition (each of the foregoing defined as "Transfer") of the
Property or an interest therein; (ii) be divested of its title to the Property
or any interest therein; (iii) enter into a contract to sell or grant any option
to purchase that results in a transfer of possession or equitable title to the
Property or any portion thereof prior to the payment of the Note in accordance
with its terms; (iv) enter into any lease giving the tenant any option to
purchase the Property or any portion thereof; (v) permit or suffer any Transfer
of any direct or indirect ownership interest in Borrower or any indemnitor or
guarantor under this Security Deed or any Related Agreement; (vi) permit or
suffer any Transfer of any ownership interest in any direct or indirect owner of
a legal or beneficial interest in Borrower (including, without limitation its
partners, members, trustees, beneficiaries or shareholders); (vii) permit or
suffer the merger, dissolution, liquidation, or consolidation of Borrower or any
of the direct or indirect owners of Borrower or the conversion of one type of
legal entity into another type of legal entity. Except as expressly consented to
in writing by Lender, Borrower shall not incur any additional indebtedness
(secured or unsecured, direct or contingent) other than unsecured debt or trade
payables incurred in the ordinary course of business in connection with the
operation of the Property. Upon the occurrence of any of the prohibited actions
specified herein, then Lender shall have the right, at its option, to declare
the indebtedness secured by this Security Deed immediately due and payable,
irrespective of the maturity date specified in the Note.

     1.09.  PRESERVATION AND MAINTENANCE OF PROPERTY. Borrower shall hire
competent and responsible property managers who shall be reasonably acceptable
to Lender. Borrower, at its sole cost and expense, shall keep the Property and
every part thereof in good condition and repair, in accordance with sound and
prudent property management practices, and shall promptly and faithfully comply
with and obey all laws, ordinances, rules, regulations, requirements and orders
of every duly constituted governmental authority or agent having jurisdiction
with respect to the Property. All repairs, replacements and renewals shall be at
least equal in quality to the original Improvements. Borrower shall not permit
or commit any waste, impairment, or deterioration of the Property, nor commit,
suffer or permit any act upon or use of the Property in violation of law or
applicable order of any governmental authority, whether now existing or
hereafter enacted, or in violation of any covenants, conditions or restrictions
affecting the Property or bring or keep any article in the Property or cause or
permit any condition to exist thereon which would be prohibited by or invalidate
the insurance coverage required to be maintained hereunder. Borrower shall
promptly restore any portion of the Property which may be damaged or destroyed.
Borrower shall promptly bond or discharge any mechanics' liens against the
Property.

     1.10.  USE OF PROPERTY. Except as may have been previously agreed in
writing by Lender, Borrower shall continue to operate the Property for the
purposes for which it was used on the date hereof and for no other purpose.
Borrower shall not make or suffer any improper or

                                       16
<Page>

offensive use of the Property or any part thereof and shall not use or permit to
be used any part of the Property for any dangerous, noxious, offensive or
unlawful trade or business or for any purpose which will reduce the value of the
Property in any respect or will cause the Property or any part thereof or
interest therein to be subject to forfeiture. Borrower at its expense will
promptly comply with all rights of way or use, privileges, franchises,
servitudes, licenses, easements, tenements, hereditaments and appurtenances
forming a part of the Property and all instruments relating or evidencing the
same, in each case, to the extent compliance therewith is required of Borrower
under the terms thereof. Borrower will not take any action which results in a
forfeiture or termination of the rights afforded to Borrower under any such
instruments and will not, without the prior written consent of Lender, amend in
any material respect any of such instruments. Borrower shall at all times comply
with all laws affecting the Property and comply with any instruments of record
at the time in force affecting the Property or any part thereof and shall
procure, maintain and comply with all permits, licenses, and other
authorizations required for any use of the Property or any part thereof then
being made, and for the proper erection, installation, operation and maintenance
of the Improvements or any part thereof. Borrower shall not initiate, join in,
acquiesce in, or consent to any change in any private restrictive covenant,
zoning law or other public or private restriction, limiting or defining the uses
which may be made of the Property or any part thereof. In furtherance of the
foregoing sentence, Borrower will not, by act or omission: (i) impair the
integrity of the Property as a single zoning lot separate and apart from all
other premises; or (ii) permit or suffer to permit the Property to be used by
the public or any party in such manner as might make possible a claim of adverse
usage or possession or any implied dedication or easement. If under applicable
zoning provisions the use of all or any portion of the Property is or shall
become a nonconforming use, Borrower will not cause or permit such nonconforming
use to be discontinued or abandoned, if such discontinuance or abandonment would
prevent the same or similar nonconforming use in the future, without the express
written consent of Lender (except that a nonconforming use that results from a
tenant's use may be discontinued without Lender's consent if such tenant's lease
terminates or expires by its terms).

     1.11.  ALTERATIONS AND ADDITIONS. Borrower shall not cause, suffer or
permit:

     (A)    Any material alterations of the Property except (1) as required by
any law, statute, ordinance, order, rule, regulation, decree or other
requirement of the United States, the applicable state or county in which the
Property is located or any political subdivision of any of the foregoing, or any
agency, department, commission, board, court, bureau or instrumentality of any
of them ("Governmental Authority") or by any condition of any approval, consent,
registration, franchise, permit, license, variance, certificate of occupancy or
other authorization with regard to zoning, landmark, ecological, environmental,
air quality, subdivision, planning, building or land use required by any
Governmental Authority for the construction, lawful occupancy and operation of
the Property and the actual and contemplated uses thereof, or (2) as permitted
or required to be made by the terms of any Leases approved by Lender (with
respect to work in any space demised thereunder);

     (B)    Any demolition or removal of any portion of the Property;

     (C)    Any change which would increase the risk of fire or other hazard;

                                       17
<Page>

     (D)    Any zoning, reclassification with respect to the Property; or

     (E)    Any unlawful use of, or nuisance to exist upon, the Property.

     As used herein, the term "material alteration" shall mean any alteration,
improvement or replacement (i) the cost of which (including any related
alteration, improvement or replacement) shall exceed two percent of the
principal amount of the indebtedness secured by this Security Deed (excluding
tenant improvement work pursuant to Leases), or (ii) which materially and
adversely affects the mechanical, electrical, heating, ventilating,
air-conditioning or other building or operating systems of any of the
Improvements, or materially and adversely affects the cost of operation or
maintenance of any such building or operating systems, affects the structure or
structural soundness of any of the improvements of the Property, or the exterior
or appearance of the Property, or otherwise has a material adverse effect on the
Property including the use and/or value thereof.

     1.12.  OFFSET CERTIFICATES. Borrower, within five days upon request in
person or within ten days upon request by mail, shall furnish a written
statement duly acknowledged and notarized, of all amounts due on any
indebtedness secured hereby or secured by any of the Related Agreements, whether
for principal or interest on the Note or otherwise, and stating whether any
offsets or defenses exist against the indebtedness secured hereby and covering
such other matters with respect to any such indebtedness as Lender may
reasonably require.

     1.13.  LENDER'S COSTS AND EXPENSES. Borrower shall pay all costs, fees and
expenses of Lender, its agents and counsel, in connection with the performance
of Lender's obligations, duties, rights, options and permitted actions
hereunder. Borrower will pay or reimburse Lender upon demand for all reasonable
attorney's and paralegals' fees, costs and expenses, including those in
connection with appellate proceedings, incurred by Lender in any proceedings
involving the estate of a decedent or an insolvent, or in any action, legal
proceeding or dispute of any kind in which Lender is a plaintiff or defendant,
affecting the indebtedness secured hereby or the Property or Collateral, this
Security Deed or the interest created herein, any condemnation action involving
the Property or any action to protect the security hereof; and any such amounts
paid by Lender shall be secured by this Security Deed. If Borrower shall default
in the payment of any tax, lien, assessment or charge levied or assessed against
the Property; in the payment of any utility charge, whether public or private;
in the payment of any insurance premium; in the procurement of insurance
coverage and the delivery of the insurance policies required hereunder; in the
performance of any covenant, term or condition of any leases affecting all or
any part of the Property; or in the performance or observance of any covenant,
condition or term of this Security Deed; then Lender, at its option, may perform
or observe the same, and all payments made or costs incurred by Lender in
connection therewith, shall be secured hereby and shall be, without demand,
immediately repaid by Borrower to Lender with interest thereon at the Default
Rate as described in the Note. Lender shall be the sole judge of the legality,
validity and priority of any such tax, lien, assessment, charge, claim, premium
and obligation, of the necessity for any such actions and of the amount
necessary to be paid in satisfaction thereof. Lender is hereby empowered to
enter and to authorize others to enter upon the Property or any part thereof for
the purpose of performing or observing any such defaulted covenant, condition or
term, without thereby becoming liable to Borrower or any other person in
possession holding under Borrower. All rights of Lender as set forth herein are
rights to be exercised at the sole option and discretion

                                       18
<Page>

of Lender and Lender shall have no duty to Borrower or any other person or
entity to perform any acts authorized by this Section or to incur any expense,
make any appearance or take any other action.

     1.14.  PROTECTION OF SECURITY; COSTS AND EXPENSES.

     (A)    In addition to any other rights or remedies of Lender hereunder,
under any of the Related Agreements, or in law or in equity, upon the occurrence
and during the continuance of an Event of Default (or prior thereto after notice
to Borrower, when possible, if Borrower is not paying or performing the act
itself and Lender determines in its sole good faith judgment that the same is
appropriate to preserve the Property or the lien of this Security Deed or any
other collateral securing the indebtedness evidenced by the Note, either before
or after acceleration of the indebtedness) Lender may, but shall not be required
to, make any payment or perform any act required to be performed by Borrower
hereunder or under any of the Related Agreements in any form and manner deemed
expedient to Lender, including, without limitation, if applicable: (1) paying
any Impositions which remain unpaid; (2) procuring the release, discharge,
compromise or settlement of any lien filed or otherwise asserted against the
Property which has not been discharged by Borrower in accordance with the
provisions of this Security Deed or any of the Related Agreements, and (3)
obtaining insurance policies where insurance coverage was required to be
obtained hereunder and the required evidence that Borrower had obtained the same
has not been delivered to Lender as required hereunder. Nothing herein shall be
construed to require Lender to advance or expend monies for any purpose
mentioned herein, or for any other purpose.

     (B)    Borrower and its property manager, if applicable, shall appear in
and defend any action or proceeding purporting to affect the security of this
Security Deed or any additional or other security for the obligations secured
hereby, or the rights or powers of the Lender, and shall pay all costs and
expenses actually incurred, including, without limitation, cost of evidence of
title and actual attorneys' and paralegals' fees, in any such action or
proceeding in which Lender may appear, and in any suit brought by Lender to
foreclose this Security Deed or to enforce or establish any other rights or
remedies of Lender hereunder or under any other security for the obligations
secured hereby. If Borrower fails to perform any of the covenants or agreements
contained in this Security Deed, or if any action or proceeding is commenced
which affects Lender's interest in the Property or any part thereof, including,
eminent domain, code enforcement, or proceedings of any nature whatsoever under
any federal or state law, whether now existing or hereafter enacted or amended,
relating to bankruptcy, insolvency, arrangement, reorganization or other form of
debtor relief, or to a decedent, then Lender may, but without obligation to do
so and without notice to or demand upon Borrower, perform such covenant or
agreement and compromise any encumbrance, charge or lien which in the judgment
of Lender appears to be prior or superior hereto. Borrower shall further pay all
expenses of Lender actually incurred (including reasonable and actual fees and
disbursements of counsel) incident to the protection or enforcement of the
rights of Lender hereunder, and enforcement or collection of payment of the Note
or any Future Advance whether by judicial or nonjudicial proceedings, or in
connection with any bankruptcy, insolvency, arrangement, reorganization or other
debtor relief proceeding of Borrower, or otherwise.

     (C)    Borrower shall pay to Lender, immediately upon written notice from
Lender: (i) all recordation, transfer, stamp, documentary or other fees or taxes
levied on Lender (exclusive

                                       19
<Page>

of Lender's income taxes) by reason of the making or recording of the Note, this
Security Deed or any Related Agreement, and (ii) all intangible property taxes
levied upon any holder of the Note or Lender under this Security Deed or secured
party under the Related Agreements.

     Any amounts disbursed by Lender pursuant to this Section or Section 1.13,
including, without limitation, reasonable attorneys' and paralegals' fees,
whether or not the indebtedness as a result thereof shall exceed the face amount
of the Note, shall be additional indebtedness of Borrower secured by this
Security Deed and each of the Related Agreements as of the date of disbursement
shall become immediately due and payable on demand and shall bear interest at
the Default Rate set forth in the Note, from demand until paid. All such amounts
shall be payable by Borrower immediately upon demand. Nothing contained in this
section shall be construed to require Lender to incur any expense, make any
appearance, or take any other action.

     1.15.  BORROWER'S COVENANTS RESPECTING COLLATERAL.

     (A)    This instrument also creates a security interest in the Collateral,
the Contracts and in any sums held by Lender, its servicing agent or any escrow
agent appointed under the terms of this Security Deed, which security interest
Borrower hereby grants in favor of Lender under the Georgia Uniform Commercial
Code, and Lender shall also have all the rights and remedies of a secured party
under the Georgia Uniform Commercial Code, and without limitation upon or in
derogation of the rights and remedies created and accorded to Lender by this
Security Deed pursuant to the common law or any other laws of the State of
Georgia or any other jurisdiction, it being understood that the rights and
remedies of Lender under the Georgia Uniform Commercial Code shall be cumulative
and in addition to all other rights and remedies of Lender arising under the
Security Deed, the Note, the Related Agreements, the common law or any other
laws of the State of Georgia or any other jurisdiction. The security interest
granted by this Security Deed is for the purpose of securing all obligations of
Borrower as set forth in this Security Deed, the Note and the Related
Agreements. Borrower acknowledges that this Security Deed shall constitute a
Security Agreement as that term is used under the laws of the State of Georgia
in favor of Lender. To the extent a security interest cannot be granted or
perfected under the applicable Uniform Commercial Code provisions in any
personal property in which Borrower has any right, title or interest, Borrower
hereby pledges to Lender all of its right, title and interest in all such
personal property including, but not limited to, deposit accounts, escrowed
funds, cash and cash receipts, as the same shall relate to the Property or the
Collateral or the conduct of business on the Property, now existing, hereafter
acquired, wherever located and however held. Any person holding property in
which Borrower has any interest shall be deemed to be holding such property in
trust for Lender.

     (B)    Borrower shall execute and deliver financing and continuation
statements covering the Collateral from time to time and in such form as Lender
may require to perfect and continue the perfection of Lender's security interest
with respect to such property, and Borrower shall pay all reasonable costs and
expenses of any record searches for financing statements Lender may require.
Borrower hereby authorizes and empowers Lender to file (and hereby irrevocably
appoints Lender its agent and attorney-in-fact, which shall be coupled with an
interest, to execute and file, on Borrower's behalf) at any time and from time
to time any initial financing statements, amendments thereto and continuation
statements with or without signature of Borrower as authorized by applicable
law, as applicable to the Collateral. For purposes of

                                       20
<Page>

such filings, Borrower agrees to furnish any information requested by Lender
promptly upon request by Lender describing the Collateral. Borrower hereby
ratifies and approves all filings of financing statements, amendments and
continuations applicable to the Collateral made or filed by Lender prior to the
date of this Security Deed.

     (C)    Without the prior written consent of Lender, Borrower shall not
create or suffer to be created any other security interest in or lien or
encumbrance on the Collateral, including replacements and additions thereto.

     (D)    Without the prior written consent of Lender or except in the
ordinary course of business, Borrower shall not sell, transfer or encumber any
of the Collateral, or remove any of the Collateral from the Property unless
Borrower shall promptly substitute and replace the property removed with similar
property of at least equivalent value on which Lender shall have a continuing
security interest ranking at least equal in priority to Lender's security
interest in the property removed.

     (E)    Borrower shall (1) upon reasonable notice (unless an emergency or
Event of Default exists) permit Lender and its representatives to enter upon the
Property to inspect the Collateral and Borrower's books and records relating to
the Collateral and make extracts therefrom and to arrange for verification of
the amount of Collateral, under procedures acceptable to Lender, directly with
Borrower's debtors or otherwise at Borrower's expense; (2) promptly notify
Lender of any attachment or other legal process levied against any of the
Collateral and any information received by Borrower relative to the Collateral,
Borrower's debtors or other persons obligated in connection therewith, which may
in any way affect the value of the Collateral or the rights and remedies of
Lender in respect thereto; (3) reimburse Lender upon demand for any and all
costs actually incurred, including, without limitation, reasonable and actual
attorneys', paralegals' and accountants' fees, and other expenses incurred in
collecting any sums payable by Borrower under any obligation secured hereby, or
in the checking, handling and collection of the Collateral and the preparation
and enforcement of any agreement relating thereto; (4) notify Lender of each
location at which the Collateral is or will be kept, other than for temporary
processing, storage or similar purposes, and of any removal thereof to a new
location, including, without limitation, each office of Borrower at which
records relating to the Collateral are kept; (5) provide, maintain and deliver
to Lender originals or certified copies of the policies of insurance and
certificates of insurance insuring the Collateral against loss or damage by such
risks and in such amounts, form and by such companies as Lender may require and
with loss payable to Lender, and in the event Lender takes possession of the
Collateral, the insurance policy or policies and any unearned or returned
premium thereon shall at the option of Lender become the sole property of
Lender; and (6) do all acts necessary to maintain, preserve and protect all
Collateral, keep all Collateral in good condition and repair and prevent any
waste or unusual or unreasonable depreciation thereof.

     (F)    Until Lender exercises its right to collect proceeds of the
Collateral pursuant hereto, Borrower will collect with diligence any and all
proceeds of the Collateral. If an Event of Default exists, any proceeds received
by Borrower shall be held in trust for Lender, and Borrower shall keep all such
collections separate and apart from all other funds and property so as to be
capable of identification as the property of Lender and shall deliver to Lender
such

                                       21
<Page>

collections at such time as Lender may request in the identical form received,
properly endorsed or assigned when required to enable Lender to complete
collection thereof.

     (G)    Lender shall have all of the rights and remedies granted to a
secured party under the Uniform Commercial Code of the state in which the
Collateral is located, as well as all other rights and remedies available at law
or in equity. During the continuance of any Event of Default hereunder or under
the Note, Lender shall have the right to take possession of all or any part of
the Collateral, to receive directly or through its agent(s) collections of
proceeds of the Collateral (including notification of the persons obligated to
make payments to Borrower in respect of the Collateral), to release persons
liable on the Collateral and compromise disputes in connection therewith, to
exercise all rights, powers and remedies which Borrower would have, but for the
security agreement contained herein, to all of the Collateral and proceeds
thereof, and to do all other acts and things and execute all documents in the
name of Borrower or otherwise, deemed by Lender as necessary, proper and
convenient in connection with the preservation, perfection or enforcement of its
rights hereunder; and

     (H)    After any Event of Default hereunder or under the Note, Borrower
shall, at the request of Lender, assemble and deliver the Collateral and books
and records pertaining to the Property at a place designated by Lender, and
Lender may, with reasonable notice to Borrower (unless an emergency exists),
enter onto the Property and take possession of the Collateral. It is agreed that
public or private sales, for cash or on credit to a wholesaler or retailer or
investor, or user of collateral of the types subject to the security agreement,
or public auction, are all commercially reasonable since differences in the
sales prices generally realized in the different kinds of sales are ordinarily
offset by the differences in the costs and credit risks of such sales. The
proceeds of any sale of the Collateral shall be applied first to the expenses of
Lender actually incurred in retaking, holding, preparing for sale, or selling
the Collateral or similar matters, including reasonable and actual attorneys'
and paralegals' fees, and then, as Lender shall solely determine.

     (I)    Upon the request of Lender, Borrower will cooperate with Lender in
obtaining control with respect to those items of Collateral consisting of
deposit accounts, investment property, letter-of-credit rights or any other
Collateral as to which "control" is required under the applicable Uniform
Commercial Code for perfection of a security interest.

     1.16.  COVENANTS REGARDING FINANCIAL STATEMENTS.

     (A)    Borrower shall keep true books of record and account in which full,
true and correct entries in accordance with sound accounting practice and
principles applied on a consistent basis from year to year shall be made of all
dealings or transactions with respect to the Property.

     (B)    (1) Borrower shall deliver to Lender:

     (A)    Within one hundred twenty (120) days after the last day of each
fiscal year of Borrower and Borrower's sole member during the term of the Note,
unaudited financial reports prepared on a cash basis, including income
statements and cash flow statements covering the operation of the Property and
unaudited annual financial reports prepared on a cash basis,

                                       22
<Page>

including balance sheets, income statements and cash flow statements covering
the financial condition of Borrower and the Borrower's sole member for the
previous fiscal year, all certified to Lender to be complete, correct and
accurate by the individual, managing member, manager or chief financial officer
of the party whom the report concerns; and

     (B)    If available, within thirty (30) days after receipt by Borrower,
original annual audit reports of an independent certified public accountant
prepared in accordance with generally accepted accounting principles containing
an unqualified opinion, including balance sheets, income statements and cash
flow statements covering the operation of the Property and the financial
condition of Borrower and Borrower's sole member for the previous fiscal year.

     (2)    At the request of Lender from time to time (but no more often than
once in each fiscal quarter of Borrower during the term of the Note), Borrower
shall also deliver to Lender unaudited financial reports prepared on a cash
basis, including income statements and cash flow statements covering the
operation of the Property and unaudited financial reports prepared on a cash
basis, including balance sheets, income statements and cash flow statements
covering the financial condition of Borrower and Borrower's sole member for the
previous fiscal quarter, a portfolio analysis report covering the operation of
all properties of which Borrower or Borrower's sole member is the owner (direct
or indirect) or a general partner of the owner (direct or indirect), setting out
a cash flow statement (including debt service payments) for each such property,
and a current rent roll of the Property, all certified to Lender to be complete,
correct and accurate by the individual, managing member, manager or chief
financial officer of the party whom the report concerns.

     (3)    All reports covering the financial condition of Borrower or
Borrower's sole member shall include, without limitation, balance sheets and
statements of income and of partner's equity, if applicable, setting forth in
each case in comparative form the figures for the previous fiscal quarter or
year, as the case may be. All interim quarterly reports shall also include a
breakdown of all categories of revenues and expenses, and any supporting
schedules and data requested by Lender. Each set of annual or quarterly
financial reports or quarterly rent rolls delivered to Lender pursuant to this
Section 1.14 shall also be accompanied by a certificate of the chief financial
officer, the managing member or the manager of the party whom the report
concerns, stating whether any condition or event exists or has existed during
the period covered by the annual or quarterly reports which then constituted or
now constitutes an Event of Default under the Note or this Security Deed, or
which if continued or not cured would, after passage of time, constitute an
Event of Default, and if any such condition or event then existed or now exists,
specifying its nature and period of existence and what Borrower did or proposes
to do with respect to such condition or event.

     (C)    In the event such statements are not in a form reasonably acceptable
to Lender or Borrower fails to furnish such statements and reports, then Lender
shall have the immediate and absolute right to audit the respective books and
records of the Property and Borrower or Borrower's member, as applicable, at the
expense of Borrower.

     (D)    Notwithstanding the foregoing, Borrower shall not be required to
deliver financial reports covering the financial condition of Borrower if and so
long as (1) the Property is

                                       23
<Page>

Borrower's only asset, and (2) Borrower delivers the unaudited financial reports
covering the operation of the Property when and as described above.

     1.17.  ENVIRONMENTAL COVENANTS.

     Borrower covenants:

     (A)    That no Hazardous Materials (as defined below) are currently on or
in the Property (except as expressly described in the Phase I Environmental Site
Assessment of the Property prepared by ATC Associates, Inc., dated July 20,
2004, as updated for Lender) or shall be installed, used, generated,
manufactured, treated, handled, refined, produced, processed, stored or disposed
of, in, on or under the Property other than Hazardous Materials in quantities
and of types reasonably and customarily associated with general office use which
have been and are stored, used and disposed of in compliance with Hazardous
Material Laws (as defined below) and the presence of which do not require
compliance with any reporting requirements under any Hazardous Material Laws;

     (B)    That no activity shall be undertaken on the Property which would
cause:

            (1)    the Property to become a hazardous waste treatment, storage
or disposal facility under any Hazardous Material Law,

            (2)    a release or threatened release of Hazardous Material from
the Property in violation of any Hazardous Material Law, or

            (3)    the discharge of Hazardous Material into any watercourse,
body of surface or subsurface water or wetland, or the discharge into the
atmosphere of any Hazardous Material which would require a permit under any
Hazardous Material Law and for which no such permit has been issued;

     (C)    That no activity shall be undertaken or permitted to be undertaken,
by Borrower on the Property which would result in a violation under any
Hazardous Material Law; and

     (D)    To obtain and deliver to Lender, within a reasonable time following
completion of actions required by an appropriate governmental agency,
certifications of engineers or other professionals reasonably acceptable to
Lender, in form and substance satisfactory to Lender, certifying that all
necessary and required actions to clean up, remove, contain, prevent and
eliminate all releases or threats of release of Hazardous Materials on or about
the Property to the levels required by the appropriate governmental agencies
have been taken and, to the knowledge of such professional, the Property is then
in compliance with applicable Hazardous Material Laws as then in effect and
applicable to such actions. For purposes of this Security Deed, "Hazardous
Materials" means and includes asbestos or any substance containing asbestos,
polychlorinated biphenyls, any explosives, radioactive materials, chemicals
known or suspected to cause cancer or reproductive toxicity, pollutants,
effluents, contaminants, emissions, infectious wastes, any petroleum or
petroleum-derived waste or product or related materials and any items defined as
hazardous, special or toxic materials, substances or waste under any Hazardous
Material Law, or any material which shall be removed from the Property pursuant
to any administrative order or enforcement proceeding or in order to place the
Property in a condition

                                       24
<Page>

that is suitable for ordinary use. "Hazardous Material Laws" means all federal,
state and local laws (whether under common law, statute or otherwise),
ordinances, rules, regulations and guidance documents now in force, as amended
from time to time, in any way relating to or regulating human health or safety,
industrial hygiene or environmental conditions, protection of the environment,
pollution or contamination of the air, soil, surface water or groundwater, and
includes, without limitation, the Comprehensive Environmental Response,
Compensation, and Liability Act of 1980, 42 U.S.C. Section 9601, et seq., the
Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et seq., the
Clean Water Act, 33 U.S.C. Section 1251 et seq., the Clean Air Act, as amended,
42 U.S.C. Section 7401 et seq., the Occupational Safety and Health Act, 29
U.S.C. Section 651 et seq., the Hazardous Materials Transportation Act, 49
U.S.C. Section 1801 et seq., the Federal Water Pollution Control Act, 33 U.S.C.
Section 1321 et seq., and the Toxic Substances Control Act, 15 U.S.C. Section
2601 et seq.

     1.18.  FURTHER ASSURANCES. Borrower, from time to time, will execute,
acknowledge, subscribe and deliver to or at the direction of Lender such
documents and further assurance as Lender may reasonably require for the purpose
of evidencing, perfecting or confirming the lien and security interest created
by this Security Deed or the security to be afforded by the Related Agreements,
or both. Without limiting the foregoing and notwithstanding anything in this
Security Deed or the Related Agreements to the contrary, Borrower will defend,
indemnify and hold Lender harmless with respect to any suit or proceeding in
which the validity, enforceability or priority of any such lien or security
interest, or both, is endangered or contested, directly or indirectly. If
Borrower fails to undertake the defense of any such claim in a timely manner,
or, in Lender's sole determination, fails to prosecute such defense with due
diligence, then Lender is authorized to take, at the sole expense of Borrower,
all necessary and proper action in defense of any such claim, including, without
limitation, the retention of legal counsel, the prosecution or defense of
litigation and the compromise or discharge of claims, including payment of all
costs and reasonable attorneys' and paralegals' fees. All costs, expenses and
losses, if any, so incurred by Lender, including all attorneys' and paralegals'
fees, regardless of whether suit is brought, for all administrative, trial and
appellate proceedings, if any, will constitute advances by Lender as provided in
Section 1.14 hereinabove.

     1.19.  BORROWER'S CONTINUED EXISTENCE. Borrower shall at all times during
the term of the Loan maintain its legal existence and qualification to do or
transact business in the state in which the Property or any of the Collateral is
located. Borrower's exact legal name, state of organization and chief executive
office are as set forth respectively in the initial paragraph of this Security
Deed. So long as any of the indebtedness secured hereby remains outstanding,
Borrower will provide Lender with thirty (30) days prior written notice of any
change in Borrower's name, organizational identification number, state of
organization or, if any individual, principal residence.

                                       25
<Page>

                                   ARTICLE II

                               EVENTS OF DEFAULT

     Each of the following shall constitute an event of default ("Event of
Default") hereunder:

     2.01.  MONETARY AND PERFORMANCE DEFAULTS.

     (A)    Failure to make any payment due under the Note, or any note
evidencing a Future Advance, other than the final payment and Prepayment
Premium, or to make any payment due under this Security Deed to Lender or any
other party, including without limitation, payment of escrow deposits, real
estate taxes, insurance premiums and ground rents, if any, on or before the
fourth (4th) day after such payment is due; or

     (B)    Failure to make the final payment or the Prepayment Premium due
under the Note or any note evidencing a Future Advance when such payment is due
whether at maturity, by reason of acceleration, as part of a prepayment or
otherwise (the defaults in (A) and (B) hereinafter "Monetary Default"); or

     (C)    Breach or default in the performance of any of the covenants or
agreements of Borrower contained herein, in the Note or in any Related Agreement
("Performance Default"), if such Performance Default shall continue for thirty
(30) days or more after written notice to Borrower from Lender specifying the
nature of the Performance Default; provided, however, that if such Performance
Default is of a nature that it cannot be cured within the thirty (30) day
period, then Borrower shall not be in default if it commences good faith efforts
to cure the Performance Default within the thirty (30) day period, demonstrates
continuous diligent efforts to cure the Performance Default in a manner
reasonably satisfactory to Lender and, within a reasonable period, not to exceed
one hundred eighty (180) days after the date of the original written notice of
the Performance Default, completes the cure of such Performance Default.
Notwithstanding the foregoing, if the breach or default is one which is defined
as an Event of Default elsewhere in this Article II or in the default definition
of any Related Agreement, then Borrower shall not be entitled to any notice or
cure period upon the occurrence of such breach or default except for such notice
and cure periods, if any, as may be expressly granted in such other defined
Event of Default; or

     (D)    Failure to maintain Insurance as provided for in Section 1.02 of
this Security Deed; or

     (E)    Failure to pay Impositions as provided for in Section 1.06.

     2.02.  BANKRUPTCY, INSOLVENCY, DISSOLUTION.

     (A)    Any court of competent jurisdiction shall sign an order (1)
adjudicating Borrower, its sole member, or any Guarantor (which term when used
in this Security Deed shall mean any guarantor of payment of the indebtedness)
bankrupt or insolvent, (2) appointing a receiver, trustee or liquidator of the
Property or Collateral or of a substantial part of the property of Borrower, its
sole member, or any Guarantor, or (3) approving a petition for, or effecting an

                                       26
<Page>

arrangement in bankruptcy, or any other judicial modification or alteration of
the rights of Lender or of other creditors of Borrower, its sole member, or any
Guarantor; or

     (B)    Borrower, its sole member, or any Guarantor shall (1) apply for or
consent to the appointment of a receiver, trustee or liquidator for it or for
any of its property, (2) as debtor, file a voluntary petition in bankruptcy, or
petition or answer seeking reorganization or an arrangement with creditors or to
take advantage of any bankruptcy, reorganization, insolvency, readjustment of
debt, dissolution or liquidation law or statute, or an answer admitting the
material allegations of a petition filed against it and any proceeding under
such law, (3) admit in writing an inability to pay its debts as they mature, or
(4) make a general assignment for the benefit of creditors; or

     (C)    An involuntary petition in bankruptcy is filed against Borrower, its
such sole member, or any Guarantor and the same is not vacated or stayed within
90 days of the filing date.

     2.03.  MISREPRESENTATION. Borrower makes or furnishes a representation,
warranty, statement, certificate, schedule and/or report to Lender in or
pursuant to this Security Deed or any of the Related Agreements which is false
or misleading in any material respect as of the date made or furnished, or
becomes false or breached upon or after execution of this Security Deed.

     2.04.  DEFAULT UNDER SUBORDINATE LOANS. An occurrence of a default under
any loan subordinate to this Security Deed which is not an independent default
under this Security Deed which results in the commencement of foreclosure
proceedings or the taking of any other remedial action under such subordinate
loan.

     2.05.  LIENS. Any federal, state or local tax lien or any claim of lien for
labor or materials or any other lien or encumbrance of any nature whatsoever is
recorded against Borrower or any of the Property or Collateral and is not
removed by payment or transferred to substitute security in the manner provided
by law, within thirty (30) days after it is recorded in accordance with
applicable law.

     2.06.  JUDGMENTS. (A) A final judgment, other than a final judgment in
connection with any condemnation, is entered against Borrower that (1)
materially and adversely affects the value, use or operation of the Property or
other Collateral, or (2) adversely affects, or reasonably may adversely affect,
the validity or enforceability of this Security Deed, any of the Related
Agreements or the Note or priority of the liens or security interests created by
this Security Deed or any of the Related Agreements; or (B) execution or other
final process issues thereon with respect to the Property or other Collateral;
and (C) Borrower does not discharge the same or provide for its discharge in
accordance with its terms, or procure a stay of execution thereon, in any event
within thirty (30) days from entry, or Borrower shall not, within such period or
such longer period during which execution on such judgment shall have been
stayed, appeal therefrom or from the order, decree or process upon or pursuant
to which such judgment shall have been entered, and cause its execution to be
stayed during such appeal, or if on appeal such order, decree or process shall
be affirmed and Borrower shall not discharge such judgment or provide for its
discharge in accordance with its terms within sixty (60) days after the entry of
such order or decree or affirmance, or if any stay of execution on appeal is
released or otherwise discharged.

                                       27
<Page>

     2.07.  LEASES. Borrower's default in the performance of its obligations as
lessor under any Lease of 10,000 square feet or more, which default could
result, in Lender's judgment, in the termination of said Lease.

     2.08.  BORROWER'S CONTINUED EXISTENCE. Borrower ceases to exist or to be
qualified to do or transact business in the state in which the Property or any
of the Collateral is located or is dissolved or is a party to a merger,
consolidation or reorganization, or sells all or substantially all of its
assets.

     2.09.  BREACH OF DUE ON SALE OR ENCUMBRANCE PROVISION. Any occurrence of a
prohibited Transfer under Section 1.08 hereof.

     2.10. DEFAULT UNDER INDEMNITY. Borrower or any guarantor or indemnitor
defaults under any obligation imposed upon Borrower or any guarantor or
indemnitor by any indemnity whether contained within this Security Deed, the
Note, any of the Related Agreements or otherwise.

                                   ARTICLE III

                                    REMEDIES

     Upon the occurrence of any Event of Default, Lender shall have the
following rights and remedies set forth in Sections 3.01 through 3.08:

     3.01.  ACCELERATION. Notwithstanding the stated maturity date in the Note,
or any note evidencing any Future Advance, Lender may without notice or demand,
declare the entire principal amount of the Note and/or any Future Advances then
outstanding and accrued and unpaid interest thereon, and all other sums or
payments required thereunder or under this Security Deed or the Related
Agreements including, but not limited to the Prepayment Premium described in the
Note, to be due and payable immediately.

     3.02.  ENTRY. Irrespective of whether Lender exercises the option provided
in Section 3.01 above, Lender in person or by agent or by court-appointed
receiver may, at its option, without any action on its part being required,
without in any way waiving such Event of Default, with or without the
appointment of a receiver, or an application therefor:

     (A)    Take possession of, conduct tests of, manage or hire a manager to
manage, lease and operate the Property or any part thereof, on such terms and
for such period of time as Lender may deem proper, with full power to make, from
time to time, all alterations, renovations, repairs or replacements thereto as
may seem proper to Lender;

     (B)    With or without taking possession of the Property, collect and
receive all Rents and Profits (which term, as used herein, shall have the
meaning ascribed to such term in the Assignment of Leases and Rents), notify
tenants under any lease relating to the Property (the "Leases") or any other
parties in possession of the Property to pay Rents and Profits directly to
Lender, its agent or a court-appointed receiver and apply such Rents and Profits
to the payment of:

                                       28
<Page>

     (1)    all costs and expenses incident to taking and retaining possession
of the Property (including the cost of any receivership), management and
operation of the Property, keeping the Property properly insured and all
alterations, renovations, repairs and replacements to the Property;

     (2)    all taxes, charges, claims, assessments, and any other liens which
may be prior in lien or payment to this Security Deed or the Note, and premiums
for insurance, with interest on all such items; and

     (3)    the indebtedness secured hereby together with all costs and
attorneys' fees, in such order or priority as to any of such items as Lender in
its sole discretion may determine, any statute, law, custom or use to the
contrary notwithstanding;

     (C)    Exclude Borrower, its agents and servants, wholly from the Property;

     (D)    Have joint access with Borrower to the books, papers and accounts of
Borrower relating to the Property, at the expense of Borrower;

     (E)    Commence, appear in and/or defend any action or proceedings
purporting to affect the interests, rights, powers and/or duties of Lender
hereunder, whether brought by or against Borrower or Lender; and

     (F)    pay, purchase, contest or compromise any claim, debt, lien, charge
or encumbrance which in the judgment of Lender may affect or appear to affect
the interest of Lender or the rights, powers and/or duties of Lender hereunder.

     Borrower or Lender, as a matter of right without notice to Borrower or
anyone claiming under it and without regard to the then value of the Property or
the interest of Borrower therein, shall have the right to apply to any court
having jurisdiction to appoint a receiver or receivers to take charge of the
Property or any portion thereof. Any such receiver or receivers shall have all
of the usual and customary powers and duties of receivers in like or similar
cases and all of the powers and duties of Borrower or Lender in case of entry as
provided hereinabove, including without limitation, the right to collect and
receive Rents and Profits. All such Rents and Profits paid to Lender or
collected by such receiver shall be applied as provided for in subparagraph
3.02(B) above. Borrower for itself and any subsequent owner of the Property
hereby waives any and all defenses to the application for such receiver and
hereby irrevocably consents to such appointment without notice of any
application therefore.

     The receipt by Lender of any Rents and Profits pursuant to this Security
Deed after the institution of foreclosure or other proceedings under the
Security Deed shall not cure any such Event of Default or affect such
proceedings or any sale pursuant thereto. After deducting the expenses and
amounts set forth above in this Section 3.02, as well as just and reasonable
compensation for all Lender's employees and other agents (including, without
limitation, reasonable and actual attorneys' fees and management and rental
commissions) engaged and employed, the moneys remaining, at the option of
Lender, may be applied to the indebtedness secured hereby. Whenever all amounts
due on the Note and under this Security Deed shall have been paid and all Events
of Default have been cured and any such cure has been accepted by Lender, Lender
shall surrender possession to Borrower. The same right of entry, however, shall

                                       29
<Page>

exist if any subsequent Event of Default shall occur; provided, however, Lender
shall not be under any obligation to make any of the payments or do any of the
acts referred to in this Section 3.02.

     3.03.  JUDICIAL ACTION. Lender may bring an action in any court of
competent jurisdiction to foreclose this instrument or to enforce any of the
covenants and agreements hereof. The Property may be foreclosed in parts or as
an entirety.

     3.04.  POWER OF SALE. Lender may elect to cause the Property or any part
thereof to be sold under the power of sale herein granted in any manner
permitted by applicable law at one or more public sale or sales at the usual
place for conducting sales at the courthouse of the county in which the Land or
any part of the Land is situated, to the highest bidder for cash, in order to
pay the indebtedness secured hereby, and all expenses of sale and of all
proceedings in connection therewith, including attorneys' fees, after
advertising the time, place and terms of each sale once a week for four (4)
consecutive weeks immediately preceding such sale (but without regard to the
number of days) in a newspaper in which Sheriff's sales are advertised in said
county, all other notice, including judicial notice, being hereby waived by
Borrower. Upon the expiration of such time and the giving of such notice of
sale, and without the necessity of any demand on Borrower, Lender, at the time
and place specified in the notice of sale, shall sell the Property or any part
thereof. The foregoing notwithstanding, Lender may sell, or cause to be sold,
any tangible or intangible personal property or any part thereof, and which
constitutes a part of the security hereunder, in the foregoing manner, or as may
otherwise be provided by law. Lender may, from time to time, postpone any sale
hereunder by public announcement thereof at the time and place noticed therefor
or by giving notice of the time and place of the postponed sale in the manner
required by law. If the Property consists of several lots, parcels or items of
property, Lender may designate the order in which such lots, parcels or items
shall be offered for sale or sold. Any person, including Borrower or Lender, may
purchase at any sale hereunder, and Lender shall have the right to purchase at
any sale hereunder by crediting upon the bid price the amount of all or any part
of the indebtedness hereby secured plus interest, late charges, prepayment fees,
and reasonable attorneys' fees, as herein provided. Should Lender desire that
more than one sale or other disposition of the Property be conducted, Lender
may, at its option, cause the same to be conducted simultaneously, or
successively, on the same day, or at such different times and in such order as
Lender may deem to be in its best interests, and no such sale shall terminate or
otherwise affect the security of this Security Deed on any part of the Property
not sold until all indebtedness secured hereby has been fully paid. In the event
of default of any purchaser, Lender shall have the right to resell the Property
as set forth above. Upon any sale hereunder, Lender shall execute and deliver to
the purchaser or purchasers a deed or deeds conveying the property so sold in
Fee Simple, with or without any covenant or warranty whatever, express or
implied, whereupon such purchaser or purchasers shall be let into immediate
possession; and the recitals of facts in any such deed or deeds such as default,
the giving of notice of default and notice of sale, and other facts affecting
the regularity or validity of such sale or disposition, shall be conclusive
proof of the truth of such facts and any such deed or deeds shall be conclusive
against all persons as to such facts recited therein. Borrower hereby
constitutes and appoints Lender the agent and attorney-in-fact of Borrower to
make such recitals, sale and conveyance, and thereby to divest Borrower of all
right, title and equity that Borrower may have in and to the Property and to
vest the same in the purchaser or purchasers at such sale or sales. The
conveyance to be made by Lender, or its assigns, (and in the event of a deed in
lieu

                                       30
<Page>

of foreclosure, then as to such conveyance) shall be effective to bar all right,
title and interest, equity or redemption, including all statutory redemption,
homestead, dower, courtesy, and all other exemptions of Borrower, or its
successors in interest, in and to the Property. The aforesaid power of sale and
agency hereby granted are coupled with an interest and are irrevocable by death
or otherwise and shall not be exhausted by one exercise thereof, but may be
exercised until full payment of all sums secured hereby.

     3.05.  RESCISSION OF NOTICE OF DEFAULT. Lender, from time to time before
any such public sale or deed in lieu of foreclosure, may rescind any such notice
of breach or default and of election to cause the Property to be sold. Lender
may evidence such rescission, among other methods, by executing and delivering
to Borrower a written notice of such rescission, which notice, when recorded,
shall also constitute a cancellation of any prior declaration of default and
demand for sale or such documents as may be required by the laws of the state in
which the Property is located. The exercise by Lender of such right of
rescission shall not constitute a waiver of any breach or Event of Default then
existing or subsequently occurring, or impair the right of Lender to execute and
deliver to Borrower, as above provided, other declarations of default and demand
for sale, and notices of breach or default, and of election to cause the
Property to be sold to satisfy the obligations hereof, nor otherwise affect any
provision, agreement, covenant or condition of the Note and/or of this Security
Deed or any of the rights, obligations or remedies of the parties hereunder. If
Lender shall have proceeded to invoke any right, remedy or recourse permitted
under the Related Agreements and shall thereafter elect to discontinue or
abandon it for any reason, Lender shall have the unqualified right to do so and,
in such an event, Borrower and Lender shall be restored to their former
positions with respect to the indebtedness, the obligations, the Related
Agreements, the Property and otherwise, and the rights, remedies, recourses and
powers of Lender shall continue as if the right, remedy or recourse had never
been invoked, but no such discontinuance or abandonment shall waive any Event of
Default which may then exist or the right of Lender thereafter to exercise any
right, remedy or recourse under the Related Agreements for such Event of
Default. Borrower hereby expressly waives any and all benefits Borrower may have
under the Official Code of Georgia ("O.C.G.A.") Section 44-14-85 to claim or
assert that the indebtedness has been reinstated in accordance with its terms
following the withdrawal of any foreclosure proceedings by Lender and
acknowledges and agrees that reinstatement shall occur only upon written
agreement of Lender.

     3.06.  LENDER'S REMEDIES RESPECTING COLLATERAL. Lender may realize upon the
Collateral, enforce and exercise all of Borrower's rights, powers, privileges
and remedies in respect of the Collateral, dispose of or otherwise deal with the
Collateral in such order as Lender may in its discretion determine, and exercise
any and all other rights, powers, privileges and remedies afforded to a secured
party under the laws of the state in which the Property is located as well as
all other rights and remedies available at law or in equity.

     3.07.  PROCEEDS OF SALES. The proceeds of any sale made under or by virtue
of this Article III, together with all other sums which then may be held by
Lender under this Security Deed, whether under the provisions of this Article
III or otherwise, shall be applied as follows:

     (A)    To the payment of the costs, fees and expenses of sale and of any
judicial proceedings wherein the same may be made, including the cost of
evidence of title in connection

                                       31
<Page>

with the sale, compensation to Lender, and to the payment of all expenses
(including reasonable attorneys' and paralegals fees and costs), liabilities and
advances made or incurred by Lender under this Security Deed, together with
interest on all advances made by Lender at the interest rate applicable under
the Note, but limited to any maximum rate permitted by law to be charged by
Lender;

     (B)    To the payment of any and all sums expended by Lender under the
terms hereof, not then repaid, with accrued interest at the Default Rate set
forth in the Note, and all other sums (except advances of principal and interest
thereon) required to be paid by Borrower pursuant to any provisions of this
Security Deed, or the Note, or any note evidencing any Future Advance, or any of
the Related Agreements, including, without limitation, all expenses, liabilities
and advances made or incurred by Lender under this Security Deed or in
connection with the enforcement thereof, together with interest thereon as
herein provided; and

     (C)    To the payment of the entire amount then due, owing or unpaid for
principal and interest upon the Note, any notes evidencing any Future Advance,
and any other obligation secured hereby, with interest on the unpaid principal
at the rate set forth therein from the date of advancement thereof until the
same is paid in full; and then

     (D)    The remainder, if any, to the person or persons, including Borrower,
legally entitled thereto.

     3.08.  CONDEMNATION AND INSURANCE PROCEEDS. All Condemnation Proceeds,
Insurance Proceeds and any interest earned thereon shall be paid over either by
the condemning authority, insurance company or escrow agent to Lender and shall
be applied first toward reimbursement of the costs and expenses of Lender
(including reasonable attorneys' and paralegals' fees), if any, in connection
with the recovery of such Proceeds, and then shall be applied in the sole and
absolute discretion of Lender and without regard to the adequacy of its security
under this Security Deed (A) to the payment or prepayment of all or any portion
of the Note including the Prepayment Premium described in the Note; (B) to the
reimbursement of expenses incurred by Lender in connection with the restoration
of the Property or Collateral; or (C) to the performance of any of the covenants
contained in this Security Deed as Lender may determine. Any prepayment of the
Note or portion thereof pursuant to Lender's election under this Section shall
be subject to the Prepayment Premium described in the Note. Upon any Event of
Default by Borrower under this Security Deed, all right, title and interest of
Borrower in and to all any and all insurance policies then in force, including
any and all unearned premiums and existing claims, will inure to Lender, which,
at its sole option, and as attomey-in-fact for Borrower, may then make, settle
and give binding acquittances for claims under all such policies, and may assign
and transfer such policies or cancel or surrender them, applying any unearned
premium in such manner as Lender may elect. The foregoing appointment of Lender
as attomey-in-fact for Borrower is coupled with an interest, and is irrevocable.

     3.09.  WAIVER OF MARSHALLING, RIGHTS OF REDEMPTION. HOMESTEAD AND
VALUATION.

     (A)    Borrower, for itself and for all persons hereafter claiming through
or under it or who may at any time hereafter become holders of liens junior to
the lien of this Security Deed, hereby expressly waives and releases all rights
to direct the order in which any of the Property or

                                       32
<Page>

Collateral shall be sold in the event of any sale or sales pursuant hereto and
to have any of the Property and/or any other property now or hereafter
constituting security for any of the indebtedness secured hereby marshalled upon
any foreclosure of this Security Deed or of any other security for any of said
indebtedness.

     (B)    To the fullest extent permitted by law, Borrower, for itself and all
who may at any time claim through or under it, hereby expressly waives, releases
and renounces all rights of redemption from any foreclosure sale, all rights of
homestead, exemption, monitoring reinstatements, forbearance, appraisement,
valuation, stay and all rights under any other laws which may be enacted
extending the time for or otherwise affecting enforcement or collection of the
Note, the debt evidenced thereby, or this Security Deed.

     3.10.  REMEDIES CUMULATIVE. No remedy herein conferred upon or reserved to
Lender is intended to be exclusive of any other remedy herein or by law or
equity provided, but each shall be cumulative and shall be in addition to every
other remedy given hereunder or now or hereafter existing at law or in equity or
by statute. No delay or omission of Lender to exercise any right or power
accruing upon any Event of Default shall impair any right or power or shall be
construed to be a waiver of any Event of Default or any acquiescence therein.
Every power and remedy given by this Security Deed to Lender may be exercised
separately, successively or concurrently from time to time as often as may be
deemed expedient by Lender. If there exists additional security for the
performance of the obligations secured hereby, Lender, at its sole option, and
without limiting or affecting any of its rights or remedies hereunder, may
exercise any of the rights and remedies to which it may be entitled hereunder
either concurrently with whatever rights and remedies it may have in connection
with such other security or in such order as it may determine. Any application
of any amounts or any portion thereof held by Lender at any time as additional
security or otherwise, to any indebtedness secured hereby shall not extend or
postpone the due dates of any payments due from Borrower to Lender hereunder or
under the Note, any Future Advance, or under any of the Related Agreements, or
change the amounts of any such payments or otherwise be construed to cure or
waive any default or notice of default hereunder or invalidate any act done
pursuant to any such default or notice.

     3.11.  NONRECOURSE. Except as otherwise set forth in this Section, Lender's
recourse under this Security Deed, the Note and the Related Agreements shall be
limited to and satisfied from the Property and the proceeds thereof, the rents
and all other income arising therefrom during and after the month in which an
Event of Default has occurred, the other assets of Borrower arising out of the
Property which are given as collateral for the Note, and any other collateral
given in writing to Lender as security for repayment of the Note (all of the
foregoing are collectively referred to as the "Loan Collateral").
Notwithstanding the preceding sentence:

     (A)    Lender may, in accordance with the terms of this Security Deed, the
Note or any Related Agreement: (1) foreclose the lien of this Security Deed; (2)
take appropriate action to enforce this Security Deed, the Note and the Related
Agreements to realize upon and/or protect the Loan Collateral; (3) name Borrower
as a party defendant in any action brought under this Security Deed, the Note or
the Related Agreements so long as the exercise of any remedy is limited to the
Loan Collateral; (4) pursue all of its rights and remedies against any guarantor
or surety or master tenant whether or not a partner, member or other owner of
Borrower; and (5)

                                       33
<Page>

pursue all of its rights and remedies against Borrower and the indemnitors under
that certain Environmental Indemnity Agreement of even date herewith;

     (B)    Lender may seek damages or other monetary relief, to the extent of
actual monetary loss, or any other remedy at law or in equity against Borrower,
and the indemnitors/guarantors, if any, under any nonrecourse exception
indemnity agreements ("Nonrecourse Indemnitors") by reason of or in connection
with: (1) the failure of Borrower to pay to Lender, upon demand, all rents,
issues and profits of the Property to which Lender is entitled pursuant to this
Security Deed, the Note or the Related Agreements following an Event of Default;
(2) any waste of the Property or any willful act or omission by Borrower which
damages or materially reduces the value of the Property; (3) the distribution of
rents, issues and profits from the Property prior to the payment of operating
expenses or the provision for reserves, if any, to be made pursuant to this
Security Deed, the Note or the Related Agreements prior to any other expenditure
or distribution by Borrower; (4) the failure to account for and to turn over
security deposits (and interest required by law or agreement to be paid thereon)
or prepaid rents following the occurrence of an Event of Default under this
Security Deed, the Note or any Related Agreements; (5) the failure to timely pay
all real estate taxes or any regular or special assessments affecting the
Property; (6) the failure to account for and to turn over real estate tax
accruals following the occurrence of an Event of Default under this Security
Deed, the Note or any Related Agreements; (7) the failure to maintain casualty
and liability insurance as required under the Note or the Related Agreements or
to apply insurance proceeds or condemnation awards relating to the Property or
other collateral in the manner required under applicable provisions of this
Security Deed, the Note or any Related Agreement; (8) any modification,
termination or cancellation of any lease of all or any portion of the Property
without Lender's prior written consent, if and to the extent such consent is
required under the Note or the Related Agreements and if and to the extent such
modification, termination or cancellation has a material adverse affect on the
value of the Property; (9) a default by Borrower under any lease of all or any
portion of the Property; or (10) costs and expenses, including, without
limitation, attorney's fees and transfer taxes, incurred by Lender in connection
with the enforcement of this Security Deed, the Note or the Related Agreements
or in connection with a deed-in-lieu of foreclosure if the Event of Default
giving rise to the enforcement action is one described in subsections (B) or (C)
as an exception to the nonrecourse provisions, or if Borrower or any principal
of Borrower objects to any actions taken by Lender to exercise its remedies
under this Security Deed, the Note or the Related Agreements; Borrower or
principal of Borrower commences any lawsuit to enjoin or delay a foreclosure of
the Property by Lender, or raises defenses or counterclaims to a foreclosure
action; Borrower applies for the appointment of a receiver, trustee or
liquidator for it or for any of its property, or, as a debtor, files a voluntary
petition in bankruptcy, or petition or answer seeking reorganization or an
arrangement with creditors or takes advantage of any bankruptcy, reorganization,
insolvency, readjustment of debt, dissolution or liquidation law or statute, or
makes a general assignment for the benefit of creditors; or in the event any
bankruptcy or reorganization proceedings (voluntary or involuntary), Borrower or
any principal of Borrower opposes any motion by Lender for relief from the
Automatic Stay; and

     (C)    Borrower, its sole member or general partners and the Nonrecourse
Indemnitor(s), if any, shall become personally liable for payment of all the
indebtedness evidenced by the Note and performance of all other obligations of
Borrower under this Security Deed, the Note and

                                       34
<Page>

Related Agreements upon the occurrence of any: (i) fraud or willful
misrepresentation of a material fact by Borrower, its sole member or general
partners, or Nonrecourse Indemnitor(s), if any, in connection with this Security
Deed, the Note, the Related Agreements or any request for any action or consent
by Lender; (ii) a Transfer of any interest in Borrower or all or any portion of
the Property or any interest therein in violation of the terms of this Security
Deed, the Note or the Related Agreements; or (iii) the incurrence by Borrower of
any indebtedness in violation of the terms of this Security Deed, the Note or
Related Agreements (whether secured or unsecured, direct or contingent), other
than unsecured debt or routine trade payables incurred in the ordinary course of
business in connection with the operation of the Property.

     In addition, Borrower, its sole member or general partners and the
Nonrecourse Indemnitors, if any, shall be responsible for any costs and expenses
incurred by Lender in connection with the collection of any amounts for which
Borrower, its sole member or general partners, if any, and the Nonrecourse
Indemnitors, if any, are personally liable under this Section 3.11, including
attorneys' and paralegals' fees and expenses, court costs, filing fees and all
other costs and expenses incurred in connection therewith.

                                   ARTICLE IV

                                 MISCELLANEOUS

     4.01.  SEVERABILITY. In the event any one or more of the provisions
contained in this Security Deed shall for any reason be held to be invalid,
illegal or unenforceable in any respect, such invalidity, illegality or
unenforceability shall not affect any other provision of this Security Deed, but
this Security Deed shall be construed as if such invalid, illegal or
unenforceable provision had never been contained herein, but only to the extent
that it is invalid, illegal or unenforceable.

     4.02.  CERTAIN CHARGES AND BROKERAGE FEES.

     (A)    Borrower agrees to pay Lender its standard charge (or if there is no
standard charge, then Borrower shall reimburse Lender for its reasonable
expenses) for each written statement requested of Lender as to the obligations
secured hereby, furnished at Borrower's request. Borrower further agrees to pay
the charges of Lender for any other service rendered Borrower, or on its behalf,
connected with this Security Deed or the indebtedness secured hereby, including,
without limitation, the delivery to an escrow holder of a request for full or
partial release or satisfaction of this Security Deed, transmittal to an escrow
holder of moneys secured hereby, changing its records pertaining to this
Security Deed and indebtedness secured hereby to show a new owner of the
Property, and replacing an existing policy of insurance held hereunder with
another such policy.

     (B)    Borrower agrees to indemnify and hold Lender harmless from any
responsibility and/or liability for the payment of any commission charge or
brokerage fees to anyone which may be payable in connection with the funding of
the loan evidenced by the Note and this Security Deed or refinancing of any
prior indebtedness, if applicable, based upon any action taken by Borrower. It
is understood that any such commission charge or brokerage fees shall be paid
directly by Borrower to the entitled parties.

                                       35
<Page>

     4.03.  NOTICES.

     (A) All notices expressly provided hereunder to be given by Lender to
Borrower and all notices, demands and other communications of any kind or nature
whatever which Borrower may be required or may desire to give to or serve on
Lender shall be in writing and shall be (1) hand-delivered, effective upon
receipt, (2) sent by United States Express Mail or by private overnight courier,
effective upon receipt, or (3) served by certified mail, to the appropriate
address set forth below, or at such other place as Borrower or Lender, as the
case may be, may from time to time designate in writing by ten (10) days prior
written notice thereof. Any such notice or demand served by certified mail,
return receipt requested, shall be deposited in the United States mail, with
postage thereon fully prepaid and addressed to the party so to be served at its
address stated below or at such other address of which said party shall have
theretofore notified in writing, as provided above, the party giving such
notice. Service of any such notice or demand so made shall be deemed effective
on the day of actual delivery as shown by the addressee's return receipt or the
expiration of three (3) business days after the date of mailing, whichever is
the earlier in time, except that service of any notice of default or notice of
sale provided or required by law in connection with any foreclosure shall, if
mailed, be deemed effective on the date of mailing. Any notice required to be
given by Lender shall be equally effective if given by Lender's agent, if any.

     (B)    Borrower hereby requests that any notice, demand, request or other
communication (including any notice of an Event of Default and notice of sale as
may be required by law) desired to be given or required pursuant to the terms
hereof be addressed to Borrower as follows:

            Inland Western Lawrenceville Simonton, L.L.C.
            2901 Butterfield Road
            Oakbrook, Illinois 60523
            Attention:    Roberta Matlin

     With a copy to:

            The Inland Real Estate Group, Inc.
            2901 Butterfield Road
            Oakbrook, Illinois 60523
            Attention:    General Counsel

     All notices and other communications to Lender shall be addressed as
follows:

            c/o Allstate Investments, LLC
            Allstate Plaza South, Suite G5C
            3075 Sanders Road
            Northbrook, Illinois 60062
            Attention:    Commercial Mortgage Division Servicing Manager

                                       36
<Page>

     With a copy to:

            Allstate Life Insurance Company
            Investment Law Division
            Allstate Plaza South, Suite G5A
            3075 Sanders Road
            Northbrook, Illinois 60062

     By acceptance of this Security Deed, ALIC and AIC collectively represent
and warrant to Borrower that they have appointed Allstate Investments, LLC as
their agent, investment advisor and manager of their investment assets,
including this Loan. Notwithstanding any contrary term or provision in this
Security Deed or in any Related Agreement, and until Borrower receives written
notice signed by Allstate Investments, LLC, (i) Borrower will communicate only
to Allstate Investments, LLC with respect to any and all notices, consents,
approvals, requests, modifications and agreements required or otherwise relating
to this Security Deed or the Loan (collectively, "Approvals and Requests") and
Allstate Investments, LLC shall communicate and act on behalf of Lender with
respect to all Approvals and Requests, and (ii) Borrower shall be entitled to
rely on any communications from or actions by Allstate Investments, LLC with
respect to Lender and all Approvals and Requests made by Allstate Investments,
LLC shall be deemed to be made by and binding upon Lender. In the event Allstate
Investments, LLC ceases to be the agent, investment advisor and investment
manager for one or more of the companies comprising Lender, Lender collectively
agree that they shall appoint another agent or shall designate one of the
companies comprising Lender to communicate and act on behalf of Lender.
Additionally, Lender collectively represent and warrant that: (i) there will
always be one loan servicer in connection with the Loan; (ii) Borrower shall be
consistently directed to make all payments due under the Notes to a single loan
servicer; (iii) Borrower shall have no responsibility for allocating any such
payments among the holders of the Notes. The Notes shall be pari passu and
interests of each entity comprising Lender in and to the Related Agreements and
all Loan Collateral shall be co-equal without any preference or priority over
the interests of any other entity comprising Lender.

     4.04.  BORROWER NOT RELEASED; CERTAIN LENDER ACTS.

     (A)    Extension of the time for payment or modification of the terms of
payment of any sums secured by this Security Deed granted by Lender to any
successor in interest of Borrower shall not operate to release, in any manner,
the liability of Borrower. Lender shall not be required to: commence proceedings
against such successor or refuse to extend time for payment or otherwise modify
the terms of payment of the sums secured by this Security Deed, by reason of any
demand made by Borrower. Without affecting the liability of any person,
including Borrower, but subject to the terms and provisions of Section 3.11, for
the payment of any indebtedness secured hereby, or the legal operation and
effect of this Security Deed on the remainder of the Property for the full
amount of any such indebtedness and liability unpaid, Lender is empowered as
follows: Lender may from time to time and without notice (1) release any person
liable for the payment of any of the indebtedness; (2) extend the time or
otherwise alter the terms of payment of any of the indebtedness; (3) accept
additional real or personal property of any kind as security therefor, whether
evidenced by deeds of trust, mortgages,

                                       37
<Page>

security agreements or any other instruments of security; or (4) alter,
substitute or release any property securing the indebtedness.

     (B)    Lender may at its sole option and without any duty to do so, at any
time, and from time to time, (1) consent to the making of any map or plan of the
Property or any part thereof; (2) join in granting any easement or creating any
restriction thereon; (3) join in any subordination or other agreement affecting
this Security Deed or the legal operation and effect or charge hereof; or (4)
release or reconvey, without any warranty, all or part of the Property from the
lien of this Security Deed.

     4.05.  INSPECTION. Upon reasonable prior notice and subject to the rights
of tenants under the Leases, Lender may at any reasonable time make or cause to
be made entry upon and make inspections, reappraisals, surveys, construction and
environmental testing of the Property or any part thereof in person or by agent,
and if Lender has a reasonable basis to believe that Borrower is in breach of
any covenant of this Security Deed in regard to the Property, the cost of any
such inspection shall be borne by Borrower.

     4.06.  RELEASE OR RECONVEYANCE OR CANCELLATION. Upon the payment in full of
all sums secured by this Security Deed, Lender shall cancel this Security Deed
and shall surrender this Security Deed and all notes evidencing indebtedness
secured by this Security Deed to Borrower. The duly recorded cancellation shall
constitute a reassignment of the Leases by the Lender to Borrower. Borrower
shall pay all costs of recordation, if any.

     4.07.  STATUTE OF LIMITATIONS. Borrower hereby expressly waives and
releases to the fullest extent permitted by law, the pleading of any statute of
limitations as a defense to any and all obligations secured by this Security
Deed.

     4.08.  INTERPRETATION. Wherever used in this Security Deed, unless the
context otherwise indicates a contrary intent, or unless otherwise specifically
provided herein, the word "Borrower" shall mean and include both Borrower and
any subsequent owner or owners of the Property, and the word "Lender" shall mean
and include not only the original Lender hereunder but also any future owner and
holder, including pledgees, of the Note or other obligations secured hereby. In
this Security Deed, the Note and the Related Agreements, whenever the context so
requires, the masculine gender includes the feminine and/or neuter, and the
neuter includes the feminine and/or masculine, and the singular number includes
the plural. In this Security Deed, the Note and the Related Agreements, the use
of the word "including" shall not be deemed to limit the generality of the term
or clause to which it has reference, whether or not non-limiting language (such
as "without limitation," or "but not limited to," or words of similar import) is
used with reference thereto.

     4.09.  CAPTIONS. The captions and headings of the Articles and Sections of
this Security Deed, the Note and the Related Agreements are for convenience only
and are not to be used to interpret, define or limit the provisions hereof.

     4.10.  CONSENT. The granting or withholding of consent by Lender to any
transaction as required by the terms hereof shall not be deemed a waiver of the
right to require consent to future or successive transactions. Borrower
covenants and agrees to reimburse Lender promptly on

                                       38
<Page>

demand for all legal and other expenses incurred by Lender or its servicing
agent in connection with all requests by Borrower for consent or approval under
this Security Deed.

     4.11.  DELEGATION TO SUBAGENTS. Wherever a power of attorney is conferred
upon Lender hereunder or under the Related Agreements, it is understood and
agreed that such power is conferred with full power of substitution, and Lender
may elect in its sole discretion to exercise such power itself or to delegate
such power, or any part thereof, to one or more subagents and such power shall
be deemed to be coupled with an interest and irrevocable so long as this
Security Deed has not been cancelled.

     4.12.  SUCCESSORS AND ASSIGNS. All of the grants, obligations, covenants,
agreements, terms, provisions and conditions herein shall run with the land and
shall apply to, bind and inure to the benefit of, the heirs, administrators,
executors, legal representatives, successors and assigns of Borrower (but this
shall not permit any assignment prohibited hereby) and the endorsees,
transferees, successors and assigns of Lender. In the event Borrower is composed
of more than one party, the obligations, covenants, agreements, and warranties
contained herein and in the Related Agreements as well as the obligations
arising therefrom are and shall be joint and several as to each such party.

     4.13.  GOVERNING LAW. THIS SECURITY DEED AND THE RELATED AGREEMENTS ARE
INTENDED TO BE GOVERNED BY AND CONSTRUED UNDER THE LAWS OF THE STATE IN WHICH
THE PROPERTY IS LOCATED. BORROWER HEREBY WAIVES ITS RIGHT TO A TRIAL BY JURY.

     4.14.  CHANGES IN TAXATION. If, after the date of this Security Deed, any
law is passed by the state in which the Property is located or by any other
governing entity, imposing upon Lender any tax against the Property, or changing
in any way the laws for the taxation of mortgages or deeds to secure debts, or
debts secured by mortgages or deeds to secure debt so that an additional or
substitute tax is imposed on Lender or the holder of the Note, Borrower shall
reimburse Lender for the amount of such taxes immediately upon receipt of
written notice from Lender. Provided, however, that such requirement of payment
shall be ineffective if Borrower is permitted by law to pay the whole of such
tax in addition to all other payments required hereunder, without any penalty or
charge thereby accruing to Lender and if Borrower in fact pays such tax prior to
the date upon which payment is required by such notice.

     4.15.  MAXIMUM INTEREST RATE. No provision of this Security Deed or of the
Note or of any note evidencing a Future Advance shall require the payment or
permit the collection of interest in excess of the maximum non-usurious rate
permitted by applicable law. In the event such interest does exceed the maximum
legal rate, it shall be canceled automatically to the extent that such interest
exceeds the maximum legal rate and if theretofore paid, credited on the
principal amount of the Note or, if the Note has been prepaid, then such excess
shall be rebated to Borrower. It is the intent of Borrower and Lender that the
interest rate charged under the Note, this Security Deed, any note representing
any Future Advance and any of the Related Agreements shall comply with all
applicable law and not exceed the maximum rate allowed by law.

                                       39
<Page>

     4.16.  TIME OF ESSENCE.  Time is of the essence of the obligations of
Borrower in this Security Deed and the Related Agreements and each and every
term, covenant and condition made herein or therein by or applicable to
Borrower.

     4.17.  REPRODUCTION OF DOCUMENTS. This Security Deed and all documents
relating thereto, specifically excluding the Note but including, without
limitation, consents, waivers and modifications which may hereafter be executed,
financial and operating statements, certificates and other information
previously or hereafter furnished to Lender, may be reproduced by Lender by any
photographic, photostatic, microfilm, micro-card, miniature photographic or
other similar process and Lender may destroy any original document ("Master") so
reproduced. Borrower agrees and stipulates that any such reproduction is binding
as an original and shall be admissible in evidence with equal dignity as the
Master in any judicial or administrative proceeding (whether or not the Master
is in existence and whether or not such reproduction was made or preserved by
Lender in the regular course of business) and any enlargement, facsimile or
further reproduction of such a reproduction shall be no less admissible.

     4.18.  NO ORAL MODIFICATIONS.  This Security Deed may not be amended or
modified orally, but only by an agreement in writing signed by the party against
whom enforcement of any amendment or modification is sought.

     4.19.  WAIVER OF BORROWER'S RIGHTS.  BY EXECUTION OF THIS SECURITY DEED AND
BY INITIALING THIS SECTION 4.19, BORROWER EXPRESSLY: (A) ACKNOWLEDGES THE RIGHT
TO ACCELERATE THE INDEBTEDNESS EVIDENCED BY THE NOTE AND THE POWER OF ATTORNEY
GIVEN HEREIN TO LENDER TO SELL THE PROPERTY BY NONJUDICIAL FORECLOSURE UPON
DEFAULT BY BORROWER WITHOUT ANY JUDICIAL HEARING AND WITHOUT ANY NOTICE (EXCEPT
AS OTHERWISE PROVIDED HEREIN); (B) EXCEPT TO THE EXTENT PROVIDED OTHERWISE
HEREIN, WAIVES AND ALL RIGHTS THAT BORROWER MAY HAVE UNDER THE CONSTITUTION OF
THE UNITED STATES (INCLUDING THE FIFTH AND FOURTEENTH AMENDMENTS THEREOF), THE
VARIOUS PROVISIONS OF THE CONSTITUTIONS FOR THE SEVERAL STATES, OR BY REASON OF
ANY OTHER APPLICABLE LAW, TO NOTICE AND TO JUDICIAL HEARING PRIOR TO THE
EXERCISE BY LENDER OF ANY RIGHT OR REMEDY HEREIN PROVIDED TO LENDER; (C)
ACKNOWLEDGES THAT BORROWER HAS READ THIS SECURITY DEED AND ITS PROVISIONS HAVE
BEEN EXPLAINED FULLY TO BORROWER AND BORROWER HAS CONSULTED WITH COUNSEL OF
BORROWER'S CHOICE PRIOR TO EXECUTING THIS SECURITY DEED; AND (D) ACKNOWLEDGES
THAT ALL WAIVERS OF THE AFORESAID RIGHTS OF BORROWER HAVE BEEN MADE KNOWINGLY,
INTENTIONALLY AND WILLINGLY BY BORROWER AS PART OF A BARGAINED FOR LOAN
TRANSACTION:

     INITIALED BY BORROWER:

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

                                       40
<Page>

     4.20   ATTORNEYS' FEES.  Notwithstanding anything contained herein to the
contrary, (i) "reasonable attorneys' fees" are not, and shall not be, statutory
attorneys' fees under the O.C.G.A., (ii) if, under any circumstances Borrower is
required hereunder to pay any or all of Lender's attorneys' fees and expenses,
Borrower shall be responsible only for actual legal fees and out of pocket
expenses actually incurred by Lender at customary hourly rates for the work
done, and (iii) Borrower shall not be liable under any circumstances for
additional attorneys' fees or expenses under O.C.G.A. Section 13-1-11.

                               *  *  *  *  *

                            [Signature Page Follows]

                                       41
<Page>

     IN WITNESS WHEREOF, the undersigned has executed this Security Deed under
seal as of the day and year first hereinabove written.

                                         BORROWER:

Signed, sealed and delivered in the      INLAND WESTERN LAWRENCEVILLE
presence of:                             SIMONTON, L.L.C., a Delaware limited
                                         liability company

/s/[ILLEGIBLE]                           By:  INLAND WESTERN RETAIL REAL
--------------------------------------        ESTATE TRUST, INC., a Maryland
Unofficial Witness                            corporation, its sole member

/s/Kimberly A Mitchell                   By:     /s/[ILLEGIBLE]
--------------------------------------      ----------------------------------
Notary Public                            Its      Asst. Secretary
                                            ----------------------------------

My commission expires: 3/12/07
                      --------
            (Affix Notary Seal)

                                     [SEAL]

                      OFFICIAL SEAL
                    KIMBERLY A MITCHELL
            NOTARY PUBLIC - STATE OF ILLINOIS
             MY COMMISSION EXPIRES: 03-12-07

                                       42
<Page>

                                    EXHIBIT A

                             (Property Description)

All that tract or parcel of land lying and being in Land Lot 171 of the 5th
District, Gwinnett County, Georgia, and being more particularly described as
follows: Commencing at the mitered intersection of the southerly right-of-way of
Simonton Road (Variable R/W) and the easterly right-of-way of New Hope Road
(Variable R/W); thence along the easterly right-of-way of New Hope Road
(Variable R/W) South 05 degrees 33 minutes 35 seconds West, 61.87 feet to a
point; thence South 42 degrees 34 minutes 44 seconds East, 130.53 feet to a
point; thence South 21 degrees 56 minutes 22 seconds East, 17.84 feet to a
point, said point being the POINT OF BEGINNING.
Thence leaving said right-of-way North 54 degrees 10 minutes 29 seconds East,
47.04 feet to a pk nail set; thence North 67 degrees 22 minutes 22 seconds East,
153.85 feet to a #4 rebar set; thence North 11 degrees 46 minutes 21 seconds
East, 15.00 feet to a #4 rebar set; thence North 42 degrees 34 minutes 44
seconds West, 191.20 feet to a #4 rebar set on the southerly right-of-way of
Simonton Road (Variable R/W); thence along said right-of-way North 59 degrees 38
minutes 34 seconds East, 161.67 feet to a pk nail set; thence North 58 degrees
03 minutes 36 seconds East, 267.52 feet to a #4 rebar set; thence leaving said
right-of-way South 25 degrees 56 minutes 49 seconds East, 170.04 feet to a #4
rebar set; thence North 61 degrees 20 minutes 10 seconds East, 51.94 feet to a
point in the centerline of creek; thence following the meanderings of said
centerline of creek South 44 degrees 03 minutes 59 seconds East, 14.56 feet to a
point;
thence South 30 degrees 00 minutes 00 seconds East, 35.90 feet to a point;
thence South 70 degrees 00 minutes 36 seconds East, 17.51 feet to a point;
thence South 40 degrees 13 minutes 49 seconds East, 26.81 feet to a point;
thence South 65 degrees 09 minutes 23 seconds East, 28.57 feet to a point;
thence South 87 degrees 38 minutes 26 seconds East, 21.01 feet to a point;
thence South 55 degrees 53 minutes 05 seconds East, 15.86 feet to a point;
thence North 58 degrees 27 minutes 11 seconds East, 16.02 feet to a point;
thence South 37 degrees 57 minutes 00 seconds East, 18.78 feet to a point;
thence North 87 degrees 34 minutes 41 seconds East, 21.49 feet to a point;
thence South 55 degrees 38 minutes 31 seconds East, 34.69 feet to a point;
thence South 43 degrees 11 minutes 29 seconds East, 31.75 feet to a point;
thence North 89 degrees 20 minutes 16 seconds East, 15.89 feet to a point;
thence South 60 degrees 43 minutes 13 seconds East, 16.10 feet to a point;
thence South 22 degrees 52 minutes 09 seconds East, 17.44 feet to a point;
thence North 81 degrees 58 minutes 29 seconds East, 24.27 feet to a point;
thence South 68 degrees 31 minutes 25 seconds East, 24.33 feet to a point;
thence North 76 degrees 41 minutes 11 seconds East, 18.29 feet to a point;
thence South 49 degrees 10 minutes 28 seconds East, 24.05 feet to a point;
thence South 03 degrees 46 minutes 12 seconds East, 27.16 feet to a point;
thence South 85 degrees 13 minutes 34 seconds East, 62.19 feet to a point;
thence South 61 degrees 49 minutes 36 seconds East, 46.23 feet to a point;
thence South 74 degrees 13 minutes 36 seconds East, 70.82 feet to a point;
thence leaving said centerline of creek South 55 degrees 19 minutes 08 seconds
West, 841.26 feet to a #4 rebar set on the easterly right-of-way of New Hope
Road (Variable R/W); thence along said right-of-way North 42 degrees 26 minutes
56 seconds West, 73.12 feet to a #4 rebar

<Page>

set; thence leaving said right-of-way North 47 degrees 33 minutes 04 seconds
East, 20.42 feet to a #4 rebar set;
thence North 77 degrees 31 minutes 01 seconds East, 34.34 feet to a pk nail set;
thence North 47 degrees 33 minutes 04 seconds East, 101.83 feet to a #4 rebar
set;
thence North 06 degrees 08 minutes 30 seconds East, 20.00 feet to a #4 rebar
set;
thence North 42 degrees 26 minutes 49 seconds West, 108.86 feet to a #4 rebar
set;
thence South 68 degrees 40 minutes 22 seconds West, 155.01 feet to a #4 rebar
set;
thence South 47 degrees 33 minutes 04 seconds West, 22.40 feet to a #4 rebar set
on the easterly right-of-way of New Hope Road (Variable R/W); thence along said
right-of-way North 42 degrees 26 minutes 56 seconds West, 298.39 feet to a #4
rebar set; thence North 21 degrees 56 minutes 22 seconds West, 0.67 feet to a #4
rebar set, said point being the POINT OF BEGINNING.

Address: 930 New Hope Road, Lawrenceville, Georgia

<Page>

                                    EXHIBIT B

                             (Permitted Exceptions)<Page>

                                                                  Exhibit 10.355

Governors Marketplace
Tallahassee, Florida
Ninth Amendment to Agreement

                          NINTH AMENDMENT TO AGREEMENT

        THIS NINTH AMENDMENT TO AGREEMENT (the "Ninth Amendment") is made and
entered into as of the 12th of August, 2004, by and between KIMCO GOVERNORS
MARKETPALACE LTD., a Florida limited patnership ("Seller") and INLAND REAL
ESTATE ACQUISITIONS, INC ("Buyer").

                                   WITNESSETH:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement; including but not limited to recasting the
transaction as an acquisition of entity interest.

        NOW THERFORE, in consideration of the foregoing, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Closing", as defined in Section 11.1 of the Agreement is
               hereby amended by deleting "August 12, 2004" and inserting
               "August 17, 2004."

        2.     This Ninth Amendment may be executed in one or more counterparts,
               each of which shall consitute an original and all of which taken
               together shall consitute one Ninth Amendment. Each person
               executing this Ninth Amendment represents that such person has
               full authority and legal power to do so and bind the party on
               whose behalf he or she has executed this Ninth Amendment. Any
               counterpart to this Ninth Amendment may be executed by facsimile
               copy and shall be binding on the parties.

        Except as previously modified by Amendment to Agreement and by the
Second through Eighth Amendments to Agreement and as modified by this Ninth
Amendment; the Agreement shall remain unmodified and in full force and effect.

                            (SIGNATURE PAGE FOLLOWS)

<Page>

Governors Marketplace
Tallahassee, Florida
Ninth Amendment to Agreement

                                           Seller:

                                           KIMCO GOVERNORS MARKETPLACE,
                                           LTD., a Florida limited partnership

                                           By: Kimco Marketplace 317, Inc.

                                           By: /s/ BRUCE M. KAUDERER
                                              ----------------------
                                           Name: BRUCE M. KAUDERER
                                                --------------------
                                           Title: Vice President
                                                --------------------

                                           Purchaser:

                                           INLAND REAL ESTATE ACQUSITIONS,
                                           INC., an Illinois corporation

                                           By: /s/  Jason A. Lazarus
                                              -------------------------
                                           Name: Jason A. Lazarus
                                                -----------------------
                                           Title: Acquisition Officer
                                                 ----------------------

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Eighth Amendment to Agreement

                          EIGHTH AMENDMENT TO AGREEMENT

        THIS EIGHTH AMENDMENT TO AGREEMENT (the "Eighth Amendment") is made and
entered into as of the 5th of August, 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD., a Florida limited partnership ("Seller") and INLAND REAL
ESTATE ACQUISITIONS, INC. ("BUYER")

                                   WITNESSETH:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement; includig but not limited to recasting the
transaction as an acquistion of entity interest.

        NOW THEREFORE, in consideration of the foregoing, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Closing", as degined in Section 11.1 of the Agreement is
               hereby amended by deleting "August 5, 2004" and inserting "August
               12, 2004."

        2.     Seller ("LTD") has formed a Delaware limited liability company
               named Inland Western Tallahassee Governor's One, LLC. ("LLC").
               LTD shall transfer its interests to the LLC in the following
               manner:

               a.   Seller shall cause LTD to merge into the LLC with the LLC
                    surviving and LTD ceasing to exist by operation of law.

               b.   Seller has formed a new limited partnership called Kimco
                    Governors Holding LP ("LP"). Seller shall cause the existing
                    partners of LTD to assign all of their partnership interests
                    in LTD to the LP, such that the LP shall become the sole
                    member of the surviving LLC.

               c.   At Closing the LP shall assign all its members' interest
                    in the LLC to IWRRETI and IWRRETI shall accept the
                    assignment.

        3.     This Eighth Amendment may be executed in one or more
               counterparts, each of which shall constitute an original and all
               of which taken together shall constitute one Eighth Amendment.
               Each person

<Page>

Governors Marketplace
Tallahassee, Florida
Eighth Amendment to Agreement

               executing this Eighth Amendment represents that such person has
               full authority and legal power to do so and bind the party on
               whose behalf he or she has executed this Eighth Amendment. Any
               counterpart to this Eighth Amendment may be executed by facsimile
               copy and shall be binding on the parties.

        Except as previously modified by Amendment to Agreement and by the
Second through Seventh Amendments to Agreement and as modified by this Eighth
Amendment, the Agreement shall remain unmodified and in full Force and effect.

                            (SIGNATURE PAGE FOLLOWS)

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Eighth Amendment to Agreement

                                    Seller:

                                    KIMCO GOVERNORS MARKETPLACE,
                                    LTD., a Florida limited partnership

                                    By: Kimco Marketplace 317, Inc.

                                    By: /s/ Ruth Mitteldorf
                                       ---------------------
                                    Name: Ruth Mitteldorf
                                         -------------------
                                    Title: VP-Finance
                                          ------------------

                                    Purchaser:

                                    INLAND REAL ESTATE ACQUSITIONS,
                                    INC., an Illinois corporation

                                    By: /s/ Jason A. Lazarus Authorised Agent
                                       ----------------------
                                    Name:  Jason A. Lazarus
                                         ------------------------
                                    Title: Acquisitions Associate
                                          ------------------------

                                        3
<Page>

Governors Marketplace
Tallahassee, Florida
Seventh Amendment to Agreement

                         SEVENTH AMENDMENT TO AGREEMENT

        THIS SEVENTH AMENDMENT TO AGREEMENT (the "Seventh Amendment") is made
and entered into as of the 28th of July, 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD., a Florida limited partnership ("Seller") and INLAND REAL
ESTATE ACQUISITIONS, INC. ("Buyer").

                                  WITNESSETH:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement; including but not limited to recasting the
transaction as an acquisition of entity interest.

        NOW THERFORE, in consideration of the foregoing, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Closing", as defined in Section 11.1 of the Agreement is
               hereby amended by deleting "July 29, 2004" and inserting "August
               5, 2004."

        2.     Buyer has formed a Delaware limited liability company named
               Inland Western Tallahassee Governor's, LLC. ("LLC"). Seller
               agrees to transfer its interests to the LLC in the following
               manner:

               a.   Buyer shall cause the sole member of the LLC named Inland
                    Western Retail Real Estate Trust, Inc. ("IWRRETI"), to
                    assign all of its membership intersts in the LLC. to Seller.
                    Such entity transfer hereinafter referred to as "LTD".

               b.   Seller shall cause LTD to merge into LLC with the LLC
                    surviving and LTD ceasing to exist by operation of law.

               c.   Seller has formed a new limited partnership called Kimco
                    Governors Holding LP ("LP"). Seller shall cause the existing
                    partners of LTD to assign all of their partnership interests
                    in LTD to the LP, such that the LP shall become the sole
                    member of the surviving LLC.

               d.   At Closing the LP shall assign all its members' interest in
                    the LLC to IWRRETI and IWRRETI shall accept the assignment.

<Page>

Governors Marketplace
Tallahassee, Florida
Seventh Amendment to Agreement

        3.     This Seventh Amendment may be executed in one or more
               counterparts, each of which shall constitute an original and all
               of which taken together shall constitute one Seventh Amendment.
               Each person executing this Seventh Amendment represents that such
               person has full authority and legal power to do so and bind the
               party on whose behalf he or she has executed this Seventh
               Amendment. Any counterpart to this Seventh Amendment may be
               executed by facsimile copy and shall be binding on the parties.

        Except as previously modified by Amendment to Agreement and by the
Second through Sixth Amendments to Agreement and as modified by this Seventh
Amendment, the Agreement shall remain unmodified and in full force and effect.

                            (SIGNATURE PAGE FOLLOWS)

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Seventh Amendment to Agreement

                                     Seller:

                                     KIMCO GOVERNORS MARKETPLACE,
                                     LTD., a Florida limited partnership

                                     By: Kimco Marketplace 317, Inc.

                                     By: /s/ Raymond Edwards
                                         ------------------------
                                     Name: Raymond Edwards
                                           ----------------------
                                     Title: Vice President
                                           ----------------------

                                     Purchaser:

                                     INLAND REAL ESTATE ACQUSITIONS,
                                     INC., an Illinois corporation

                                     By: /s/  Jason A. Lazarus Authorised Agent
                                        -------------------------
                                     Name:  Jason A. Lazarus
                                          -----------------------
                                     Title: Acquisition Associate
                                           ----------------------

                                        3
<Page>

Governors Marketplace
Tallahassee, Florida
Sixth Amendment to Agreement

                          SIXTH AMENDMENT TO AGREEMENT

        THIS SIXTH AMENDMENT TO AGREEMENT (the "Sixth Amendment") is made and
entered into as of the 22nd of July, 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD., a Florida limited partnership ("Seller") and INLAND REAL
ESTATE ACQUISITIONS, INC. ("Buyer").

                                   WITNESSETH:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement; including but not limited to recasting the
transaction as an acquisition of entity interest.

        NOW THERFORE, in consideration of the foregoing and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Closing", as defined in Section 11.1 of the Agreement is
               hereby amended by deleting "July 22, 2004" and inserting "August
               29, 2004."

        2.     Buyer and Seller agree to cooperate in regard to Buyer's
               acquisition of the Property through the purchase of an interest
               in an entity (as opposed to fee) to be accomplished at Seller's
               expense.

        3.     Buyer and Seller agree to cooperate in regard to the assignment
               of the loan documentation from Wachovia Bank to KeyBank at
               Buyer's expense.

        4.     This Sixth Amendment may be executed in one or more counterparts,
               each of which shall constitute an original and all of which taken
               together shall constitute one Sixth Amendment. Each person
               executing this Sixth Amendment represents that such person has
               full authority and legal power to do so and bind the party on
               whose behalf he or she has executed this Sixth Amendment. Any
               counterpart to this sixth Amendment may be executed by facsimile
               copy and shall be binding on the parties.

<Page>

Governors Marketplace
Tallahassee, Florida
Sixth Amendment to Agreement

        Except as modified by the Amendment, and by this Sixth Amendment the
Agreement shall remain unmodified and in full force and effect.

                            (SINGATURE PAGE FOLLOWS)

                                        2
<Page>

Governors Marketplace
Tallahassee,Florida
Sixth Amendment to Agreement

                                    Seller:

                                    KIMCO GOVERNORS MARKETPLACE,
                                    LTD., a Florida limited partnership

                                    By: Kimco Marketplace 317, Inc.

                                    By: /s/ Bruce Rubenstein
                                        ------------------------
                                    Name: Bruce Rubenstein
                                          ----------------------
                                    Title: Vice President
                                          ----------------------

                                    Purchaser:

                                    INLAND REAL ESTATE ACQUSITIONS,
                                    INC., an Illinois corporation

                                    By: /s/ Jason A. Lazarus Authorised Agent
                                       ---------------------
                                    Name:  Jason A. Lazarus
                                         -----------------------
                                    Title: Acquisition Associate
                                          ----------------------

                                        3
<Page>

Governors Marketplace
Tallahasaee, Florida
Fifth Amendment to Agreement

                          FIFTH AMENDMENT TO AGREEMENT

        THIS FIFTH AMENDMENT TO AGREEMENT (the "Fifth Amendment") is made and
entered into as of the 12th of July, 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD, a Florida limited partnership ("Seller") and INLAND REAL ESTATE
ACQUISITIONS, INC. ("Buyer").

                               W I T N E S S E T H:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement; including but not limited to recasting the
transaction as an acquisition of entity interest.

        NOW THEREFORE, in consideration of the foregoing, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Closing", as defined in Section 11.1 of the Agreement is
               hereby amended by deleting "July 15, 2004" and inserting "July
               22, 2004."

        2.     Buyer and Seller agree to cooperate in regard to Buyer's
               acquistion of the Property through the purchase of an interest in
               an entity (as opposed to fee) to be accomplished at Seller's
               expense.

        3.     This Fifth Amendment may be executed in one or more counterparts,
               each of which shall constitute an original and all of which taken
               together shall constitute one Fifth Amendment. Each person
               executing this Fifth Amendment represents that such person has
               full authority and legal power to do so and bind the party on
               whose behalf he or she has executed this Fifth Amendment. Any
               counterpart to this Fifth Amendment may be executed by facsimile
               copy and shall be binding on the parties.

        Except as modified by the Amendment, and by this Fifth Amendment, the
Agreement shall remain unmodified and in full force and effect.

                            (SIGNATURE PAGE FOLLOWS)

<Page>

Governors Marketplace
Tallahassee, Florida
Fifth Amendment to Agreement

                                     Seller:

                                     KIMCO GOVERNORS MARKETPLACE,
                                     LTD., a Florida limited partnership

                                     By: Kimco Marketplace 317, Inc.

                                     By: /s/ Edward Senenman
                                         ------------------------
                                     Name: Edward Senenman
                                           ----------------------
                                     Title: Vice President
                                            ---------------------

                                     Purchaser:

                                     INLAND REAL ESTATE ACQUSITIONS,
                                     INC., an Illinois corporation

                                     By: /s/ Jason A. Lazarus Authorised Agent
                                         ---------------------
                                     Name:  Jason A. Lazarus
                                           ------------------------
                                     Title: Acquisition Associates
                                           ------------------------

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Fourth Amendment to Agreement

                          FOURTH AMENDMENT TO AGREEMENT

        THIS FOURTH AMENDMENT TO AGREEMENT (the "Fourth Amendment") is made and
entered into as of the 1st of July, 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD., a Florida limited partnership ("Seller") and INLAND REAL
ESTATE ACQUISITIONS, INC. ("Buyer").

                                   WITNESSETH:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated, May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement; including but not limited to recasting the
transaction as an acquisition of entity interest.

        NOW THEREFORE, in consideration of the foregoing, and other good and,
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Closing", as defined in Section 11.1 of the Agreement is
               hereby amended by deleting "The Closing Date shall be ten (10)
               business days after the expiration of the Due Diligance Period"
               and inserting "The Closing Date shall be July 15, 2004."

        2.     Buyer and Seller agree to cooperate in regard to Buyer's
               acquisition of the Property through the purchase of an interest
               in an entity (as opposed to fee) to be accomplished at Seller's
               expense.

        3.     This Fourth Amendment may be executed in one or more
               counterparts, each of which shall constitute an original and all
               of which taken together shall constitute one Fourth Amendment.
               Each person executing this Fourth Amendment represents that such
               person has full authority and legal power to do so and bind the
               party on whose behalf he or she has executed this Fourth
               Amendment. Any counterpart to this Fourth Amendment may be
               executed by facsimile copy and shall be binding on the period.

        Except as modified by the Amendment, and by this Fourth Amendment, the
Agreement shall remain, unmodified and in full force and effect.

                             (SIGNATURE AS FOLLOWS)

<Page>

Governors Marketplace
Tallahassee, Florida
Fourth Amendment to Agreement

                                      Seller:

                                      KIMCO GOVERNORS MARKETPLACE,
                                      LTD., a Florida limited partnership

                                      By: Kimco Marketplace 317, Inc.

                                      By: /s/ Bruce Rubenstein
                                          --------------------------
                                      Name:  Bruce Rubenstein
                                            ------------------------
                                      Title: Vice President
                                             -----------------------

                                      Purchaser:

                                      INLAND REAL ESTATE ACQUSITIONS,
                                      INC., an Illinois corporation

                                      By: /s/ Jason A. Lazarus Authorised Agent
                                          ---------------------
                                      Name: Jason A. Lazarus
                                            ------------------------
                                      Title: Acquisitions Associate
                                             -----------------------

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Third Amendment to Agreement

                          THIRD AMENDMENT TO AGREEMENT

        THIS THIRD AMENDMENT TO AGREEMENT (the "Third Amendment") is made and
entered into as of the 22nd of June, 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD., a Florida limited partnership ("Seller") and INLAND REAL
ESTATE ACQUISITIONS, INC. ("Buyer").

                              W I T N E S S E T H:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement.

        NOW THEREFORE, in consideration of the foregoing, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Due Diligence Period", as defined in Section 1.7 of the
               Agreement is hereby amended by deleting the date "June 22, 2004,"
               and inserting the date of "June 25, 2004" therein for resolution
               of the following open issues:

               (a)  $10,000.00 landscape repair conditional upon reconciliation
                    of a pro forma ground rent;

               (b)  Ujamma and One Price Clothing to be included in the Mater
                    Lease at time of closing; and,

               (c)  Seller to obtain waiver from Marshall's regarding the
                    conflict in the size restriction of the outlot building.

        2.     This Third Amendment may be executed in one or more counterparts,
               each of which shall constitute an original and all of which taken
               together shall constitute one Third Amendment. Each person
               executing this Third Amendment represents that such person has
               full authority and legal power to do so and bind the party on
               whose behalf he or she has executed this Third Amendment. Any
               counterpart to this Third Amendment may be executed by facsimile
               copy and shall be binding on the parties.

<Page>

Governors Marketplace
Tallahassee, Florida
Third Amendment to Agreement

        Except as modified by the Amendment, and by this Third Amendment, the
Agreement shall remain unmodified and in full force and effect.

                            (SIGNATURE PAGE FOLLOWS)

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Third Amendment to Agreement

                                           Seller:

                                           KIMCO GOVERNORS MARKETPLACE,
                                           LTD., a Florida limited partnership

                                           By: Kimco Marketplace 317, Inc.

                                           By: /s/ [ILLEGIBLE]
                                               ------------------------
                                           Name: [ILLEGIBLE]
                                                 ----------------------
                                           Title: Senior Counsel
                                                 ----------------------

                                           Purchaser:

                                           INLAND REAL ESTATE ACQUSITIONS,
                                           INC., an Illinois corporation

                                           By: /s/ [ILLEGIBLE]
                                               ------------------------
                                           Name:  [ILLEGIBLE]
                                                 ----------------------
                                           Title: Authorised Agent
                                                 -----------------------

                                        3
<Page>

Governors Marketplace
Tallahassee, Florida
Second Amendment to Agreement

                          SECOND AMENDMENT TO AGREEMENT

        THIS SECOND AMENDMENT TO AGREEMENT (the "Second Amendment") is made and
entered into as of the 21st of June 2004, by and between KIMCO GOVERNORS
MARKETPLACE LTD, a Florida limited partnership ("Seller") and INLAND REAL ESTATE
ACQUISITIONS, INC. ("Buyer").

                                   WITNESSETH:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
dated May 6, 2004, as amended (collectively, "the Agreement"), for the sale and
purchase of the property commonly known as Governors Marketplace located in
Tallahassee, Florida, as legally described by the Agreement (the "Property").

        WHEREAS, Buyer and seller have mutually agreed to amend certain
provisions of the Agreement.

        NOW THEREFORE, in consideration of the foregoing, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Due Diligenea Period", as defined in Section 1.7 of the
               Agreement is hereby amended by deleting the date "June 21, 2004,"
               and inserting the date of "June 22, 2004" therein.

        2.     This Second Amendment may be executed in one or more
               counterparts, each of which shall constitute an original and all
               of which taken together shall constitute one Second Amendment.
               Each person executing this Second Amendment represents that such
               person has full authority and legal power to do so and bind the
               party on whose behalf he or she has executed this Second
               Amendment. Any counterpart to this Second Amendment may be
               executed by facsimile copy and shall be binding on the parties.

        Except as modified by the Amendment, and by this Second Amendment, the
Agreement shall remain unmodified and in full force and effect.

                            (SIGNATURE PAGE FOLLOWS)

<Page>

Governors Marketplace
Tallahassee, Florida
Second Amendment to Agreement

                                           Seller:

                                           KIMCO GOVERNORS MARKETPLACE,
                                           LTD., a Florida limited partnership

                                           By: Kimco Marketplace 317, Inc.

                                           By: /s/ [ILLEGIBLE]
                                               ------------------------
                                           Name:  [ILLEGIBLE]
                                                 ----------------------
                                           Title: [ILLEGIBLE]
                                                  ---------------------

                                           Purchaser:

                                           INLAND REAL ESTATE ACQUSITIONS,
                                           INC., an Illinois corporation

                                           By: /s/ Jason A. Lazarus
                                               ------------------------
                                           Name: Jason A. Lazarus
                                                 ----------------------
                                           Title: Authorised Agent
                                                  ---------------------

                                        2
<Page>

Governors Marketplace
Tallahassee, Florida
Amendment to Agreement

                             AMENDMENT TO AGREEMENT

        THIS AMENDMENT TO AGREEMENT (the "Amendment") is made and entered into
as of the 17th of June 2004, by and between KIMCO GOVERNORS MARKETPLACE LTD, a
Florida limited partnership ("Seller") and INLAND REAL ESTATE ACQUISITIONS, INC.
("Buyer").

                              W I T N E S S E T H:

        WHEREAS, Seller and Buyer entered into that certain Agreement of Sale
date May 6, 2004, ("the Agreement"), for the sale and purchase of the property
commonly known as Governors Marketplace located in Tallahassee, Florida, as
legally described by the Agreement (the "Property").

        WHEREAS, Buyer and Seller have mutually agreed to amend certain
provisions of the Agreement.

        NOW THEREFORE, in consideration of the foregoging, and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Buyer and Seller agree as follows:

        1.     The "Due Diligance Period", as defined in Section 1.7 of the
               Agreement is hereby amended by deleting the words "on the 30th
               business day thereafter or the first business day after such 30th
               day if such 30th day is not a business day," and inserting the
               date of "June 21, 2004" therein.

        2.     This Amendment may be executed in one or more counterparts, each
               of which shall constistute an original and all of which taken
               together shall constitute one Amendment. Each person executing
               this Amendment represents that such person has full authority
               and legal power to do so and bind the party on whose behalf he or
               she has executed this Amendment. Any counterpart to this
               Amendment may be executed by facsimile copy and shall be binding
               on the parties.

        Except as modified herein by this Amendment, the Agreement shall remain
unmodified and in full force and effect.

                            (SIGNATURE PAGE FOLLOWS)

<Page>

Governors Marketplace
Tallahassee, Florida
Amendment to Agreement

                                   Seller:

                                   KIMCO GOVERNORS MARKETPLACE,
                                   LTD., a Florida limited partnership

                                   By: Kimco Marketplace 317, Inc.

                                   By: /s/ [ILLEGIBLE]
                                       ------------------------
                                   Name:  [ILLEGIBLE]
                                         ----------------------
                                   Title: Senior Counsel
                                          ---------------------

                                   Purchaser:

                                   INLAND REAL ESTATE ACQUSITIONS,
                                   INC., an Illinois corporation

                                   By: /s/ Jason A. Lazarus, Authorized Agent
                                       --------------------------------------
                                   Name: Jason A. Lazarus
                                         ----------------------
                                   Title: Acquisition & Development
                                          -------------------------

                                        2
<Page>

                                                                          Inland

                                AGREEMENT OF SALE

      THIS AGREEMENT made this 6 day of May, 2004, between KIMCO GOVERNORS
MARKETPLACE LTD., a Florida Limited Partnership, with an office at 3333 New Hyde
Park Road, Suite 100 (P. O. Box 5020), New Hyde Park, New York 11042
(hereinafter, "Seller"), and INLAND REAL ESTATE ACQUISITIONS, INC., an Illinois
Corporation, with an office at 2901 Butterfield Road, Oak Brook, Illinois 60523
(hereinafter, "Buyer").

      WHEREAS, Seller owns the Lessee's interest in the Ground Leases, as
defined in Section 1.11 below, and in the improvements which make up the
shopping center commonly known as Governors Marketplace, located in Tallahassee,
Florida (the "Shopping Center") and Seller wishes to sell and Buyer wishes to
buy Seller's entire right title and interest in the Ground Leases, as
hereinafter defined, and improvements to and for the Shopping Center;

      NOW, THEREFORE, in consideration of the mutual covenants herein contained,
the parties agree as follows:

      1.    DEFINITIONS. The following expressions shall have the meanings set
            forth below:

            1.1   "Real Estate" means the leasehold interest in the land
described on EXHIBIT 1 and all of the buildings and other improvements
constructed thereon.

            1.2   "Space Lease(s)" means all lease(s), license(s), concessions
or other occupancy or use agreements, including all modifications, addenda and
supplements thereto and guarantees thereof, applicable to any part of the Real
Estate. All existing Space Leases as of the date hereof are listed on attached
EXHIBIT 2.

            1.3   "Property" means collectively all of Seller's rights and
interests in the Real Estate, the Space Leases and the other assets described in
ARTICLE 2 hereof.

            1.4   "Closing Date" means the date on which Closing occurs.
"Closing" means the event whereby title to the Property is actually conveyed by
Seller to Buyer.

            1.5   "Service Contracts" means all written agreements pursuant to
which goods, services or supplies are furnished on a recurring basis for the
operation of the Real Estate and are approved by Buyer during the Due Diligence
Period (as hereinafter defined). Copies of such Service Contracts are attached
as EXHIBIT 3.

            1.6   "Escrow Agent" means Chicago Title and Trust Company, 171
North Clark Street, Chicago, Illinois, Attn: Nancy Castro, Escrow Agent. Chicago
Title and Trust Company may also be hereinafter referred to as the "Title
Company".

            1.7   "Due Diligence Period" means a period of time commencing on
the date a fully executed copy of this Agreement is received by Buyer in
accordance with Article 13 hereof and expiring at midnight, New York time, on
the 30th business day thereafter or the first business day after such 30th day
if such 30th day is not a business day.

            1.8   "Permitted Exceptions" means those certain title exceptions
set forth in EXHIBIT 6 attached hereto that are approved by Buyer in accordance
with the terms of Article 6 hereof.

            1.9   "Personal Property" means all personal property and equipment
(if any) owned by Seller and located on the Real Estate.

            1.10  "Deposit" means a deposit, to be paid by Buyer to Escrow Agent
upon the execution hereof, in the amount of FOUR HUNDRED THOUSAND ($400,000.00)
DOLLARS, plus all interest earned thereon.

            1.11  A. "Ground Lease A" means that certain Indenture of Ground
Lease dated October 1, 2000 by and between Elaine W. Smith Partnership, LLP a
Florida limited liability partnership, as Lessor, and The Smith Interests
General Partnership, L.L.P., a Florida Limited Partnership, collectively Lessor
A, and Seller, as Lessee, and any amendments thereto, as set forth on attached
EXHIBIT 15A.

            B. "Ground Lease B" means that certain Indenture of Ground Lease
dated January 1, 2003 by and between The Smith Interests General Partnership,
L.L.P., a Florida limited liability partnership, as Lessor B, and Sellers as
Lessee and any amendments thereto, as set forth on attached EXHIBIT 15B.

<Page>

            1.12  "Tallahassee Land Agreement" shall mean that certain
                  Commission Agreement Governors Marketplace, Tallahassee,
                  Florida between Seller and Tallahassee Land Co., Inc.

            1.13  Intentionally Deleted

      2.    SALE AND PURCHASE. In accordance with the provisions of this
Agreement, Seller agrees to sell, convey, assign and transfer to Buyer, and
Buyer agrees to purchase and acquire from Seller, subject to the Permitted
Exceptions and Space Leases, all of Seller's right, title and interest in and
to: (a) the Real Estate, (b) the Space Leases, (c) any Personal Property, (d)
any land lying in the bed of any street, road or avenue, opened or proposed, in
front of or adjoining the Real Estate, (e) any strips or gores adjoining the
Real Estate, (f) all appurtenances and hereditaments appertaining to the Real
Estate (g) the right to use, in common with others the name "Governor's
Marketplace Shopping Center" provided Buyer's use of same is done in a
commercially reasonable manner in connection with the first class operation of
the Property and (h) all of Seller's right title and interest in and to the
Ground Leases.

      3.    PURCHASE PRICE. The "Purchase Price" for the Property shall be
THIRTY-TWO MILLION, SIX HUNDRED FIFTY-THREE THOUSAND, EIGHT HUNDRED FORTY-EIGHT
($32,653,848.00) DOLLARS plus the Contingent Amount if any, as set forth in
Section 11.6 hereof, shall be paid as follows:

            A.    (i)   Upon the execution of this Agreement Buyer shall pay the
Deposit to Escrow Agent by bank check to the order of Escrow Agent or wire
transfer of federal funds for immediate credit.

                  (ii)  The Deposit shall be invested by Escrow Agent in a sound
financial institution's money market fund or account which pays interest or
dividends, in Escrow Agent's name separate from its personal and business
accounts. All investment decisions shall be made by Buyer. If no Closing occurs,
all interest or dividends earned shall be paid to the party entitled to the
escrowed proceeds, which party shall pay all income taxes thereon. The parties
shall furnish Escrow Agent with their respective tax identification numbers. At
Closing, Escrow Agent shall pay the Deposit (together with all interest earned
thereon) to Seller; and the principal portion of the Deposit shall be a credit
against the Purchase Price (but no such credit shall be given for the interest
earned on such principal portion of the Deposit, if any, which shall be the
property of Buyer). All escrow fees, if any, charged by Escrow Agent shall be
equally shared by Seller and Buyer. Escrow Agent shall hold the Deposit as set
forth above unless either Seller or Buyer makes a written demand upon Escrow
Agent for the Deposit accompanied by an affidavit signed by the party making the
demand stating sufficient facts to show that said party is entitled to receive
the Deposit pursuant to the terms of this Agreement. Upon receipt of such
demand, Escrow Agent shall give ten (10) days written notice to the other party
of such demand and of Escrow Agent's intention to remit the Deposit to the party
making the demand on the stated date, together with a copy of the affidavit. If
Escrow Agent does not receive a written objection before the proposed date for
remitting the Deposit, Escrow Agent is hereby authorized to so remit. If,
however, Escrow Agent actually receives written objection from the other party
before the proposed date on which the Deposit is to be remitted, Escrow Agent
shall continue to hold the Deposit until otherwise directed by joint written
instructions from Seller and Buyer or until a final judgment of an appropriate
court. In the event of a dispute, Escrow Agent may place the Deposit with an
appropriate court and, after giving written notice of such action to the
parties, Escrow Agent shall have no further obligations with respect to the
Deposit. The parties acknowledge that Escrow Agent is acting as a stakeholder at
their request and for their convenience, that Escrow Agent shall not be deemed
to be the agent of either of the parties, and the Escrow Agent shall not be
liable to either of the parties for any act or omission on its part unless taken
or suffered in bad faith or in willful or negligent disregard of this Agreement.
Seller and Buyer shall jointly and severally indemnify and hold Escrow Agent
harmless from and against all costs, claims and expenses, including reasonable
attorney' fees, incurred in connection with the faithful performance of Escrow
Agent's duties hereunder. Escrow Agent acknowledges agreement to the provisions
of this Agreement applicable to it by signing on the signature page of this
Agreement. Notwithstanding the foregoing, Buyer shall have the right to deliver
a notice of termination of this Agreement to Escrow Agent and Seller on or prior
to the expiration of the Due Diligence Period and Escrow Agent shall be
authorized, immediately upon receipt of such notice and verification of Seller's
receipt of same, to return the Earnest Money to Buyer. Buyer agrees to return
all documents provided to Buyer by or on behalf of Seller to Seller within
fifteen (15) days of Tenant's delivery of the notice of termination to Escrow
Agent and Seller.

            B.    At Closing, and subject to the terms and provisions of this
Agreement, Buyer shall pay Seller the balance of the Purchase Price by wire
transfer of immediately available federal funds into a so-called "New York
Style" closing escrow to be established by the Escrow Agent. Seller shall
furnish Escrow Agent with wire transfer instructions prior to Closing.

2
<Page>

            C.    The Contingent Amount, if any shall be paid as provided in
                  Section 11.6.

            D.    In connection with any Personal Property included in the sale,
the parties agree that no part of the Purchase Price shall be deemed to have
been paid by Buyer on account thereof.

      4.    CONDITIONS PRIOR TO CLOSING; DUE DILIGENCE PERIOD.

            4.1   (A)   Buyer shall at Closing accept the Property in AS IS
physical condition as exists on the date hereof, subject to reasonable wear and
tear between the date hereof and the Closing Date. Buyer acknowledges that Buyer
will have the Due Diligence Period to inspect the Shopping Center or cause an
inspection thereof to be made on Buyer's behalf and it is understood and agreed
that neither Seller nor any person acting or purporting to act for Seller has
made or now makes any representation as to the physical condition (latent or
patent or otherwise), income, expense, operation, legality of current rents, or
any other matter of thing affecting or relating to the Shopping Center except as
herein specifically set forth. Buyer hereby expressly acknowledges that except
as expressly set forth herein, no such representations have been made and Buyer
further agrees to take the Shopping Center "as is" as of the date hereof and
subject to normal use, wear, tear, and deterioration between now and Closing.
Buyer agrees that Seller is not liable or bound in any manner by any financial
or written statements, representations, real estate brokers' "set-ups", or
information pertaining to the Shopping Center furnished by any real estate
broker, agent, employee, trustee, servant or other person, unless the same are
specifically set forth herein. It is understood and agreed that all
understandings and agreements heretofore had between the parties are hereby
merged in this Agreement which alone fully and completely expresses their
agreement and that the same is entered into after full investigation, neither
party relying upon any statement or representation made by the other not
embodied in this Agreement.

            (B)   SELLER'S REQUIRED PRE-CLOSING DELIVERIES

Seller shall, as soon as practicable after the date of this Agreement but not
later than five (5) business days after the date of this Agreement, deliver to
Buyer the following (which are referred to herein as "Pre-Closing Deliveries"):
(a) copy of the Space Leases affecting the Property and the Ground Leases; (b) a
certification from Seller (pursuant to the terms of the Rent Roll (Exhibit 2)
setting forth the name of each tenant at the Property and the date of the Space
Leases and any modifications or amendments thereto, the amount of rent payable
by each tenant throughout the term of its respective Space Lease, any
concessions granted to the tenants, the amount of security deposits, if any, (or
a certification that Seller is not holding any security deposits), the
expiration date of the Space Leases, and the existence of any options to renew
or extend the term of the Space Leases or to purchase all or any part of the
Property and such information with respect to any subtenant if Seller has
knowledge thereof; (c) a certification by Seller that there are no employees at
the Property; (d) a certification by Seller that, other than as disclosed to
Buyer, there are no service agreements, maintenance contracts or other similar
agreements affecting the Property; (e) copies of the most recent tax bill for
the Property, together with copies of any notice of assessments received by
Seller, or any other information relative to taxes assessed against the
Property; (f) copies, if any, of any environmental reports, architectural
drawings, warranties, guarantees, plans and specs or any similar document in
Seller's possession relating to the Property; (g) copies of any insurance
policies or certificates insuring the Property, whether purchased by Seller or
by the tenants under the Space Leases; (h) copies of certificates of occupancy
for each tenant at the Property and copies of any building code violations
received by Seller with respect to the Property during the last two years and
evidence reasonably acceptable to Buyer that such violations have been
corrected, or a certification from Seller that it has not received any notice of
building code violations; (i) the materials described on Buyer's Due Diligence
Checklist, attached hereto as Exhibit 12, and made a part hereof; (j) as
applicable (depending upon the number of years the Property has been operating),
an operating statement for the Property for the two calendar years prior to the
year of the date hereof, and monthly operating statements for the Property for
each month of the year of the date hereof. Such statements shall include
reasonable detail of all items of income and expense, other than construction
costs as well as all items of capital expenditures made during the relevant
periods, other than capital expenditures made in connection with the initial
construction of the Shopping Center, and (k) an engagement and representation
letter signed by Seller and prepared by and for the benefit of Buyer's auditors
substantially in the form attached hereto as Exhibit 18, and made a part hereof.

            4.2   On and after the date hereof, Buyer shall have access to the
Property for the purpose of making engineering, survey or non-intrusive
inspections and independent investigations; and Seller will on receipt of
reasonable prior written notice, provide Buyer with access to information within
its possession or control with respect to the Property, including (without
limitation) full and accurate copies of Space Leases, Service Contracts, title
information or instruments, and books and operating records of the Shopping
Center. Buyer agrees to defend, indemnify and hold Seller harmless from any
personal injury or property damage caused by Buyer in doing any testing,
inspections or survey and such

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obligation shall survive the Closing or sooner termination of this Agreement.
Buyer shall give Seller true, accurate and complete copies of all written
reports prepared by third parties resulting from Buyer's inspections and
investigations.

            4.3   (a)   Buyer shall have the Due Diligence Period within which
to inspect and examine the Real Estate, the Space Leases, the Ground Leases and
the Service Contracts.

                  (b)   In the event that during the Due Diligence Period,
Buyer, in its sole judgment, and absolute discretion, determines that Buyer is
not satisfied with the condition of the Real Estate, the Property, the Space
Leases, the Ground Leases, or the Service Contracts then, prior to the end of
the Due Diligence Period, Buyer shall have the right by giving written notice to
Seller and Escrow Agent to cancel and terminate this Agreement without liability
except as set forth in Sections 4.2 and 15.8. Upon receipt of such notice prior
to the end of the Due Diligence Period, Escrow Agent shall deliver the Deposit
to Buyer. In the event Buyer fails to give such notice prior to the end of the
Due Diligence Period, Buyer's right to cancel this Agreement pursuant to this
Section 4 shall lapse.

            4.4   Intentionally Deleted.

            4.5   Intentionally Deleted.

            4.6   Intentionally Deleted.

            4.7   Intentionally Deleted.

      5.    ADJUSTMENTS AND PRORATIONS.

            5.1   Seller shall be entitled to all income produced from the
operation of the Property which is allocable to the period prior to the Closing
Date and shall be responsible for all expenses allocable to that period; and
Buyer shall be entitled to all income and responsible for all expenses allocable
to the period beginning at 12:01 A.M. on the Closing Date. At Closing, all items
of income and expense with respect to the Property shall be prorated in
accordance with the foregoing provisions and the rules for the specific items
set forth hereafter:

                  5.1.1 Seller shall arrange for a billing under all those
Service Contracts for which fees are based on usage and with utility companies
for a billing for utilities, to include all utilities or service used up to the
Closing Date, and Seller shall pay the resultant bills. In the event any of the
Service Contracts set forth in EXHIBIT 3 cover periods beyond the Closing Date
the same shall be prorated on a per diem basis.

                  5.1.2 Real estate taxes, general, special and/or betterment
assessments and personal property taxes shall be prorated for those taxes which
are due and payable as of the Closing Date. In the event that as of the Closing
Date the actual tax bills for the tax year or years in question are not
available and the amount of taxes to be prorated as aforesaid cannot be
ascertained, then rates, millages and assessed valuation of the previous year,
with known changes, shall be used; and after the Closing occurs and when the
actual amount of taxes for the year or years in question shall be determinable,
such taxes will be re-prorated between the parties to reflect the actual amount
of such taxes.

                  5.1.3 Rentals and other payments (other than "percentage rent"
and common area maintenance charges which are dealt with in SECTION 5.1.4 and
SECTION 5.1.6) which are payable pursuant to Space Leases shall be prorated on a
per diem basis as and when collected (subject to the provisions of Section 5.3).
Buyer shall not be obligated to make any payment or give any credit to Seller on
account of or by reason of any rental or other payments which are unpaid as of
the Closing Date, but shall be required to turn over Seller's share of the same
within ten (10) days if, as and when received by Buyer after the Closing;
likewise, Seller agrees to turn over Buyer's share of any payments received from
tenants applicable to any period from and after the date of Closing within ten
(10) days of Seller's receipt of same; this provision shall survive Closing.

                  5.1.4 Percentage rent; if any, payable under each Space Lease
shall be prorated with respect to the lease year thereunder in which Closing
occurs on a per diem basis as and when collected. Any percentage rent collected
by Buyer including any percentage rent which is delinquent and pertaining to (i)
an entire lease year or accounting period of a tenant under a Space Lease which
ends on a date prior to the Closing Date, or (ii) that portion of a lease year
or accounting period of such tenant covering a period prior to the Closing Date
where such lease year or accounting period begins prior to the Closing Date and
ends thereafter shall in both cases be paid to Seller within ten (10) days of
receipt by Buyer; and if any tenant's Space Lease provides for offsets or
deductions against

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percentage rent, then such offsets or deductions shall be prorated in the same
manner as the percentage rent itself is prorated. This provision shall survive
Closing.

                  5.1.5 Gas, water, electricity, heat, fuel, sewer and other
utilities charges to which SECTION 5.1.1 cannot be applied, and the governmental
licenses, permits and inspection fees and operating expenses relating to the
Shopping Center (expressly excluding therefrom, however, such expenses relating
to the initial construction of the Shopping Center), shall be prorated on a per
diem basis.

                  5.1.6 Common area maintenance expenses and charges shall be
prorated. Seller shall be responsible for all common area expenses and charges
incurred prior to the Closing Date, and Buyer shall be responsible for the same
accruing on and subsequent to the Closing Date. All common area expense payments
made by each tenant and such charges paid under its Space Lease for the entire
lease year during which the Closing occurs, including end-of-year adjustments,
if any, shall be prorated between Seller and Buyer in the following manner: Not
later than three (3) days prior to Closing, Seller shall deliver to Buyer, with
regard to each Shopping Center tenant required to pay common area charges ("CAM
Charges") under its lease, a detailed computation showing all CAM Charge
expenses incurred by Seller for the period from the beginning of each such
tenant's then current billing period for CAM Charges (e.g., calendar year, lease
year, etc.) through the Closing Date, any CAM estimated payments or charges
collected by Seller relating to such tenant (hereinafter "CAM Estimates"), and a
bill for the tenant's pro rata share of CAM Charges (i.e., for CAM charges
through the Closing Date net of any such CAM Estimates held by Seller), together
with all invoices and other evidence documenting such CAM Charges in detail
required by such tenant's lease. Buyer shall send any such bills to tenants
promptly following Closing, in which event such tenant shall pay any amount
shown due directly to Seller, and except as otherwise stated in Section 5.3.3
below Buyer shall have no responsibility to collect same. However, if any tenant
rightfully refuses to pay such bill for CAM Charges due through the Closing
Date, then Buyer shall resubmit such bill to any such tenant at the same time as
Buyer next submits Buyer's own bill to any such tenant; and any payment
thereafter made by any such tenant on account of CAM Charges shall belong to and
be forwarded within ten (10) days of its receipt to Seller until Seller's bill
is paid in full.

                        Any CAM Estimates for any tenant shall be retained by
Seller up to the amount of the pre-Closing CAM Charges payable by such tenant as
evidenced by such bills and computations delivered by Seller at Closing, and
Buyer shall receive a credit for any excess CAM Estimates collected by Seller.

                  5.1.7 All prepaid rentals, other prepaid payments (other than
monthly real estate tax estimates or installments), security deposits paid
pursuant to Space Leases, electric, gas, sewer and water deposits deposited with
Seller by tenants, (including any accrued interest required under any Space
Lease on all of the foregoing, unless Seller is entitled to retain the benefit
thereof) under any Space Leases, license agreements or concession agreements
relating to the Property, shall all belong to Buyer and all shall be assigned
and delivered to Buyer at Closing, whereupon Seller shall be released from all
liability with respect thereto. At Seller's option, Buyer shall receive a cash
credit in the amount of all Security Deposits to be delivered to Buyer at
Closing, and Seller may retain same.

                  5.1.8 Buyer shall not be responsible for any charges,
salaries, vacation pay or fringe benefits of employees of Seller prior to or
following the Closing and none of the foregoing shall be prorated.

            5.2   All prorations and payments to be made under the foregoing
provisions shall be made on the basis of a written statement or statements
delivered to Buyer by Seller and approved by Buyer. In the event any prorations,
apportionments or computation shall prove to be incorrect for any reason, then
either party shall be entitled to an adjustment to correct the same, provided
that it makes written demand on the one from who it is entitled to such
adjustment within two (2) years after the erroneous payment or computation was
made; this provision shall survive Closing.

            5.3   All accounts receivable flowing from the Property shall be
treated as follows:

                  5.3.1 Buyer and Seller agree to treat all base or minimum
rental payments received from a tenant as applicable to base or minimum rent
which was owed by that tenant, if any, first for the month prior to the month in
which Closing occurs and next for the month in which Closing occurs until the
base or minimum rental amount due to Seller for such periods have been
collected. In the event that there remains any unpaid base or minimum rent for a
period prior to such periods, all payments of base or minimum rent received from
such tenant shall be applied to sums owed Buyer before any part thereof shall be
treated as belonging to Seller. In the event that there remains any unpaid
tenant receivable other than base or minimum rent (including without limitation
any tax, CAM, insurance or

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percentage rent payments) for any period prior to Closing, all payments received
from any tenant in arrears (whether base or minimum rent or any other amount)
shall be applied first to any such sums owed Buyer from such tenant before any
part thereof shall be treated as belonging to Seller.

                  5.3.2 In the event that any tenant of Seller or Buyer shall
hereafter apply or shall have heretofore applied for relief under the provisions
of any bankruptcy or similar laws for the protection of debtors, the provisions
of SECTION 5.3.1 shall not apply, and the parties shall have the right to seek
collection of their respective accounts, their entitlements being determined by
the Closing and the other provisions of this Agreement. Neither party shall have
the right to enter into any transactions that purport to compromise claims
belonging to the other, without the other party's prior written consent.

                  5.3.3 "If at the Closing Date any tenants owe Seller any money
            (i.e. reimbursements to Seller for payment of liens or violations on
            the Property that were created by tenant(s) but that Seller is
            required hereunder to satisfy in order to effectuate the sale of the
            Property or rent arrears (which shall include CAM and tax
            reimbursements)), Seller shall have the right, subsequent to the
            Closing, to collect such sums directly from the tenants, including
            bringing lawsuits against the tenants (at Seller's sole expense) for
            such collection (except that Seller is prohibited from bringing a
            lawsuit against any tenant(s) to collect rent in arrears for a
            period of thirty (30) days after such dispute or arrears has arisen
            (the "Buyer Collection Period"); instead Buyer agrees to use
            commercially reasonable efforts to collect such arrears on Seller's
            behalf, if Buyer is unsuccessful in collecting the tenant arrears by
            the expiration of the Buyer Collection Period, then Seller shall
            have the right to collect such sums directly form the tenants
            including bringing lawsuits against the tenants (at Sellers sole
            expense) for such collection, however, Seller agrees that any such
            legal action or collection shall not include any disturbance of the
            possession, use or occupancy of the tenants or any right to evict
            the tenants, whether pursuant to the lease provisions or otherwise,
            and Buyer shall at Seller's expense join in any lawsuit and/or also
            participate or cooperate with Seller in its collection attempts.
            Buyer will (at Seller's expense) join in such a lawsuit or action
            only if the same does not include or require disturbance of the
            possession of any tenants."

                  5.3.4 In the event Seller has granted rent concessions to
tenants under space lease(s) that would extend beyond the Closing Date, Buyer
shall receive credit for same.

            5.4   Fixed Minimum Rent as defined in the Ground Leases, due under
the Ground Leases and payments due under the Tallahassee Land Agreement shall be
prorated on a per diem basis. Overage Rent as defined in the Ground Leases,
shall be pro rated on a per diem basis with respect to Fixed Minimum Rent
component at Closing, with adjustment to be made after the end of the applicable
Lease Year, as to any changes and/or adjustments as a result of Percentage Rent
paid by subtenants as defined therein, for such Lease Year.

            5.5   The provisions of this Article 5 will survive Closing.

      6.    TITLE AND SURVEY.

            6.1   Seller shall convey and Buyer shall accept, subject to the
right of Buyer to review and approve all title matters, documents and plats of
record in regard to the condition of title to the Property, title such as the
Title Company will be willing to approve and insure subject only to Permitted
Exceptions as provided for in this Agreement. Buyer acknowledges that it has
heretofore received copies of Seller's existing title insurance policy for the
Real Estate (the "Existing Title Policy") and of Seller's existing survey of the
Real Estate (the "Existing Survey"). Promptly following the execution of this
Agreement, Buyer may (if it so elects) obtain (at Seller's sole expense) updates
of the Existing Survey to the certification standards described upon the
Surveyor's certification attached hereto as Exhibit 13 and made a part hereof
(such updated survey hereinafter referred to as the "Updated Survey"); if Buyer
does obtain such an Updated Survey, Seller shall cause it to be certified to
Seller and Buyer shall promptly furnish Buyer, Seller and the Title Company with
a copy thereof. Promptly following the execution of this Agreement, Buyer shall
also (at Seller's sole expense) obtain a commitment for ALTA Form B Leasehold
Title Insurance (the "Title Commitment"); and Buyer shall promptly cause the
Title Company to furnish Seller and Buyer with true accurate and complete copies
thereof (including true, accurate and complete copies of all underlying title
exception documents referenced therein). Not later than the expiration of the
Due Diligence Period, Buyer shall give Seller written notice ("Buyer's
Title/Survey Notice") of any title exceptions which are contained in the Title
Commitment and/or the Survey which are not Permitted Exceptions. Failure by
Buyer to give Buyer's Title/Survey Notice (or to object to any matter referenced
in the Title Commitment) to Seller on or

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before said date shall constitute Buyer's final and irrevocable approval of the
condition of title (and to any such unobjected to matter) in and to the Real
Estate. If Buyer's Title/Survey Notice shall be timely given Seller shall have a
period of fifteen (15) days following Seller's receipt of Buyer's Title/Survey
Notice, to commence to remove, correct, cure or satisfy (provided Seller does in
fact elect to so remove, correct, cure or satisfy) any title exceptions that
were identified in Buyer's Title/Survey Notice as not being Permitted
Exceptions, it being nevertheless agreed that Seller shall have no obligation to
undertake any action or to incur any expense in order to effectuate any such
removal, correction, cure or satisfaction (except that notwithstanding the
foregoing Seller shall be required to remove or discharge any fee mortgages or
deeds of trust, as well as any other liens in an ascertainable dollar amount).
In the event that Seller elects not to attempt to remove, correct, cure or
satisfy the matters raised in Buyer's Title/Survey Notice, or if having elected
to do so, does not within thirty (30) days thereafter, (or such additional time
as is reasonably necessary (not to exceed an additional fifteen (15) days
without Buyer's written consent) to remove, correct, cure or satisfy the
matter(s) so raised using commercially reasonable good faith efforts) effectuate
any such removal, correction, cure or satisfaction as aforesaid (hereinafter
called "title correction"), Buyer shall have the right at its sole option either
(a) to terminate this Agreement, in which event the Deposit shall be returned to
Buyer and neither party shall thereafter have any further liability hereunder,
or (b) to accept such title as is disclosed by the Title Commitment and/or
Survey without title correction and without Survey correction and without any
reduction to the Purchase Price, thereby waiving any rights against Seller with
respect thereto. Said election shall be made by Buyer within three (3) days
following Buyer's receipt of written notification by Seller that Seller has not
effectuated (or has elected not to effectuate) title correction. In the event
that Seller (even though under no duty to do so) shall undertake title
correction and/or Survey correction as aforesaid, and shall be successful, this
Agreement shall continue in full force and effect and Buyer shall close the
transaction contemplated hereby in accordance with the terms hereof. In the
event that Seller shall only be partially successful in obtaining title and/or
Survey correction, Buyer shall have the same alternative rights as Buyer would
have in the event Seller had declined to seek title and/or Survey correction (as
set forth above). Buyer shall make its election within three (3) days after
Buyer's receipt of written notice from Seller to Buyer of the extent to which
title and/or the Survey has been corrected.

            6.2   If at the Closing Date there may be any liens or encumbrances
which render title unmarketable or otherwise are not permitted title exceptions
hereunder, and which Seller is obligated or desires to pay and discharge, Seller
may use any portion of the balance of the Purchase Price to satisfy the same,
provided Seller shall simultaneously either deliver to Buyer at the Closing
instruments in recordable form and sufficient to satisfy such liens and
encumbrances of record together with the cost of recording or filing said
instruments; or provided that Seller has made arrangements with the title
company in advance of Closing, Seller will deposit with said company sufficient
monies, acceptable to and required by it to insure obtaining and the recording
of such satisfactions and the issuance of title insurance to Buyer either free
of any such liens and encumbrances, or with insurance against enforcement of
same out of the insured premises. The existence of any such liens and
encumbrances shall not be deemed objections to title, if Seller shall comply
with the foregoing requirements. Unpaid liens for taxes, water charges, sewer
rents and assessments which are the obligation of Seller to satisfy and
discharge shall be objections to title, and thus the amount thereof, plus
interest and penalties thereon, shall be deducted from the Purchase Price to be
paid hereunder and allowed to Buyer, subject to the provisions for apportionment
of taxes, water charges and sewer rents contained herein. Unpaid franchise tax
of any entity in the chain of title to which such tax is applicable, or estate,
income or other taxes which may be liens against the Property as of the Closing
Date shall not be an objection to title, provided the title company agrees to
insure against the collection of said taxes from the Property and in such event
if required by the title company, Seller agrees to deposit at Closing with the
title company an amount deemed reasonable by it to secure the payment of such
unpaid franchise tax, or other tax.

            6.3   In the event that Seller is unable to convey title in
accordance with the terms of this Agreement, or if any representation of Seller
herein is untrue in a material respect on the Closing Date and Seller does not
correct same (it being understood Seller will be entitled to a reasonable
adjournment of Closing for such purpose, not to exceed fifteen (15) days), the
sole responsibility of Seller will be to refund (or cause to be refunded by the
Escrow Agent) to Buyer any amount paid on account of the Purchase Price; upon
the making of such refund, this Agreement shall be deemed canceled, neither
party shall have any further claim against the other by reason of this
Agreement, except that Buyer shall remain liable on its obligations under
Sections 4.2 and 15.8.

            6.4   The costs of obtaining the Title Commitment, the policy of
title insurance to issue at Closing (in form subject to Buyer's sole discretion,
and agreed to prior to the expiration of the Due Diligence Period) with premium
up to the amount of the Purchase Price shall be at Seller's cost, but the costs
of any excess coverage or endorsements including, but not limited to, Zoning
3.1; Survey; Access, Usury, Location, Tax ID, Contiguity, EPA, Comprehensive and
Doing Business, to the extent available or applicable, shall be borne by Buyer
(the "Title Policy") and Survey shall be borne by Seller,

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expressly excluding therefrom, however, the costs to release any monetary
encumbrance affecting the Property and any title curative endorsements which
shall be borne by Seller.

            With respect to the space known as "Retail L" see additional
provisions of Section 11.6D(ii) which is subject to Article 11.6.

      7.    DAMAGE, DESTRUCTION OR REQUIRED ALTERATION.

                  7.1 Prior to Closing, in the event of any damage to or
destruction of all or part of the Real Estate (notice of which shall be given to
Buyer by Seller as soon as practicable following its occurrence), then Seller
shall have the right (but not the obligation) to adjourn the Closing Date for up
to sixty (60) days in order to repair or replace such damage or destruction,
except that if the cost of such repair or replacement exceeds ten percent of the
Purchase Price, then in any such case (i) Buyer shall have the right to
terminate this Agreement by giving Seller written notice of its intention to do
so, such notice by Buyer to Seller to be given not later than three (3) days
after Buyer shall have received the notice from Seller of such aforesaid
occurrence, (in which event the Deposit shall forthwith be returned to Buyer,
whereupon this Agreement shall be null and void and of no further force or
effect whatsoever, except that Buyer shall remain liable on its obligations
under Sections 4.2 and 15.8); or (ii) if Buyer elects not to (or does not have
the right to) terminate this Agreement, this Agreement shall continue in full
force and effect except that at Closing Buyer shall receive an abatement of the
Purchase Price in an amount equal to Seller's reasonable good faith estimate of
the amount required to repair and restore all unrepaired damage (and Seller
shall retain all rights to collect insurance proceeds for such loss). Buyer may
elect to have its architect provide a good faith estimate of the amount required
to repair and restore all unrepaired damage. If Seller's estimate disagrees with
Buyer's architect's estimate, the parties shall select another architect to make
a final determination of the amount required to repair and restore all
unrepaired damage and both parties shall be bound by the third architect's
determination. The party whose architect differs most from the third architect's
determination shall pay the third architect's fee.

                  7.2(a) In the event that any governmental authority having
jurisdiction of all or part of the Real Estate has notified Seller before the
Closing that some alteration of or addition to the Real Estate is required to be
made by law, rule or regulation (notice of which shall be given to Buyer by
Seller as soon as practicable after its receipt) or otherwise requires a cure of
a violation, then (subject to the provisions of Section 7.2(b)) Seller shall
have the right (but not the obligation) to undertake such alteration or addition
or cure; provided, however, that if the cost of such alteration or addition or
cure shall exceed the sum of one (1%) percent of the Purchase Price, then in
such event Seller may either elect to pay the entire cost and cure the same
before the Closing or may decline to undertake the same, in which event Buyer
shall have the option, exercisable within three (3) days following notice from
Seller of the requirement and Seller's refusal to comply therewith, (i) to
terminate this Agreement by giving Seller notice thereof (in which event the
Deposit shall forthwith be returned to Buyer, whereupon the Agreement shall be
null and void and of no further force or effect whatsoever, except that Buyer
shall remain liable on its obligations under Sections 4.2 and 15.8); or (ii) if
such notice of termination is not timely given, to proceed with the Closing, in
which event the Purchase Price shall be reduced by Seller's reasonable good
faith estimate of the cost to cure, up to the maximum sum of one percent of the
Purchase Price. Buyer may elect to have its engineer provide a good faith
estimate of the cost to cure. If Seller's estimate disagrees with Buyer's
architect's estimate, the parties shall select a another engineer to make a
final determination of the cost to cure and both parties shall be bound by the
third engineer's determination. The party whose engineer differs most from the
third engineer's determination shall pay the third engineer's fee.

                  (b)   Notwithstanding the foregoing provisions of Section
7.2(a), Seller may elect but shall have no obligation to cure or pay for, any
violation which either (i) is first placed (i.e., notice first given to Seller
or first placed of record) after the date of this Agreement, or (ii) is the
responsibility of a Shopping Center tenant to cure or discharge pursuant to its
Space Lease. In the event Seller elects to cure or pay for such violation(s),
Seller shall have a period of fifteen (15) days after receipt of notice of the
violation to commence to cure or pay for same, and shall proceed with diligence
to cure same, however, if Seller elects to cure a violation, and Seller
reasonably believe that the Closing Date (as hereinafter defined) will need to
be extended more than thirty (30) days to effectuate the cure, then Seller shall
not commence to cure the violation then Buyer may elect to (i) complete the
purchase without any adjustment in the Purchase Price or (ii) terminate the
Agreement in such event, unless Buyer agrees to the required extension. In the
event Seller elects not to cure or pay for such violation, the sole
responsibility of Seller will be to refund (or cause to be refunded by the
Escrow Agent) to Buyer any amount paid on account of the Purchase Price; upon
the making of such refund, this Agreement shall be deemed cancelled, neither
party shall have any further claim against the other by reason of this
Agreement, except that Buyer shall remain liable on its obligations under
Sections 4.2 and 15.8.

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      8.    EMINENT DOMAIN. In the event that any eminent domain proceedings
shall be commenced prior to the Closing affecting (i) any of the parking area(s)
within the Real Estate or any access roadway serving the Real Estate that is not
replaced by an access roadway in a comparable location with respect to the Real
Estate; or (ii) which is of such a nature as would permit any tenant occupying
leased premises to cancel its Space Lease, Buyer shall have the right to
terminate this Agreement, by written notice given to Seller within three (3)
days after the event, (in which case the Deposit shall forthwith be returned to
Buyer, whereupon the Agreement shall be null and void and of no further force or
effect whatsoever). In any case wherein Buyer has the right to terminate this
Agreement pursuant to this Section 8 and Buyer elects not to terminate, or in
any case wherein Buyer does not have the right to terminate, Buyer and Seller
shall consummate Closing on the Closing Date, without any reduction to or
abatement of the Purchase Price, and all theretofore unpaid condemnation awards
shall belong to Buyer.

      9.    NO ASSIGNMENT. Buyer shall not have the right to assign this
Agreement or its rights under this Agreement without obtaining in each instance
Seller's prior written consent. Notwithstanding the foregoing, Buyer shall have
the right, without Seller's consent, to assign its entire right, title and
interest in and to this Agreement, expressly including the Deposit, to any
entity controlling, controlled by, or under common control with Buyer or Inland
Real Estate Trust, Inc., a Maryland corporation, (an "Affiliate"); provided
that, not less than three (3) business days prior to Closing, Seller receives an
executed assignment and assumption agreement, in a commercially reasonable form.
which expressly assigns the Deposit and in which such assignee expressly assumes
performance of this Agreement for the benefit of Seller. No such assignment or
designation shall relieve or release Buyer from any obligations under this
Agreement (whether arising pre- or post-closing), and Buyer shall remain jointly
and severally liable for all of same together with such assignee.

      10.   COVENANTS AND REPRESENTATIONS. As of the date hereof, and to the
best of Seller's knowledge, Seller covenants, warrants and represents to Buyer
the following:

            10.1  Seller has obtained any consents from partners and/or
shareholders required to permit the transactions contemplated by this Agreement
including the sale of the Property to Buyer.

            10.2  There is no pending or threatened litigation affecting the
Property brought by or against Seller that would materially adversely affect
Buyer except as set forth in EXHIBIT 7 attached hereto and made a part hereof.
If Seller is served with process or receives notice that litigation relating to
the Property has been commenced against it, Seller shall promptly notify Buyer.
The provisions of this Section shall not apply to any litigation relating to the
property involving personal injury or property damage(s) covered by insurance.

            10.3  The Space Leases described in EXHIBIT 2 comprise all the Space
Leases presently existing, and same have not been materially amended or modified
except (if at all) as may be set forth in Exhibit 2. Seller has neither given
nor received any outstanding, uncured notice of default to or from any Space
Lease tenant. Following a date which is five (5) business days prior to the
expiration of the Due Diligence Period (the "Cut Off Date"), and prior to
Closing, Seller will not, without the prior written consent of Buyer (which
Buyer agrees not to reasonably withhold or delay), cancel (except for default
by a tenant) or materially amend any Space Lease, or enter into any new Space
Lease or any Service Contract affecting the Property not cancelable on 30
days notice. On or prior to the Cut Off Date, Seller may take any of the
foregoing actions without Buyer's consent, provided it delivers a copy of any
new documentation evidencing same to Buyer not later than three (3) business
days prior to the expiration of the Due Diligence Period.

            10.4  Except as otherwise expressly provided herein, there are no
contracts or agreements affecting the Property other than the Service Contracts,
Space Leases, Ground Leases and Permitted Exceptions; and there are no on-site
employees or hired persons in connection with the management, operation or
maintenance of the Property; and Buyer shall have no obligation, liability or
responsibility with respect to charges, salaries, vacation pay, fringe benefits
or like items subsequent to Closing, nor with any management or employment
agreements with respect to the Property.

            10.5  The signatories to this Agreement on behalf of Seller have the
power and authority to enter into this Agreement and to bind Seller to the
provisions hereof.

            10.6  As of the date hereof: (i) to Norm Brody's knowledge Seller is
not aware of and has receive no building code violation notices with respect to
the Property (other than notices of violations which have been removed or
corrected); and (ii) to Norm Brody's knowledge Seller is not aware of and has
received no notices of any action or governmental proceeding in connection with
eminent domain, or for a zoning change, which would affect the Property; and
(iii) to Norm Brody's

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knowledge Seller is not aware of any structural problems in the improvements
constructed upon the Property and the exterior structures are in good condition
and repair.

            10.7  The Ground Leases described on Exhibit 15 are in full force
and effect and have not been amended or modified except (if at all) as may be
set forth in Exhibit 15. Seller has neither given nor received any outstanding,
uncured notice of default to or from any ground lessor under the Ground Leases.

      11.   THE CLOSING.

            11.1  The Closing shall be held at the Title Company's offices (at
the address set forth above) at 9:00 A.M. on the Closing Date. The Closing Date
shall be ten (10) business days after the expiration of the Due Diligence
Period.

            11.2  At Closing, Buyer shall pay the Purchase Price as adjusted in
accordance with the provisions of this Agreement; and Buyer shall execute and
deliver such other instruments as Seller may reasonably request in connection
with or to consummate the transactions contemplated by this Agreement.

            11.3  (A)   At Closing, Seller shall deliver to Buyer the following:

            (a)   Intentionally Deleted.

            (b)   A F.I.R.P.T.A. affidavit.

            (c)   It shall be a condition precedent to Buyer's obligation to
remit the remainder of the Purchase Price to the Title Company on the Closing
Date and effectuate the transaction contemplated herein that on or before the
third (3rd) business day prior to the Closing Date, Buyer shall have received an
estoppel certificate from each tenant under a Space Lease who occupies more than
eight thousand (8,000) square feet (hereinafter "Anchor Tenant"), as well as
from seventy (70%) percent of the tenants occupying less than eight thousand
(8,000) square feet (each such tenant hereinafter referred to as a "Non-Anchor
Tenant") (collectively such Non-Anchor Tenants hereinafter referred to as the
"Minimum Threshold"), each such estoppel to be dated not more than 30 days prior
to the Closing Date, in either the form required by its Space Lease, or
otherwise in the form attached hereto as Exhibit 10, and made a part hereof, as
well as Seller's estoppel in the form of Exhibit 10 for any tenant (other than
an Anchor Tenant and so long as the Minimum Threshold is met) not delivering an
estoppel as required to achieve one hundred percent (100%) estoppel delivery for
the Property. If Seller is unable to obtain any such required estoppel from a
tenant prior to Closing, Seller shall deliver its own estoppel in the form
attached as Exhibit 10 (provided, however, Buyer shall not be obligated to
accept Seller's estoppel for any Anchor Tenant nor for more than thirty (30%)
percent of the Non-Anchor Tenants at the Property), which shall survive Closing
(but if post-Closing Seller delivers any such tenant estoppel, Seller shall be
relieved from responsibility under any Seller estoppel it delivered regarding
all matters confirmed by such tenant estoppel). If Seller fails to deliver any
such required estoppel, Seller shall have no liability by reason thereof
provided, however that Seller shall not be required to deliver its own estoppel
containing an assertion that Seller in good faith believes to be untrue, and
Buyer's sole right shall be to terminate this Agreement and to obtain a refund
of the Deposit as set forth in Section 14.3. If any estoppel certificate is
dated earlier than forty (40) days prior to the Closing Date, in lieu of
requiring Seller to obtain a new estoppel from the subject tenant(s), which
shall be required of Seller if any estoppel certificate is dated earlier than
sixty (60) days prior to the Closing Date, Buyer agrees that Seller may deliver,
at Closing, its representation that to the best of Seller's knowledge, the facts
in said estoppel remain true in all material respects as of the Closing Date.

            (d)   It shall be a condition precedent to Buyer's obligation to
remit the Purchase Price to the Title Company, on the Closing Date and
effectuate the transaction contemplated herein that on or before the Closing
Date, Buyer shall have received an estoppel certificate from the respective
ground lessor's under the Ground Lease A and Ground Lease B. Seller will request
that the estoppel be in the form attached here as EXHIBIT 16, however Seller
shall only be required to deliver an estoppel in the form and content as
provided for in each of the respective Ground Leases.

            (e)   It shall be a condition precedent to Buyer's obligation to
remit the remainder of the Purchase Price to the Title Company on the Closing
Date and effectuate the transaction contemplated herein that on or before the
third (3rd) business day prior to the Closing Date, Buyer shall have received an
assignment of all warranties and guaranties, if available, for materials and
workmanship benefiting the Property, including an acknowledgment by the material
and/or service provider of the acceptance of the assignment where required by
the terms of the warranty and/or guaranty, with all fees and costs of such
assignment (and inspection, if required) (not to exceed One Thousand Dollars
($1,000.00)) being paid at

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the sole cost and expense of Seller; any such costs or fees in excess of One
Thousand Dollars ($1,000.00) being shared equally between the parties hereto.

                  (B)   At Closing, Seller and Buyer shall each execute and
deliver to the other the following:

            (a)   An Assignment and Assumption Agreement for the Space Leases in
            the form of EXHIBIT 4 attached hereto.

            (b)   An Assignment and Assumption Agreement for the Service
            Contracts, in the form of EXHIBIT 5 attached hereto.

            (c)   Notices to tenants, in the form attached hereto as Exhibit 14,
            and made a part hereof, notifying them of the sale and (if
            applicable) the transfer of their security deposit to Buyer.

            (d)   To the extent at closing there occurs a vacancy in a space
            currently leased under a Space Lease then Seller shall master lease
            same pursuant to the terms hereof (the "New Vacant Space") a Master
            Lease for a term expiring on the earlier of (i) twelve (12) months
            or (ii) such date as Seller leases the New Vacant Space However
            subject to the terms of the immediately following sentence,
            notwithstanding the rent rate per square foot set forth in the Rent
            Roll for the New Vacant Space in the event Seller leases a portion
            of said vacant space at a per square foot rate that is greater than
            provided for on the Rent Roll, then it shall have the right to lease
            other New Vacant Space at a lesser rate per square foot than as
            shown on the Rent Roll up to the excess rent so achieved. Lease-up
            of the Property shall in no event yield an average Fixed Rent and
            Reimbursements amount that is less than the sum of Fixed Rent and
            Reimbursements per the Rent Roll. The Master Lease shall be in the
            form of Exhibit 8 attached hereto and shall incorporate that portion
            of the Property vacant space for which a bona fide Space Lease(s)
            had been executed but have become vacant between the date hereof and
            the date of Closing with the "Tenant Conditions" (as hereinafter
            defined) having been satisfied. For the purposes hereof, the Tenant
            Conditions for any Property vacant space gross leasable area are
            hereby defined as (i) a signed lease, and (ii) with Tenant either
            paying full rent and reimbursements or the all conditions precedent
            to Rent Commencement Date (as defined in such tenant lease) shall
            have occurred or been satisfied and (iii) with all the leasing
            commissions and tenant improvement allowances either paid for by
            Seller or credited to Buyer and (iv) with a certificate of occupancy
            or its equivalent occupancy permit issued by the local governmental
            authorities, for such tenant's respective demised premises (v)
            Tenant shall have open and operated for its permitted use for at
            lease one day (iv) and Seller obtains an estoppel from Tenant that
            the delivery conditions (i.e. Landlord Work) has been completed or
            Seller shall give a Seller estoppel to that effect. If a bona fide
            Space Lease for the New Vacant Space or any portion thereof with the
            Tenant Conditions satisfied is executed prior to the Closing Date,
            the parties shall either not enter into a Seller Lease or the
            applicable provisions thereof (including but not limited to the
            annual base rent) shall be adjusted accordingly to reflect that
            portion of the New Vacant Space that is leased and thus released and
            not covered by the Master Lease. It is the intent of the parties
            that the Master Lease shall be for the New Vacant Space, if any,
            only and not for the Property vacant space. For the purposes hereof,
            the "Excluded Space" is hereby defined as Retail K and Retail L.
            However, if Seller leases all or a portion of Retail K, it may
            substitute same for other New Vacant Space to satisfy its objections
            hereunder. Seller acknowledges and agrees that it shall be
            responsible for placing all vacant space except Retail L (Retail L
            is subject to Section 11.6) in Vanilla Box condition however, it may
            be satisfied by second generation space in "as is" condition such
            that a tenant has already occupied same, and needn't be in "new"
            condition.

            (e)   An Assignment and Assumption of Ground Lease A and Ground
            Lease B in the form of Exhibit 17.

            (f)   An Assignment and Assumption of obligations under the
            Tallahassee Land Agreement.

            11.4  Each party shall pay its own legal fees and travel and lodging
expenses in connection with this transaction. Seller shall pay for all transfer
taxes and the parties shall each pay 1/2 of the documentary stamps or recording
charges for transfer of title to the Real Estate and the "New York Style"
closing escrow fees charged by the Title Company.

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            11.5  Buyer also agrees to cooperate with Seller to permit the
conveyance of the Property to be consummated as a part of a transaction intended
by Seller to qualify as a tax-free exchange under Section 1031 of the Internal
Revenue Code and in conjunction therewith to execute such documents as Seller
may reasonably request (such cooperation may include, without limitation,
accepting a conveyance from a party other than Seller and paying the Purchase
Price to a party other than Seller). In no event, however, shall (a) Buyer bear
any expense associated with the exchange transaction, (b) Buyer be obligated to
take title to Seller's exchange property, (c) the consummation of such tax-free
exchange materially delay the conveyance to Buyer of the Property, (d) Buyer
have any liability to Seller or any other party for the qualification of the
exchange transaction for tax-free exchange treatment under Section 1031 of the
Internal Revenue Code or under any other provision and (e) the consummation of
such tax free exchange relieve Seller of any of its obligations hereunder.

            11.6  A. CONTINGENT PURCHASE PRICE. Seller and Buyer agree that the
true value of the Property is contingent on the lease value of the Real Estate.
As such, a portion of the purchase price for the Property that is in addition to
the Purchase Price (the "CONTINGENT AMOUNT"), calculated in the manner described
below in this Section 11.6, is contingent upon leasing all or a portion of the
Real Estate described on Exhibit 9B noted as "Retail L" and "Retail __ " (7,392
sq. ft) (collectively the "UNLEASED PARCEL") to a third party tenant or tenants
on behalf of Buyer. From the Effective Date through and including the date that
is the twenty-four (24) month anniversary of the Closing Date (the "LEASING
PERIOD"), subject to the terms and conditions set forth in this Section 11.6,
Seller shall have the right to lease the Unleased Parcel to a third party
tenant(s). During the Leasing Period, (i) Buyer shall not lease the Unleased
Parcel other than in accordance with this Section 11.6 without Seller's consent
(except as set forth in the last sentence of this Section 11.6(A)); (ii) Buyer
shall cause all referrals with respect to the leasing of the Unleased Parcel to
be directed to Seller; and (iii) Buyer shall reasonably cooperate with Seller in
Seller's efforts to lease the Unleased Parcel in accordance with this Section
11.6. Notwithstanding anything to the contrary in this Section 11.6(A), Buyer
may, on its own behalf, procure a tenant and enter into a lease for the Unleased
Parcel, provided that (1) Seller shall have consented thereto, such consent not
to be unreasonably withheld, conditioned or delayed in light of the leasing
criteria contain in this Section 11.6, and (2) Buyer shall pay to Seller the
Contingent Amount as if such lease had been procured by Seller.

            B.    During the Leasing Period, Seller (itself or through agents or
brokers of its choosing) shall use commercially reasonable efforts, at its sole
cost and expense, to identify potential tenants and negotiate the terms of a
lease for the Unleased Parcel. If, during the Leasing Period, Seller, on behalf
of Buyer, shall (i) receive a bona fide offer from a potential tenant (a
"Potential Tenant") to lease all or a portion of the Unleased Parcel for a term
of not less than five (5) years, and (ii) deliver a written notice (an "Approval
Request") to Buyer requesting that Buyer approve the terms of such offer,
accompanied by a term sheet outlining the economic and other material terms of
the offer on terms (the "Leasing Terms") consistent with leasing parameters set
forth on Exhibit B to the Master Lease (the "Leasing Parameters") other than
Fixed Rent (which shall be at Seller's discretion) and with respect to Retail L,
(to such extent that same is ground leased if it is self-parked and maintained
then it shall not be required to make CAM reimbursement and if separately
assessed and pays taxes directly then it shall not be required to make tax
reimbursements as such shall qualify as the equivalent of reimbursements. Buyer
shall respond, within the time frames and terms of the Leasing Parameters, to
Seller either approving the leasing of the Unleased Parcel or portion thereof,
as the case may be to such Potential Tenant on such Leasing Terms, or
disapproving the same and specifying the reasons for such disapproval in
reasonable detail. Unless and until Buyer shall have entered into a Final Lease
(as defined in and pursuant to Section 11.6(c)), Seller may submit multiple
alternative Approval Requests to Buyer in accordance with this Section 11.6(b).
In the event Buyer shall fail to approve or execute a lease in accordance with
the Leasing Parameters ("Deemed Lease"), same shall be deemed approved and
Seller's conditions satisfied upon the economic terms and conditions of such
Deemed Lease, and Buyer shall pay the Contingent Amount in accordance with
Section 11.6(E), when such Deemed Lease would have commenced.

            C.    In the event that (i) Buyer shall have (or shall have been
deemed to have), pursuant to Section 11.6(B), approved Tenant, and (ii) Seller
shall have thereafter promptly in good faith, negotiated (which negotiation
shall be at Seller's sole cost and expense) a lease (the "Final Lease") that the
Potential Tenant is willing to enter into, substantially on the Leasing Terms
(or such deviations to which Buyer has consented, such consent not to be
unreasonably withheld, conditioned or delayed) and such other terms that are
acceptable to Buyer in its reasonable discretion, then Buyer (subject to the
last two sentences of this paragraph) shall enter into the Final Lease with the
Potential Tenant (or Seller (subject to the last two sentences of this
paragraph) shall do so if Closing shall not have yet occurred). Seller shall
keep Buyer apprised of the status of the aforementioned negotiations, and Buyer
may, at its own expense, reasonably participate in such negotiations. Buyer
shall have an approval right with respect to the Final Lease, such approval not
be unreasonably withheld or conditioned. Such approval

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shall be deemed granted if Buyer shall fail, within ten (10) days after Seller's
request therefor, to deliver a notice to Seller indicating Buyer's disapproval
and specifying in reasonable detail the reasons therefor.

            D.    (i)   In the event that Buyer shall have entered into a Final
Lease, Seller shall, upon receipt of notice of such entry, take all steps
necessary, on behalf of Buyer as landlord under the Final Lease, to cause the
Unleased Parcel or portion thereof to be prepared for, and to otherwise satisfy
the preconditions to, the Potential Tenant's occupancy pursuant to the terms of
the Final Lease, including but not limited to any construction required to be
performed by the landlord under the Final Lease. Seller shall be responsible for
all of the "soft costs" in connection with the immediately preceding sentence,
including without limitation, legal fees, architectural and engineering fees,
permitting fees, and government approval costs; and Seller shall be responsible
for all of the "hard costs" in connection with the immediately preceding
sentence, including without limitation, construction costs and tenant
improvement allowances, as well as any brokerage commissions.

                  (ii)  In the event Buyer enters a Final Lease for Retail L in
addition to the provision of (i) above, Seller shall pay the costs to update the
title (premium up to the Contingent Amount but not endorsements other than to
effectuate amendment). and survey to reflect the new building ("as built").

            E.    Buyer shall pay the Contingent Amount to Seller, in
immediately available federal funds, within five (5) days after the term of the
Final Lease shall have commenced and the Tenant conditions are satisfied or in
the case of a ground lease that Tenant Conditions items numbered (i) - (iii) are
satisfied. Seller shall either deliver a tenant estoppel or Seller estoppel that
Landlord Work to ready the space for tenant's occupancy is completed. The
Contingent Amount shall be calculated by taking the difference of: (a)(i) the
base minimum rent to be paid by the Proposed Tenant during the first year of the
term of the Final Lease (ii) divided by .095825. Notwithstanding the foregoing
it is the understanding of the Parties that Fixed Rent used in this calculation
shall not include, repayment of Tenant Allowance or other reimbursements or
tenant inducements such that is not reflective of true market Fixed Rent for the
space. Buyer and Seller shall execute, deliver and cause to be filed any forms
required in connection with the Contingent Amount with respect to transfer
taxes, land gain taxes and tax withholding.

            F.    In the event that the Leasing Period shall have expired
without Seller having submitted to Buyer an Approval Request that Buyer shall
have (or shall have been deemed to have) approved (or Seller after such approval
shall fail to negotiate a Final Lease), then Buyer shall be free to lease or
otherwise deal with the Unleased Parcel in the manner it desires, free of the
provisions of this Section 11.6, including without limitation, the obligation to
pay the Contingent Amount; provided, however, Buyer shall pay Seller the
Contingent Amount if, within one hundred twenty (120) days after the expiration
of the Leasing Period, Buyer shall have procured a lease of all or a portion of
the Unleased Parcel, or negotiations commence and thereafter continue to such a
lease, to any person or entity with whom Seller shall have negotiated the
leasing of the Unleased Parcel, during the Leasing Period, provided that such
person or entity is on a list delivered by Seller to Buyer prior to the
expiration of the Leasing Period.

            G.    The provisions of this Section 11.6 shall survive the Closing,
and shall be binding upon Buyer's successors and assigns. In the event that
Buyer shall sell or otherwise transfer the Unleased Parcel (whether on its own,
as part of a larger parcel or the entire Real Estate prior to the expiration of
Buyer's obligations under this Section 11.6, then Buyer shall cause transferee
(including without imitation, a foreclosing lender or transferee or designee
thereof) to execute and deliver a document, in form reasonably satisfactory to
Seller, pursuant to which transferee shall assume Buyer's obligations under this
Section 11.6. In the event that Buyer shall fail to perform any of its
obligations under the immediately preceding sentence, Buyer shall remain liable
for all of Seller's damages suffered as a result thereof, including, without
limitation, any failure by the transferee either to pay Seller the Contingent
Amount in the event the Unleased Parcel shall be leased or to permit Seller to
procure a lease of the Unleased Parcel.

            Inland Western Retail Real Estate Trust Incorporated ("Inland
Guarantor") Inland Guarantor hereby guarantees to Seller all of Buyer's
obligations under this Section 11.6, and indemnifies Seller from and against any
costs (including without limitation, reasonable attorneys fees and expenses)
incurred in enforcing its rights under this Section 11.6, including full payment
of the Contingent Amount, whether against Buyer, Inland Guarantor, or a
transferee of the Unleased Parcel, and no transfer by Buyer of the Unleased
Parcel shall release Inland Guarantor from such guaranty.

            I.    Intentionally Deleted.

            J.    Kimco Developers Inc. ("Kimco Guarantor"), hereby agrees to
guarantee the performance obligations of Seller's under paragraph D hereof.

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      12.   BROKERS.

            Each party represents and warrants to the other that it dealt with
no broker other than Kimco Exchange Corporation (the "Broker") in connection
with this transaction. Seller shall pay Broker pursuant to a separate agreement.
Each party agrees to defend, indemnify and hold the other harmless from and
against any and all loss, liability and expense, including reasonable attorney's
fees, that the indemnitee may incur arising by reason of the above
representation by the indemnitor being false. The provisions of this Section 12
shall survive Closing.

      13.   NOTICES. All notices, demands, requests, consents, approvals or
other communications (for the purpose of this Section collectively called
"Notices") required or permitted to be given hereunder or which are given with
respect to this Agreement shall be valid only if in writing and sent by
registered or certified United States mail, return receipt requested, postage
prepaid, or delivered by Federal Express or UPS courier service, addressed as
follows:

            To Seller:        8383 Wilshire Boulevard
                              Suite 950
                              Beverly Hills, CA 90211
                              Attn: Jerald Friedman
                              Phone: (323) 866-3519
                              Fax: (323) 866-3511

                              with a copy to:

                              3333 New Hyde Park Road
                              Suite 100
                              New Hyde Park, New York 11042
                              Attn: Barbara E. Briamonte, Esq.
                              Phone: (516) 869-7157
                              Fax: (516) 869-7201

            and a copy to:    1111 Burlington Avenue
                              Suite 113
                              Lisle, IL 60532
                              Phone: (630) 437-6610
                              Fax: (630) 322-9204
                              Attention: Norm Brody

      To Buyer:               Inland Real Estate Acquisitions, Inc.
                              2901 Butterfield Road Oakbrook, IL 60523
                              Phone: (630) 218-4948
                              Fax: (630) 218-4935
                              Attention: G. Joseph Cosenza

            and a copy to:    Jason Lazarus             Fax: (678) 996-2140

                              with a copy to:

                              The Inland Group, Inc.
                              2901 Butterfield Road
                              Oak Brook, IL 60523
                              Attn: Robert Baum, General Counsel
                              Facsimile Nos: (630) 218-4900
                              Copy via facsimile:
x                             Charles R. Benvenuto (630) 571-2360

            To Escrow Agent:  CHICAGO TITLE & TRUST COMPANY
                              171 North Clark Street
                              Chicago, Illinois 60601
                              Attn: Nancy Castro, Escrow Agent
                              Phone: (312) 223-2709
                              Fax: (312) 223-2108

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or such other address as such party shall hereafter have specified by Notice
given by the same means. Any Notice shall be deemed given when delivered to the
carrier delivering same, delivery charges prepaid, and properly sealed and
addressed. Any Notice may also be given by telecopier to the following numbers:
Seller (516) 869-7201, Buyer (843) 852-3675, (630) 218-4935, (678) 996-2140 and
(630) 218-4900, and Escrow Agent (312) 223-2108, Attn: Nancy Castro, provided
that a "hard copy" of such notice is sent within one (1) business day after such
telecopier transmission in the manner above set forth; and in the case of notice
by telecopier (with confirmation sent as aforesaid), notice shall be deemed
given upon electronic confirmation of receipt.

      14.   DEFAULTS.

            14.1  If Closing does not take place because of Buyer's default the
Deposit shall be retained by Seller as agreed upon liquidated damages as
Seller's sole remedy for such default, and thereupon this Agreement shall be
null and void and of no further force or effect whatsoever (except that Buyer
shall remain liable on its obligations under Sections 4.2 and 15.8). The parties
hereto expressly agree that Seller's actual damages in the event of a default by
Buyer would be extremely difficult or impractical to ascertain and that the
amount of the Deposit represents the parties' reasonable estimate of such
damages.

            14.2  If Closing does not occur due to Seller's willful default and
refusal to close despite Buyer's willingness to do so (such willingness includes
waiver by Buyer of any uncured title objection properly made by Buyer under
Section 6.1 or material breach of representation or warranty by Seller) (such
willful default and refusal being hereinafter referred to as a "Seller
Default"), then Buyer, as its sole and exclusive right and remedy as a result of
such Seller Default, may elect to either (i) cancel this Agreement, in which
event the Deposit shall be returned to Buyer, Seller shall be liable for any
title and survey costs, as well as environmental site assessment, appraisal and
legal fees theretofore incurred by Buyer (however Seller shall not be obligated
to reimburse Buyer more than Twenty-Five Thousand Dollars ($25,000.00) in the
aggregate for such environmental site assessment, appraisal and legal fees), and
thereupon no party shall have any further right or obligation hereunder (except
that Buyer shall remain liable on its obligations under Sections 4.2 and 15.8),
or (ii) Buyer may enforce specific performance of this Agreement without any
reduction or abatement of the Purchase Price, together with the right of Buyer
to collect its reasonable attorney's fees and costs of suit, subject to the
limitation on Landlord's reimbursement of same described above.

            14.3  Subject to the provisions of Article 14.1 and 14.2 above, if
Closing should not occur for any reason whatsoever other than a default by Buyer
or a Seller Default (including without limitation by reason of a material breach
of representation or warranty of Seller or an uncured title objection properly
made by Buyer under Section 6.1, or a failure to deliver any tenant estoppel
required hereunder) which Buyer is not willing to waive, then in such event this
Agreement shall be and be deemed cancelled, the Deposit shall be returned to
Buyer, and thereupon Buyer shall have no other right, by way of damages or
otherwise, against Seller notwithstanding the existence of any failure or breach
of representation, warranty, covenant, title, provision of estoppel or other
Closing condition (provided that Buyer will remain liable on its obligations
under Sections 4.2 and 15.8).

      15.   MISCELLANEOUS.

            15.1  The representations, warranties and covenants contained in
Article 10 of this Agreement shall survive delivery of the deed for a period of
twelve (12) months. Other than the survival of such representations, warranties
and covenants, the acceptance of the deed by Buyer shall be conclusive evidence
of the performance by Seller of all of the provisions of this Agreement to be
performed by Seller.

            15.2  This Agreement (including the Exhibits attached hereto)
contains the entire agreement between the parties with respect to the subject
matter hereof and supersedes all prior or contemporaneous understandings, if
any, with respect thereto.

            15.3  This Agreement may not be canceled, modified, changed or
supplemented, nor may any obligation hereunder be waived, except by written
instrument signed by the party to be charged or by its agent duly authorized in
writing.

            15.4  The parties do not intend to confer any benefit hereunder on
any person, firm or corporation other than the parties hereto and their
respective successors or assigns.

            15.5  "TIME IS OF THE ESSENCE" with respect to all provisions of
this Agreement, with the sole exception that each of Buyer and Seller shall be
entitled to a single adjournment (not to exceed two (2) business days in any
event) of the Closing Date.

15
<Page>

            15.6  This Agreement shall extend to and be binding upon the legal
representatives, heirs, executors, administrators and, subject to the provisions
of this Agreement, the permitted assigns of the parties hereto.

            15.7  Intentionally Deleted.

            15.8  Buyer represents and warrants that it will keep all
information and/or reports and/or documents obtained from Seller or its agents
(including without limitation the rent and other terms of the Space Leases), or
related to or connected with the Property (including without limitation the
existence of this Agreement and the Purchase Price) strictly confidential and
will not disclose any such information to any person or entity (except for
Buyer's attorneys, consultants and advisors and except as required by law;
provided that any such parties similarly agree to treat such material
confidentially), without the prior written consent of Seller. In amplification
and not in limitation of the foregoing, Buyer may not make any public disclosure
of the existence or terms of this Agreement prior to Closing.

            15.9  This Agreement shall be governed by, interpreted under, and
construed and enforced in accordance with, the laws of the State wherein the
Property is located. This Agreement shall be construed in accordance with its
plain meaning and without reference to any maxim or rule of interpretation
providing that a writing should be construed against the party responsible for
the drafting thereof.

            15.10 This Agreement shall not be recorded or filed in the public
records of any jurisdiction by either party and any attempt to do so may be
treated by the other party as a breach of this Agreement.

            15.11 This Agreement may be executed in one or more counterparts,
each of which when so executed and delivered shall be deemed an original.

      16.   Conditions Precedent to Buyer's Obligation.

            In addition to the conditions precedent described in Article 11.3(A)
            (c), (d) & (e), Buyer's obligation to remit the remainder of the
            Purchase Price to the Title Company on the Closing Date and
            effectuate the transaction contemplated hereunder is subject to and
            contingent upon the following:

              (a)   The Title Company's issuing or committing to issue the Title
                    Policy insuring that fee simple title to the Property is
                    vested in Buyer as required in Article 6 hereof;

              (b)   The completeness, truth and accuracy in all material
                    respects and to the best of Norm Brody's knowledge of the
                    Rent Roll, and any certifications, schedules, covenants and
                    statements prepared and executed by Seller as part of the
                    Pre-Closing Deliveries, the completeness in all material
                    respects and to the best of Seller's knowledge of the Space
                    Leases delivered by Seller as part of the Pre-Closing
                    Deliveries, the completeness, truth and accuracy in all
                    material respects and to the best of Seller's knowledge as
                    of Closing, of the representations and warranties of Seller
                    contained in Section 10 hereof, and the performance by
                    Seller, to the extent possible by the date of Closing, of
                    the covenants contained in Section 10 hereof. It shall be a
                    condition to Buyer's obligation to close with respect to the
                    Property that, at the Closing, Seller shall deliver to Buyer
                    a Certificate that shall confirm, to the best of Seller's
                    knowledge, the truth and accuracy in all material respects,
                    as of Closing, of Seller's representations contained in this
                    Agreement, and the representations contained in such
                    certificate, as well as any continuing obligations of Seller
                    hereunder, shall survive the Closing for a period of twelve
                    (12) months; and

              (c)   That as of the date of closing: (i) neither Seller, as
                    landlord under the Space Leases, nor any tenant thereunder,
                    shall be in material default under the terms of any Space
                    Lease and (ii) and eighty-five percent (85%) of the Property
                    (excluding therefrom the gross leaseable area Retail K,
                    Retail L, as set forth on Exhibits 9A and 9B) gross
                    leaseable area being leased to tenants with the Tenant
                    Conditions satisfied.

                       [SEE SIGNATURE BLOCKS ON NEXT PAGE]

16
<Page>

      IN WITNESS WHEREOF, Seller and Buyer have executed this Agreement as of
the day and year first above written.

                              BUYER:
                              INLAND REAL ESTATE ACQUISITIONS, INC.

WITNESSESS:
[ILLEGIBLE]                   By: /s/ Jason A. Lazarus
------------------               ----------------------------------------
                                 Name: Jason A. Lazarus
                                 Title: Authorized Agent
[ILLEGIBLE]                      Date of Execution: May 6, 2004
------------------

                              SELLER:
                              KIMCO GOVERNORS MARKETPLACE, LTD.

                              BY:  KIMCO GOVERNORS MARKETPLACE
                                   317, INC.
                                   ITS GENERAL PARTNER

WITNESSESS:
[ILLEGIBLE]                   By: /s/ Jerald Friedman
------------------               ----------------------------------------
                                 Name: JERALD FRIEDMAN
                                 Title: PRESIDENT
[ILLEGIBLE]                      Date of Execution: May 6, 2004
------------------

                              Escrow Agent signs to confirm its agreement with
                              the provisions of Section 3(A)(ii) hereof:

WITNESSES:                    ESCROW AGENT:
CHICAGO TITLE & TRUST COMPANY

                              By:
------------------               ----------------------------------------
                                 Name: Nancy Castro
                                 Title:
------------------               Date of Execution:______________

                              Inland Guarantor signs to confirm its agreement
                              with the provisions of Section 11.6 hereof to the
                              payment of the Contingent Amount in accordance
                              with Section 11.6(G).

WITNESSES:                    INLAND GUARANTOR:
                              INLAND WESTERN RETAIL REAL
                              ESTATE TRUST INCORPORATED
                              A MARYLAND TRUST

[ILLEGIBLE]                  By: /s/ [ILLEGIBLE]
------------------               ----------------------------------------
                                 Name: [ILLEGIBLE]
                                 Title: Authorized Agent
[ILLEGIBLE]                      Date of Execution: May 6, 2004
------------------

17
<Page>

                              Kimco Guarantor signs to confirm its
                              agreement with the provisions of
                              Section 11.6 hereof to the payment of
                              the Contingent Amount in accordance
                              with Section 11.6(J).

WITNESSES:                    KIMCO GUARANTOR:

                              KIMCO DEVELOPERS, INC.

[ILLEGIBLE]                  By: /s/ JERALD FRIEDMAN
------------------               ----------------------------------------
                                 Name: JERALD FRIEDMAN
                                 Title: PRESIDENT
[ILLEGIBLE]                      Date of Execution: May 6, 2004
------------------

18
<Page>

                              SCHEDULE OF EXHIBITS

1.       Real Estate

2.       Space Leases

3.       Service Contracts

4.       Assignment and Assumption Agreement - Space Leases

5.       Assignment and Assumption Agreement - Service Contracts

6.       Permitted Exceptions

7.       Schedule of Litigation

8.       Form of Master Lease

9A.      Site Plan of Vacant Space

9B.      Site Plan of the Unleased Parcel

10.      Form of Tenant and Guarantor Estoppel

11.      Form of REA estoppel

12.      Due Diligence Checklist

13.      Surveyor's Certification

14.      Tenant Notice Letter

15.      Ground Leases

16.      Form of Ground Lease Estoppel

17.      Assignment and Assumption of Ground Lease

18.      Audit Letter

19
<Page>

                                    EXHIBIT 1

                                   REAL ESTATE

                        Attached as Exhibits 15A and 15B

20
<Page>

                                    EXHIBIT 2

                                  SPACE LEASES

GOVERNORS MARKETPLACE                                       TALLAHASSEE, FLORIDA

<Table>
<Caption>
                                                                         1st Amendment
                                                                           Date (If
             Tenant                  Business Name      Date of Lease     Applicable)   Other Documents (If Applicable)*
--------------------------------------------------------------------------------------------------------------------------------
<S>                             <C>                       <C>               <C>         <C>
ALLTEL Communications, Inc.     ALLTEL                    10/15/03

CarCar LLC                      Atlanta Bread             03/14/01                      Guaranties executed 03/14/01;
                                                                                        Assignment & Assumption of Lease dated
                                                                                        11/01/03; Letter Agreement dated
                                                                                        04/16/02; Letter Agreement dated 10/23/01

Bed Bath & Beyond               Bed Bath & Beyond         07/28/00                      Memorandum of Lease dated 07/28/00;
                                                                                        Settlement Agreement dated 10/07/02;
                                                                                        Commencement Date Agreement dated
                                                                                        10/28/01; Exhibit J Delivery Date
                                                                                        Certification dated 05/18/01; Letter
                                                                                        Agreement re: approval Cargo Kids dated
                                                                                        09/12/03; Letter Agreement re: approval
                                                                                        Bombay/Bombay Kids dated 09/12/03

The Bombay Company, Inc.        Bombay                    05/24/03                      Letter Agreement dated 01/05/04

Boston Market Corp.             Boston Market             12/01/02                      Memorandum of Lease and
                                                                                        Restrictions dated 03/18/03; Term
                                                                                        Commencement Agreement dated 03/18/03;

New Cargo Furniture, Inc.       Cargo Kids                03/04/04                      Memorandum of Lease dated 03/04/04;
                                                                                        Guaranty dated 03/04/04

Bell South Mobility, LLC        Cingular Wireless         not dated

L. Clifton Clark                Clark's Maytag            09/07/01

David's Bridal, Inc.            David's Bridal            04/01/02                      Letter Agreement dated 11/22/02;
                                                                                        Commencement Term Agreement dated 06/02/03

Brown Retail Group              Famous Footwear           06/08/00                      Lease Commencement Agreement dated 10/04/01

Life Uniform Company of Florida Life Uniforms             11/21/01                      Guaranty dated 11/21/01

Lifeway Christian Resources     Lifeway Christian Stores  not dated                     Letter Agreement dated 04/30/01
of the Southern Baptist
Convention

Marmaxx Operating Corp.         Marshalls                 06/23/00                      Memorandum of Lease dated 06/23/00;
                                                                                        Commencement Date Agreement dated 05/30/01;
                                                                                        Letter Agreement dated 11/07/02; SNDA
                                                                                        dated 05/17/01

Michaels Stores, Inc.           Michaels                  08/14/00                      Memorandum of Lease dated 08/14/00;
                                                                                        Letter Agreement dated 09/12/01;
                                                                                        Notice of Lease executed 10/02/01
                                                                                        and 11/08/01; SNDA dated 03/15/01

Nextel WIP Lease Corp.          Nextel                    05/02/03                      Letter Agreement dated 10/23/03;
                                                                                        Letter Agreement dated 11/10/03

Old Navy (Florida), LLC         Old Navy                  06/29/01          09/28/01    Memorandum of Lease dated 06/29/01;
                                                                                        Guaranty dated 06/29/01; SNDA dated
                                                                                        06/29/01

Petco Animal Supplies, Inc.     Petco                     08/21/02                      Recognition, Non-Disturbance and Attornment
                                                                                        Agreement dated 09/13/02; Commencement
                                                                                        Date Agreement dated 05/29/03

ZT Enterprises, LLC             Q'doba                    06/03/03                      Guaranty dated 06/03/03

Sprint-Florida, Inc.            Sprint PCS                09/10/02

The Sports Authority, Inc.      The Sports Authority      11/21/02                      Commencement Date Agreement executed by
                                                                                        Tenant; Recognition, Non-Disturbance and
                                                                                        Attornment Agreement dated 12/08/02;
                                                                                        Memorandum of Lease executed 11/18/02
                                                                                        and 11/21/02

Guy Moore                       The Student Body          02/01/01

Ujamaa, Inc.                    Ujamaa                    11/20/03                      Guaranty dated 11/20/03

<Caption>
LEASES IN NEGOTIATION
<S>                             <C>                        <C>                          <C>
Nic's Toggery, Inc.             Nic's Toggery              draft                        Guaranty
</Table>

21
<Page>

                                    EXHIBIT 3

                                SERVICE CONTRACTS

22

<Page>

                                    EXHIBIT 3

                                SERVICE CONTRACTS

MONTHLY LANDSCAPING
Heinz Bros. Nurseries
4140 Bradfordville Road
Tallahassee, Florida 32308
Phone: 850-668-0961
Contact: Thomas L. Heinz

MONTHLY DAYPORTER AND PARKING LOT SWEEPING
Shopping Center Maintenance
P.O. Box 12265
Tallahassee, Florida 32308
Phone: 850-574-9902

MONTHLY MANAGEMENT SERVICES
Advantis Commercial Real Estate Services Company
1400 Oven Park Drive
Tallahassee, Florida 32308
Phone: 850-386-2600

POWER WASHING
American Exterior Cleaning Corp.
P.O. Box 3768
Tallahassee, Florida 32315
Phone: 850-385-8653

<Page>

                                    EXHIBIT 4

                       ASSIGNMENT AND ASSUMPTION OF LEASES

      THIS ASSIGNMENT, made this ___________ day of __________________, 2004, by
and between KIMCO GOVERNORS MARKETPLACE LTD., a Florida Limited Partnership,
("Assignor") and INLANDREAL ESTATE ACQUISITIONS, INC., an Illinois Corporation
("Assignee").

                              W I T N E S S E T H:

      Assignor is landlord under all those certain leases described on Exhibit
"A" attached hereto and made a part hereof ("Leases") relating to the property
described on Exhibit "B" attached hereto and made a part hereof.

      Assignor desires to assign to Assignee, and Assignee desires to accept the
assignment from Assignor of all of Assignor's right, title and interest in and
to the Leases.

      NOW, THEREFORE, in consideration of the mutual covenants and conditions
contained herein, the parties hereto, intending to be legally bound hereby,
covenant and agree as follows:

      1.    Assignor hereby transfers, assigns and sets over unto Assignee all
of Assignor's right, title and interest in and to the Leases, including, without
limitation, all of Assignor's right, title and interest in and to the security
deposits listed on SCHEDULE A attached hereto and incorporated herein. Assignor
agrees to, and hereby does, indemnify, save and hold Assignee harmless of, from
and against any and all loss, cost, expense, liability, damages, actions, causes
of action, demands or claims arising out of or in connection with the
obligations of landlord under the Leases arising or accruing prior to the date
hereof (including without limitation any that relate to the security deposits
pursuant to Leases).

      2.    Assignee hereby accepts the foregoing assignment and assumes all of
Assignor's obligations under the Leases arising from and after the date hereof.

      3.    Assignee agrees to, and hereby does, indemnify, save and hold
Assignor harmless of, from and against any and all loss, cost, expense,
liability, damages, actions, causes of action, demands or claims arising out of
or in connection with the obligations of landlord under the Leases arising from
and after the date hereof (including without limitation any that relate to the
security deposits assigned and transferred to Assignee hereby).

      4.    The provisions of this Agreement shall be binding upon and inure to
the benefit of the parties hereto and their respective successors and assigns.

      IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed the day and year first above written.

                                   ASSIGNOR:
                                   KIMCO GOVERNORS MARKETPLACE LTD.

                                   BY: Kimco Governors Marketplace 317, Inc.,
                                   its general partner

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

                                   ASSIGNEE:
                                   INLAND REAL ESTATE ACQUISITIONS, an
                                   Illinois Corporation

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

23
<Page>

                                   EXHIBIT "A"

                              Attached as Exhibit 2

24
<Page>

                                   EXHIBIT "B"

                        Attached as Exhibits 15A and 15B

25
<Page>

                                    EXHIBIT 5

                 ASSIGNMENT AND ASSUMPTION OF SERVICE CONTRACTS

            THIS ASSIGNMENT, made this____ day of _______, 2004, by
and between KIMCO GOVERNORS MARKETPLACE LTD., a Florida Limited Partnership,
("Assignor") and INLANDREAL ESTATE ACQUISITIONS, INC., an Illinois Corporation
("Assignee").

                              W I T N E S S E T H:

      Assignor is the owner of the property described on Exhibit "A" attached
hereto and made a part hereof ("Premises"). Assignor desires to assign to
Assignee, and Assignee desires to accept the assignment from Assignor of all of
Assignor's right, title and interest in and to those certain service contracts
relating to the Premises described on Exhibit "B" attached hereto and made a
part hereof ("Service Contracts").

      NOW, THEREFORE, in consideration of the mutual covenants and conditions
contained herein, the parties hereto, intending to be legally bound hereby,
covenant and agree as follows:

      1.    Assignor hereby grants, transfers and assigns to Assignee, its
successors and assigns, all of the right, title and interest of the Assignor in
and to the Service Contracts. Assignor hereby indemnifies and agrees to defend
and hold Assignee harmless from and against all damages, claims, liabilities,
costs and expenses (including reasonable attorneys' fees) arising out of or
relating to the Service Contracts that accrue prior to the date hereof.

      2.    Assignee hereby accepts said assignment and assumes all of the
Assignor's duties and obligations arising out of the Service Contracts from and
after the date hereof. Assignee hereby indemnifies and agrees to defend and hold
Assignor harmless from and against all damages, claims, liabilities, costs and
expenses (including reasonable attorneys' fees) arising out of or relating to
the Service Contracts from and after the date hereof.

      3.    The provisions hereof shall be binding upon and inure to the benefit
of the parties hereto and their respective successors and assigns.

      IN WITNESS WHEREOF, Assignor and Assignee have each caused this Assignment
to be duly executed the day and year first above written.

                                   ASSIGNOR:
                                   KIMCO GOVERNORS MARKETPLACE LTD.

                                   BY: Kimco Governors Marketplace 317, Inc.,
                                   its general partner

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

                                   ASSIGNEE:
                                   INLAND REAL ESTATE ACQUISITIONS, an
                                   Illinois Corporation

                                   By:
                                        -------------------------------------
                                   Name:
                                   TITLE:

26
<Page>

                                   EXHIBIT "A"

                                   [TO FOLLOW]

27
<Page>

                                   EXHIBIT "B"

                                   [TO FOLLOW]

28
<Page>

                                    EXHIBIT 6

                              PERMITTED EXCEPTIONS

      1. See Schedule 6A attached hereto and made a part hereof.

      2. Laws and governmental regulations that affect the use and maintenance
of the Shopping Center.

      3. Rights, if any, of any utility company to construct and/or maintain
lines, pipes, wires, cables, poles, conduits and distribution boxes and
equipment in, over, under, and/or upon the Real Estate or any portion thereof.

      4. Current (tax year 2003-2004) Real Estate Taxes and assessments, subject
to apportionment as hereinafter set forth.

      5. Rights, if any, of tenants under Space Leases.

      6. The Service Contracts assumed by Buyer and approved by Buyer during the
Due Diligence Period.

      7. Any and all other covenants, easements, reservations, agreements and
other matters, if any, of record as of the date of this Agreement; provided same
do not prohibit the maintenance of the Real Estate or the existing use thereof.
Should a dispute arise as to whether any of such matters prohibit the
maintenance or existing use of the Real Estate, Buyer agrees that same shall not
constitute a title objection if the title company shall affirmatively insure
that they do not prohibit such maintenance or existing use of the Real Estate.

      8. Any matter than an accurate survey may show.

      9. The REA.

      10. The Ground Leases.

29
<Page>

                                  EXHIBIT "6-A"

               (Schedule "B" from Seller's Existing Title Policy)

30
<Page>

                                   EXHIBIT 6A
                              PERMITTED EXCEPTIONS

                                   (PARCEL A)

                              LEASEHOLD OWNERS FORM
                         CHICAGO TITLE INSURANCE COMPANY
                                   SCHEDULE B

POLICY NUMBER: FL 5099 108 12300

This policy does not insure against loss or damage (and the Company will not pay
costs, attorneys' fees or expenses) which arise by reason of:

GENERAL EXCEPTIONS:

1.    Taxes and assessments for the year 2001 and subsequent years.

2.    Easement to the CITY OF TALLAHASSEE, filed January 17, 1980 in Official
      Records Book 950, Page 1348, Public Records of Leon County, Florida. (As
      to Parcel 1).

3.    Easement recited in Quit-Claim Deed filed in Official Records Book 1068,
      Page 1134, Public Records of Leon County, Florida. (As to Parcel 1 and
      Parcel 3).

4.    Development Agreement by and between CITY OF TALLAHASSEE, and TALLAHASSEE
      LAND COMPANY, a Florida corporation, filed in Official Records Book 1938,
      Page 352, Public Records of Leon County, Florida. (As to Parcel 1).

5.    The non-exclusive rights of Sears, Roebuck & Co., J.C. Penney Co., Inc.,
      J.C. Penney Properties, Inc., Allied Stores General Real Estate Company,
      Burdine's, Inc., Construction Developers Incorporated and Dillard
      Department Stores, Inc., pursuant to the following instrument creating,
      defining and limiting the following easement estate described herein as
      Parcel 2:

      That certain Construction, Operation and Reciprocal Easement Agreement
      between GOVERNOR'S SQUARE, INC., SEARS ROEBUCK AND CO., J.C. PENNEY
      COMPANY, INC. and J.C. PENNEY PROPERTIES, INC., recorded in Official
      Records Book 884, page 553, as amended by First Amendment recorded in
      Official Records Book 912, page 1018, as further amended by Second
      Amendment recorded in Official Records Book 918, page 1909, as amended and
      restated in Amended and Restated Construction, Operation and Reciprocal
      Easement Agreement recorded in Official Records Book 1546, page 666, and
      as further amended by that certain First Amendment to Amended and Restated
      Construction Operation and Reciprocal Easement Agreement dated May 20,
      1993 and recorded October 20, 1994, in Official Records Book 1770, page
      822, of the Public Records of Leon County, Florida. (Parcel 2).

      The interest of ALSTORES REALTY CORPORATION in the above Agreement was
      assigned to ALLIED STORES GENERAL REAL ESTATE by that certain Assignment
      and Assumption Agreement dated December 31, 1986 and recorded March 22,
      1988 in Official Records Book 1309, page 2283, of the Public Records of
      Leon County, Florida.

      The interest of MAAS BROTHERS, INC. in the above Agreement was assigned to
      MAAS, INC. by that certain Assignment and Assumption Agreement dated
      December 31, 1986 and recorded March 22, 1988 in Official Records Book
      1309, page 2294, of the Public Records of Leon County, Florida.

6.    The rights of the Grantors, their successors and assigns, pursuant to the
      following instrument creating, defining and limiting the easement estate
      described herein as Parcel 2:

      Terms, conditions, restrictions and limitations of that certain Drainage
      and Retention Pond Easement between WILLIAM GODFREY SMITH and PATTY HILL
      SMITH, his wife; JULIAN VEREEN SMITH and ELAINE W. SMITH, his wife,
      R. SPENCER BURRESS, as the Managing Trustee of the JULIAN VEREEN SMITH
      ISSUE TRUST and R. SPENCER BURRESS, as the Managing Trustee of the WILLIAM
      GODFREY SMITH, JR. TRUST to GOVERNOR'S SQUARE, INC. recorded in Official
      Records Book 894, page 1025, as amended in Official Records Book 956, page
      2240, and further amended in Official Records Book 1546, page 644, further
      amended and supplemented by that certain Supplement to

<Page>

                              LEASEHOLD OWNERS FORM
                         CHICAGO TITLE INSURANCE COMPANY
                              SCHEDULE B, CONTINUED

POLICY NUMBER: FL 5099 108 12300

      Drainage and Retention Pond Easement and between Tallahassee Associates,
      The Smith Interests General Partnership and ProCom Group, Inc. in Official
      Records Book 1655, page 97, and as amended by that certain Third Amendment
      dated November 17, 1994, and recorded November 18, 1994 in Official
      Records Book 1776, page 703, of the Public Records of Leon County,
      Florida. (Parcel 2).

7.    Liability under this policy is presently limited to         but will
     increase in direct proportion to the actual cost of improvements erected
     thereon and fully paid for. Title shall be continued down to the date of
     each increase in coverage and the Company shall furnish to the insured a
     continuation endorsement which shall note the new effective date and amount
     of coverage of the Policy.

8.    Survey prepared by Genesis Group, dated October 11, 2000 under Project No.
      4219-001, sets forth the following matters:

      a.    D.E.R. Jurisdiction line as shown in Easterly portion of Parcel 1
            and Parcel 3.

      b.    Old wire fence and 4' chain link fence extending over Northwesterly
            portion of Parcel 1.

      c.    Existing drainage course as shown on Parcel 1.

      d.    Note that O.R. Book 1516, page 1074 overlaps Official Records Book
            1264, page 2390 and Parcel 11. Official Records Book 1244, page
            1322.

9.    Any lien, or right to a lien, for services, labor, or material heretofore
      or hereafter furnished which may be imposed by law by virtue of the filing
      of that certain Notice of Commencement, dated October 31, 2000, filed
      November 2, 2000 in Official Records Book 2430, Page 1839, Public Records
      of Leon County, Florida.

10.   Terms and conditions of that certain Indenture of Ground Lease made by
      ELAINE W. SMITH PARTNERSHIP, LLP and THE SMITH INTERESTS GENERAL
      PARTNERSHIP, L.L.P. and KIMCO GOVERNORS MARKETPLACE LTD., a Florida
      limited partnership, dated October 1, 2000, a Memorandum of which was
      filed on January 4, 2001 in Official Records Book 2449, Page 1346, in the
      Public Records of Leon County, Florida.

11.   Recognition, Non-Disturbance and Attornment Agreement by and between
      ELAINE W. SMITH PARTNERSHIP, LLP and SMITH INTERESTS GENERAL PARTNERSHIP,
      L.L.P., KIMCO GOVERNORS MARKETPLACE LTD., and BED BATH & BEYOND. INC.,
      filed on December 1, 2000 in Official Records Book 2439, Page 82, in the
      Public Records of Leon County, Florida.

12.   Recognition, Non-Disturbance and Attornment Agreement by and between
      ELAINE W. SMITH PARTNERSHIP, LLP and SMITH INTERESTS GENERAL PARTNERSHIP,
      L.L.P., KIMCO GOVERNORS MARKETPLACE LTD., and BED BATH & BEYOND, INC.,
      filed on December 1, 2000 in Official Records Book 2439, Page 93, in the
      Public Records of Leon County, Florida.

13.   Memorandum of Shopping Center Lease by and between KIMCO GOVERNORS
      MARKETPLACE LTD., as " Lessor" and MICHAELS STORES, INC., as "Lessee",
      filed on December 1, 2000 in Official Records Book 2439, Page 103, in the
      Public Records of Leon County, Florida.

<Page>

                              LEASEHOLD OWNERS FORM
                         CHICAGO TITLE INSURANCE COMPANY
                              SCHEDULE B, CONTINUED

POLICY NUMBER: FL 5099 108 12300

14.   Memorandum of Lease by and between KIMCO GOVERNORS MARKETPLACE LTD., as
      "Lessor" and MARSHALLS OF MA, INC., as "Lessee", filed on December 1, 2000
      in Official Records Book 2439, Page 112, in the Public Records of Leon
      County, Florida.

COUNTERSIGNED

/s/ [ILLEGIBLE]
-----------------------------------
Authorized Signatory

NOTE: If this Schedule is attached to a Loan Policy, junior and subordinate
      matters, if any, are not reflected herein.

NOTE: This policy consists of insert pages labeled Schedule A and B. This Policy
      is of no force and effect unless both pages are included along with any
      added pages incorporated by reference.

<Page>

            EXHIBIT B                                   (PARCEL B)
       PERMITTED EXCEPTIONS

                                   OWNERS FORM
                         CHICAGO TITLE INSURANCE COMPANY
                                    SCHEDULE B

POLICY NUMBER: FL-1702-108-01856

This policy does not insure against loss or damage (and the Company will not pay
costs, attorneys' fees or expenses) which arise by reason of:

GENERAL EXCEPTIONS:

1.

2.    Encroachments, overlaps, boundary line disputes, and any other matters
      which would be disclosed by an accurate survey and inspection of the
      premises. (as to easement parcels only)

3.    Easements or claims of easements not shown by the public records. (as to
      easement parcels only)

4.

5.

SPECIAL EXCEPTIONS:  The mortgage, if any, referred to in Item 4 of Schedule A.,
                     if this schedule is attached to an Owner's Policy.

6.    Any claim that any portion of said lands are sovereign lands of the State
      of Florida, including submerged, filled or artificially exposed lands and
      lands accreted to such lands.

7.    Taxes and assessments for the year 2003 and subsequent years, not yet due
      and payable.

8.    Easement granted to the City of Tallahassee recorded August 6, 1982, in
      Official Records Book 1023, Page 1169, Public Records of Leon County,
      Florida.

9.    Easement Agreement recorded in Official Records Book 2743, Page 1415,
      Public Records of Leon County, Florida.

10.   The non-exclusive rights of Sears, Roebuck & Co., J.C. Penney Co., Inc.,
      J.C. Penney Properties, Inc., Allied Stores General Real Estate Company,
      Burdine's, Inc., Construction Developers Incorporated and Dillard
      Department Stores, Inc., pursuant to the following instrument creating,
      defining and limiting the following easement estate described herein as
      Parcel 2:

      That certain Construction, Operation and Reciprocal Easement Agreement
      between Governer's Square, Inc., Sears Roebuck and Co., J.C. Penny
      Company, Inc., and J.C. Penney Properties, Inc., recorded in Official
      Records Book 884, Page 553, as amended by First Amendment recorded in
      Official Records Book 912, Page 1018, as further amended by Second
      Amendment recorded in Official Records Book 918, Page 1909, as amended and
      restated in Amended and Restated Construction, Operation and Reciprocal
      Easement Agreement recorded in Official Records Book 1546, Page 666 and as
      further amended by that certain First Amendment to Amended and Restated
      Construction Operation and Reciprocal Easement Agreement dated May 20,
      1993 and recorded October 20, 1994 in Official Records Book 1770, Page
      822, of the Public Records of Leon County, Florida. (Parcel 2).

      The interest of Alstores Realty Corporation in the above Agreement was
      assigned to Allied Stores General Real Estate by that certain Assignment
      and Assumption Agreement dated December 31, 1986 and recorded March 22,
      1988 in Official Records Book 1309, Page 2283, of the Public Records of
      Leon County, Florida.

      The interest of Maas Brothers, Inc., in the above Agreement was assigned
      to Maas, Inc., by that certain Assignment and Assumption Agreement dated
      December 31, 1986 and recorded March 22, 1988 in Official Records Book
      1309, Page 2294, of the Public Records of Leon County, Florida.

<Page>

11.   The rights of the Grantors, their successors and assigns, pursuant to the
      following instrument creating, defining and limiting the easement estate
      described herein as Parcel 2:

      Terms, conditions, restrictions and limitations of that certain Drainage
      and Retention Pond Easement between William Godfrey Smith and Patty Hill
      Smith, his wife; Julian Vereen Smith and Elaine W. Smith, his wife,
      R. Spencer Burress, as the Managing Trustee of the Julian Vereen Smith
      Issue Trust and R. Spencer Burress, as the Managing Trustee of the William
      Godfrey Smith, Jr., Trust to Governor's Square, Inc., recorded in Official
      Records Book 894, Page 1025, as amended in Official Records Book 956, Page
      2240 and further amended in Official Records Book 1546, Page 644, further
      amended and supplemented by that certain Supplement to Drainage and
      Retention Pond Easement and between Tallahassee Associates, The Smith
      Interests General Partnership and ProCom Group, Inc., in Official Records
      Book 1655, Page 97, and as amended by that certain Third Amendment dated
      November 17, 1994 and recorded November 18, 1994 in Official Records Book
      1776, Page 703 of the Public Records of Leon County, Florida.

12.   Terms, conditions and provisions of that certain unrecorded Ground Lease
      dated January 1, 2003, as evidenced by that certain Memorandum of Lease by
      and between THE SMITH INTERESTS GENERAL PARTNERSHIP L.L.P., Landlord, and
      KIMCO GOVERNORS MARKETPLACE LTD., Tenant, recorded May 2, 2003, in
      Official Records Book 2858, page 1692, Public Records of Leon County,
      Florida.

13.   Easements, or claims of easements, not shown by the public records
      subsequent to July 27, 1999, as to the fee parcels (Parcels 21 and 22).

14.   Encroachments, overlaps, boundary line disputes, or other matters which
      would be disclosed by an accurate survey and inspection of the premises
      subsequent to July 27, 1999, as to the fee parcels (Parcels 21 and 22).

15.   Survey prepared by Genesis Group dated July 27, 1999, under Project No.
      4219-001, sets forth the following:

      a)    Encroachment of drainage flow extending over the southeast portion
            of Parcel 22 and onto adjacent property.

      b)    Encroachments of guy anchors over and across the north boundary line
            of Parcel 21.

      c)    Encroachments of power poles and traffic box over and across the
            west boundary line of Parcel 21.

16.   Any lien, or right to a lien, for services, labor or material heretofore
      or hereafter furnished which may be imposed by law by virtue of the filing
      of that certain Notice of Commencement recorded January 21, 2003, in
      Official Records Book 2798, page 947, Public Records of Leon County,
      Florida.

17.   Any lien, or right to a lien, for services, labor or material heretofore
      or hereafter furnished which may be imposed by law by virtue of the filing
      of that certain Notice of Commencement recorded January 29, 2003, in
      Official Records Book 2802, page 1493, Public Records of Leon County,
      Florida.

18.   Memorandum of Lease and Restrictions by and between KIMCO GOVERNORS
      MARKETPLACE LTD., and BOSTON MARKET CORPORATION, recorded in Official
      Records Book 2836, page 2019, Public Records of Leon County, Florida.

COUNTERSIGNED

/s/ [ILLEGIBLE]
-----------------------------------
      Authorized Signatory

NOTE: If this schedule is attached to a Loan Policy, junior and subordinate
      matters, if any, are not reflected herein.

NOTE: This policy consists of insert pages labeled Schedule A and B. This Policy
      is of no force and effect unless both pages are included along with any
      added pages incorporated by reference.

<Page>

                                    EXHIBIT 7

                             SCHEDULE OF LITIGATION

                                      NONE

                                       31
<Page>

                                    EXHIBIT 8

                              FORM OF MASTER LEASE
                                  MASTER LEASE

                                ESCROW AGREEMENT

      This ESCROW AGREEMENT is made and entered into as of             , 2004,
by and among Kimco Governors Marketplace Ltd., a Florida Limited Partnership
("Seller"), and Inland Southeast, L.L.C., a Delaware limited liability company
("Purchaser"), and CHICAGO TITLE INSURANCE COMPANY (hereinafter referred to as
"Escrow Agent") having as its address - attention: Nancy Castro, Division II,
171 North Clark Street, Chicago, Illinois 60601.

                              W I T N E S S E T H:

      WHEREAS, pursuant to that certain Agreement of Sale, dated as of
_________________ (the "Contract"), Purchaser acquired on and as of the date
hereof from Seller a portion of that certain real property known as Governor's
Marketplace shopping center located in Tallahassee, Florida (the "Property");
and

      WHEREAS, Seller has agreed to deposit with Escrow Agent the sum of
____________________________ and ______________ Dollars ($_________) (the
"Master Lease Deposit") with respect to Seller's obligation to pay certain lease
commissions, landlord's share of tenant build out, free rent periods, and rent
payable to Purchaser, and other charges, for the Vacant Space (as defined
below), and as itemized on EXHIBIT A attached hereto and made a part hereof by
this reference (the "Deposit Breakdown"); and

      WHEREAS, the Master Lease Deposit is hereafter sometimes referred to as
the Escrow Deposit.

      WHEREAS, Escrow Agent is willing to accept the Escrow Deposit and hold and
disburse same in accordance with the terms and conditions set forth below.

      NOW, THEREFORE, for and in consideration of the premises hereto, the
covenants and agreements hereinafter made, and for Ten Dollars ($10.00) in hand
paid to Escrow Agent, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:

      1. Seller hereby deposits with Escrow Agent, and Escrow Agent hereby
acknowledges receipt of the Master Lease Deposit. Escrow Agent hereby agrees to
deposit the Escrow Deposit into an interest bearing account with a bank, savings
and loan institution, money market account, or other depository reasonably
satisfactory to Purchaser, Seller and Escrow Agent, with interest accruing for
the benefit of Seller. The federal taxpayer identification of Seller is as
follows: _______________ and the FEIN of Seller's general partner is 86-1011235.

      2. Escrow Agent shall retain the Escrow Deposit in the account, and shall
cause the same to be disbursed therefrom as follows:

            (i)   Subject to the terms hereof, the Escrow Deposit shall be held
and disbursed by Escrow Agent and used to fund to Purchaser the items set forth
on the Deposit Breakdown.

            (ii)  For purposes hereof, the term "Vacant Space" shall mean the
_________ square feet of tenant floor area at the Property that, as of the date
of Closing, for which the Tenant Conditions as hereinafter defined are not
satisfied. For the purposes hereof, the Tenant Conditions for any Property
vacant space gross leasable area are hereby defined as (i) a signed lease, and
(ii) with Tenant either paying full rent and reimbursements or the all
conditions precedent to Rent Commencement Date (as defined in such tenant lease)
shall have occurred or been satisfied and (iii) with all the leasing commissions
and tenant improvement allowances either paid for by Seller or credited to Buyer
and (iv) with a certificate of occupancy or its equivalent occupancy permit
issued by the local governmental authorities, for such tenant's respective
demised premises and (v) Tenant shall have open and operated for its permitted
use for at least one day. Purchaser shall receive a prorated credit from the
Master Lease Deposit on the date of Closing (as defined in the Contract) for the
rent and reimbursable expenses attributable to the New Vacant Space, as defined
in the contract and also referenced herein as Vacant Space from the date of
Closing through the end of the month in which Closing occurs in accordance with
the terms of Exhibit "A" attached hereto and made a part hereof. Thereafter,
through the date upon which all Tenant Conditions are satisfied with respect to
all or any portion of the Vacant Space, Escrow Agent shall pay to Purchaser (and
Escrow Agent is hereby authorized to pay to Purchaser without further

32
<Page>

direction from Seller) from the Master Lease Deposit, on the first day of each
month, the amount of rent and other reimburseable expenses and other charges (in
accordance with the terms of Exhibit A) which would be due on a monthly basis
from tenants of the Vacant Space as if the Tenant Conditions were satisfied
(prorated for any partial month) (the "Master Lease Deposit Monthly Payment").
The Master Lease Deposit Monthly Payment shall be made by Escrow Agent to
Purchaser until such time as the respective tenant(s) for the Vacant Space, and
Seller, have satisfied the Tenant Conditions. Purchaser shall promptly notify
Seller and Escrow Agent of the date any tenant satisfies its Tenant Conditions.
The Vacant Space may be subdivided and leased to more than one tenant in
Seller's commercially reasonable discretion. As all or any portion of the Vacant
Space is leased during the 12-month period following the date of Closing, with
the Tenant Conditions having then been satisfied for such Vacant Space so
leased, the balance of the Master Lease Deposit remaining to the end of the
Escrow Term (as hereinafter defined)(measured as the number of days remaining
from the date the Tenant Conditions for such leased portion of the Vacant Space
are met through the last day of the Escrow Term), attributable to rent,
reimbursable expenses, taxes, other charges and Excess Leasing Costs (defined as
those costs stated on Exhibit "A" for such expense less the actual cost incurred
for such expense) for such leased portion of the Vacant Space, shall be released
to Seller upon the joint direction of Seller and Purchaser. The approval of a
disbursement requested by either party will be deemed approved if the
non-requesting party does not object to the disbursement request within five
(5)-business days of receipt of such request. That portion of the Master Lease
Deposit attributable to tenant improvement allowances, free rent, and broker or
consultant fees and commissions (collectively, the "Leasing Costs"), shall be
released for payment (either to Seller or third parties, as the case may be)
upon presentment of the required lien waivers and related documentation required
by any governing lease or commission agreement. The balance of the Master Lease
Deposit attributable to the Leasing Costs, if any, after satisfaction of the
Tenant Conditions with respect to all or any portion of the Vacant Space within
the 12-month period following the date of Closing, shall be released to Seller
in accordance with the terms of Exhibit A. However, if the Tenant Conditions
have not been satisfied within 12-months of the date of Closing for any portion
of the Vacant Space to achieve the Lease-up Deficiency as defined in 11(B)(d)
of the Agreement of Sale on the first day of the nineteenth month after date of
Closing, all remaining sums then remaining of the Master Lease Deposit
attributable to such Leasing Costs (to the portion of vacant space necessary to
achieve the Lease-up Deficiency) shall be released to Purchaser. Purchaser shall
promptly notify Seller and Escrow Agent of the date any tenant opens for
business as provided under any lease. Any interest on the Escrow Deposit shall
be the property of Seller and in all events shall be disbursed to Seller no
later than the final disbursement made pursuant hereto. The term of this Escrow
Agreement (the "Escrow Term") shall be from the date hereof until the first to
occur of: (a) 12-months from the date of Closing; or (b) such date as Seller
leases the New Vacant Space (or equivalent of such by leasing all or a portion
or Retail K).

            (iii) In the event either party objects to the disbursement of the
Escrow Deposit, the Escrow Agent shall have the right, at its option, either (a)
to hold the Escrow Deposit in escrow pending resolution of such objection by
mutual agreement of the parties or by judicial resolution of same or (b) to
disburse the Escrow Deposit into the court having jurisdiction over such
objection. After any disbursement of the Escrow Deposit under the terms of this
Escrow Agreement, Escrow Agent's duties and obligations hereunder shall cease.
In the event of any dispute regarding disbursement of the Escrow Deposit, the
party ultimately receiving the Escrow Deposit after resolution of such dispute
shall be entitled to receive from the other party all the prevailing party's
costs and expenses incurred in connection with the resolution of such dispute
including, without limitation, all court costs and reasonable attorney's fees.

      3. This Escrow Agreement shall be binding upon and inure to the benefit of
the parties hereto and their respective heirs, principals, successors and
assigns and shall be governed and construed in accordance with the laws of the
State of Arizona. No modification, amendment or waiver of the terms hereof shall
be valid or effective unless in writing and signed by all of the parties hereto.
This Escrow Agreement may be executed in multiple counterpart originals, each of
which shall be deemed to be and shall constitute an original. This Escrow
Agreement constitutes the entire agreement between the parties hereto with
respect to this Escrow, and it supersedes all prior understandings or agreements
of the parties with respect thereto.

      4. NOTICES. All notices, requests, consents and other communications
hereunder shall be sent to each of the following parties and be in writing and
shall be personally delivered, sent by Federal Express or other overnight or
same day courier service providing a return receipt, to the following addresses:

If to Purchaser:
                                   Inland Real Estate Acquisitions, Inc.
                                   2901 Butterfield Road
                                   Oakbrook, IL 60523
                                   Attention: G. Joseph Cosenza

33
<Page>

                                     with a copy to:

                                   The Inland Group, Inc.
                                   2901 Butterfield Road\
                                   Oak Brook, IL 60523
                                   Attn: Robert Baum, General Counsel
                                   Facsimile: (630) 218-4900

                                     with a copy to:

                                   Mr. Charles J. Benvenuto, Esq.
                                   2901 Butterfield Road, 3rd Floor
                                   Oak Brook, Illinois 60523
                                   Telephone: 630-571-2331
                                   Facsimile: 630-571-2360

If to Seller:                      8383 Wilshire Boulevard
                                   Suite 950
                                   Beverly Hills, CA 90211
                                   Attn: Jerald Friedman
                                   Phone: (323) 866-3500
                                   Fax: (323) 866-3511

with a copy to:

                                   3333 New Hyde Park Road
                                   Suite 100
                                   New Hyde Park, New York 11042
                                   Attn: Barbara E. Briamonte, Esq.
                                   Phone: (516) 869-7257
                                   Fax: (516) 869-7201

      5. COUNTERPARTS. This Escrow Agreement may be executed in counterparts and
shall constitute an agreement binding on all parties notwithstanding that all
parties are not signatories of the original or the same counterpart.
Furthermore, the signatures from one counterpart may be attached to another to
constitute a fully executed original. The Escrow Agreement may be executed by
facsimile.

      6. SELLER'S FORM LEASE AND LEASING PARAMETERS. Purchaser has approved of
Seller's form tenant lease and agrees to reasonably approve of variations
negotiated in good faith by Seller with prospective tenants in the ordinary
course of business. Seller and Purchaser further agree that attached hereto as
Exhibit B, and made a part hereof, is the agreed-to Leasing Parameters
applicable to the lease-up of the Vacant Space. Purchaser shall be obligated to
accept a prospective tenant and its prospective lease so long as the terms of
this paragraph 6 and Exhibit B are adhered-to. Notwithstanding the foregoing, in
the event there is a conflict between an actual lease approved by Purchaser and
the terms of the Leasing Parameters, the actual, approved lease shall control in
regard to Seller's adherence to the Leasing Parameters.

34
<Page>

      IN WITNESS WHEREOF, each of the parties hereto has caused this Escrow
Agreement to be signed and delivered as of the day and year first above written.

                              PURCHASER:

                                   INLAND SOUTHEAST, L.L.C.,
                                   a Delaware limited liability company

                                   By: Inland Retail Real Estate
                                       Limited Partnership, an Illinois limited
                                       partnership, member

                                   By: Inland Retail Real Estate Trust, Inc.,
                                       a Maryland corporation, general partner

                                   By:
                                      ----------------------------
                                   Name:
                                        --------------------------
                                   As Its:
                                          ------------------------

35
<Page>

                                   SELLER:

                                   KIMCO GOVERNORS MARKETPLACE LTD.
                                   a Florida limited partnership

                                   By: Kimco Governors Marketplace 317, Inc.,
                                   its general partner

                                   By:
                                      ----------------------------
                                   Name:
                                        --------------------------
                                   As Its:
                                          ------------------------

                                ESCROW AGENT:

                                CHICAGO TITLE INSURANCE COMPANY

                                By:
                                   ----------------------------
                                Nancy Castro, Senior Escrow Officer

36
<Page>

                                    EXHIBIT A

Rent per square foot for Vacant Space as set forth on the Rent Roll for twelve
(12) months (Escrow Term)... $_______ $________ per month

Reimbursable expenses (CAM, insurance)
at $__________ psf of Vacant Space, for
twelve (12) months.......................$_________  $__________per month

Real Estate Taxes at $     psf of Vacant
Space, for twelve (12) months............$_________  $__________per month

Tenant Improvements: (a) $________psf for vacant space

Leasing Commissions at $4.00 psf - total: $__________
                                            $_________

To be a credit to Seller and a reduction in amount calculated above as total
escrow

Note: As the Tenant Conditions are met for any part of the Vacant Space, rent,
CAM and real estate tax deposits into the Escrow shall be released to Seller at
the rate of $    psf of Vacant Space for the period (if any) remaining to the
end of the Escrow Term, measured as the number of days remaining from the date
the Tenant Conditions for any part of the Vacant Space are met through the last
day of the Escrow Term. In the event the Tenant Conditions are not met for any
part of the Vacant Space necessary to achieve the Lease-up Deficiency Income
Threshold within the Escrow Term, the amount of Tenant Improvements deposit and
Leasing Commissions deposit then remaining in the Escrow and attributable to
such Vacant Space, shall be released to Purchaser upon the expiration of the
Escrow Term.

                                      37
<Page>

                                    RENT ROLL

<Table>
<Caption>
                                                                                           LEASE        LEASE
                                            ANNUAL        MONTHLY       RENT           COMMENCEMENT   EXPIRATION    SALES
TENANTS                         S.F.       BASE RENT       RENT       PER SQ. FOOT         DATE          DATE        PSF
---------------------------------------------------------------------------------------------------------------------------
<S>                           <C>             <C>            <C>   <C>                 <C>           <C>
C  Alltel                       2,000          48,000.00     0.00            $  24.00     June-04       May-09
C  Atlanta Bread                4,000          94,520.00     0.00            $  23.63   November-01   October-11
C  Bed Bath & Beyond           35,000         367,500.00     0.00            $  10,50     June-01     January-17
C  Bombay Company               8,500         208,250.00     0.00            $  24.50  September-03    August-13
C  Boston Market                3,800          60,000.00     0.00            $  15.79   December-02   November-12
C  Cargo Kids                   5,500         125,400.00     0.00            $  22.80     June-04       May-14
C  Cingular Wireless            1,200          30,600.00     0.00            $  25.50     July-02       June-07
C  Famous Footwear             10,070         156,085.00     0.00            $  15.50   October-01   September-06
C  Lifeway Christian            6,324         123,318.00     0.00            $  19.50  September-01    August-11
C  Marshall's                  30,000         232,500.00     0.00            $   7.75     June-01        May-11
C  Michael's                   23,753         249,407.00     0.00            $  10.50    August-01    February-11
C  Nextel                       1,443          36,075.00     0.00            $  25.00  September-03    August-08
C  Old Navy                    20,000         230,000.00     0.00            $  11.50   October-01   September-06
C  Petco                       13,750         212,025.00     0.00            $  15.42    August-03      July-13
C  Qdoba                        2,000          42,000.00     0.00            $  21.00    April-04      March-14
C  Sports Authority            34,775         414,170.00     0.00            $  11.91   February-04   January-09
C  Sprint PCS                   4,206          75,708.00     0.00            $  18.00   February-03   January-08
   Clark's Maytag               3,466          64,121.00     0.00            $  18.50     June-02       May-17
   David's Bridal               9,000         133,200.00     0.00            $  14.80     July-03       June-13
   Life Uniform's               1,217          26,774.00     0.00            $  22.00     June-02       May-07
   VACANT                       6,413          89,782.00     0.00            $  14.00
   Student Body                 3,721          74,420.00     0.00            $  20.00    August-01     July-06
   Ujamaa                       1,600          35,200.00     0.00            $  22.00     June-04       May-14
   RETAIL K -- VACANT           5,625                 --     0.00            $  15.00
   RETAIL L -- VACANT          20,609                 --     0.00  $  6.00 - $  15.00
   PAD 8                        7,392                 --     0.00  $ 15.00 - $  21.00
                              -------       ------------
   TOTALS                     265,364       3,677,797.00
                              =======       ============
</Table>

<Page>

                                   -EXHIBIT B-
                               LEASING PARAMETERS

1.          The proposed use shall be a use typically found in retail centers of
            this type.

2.          The proposed use does not violate any exclusions existing in any
            other tenant's lease or covenants existing in any other documents of
            record.

3.          The lease is for an original term of not less than 5 years, nor more
            than 10 years.

4.          No concessions shall be provided to the tenant which would be at
            Purchaser's expense.

5.          All leases shall be prepared substantially in accordance with the
            small shop tenant lease form approved by Purchaser (the "SST
            Lease")during the Due Diligence Period subject to commercially
            reasonable variances and prevailing market parameters.

6.          The proposed tenant has retail and/or business and/or management
            operating experience including, but not limited to, eighteen months
            in the type of business to be operated at the leased premises. In
            the absence of three years experience, the prospective tenant must
            be an approved franchise or a recognized regional or national
            franchiser.

7.          The proposed tenant and/or lease guarantor has an aggregate net
            worth of at least two years of the total aggregate annualized rent,
            including all expenses, for any tenant of the leased premises up to
            7,000 square feet.

8.          Said leases shall average comparable revenue at least 2% increases
            per year or 7.5% aggregate increase over the 5 year term over the
            primary term of the lease as current space leases.

9.          The tenant's lease will not include rent reductions or early
            termination clauses of any kind (excluding typical
            casualty/condemnation provisions and landlord not reconstructing the
            demised premises, and as otherwise described by the SST Lease).

10.         In addition to tenant's base rent, the leases will include
            reimbursement for taxes, insurance and common area maintenance,
            including either a 10% administrative charge for CAM or no less than
            a 4% management fee for all tenancies or as otherwise described by
            the SST Lease.

11.         Purchaser shall act in a commercially reasonable manner and in good
            faith during its review and determination of the credit worthiness
            of any tenant and/or guarantor. Also, Purchaser agrees to respond to
            Seller deliveries of tenant/guarantor credit information within 5
            business days after its receipt by Purchaser, otherwise said
            tenant/guarantor credit worthiness shall be deemed approved by
            Purchaser.

12.         The lease renewals, if any, will not be less than the primary term
            amounts without tenant improvements, free rent, or leasing
            commissions paid for by Purchaser.

13.         No lease shall contain representations or warranties in regard to
            the condition of any demised premises, each being delivered in its
            as-is, where-is condition, subject to the terms of the SST Lease.

14.         Purchaser shall act in a commercially reasonable manner and in good
            faith during its review and approval of a proposed lease pursuant to
            this Master Lease. Also, Purchaser agrees to respond to Seller
            deliveries of leases for approval and/or execution within ten (10)
            business days after its receipt by Purchaser, otherwise said lease
            shall be deemed approved.

            If Purchaser fails to execute the lease (after having had the
opportunity to review same as provided herein) in said time period then same
shall be treated as a completed lease and Seller shall be given credit for
Leasing such vacant space pursuant to the terms contained therein and Tenant
Conditions shall be satisfied.

                                       38
<Page>

                                  EXHIBIT 9A

                                VACANT SPACES

                                  [GRAPHIC]

<Page>

                                  EXHIBIT 9B

                               UNLEASED PARCEL

                                  [GRAPHIC]

<Page>

                                   EXHIBIT 9

                           SITE PLAN OF VACANT SPACE

                                       39
<Page>

                                   EXHIBIT 10

                   Tenant Estoppel Certificate Form - General

To:   Inland Real Estate Acquisitions, Inc., and
      Inland Western Tallahassee Governor's, L.L.C.
      and its lenders, successors and assigns ("Purchaser")
      2901 Butterfield Road
      Oak Brook, Illinois 60523
      Attention: Sharon Anderson-Cox

Re:   Lease Agreement dated ______________________________and amended
      _____________ ("Lease"), between as "Landlord", and
      _______________________________________, as "Tenant", guaranteed by
      ("Guarantor") for leased premises known as (the "Premises") of the
      property commonly known as (the "Property").

1.    Tenant hereby certifies that the following represents with respect to the
      Lease are accurate and complete as of the date hereof.

      a.    Dates of all amendments, letter agreements, modifications and
            waivers related to the Lease

      b.    Commencement Date

      c.    Expiration Date

      d.    Current Annual Base Rent

                                                ADJUSTMENT DATE RENTAL AMOUNT

      e.    Fixed or CPI Rent Increases         _____________  _____________

      f.    Square Footage of Premises

      g.    Security Deposit Paid to Landlord

      h.    Renewal Options                     _____Additional Terms for
                                                ______years at $_______ per year

      i.    Termination Options            Termination Date_________________
                                           Fees Payable____________________

2.    Tenant further certifies to Purchaser that:

      a.    the Lease is presently in full force and effect and represents the
            entire agreement between Tenant and Landlord with respect to the
            Premises;

      b.    the Lease has not been assigned and the Premises have not been
            sublet by Tenant;

      c.    Tenant has accepted and is occupying the Premises, all construction
            required by the Lease has been completed and any payments, credits
            or abatements required to be given by Landlord to Tenant have been
            given;

      d.    Tenant is open for business or is operating its business at the
            Premises;

      e.    no installment of rent or other charges under the Lease other than
            current monthly rent has been paid more than 30 days in advance and
            Tenant is not in arrears on any rental payment or other charges;

      f.    Landlord has no obligation to segregate the security deposit or to
            pay interest thereon;

      g.    Landlord is not in default under the Lease and no event has occurred
            which, with the giving of notice or passage of time, or both, could
            result in a default by Landlord;

      h.    Tenant has no existing defenses, offsets, liens, claims or credits
            against the payment obligations under the Lease;

      i.    Tenant has not been granted any options or rights to terminate the
            Lease earlier than the Expiration Date (except as stated in
            paragraph 1(i));

      j     Tenant has not been granted any options or rights of first refusal
            to purchase the Premises or the Property;

      k.    Tenant has not received notice of violation of any federal, state,
            county or municipal laws, regulations, ordinances, orders or
            directives relating to the use or condition of the Premises or the
            Property;

      l.    no hazardous wastes or toxic substances, as defined by all
            applicable federal, state or local statutes, rules or regulations
            have been disposed, stored or treated on or about the Premises or
            the Property by Tenant;

      m.    Tenant has not received any notice of a prior sale, transfer,
            assignment, pledge or other hypothecation of the Premises or the
            Lease or of the rents provided for therein;

      n.    Tenant has not filed, and is not currently the subject of any
            filing, voluntary or involuntary, for bankruptcy or reorganization
            under any applicable bankruptcy or creditors rights laws;

      o.    the Lease does not give the Tenant any operating exclusives for the
            Property; and

      p.    Rent has been paid through__________ _____, 2003.

<Page>

3.    This certification is made with the knowledge that Purchaser is about to
      acquire title to the Property and obtain financing which shall be secured
      by a deed of trust (or mortgage), security agreement and assignment of
      rents, leases and contracts upon the property. Tenant acknowledges that
      Purchaser's interest in the Lease (as landlord) will be assigned to a
      lender as security for the loan. All rent payments under the Lease shall
      continue to be paid to landlord in accordance with the terms of the Lease
      until Tenant is notified otherwise in writing by Buyer's lender or its
      successors and assigns. In the event that a lender succeeds to landlord's
      interest under the Lease, Tenant agrees to attorn to the lender at
      lender's request, so long as the lender agrees that unless Tenant is in
      default under the Lease, the Lease will remain in full force and effect.
      Tenant further acknowledges and agrees that Purchaser (including its
      lender), their respective successors and assigns shall have the right to
      rely on the information contained in this Certificate. The undersigned is
      authorized to execute this Tenant Estoppel Certificate on behalf of
      Tenant.

                                     [TENANT]
                                     By:
                                     Its:
                                         -------------------------
                                     Date:
                                          ---------------------, 2003

<Page>

                   GUARANTOR ESTOPPEL CERTIFICATE

Date: ________________, 2003

      To:

      Inland Real Estate Acquisitions, Inc., and
      Inland Southeast__________, L.L.C. (insert Inland nominee entity),
      and its lenders, successors and assigns ("Purchaser")
      2901 Butterfield Road
      Oak Brook, Illinois 60523
      Attention:_______________

Re: Guaranty Agreement dated ____________________ ("Guaranty of Lease")
pertaining to that certain lease dated _________________________ between
___________________________________ as Landlord and ____________________________
as Tenant for leased premises known as _________________________________________
(the "Premises") located at the property commonly known as______________________
(the "Property").

  1.  Guarantor certifies to Lender and Purchaser that: (a) the Guaranty of
      Lease has been properly executed by Guarantor and is presently in full
      force and effect without amendment or modification except as noted above;
      (b) Guarantor has no existing defenses, offsets, liens, claims or credits
      against the obligations under the Guaranty of Lease.

  2.  This certification is made with the knowledge that Purchaser is about to
      acquire title to the Property and a lender is about to provide Landlord
      with financing which shall be secured by a deed of trust (or mortgage),
      security agreement and assignment of rents, leases and contracts upon the
      Property. Guarantor further acknowledges and agrees that Purchaser and its
      lender and their respective successors and assigns shall have the right to
      rely on the information contained in this Certificate.

  3.  The undersigned is authorized to execute this Guarantor Estoppel
      Certificate on behalf of Guarantor.

                                     [GUARANTOR]

                                     By:

<Page>

                                   EXHIBIT 11
                             REA ESTOPPEL STATEMENT

      The undersigned ______________________________, a ________________________
corporation ("_______"), is a party to the ________________________________
(REA) recorded on _________________________, ______ in Book _________ ,
Page ________ of the Public Records of _______ County, _______ (the "REA"),
between and among __________________________________, a ____________
("Developer"), and _______________________________, a ____________ (corporation)
("_______"), with respect to the ______________________ Shopping Center in
___________, ____________ (the "Shopping Center"). ____________ has been
advised that Developer is in process of selling Developer's interest in the
Shopping Center to INLAND (entity) having a notice address of 2901
Butterfield Road, Oak Brook, Illinois 60523, Attention: Vice Chairman
(together with its lender, and successors and assigns, collectively referred
to herein as "Purchaser"). _______________ hereby states to Purchaser as
follows (without undertaking any investigation to verify the accuracy of the
statements made):

      1.    The REA has not been amended and is in full force and effect.

      2.    The REA is presently in full force and effect according to its
            terms.

      3.    ____________ has neither given nor received any notice of default
with respect to the REA. To the best of _____________'s knowledge (whereby
knowledge shall be limited to the party signing this REA Estoppel Agreement on
behalf of _____________ ), neither _______________ nor any other party is in
default under the REA.

      4.    As provided under Section ____ of the _____________REA, _________
acknowledges and agrees that, upon its acquisition of Developer's interest in
the Shopping Center, Purchaser shall be entitled to all of the benefits, rights,
privileges and burdens of the Developer under the REA.

      5.    The gross leasable area of the ________ store is _____________.

      6.    _______________ 's last contribution for common area maintenance
costs and expenses was for the month of ______, 2003 in the amount of $________.

      This Statement does not (a) constitute a waiver of any rights_________ may
have under the REA, or (b) modify, alter, or change any of the terms or
conditions of the REA.

      No officer or employee signing this Statement on behalf of ___________
shall have any liability as a result of having given this statement.

      The statements contained in this Statement are not affirmative
representations, warranties, covenants or waivers, and ________ shall not be
liable to Developer, Purchaser or any third party on account of any information
herein contained, notwithstanding the failure, for any reason, to disclose
and/or correct relevant information. Notwithstanding the preceding sentence,
___________ shall be estopped from asserting any claim or defense against
Purchaser to the extent such claim or assertion is based upon facts, now known
to the person(s) signing below on behalf of _____________, which are contrary to
those contained herein, if Purchaser has acted in reasonable reliance upon such
statements without knowledge of facts to the contrary. This Statement is given
solely for Purchaser's information and may not be relied upon by anyone other
than Purchaser, or in connection with any transaction other than the transaction
described above. Capitalized terms used in this Statement, unless otherwise
defined, will have the meanings ascribed to such terms in the REA.

                                       43
<Page>

      Dated as of __________________, 2003.

                        __________________________________
                        a____________________(CORPORATION)

                        By: ______________________________
                        As Its:

                                   EXHIBIT 12
                         INLAND SOUTHERN MANAGEMENT LLC
                          FINAL DUE DILIGENCE CHECKLIST

A.    FINANCIAL INFORMATION

      1. Copy of leases and any guarantees

      2. Current Rent Roll

      3. Prior five full years operating statements

      4. Prior year's general ledger statement

      5. Last three years' bills for:

            a.    Real estate taxes

            b.    Insurance
                  1) Liability
                  2) Property

            c.    Reconciliation's for CAM/taxes/insurance

Statement of current monthly amounts paid by tenants for CAM/tax/insurance plus
              a year-to-date balance of amounts paid by each tenant

       6. Base rent collected in previous five calendar year period by tenant

       7. Physical occupancy for the last five calendar years prior to purchase

       8. Receivables status/aging report

       9. Tenant sales reports for last three years

      10. Tenant financial statements

      11. Lease expirations - next three years

      B.    EXPENSE INFORMATION

            1. Twelve months of consecutive utility bills

                  a.    Water
                  b.    Gas
                  c.    Electric
                  d.    Telephone & dedicated lines

                                       44
<Page>

2.    Copies of all service agreements, contracts or any leases that encumber
      the property

      a.    Fire/burglar alarm

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      b.    Antenna cable/satellite dish

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      c.    Cleaning

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      d.    Exterminating

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      e.    Landscaping

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      h.    Scavenger

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      g.    Security service

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      h.    Snow removal

            1) Start date_________________________________
            2) Ending date________________________________
            3) Notice period______________________________
            4) Cancelable or not__________________________

      i     Towing

            1) Start date___
            2) Ending date_____
            3) Notice period_____
            4) Cancelable or not__

      j.    Union contracts

            1) Start date___
            2) Ending date_____
            3) Notice period_____
            4) Cancelable or not__

      k.    Elevator

            1) Start date___
            2) Ending date______

                                       45
<Page>

            3) Notice period_____
            4) Cancelable or not__

      l.    Uniform rental
            1) Start date_
            2) Ending date_______
            3) Notice period_____
            4) Cancelable or not_

      m.    Water softeners

            1) Start date_
            2) Ending date_______
            3) Notice period_____
            4) Cancelable or not_

      n.    Leasing

            1) Start date_
            2) Ending date_______
            3) Notice period_____
            4) Cancelable or not_

      o.    Management

            1) Start date_
            2) Ending date_______
            3) Notice period_____
            4) Cancelable or not_

      p.    Advertising

            1) Start date_
            2) Ending date_______
            3) Notice period_____
            4) Cancelable or not_

      q.    Tax reduction legal fees

            1) Start date_
            2) Ending date_______
            3) Notice period_____
            4) Cancelable or not_

      r.       Any other service contracts or leases not cancelable in 90 days
      1) Start date_____________________________________
      2) Ending date____________________________________
      3) Notice period__________________________________
      4) Cancelable or not______________________________

   3.Copies of all warranties which benefit the initial construction of the
   improvements upon the Property (e.g., HVAC, roof and parking lot)

C. ENVIRONMENTAL REPORTS

      1. Phase I

      2. Other

D. STAFFING

      1. Itemized by position and salary

E. SITE INSPECTIONS

      1.    Inspection report

      2.    Photo attached

F. MISCELLANEOUS

                                       46
<Page>

1.    Code violations

      a. Current and outstanding
      b. Last 24 months, with compliance
      c. Contact municipalities as to other problems

2.    Easement/encumbrances: restrictive easement agreements/operating easement
      agreements

      a. Warranties
      b. Current tenant contact list
      c. Certificates of insurance from tenants
      d. Certificates of Occupancy for each tenant space

                                       47
<Page>

                                   EXHIBIT 13
                            SURVEYOR'S CERTIFICATION

      I/We hereby certify to INLAND _____________________________ (Inland
nominee), ______________________ (Lender) and ________________________________
(Name of Title Insurance Company) that (a) this survey was prepared by me or
under my supervision, (b) the legal description of the property as set forth
herein, and the location of all improvements, encroachments, fences, easements,
roadways, rights of way and setback lines which are either visible or of record
in _________________________ County, _________________________ (according to
Commitment for Title Insurance Number ________________________________, dated
_________________________, 2001(2), issued________________________________ ),
are accurately reflected hereon, (c) this survey accurately depicts the state of
facts as they appear on the ground, (d) except as shown hereon, there are no
improvements, encroachments, fences or roadways on any portion of the property
reflected hereon, (e) the property shown hereon has access to a publicly
dedicated roadway, (f) the property described hereon {does} {does not} lie in a
100 year flood plain identified by the Secretary of Housing and Urban
Development or any other governmental authority under the National Flood
Insurance Act of 1968 (24 CFR Section 1909.1), as amended (such determination
having been made from a personal review of flood map number __________________,
which is the latest available flood map for the property), (g) the title lines
and lines of actual possession are the same, (h) all utility services required
for the operation of the property either enter the property through adjoining
public streets, or this survey shows the point of entry and location of any
utilities which pass through or are located on adjoining private land, (i) this
survey shows the location and direction of all storm drainage systems for the
collection and disposal of all surface drainage, (j) the property surveyed
contains __________________ acres and ________________ parking spaces, (k) any
discharge into streams, rivers, or other conveyance systems is shown on the
survey. This survey has been made in accordance with "MINIMUM STANDARD DETAIL
REQUIREMENTS FOR ALTA/ACSM LAND TITLE SURVEYS" jointly established and adopted
by American Land Title Association ("ALTA") and American Congress on Surveying
and Mapping ("ACSM") in 1999 and meets the accuracy requirements of an Urban
Survey, as defined therein and includes items 1, 3, 4, 6, 7(a, b, and c), 8-11
and 13 of Table A thereof.

Dated: ________________, 2003   (NAME OF SURVEYOR AND QUALIFICATION)

                                     -----------------------------
                                     Registration No.
                                                     --------------

Note: Buyer also requires a finished floor elevation certificate for all
      finished structures located in a flood zone

                                       48
<Page>

                                   EXHIBIT 14
                                  TENANT LETTER
                              (Landlord Letterhead)

               (Landlord or management company Letterhead)

________ _____, 2003

Insert Tenant Name
Insert Tenant Address

      Re:   The lease dated ________________ (collectively, with any and all
            amendments thereto, the "Lease") between _____________________ as
            tenant ("Tenant") and __________________________,
            _______________________ as landlord ("Landlord") for property
            located at the ____________________ Shopping Center, _____________ ,
            ______, ________ (the "Property")

Dear Tenant:

      Please be advised that the Property, subject to the above-referenced
Lease, has been sold as of ______ _____ , 2003 to Inland Southeast
____________________, L.L.C. Inland Southeast ______________________, L.L.C. has
hired Inland Mid-Atlantic Management Corp. as its managing agent for the
Property. Effective immediately, all rent payments pursuant to the Lease should
be made payable to Inland Mid-Atlantic Management Corp. and sent to the
following address:

      Inland Mid-Atlantic Management Corp.
      P. O. Box 403089
      Atlanta, GA 30384-3089

      In addition, all notices and other communications provided by Tenant under
the Lease should be sent to Inland Southeast _____________ , L.L.C. at the
following address:

      Inland Mid-Atlantic Management Corp.
      c/o Inland Southeast _________________, L.L.C.
      Attn: Ms. Laura Sabatino
      200 East Woodlawn Road
      Charlotte, NC 28217
      Telephone: 704-527-4555

      In addition, please contact your insurance agent to have a certificate
forwarded, naming as additional insured: (i) Inland Mid-Atlantic Management
Corp., and (ii) Inland Southeast _____________ , L.L.C. Thank you for your time
and attention to this matter.

                                     Very truly yours,

                                     (Landlord or management company)

                                     By:
                                           -------------------------------

cc:   Inland Southeast __________________ , L.L.C.

                                       49
<Page>

                                   EXHIBIT 15

                                       51
<Page>

                                   EXHIBIT 15A
                                  GROUND LEASE

                            INDENTURE OF GROUND LEASE
                                   (PARCEL A)

            THIS INDENTURE OF GROUND LEASE ("LEASE") is executed as of the 1st
day of October, 2000, by and between ELAINE W. SMITH PARTNERSHIP, LLP, a Florida
limited liability partnership and THE SMITH INTERESTS GENERAL PARTNERSHIP,
L.L.P., a Florida limited liability partnership, whose address is 217 N. Monroe
Street, Tallahassee, Florida 32301 (collectively, "LESSOR"); and KIMCO GOVERNORS
MARKETPLACE LTD., a limited partnership organized and existing under the laws of
the State of Florida, whose principal address is 3333 New Hyde Park Road, Suite
100, P.O. Box 5020, New Hyde Park, New York 11042-0020 ("LESSEE").

                                R E C I T A L S:

            A.    Each Lessor is a limited liability partnership organized and
existing under the laws of the State of Florida, and Lessor is the present fee
owner of the Premises.

            B.    Lessee is a limited partnership organized and existing under
the laws of the State of Florida.

            C.    Lessor and Lessee agree to lease the Premises and enter this
lease on the terms and conditions herein set out.

            D.    Lessee intends to assign portions of this lease, or sublease
the Premises, to others who may construct improvements thereon in accordance
with development plans and may in turn assign or sublease their premises.

            NOW, THEREFORE, in consideration of the premises recited above, the
mutual covenants set forth below and other good and valuable consideration,
Lessor and Lessee do hereby agree as follows:

            1.    PREMISES, GRANT, AND TERM.

            1.1.  PREMISES. The "PREMISES" are described on EXHIBIT "A-1"
attached hereto and made a part hereof by reference. The Premises includes the
real property described thereon, all existing buildings, structures and
improvements thereon and all equipment, machinery, fixtures and personal
property therein and all rights and easements appurtenant thereto; provided,
however, that Lessee shall have the right to demolish, renovate, alter, remove
and replace the Premises and all portions thereof from time to time and in such
manner as it may determine in its sole discretion. Attached to this Lease as
EXHIBIT "A-2" is a site plan (the "SITE PLAN") depicting all of the proposed
improvements (the "INITIAL IMPROVEMENTS") which Lessee initially proposes to
construct on the Premises, which Site Plan may be amended from time to time,
along with all Outlot Parcels (as hereinafter defined).

            1.2.  GRANT OF LEASEHOLD. The Lessor does hereby demise and lease
the Premises unto the Lessee for the term hereof.

<Page>

            1.3.  TERM. The term ("TERM") of this Lease shall be eighty-five
(85) years, commencing on the date of exercise by Lessee of the Option (the
"COMMENCEMENT DATE") and ending midnight on the day immediately preceding the
eighty-fifth (85th) anniversary of the Commencement Date (the "EXPIRATION
Date"), unless sooner terminated as provided in this Lease. Upon exercise of the
Option, Lessor and Lessee shall execute a certificate confirming the
Commencement Date and the Expiration Date.

            1.4.  LEASE YEAR. For purposes of this Lease, "LEASE YEAR" shall
mean (a) the twelve (12) month period which commences upon the first day of the
January coincident with or next following the Rental Commencement Date; and (b)
each calendar year thereafter during the Term; except that the final Lease Year
shall end on the last day of the Term.

            1.5.  ADDITIONAL PROPERTY. Lessor is the owner of the property
described on EXHIBIT "F" attached hereto (the "ADDITIONAL PROPERTY"). If
requested by Lessee, Lessor shall reasonably promptly make the Additional
Property available to Lessee for any one or more of the following purposes (the
"INTENDED PURPOSES"): (a) to expand the storm water facilities serving the
Premises, (b) as wetlands or other mitigation required by the City of
Tallahassee or any other governmental agency or authority, or (c) to otherwise
address the storm water requirements for the Premises. Without limiting the
generality of the foregoing sentence, Lessor shall, if requested by Lessee, (i)
lease, deed or grant a perpetual easement over all or any portion of the
Additional Property to the City of Tallahassee or any other governmental agency
or authority designated by Lessee, in all cases for one or more of the Intended
Purposes, and/or (ii) grant an easement, extending for the term of this Lease,
over all or any portion of the Additional Property to Lessee for no additional
consideration and otherwise on all of the same terms and conditions contained in
this Lease, to be used by Lessee for the Intended Purposes or any other use
permitted under this Lease. Any lease or easement to the City of Tallahassee or
any other governmental agency or authority and any easement to Lessee granted
pursuant to the immediately preceding sentence shall be in form and substance
acceptable to the grantee thereunder.

            2.    RENTAL PROVISIONS:

            2.1.  AGREEMENT BY LESSEE. Lessee hereby covenants and agrees to
pay to Lessor, as rent for the Premises during the term hereof, the "Basic
Rent" and "Overage Rent" hereinafter provided for.

            (a)   RENTAL COMMENCEMENT DATE. Rent hereunder shall commence upon
      the rental commencement date ("RENTAL COMMENCEMENT DATE"). The Rental
      Commencement Date shall be the earlier of: (i) the date of issuance of
      certificates of occupancy for, and the opening for business to the public
      of, eighty percent (80%) of the gross leasable area of the Initial
      Improvements; or (ii) June 1, 2001. Within thirty (30) days after
      substantial completion of the Initial Improvements, Lessee shall provide
      Lessor with a certificate from Lessor's architect certifying as to the
      total gross leasable area of the Initial Improvements. Within five (5)
      business days after (x) a certificate of occupancy is issued for any
      subleased portion of the Initial Improvements, and (y) the subtenant under
      the sublease of such subleased premises opens for

                                       -2-
<Page>

      business to the public, Lessee shall provide Lessor with a certificate
      certifying as to the gross leasable area of such subleased premises. If
      the Rental Commencement Date is other than the first day of the month, the
      "Basic Rent" for such month in which the Rental Commencement Date occurs
      shall be prorated.

            (b)   PAYMENTS BY LESSEE FOR CREDIT AGAINST BASIC RENT. Lessor and
      Lessee are parties to that certain Option to Lease (the "OPTION") which
      provides for payment, by Lessee to Lessor, of certain sums which sums
      shall not be credited against, but shall be in addition to, "Basic Rent."

            2.2.  BASIC RENT. During the Term hereof, Lessee shall pay rent
("BASIC RENT"), in advance, on the first day of each calendar month in an amount
equal to $22,500.

            2.3.  PERCENTAGE OR OVERAGE RENTAL. Lessee shall pay to Lessor as
overage rent ("OVERAGE RENT"), (A) ten percent (10%) of all Minimum Rent
received by Lessee during any Lease Year in excess of $2,860,000.00, plus (B) an
additional ten percent (10%) of all Minimum Rent received by Lessee during any
Lease Year after the fifth Lease Year in excess of $2,860,000.00, plus (C) fifty
percent (50%) of the Outlot Rent from each Outlot Parcel received by Lessee
during any Lease Year in excess of the Outlot Base Amount applicable to such
Outlot Parcel, plus (D) twenty-five percent (25%) of all Percentage Rent
received by Lessee during any Lease Year.

            "MINIMUM RENT" means fixed rent actually received by Lessee from
subtenants of the Premises under written subleases, but Minimum Rent shall not
include (i) any sales or use taxes paid by such subtenants or reimbursed to
Lessee, (ii) any amounts paid by such subtenants in reimbursement of amounts
(such as real estate taxes, insurance premiums and operating expenses) expended
by Lessee in connection with the Premises, (iii) Outlot Rent or (iv) Percentage
Rent.

            "PERCENTAGE RENT" means rent (i) actually received by Lessee under
written subleases setting forth the basis of such payment and (ii) based upon a
percentage of gross sales of goods or services by subtenants under such
subleases to third party customers; provided that Percentage Rent shall not
include any sales or use taxes paid by a subtenant or reimbursed to Lessee.

            "OUTLOT RENT" means the fixed ground rent and Percentage Rent
actually received by Lessee under written subleases for each of outlot parcels
1, 2, 3 and 4 depicted on EXHIBIT A-2 ("OUTLOT PARCEL") included in the
Premises. However, Outlot Rent shall not include (i) any sales or use taxes paid
by subtenants or reimbursed to Lessee, and (ii) any amounts paid by such
subtenants in reimbursement of amounts (such as real estate taxes, insurance
premiums and operating expenses) expended by Lessee in connection with the
Premises; provided that if (A) Lessee develops, at its expense, any building or
buildings on an Outlot Parcel and subleases the land and such building or
buildings to a subtenant or reimburses any subtenant of an Outlot Parcel for all
or any substantial portion of the cost of constructing any building or building
on such Outlot Parcel, or (B) Lessee leases any building or buildings
constructed by a prior subtenant of an Outlot Parcel (with or without

                                       -3-
<Page>

the land on which such building or buildings is located) to a new subtenant,
then there shall be deducted from the annual rent paid by the subtenant of such
Outlot Parcel which would otherwise be included in Outlot Rent for such Outlot
Parcel, an amount (the "EXCLUDED RENT") equal to eleven percent (11%) of the
total aggregate cost (including hard costs and soft costs) of constructing the
building or buildings on such Outlot Parcel and any additions thereto.
Notwithstanding the proviso to the immediately preceding sentence, in no event
shall the annual Outlot Rent actually received by Lessee with respect to any
Outlot Parcel be reduced to an amount less than nine percent (9%) of the
Appraised Value of such Outlot Parcel or the Base Amount applicable to such
Outlot Parcel, whichever is greater. The Appraised Value of a given Outlot
Parcel shall be determined in accordance with the appraisal procedures provided
in Paragraph 21 as of the date of execution of any sublease for such Outlot
Parcel. Excluded Rent for any Lease Year shall be included in Minimum Rent for
such Lease Year for purposes of determining Overage Rent.

            "OUTLOT BASE AMOUNT" means for each Lease Year $40,000 for Outlot
Parcel 1, $50,000 for Outlot Parcel 2, $55,000 for Outlot Parcel 3 and $35,000
for Outlot Parcel 4, which Outlot Parcels are depicted on EXHIBIT A-2 hereto.

            (a)   Except as otherwise expressly provided below, Overage Rent for
      each Lease Year shall be paid in full on or before April 1 of the
      following Lease Year, which payment of Overage Rent shall be accompanied
      by the annual report of Overage Rent required under Paragraph 2.4 for the
      Lease Year to which such payment relates.

            (b)   All Overage Rent due pursuant to clauses (B), (C) and (D) of
      the first grammatical paragraph of this Paragraph 2.3 shall be expressly
      subject and subordinate to any Leasehold Mortgage and, in the event of the
      foreclosure of such Leasehold Mortgage or the delivery of an assignment of
      this Lease in lieu of foreclosure of such Leasehold Mortgage, Lessor's
      right to receive, and Lessee's obligation to pay, Overage Rent due
      pursuant to clauses (B), (C) and (D) of this Paragraph 2.3 shall terminate
      and only the Overage Rent due pursuant to clause (A) shall thereafter be
      due and payable.

            (c)   In the event, Lessee receives a lump sum termination or
      similar payment from any subtenant (a "TERMINATION PAYMENT") in connection
      with the early termination of a sublease (a "TERMINATED SUBLEASE") of a
      portion of the Premises or the improvements thereon, the following
      provisions shall apply:

                        (i)   If the Termination Payment does not exceed
            $50,000, Lessee shall be entitled to hold such Termination Payment,
            in which event Lessee shall certify to Lessor in writing the amount
            of all Termination and Releasing Costs and the amount of the Net
            Termination Payment reasonably promptly after the determination
            thereof.

                                       -4-
<Page>

                        (ii)  If the Termination Payment is greater than
            $50,000, it shall be deposited in an escrow with an independent
            escrowee (the "TERMINATION PAYMENT ESCROWEE") reasonably acceptable
            to Lessor and Lessee. All costs (the "TERMINATION AND RE-LEASING
            COSTS") incurred by Lessee in terminating a Terminated Sublease
            (including without limitation all legal fees) and in re-leasing the
            premises subleased under the Terminated Sublease (including without
            limitation leasing commissions, attorneys' fees, the cost of tenant
            improvements and any tenant allowances) shall be reimbursed to
            Lessee solely from the proceeds of the Termination Payment upon
            written request to the Termination Payment Escrowee provided Lessee
            provides Lessor with a copy of such request and reasonable evidence
            of such Termination and Re-Leasing Costs, and provided further that
            any item of such Termination and Re-Leasing Costs in excess of
            $5,000 shall be paid directly by the Termination Payment Escrowee
            from time to time when due out of the Termination Payment upon
            written request by Lessee to the Termination Payment Escrowee and
            Lessor accompanied by copies of the invoices pertaining to such
            costs. The amount, if any, by which the Termination Payment received
            in connection with a Terminated Sublease exceeds the Termination and
            Re-Leasing Costs is referred to herein as the "NET TERMINATION
            PAYMENT."

                        (iii) If the rent payments under a Terminated Sublease
            (ignoring, however, for this purpose Excluded Rent) would have been
            classified, in whole or in part, as Minimum Rent, the Net
            Termination Payment relating to such Terminated Sublease shall be
            characterized as Minimum Rent, and, if the rent payments under a
            Terminated Sublease would have been classified, in whole or in part,
            as Outlot Rent, the Termination Payment relating to such Terminated
            Sublease shall be characterized as Outlot Rent. Upon determination
            of the Net Termination Payment, the Net Termination Payment shall be
            divided by the number of full or partial months (the "REMAINING
            MONTHS") from and including the month in which the termination of
            the Terminated Sublease occurs until the month in which the last day
            of the then current term or renewal term of the Terminated Sublease
            would have occurred had the Terminated Sublease remained in effect,
            and an amount equal to the resulting quotient shall be added to each
            of the Remaining Months for purposes of calculating Minimum Rent or
            Outlot Rent, as applicable, under this Lease. If the Net Termination
            Payment is determined after the expiration of any Lease Year which
            includes one or more Remaining Months and if the

                                       -5-
<Page>

            Minimum Rent or Outlot Rent, as applicable, for such Lease Year has
            already been calculated and paid, the Minimum Rent or Outlot Rent,
            as applicable, for such Lease Year shall be recalculated based upon
            the allocation of the Net Termination Payment to the Remaining
            Months included in such Lease Year, and any additional resulting
            Overage Rent shall be paid by Lessee to Lessor promptly after
            completion of such recalculation.

            2.4.  ANNUAL REPORT OF OVERAGE RENT. Lessee shall furnish to Lessor
at the time of payment of the Overage Rent for any Lease Year a statement, in
reasonable detail, prepared by Lessee and certified, to the best of its
knowledge, by a partner or member of Lessee or by Lessee's independent public
accountants, showing the Minimum Rent, Percentage Rent, and Outlot Rent paid by
Lessee's subtenants and the calculation of Overage Rent pursuant to Paragraph
2.3 based thereon for such Lease Year. Lessor shall have the right at any time
to inspect the books and records of Lessee at Lessee's offices during normal
business hours and after reasonable notice given within thirty (30) days after
the date such annual statement is delivered to Lessor. Unless Lessor provides
Lessee with a written notice within thirty (30) days after the date of delivery
to Lessor of such annual statement setting forth in reasonable detail Lessor's
objections to such annual statement and the basis for such objections, such
annual statement and the Overage Rent set forth therein shall be considered as
final and accepted by Lessor. If Lessor furnishes a timely notice of objection
to Lessee, a final determination of the Minimum Rent, Percentage Rent, and
Outlot Rent paid by Lessee's subtenants and the Overage Rent based thereon for
the applicable Lease Year shall be made by independent public accountants
selected by Lessee and reasonably acceptable to Lessor, which determination
shall be final and binding on Lessee and Lessor. The cost of the accountants
shall be borne by Lessor unless such final determination indicates that Lessee
understated the Overage Rent due Lessor for the applicable Lease Year by more
than five percent (5%), in which event said cost shall be borne by Lessee.

            Notwithstanding any provision of this Lease to the contrary, in the
event Lessee fails to provide an annual statement as required by this Paragraph
2.4 and Lessor notifies a Leasehold Mortgagee of such default as provided in
Paragraph 14.2(b), such Leasehold Mortgagee shall be given the time reasonably
necessary to permit such Leasehold Mortgage to obtain possession of the Premises
and to obtain the information necessary to cure said default by providing the
required statement.

            2.5.  NO PARTNERSHIP RELATIONSHIP. Notwithstanding the provisions of
this Article 2 with respect to the payment of Overage Rent, or any other
provision of this Lease, the intention to form a partnership or any other
association (other than that of landlord and tenant) as between Lessor and
Lessee is denied, and no partnership, joint venture, or other entity or
association, or relationship of principal and agent, shall be deemed to result
from any provision of this Lease or otherwise.

            2.6.  SALES AND USE TAXES. Any sales or use taxes payable with
respect to any rent due hereunder shall be paid by Lessee.

                                       -6-
<Page>

            3.    IMPOSITIONS, NET LEASE, ETC.

            3.1.  PAYMENT OF IMPOSITIONS. Following the commencement of the
Term, Lessee agrees to pay or cause its subtenants to pay, before delinquency,
all taxes and assessments (including but not limited to ad valorem, sales, use,
tangible personal property, excise, franchise, or other local, state, or federal
taxes or fees), general and special, water and sewer rents, rates and charges,
charges for public utilities, excises, levies, documentary stamps, license and
permit fees and other governmental charges, general and special, ordinary and
extraordinary, of any kind and nature whatsoever (other than income, intangible,
federal and state inheritance, franchise and estate taxes assessed against
Lessor or its partners or principals as a result of the rents paid hereunder or
against the estate of any partner of Lessor as a result of the value of the
Premises or Lessor's interest in said Premises or this Lease) (collectively, the
"IMPOSITIONS"), which at any time during the Term may be assessed, levied, or
imposed upon the Premises, or any part thereof or any appurtenance thereto or on
any rentals paid hereunder, or on any business activity conducted (other than by
Lessor) on or from the Premises; all of which Impositions shall be paid by
Lessee on or before the last day on which payment may be made without penalty,
unless Lessee is contesting such Impositions as provided in Paragraph 3.3.
Notwithstanding the foregoing, all Impositions becoming a lien upon the
Premises, or payable, with respect to any calendar year of the Term, a portion
of which calendar year is not within the Term, shall be prorated between Lessor
and Lessee. Subject to the provisions of Paragraph 3.3, Lessee shall, within ten
(10) days after request from Lessor, furnish to Lessor for inspection within
thirty (30) days after the last day on which Impositions may be paid without
penalty, official receipts of the appropriate authority or other proof
reasonably satisfactory to Lessor evidencing such payment.

            3.2.  NET/NET GROUND LEASE. This is a net/net ground lease, and
Lessee shall pay or cause to be paid all expenses of every kind associated with
the Premises and any business conducted thereon or therefrom, including but not
limited to insurance, service charges, liens, and Impositions of any kind and
description in connection with the Lease, the Premises, the rental paid
hereunder or any business conducted thereon or therefrom, including but not
limited to sales, use, tangible personal property and ad valorem taxes, and any
liens, impact fees, and other Impositions on the above, but excluding any
payments in connection with any mortgage or other lien encumbering the interest
of Lessor. In the event any special assessment or tax is imposed on the Premises
or any business conducted thereon, Lessor, shall upon request from Lessee,
elect, to the extent available, to have such tax paid in the maximum number of
installments permitted, but Lessee shall be fully responsible for paying all
such tax accruing during the Term as provided above..

            3.3.  CONTESTS. Notwithstanding anything contained in this Lease to
the contrary, Lessee shall have the right at any time and from time to time to
contest the amount or validity of any Impositions by appropriate legal
proceedings, diligently pursued, in the name of Lessor (which shall cooperate
with Lessee at Lessee's cost) if required by any law, rule or regulation, and to
withhold payment of such Impositions during the pendency of such contest,
provided that: (i) neither the Premises nor any part thereof nor interest
therein would be in any imminent danger of being sold or forfeited; (ii) all
expenses incurred in connection with such proceedings shall be paid by Lessee,
and (iii) unless otherwise deposited with a

                                       -7-
<Page>

governmental authority or not required by law as a condition to contest, Lessee
shall deposit with a "Leasehold Mortgagee" (defined in Paragraph 14.1 below)
with a first lien (a "FIRST LEASEHOLD MORTGAGE") on Lessee's interest in the
Premises (the "FIRST LEASEHOLD MORTGAGEE") or with Lessor, cash, a letter of
credit, a surety bond, or other reasonable security in an amount equal to at
least one hundred percent (100%) of the contested portion of such Impositions,
or Lessee shall provide Lessor with title insurance from a title insurer of
national recognition insuring without exception for the contested Impositions.

            4.    USE OF PREMISES. Lessor agrees that the Premises may be used
for any lawful purposes. Any and all buildings and improvements constructed on
the Premises and any portion thereof shall be used only for lawful purposes.
Lessee shall not commit or permit any waste to the Premises or any improvements
located thereon, except that the foregoing shall not in any way limit the right
of Lessee, its agents, employees and subtenants, to demolish, renovate, rebuild,
construct, modify, alter and improve, in whole or in part, at any time or from
time to time, improvements now or hereafter located on the Premises in
accordance with Paragraph 6 hereinbelow.

            5.    MAINTENANCE AND REPAIRS. Lessee (or its subtenants), at all
times during the term of this Lease, and at its or their own expense, shall keep
and maintain in good order and repair, all buildings and improvements on the
Premises, subject to normal wear and tear and loss by casualty.

            6.    IMPROVEMENTS, ALTERATIONS AND ADDITIONS. Lessee and its
subtenants, at its or their own expense, shall have the right from time to time
(i) to demolish and remove any and all buildings, structures and improvements
now or hereafter located on the Premises; (ii) to construct a new or replacement
building or buildings, structures and/or improvements on the Premises; (iii) to
replace, improve, construct, and erect any and all buildings, structures and
improvements on the Premises; and (iv) to make any and all alterations,
modifications and additions to such buildings, structures and improvements,
provided that, (a) all work performed by Lessee at the Premises shall be done in
a good and workmanlike manner and in material compliance with all applicable
laws, rules, and regulations (subject, however, to Lessee's right to contest
such laws by applicable proceedings conducted in good faith and diligently
pursued), (b) Lessee shall cause any general contractor performing material work
at the Premises to name Lessor as an additional insured on such general
contractor's liability insurance, and (c) for work involving costs in excess of
$500,000 (which amount shall be increased or decreased every fifth Lease Year of
the Term based upon the net increase or decrease in the Index (as hereinafter
defined) during the immediately preceding five Lease Year period), site plans,
exterior design plans, and landscaping plans shall be submitted to and approved
by Lessor, which approval shall not be unreasonably withheld, conditioned, or
delayed (and Lessor's failure to give written notice of disapproval of a
submission within fifteen (15) days after receipt of same shall be deemed an
approval of such submission).

            (a)   ON-SITE AND OFF-SITE DETENTION AND RETENTION. Lessee agrees
      that it shall be solely responsible for all stormwater runoff and
      drainage, both on-site and off-site, from the use and operation of the
      Premises and all buildings, structures, and improvements now or hereafter
      constructed by

                                       -8-
<Page>

      Lessee thereon, and, other than as expressly provided below with respect
      to the Drainage Easement and the Drainage Facility, shall be solely
      responsible for providing, at Lessee's cost, any and all on-site or
      off-site retention or detention as may be required from time-to-time by
      any governmental regulatory authorities or as otherwise provided in this
      Lease. Lessee also agrees that it shall be solely responsible for
      obtaining, at Lessee's cost, any and all necessary governmental or other
      regulatory authority approvals or permits relating to the foregoing.

            Lessor warrants that the Drainage and Retention Pond Easement dated
      April 7, 1978, by and between Lessor and Governors Square, Inc., recorded
      at Official Records Book 894, Page 1025, public records of Leon County,
      Florida, and as amended and modified by that certain Amendment to Drainage
      and Retention Pond Easement dated April 1, 1980, recorded in the Public
      Records, Official Records Book 956, Page 2240, and as further amended by a
      Second Amendment to Drainage and Retention Pond Easement dated February
      28, 1992, recorded in the Public Records, Official Records book 1546, Page
      0644, and as supplemented by a Supplement to Drainage and Retention Pond
      Easement dated January 12, 1993, recorded in the Public Records, Official
      Records Book 1546, page 644, (the "DRAINAGE EASEMENT") is in full force
      and effect and has not been amended or modified except as stated herein.
      To the extent permissible under the terms of the Drainage Easement, Lessor
      assigns and grants to Lessee that part of the non-exclusive rights as are
      permitted under the Drainage Easement for the purpose of draining surface
      waters from the Premises into the Governors Square drainage facility (the
      "DRAINAGE FACILITY" or "STORMWATER POND") as described in the Drainage
      Easement, subject to the following conditions and restrictions.

            (b)   The maximum impervious surface to be drained from the Premises
      to the Stormwater Pond shall not exceed 13.31 acres of the Premises.

            (c)   If Tenant's use and the improvements made by Lessee to the
      Premises shall be determined by any governmental or other regulatory
      authority or reasonably determined by the grantee or grantee's successors
      under the Drainage Facility to accommodate runoff in excess of that
      permitted under Subsection b which may result from any Lessee's
      development of the Premises, then, at Lessee's cost, such alterations
      shall be completed and any necessary governmental approvals or permits
      shall be obtained before Lessee's development is commenced or if already
      commenced, then within a reasonable period of time after written notice to
      Lessee. The cost to be paid by Lessee shall include, without limitation,
      design, and engineering fees, cost of complying with any applicable
      environmental regulations and construction costs and all permitting fees,
      and the cost, if any, of obtaining any consent or permission from any
      party other than Lessor having an interest in the Drainage Facility or the
      Drainage Easement.

            (d)   Lessee shall not be responsible for performance of or
      contribution to maintenance of the Drainage Facility except (1) to the
      extent as

                                       -9-
<Page>

      may be required under the paragraph next above; and (2) to the extent that
      Lessor may be obligated or liable to any third party under the Drainage
      Easement or any governmental entity for such maintenance (provided Lessor
      shall not agree or consent to the increase or expansion of its existing
      obligations and liabilities with respect to such maintenance) and in
      either event, Lessee shall be responsible for discharging and satisfying
      Lessor's obligations and liability to the extent the same shall be
      required as a result of Lessee's use and occupancy of the Premises.

            (e)   In addition to the foregoing, if there is no public drainage
      way or easement available, then Lessor agrees that it will grant to Lessee
      a non-exclusive easement to the extent as may be reasonably necessary over
      and across property owned by Lessor which lies between the Premises and
      the Drainage Facility for the purpose of utilizing the drainage rights
      granted by Lessor herein to the extent that it may be necessary to
      transport that part of the stormwater allowed under this provision to be
      drained from the Premises to the Drainage Facility. The location, route,
      and type of construction of said easement area shall not unreasonably
      interfere with Lessor's use of Lessor's property over which the easement
      will run and shall be subject to the consent of the Lessor, provided,
      however, such consent shall not be unreasonably withheld, conditioned or
      delayed. Lessee acknowledges that any and all costs and expenses
      associated with the location of said easement, the construction,
      installation or utilization of the easement, or any other matters
      pertaining to said easement, shall be borne by the Lessee.

            (f)   INDEMNIFICATION AND INSURANCE IN CONNECTION WITH ON-SITE AND
      OFF-SITE DRAINAGE DETENTION AND RETENTION. Lessee agrees that it will
      indemnify and save Lessor harmless against any and all legal liabilities,
      penalties, damages, expenses, claims, and judgments arising from injury or
      damage or death to person or property occasioned by Lessee's or any of
      Lessee's employees', agents', or contractors' acts or failures to act with
      respect to the Drainage Facility, or on the Premises in connection with
      the operation of the Drainage Facility and this shall be construed to
      include, but not be limited to, claims or actions for air, water, or noise
      pollution, including, but not limited to claims or actions arising from
      surface water runoff or drainage from the Premises. Lessee shall cause the
      public liability insurance policies required under this Lease to include
      the Drainage Facility.

            (g)   MODIFICATION OR TERMINATION OF DRAINAGE EASEMENT AGREEMENT.
      Lessor shall not cause or permit the termination of the Drainage Easement
      Agreement and shall not modify or amend the Drainage Easement Agreement in
      any manner which may (i) adversely affect Lessee's or any of its
      subtenants' (or sub-subtenants') use of the Drainage Facilities, (ii)
      reduce Lessee's rights thereunder or (iii) increase Lessee's obligations
      or liabilities thereunder.

            (h)   MAGNOLIA PARK DISCHARGE. Magnolia Park Shopping Center, Ltd.
      ("MAGNOLIA PARK") leases from Lessor and/or affiliates of Lessor that

                                      -10-
<Page>

      certain property legally described on EXHIBIT "E" hereto (the "MAGNOLIA
      PARK PROPERTY") pursuant to a lease dated October 1, 1985, between Lessor
      and/or affiliates of Lessor, as lessor and Magnolia Park, as lessee, as
      amended by a first amendment, dated October 14, 1986 (the "MAGNOLIA PARK
      LEASE"). Lessor shall use, in Lessor's sole judgment, its best efforts to
      cause Magnolia Park to permanently cease and desist from discharging
      stormwater from the Magnolia Park Property onto the Premises, including,
      without limitation, any such stormwater being discharged onto the Premises
      through the 24 inch reinforced concrete pipe extending from the existing
      detention pond located on the north portion of the Magnolia Park Property
      or through the 36 inch reinforced concrete pipe located on the Magnolia
      Park Property and draining approximately 28 acres of land along Magnolia
      Drive and Park Avenue. In using Lessor's best efforts, if Lessor
      determines there is no unreasonable interference in the use of Lessor's
      adjoining property lying between Magnolia Park Property's drainage pond
      and Park Avenue, Lessor will make available to magnolia Park Property a
      limited easement to convey water discharged from the Magnolia Park
      Property holding pond to such drainage systems as may be in the
      right-of-way of Park Avenue. Notwithstanding the foregoing, if Lessor,
      through its efforts, is unable to bring about the change in the drainage
      as described above, Lessor shall not be liable to Lessee or have any
      further obligation to Lessee to accommodate or otherwise change the
      above-described drainage as that will be the sole obligation and expense
      of Lessee. Lessor will, however, continue to cooperate with Lessee in
      making available an alternate easement of Lessor's property so long as the
      easement or use of the easement does not in Lessor's reasonable judgment
      adversely impact or affect Lessor's remaining property.

            7.    REQUIREMENTS OF LAW. Lessee shall, at its own expense,
maintain material compliance with all present and future laws, ordinances,
requirements, orders, directions, rules, and regulations of the federal, state,
county, and city governments and of all other governmental authorities having
jurisdiction over the Premises or any part thereof, and all of their respective
departments, bureaus, and officials, whether the same are in force at the
commencement of the Term or may in the future be passed, enacted, or directed
(collectively, "LAWS AND REGULATIONS") to the extent such compliance is within
the control of Lessee, and Lessee shall use commercially reasonable efforts to
require that subtenants of the Premises maintain material compliance with all
applicable Laws and Regulations. Without limiting the generality of the
foregoing, Lessee or its subtenants shall procure, pay for, and keep in effect
all permits, licenses, certificates, or other authorizations required in
connection with any buildings or improvements erected on the Premises. Lessor
shall cooperate with Lessee therein at Lessee's cost. Notwithstanding the
foregoing, Lessee and its subtenants may contest any Laws and Regulations or the
application thereof to the Premises or any buildings or improvements located
thereon by appropriate proceedings diligently pursued and in the name of Lessor
if required by any Laws and Regulations and may fail or refuse to comply with
any contested Laws and Regulations during the pendency of such contest, provided
that: (a) neither the Premises nor any part thereof nor interest therein would
be in any imminent danger of being sold or forfeited; and (b) all expenses
incurred in connection with such

                                      -11-
<Page>

proceedings shall be paid by Lessee. Lessor shall not unreasonably withhold its
consent to, and shall join in, all easements, dedications or rights-of-way to
public authorities and/or utility companies. As of the date of this Lease,
Lessor has not received notice of any violation by or at the Premises by any
Laws and Regulations other than violations which have theretofore been
corrected.

            8.    MECHANICS' AND MATERIALMEN'S LIENS. If at any time during the
Term, any lien or claim for lien of a mechanic, materialman or laborer shall be
filed against the Premises or any part thereof for any work, labor, or materials
furnished or claimed to have been furnished to, or pursuant to agreement with
Lessee, any agent or subtenant of Lessee, or any agent, subtenant, contractor,
or subcontractor of any of them (such work, labor, or materials being "LESSEE'S
WORK"), Lessee shall, at Lessee's cost, within thirty (30) days after the filing
thereof and notice of such filing, either (a) cause the lien to be discharged of
record by payment, deposit, bond, order of court of competent jurisdiction,
appropriate legal proceedings or otherwise; or (b) cause a title insurer of
national recognition to insure Lessor without exception for loss or damage to
Lessor's interest in the Premises that may be occasioned by such lien; or (c)
deposit with a Leasehold Mortgagee or Lessor cash, a letter of credit, a surety
bond or other reasonable security in an amount at least equal to one hundred
percent (100%) of such lien. If any action or proceeding is brought against
Lessor or any agent of Lessor in connection with any Lessee's Work or any lien
or claim for lien for any Lessee's Work, Lessee either shall, at its cost, or
shall cause the responsible subtenant, at such subtenant's cost, to defend the
same on behalf of Lessor or any such agent, as the case may be, to the extent
allowed by law, and to pay the amount of any award or judgment made in such
action or proceeding, prior to the issuance of any execution against Lessor or
the Premises, or both, to satisfy such award or judgment.

            Lessee is not the agent of Lessor for the construction, alteration,
or repair of any buildings or improvements on the premises by Lessee during the
term of this Lease, and all contractors, materialmen, mechanics, and laborers
are hereby charged with notice that they must look to Lessee only for the
payment of any charge for work done or materials furnished on the Premises
during the term of this Lease.

            9.    CASUALTY INSURANCE.

            9.1.  FIRE AND EXTENDED COVERAGE. Lessee, at its own expense, will
at all times keep the buildings and improvements on the Premises insured against
loss by fire, with extended coverage and such other coverage as is customarily
maintained by owners of like properties in Tallahassee, Florida, in each case in
an amount sufficient to prevent Lessor and Lessee from becoming co-insurers
under provisions of applicable policies of insurance, all such policies shall be
in an amount not less than ninety percent (90%) of the full replacement cost of
all buildings and improvements located from time to time on the Premises,
exclusive of footings and foundation.

            9.2.  BOILER INSURANCE. Lessee, at its own expense, will also
maintain, to the extent available, explosion insurance in respect to any steam
and pressure boilers and similar apparatus located on the Premises in customary
amounts.

                                      -12-
<Page>

            9.3.  INSURANCE REQUIREMENTS.

            (a)   Except as otherwise provided in this Paragraph 9.3, all
      insurance provided by Lessee as required by this Paragraph 9 and by
      Paragraph 12 shall be procured from companies licensed to transact
      business in the State of Florida. Lessor shall be named as an additional
      insured on all policies of liability insurance. Certificates evidencing
      such insurance shall be delivered to Lessor upon the execution of this
      Lease, and renewals thereof shall be delivered to Lessor at least thirty
      (30) days prior to the expiration dates of the respective policies. All
      such policies shall contain a provision that they shall not be cancelled
      or materially modified without at least thirty (30) days (or such other
      time period as may from time to time be customary under similar policies)
      prior notice to Lessor. Any and all insurance required under this Lease
      may be provided by blanket insurance policies covering the Premises as
      well as other properties, provided such blanket insurance policies are
      reasonably acceptable to Lessor. Notwithstanding any of the foregoing, but
      subject to the provisions of Paragraph 9.3(b) below, where a subtenant of
      Lessee provides insurance through a program of self-insurance, such
      self-insurance shall be deemed to fulfill the requirements hereof.

            (b)   Lessee (or its subtenant, if applicable) may self-insure any
      of the insurance obligations hereunder during any period of time in which
      the net worth of the insuring party (or a guarantor thereof) exceeds One
      Hundred Million Dollars ($100,000,000.00), which amount shall be adjusted
      on the twenty-first (21st) anniversary of the date of this Lease and
      thereafter on each subsequent fifth anniversary during the Term of this
      Lease, by increasing such amount so as to reflect the percentage increase
      in the Consumer Price Index for Urban Wage Earners and Clerical Workers,
      U.S. City Average, All Items (the "INDEX") published by the Bureau of
      Labor Statistics of the United States Department of Labor over the most
      recently reported monthly index as of the date of this Lease. If Lessee or
      any subtenant intends to self-insure any of the insurance obligations
      hereunder as provided above, such Lessee or subtenant must first notify
      Lessor of Lessee's or subtenant's intentions and furnish to Lessor and
      keep on file with Lessor a current set of financial statements showing a
      net worth (assets minus liabilities) of the Lessee or subtenant, as
      applicable, of not less than $100,000,000.00 as of the ending balance
      sheet date. Such financial statements shall include a balance sheet,
      income statement and statement of cash flow; shall be prepared in
      accordance with generally accepted accounting principles ("GAAP"); and
      shall be accompanied by an unqualified report from a firm of nationally
      recognized independent auditors based on an audit performed in accordance
      with generally accepted auditing standards ("GAAS"). For purposes of this
      section, "Current Set of Financial Statements" shall mean financial
      statements with an ending balance sheet date within the last sixteen (16)
      months. If at any time the net worth of Lessee or subtenant utilizing this
      provision is less than the required amount,

                                      -13-
<Page>

      such Lessee or subtenant shall immediately obtain the required insurance
      coverage as otherwise required in this Lease or be in default of this
      Lease.

            9.4.  INSURANCE PROCEEDS. In the event of loss under any such policy
or policies, Lessee may, at its option, proceed with the repair, if and to the
extent proceeds are received by Lessee, restoration, or replacement of the
damaged or destroyed buildings and improvements in accordance with Paragraph 10
hereof; or, in the alternative, Lessee may remove the debris and grade the site.
Subject to the terms of any first Leasehold Mortgage, the insurance proceeds
shall be paid to a nationally recognized title insurance company or trust
company, as escrowee, for application to such repair, restoration, or
replacement as same progresses, or, if the aggregate insurance proceeds are less
than Two Hundred Thousand Dollars ($200,000.00) and there is no uncured Event of
Default hereunder, such proceeds shall be paid directly to Lessee to pay the
cost of repair, restoration, or replacement. Upon the completion of such repair,
restoration, or replacement, free from all liens of mechanics and materialmen
and others, any surplus of insurance monies shall be paid to Lessee or to its
first Leasehold Mortgagee, if required under such mortgagee's mortgage. Lessee's
first Leasehold Mortgagee at the time of any loss under any insurance policy or
policies maintained by Lessee hereunder shall be entitled to participate in the
settlement of any insurance claim to the extent provided in such first Leasehold
Mortgagee's loan documents.

            10.   DAMAGE OR DESTRUCTION.

            10.1. RESTORATION OR REPLACEMENT. Except as provided in Paragraph
10.2, in the event of damage to or destruction of the buildings or improvements
on the Premises by fire or other casualty, Lessee shall give Lessor and any
Leasehold Mortgagee prompt notice thereof and shall promptly, at its own expense
(or with the proceeds of insurance), (a) repair, restore, or rebuild the
existing buildings and improvements or construct other improvements and
buildings of equal or greater value, or (b) at Lessee's option, remove all
debris and grade the site; provided that, if Lessee elects to remove all debris
and grade the site pursuant to clause (b) above, this Lease shall terminate
ninety (90) days after completion thereof and Lessee shall be entitled to retain
any insurance proceeds in excess of the cost of such removal and grading. In the
event a fire or other casualty damages or destroys the buildings or improvements
on the Premises, unless due to any act or omission of Lessor, its agents or
employees, Lessee shall not be entitled to any abatement of Basic Rent or
Overage Rent during the period such damage or destruction is being repaired or
restored.

            10.2. RIGHTS OF LEASEHOLD MORTGAGEE. Notwithstanding the provisions
of Paragraphs 9 or 10, if the terms of a Leasehold Mortgage shall require that
any insurance proceeds be paid to the holder of the Leasehold Mortgage for
application to amounts owing under the Leasehold Mortgage, then (a) such
proceeds shall be paid to such holder to the extent required under the Leasehold
Mortgage; and (b) Lessee's obligations for repair, restoration, or rebuilding
under Paragraph 10.1 shall be limited to such work as can be reasonably
accomplished with the amount of the insurance proceeds, if any, available to
Lessee after application of proceeds under the Leasehold Mortgage.

                                      -14-
<Page>

            10.3. TERMINATION. Notwithstanding any provision of this Lease to
the contrary, if (a) the amount of the proceeds, if any, paid to the holder of
the Leasehold Mortgage under Paragraph 10.2 is equal to fifteen percent (15%) or
more of the amount required to complete any repair, restoration, or rebuilding
necessitated by fire or other casualty as estimated by an independent engineer
or architect reasonably satisfactory to Lessor and Lessee (an "ESTIMATOR"); or
(b) the amount which would be required to complete any repair, restoration, or
rebuilding necessitated by fire or other casualty as estimated by an Estimator
is equal to or greater than 30% of the full replacement cost of the buildings,
structures and improvements on the Premises, then, in either event, Lessee
shall have the option to terminate this Lease upon written notice to Lessor (a
"TERMINATION NOTICE") given not later than the date ninety (90) days after the
date of the fire or other casualty. If a Termination Notice shall be given, then
this Lease shall terminate on the date in the Termination Notice, but not later
than one hundred eighty (180) days after the giving of the Termination Notice,
and, subject to the rights of the holder of the Leasehold Mortgage under
Paragraph 10.2, Lessee shall at its option (a) assign to Lessor all of Lessee's
right in and to any insurance proceeds relating to the buildings, structures or
improvements, or (b) remove all debris and grade the site in which event Lessee
shall be entitled to retain such insurance proceeds. Prior to such termination,
Lessee shall, at the option of Lessor and upon not less than thirty (30) days
prior written notice, remove all improvements from the Premises (and provide
Lessor with certification from appropriately licensed engineers that everything,
including foundations and underground improvements installed by Lessee, has been
removed and that there is no known environmental contamination or other
condition that was created during Lessee's tenancy that will prevent Lessor or
its tenants from utilizing the Premises for any legally permitted commercial
purposes. Lessee shall be entitled to reimbursement of the cost of removal and
the foregoing engineering services from any insurance proceeds which would
otherwise be paid to Lessor pursuant to this paragraph.

            11.   CONDEMNATION.

            11.1. TOTAL CONDEMNATION. If the whole of the Premises shall be
taken or condemned by a competent authority for any public or quasi-public use
or purpose, or if such a substantial part thereof is taken such that, in
Lessee's reasonable judgment, the part not so taken cannot be restored so as to
permit Lessee the use of the Premises in substantially the same manner and on
substantially the same economic basis as immediately preceding such
condemnation, then, subject to the terms of any first Leasehold Mortgage, this
Lease shall, at Lessee's option, terminate as of the date upon which possession
of the affected portion of the Premises passes to such authority, or the date on
which the Lessee is actually required to vacate the Premises, whichever is
later.

            11.2. DISTRIBUTION OF AWARD.

            (a)   In the event of a taking which results in the termination of
     this Lease, the net award shall be apportioned between Lessor and Lessee as
     provided in Subsection (b) of this Paragraph 11.2, with Lessee's portion
     thereof being paid to the Leasehold Mortgagee to the extent of said
     Leasehold Mortgagee's interest therein under the terms of said mortgage.

                                      -15-
<Page>

            (b)   Upon termination of the Lease under Paragraph 11.1 or upon
     completion of such repair and restoration or replacement under Paragraph
     11.3, as the case may be, the balance of the award, if any, shall be
     divided between Lessor and Lessee in the ratio, as nearly as practicable,
     which (i) the then value of Lessor's interest in the Lease (based upon the
     then present value of the rentals payable hereunder through the then
     remaining balance of the Term) plus the then present value of Lessor's
     residual interest in the Premises and Improvements bears to (ii) the then
     present value of Lessee's interest under the Lease (including the value of
     the leasehold estate, which shall include the value of the ownership of the
     Improvements during the Term, and of the right to the use and enjoyment of,
     and the income from, the Premises and Improvements through the then
     remaining balance of the Term), in each case determined by appraisal as
     provided in Paragraph 21.

            11.3. PARTIAL CONDEMNATION RESTORATION OR REPLACEMENT OF PREMISES.

            (a)   If only a part of the Premises shall be so taken or condemned,
     and Lessee is not entitled to terminate this Lease pursuant to Paragraph
     11.1 or Lessee is entitled to terminate this Lease pursuant to Paragraph
     11.1, but does not elect to do so, and

                  (i)   the part not so taken can be restored so as to permit
            Lessee, in Lessee's reasonable judgment, to use the Premises in the
            same manner and on the same economic basis as immediately preceding
            such condemnation, this Lease shall remain in full force and effect
            and the net award shall be utilized, apportioned and paid in
            accordance with Subsection (b) of this Paragraph 11.3 and Subsection
            (b) of Paragraph 11.2.

                  (ii)  in all other cases, this Lease shall remain in full
            force and effect, but the Basic Rent shall be equitably reduced
            according to the Lessee's ability to use the remaining Premises and
            the net award shall be utilized, apportioned and paid in accordance
            with Subsection (b) of this Paragraph 11.3 and Subsection (b) of
            Paragraph 11.2.

            (b)   Subject to the terms of any first Leasehold Mortgage, in the
     event of a partial taking which shall not result in termination of this
     Lease, the net award shall be paid to a nationally recognized title
     insurance company or trust company, as escrowee, to pay the cost of repair
     and restoration or replacement of the Premises and its buildings and
     improvements, or, if the net award is less than Two Hundred Thousand
     Dollars ($200,000.00) and there is no uncured Event of Default hereunder,
     such award shall be paid directly to Lessee to pay the cost of repair and
     restoration or replacement. In such event, Lessee, at Lessee's own expense,
     will commence and complete the repair, restoration or replacement of the
     Premises to the extent reasonably practical as provided in this Paragraph,
     but only to the extent of the amount of proceeds

                                      -16-
<Page>

     paid by the condemning authority after reduction for costs and expenses
     paid or incurred by Lessee in connection with the taking or condemnation.

            11.4. REMAINING PROPERTY. Any portion of the Premises remaining
after a taking of the nature specified in Paragraph 11.1 hereof shall be
appraised pursuant to the appraisal procedures provided in Paragraph 21, but in
no event shall the appraised value of the remainder be more than an amount which
when added to the award for the partial taking and severance damages, if any, to
the remainder will exceed the value of the entire Premises immediately prior to
the taking. Within twenty (20) days after completion of the appraisal process,
Lessor shall pay Lessee the amount which Lessee would have received in
accordance with the provisions of the last sentence of Paragraph 11.2(b)hereof
had the remaining portion of the Premises been sold for a price equal to the
appraised value thereof, with Lessee's portion thereof being paid to the
Leasehold Mortgagee to the extent of said Leasehold Mortgagee's interest therein
under the terms of its mortgage.

            11.5. RIGHTS OF LEASEHOLD MORTGAGEE. Notwithstanding any of the
foregoing provisions of Paragraph 11, if the terms of a Leasehold Mortgage shall
require that any award be paid to the holder of the Leasehold Mortgage for
application to amounts owing under the Leasehold Mortgage, then (a) such award
shall be paid to such holder to the extent required under the Leasehold
Mortgage; and (b) Lessee's obligations for repair, restoration, or rebuilding
under Paragraph 11.3 shall be limited to such work as can be reasonably
accomplished with the amount of the award, if any, available to Lessee after
application of the award under the Leasehold Mortgage. The balance of any award
after application under the Leasehold Mortgage shall be applied as provided in
this Paragraph 11.

            12.   PUBLIC LIABILITY AND RENTAL INSURANCE.

            12.1. LIABILITY INSURANCE. Lessee, at its own expense, shall provide
and keep in force for the benefit of Lessor and Lessee, comprehensive general
public liability insurance, liability insurance, to the extent available,
insuring against liability for bodily injury, death, and property damage in
minimum amounts of not less than Two Million Dollars ($2,000,000.00) in respect
to injuries to or death of any one person, not less than Two Million Dollars
($2,000,000.00) in respect to injuries to or death of more than one person in
any one occurrence, and not less than Five Hundred Thousand Dollars
($500,000.00) in respect to damage to property. The foregoing limits of
insurance shall be reviewed and adjusted periodically by Lessee upon Lessor's
written request (but not more than one time in any five year period) so that the
amounts of insurance maintained are comparable to that maintained on properties
comparable in size, operation, and location to the Premises or, as to such
portion of the Premises which has been subleased to subtenants of national or
regional recognition, are comparable with the insurance maintained by such
subtenants on properties of comparable size and operation. Any and all such
insurance may be provided by blanket insurance policies covering the Premises as
well as other properties or by subtenants' self-insurance programs as described
in Paragraph 9.3 above. Lessee shall furnish Lessor with a certificate of such
insurance.

            12.2. LOSS OF RENT INSURANCE. To the extent available, Lessee, at
its own expense, shall provide and keep in force loss of rental value insurance
in an amount

                                      -17-
<Page>

equivalent to at least twelve (12) months Tenant Rent (based upon the
immediately preceding Operating Year). Lessee shall furnish Lessor with a
certificate of such insurance.

            13.   INDEMNIFICATION BY LESSEE; WAIVER OF SUBROGATION.

            13.1. INDEMNIFICATION BY LESSEE. Lessee will protect, indemnify, and
save harmless Lessor from and against all liabilities, obligations, claims,
damages, penalties, causes of action, costs and expenses (including, without
limitation, reasonable attorneys' fees and expenses) imposed upon, incurred by,
or asserted against Lessor by reason of (a) any accident, occurrence, injury to,
or death of persons (including workmen) or loss of or damage to property
occurring during the Term on or about the Premises or any part thereof or the
adjoining sidewalks, curbs, vaults and vault space, if any, streets or ways, (b)
any use, non-use, or condition of the Premises or any part thereof or the
adjoining sidewalks, curbs, vaults or vault space, if any, streets or ways
during the Term, (c) performance of any labor or services or the furnishing of
any materials or other property in respect of the Premises or any part thereof
during the Term, or (d) any act or action brought or asserted by any party,
including any governmental agency, for anything alleged to have occurred or
originated on the Premises during the Term, including but not limited to any
claim for wrongful discharge of stormwater or any substance that may be alleged
to result in harm to the environment during the term, except to the extent any
of the foregoing is caused by any act or omission of Lessor or its partners,
principals, or beneficiaries or their respective agents, officers, directors,
shareholders, employees, servants, contractors, subcontractors, successors, or
assigns. In case any action, suit, or proceeding is brought against Lessor by
reason of any such occurrence for which Lessee has indemnified Lessor, Lessee,
upon Lessor's request, shall, at Lessee's expense, resist and defend such
action, suit, or proceeding. The obligations of Lessee under this Paragraph
arising by reason of any such occurrence taking place during the Term of this
Lease shall survive any termination of this Lease. Lessor shall promptly notify
Lessee of any facts of which Lessor becomes aware which could give rise to a
claim covered by the indemnification contained in this Paragraph 13.1. Lessee
shall have the right to appoint counsel to defend any claim covered by the
indemnification contained in this Paragraph 13.1 and Lessor shall cooperate with
Lessee in defending any such claim. Lessor shall not settle any such claim
without the prior written consent of Lessee, which consent shall not be
unreasonably withheld, conditioned or delayed, and Lessor shall not unreasonably
withhold, condition or delay its consent or approval of any settlement of such
claim proposed by Lessee.

            13.2. WAIVER OF SUBROGATION. Notwithstanding any other provision of
this Lease to the contrary but subject to the other provisions of this
Paragraph, Lessor and Lessee each hereby waive all rights of action against the
other for loss or damage to the Premises, any improvements located thereon or
any part thereof, or any property of Lessee in such improvements, which loss or
damage is insured or is required pursuant to this Lease to be insured by valid
and collectible insurance policies. Each policy of insurance required to be
maintained by Lessee under the terms of this Lease shall be endorsed with a
clause providing that any release from liability or waiver of claim for recovery
entered into in writing by the insured or any additional insured prior to any
loss or damage shall not affect the validity of such policy or the right of any
insured or additional insured to recover thereunder. The foregoing waiver of
subrogation shall not be effective unless the waiver can be obtained

                                      -18-
<Page>

without additional cost or premium to the insured party (unless, if a premium is
due, the other party pays or reimburses the insured party the amount of such
premium).

      14.   MORTGAGES OF THE LEASEHOLD; SUBTENANTS' RIGHTS TO DEAL WITH LESSOR.

      14.1. RIGHT TO MORTGAGE LEASEHOLD. Notwithstanding anything to the
contrary contained elsewhere in this Lease but subject to the conditions
contained in this Paragraph 14.1, Lessee (including, without limitation, any
subtenant, as to such subtenant's interest in a portion of the Premises) shall
have the unlimited right, at any time and from time to time, to mortgage,
hypothecate, collaterally assign, place any lien, security interest or other
encumbrance on or otherwise encumber all or any part of Lessee's right, title,
or interest in this Lease, including without limitation, all or any part of
Lessee's interest in any buildings, structures or improvements now or hereafter
located on the Premises. Any debt or obligation secured by any mortgage, trust
deed, collateral assignment, security interest, lien, or other encumbrance on
any such right, title, or interest of Lessee or Lessee's subtenant is referred
to herein as a "LEASEHOLD MORTGAGE" and the holder thereof, a purchaser at
foreclosure thereof, or transferee, and any successor or assign of any such
holder or purchaser or any transferee under a deed-in-lieu of foreclosure, is
referred to herein as a "LEASEHOLD MORTGAGEE." Lessee shall from time to time
furnish Lessor with copies of all executed Leasehold Mortgage documents,
including the notes, the Leasehold Mortgages, and all other agreements securing
the notes which relate to this Lease. The rights of any Leasehold Mortgagee
under this Lease shall inure to the benefit of its successors and assigns and to
any Purchaser at a foreclosure sale. Lessor shall not be obligated to join in
any such Leasehold Mortgage and any such Leasehold Mortgage shall not
encumber Lessor's fee simple interest in the Premises.

            14.2. RIGHTS OF LEASEHOLD MORTGAGEE. If at any time during the term
there shall be any Leasehold Mortgage, then notwithstanding anything to the
contrary contained herein, so long as such Leasehold Mortgage shall remain
unsatisfied of record, the following provisions shall apply, and any pertinent
provisions of this Lease shall be deemed to be amended and modified to the
extent necessary to provide as follows:

            (a)   In the absence of Lessee's default not cured within any
      applicable notice and cure period, there shall be no cancellation,
      surrender, amendment, acceptance of surrender, or modification of this
      Lease or attornment of any subtenant of the Premises to Lessor without the
      prior written consent of each Leasehold Mortgagee (given or denied in such
      Leasehold Mortgagee's discretion) and, absent the written consent of each
      Leasehold Mortgagee, any such cancellation, surrender, amendment,
      acceptance of surrender, or modification of this Lease and any such
      attornment shall be null and void and of no force or effect. In the event
      of a default by Lessee hereunder, the Lessor's right to terminate this
      Lease as provided in Paragraph 17 hereof, shall be subject to the rights
      of each Leasehold Mortgagee under this Paragraph 14, including, without
      limitation, each Leasehold Mortgagee's right to notice of any default
      hereunder by Lessee, its right to cure any such default, and each first
      Leasehold Mortgagee's right to enter into a new or direct lease with
      Lessor.

                                      -19-
<Page>

            (b)   If Lessee or any Leasehold Mortgagee shall notify Lessor in
      writing of the Leasehold Mortgagee's name and address, Lessor, on serving
      on Lessee any notice of default, termination, or any other notice pursuant
      to the provisions of, or with respect to, this Lease, shall at the same
      time serve one duplicate counterpart of such notice on each such Leasehold
      Mortgagee by Registered or Certified Mail, Postage Prepaid and Return
      Receipt Requested, addressed to each such Leasehold Mortgagee at the
      address registered with Lessor, and no notice by Lessor to Lessee
      hereunder shall be deemed to be effective against such Leasehold Mortgagee
      unless and until such duplicate counterpart thereof has been so served on
      each such Leasehold Mortgagee.

            (c)   In the event that Lessee shall be in default hereunder, each
      Leasehold Mortgagee shall have the right, within thirty (30) days after
      the expiration of the notice or grace periods provided in Paragraph 16, to
      remedy any financial obligation of Lessee under this Lease or to remedy or
      commence to remedy any nonfinancial default under this Lease, and Lessor
      shall accept such performance by or at the instigation of a Leasehold
      Mortgagee as if the same had been performed by Lessee. Furthermore, and
      notwithstanding anything else contained in this Lease to the contrary, no
      default or "Event of Default" (as hereafter defined) by Lessee in
      performing work required to be performed, acts to be done, or conditions
      to be remedied, shall be deemed to exist, if all financial obligations of
      the Lessee, including but not limited to, payment of Basic Rent,
      Impositions, and insurance, are paid current by a Leasehold Mortgagee,
      provided that no default or Event of Default shall be deemed to exist if
      any payee either refuses to accept such payment or is enjoined by any
      court or governmental authority from accepting such payment, and steps
      (which may include the commencement of a foreclosure action) in good
      faith, shall have been reasonably promptly commenced by a Leasehold
      Mortgagee to cause all of such defaults or Events of Default which are
      reasonably susceptible of being cured by someone other than Lessee to be
      cured, and such cure is thereafter prosecuted to completion with diligence
      and continuity and all of such defaults or Events of Default which are
      reasonably susceptible of being cured by someone other than Lessee are
      ultimately cured within a reasonable time period under the circumstances.

            (d)   Notwithstanding anything else contained in this Lease to the
      contrary, including, without limitation, a Leasehold Mortgagee's right to
      cure Lessee defaults under this Lease, no Leasehold Mortgagee shall have
      any obligations or liabilities under this Lease whatsoever. Under no
      circumstances shall a Leasehold Mortgagee or any purchaser at a
      foreclosure sale of the Leasehold Mortgage or any transferee under a
      deed-in-lieu of foreclosure be subject to any personal liability under
      this Lease, and the Lessor, for itself and its successors and assigns,
      hereby acknowledges and agrees that the Lessor hereunder shall have no
      personal recourse against any Leasehold Mortgagee or any such purchaser or
      transferee, its successors or assigns, either before or

                                      -20-
<Page>

      after such Leasehold Mortgagee becomes an owner of the leasehold estate
      created hereby.

            (e)   Notwithstanding anything else in this Lease to the contrary,
      if an event or events ("TERMINATION EVENT") shall occur which shall
      entitle Lessor to terminate this Lease or Lessee's right to possession
      hereunder and (1) the applicable notice or grace period set forth in
      Paragraph 14.2(c) has not expired, or (2) such Termination Event arises
      from an Event of Default under Paragraphs 16.1(a)-16.1(f), or (3) this
      Lease is rejected in a bankruptcy or similar proceeding involving Lessee,
      or (4) if a first Leasehold Mortgagee has foreclosed the leasehold estate
      created by this Lease, accepted an assignment in lieu of foreclosure, or
      such leasehold estate has been sold to a purchaser at a foreclosure sale,
      such first Leasehold Mortgagee or such purchaser shall thereupon have the
      option to obtain a new or direct Lease with Lessor in accordance with and
      on the following terms and conditions:

                  (i)   Within thirty (30) days after the written request of
            such Leasehold Mortgagee (or purchaser), Lessor shall enter into a
            new or direct Lease of the Premises with such Leasehold Mortgagee
            (or purchaser), or either of their designees, as provided in the
            following subparagraph (2) ("NEW LESSEE").

                  (ii)  Such new or direct Lease shall be entered into at the
            reasonable cost of the New Lessee, shall be effective as of the date
            of termination of this Lease, and shall be for the remainder of the
            Term and at the Basic Rent and Overage Rent and on all the
            agreements, terms, covenants, and conditions of this Lease. On the
            execution of such new or direct Lease, the New Lessee shall pay any
            and all sums which would, at the time of the execution thereof, have
            been due under this Lease but for the termination as aforesaid, and
            shall otherwise fully remedy or agree in writing to remedy any
            existing defaults under this Lease of which such Leasehold Mortgagee
            was previously notified pursuant to Paragraph 14.2(b) hereof, other
            than any default which is not reasonably susceptible of being cured
            by such New Lessee, which such default(s) shall be, and shall be
            deemed to be, waived by Lessor. The New Lessee shall pay all
            necessary and reasonable expenses, including reasonable counsel fees
            and court costs, incurred in terminating this Lease and in
            recovering possession of the Premises, as well as in the
            preparation, execution, and delivery of such new or direct Lease.

                  (iii) If a first Leasehold Mortgagee declines to enter into a
            new or direct Lease with Lessor as provided above, the provisions of
            this Subsection (e) shall apply to a second Leasehold Mortgage.

                                      -21-
<Page>

                  (iv)  In the event either the first or the second Leasehold
            Mortgagee enters into a new or direct Lease with Lessor in
            accordance with the terms and conditions hereof, Lessee shall
            release Lessor from any liability to Lessee hereunder and Lessor
            shall release Lessee from any liability to Lessor hereunder.

            Nothing contained herein shall release the Lessee named in this
Lease from any of its obligations under this Lease which may not have been
discharged or fully performed by a New Lessee, nor shall Lessee be released from
any obligations under any Leasehold Mortgage or other documents evidencing or
securing same.

            (f)   Each Leasehold Mortgagee, at its option, shall be named as an
      insured or loss payee, as requested, as its interest may appear, in all
      policies of insurance maintained by Lessee covering the Premises or the
      buildings and improvements located thereon.

            (g)   Upon the written request of any subtenant of Lessee or any
      leasehold mortgagee of any such subtenant, such subtenant or leasehold
      mortgagee or both, as applicable, shall be entitled to the rights and
      remedies accorded to a Leasehold Mortgagee, as described in Paragraphs
      14.2(b) through (e) above and Paragraph 14.3 below, but only with respect
      to that portion of the Premises being leased by the subtenant from Lessee.

            14.3. AMENDMENTS REQUIRED BY LEASEHOLD MORTGAGEE. Upon the written
request of Lessee from time to time, Lessor agrees to execute such reasonable
modifications or amendments of this Lease as shall be required by any Leasehold
Mortgagee or by any lender to which Lessee or a subtenant has made application
for a Leasehold Mortgage; provided that Lessee shall reimburse Lessor for any
costs, including reasonable attorneys' fees, incurred in connection with any
such modification or amendment, and provided further that in no event shall any
such modification (i) materially affect the rights of Lessor under this Lease,
(ii) materially affect the value of Lessor's interest in the Premises as
encumbered by this Lease, (iii) require Lessor to join in any such Leasehold
Mortgage, or (iv) extend any grace or cure periods provided herein. Lessor shall
not unreasonably withhold, condition, or delay any such request for such
modification or amendment.

            14.4. AGREEMENT BETWEEN LESSOR AND LEASEHOLD MORTGAGEE. Within ten
(10) days after Lessor's receipt of written request from Lessee or any Leasehold
Mortgagee, Lessor agrees to execute and deliver in recordable form any agreement
or instrument required by any Leasehold Mortgagee to confirm the rights of such
Leasehold Mortgagee under this Paragraph 14.

            14.5. LEASEHOLD MORTGAGEE INTENDED THIRD PARTY BENEFICIARY. Lessor
and Lessee acknowledge and agree that the provisions of this Paragraph 14 are
included for purposes of inducing Leasehold Mortgagees to finance the Premises
and improvements to be located thereon; and such provisions are intended for the
benefit of any and all Leasehold

                                      -22-
<Page>

Mortgagees and may be relied upon and enforced by any Leasehold Mortgagee as a
third party beneficiary of such provisions.

            15.   SUBLETTING AND ASSIGNMENT.

            15.1. SUBLETTING. The parties acknowledge that Lessee may, without
the consent of Lessor, sublease portions of the Premises and the buildings,
structures and improvements located thereon from time to time during the Term to
subtenants who will carry on lawful activities permitted under this Lease.
Lessee shall be entitled to enter into subleases of any portions of the Premises
and/or the buildings, structures and improvements located thereon from time to
time during the term, provided that in no event shall the term of any sublease
or any renewal option contained therein extend beyond the expiration of the
Term.

            15.2. ASSIGNMENT. Provided no Event of Default has occurred and is
continuing, Lessee may, without the consent of Lessor, at any time and from time
to time, sell, assign, or otherwise transfer all or any part of its right,
title, or interest in this Lease, including, without limitation, all or any part
of its interest in any subleases and/or all of its interest in any buildings,
structures and improvements located on the Premises; provided, that, except as
otherwise provided in Subsection 14.2(d), the proposed grantee, assignee, or
transferee (collectively, "TRANSFEREE"), agrees in writing to perform all of the
Lessee's covenants, agreements, and obligations under this Lease arising
subsequent to such assignment and, provided further, that a copy of such
instrument is delivered to Lessor within ten (10) days after the effective date
of such assignment; and upon such assignment, Lessee shall be relieved of all
liability and obligations which arise or accrue after the date of the
assignment.

            16.   DEFAULT.

            16.1. EVENT OF DEFAULT. Lessee agrees that any one or more of the
following events shall be considered "EVENTS OF DEFAULT" as said term is used
herein, that is to say, if

            (a)   Lessee shall be adjudged an involuntary bankrupt, or a decree
      or order approving, as properly filed, a petition or answer filed against
      Lessee asking reorganization of Lessee under the Federal bankruptcy laws
      as now or hereafter amended, or under the laws of any state, shall be
      entered, and any such decree or judgment or order shall not have been
      vacated or set aside within ninety (90) days from the date of the entry or
      granting thereof; or

            (b)   Lessee shall file or admit the jurisdiction of the court and
      the material allegations contained in any petition in bankruptcy or any
      petition pursuant or purporting to be pursuant to the Federal bankruptcy
      laws as now or hereafter amended, or Lessee shall institute any proceeding
      or shall give its consent to the institution of any proceeding for any
      relief of Lessee under any bankruptcy or insolvency laws or any laws
      relating to the relief of debtors, readjustment of indebtedness,
      reorganization, arrangements, composition, or extension; or

                                      -23-
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            (c)   Lessee shall make any assignment for the benefit of creditors
      or shall apply for or consent to the appointment of a receiver for Lessee
      or any of the property of Lessee; or

            (d)   The Premises are levied upon by any revenue officer or similar
      officer and such levy shall not have been set aside within ninety (90)
      days from he date thereof; or

            (e)   A decree or order appointing a receiver of the property of
      Lessee shall be made and such decree or order shall not have been vacated
      or set aside within ninety (90) days from the date of entry or granting
      thereof; or

            (f)   Lessee shall abandon the Premises or vacate the same during
      the Term for a period in excess of ninety (90) days during any six month
      period, except during period of construction or restoration during which
      Lessee makes all payments due hereunder; or

            (g)   Lessee shall default in any payment of Basic Rent, Overage
      Rent or in any other payment required to be made by Lessee hereunder when
      due as herein provided, and any such default shall continue for thirty
      (30) days after receipt by Lessee of written notice thereof; or

            (h)   Lessee shall default in keeping, observing, or performing any
      of the other covenants or agreements herein contained to be kept,
      observed, and performed by Lessee, and such default shall continue for
      thirty (30) days after receipt by Lessee of notice thereof in writing;
      provided that if such default is not reasonably susceptible of being cured
      within said thirty (30) day period and Lessee commences cure within such
      thirty (30) day period and thereafter diligently and continuously
      prosecutes such cure, Lessee shall not be deemed in default.

                  Subject to the provisions of Paragraph 16.2, if Lessee fails
to cure any default within the applicable notice and grace period, Lessor (i)
may, but shall have no obligation to, exercise the remedy of curing the default
on behalf of and at the cost of Lessee, and (ii) may, subject to the provisions
of Paragraphs 14 and 18.1 of this Lease, exercise all remedies for an Event of
Default under Paragraph 17 of this Lease. However, if Lessee cures the default
within the applicable notice and grace period (or, where permitted, commences to
cure such default as provided above) and pays all out-of-pocket costs and
expenses incurred by Lessor in connection with the default, including without
limitation interest on monies advanced by Lessor at the rate of 9% per annum
commencing after expiration of the period permitted for cure, and reasonable
attorneys' fees, the default shall be deemed cured. Notwithstanding the
foregoing, if, as a result of any nonmonetary default, the Premises or any
improvements located thereon shall be in imminent danger of material damage or
destruction or Lessor's title to the Premises shall be in imminent danger of
being forfeited or materially impaired, Lessor may, upon written notice to
Lessee, proceed, prior to the expiration of any applicable grace period, to cure
such default, in which event Lessee shall reimburse Lessor for the out-

                                      -24-
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of-pocket cost of such cure within ten (10) days after receipt of written demand
therefor accompanied by an itemization of such costs in reasonable detail.

            16.2. FORCE MAJEURE. Notwithstanding any provision of this Lease to
the contrary, neither party shall be deemed to be in default as a result of its
failure to perform any of its non-monetary obligations under this Lease, if such
party's failure to perform any such obligation is due in whole or in part to any
strike, lockout, labor dispute (whether legal or illegal), labor shortage, civil
disorder, failure of power or other utility, governmental laws and regulations,
moratorium, riots, insurrections, war, freight or supply shortages or the
inability to obtain such commodities on reasonable terms, lack of or delays in
transportation, accidents, casualties, severe weather, acts of God, acts caused
directly or indirectly by the other party (or the other party's agents,
employees, guests or invitees), or any other cause beyond the reasonable control
of such party. In such event, the time for performance by such party shall be
extended by an amount of time equal to the period of the delay so caused.

            17.   REMEDIES FOR DEFAULT.

            17.1. REMEDIES GENERALLY. Upon the occurrence of any one or more
Events of Default, Lessor may at its election terminate this Lease or terminate
Lessee's right to possession only without terminating the Lease.

            (a)   Upon termination of the Lease, the Lessee shall surrender
      possession and vacate the Premises immediately, and deliver possession
      thereof to the Lessor, and hereby grants to the Lessor the full and free
      right, without demand or notice of any kind to Lessee (except as expressly
      provided for herein) to enter into and upon the Premises in such event
      with or without process of law and to repossess the Premises as the
      Lessor's former estate and to expel or remove the Lessee and any others
      who may be occupying or within the Premises without being deemed in any
      manner guilty of trespass, eviction, or forcible entry or detainer,
      without incurring any liability for any damage resulting therefrom and
      without relinquishing the Lessor's rights to rent or any other right given
      to the Lessor hereunder or by operation of law.

            (b)   If the Lessor elects to terminate the Lessee's right to
      possession only without terminating the Lease, the Lessor may, at the
      Lessor's option, enter into the Premises, remove the Lessee's signs and
      other evidences of tenancy, and take and hold possession thereof as
      hereinabove provided, without such entry and possession terminating the
      Lease or releasing the Lessee, in whole or in part, from the Lessee's
      obligations to pay the rent hereunder for the full term or from any other
      of its obligations under this Lease. Lessor shall make commercially
      reasonable efforts to relet the Premises for such rent and upon such terms
      as shall be satisfactory to Lessor (including the right to relet the
      Premises for a term greater or lesser than that remaining under the Term,
      and the right to relet the Premises as a part of a larger area, and the
      right to change the character or use made of the Premises). For purposes
      of such reletting, Lessor may decorate or make any repairs, changes,
      alterations or additions in or to the Premises that may be necessary or

                                      -25-
<Page>

      convenient. If Lessor does not relet any portion of the Premises or the
      improvements located thereon Lessee shall pay to Lessor, as and when due
      on the dates set forth hereunder, damages equal to the amount of the Basic
      Rent, Overage Rent, and other sums provided herein to be paid by Lessee
      for the remainder of the Term as such items shall become due, as otherwise
      provided hereunder. If the Premises are relet in whole or in part and a
      sufficient sum shall not be realized from such reletting after paying all
      of the reasonable expenses of such decorations, repairs, changes,
      alterations, or additions, the expenses of such reletting and the
      collection of the rents and interest accruing therefrom (including, but
      not by way of limitation, reasonable attorneys' fees and brokers'
      commissions), to satisfy the Basic Rent, Overage Rent (to the extent
      Lessee receives payment of Percentage Rent from subtenants), and other
      charges herein provided to be paid for the reminder of the Term, Lessee
      shall pay to Lessor on demand any deficiency as such deficiency occurs,
      and Lessee agrees that Lessor may file suit to recover any sums falling
      due under the terms of this Paragraph from time to time, as such sums fall
      due. Any rent, Overage Rent, or other sums received by Lessor from
      subtenants of Lessee in respect of such subtenants' use and occupancy of
      the Premises, or portion thereof, shall be deemed sums realized from
      reletting of the Premises by Lessor following default by Lessee hereunder.

            (c)   Lessor may seek such other remedies as are provided by law,
      including but not limited to filing suit against Lessee for any amounts
      due hereunder, plus interest thereon, and reasonable attorneys' fees,
      which Lessor is entitled to recover hereunder. This remedy may be pursued
      by Lessor in addition to any other remedy sought herein.

            (d)   The rights of Lessor under this Paragraph 17 are subject to
      the provisions of Paragraphs 14 and 18.1 of this Lease.

            17.2. REMEDIES CUMULATIVE. No remedy herein or otherwise conferred
      upon or reserved to Lessor or Lessee shall be considered to exclude or
      suspend any other remedy, provided herein or available under Florida law,
      but the same shall be cumulative and shall be in addition to every other
      remedy given hereunder, or now or hereafter existing at law or in equity
      or by statute, and every power and remedy given by this Lease to Lessor or
      Lessee may be exercised from time to time and so often as occasion may
      arise or as may be deemed expedient.

            17.3. NO WAIVER. No delay or omission of Lessor or Lessee to
      exercise any right or power arising from any default shall impair any such
      right or power or be construed to be a waiver of any such default or any
      acquiescence therein. No waiver of any breach of any of the covenants of
      this Lease shall be construed, taken or held to be a waiver of any other
      breach, or as a waiver, acquiescence in or consent to any further or
      succeeding breach of the same covenant. The acceptance by Lessor of
      payment of any rent after termination of this lease or of Lessee's right
      to possession hereunder shall not, in the absence of agreement in writing
      to the contrary by Lessor, be deemed to restore this Lease or Lessee's
      right to

                                      -26-
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possession hereunder, as the case may be, but shall be construed as a payment on
account, and not in satisfaction of damages due from Lessee to Lessor.

            18.   NON-DISTURBANCE OF SUBTENANTS BY LESSOR.

            18.1. NON-DISTURBANCE OF SUBTENANTS. In addition to the provisions
of Paragraph 14.2a above, in the event of a termination of this Lease (other
than a termination due to the expiration of the Term or due to a fire, other
casualty loss, taking or condemnation), Lessor hereby agrees that it will not
terminate any sublease of space in the Premises, including any master sublease,
which is in force and effect at the time of such termination of this Lease and
shall not disturb the use, possession or leasehold rights of the subtenant
thereunder, so long as such subtenant is not in default, beyond applicable
notice and grace periods, of any terms, covenant or condition of its sublease.

            18.2. EXECUTION AND DELIVERY OF NON-DISTURBANCE AGREEMENT. Lessor
shall at any time and from time to time, within ten (10) days after Lessee's
written request, execute, acknowledge and deliver to Lessee and to any subtenant
designated by Lessee a Non-Disturbance Agreement, attached hereto as EXHIBIT
"B," with such modifications as the subtenant may reasonably request, provided
that in no event shall any such modification to the Non-Disturbance Agreement
(a) materially affect Lessor's rights under this Lease or (b) materially alter
Lessor's rights with respect to any such subtenant under applicable laws.
Lessor's failure to provide such Non-Disturbance Agreement shall not be a
condition of or limit, modify or abrogate in any way the non-disturbance
covenant of Lessor contained in Paragraph 18.1.

            18.3. SUBTENANT AS THIRD PARTY BENEFICIARY. The parties acknowledge
that the provisions of this Paragraph 18 are included for the purpose of
inducing subtenants to sublease portions of the Premises and/or the buildings,
structures and improvements located thereon during the Term and that such
provisions are intended for the benefit of all subtenants of the Premises and
may be relied upon and enforced by any of them as a third party beneficiary of
such provisions.

            19.   RESTRICTIONS ON ENCUMBRANCE BY LESSOR. Lessor may mortgage,
collaterally assign, pledge, hypothecate, place any lien, security interest or
other encumbrance on or otherwise encumber any interest of Lessor in any part of
the Premises, provided that any mortgage, assignment, pledge, hypothecation,
lien, security interest, or encumbrance shall be expressly subject and
subordinate to this Lease and its terms, including without limitation the
provisions of Paragraphs 9, 10, 11, and 14 and to any new or direct lease
entered into pursuant to Paragraph 14.2(e).

            20.   TRANSFERS OF PREMISES.

            20.1. TRANSFER SUBJECT TO LEASE AND RIGHTS OF LEASEHOLD MORTGAGEE.
Any transfer of any interest of Lessor in any part of the Premises shall be
subject to this Lease and to the rights of any Leasehold Mortgagee described in
Paragraph 14. Any transferee of any interest of Lessor hereunder and any
assignee of Lessee's interest hereunder shall be deemed by virtue of its
acceptance of such transfer or assignment to have agreed: (i) to be bound by

                                      -27-
<Page>

each of the terms, conditions, covenants and agreements contained in this Lease,
and (ii) to execute and deliver to the other party any agreement or instrument
reasonably required by such other party to evidence such transferee's or
assignee's acknowledgment and acceptance of the terms and provisions of clause
(i) of this Paragraph 20.1; provided, however, that the failure of such
transferee or assignee to deliver any such agreement or instrument shall not in
any way negate, modify, or limit the binding effect of the terms and provisions
of clause (i) of this Paragraph 20.1 on such transferee or assignee.

            20.2. CONTINUED LIABILITY. Notwithstanding any transfer of any
interest of a party in the Premises or this Lease, except as provided in
Subsection 14.2(d), such party shall remain liable under this Lease, unless and
until the transferee affirms this Lease in writing and assumes all of the
transferring party's obligations under this Lease in writing, by a recordable
instrument.

            21.   APPRAISAL. The appraisals required by Paragraphs 10.3 and 11.4
shall be made as follows: Lessor and Lessee shall each appoint one appraiser
within fifteen (15) days after written notice of any event requiring an
appraisal under said Paragraphs and each party shall notify the other of the
name and address of such party's appraiser within said fifteen (15) day period.
If, after notice by either party to the other of the appointment of an appraiser
by the party giving such notice, the other party to whom notice is given shall
fail, within a period of ten (10) days after such notice, to appoint an
appraiser, then the appraiser so appointed by the party giving the notice shall
have the power to proceed as sole appraiser to make the appraisal hereunder. The
two appointed appraisers shall make the required appraisals and, if the higher
appraisal is not more than 110% of the lower appraisal, the average of the two
appraisals shall be accepted by, and be binding upon, the parties. If the higher
appraisal is more than 110% of the lower appraisal, Lessor and Lessee shall
promptly appoint an arbitrator. If Lessor and Lessee fail to appoint such
arbitrator within thirty (30) days after the completion of the initial
appraisals, either Lessor or Lessee, upon written notice to the other, may
request the appointment of an arbitrator by the then President of the local Real
Estate Board, Board of Realtors or similar body. The arbitrator must select one
of the two initial appraisers, and the appraiser selected by the arbitrator
shall be accepted by and be binding upon the parties. In connection with the
appraisal process described herein, the appraiser or appraisers and any
arbitrator shall afford each party a hearing and the right to submit evidence,
with the privilege of cross-examination on the questions at issue, and shall,
with all possible speed, make their determination in writing and give notice of
the same to the parties. Each party shall cooperate with the appraisers and the
arbitrator and shall use its best efforts to obtain from the two initial
appraisers their determination within thirty (30) days of the appointment of the
last of such appraisers to be appointed and from the arbitrator his selection of
the appropriate appraisal within thirty (30) days after his appointment. Lessor
and Lessee shall each pay the fees of the person appointed by it as appraiser
hereunder and Lessor and Lessee shall each pay one-half of the fees of any
arbitrator appointed pursuant to the provisions of this Paragraph and one-half
of the general expenses of all appraisals and arbitrations required hereunder.
Any appraiser appointed hereunder shall have no less than five (5) years
experience in the appraisal of real property similar in type and character to
the Premises and the buildings and improvements located thereon at the

                                      -28-
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time of such appraisal in the county in which the Premises are located and shall
hold the professional designation of M.A.I.

            22.   ESTOPPEL CERTIFICATE. Each party agrees that, at any time and
from time to time, within ten (10) days after receipt of written request from
the other party, it shall execute, acknowledge, and deliver to such other party,
to any Leasehold Mortgagee, or to any person or entity designated by such other
party, a written instrument in recordable form certifying that (a) this Lease is
unmodified and in full force and effect (or if there have been modifications,
that it is in full force and effect as modified and stating the modifications),
(b) the dates to which the Basic Rent, Overage Rent, and other charges have been
paid, (c) whether or not to the best of the certifying party's knowledge the
certifying party or the other party is in default in the performance of any
term, covenant, or condition contained in this Lease and, if so, specifying each
default, and (d) any other facts or matters within the actual knowledge of the
certifying party that may be reasonably requested. In addition, if requested by
the other party, the certifying party shall attach a copy of this Lease, as
modified or amended, to the estoppel certificate and shall certify in the
estoppel certificate that the attached Lease is true, correct, and complete. It
is intended that any such certificate delivered pursuant to this Paragraph 22
may be relied upon by the party requesting such certificate or the person or
entity to whom the party requesting such certificate requests the certificate to
be delivered. In the event either party fails to deliver an estoppel certificate
within the time period and otherwise as provided herein, such failure shall be
deemed a conclusive admission by such party that the matters set forth in the
requested estoppel certificate or letter are true, correct and complete in all
respects, and the party requesting such estoppel certificate or letter and any
person on whose behalf such estoppel certificate or letter is requested shall be
entitled to rely on the truth, accuracy, and completeness of the requested
estoppel certificate or letter as if it had been provided as required hereunder.

            23.   OWNERSHIP OF IMPROVEMENTS DURING LEASE TERM. During the Term,
Lessee shall be the owner of all buildings, structures and improvements
constructed or erected by or on behalf of Lessee upon the Premises or any
portion thereof, and Lessor shall have no right, title, or interest therein. As
such owner, Lessee shall be entitled to all of the tax and other benefits of
such ownership, including, without limitation, the right to take depreciation
deductions and investment tax credits under the tax laws.

            24.   SURRENDER. Upon the expiration or other termination of the
Term, Lessee shall quit and surrender the Premises to Lessor in good condition
and repair, except for reasonable wear and tear and damage which Lessee need not
repair, rebuild, or restore under this Lease, and subject to the rights of the
holder of any mortgage described in Paragraph 14 and of any subtenants of the
Premises, provided that such rights shall not exceed the Term of the Lease or
the term of any new or direct Lease entered into between Lessor and first
Leasehold Mortgagee in accordance with the provisions of Paragraph 14 hereof,
unless otherwise consented to by Lessor at the time of their creation. Lessor
shall thereafter, but not until such time, be the owner of all improvements and
buildings (but not any personal or removable property contained therein)
constructed or erected by Lessee upon the Premises, and Lessee shall thereafter,
but not until such time, have no further right, title or interest therein. At
the sole option of Lessor, upon one hundred eight (180) days' prior

                                      -29-
<Page>

written notice to Lessee, Lessor may require Lessee to demolish and remove all
buildings and improvements on the Premises at Lessee's expense.

            25.   QUIET ENJOYMENT.

            25.1. COVENANT OF QUIET ENJOYMENT. Except with respect to the
covenants and restrictions recorded in the Public Records and set forth in
EXHIBIT "C" annexed hereto, Lessor agrees, covenants, and warrants that so long
as Lessee faithfully performs the terms, covenants, and conditions of this Lease
within the applicable notice or grace periods provided herein, Lessee shall
peaceably and quietly have, hold, and enjoy the Premises for the Term, without
disturbance by or from Lessor or any one claiming by, though, or under Lessor,
and free of any and all liens and encumbrances created or suffered by Lessor or
any one claiming by, through, or under Lessor.

            25.2. LESSOR'S TITLE. Lessor represents and covenants to Lessee that
Lessor owns marketable and insurable fee simple title to the Premises free and
clear of any liens, claims, restrictions, encumbrances, or rights of others
except for the permitted exceptions set forth in EXHIBIT "C" annexed hereto.

            26.   HOLDOVER. If Lessee shall holdover as a tenant after the
termination or other expiration of the Term, such tenancy shall be deemed to be
on a month-to-month basis, on all of the same terms, covenants and conditions of
this Lease, except that for each month or part thereof during any holdover
period, Lessee shall pay Lessor one and one-half (1 1/2) times the Basic Rent
due under this Lease for the month immediately preceding the expiration or other
termination of the Term.

            27.   WAIVER. No waiver of any term, covenant, or condition
contained in this Lease or any breach of any such term, covenant, or condition
by either party shall constitute a waiver of any subsequent breach of such term,
covenant, or condition or justify or authorize the non-observance of any other
occasion of the same or any other term, covenant, or condition of this Lease by
either party.

            28.   MEMORANDUM OF LEASE. The parties shall execute and acknowledge
within ten (10) business days after the execution of this Lease a memorandum
hereof, in the form set forth on Exhibit "D" attached hereto, in recordable form
and otherwise in form and substance acceptable to the parties hereto.
Immediately upon the execution of such Memorandum of Lease, the Lessee will
cause such Memorandum of Lease to be recorded in the appropriate public records
for real estate, and the cost of such recording will be borne by Lessee.

            29.   BROKERS. Lessor represents and warrants to Lessee that it has
not engaged the services of or dealt with any broker in connection with this
Lease, other than Tallahassee Land Co., Inc. Lessee represents and warrants to
Lessor that it has engaged the services of Tallahassee Land Co., Inc. and that
it will pay a real estate commission directly to said broker in an amount equal
to $16,000.00 per Lease Year during the entire Term in accordance with the terms
of a separate, written agreement, and each party hereby indemnifies and agrees
to defend and hold the other harmless from any and all losses, costs,

                                      -30-
<Page>

damages, liabilities, claims, and expenses, including, without limitation,
reasonable attorneys' fees, suffered or incurred by the other party in
connection with any claim of any broker claiming to have dealt with the party
providing the indemnification.

            30.   NOTICES. All notices, requests, demands or other instruments
required or contemplated to be given or furnished under this Lease to Lessor or
Lessee shall be directed to Lessor or Lessee as the case may be at the following
addresses:

            If to Lessee:           KIMCO Governors Marketplace Ltd.
                                    c/o KIMCO Realty Corporation
                                    3333 New Hyde Park Road
                                    Suite 100
                                    P.O. Box 5020
                                    New Hyde Park, New York 10142-0020
                                    Attn: Bruce M. Kauderer, Esq.

            and:                    KIMCO Governors Marketplace Ltd.
                                    c/o Agora Development, LLC
                                    7400 Baymeadows Way
                                    Suite 107
                                    Jacksonville, Florida 32256
                                    Attn: William M. Sulzbacher

            and:                    Donald Kennicott, Esq.
                                    Holland & Knight LLP
                                    1201 West Peachtree Street, N.E.
                                    Suite 2000
                                    Atlanta, Georgia 30309

            If to Lessor:           Smith Interests General Partnership, L.L.P.
                                    c/o Mr. Godfrey Smith
                                    Capital City Bank
                                    217 North Monroe Street
                                    Tallahassee, Florida 32301

            with copy to:           DuBose Ausley, Esquire
                                    Ausley & McMullen
                                    Post Office Box 391
                                    Tallahassee, Florida 32302

Any such notices, requests, reports, demands, or other instruments shall be (i)
personally delivered to the offices set forth above, in which case they shall be
deemed delivered on the date of delivery to said offices with receipt therefor;
(ii) sent by Western Union telegram, in which case they shall be deemed
delivered on the date Western Union delivers its telephonic communication, (iii)
sent by certified mail, return receipt requested, in which case they shall be
deemed delivered three (3) business days after deposit in the U.S. mail, postage
prepaid, (iv) sent by facsimile machine (provided sender has written
confirmation that the facsimile

                                      -31-
<Page>

was received by addressee's facsimile machine), and provided further that a copy
of said notice is sent as provided in clause (i), (ii), (iii) or (iv), or (v)
sent by overnight courier (Federal Express or like service), in which case (as
to delivery by the means described in subparagraphs (iv) and (v)), they shall be
deemed received on the date of actual delivery. Either party may change the
address to which any such notice, report, demand or other instrument is to be
delivered by furnishing written notice of such change to the other party in
compliance with the foregoing provisions. Notice from counsel for a party shall
be deemed notice from such party.

            31.     MISCELLANEOUS.

            31.1.   CAPTIONS. The captions in this Lease, including the
Exhibits, are for convenience only and are not a part of this Lease and are not
intended to and do not in any way define, limit, describe, or amplify the terms
and provisions of this Lease or the scope or intent hereof.

            31.2.   ENTIRE AGREEMENT. This Lease represents the entire agreement
between the parties hereto, and there are no collateral or oral agreements or
understandings. This Lease supersedes all prior written or oral agreements,
covenants, representations, and warranties between the parties, and to the
extent of any conflict between the provisions of this Lease and the provisions
of any other prior agreements, understandings, or instruments between the
parties, the provisions of this Lease shall be paramount or prevail. This Lease
shall not be modified in any manner except by an instrument in writing executed
by the parties, and then only with the written consent of each Leasehold
Mortgagee described in Paragraph 14.

            31.3.   BINDING EFFECT. This Lease shall be binding on and shall
insure to the benefit of Lessor and Lessee and their respective successors and
assigns, subject to restrictions on transfer and encumbrance set forth in this
Lease.

            31.4.   ATTORNEYS' FEES. In the event of any litigation involving
the terms of this Lease or the duties or obligations of Lessor and Lessee, the
prevailing party shall be entitled to recover its costs and expenses, including,
without limitation, court costs and reasonable attorneys' fees, in connection
therewith, whether incurred in negotiation, preparation of documents, at trial
or on appeal and whether incurred in the establishment of the amount of fees and
costs or the collection thereof.

            31.5.   RIGHTS AND REMEDIES CUMULATIVE. All rights and remedies of
each of the parties are cumulative, and the exercise by a party of one or more
of such rights or remedies shall not preclude the exercise by such party at the
same or a different time or times of any other rights or remedies provided for
in this Lease or at law or in equity.

            31.6.   INTERPRETATION. This Lease shall be construed in accordance
with the laws of the State of Florida. Whenever the contents of any provision
shall require it, the singular number shall be deemed to be the plural number
and vice versa, and the neuter gender shall be deemed to include the masculine
and the feminine. This Lease shall not be construed more strictly against one
party than the other by virtue of it having been prepared

                                      -32-
<Page>

by such party or its counsel, all parties having had the opportunity to
participate in the negotiation and drafting of this Lease.

            31.7.   EXHIBITS. All Exhibits referred to in and attached to this
Lease and all of the terms, conditions, and provisions contained in such
Exhibits are by this reference incorporated into this Lease.

            31.8.   TIME OF ESSENCE. Time is of the essence of this Lease.

            31.9.   AUTHORITY OF PARTIES. Lessor and Lessee each warrant and
represent to, and covenant with, the other that it is duly authorized and
empowered to enter into this Lease, that this Lease is the valid and binding
obligation of the warranting party and is enforceable against the warranting
party in accordance with its terms.

            31.10.  NO MERGER OF TITLE. There shall be no merger of the
leasehold estate created by this Lease with the fee estate in the Premises by
reason of the fact that the same person may acquire or hold (a) the leasehold
estate created by this Lease or any interest in such leasehold estate, and (b)
the fee estate in the Premises or any interest in such fee estate; and no such
merger shall occur unless and until all persons, including any mortgagee having
any interest in (i) the leasehold estate created by this Lease and (ii) the fee
estate in the Premises, shall join in a written instrument effecting such merger
and shall duly record the same.

            31.11.  LESSOR'S CONSENT OR APPROVAL. Whenever Lessor's consent or
approval is required under this Lease, such approval shall not be unreasonably
withheld, conditioned, or delayed.

            31.12.  PERFORMANCE OF SUBTENANTS. Notwithstanding any provision of
this Lease to the contrary, any obligation or responsibility of Lessee under
this Lease may be performed, in whole or in part, by one or more subtenants of
the Premises and Lessor shall accept such performance.

            32.     PROPOSED ROAD. Lessee agrees to cause the proposed roadway
(as shown on the Site Plan (the "PROPOSED ROAD") to be constructed in accordance
with all applicable laws and other governmental requirements. Promptly following
completion of the Proposed Road by Lessee, Lessee and Lessor agree to convey,
and to take all other actions necessary to dedicate, the Proposed Road to the
City of Tallahassee, and to cause the Proposed Road to be accepted by the City
of Tallahassee.

            33.     TAX DIVISION. Lessor agrees to promptly apply for a tax
division with respect to the Premises such that the Premises will consist of one
or more parcels for real estate tax purposes, each of which is separate and
apart from any other land, and such that such tax parcels will affect only the
Premises and no other land.

                            [Signature pages follow]

                                      -33-
<Page>

                                          LESSOR:
Witnesses:

/s/ J. Marshall Conrad                    SMITH INTERESTS GENERAL
----------------------------------------  PARTNERSHIP, L.L.P., a Florida limited
(Signature)                               liability partnership

  J. Marshall Conrad
----------------------------------------  By /s/ William G. Smith, Jr.
(Printed Name)                              ------------------------------------
                                          Name: William G. Smith, Jr.
  /s/ Kristin H. Godfrey                  Its: Managing Partner
----------------------------------------
(Signature)

  Kristin H. Godfrey                      By /s/ J. Vereen Smith, Jr.
----------------------------------------    ------------------------------------
(Printed Name)                            Name: J. Vereen Smith, Jr.
                                          Its: Managing Partner

/s/ J. Marshall Conrad
----------------------------------------
(Signature)

  J. Marshall Conrad
----------------------------------------
(Printed Name)

  /s/ Kristin H. Godfrey
----------------------------------------
(Signature)

  Kristin H. Godfrey
----------------------------------------
(Printed Name)

/s/ J. Marshall Conrad                    ELAINE W. SMITH PARTNERSHIP,
----------------------------------------  LLP, a Florida limited
(Signature)                               liability partnership

                                          By /s/ Elaine W. Smith
  J. Marshall Conrad                        -----------------------------------
----------------------------------------  Name: Elaine W. Smith
(Printed Name)                            Its: Managing Partner

  /s/ Kristin H. Godfrey
----------------------------------------
(Signature)

  Kristin H. Godfrey
----------------------------------------
(Printed Name)

                       [Signatures continue on next page]

                                      -34-
<Page>

/s/ Rebecca Stack                          LESSEE:
----------------------------------------
(Signature)                                KIMCO GOVERNORS
                                           MARKETPLACE LTD.,
  Rebecca Stack                            a Florida limited partnership
----------------------------------------
(Printed Name)                             By: KIMCO GOVERNORS
                                               MARKETPLACE 317, INC., a Florida
/s/ Roseanne Dwyer                             corporation, General Partner
----------------------------------------
(Signature)                                    By: /s/ Bruce M. Kauderer
                                               ---------------------------------
  Roseanne Dwyer                               Bruce M. Kauderer, Vice President
----------------------------------------
(Printed Name)

                                      -35-
<Page>

                                   EXHIBIT 15B
                                  GROUND LEASE

This instrument was prepared by
DuBose Ausley
Ausley & McMullen
P.O. Box 391
Tallahassee, FL 32302

                               MEMORANDUM OF LEASE

            THIS MEMORANDUM OF LEASE, made as of the 1st day of January, 2003,
by and between THE SMITH INTERESTS GENERAL PARTNERSHIP, L.L.P. (hereinafter
referred to as "LESSOR"), and KIMCO GOVERNORS MARKETPLACE LTD., a limited
partnership organized and existing under the laws of the State of Florida, whose
principal address is 3333 New Hyde Park Road, Suite 100, P.O. Box 5020, New Hyde
Park, New York 11042-0020 (hereinafter referred to as "LESSEE").

                                   WITNESSETH:

            1.    That for and in consideration of the sum of One Dollar ($1.00)
and other good and valuable considerations, the receipt and sufficiency of which
is hereby acknowledged, and the mutual covenants contained in that certain Lease
between the parties dated as of the 1st day of January, 2003 (hereinafter
referred to as the "GROUND LEASE"), the Lessor does hereby lease to the Lessee,
and the Lessee does hereby lease from the Lessor all of the lands described in
Exhibit "A" attached hereto and by this reference made a part hereof (subject to
all conditions and restrictions of record which are set forth in the Ground
Lease), together with all improvements, appurtenances and easements specifically
granted to the Lessee in the Ground Lease.

            2.    Each and all of the terms, provisions, conditions, covenants,
and agreements set forth in the Ground Lease are incorporated herein by this
reference as though the same were fully set forth herein.

            3.    The term of the Ground Lease is now in full force and effect
and shall expire at 12:01 a.m. on December 31, 2087, unless extended or sooner
terminated as provided in the Ground Lease.

<Page>

            4.    Lessor's estate shall not be subject to any claim, lien, or
encumbrance created or suffered by Lessee, and any claim of lien arising from
any act or omission of Lessee shall attach only against Lessee's estate.

            5.    Lessee is not the agent of Lessor for the construction,
alteration, or repair of any buildings or improvements on the premises by Lessee
during the term of this Lease, and all contractors, materialmen, mechanics, and
laborers are hereby charged with notice that they must look to Lessee only for
the payment of any charge for work done or materials furnished on the premises
during the term of this Lease.

            6.    This Memorandum of lease is made and entered into for the
purpose of recording and giving notice of (but in no way modifying, amending,
enlarging, reducing or varying the terms of) the Ground Lease, and all of the
rights and obligations of Lessor and Lessee are and shall be governed by the
terms, covenants, conditions, agreements, and limitations contained in the
Ground Lease. In the event of inconsistency between the terms of the Ground
Lease and the terms of this Memorandum, the terms of the Ground Lease shall
govern.

            IN WITNESS WHEREOF, the parties hereto have set their hands and
seals the day and year first-above written.

Signed, sealed, and delivered in the presence of:  LESSOR:

  /s/ Cleo J. Gay                           THE SMITH INTERESTS GENERAL
----------------------------------------    PARTNERSHIP, L.L.P.
(Signature)

  Cleo J. Gay                               By:/s/ William G. Smith, Jr.
----------------------------------------       ---------------------------------
(Printed name of witness)                   Name: William G. Smith, Jr.
                                            Its: Managing Partner
  /s/ Emily G. Groom
----------------------------------------    By: /s/ J. Vereen Smith, Jr.
(Signature)                                    ---------------------------------
                                            Name: J. Vereen Smith, Jr.
  Emily G. Groom                            Its: Managing Partner
----------------------------------------
(Printed name of witness)

  /s/ Cleo J. Gay
----------------------------------------
(Signature)

  Cleo J. Gay
----------------------------------------
(Printed name of witness)

  /s/ Emily G. Groom
----------------------------------------
(Signature)

  Emily G. Groom
----------------------------------------
(Printed name of witness)

                       [SIGNATURES CONTINUE ON NEXT PAGE]

                                        2
<Page>

                                            LESSEE:

                                            KIMCO GOVERNORS
                                            MARKETPLACE LTD., a Florida limited
                                            partnership

  /s/ Jenee R Dessenberg                      By: KIMCO GOVERNORS
----------------------------------------          MARKETPLACE 317, INC., a
(Signature)                                       Florida corporation,
                                                  General Partner
  Jenee R Dessenberg
----------------------------------------
(Printed name of witness)

  /s/ Tami Gossling                               By: /s/ Daniel C. Slattery
----------------------------------------             ---------------------------
(Signature)                                          Daniel C. Slattery
                                                     Executive Vice President
  Tami Gossling
----------------------------------------
(Printed name of witness)

                                        3
<Page>

STATE OF FLORIDA

COUNTY OF LEON

            The foregoing Memorandum of Lease was acknowledged before me this
19th day of December, 2002, by William G. Smith, Jr. and J. Vereen Smith, Jr.,
Managing Partners of The Smith Interests General Partnership, L.L.P. who are
PERSONALLY KNOWN TO ME CLEO J. GAY or who have produced _______________________
as identification.

                                        Notary Public

                                        Cleo J. Gay
                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:_______________
[SEAL]

               CLEO J. GAY
        MY COMMISSION # DD 024660
           EXPIRES: May 21, 2005
   Bonded Thru Notary Public Underwriters

      The foregoing Memorandum of Lease was acknowledged before me this _____
day of December, 2002, by Daniel C. Slattery, personally known to me to be the
Executive Vice President of KIMCO GOVERNORS MARKETPLACE 317, INC., which is the
general partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to me
to be the same person whose name is subscribed to the foregoing instrument,
appeared before me this day in person and severally acknowledged that as such
Executive Vice President of the general partner of KIMCO GOVERNORS MARKETPLACE
LTD., he signed and delivered the said instrument as his free and voluntary act,
and as the free and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD.,
for the uses and purposes therein set forth.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:__________________

                                        4
<Page>

STATE OF FLORIDA

COUNTY OF LEON

            The foregoing Memorandum of Lease was acknowledged before me
this______ day of December, 2002, by William G. Smith, Jr. and J. Vereen Smith,
Jr., Managing Partners of The Smith Interests General Partnership, L.L.P. who
are personally known to me________________ or who have produced________________
as identification.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:________________

            The foregoing Memorandum of Lease was acknowledged before me this
31st day of December, 2002, by Daniel C. Slattery, personally known to me to be
the Executive Vice President of KIMCO GOVERNORS MARKETPLACE 317, INC., which is
the general partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to
me to be the same person whose name is subscribed to the foregoing instrument,
appeared before me this day in person and severally acknowledged that as such
Executive Vice President of the general partner of KIMCO GOVERNORS MARKETPLACE
LTD., he signed and delivered the said instrument as his free and voluntary act,
and as the free and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD.,
for the uses and purposes therein set forth.

                                       Notary Public

[SEAL]

           "OFFICIAL SEAL"
          THERESA R. ZUKOWSKI          /s/ Theresa R Zukowski
    Notary Public, State of Illinois   ---------------------------------------
     My Commission Expires 11/21/05    (Printed Name) Theresa R Zukowski

                                       My Commission Expires: _________________

                                        4
<Page>

                                                       INDENTURE OF GROUND LEASE
                                                                      (PARCEL B)

                                  EXHIBIT A-1

                               LEGAL DESCRIPTION

                                    PARCEL B
                                LEGAL DESCRIPTION

PARCEL 1:

(a).  PARCEL 21:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida, and run North 409.96 feet, thence West 408.24 feet to a
copper pin at the intersection of the centerline of Magnolia Drive and old State
Road No. 20 (East Lafayette Street), thence run North 00 degrees 02 minutes East
33.61 feet, thence South 79 degrees 02 minutes East 50.92 feet to the Northeast
intersection of said two streets, thence run Northerly along a line 50 feet from
and parallel with the centerline of Magnolia Drive a distance of 535.77 feet to
the Northeast corner of the intersection of Magnolia Drive and new State Road
No. 20 (U.S. No. 27), thence run North 00 degrees 05 minutes 30 seconds East
along the East right of way boundary of Magnolia Drive 697.29 feet to the
Northwest corner of property owned by Leon Federal Savings and Loan Association
as recorded in Official Records Book 178, Page 389, of the Public Records of
Leon County, Florida, for the Point of Beginning. From said Point of Beginning
continue North 00 degrees 05 minutes 30 seconds East along said East right of
way boundary of Magnolia Drive 199.82 feet to the Southerly right of way
boundary of Governor's Square Boulevard, thence North 85 degrees 59 minutes 28
seconds East along said Southerly right of way boundary of Governor's Square
Boulevard 250.00 feet, thence South 00 degrees 05 minutes 30 seconds West 217.70
feet to the North boundary of said property owned by Leon Federal Savings and
Loan Association, thence North 89 degrees 54 minutes 30 seconds West along said
North boundary 249.15 feet to the Point of Beginning.

(b).  PARCEL 22:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida, and run North 409.96 feet, thence West 408.24 feet to a
copper pin at the intersection of the centerline of Magnolia Drive and old State
Road No. 20 (East Lafayette Street), thence run North 00 degrees 02 minutes East
33.61 feet, thence South 79 degrees 02 minutes East 50.92 feet to the Northeast
intersection of said two streets, thence run Northerly along a line 50 feet from
and parallel with the centerline of Magnolia Drive and new State Road No. 20
(U.S No.27), thence run North 00 degrees 05 minutes 30 seconds East along the
East right of way boundary of Magnolia Drive 697.29 feet to the Northwest corner
of property owned by Leon Federal Savings and Loan Association as recorded in
Official Records Book 178, Page 389, of the Public Records of Leon County,
Florida, and run South 89 degrees 54 minutes 30 seconds East along said
Northerly boundary 249.15 feet to the Point of Beginning. From said Point of
Beginning continue South 89 degrees 54 minutes 30 seconds East along said
Northerly boundary 230.30 feet, thence North 00 degrees 05 minutes 30 seconds
East along a projection of the Easterly boundary of said property owned by Leon
Federal Savings and Loan Association a distance of 234.21 feet to the South
right of way boundary of Governor's Square Boulevard, thence South 85 degrees 59
minutes 25 seconds West along said South right of way boundary 230.88 feet,
thence South 00 degrees 05 minutes 30 seconds West 217.70 feet to the Point of
Beginning.

                            (continued on next page)

<Page>

Together with certain limited non-exclusive drainage rights in the following
described drainage easement:

PARCEL 2

Perpetual Easement for drainage system, created, defined and granted by that
certain Drainage and Retention Pond Easement among WILLIAM GODFREY SMITH and
PATTY HILL SMITH, his wife, JULIAN VEREEN SMITH and ELAINE W. SMITH, his wife,
and R. SPENCER BURRESS, as the Managing Trustee of the Julian Vereen Smith Issue
Trust and as Managing Trustee of the William Godfrey Smith, Jr. Trust, as
Grantors and GOVERNOR'S SQUARE, INC., as Grantee, dated April 7, 1976, and
recorded in Official Records Book 894, page 1025, of the Public Records of Leon
County, Florida, as further amended by that certain Amendment to Drainage and
Retention Pond Easement dated April 1, 1980, and recorded in Official Records
Book 956, page 2240, of the Public Records of Leon County, Florida, and as
further amended by that certain Second Amendment to Drainage and Retention Pond
Easement dated as of February 28, 1992, by and between TALLAHASSEE ASSOCIATES
and THE SMITH INTEREST GENERAL PARTNERSHIP, as recorded in Official Records Book
1546, page 644, of the Public Records of Leon County, Florida, and as further
amended by that certain Supplement to Drainage and Retention Pond Easement dated
as of January 12, 1994, and recorded July 16, 1994, in Official Records Book
1655, page 97, of the Public Records of Leon County, Florida, as further amended
by Third Amendment to Drainage and Retention Pond Easement between Tallahassee
Associates and the Smith Interests General Partnership, dated November 17, 1994,
and recorded November 18, 1994, in Official Records Book 1776, page 703, of the
Public Records of Leon County, Florida, over, upon and across the following
described land located in Leon County, Fl, together with all rights, privileges
and benefits pertinent thereto under said Drainage and Retention Pond Easement,
as amended, accruing to Tallahassee Associates its successors and assigns,
described as follows:

PARCEL 2.1
RETENTION POND AREA (retention pond on west side of Blairstone, north of
Governors Square Blvd.)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of
36 DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West
along said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING.
From said POINT OF BEGINNING continue North 53 DEG. 49' West along said
Northerly right-of-way boundary 200.00 feet, thence North 36 DEG. 45' East
304.50 feet; thence North 00 DEG. 11' East 460.00 feet, thence South 89 DEG. 49'
East 510.00 feet to the Westerly right-of-way boundary of said Blairstone Road,
thence South 00 DEG. 11' West along said Westerly right-of-way boundary 606.00
feet, thence North 89 DEG. 49' West 360.00 feet, thence South 38 DEG. 18' 26"
West 274.73 feet to the POINT OF BEGINNING.

                            (continued on next page)

<Page>

ALSO:

PARCEL 2.2
(Drainage easement across Blairstone from pond to open channel east of
Blairstone)

100 foot by 100 foot easement across Blairstone Road extension between easement
for retention pond and proposed open channel waterway.

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2583.00 feet to the POINT OF BEGINNING. From said POINT OF
BEGINNING continue North 00 DEG. 11' East along said Westerly right-of-way
boundary 100.00 feet, thence South 89 DEG. 49' East 100.00 feet to the Easterly
right-of-way boundary of said Blairstone Road extension, thence South 00 DEG.
11' West along said Easterly right-of-way boundary 100.00 feet, thence North 89
DEG. 49' West 100.00 feet to the POINT OF BEGINNING.

ALSO:

PARCEL 2.3
(PROPOSED OPEN CHANNEL WATERWAY) A 100 foot strip lying 50 feet either side of
the following described centerline:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2633.00 feet, thence South 89 DEG. 49' East 100.00 feet to
the Easterly right-of-way boundary of said Blairstone Road for the POINT OF
BEGINNING of said centerline. From said POINT OF BEGINNING continue South 89
DEG. 49' East 206.61 feet, thence North 83 DEG. 27' 18" East 194.65 feet, thence
North 86 DEG. 26' 54" East 201.40 feet to the terminal point of said centerline.

ALSO:

PARCEL 2.4
Extension of Retention Pond Easement across proposed 100 foot Roadway (Governors
Square Avenue)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way

                            (continued on next page)
<Page>

boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66
DEG. 04' 33" East 500.00 feet, thence south 60 DEG. 21' 57" East 402.00 feet,
thence South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way
boundary of Blairstone Road Extension, thence North 00 DEG. 11' East along said
Westerly right-of-way boundary 2004.00 feet to the Northerly right-of-way
boundary of a proposed 100.00 foot roadway (Governors Square Avenue), thence
North 89 DEG. 49' West 215.11 feet to a point of curve to the right, thence
along said right-of-way curve with a radius of 506.72 feet, through, a central
angle of 36 DEG. 00' for an arc distance of 316.36 feet, thence North 53 DEG.
49' West along said Northerly right-of-way boundary 20.59 feet to the POINT OF
BEGINNING. From said POINT OF BEGINNING continue North 53 DEG. 49' West along
said Northerly right-of-way boundary 200.00 feet, thence South 36 DEG. 45' West
100.00 feet to the Southerly right-of-way boundary of said proposed 100.00 foot
roadway (Governors Square Avenue), thence South 53 DEG. 49' East along said
Southerly right-of-way boundary 197.28 feet, thence North 38 DEG. 18' 26" East
100.07 feet to the POINT OF BEGINNING.

<Page>

[GRAPHIC]

<Page>

                              INTENTIONALLY DELETED

                                       50

<Page>

                                   EXHIBIT 18

                              FORM OF AUDIT LETTER

[DATE]

KPMG LLP
Peat Marwick Plaza
303 E. Wacker
Chicago, Illinois 60601

Ladies and Gentlemen:

We are writing you at your request to confirm our understanding that your audit
of the Historical Summary of Gross Income and Direct Operating Expenses
(Historical Summary) of _____________ (the Property) for the twelve months ended
December 31, _________ was made for the purpose of expressing an opinion as to
whether the Historical Summary presents fairly, in all material respects, the
gross income and direct operating expenses in conformity with cash/accrual basis
of accounting. In connection with your audit we confirm, to the best of our
knowledge and belief, the following representations during your audit:

     We have made available to you:

          1.   All financial records and related data.

          2.   All minutes of the meetings of the board of directors, or
               summaries of actions of recent meetings for which minutes have
               not yet been prepared.

     There have been no:

          3a.  Instances of fraud involving any member of management or
          employees who have significant roles in internal control.

          3b.  Instances of fraud involving others that could have a material
          effect on the Historical Summary.

          3c.  Violations or possible violations of laws or regulations, the
          effects of which should be considered for disclosure in the Historical
          Summary or as a basis for recording a loss contingency.

          3d.  Communications from regulatory agencies concerning non-compliance
          with, or deficiencies in, financial reporting practices that could
          have a material effect on the Historical Summary.

     There are no:

          4a.  Unasserted claims or assessments that our lawyer(s) has (have)
          advised us are probable of assertion and must be disclosed in
          accordance with Statement of Financial Accounting Standards (SFAS) No.
          5, Accounting for Contingencies.

<Page>

          4b.  Material liabilities or gain or loss contingencies that are
          required to be accrued or disclosed by SFAS No. 5.

          4c.  Material transactions that have not been properly recorded in the
          accounting records underlying the Historical Summary.

          4d.  Events that have occurred subsequent to the balance sheet date
          and through the date of this letter that would require adjustment to
          or disclosure in the Historical Summary.

          5.   The Property has complied with all aspects of contractual
          agreements that would have a material effect on the Historical Summary
          in the event of noncompliance.

Further, we confirm that we are responsible for the fair presentation in the
Historical Summary of Gross Income and Direct Operating Expenses in conformity
with the cash basis of accounting.

Sincerely,

<Page>

                                   EXHIBIT 15B
                                  GROUND LEASE

                            INDENTURE OF GROUND LEASE
                                   (PARCEL B)

          THIS INDENTURE OF GROUND LEASE ("LEASE") is executed as of the 1st day
of January, 2003, by and between THE SMITH INTERESTS GENERAL PARTNERSHIP,
L.L.P., a Florida limited liability partnership, whose address is 217 N. Monroe
Street, Tallahassee, Florida 32301 ("LESSOR"); and KIMCO GOVERNORS MARKETPLACE
LTD., a limited partnership, organized and existing under the laws of the State
of Florida, whose principal address is 3333 New Hyde Park Road, Suite 100, P.O.
Box 5020, New Hyde Park, New York 11042-0020 ("LESSEE").

                                    RECITALS:

          A.      Lessor is a limited liability partnership organized and
existing under the laws of the State of Florida and is the present fee owner of
the Premises.

          B.      Lessee is a limited partnership organized and existing under
the laws of the State of Florida.

          C.      Lessor and Lessee agree to lease the Premises and enter this
lease on the terms and conditions herein set out.

          D.      Lessee intends to assign portions of this lease, or sublease
the Premises, to others who may construct improvements thereon in accordance
with development plans and may in turn assign or sublease their premises.

          NOW, THEREFORE, in consideration of the premises recited above, the
mutual covenants set forth below and other good and valuable consideration,
Lessor, Lessee and Capital (where expressly set forth) do hereby agree as
follows:

          1.      PREMISES, GRANT, AND TERM.

          1.1.    PREMISES. The "PREMISES" are described on Exhibit "A-l"
attached hereto and made a part hereof by reference. The Premises includes the
real property described thereon, all existing buildings, structures and
improvements thereon and all equipment, machinery, fixtures and personal
property therein and all rights and easements appurtenant thereto; provided,
however, that Lessee shall have the right to demolish, renovate, alter, remove
and replace the Premises and all portions thereof from time to time and in such
manner as it may determine in its sole discretion. Attached to this Lease as
Exhibit A-2 is a site plan (the "SITE PLAN") depicting all of the proposed
improvements (the "INITIAL IMPROVEMENTS") which Lessee initially proposes to
construct on the Premises, which Site Plan may be amended from time to time.

          1.2.    GRANT OF LEASEHOLD. The Lessor does hereby demise and lease
the Premises unto the Lessee for the term hereof.

<Page>

          1.3.    TERM. The term ("TERM") of this Lease shall be eighty-five
(85) years, commencing on the date of this Lease (the "COMMENCEMENT DATE") and
ending midnight on the day immediately preceding the eighty-fifth (85th)
anniversary of the Commencement Date (the "EXPIRATION DATE"), unless sooner
terminated as provided in this Lease. Upon exercise of the Option, Lessor and
Lessee shall execute a certificate confirming the Commencement Date and the
Expiration Date.

          1.4.    LEASE YEAR. For purposes of this Lease, "LEASE YEAR" shall
mean (a) the twelve (12) month period which commences upon the first day of the
January coincident with or next following the Rental Commencement Date; and (b)
each calendar year thereafter during the Term; except that the final Lease Year
shall end on the last day of the Term.

          2.      RENTAL PROVISIONS:

          2.1.    AGREEMENT BY LESSEE. Lessee hereby covenants and agrees to pay
to Lessor, as rent for the Premises during the term hereof, the "Basic Rent"
hereinafter provided for.

          (a)     RENTAL COMMENCEMENT DATE. Rent hereunder shall commence upon
the rental commencement date ("RENTAL COMMENCEMENT DATE"). The Rental
Commencement Date shall be January 1, 2003. Within thirty (30) days after
substantial completion of the Initial Improvements, Lessee shall provide Lessor
with a certificate from Lessor's architect certifying as to the total gross
leasable area of the Initial Improvements. Within five (5) business days after
(x) a certificate of occupancy is issued for any subleased portion of the
Initial Improvements, and (y) the subtenant under the sublease of such subleased
premises opens for business to the public, Lessee shall provide Lessor with a
certificate certifying as to the gross leasable area of such subleased premises.
If the Rental Commencement Date is other than the first day of the month, the
"Basic Rent" for such month in which the Rental Commencement Date occurs shall
be prorated.

          (b)     PAYMENTS BY LESSEE FOR CREDIT AGAINST BASIC RENT. Lessor and
     Lessee are parties to that certain Option to Lease (the "OPTION") which
     provides for payment, by Lessee to Lessor, of certain sums which sums shall
     not be credited against, but shall be in addition to, "Basic Rent."

          2.2.    BASIC RENT. During the Term hereof, Lessee shall pay rent
("BASIC RENT"), in advance, on the first day of each calendar month in an amount
equal to $5,000.00.

          2.3.    NO PARTNERSHIP RELATIONSHIP. Notwithstanding any provision of
this Lease, the intention to form a partnership or any other association (other
than that of landlord and tenant) as between Lessor and Lessee is denied, and no
partnership, joint venture, or other entity or association, or relationship of
principal and agent, shall be deemed to result from any provision of this Lease
or otherwise.

                                       -2-
<Page>

          2.4.    SALES AND USE TAXES. Any sales or use taxes payable with
respect to any rent due hereunder shall be paid by Lessee.

          3.      IMPOSITIONS, NET LEASE, ETC.

          3.1.    PAYMENT OF IMPOSITIONS. Following the commencement of the
Term, Lessee agrees to pay or cause its subtenants to pay, before delinquency,
all taxes and assessments (including but not limited to ad valorem, sales, use,
tangible personal property, excise, franchise, or other local, state, or federal
taxes or fees), general and special, water and sewer rents, rates and charges,
charges for public utilities, excises, levies, documentary stamps, license and
permit fees and other governmental charges, general and special, ordinary and
extraordinary, of any kind and nature whatsoever (other than income, intangible,
federal and state inheritance, franchise and estate taxes assessed against
Lessor or its partners or principals as a result of the rents paid hereunder or
against the estate of any partner of Lessor as a result of the value of the
Premises or Lessor's interest in said Premises or this Lease) (collectively, the
"IMPOSITIONS"), which at any time during the Term may be assessed, levied, or
imposed upon the Premises, or any part thereof or any appurtenance thereto or on
any rentals paid hereunder, or on any business activity conducted (other than by
Lessor) on or from the Premises; all of which Impositions shall be paid by
Lessee on or before the last day on which payment may be made without penalty,
unless Lessee is contesting such Impositions as provided in Paragraph 3.3.
Notwithstanding the foregoing, all Impositions becoming a lien upon the
Premises, or payable, with respect to any calendar year of the Term, a portion
of which calendar year is not within the Term, shall be prorated between Lessor
and Lessee. Subject to the provisions of Paragraph 3.3, Lessee shall, within ten
(10) days after request from Lessor, furnish to Lessor for inspection within
thirty (30) days after the last day on which Impositions may be paid without
penalty, official receipts of the appropriate authority or other proof
reasonably satisfactory to Lessor evidencing such payment.

          3.2.    NET/NET GROUND LEASE. This is a net/net ground lease, and
Lessee shall pay or cause to be paid all expenses of every kind associated with
the Premises and any business conducted thereon or therefrom, including but not
limited to insurance, service charges, liens, and Impositions of any kind and
description in connection with the Lease, the Premises, the rental paid
hereunder or any business conducted thereon or therefrom, including but not
limited to sales, use, tangible personal property and ad valorem taxes, and any
liens, impact fees, and other Impositions on the above, but excluding any
payments in connection with any mortgage or other lien encumbering the interest
of Lessor. In the event any special assessment or tax is imposed on the Premises
or any business conducted thereon, Lessor, shall upon request from Lessee,
elect, to the extent available, to have such tax paid in the maximum number of
installments permitted, but Lessee shall be fully responsible for paying all
such tax accruing during the Term as provided above..

          3.3.    CONTESTS. Notwithstanding anything contained in this Lease to
the contrary, Lessee shall have the right at any time and from time to time to
contest the amount or validity of any Impositions by appropriate legal
proceedings, diligently pursued, in the

                                       -3-
<Page>

name of Lessor (which shall cooperate with Lessee at Lessee's cost) if required
by any law, rule or regulation, and to withhold payment of such Impositions
during the pendency of such contest, provided that: (i) neither the Premises nor
any part thereof nor interest therein would be in any imminent danger of being
sold or forfeited; (ii) all expenses incurred in connection with such
proceedings shall be paid by Lessee, and (iii) unless otherwise deposited with a
governmental authority or not required by law as a condition to contest, Lessee
shall deposit with a "Leasehold Mortgagee" (defined in Paragraph 14.1 below)
with a first lien (a "FIRST LEASEHOLD MORTGAGE") on Lessee's interest in the
Premises (the "FIRST LEASEHOLD MORTGAGEE") or with Lessor, cash, a letter of
credit, a surety bond, or other reasonable security in an amount equal to at
least one hundred percent (100%) of the contested portion of such Impositions,
or Lessee shall provide Lessor with title insurance from a title insurer of
national recognition insuring without exception for the contested Impositions.

          4.      USE OF PREMISES. Lessor agrees that the Premises may be used
for any lawful purposes. Any and all buildings and improvements constructed on
the Premises and any portion thereof shall be used only for lawful purposes.
Lessee shall not commit or permit any waste to the Premises or any improvements
located thereon, except that the foregoing shall not in any way limit the right
of Lessee, its agents, employees and subtenants, to demolish, renovate, rebuild,
construct, modify, alter and improve, in whole or in part, at any time or from
time to time, improvements now or hereafter located on the Premises in
accordance with Paragraph 6 hereinbelow.

          5.      MAINTENANCE AND REPAIRS. Lessee (or its subtenants), at all
times during the term of this Lease, and at its or their own expense, shall keep
and maintain in good order and repair, all buildings and improvements on the
Premises, subject to normal wear and tear and loss by casualty.

          6.      IMPROVEMENTS, ALTERATIONS AND ADDITIONS. Lessee and its
subtenants, at its or their own expense, shall have the right from time to time
(i) to demolish and remove any and all buildings, structures and improvements
now or hereafter located on the Premises; (ii) to construct a new or replacement
building or buildings, structures and/or improvements on the Premises; (iii) to
replace, improve, construct, and erect any and all buildings, structures and
improvements on the Premises; and (iv) to make any and all alterations,
modifications and additions to such buildings, structures and improvements,
provided that, (a) all work performed by Lessee at the Premises shall be done in
a good and workmanlike manner and in material compliance with all applicable
laws, rules, and regulations (subject, however, to Lessee's right to contest
such laws by applicable proceedings conducted in good faith and diligently
pursued), (b) Lessee shall cause any general contractor performing material work
at the Premises to name Lessor as an additional insured on such general
contractor's liability insurance, and (c) for work involving costs in excess of
$500,000 (which amount shall be increased or decreased every fifth Lease Year of
the Term based upon the net increase or decrease in the Index (as hereinafter
defined) during the immediately preceding five Lease Year period), site plans,
exterior design plans, and landscaping plans shall be submitted to and approved
by Lessor, which approval shall not be unreasonably withheld, conditioned, or
delayed (and Lessor's failure to give written notice of disapproval

                                       -4-
<Page>

of a submission within fifteen (15) days after receipt of same shall be deemed
an approval of such submission).

          (a)     ON-SITE AND OFF-SITE DETENTION AND RETENTION. Lessee agrees
     that it shall be solely responsible for all stormwater runoff and drainage,
     both on-site and off-site, from the use and operation of the Premises and
     all buildings, structures, and improvements now or hereafter constructed by
     Lessee thereon, and, other than as expressly provided below with respect to
     the Drainage Easement and the Drainage Facility, shall be solely
     responsible for providing, at Lessee's cost, any and all on-site or
     off-site retention or detention as may be required from time-to-time by any
     governmental regulatory authorities or as otherwise provided in this Lease.
     Lessee also agrees that it shall be solely responsible for obtaining, at
     Lessee's cost, any and all necessary governmental or other regulatory
     authority approvals or permits relating to the foregoing.

          Lessor warrants that the Drainage and Retention Pond Easement dated
     April 7, 1978, by and between Lessor and Governors Square, Inc., recorded
     at Official Records Book 894, Page 1025, public records of Leon County,
     Florida, and as amended and modified by that certain Amendment to Drainage
     and Retention Pond Easement dated April 1, 1980, recorded in the Public
     Records, Official Records Book 956, Page 2240, and as further amended by a
     Second Amendment to Drainage and Retention Pond Easement dated February 28,
     1992, recorded in the Public Records, Official Records book 1546, Page
     0644, and as supplemented by a Supplement to Drainage and Retention Pond
     Easement dated January 12, 1993, recorded in the Public Records, Official
     Records Book 1546, page 644, (the "DRAINAGE EASEMENT") is in full force and
     effect and has not been amended or modified except as stated herein. To the
     extent permissible under the terms of the Drainage Easement, Lessor assigns
     and grants to Lessee that part of the non-exclusive rights as are permitted
     under the Drainage Easement for the purpose of draining surface waters from
     the Premises into the Governors Square drainage facility (the "DRAINAGE
     FACILITY" or "STORMWATER POND") as described in the Drainage Easement,
     subject to the following conditions and restrictions.

          (b)     The maximum impervious surface to be drained from the Premises
     to the Stormwater Pond shall not exceed 1.6 acres of the Premises.

          (c)     If Tenant's use and the improvements made by Lessee to the
     Premises shall be determined by any governmental or other regulatory
     authority or reasonably determined by the grantee or grantee's successors
     under the Drainage Facility to accommodate runoff in excess of that
     permitted under Subsection b which may result from any Lessee's development
     of the Premises, then, at Lessee's cost, such alterations shall be
     completed and any necessary governmental approvals or permits shall be
     obtained before Lessee's development is commenced or if already commenced,
     then within a reasonable

                                       -5-
<Page>

     period of time after written notice to Lessee. The cost to be paid by
     Lessee shall include, without limitation, design, and engineering fees,
     cost of complying with any applicable environmental regulations and
     construction costs and all permitting fees, and the cost, if any, of
     obtaining any consent or permission from any party other than Lessor having
     an interest in the Drainage Facility or the Drainage Easement.

          (d)     Lessee shall not be responsible for performance of or
     contribution to maintenance of the Drainage Facility except (1) to the
     extent as may be required under the paragraph next above; and (2) to the
     extent that Lessor may be obligated or liable to any third party under the
     Drainage Easement or any governmental entity for such maintenance (provided
     Lessor shall not agree or consent to the increase or expansion of its
     existing obligations and liabilities with respect to such maintenance) and
     in either event, Lessee shall be responsible for discharging and satisfying
     Lessor's obligations and liability to the extent the same shall be required
     as a result of Lessee's use and occupancy of the Premises.

          (e)     In addition to the foregoing, if there is no public drainage
     way or easement available, then Lessor agrees that it will grant to Lessee
     a non-exclusive easement to the extent as may be reasonably necessary over
     and across property owned by Lessor which lies between the Premises and the
     Drainage Facility for the purpose of utilizing the drainage rights granted
     by Lessor herein to the extent that it may be necessary to transport that
     part of the stormwater allowed under this provision to be drained from the
     Premises to the Drainage Facility. The location, route, and type of
     construction of said easement area shall not unreasonably interfere with
     Lessor's use of Lessor's property over which the easement will run and
     shall be subject to the consent of the Lessor, provided, however, such
     consent shall not be unreasonably withheld, conditioned or delayed. Lessee
     acknowledges that any and all costs and expenses associated with the
     location of said easement, the construction, installation or utilization of
     the easement, or any other matters pertaining to said easement, shall be
     borne by the Lessee.

          (f)     INDEMNIFICATION AND INSURANCE IN CONNECTION WITH ON-SITE AND
     OFF-SITE DRAINAGE DETENTION AND RETENTION. Lessee agrees that it will
     indemnify and save Lessor harmless against any and all legal liabilities,
     penalties, damages, expenses, claims, and judgments arising from injury or
     damage or death to person or property occasioned by Lessee's or any of
     Lessee's employees', agents', or contractors' acts or failures to act with
     respect to the Drainage Facility, or on the Premises in connection with the
     operation of the Drainage Facility and this shall be construed to include,
     but not be limited to, claims or actions for air, water, or noise
     pollution, including, but not limited to claims or actions arising from
     surface water runoff or drainage from

                                       -6-
<Page>

     the Premises. Lessee shall cause the public liability insurance policies
     required under this Lease to include the Drainage Facility.

          (g)     MODIFICATION OR TERMINATION OF DRAINAGE EASEMENT AGREEMENT.
     Lessor shall not cause or permit the termination of the Drainage Easement
     Agreement and shall not modify or amend the Drainage Easement Agreement in
     any manner which may (i) adversely affect Lessee's or any of its
     subtenants' (or sub-subtenants') use of the Drainage Facilities, (ii)
     reduce Lessee's rights thereunder or (iii) increase Lessee's obligations or
     liabilities thereunder.

          7.      REQUIREMENTS OF LAW. Lessee shall, at its own expense,
maintain material compliance with all present and future laws, ordinances,
requirements, orders, directions, rules, and regulations of the federal, state,
county, and city governments and of all other governmental authorities having
jurisdiction over the Premises or any part thereof, and all of their respective
departments, bureaus, and officials, whether the same are in force at the
commencement of the Term or may in the future be passed, enacted, or directed
(collectively, "LAWS AND REGULATIONS") to the extent such compliance is within
the control of Lessee, and Lessee shall use commercially reasonable efforts to
require that subtenants of the Premises maintain material compliance with all
applicable Laws and Regulations. Without limiting the generality of the
foregoing, Lessee or its subtenants shall procure, pay for, and keep in effect
all permits, licenses, certificates, or other authorizations required in
connection with any buildings or improvements erected on the Premises. Lessor
shall cooperate with Lessee therein at Lessee's cost. Notwithstanding the
foregoing, Lessee and its subtenants may contest any Laws and Regulations or the
application thereof to the Premises or any buildings or improvements located
thereon by appropriate proceedings diligently pursued and in the name of Lessor
if required by any Laws and Regulations and may fail or refuse to comply with
any contested Laws and Regulations during the pendency of such contest, provided
that: (a) neither the Premises nor any part thereof nor interest therein would
be in any imminent danger of being sold or forfeited; and (b) all expenses
incurred in connection with such proceedings shall be paid by Lessee. Lessor
shall not unreasonably withhold its consent to, and shall join in, all
easements, dedications or rights-of-way to public authorities and/or utility
companies. As of the date of this Lease, Lessor has not received notice of any
violation by or at the Premises by any Laws and Regulations other than
violations which have theretofore been corrected.

          8.      MECHANICS' AND MATERIALMEN'S LIENS. If at any time during the
Term, any lien or claim for lien of a mechanic, materialman or laborer shall be
filed against the Premises or any part thereof for any work, labor, or materials
furnished or claimed to have been furnished to, or pursuant to agreement with
Lessee, any agent or subtenant of Lessee, or any agent, subtenant, contractor,
or subcontractor of any of them (such work, labor, or materials being "LESSEE'S
WORK"), Lessee shall, at Lessee's cost, within thirty (30) days after the filing
thereof and notice of such filing, either (a) cause the lien to be discharged of
record by payment, deposit, bond, order of court of competent jurisdiction,
appropriate legal proceedings or otherwise; or (b) cause a title insurer of
national recognition to insure Lessor without exception for loss or damage to
Lessor's interest in the Premises that may be

                                       -7-
<Page>

occasioned by such lien; or (c) deposit with a Leasehold Mortgagee or Lessor
cash, a letter of credit, a surety bond or other reasonable security in an
amount at least equal to one hundred percent (100%) of such lien. If any action
or proceeding is brought against Lessor or any agent of Lessor in connection
with any Lessee's Work or any lien or claim for lien for any Lessee's Work,
Lessee either shall, at its cost, or shall cause the responsible subtenant, at
such subtenant's cost, to defend the same on behalf of Lessor or any such agent,
as the case may be, to the extent allowed by law, and to pay the amount of any
award or judgment made in such action or proceeding, prior to the issuance of
any execution against Lessor or the Premises, or both, to satisfy such award or
judgment.

          Lessee is not the agent of Lessor for the construction, alteration, or
repair of any buildings or improvements on the premises by Lessee during the
term of this Lease, and all contractors, materialmen, mechanics, and laborers
are hereby charged with notice that they must look to Lessee only for the
payment of any charge for work done or materials furnished on the Premises
during the term of this Lease.

          9.      CASUALTY INSURANCE.

          9.1.    FIRE AND EXTENDED COVERAGE. Lessee, at its own expense, will
at all times keep the buildings and improvements on the Premises insured against
loss by fire, with extended coverage and such other coverage as is customarily
maintained by owners of like properties in Tallahassee, Florida, in each case in
an amount sufficient to prevent Lessor and Lessee from becoming co-insurers
under provisions of applicable policies of insurance, all such policies shall be
in an amount not less than ninety percent (90%) of the full replacement cost of
all buildings and improvements located from time to time on the Premises,
exclusive of footings and foundation.

          9.2.    BOILER INSURANCE. Lessee, at its own expense, will also
maintain, to the extent available, explosion insurance in respect to any steam
and pressure boilers and similar apparatus located on the Premises in customary
amounts.

          9.3.    INSURANCE REQUIREMENTS.

          (a)     Except as otherwise provided in this Paragraph 9.3, all
     insurance provided by Lessee as required by this Paragraph 9 and by
     Paragraph 12 shall be procured from companies licensed to transact business
     in the State of Florida. Lessor shall be named as an additional insured on
     all policies of liability insurance. Certificates evidencing such insurance
     shall be delivered to Lessor upon the execution of this Lease, and renewals
     thereof shall be delivered to Lessor at least thirty (30) days prior to the
     expiration dates of the respective policies. All such policies shall
     contain a provision that they shall not be cancelled or materially modified
     without at least thirty (30) days (or such other time period as may from
     time to time be customary under similar policies) prior notice to Lessor.
     Any and all insurance required under this Lease may be provided by blanket
     insurance policies covering the Premises as well as other properties,
     provided such blanket insurance policies are

                                       -8-
<Page>

     reasonably acceptable to Lessor. Notwithstanding any of the foregoing, but
     subject to the provisions of Paragraph 9.3(b) below, where a subtenant of
     Lessee provides insurance through a program of self-insurance, such
     self-insurance shall be deemed to fulfill the requirements hereof.

          (b)     Lessee (or its subtenant, if applicable) may self-insure any
     of the insurance obligations hereunder during any period of time in which
     the net worth of the insuring party (or a guarantor thereof) exceeds One
     Hundred Million Dollars ($100,000,000.00), which amount shall be adjusted
     on the twenty-first (21st) anniversary of the date of this Lease and
     thereafter on each subsequent fifth anniversary during the Term of this
     Lease, by increasing such amount so as to reflect the percentage increase
     in the Consumer Price Index for Urban Wage Earners and Clerical Workers,
     U.S. City Average, All Items (the "INDEX") published by the Bureau of Labor
     Statistics of the United States Department of Labor over the most recently
     reported monthly index as of the date of this Lease. If Lessee or any
     subtenant intends to self-insure any of the insurance obligations hereunder
     as provided above, such Lessee or subtenant must first notify Lessor of
     Lessee's or subtenant's intentions and furnish to Lessor and keep on file
     with Lessor a current set of financial statements showing a net worth
     (assets minus liabilities) of the Lessee or subtenant, as applicable, of
     not less than $100,000,000.00 as of the ending balance sheet date. Such
     financial statements shall include a balance sheet, income statement and
     statement of cash flow; shall be prepared in accordance with generally
     accepted accounting principles ("GAAP"); and shall be accompanied by an
     unqualified report from a firm of nationally recognized independent
     auditors based on an audit performed in accordance with generally accepted
     auditing standards ("GAAS"). For purposes of this section, "Current Set of
     Financial Statements" shall mean financial statements with an ending
     balance sheet date within the last sixteen (16) months. If at any time the
     net worth of Lessee or subtenant utilizing this provision is less than the
     required amount, such Lessee or subtenant shall immediately obtain the
     required insurance coverage as otherwise required in this Lease or be in
     default of this Lease.

          9.4.    INSURANCE PROCEEDS. In the event of loss under any such policy
or policies, Lessee may, at its option, proceed with the repair, if and to the
extent proceeds are received by Lessee, restoration, or replacement of the
damaged or destroyed buildings and improvements in accordance with Paragraph 10
hereof; or, in the alternative, Lessee may remove the debris and grade the site.
Subject to the terms of any first Leasehold Mortgage, the insurance proceeds
shall be paid to a nationally recognized title insurance company or trust
company, as escrowee, for application to such repair, restoration, or
replacement as same progresses, or, if the aggregate insurance proceeds are less
than Two Hundred Thousand Dollars ($200,000.00) and there is no uncured Event of
Default hereunder, such proceeds shall be paid directly to Lessee to pay the
cost of repair, restoration, or replacement. Upon the completion of such repair,
restoration, or replacement, free from all liens of

                                       -9-
<Page>

mechanics and materialmen and others, any surplus of insurance monies shall be
paid to Lessee or to its first Leasehold Mortgagee, if required under such
mortgagee's mortgage. Lessee's first Leasehold Mortgagee at the time of any loss
under any insurance policy or policies maintained by Lessee hereunder shall be
entitled to participate in the settlement of any insurance claim to the extent
provided in such first Leasehold Mortgagee's loan documents.

          10.     DAMAGE OR DESTRUCTION.

          10.1.   RESTORATION OR REPLACEMENT. Except as provided in Paragraph
10.2, in the event of damage to or destruction of the buildings or improvements
on the Premises by fire or other casualty, Lessee shall give Lessor and any
Leasehold Mortgagee prompt notice thereof and shall promptly, at its own expense
(or with the proceeds of insurance), (a) repair, restore, or rebuild the
existing buildings and improvements or construct other improvements and
buildings of equal or greater value, or (b) at Lessee's option, remove all
debris and grade the site; provided that, if Lessee elects to remove all debris
and grade the site pursuant to clause (b) above, this Lease shall terminate
ninety (90) days after completion thereof and Lessee shall be entitled to retain
any insurance proceeds in excess of the cost of such removal and grading. In the
event a fire or other casualty damages or destroys the buildings or improvements
on the Premises, unless due to any act or omission of Lessor, its agents or
employees, Lessee shall not be entitled to any abatement of Basic Rent during
the period such damage or destruction is being repaired or restored.

          10.2.   RIGHTS OF LEASEHOLD MORTGAGEE. Notwithstanding the provisions
of Paragraphs 9 or 10, if the terms of a Leasehold Mortgage shall require that
any insurance proceeds be paid to the holder of the Leasehold Mortgage for
application to amounts owing under the Leasehold Mortgage, then (a) such
proceeds shall be paid to such holder to the extent required under the Leasehold
Mortgage; and (b) Lessee's obligations for repair, restoration, or rebuilding
under Paragraph 10.1 shall be limited to such work as can be reasonably
accomplished with the amount of the insurance proceeds, if any, available to
Lessee after application of proceeds under the Leasehold Mortgage.

          10.3.   TERMINATION. Notwithstanding any provision of this Lease to
the contrary, if (a) the amount of the proceeds, if any, paid to the holder of
the Leasehold Mortgage under Paragraph 10.2 is equal to fifteen percent (15%) or
more of the amount required to complete any repair, restoration, or rebuilding
necessitated by fire or other casualty as estimated by an independent engineer
or architect reasonably satisfactory to Lessor and Lessee (an "ESTIMATOR"); or
(b) the amount which would be required to complete any repair, restoration, or
rebuilding necessitated by fire or other casualty as estimated by an Estimator
is equal to or greater than 30% of the full replacement cost of the buildings,
structures and improvements on the Premises, then, in either event, Lessee shall
have the option to terminate this Lease upon written notice to Lessor (a
"TERMINATION NOTICE") given not later than the date ninety (90) days after the
date of the fire or other casualty. If a Termination Notice shall be given, then
this Lease shall terminate on the date in the Termination Notice, but not later
than one hundred eighty (180) days after the giving of the

                                      -10-
<Page>

Termination Notice, and, subject to the rights of the holder of the Leasehold
Mortgage under Paragraph 10.2, Lessee shall at its option (a) assign to Lessor
all of Lessee's right in and to any insurance proceeds relating to the
buildings, structures or improvements, or (b) remove all debris and grade the
site in which event Lessee shall be entitled to retain such insurance proceeds.
Prior to such termination, Lessee shall, at the option of Lessor and upon not
less than thirty (30) days prior written notice, remove all improvements from
the Premises (and provide Lessor with certification from appropriately licensed
engineers that everything, including foundations and underground improvements
installed by Lessee, has been removed and that there is no known environmental
contamination or other condition that was created during Lessee's tenancy that
will prevent Lessor or its tenants from utilizing the Premises for any legally
permitted commercial purposes. Lessee shall be entitled to reimbursement of the
cost of removal and the foregoing engineering services from any insurance
proceeds which would otherwise be paid to Lessor pursuant to this paragraph.

          11.     CONDEMNATION.

          11.1.   TOTAL CONDEMNATION. If the whole of the Premises shall be
taken or condemned by a competent authority for any public or quasi-public use
or purpose, or if such a substantial part thereof is taken such that, in
Lessee's reasonable judgment, the part not so taken cannot be restored so as to
permit Lessee the use of the Premises in substantially the same manner and on
substantially the same economic basis as immediately preceding such
condemnation, then, subject to the terms of any first Leasehold Mortgage, this
Lease shall, at Lessee's option, terminate as of the date upon which possession
of the affected portion of the Premises passes to such authority, or the date on
which the Lessee is actually required to vacate the Premises, whichever is
later.

          11.2.   DISTRIBUTION OF AWARD.

          (a)     In the event of a taking which results in the termination
     of this Lease, the net award shall be apportioned between Lessor and
     Lessee as provided in Subsection (b) of this Paragraph 11.2, with
     Lessee's portion thereof being paid to the Leasehold Mortgagee to the
     extent of said Leasehold Mortgagee's interest therein under the terms
     of said mortgage.

          (b)     Upon termination of the Lease under Paragraph 11.1 or
     upon completion of such repair and restoration or replacement under
     Paragraph 11.3, as the case may be, the balance of the award, if any,
     shall be divided between Lessor and Lessee in the ratio, as nearly as
     practicable, which (i) the then value of Lessor's interest in the
     Lease (based upon the then present value of the rentals payable
     hereunder through the then remaining balance of the Term) plus the
     then present value of Lessor's residual interest in the Premises and
     Improvements bears to (ii) the then present value of Lessee's interest
     under the Lease (including the value of the leasehold estate, which
     shall include the value of the ownership of the Improvements during
     the Term, and of the right to the use and enjoyment of, and the income
     from, the Premises and

                                      -11-
<Page>

     Improvements through the then remaining balance of the Term), in each
     case determined by appraisal as provided in Paragraph 21.

          11.3.   PARTIAL CONDEMNATION RESTORATION OR REPLACEMENT OF PREMISES.

          (a)     If only a part of the Premises shall be so taken or
     condemned, and Lessee is not entitled to terminate this Lease pursuant
     to Paragraph 11.1 or Lessee is entitled to terminate this Lease
     pursuant to Paragraph 11.1, but does not elect to do so, and

                      (i)   the part not so taken can be restored so
          as to permit Lessee, in Lessee's reasonable judgment, to use
          the Premises in the same manner and on the same economic
          basis as immediately preceding such condemnation, this Lease
          shall remain in full force and effect and the net award
          shall be utilized, apportioned and paid in accordance with
          Subsection (b) of this Paragraph 11.3 and Subsection (b) of
          Paragraph 11.2.

                      (ii)  in all other cases, this Lease shall
          remain in full force and effect, but the Basic Rent shall be
          equitably reduced according to the Lessee's ability to use
          the remaining Premises and the net award shall be utilized,
          apportioned and paid in accordance with Subsection (b) of
          this Paragraph 11.3 and Subsection (b) of Paragraph 11.2.

          (b)     Subject to the terms of any first Leasehold Mortgage, in
     the event of a partial taking which shall not result in termination of
     this Lease, the net award shall be paid to a nationally recognized
     title insurance company or trust company, as escrowee, to pay the cost
     of repair and restoration or replacement of the Premises and its
     buildings and improvements, or, if the net award is less than Two
     Hundred Thousand Dollars ($200,000.00) and there is no uncured Event
     of Default hereunder, such award shall be paid directly to Lessee to
     pay the cost of repair and restoration or replacement. In such event,
     Lessee, at Lessee's own expense, will commence and complete the
     repair, restoration or replacement of the Premises to the extent
     reasonably practical as provided in this Paragraph, but only to the
     extent of the amount of proceeds paid by the condemning authority
     after reduction for costs and expenses paid or incurred by Lessee in
     connection with the taking or condemnation.

          11.4.   REMAINING PROPERTY. Any portion of the Premises remaining
after a taking of the nature specified in Paragraph 11.1 hereof shall be
appraised pursuant to the appraisal procedures provided in Paragraph 21, but in
no event shall the appraised value of the remainder be more than an amount which
when added to the award for the partial taking and severance damages, if any, to
the remainder will exceed the value of the entire Premises immediately prior to
the taking. Within twenty (20) days after completion of the appraisal process,
Lessor shall pay Lessee the amount which Lessee would have received in

                                      -12-
<Page>

accordance with the provisions of the last sentence of Paragraph 11.2(b)hereof
had the remaining portion of the Premises been sold for a price equal to the
appraised value thereof, with Lessee's portion thereof being paid to the
Leasehold Mortgagee to the extent of said Leasehold Mortgagee's interest therein
under the terms of its mortgage.

          11.5.   RIGHTS OF LEASEHOLD MORTGAGEE. Notwithstanding any of the
foregoing provisions of Paragraph 11, if the terms of a Leasehold Mortgage shall
require that any award be paid to the holder of the Leasehold Mortgage for
application to amounts owing under the Leasehold Mortgage, then (a) such award
shall be paid to such holder to the extent required under the Leasehold
Mortgage; and (b) Lessee's obligations for repair, restoration, or rebuilding
under Paragraph 11.3 shall be limited to such work as can be reasonably
accomplished with the amount of the award, if any, available to Lessee after
application of the award under the Leasehold Mortgage. The balance of any award
after application under the Leasehold Mortgage shall be applied as provided in
this Paragraph 11.

          12.     PUBLIC LIABILITY AND RENTAL INSURANCE.

          12.1.   LIABILITY INSURANCE. Lessee, at its own expense, shall provide
and keep in force for the benefit of Lessor and Lessee, comprehensive general
public liability insurance, liability insurance, to the extent available,
insuring against liability for bodily injury, death, and property damage in
minimum amounts of not less than Two Million Dollars ($2,000,000.00) in respect
to injuries to or death of any one person, not less than Two Million Dollars
($2,000,000.00) in respect to injuries to or death of more than one person in
any one occurrence, and not less than Five Hundred Thousand Dollars
($500,000.00) in respect to damage to property. The foregoing limits of
insurance shall be reviewed and adjusted periodically by Lessee upon Lessor's
written request (but not more than one time in any five year period) so that the
amounts of insurance maintained are comparable to that maintained on properties
comparable in size, operation, and location to the Premises or, as to such
portion of the Premises which has been subleased to subtenants of national or
regional recognition, are comparable with the insurance maintained by such
subtenants on properties of comparable size and operation. Any and all such
insurance may be provided by blanket insurance policies covering the Premises as
well as other properties or by subtenants' self-insurance programs as described
in Paragraph 9.3 above. Lessee shall furnish Lessor with a certificate of such
insurance.

          12.2.   LOSS OF RENT INSURANCE. To the extent available, Lessee, at
its own expense, shall provide and keep in force loss of rental value insurance
in an amount equivalent to at least twelve (12) months Tenant Rent (based upon
the immediately preceding Operating Year). Lessee shall furnish Lessor with a
certificate of such insurance.

          13.     INDEMNIFICATION BY LESSEE; WAIVER OF SUBROGATION.

          13.1.   INDEMNIFICATION BY LESSEE. Lessee will protect, indemnify, and
save harmless Lessor from and against all liabilities, obligations, claims,
damages, penalties, causes of action, costs and expenses (including, without
limitation, reasonable attorneys' fees and expenses) imposed upon, incurred by,
or asserted against Lessor by reason of (a) any

                                      -13-
<Page>

accident, occurrence, injury to, or death of persons (including workmen) or loss
of or damage to property occurring during the Term on or about the Premises or
any part thereof or the adjoining sidewalks, curbs, vaults and vault space, if
any, streets or ways, (b) any use, non-use, or condition of the Premises or any
part thereof or the adjoining sidewalks, curbs, vaults or vault space, if any,
streets or ways during the Term, (c) performance of any labor or services or the
furnishing of any materials or other property in respect of the Premises or any
part thereof during the Term, or (d) any act or action brought or asserted by
any party, including any governmental agency, for anything alleged to have
occurred or originated on the Premises during the Term, including but not
limited to any claim for wrongful discharge of stormwater or any substance that
may be alleged to result in harm to the environment during the term, except to
the extent any of the foregoing is caused by any act or omission of Lessor or
its partners, principals, or beneficiaries or their respective agents, officers,
directors, shareholders, employees, servants, contractors, subcontractors,
successors, or assigns. In case any action, suit, or proceeding is brought
against Lessor by reason of any such occurrence for which Lessee has indemnified
Lessor, Lessee, upon Lessor's request, shall, at Lessee's expense, resist and
defend such action, suit, or proceeding. The obligations of Lessee under this
Paragraph arising by reason of any such occurrence taking place during the Term
of this Lease shall survive any termination of this Lease. Lessor shall promptly
notify Lessee of any facts of which Lessor becomes aware which could give rise
to a claim covered by the indemnification contained in this Paragraph 13.1.
Lessee shall have the right to appoint counsel to defend any claim covered by
the indemnification contained in this Paragraph 13.1 and Lessor shall cooperate
with Lessee in defending any such claim. Lessor shall not settle any such claim
without the prior written consent of Lessee, which consent shall not be
unreasonably withheld, conditioned or delayed, and Lessor shall not unreasonably
withhold, condition or delay its consent or approval of any settlement of such
claim proposed by Lessee.

          13.2.   WAIVER OF SUBROGATION. Notwithstanding any other provision of
this Lease to the contrary but subject to the other provisions of this
Paragraph, Lessor and Lessee each hereby waive all rights of action against the
other for loss or damage to the Premises, any improvements located thereon or
any part thereof, or any property of Lessee in such improvements, which loss or
damage is insured or is required pursuant to this Lease to be insured by valid
and collectible insurance policies. Each policy of insurance required to be
maintained by Lessee under the terms of this Lease shall be endorsed with a
clause providing that any release from liability or waiver of claim for recovery
entered into in writing by the insured or any additional insured prior to any
loss or damage shall not affect the validity of such policy or the right of any
insured or additional insured to recover thereunder. The foregoing waiver of
subrogation shall not be effective unless the waiver can be obtained without
additional cost or premium to the insured party (unless, if a premium is due,
the other party pays or reimburses the insured party the amount of such
premium).

          14.     MORTGAGES OF THE LEASEHOLD; SUBTENANTS' RIGHTS TO DEAL WITH
LESSOR.

          14.1.   RIGHT TO MORTGAGE LEASEHOLD. Notwithstanding anything to the
contrary contained elsewhere in this Lease but subject to the conditions
contained in this

                                      -14-
<Page>

Paragraph 14.1, Lessee (including, without limitation, any subtenant, as to such
subtenant's interest in a portion of the Premises) shall have the unlimited
right, at any time and from time to time, to mortgage, hypothecate, collaterally
assign, place any lien, security interest or other encumbrance on or otherwise
encumber all or any part of Lessee's right, title, or interest in this Lease,
including without limitation, all or any part of Lessee's interest in any
buildings, structures or improvements now or hereafter located on the Premises.
Any debt or obligation secured by any mortgage, trust deed, collateral
assignment, security interest, lien, or other encumbrance on any such right,
title, or interest of Lessee or Lessee's subtenant is referred to herein as a
"LEASEHOLD MORTGAGE" and the holder thereof, a purchaser at foreclosure thereof,
or transferee, and any successor or assign of any such holder or purchaser or
any transferee under a deed-in-lieu of foreclosure, is referred to herein as a
"LEASEHOLD MORTGAGEE." Lessee shall from time to time furnish Lessor with copies
of all executed Leasehold Mortgage documents, including the notes, the Leasehold
Mortgages, and all other agreements securing the notes which relate to this
Lease. The rights of any Leasehold Mortgagee under this Lease shall inure to the
benefit of its successors and assigns and to any Purchaser at a foreclosure
sale. Lessor shall not be obligated to join in any such Leasehold Mortgage and
any such Leasehold Mortgage shall not encumber Lessor's fee simple interest in
the Premises.

          14.2.   RIGHTS OF LEASEHOLD MORTGAGEE. If at any time during the term
there shall be any Leasehold Mortgage, then notwithstanding anything to the
contrary contained herein, so long as such Leasehold Mortgage shall remain
unsatisfied of record, the following provisions shall apply, and any pertinent
provisions of this Lease shall be deemed to be amended and modified to the
extent necessary to provide as follows:

          (a)     In the absence of Lessee's default not cured within any
     applicable notice and cure period, there shall be no cancellation,
     surrender, amendment, acceptance of surrender, or modification of this
     Lease or attornment of any subtenant of the Premises to Lessor without
     the prior written consent of each Leasehold Mortgagee (given or denied
     in such Leasehold Mortgagee's discretion) and, absent the written
     consent of each Leasehold Mortgagee, any such cancellation, surrender,
     amendment, acceptance of surrender, or modification of this Lease and
     any such attornment shall be null and void and of no force or effect.
     In the event of a default by Lessee hereunder, the Lessor's right to
     terminate this Lease as provided in Paragraph 17 hereof, shall be
     subject to the rights of each Leasehold Mortgagee under this Paragraph
     14, including, without limitation, each Leasehold Mortgagee's right to
     notice of any default hereunder by Lessee, its right to cure any such
     default, and each first Leasehold Mortgagee's right to enter into a
     new or direct lease with Lessor.

          (b)     If Lessee or any Leasehold Mortgagee shall notify Lessor
     in writing of the Leasehold Mortgagee's name and address, Lessor, on
     serving on Lessee any notice of default, termination, or any other
     notice pursuant to the provisions of, or with respect to, this Lease,
     shall at the same time serve one

                                      -15-
<Page>

     duplicate counterpart of such notice on each such Leasehold Mortgagee
     by Registered or Certified Mail, Postage Prepaid and Return Receipt
     Requested, addressed to each such Leasehold Mortgagee at the address
     registered with Lessor, and no notice by Lessor to Lessee hereunder
     shall be deemed to be effective against such Leasehold Mortgagee
     unless and until such duplicate counterpart thereof has been so served
     on each such Leasehold Mortgagee.

          (c)     In the event that Lessee shall be in default hereunder,
     each Leasehold Mortgagee shall have the right, within thirty (30) days
     after the expiration of the notice or grace periods provided in
     Paragraph 16, to remedy any financial obligation of Lessee under this
     Lease or to remedy or commence to remedy any nonfinancial default
     under this Lease, and Lessor shall accept such performance by or at
     the instigation of a Leasehold Mortgagee as if the same had been
     performed by Lessee. Furthermore, and notwithstanding anything else
     contained in this Lease to the contrary, no default or "Event of
     Default" (as hereafter defined) by Lessee in performing work required
     to be performed, acts to be done, or conditions to be remedied, shall
     be deemed to exist, if all financial obligations of the Lessee,
     including but not limited to, payment of Basic Rent, Impositions, and
     insurance, are paid current by a Leasehold Mortgagee, provided that no
     default or Event of Default shall be deemed to exist if any payee
     either refuses to accept such payment or is enjoined by any court or
     governmental authority from accepting such payment, and steps (which
     may include the commencement of a foreclosure action) in good faith,
     shall have been reasonably promptly commenced by a Leasehold Mortgagee
     to cause all of such defaults or Events of Default which are
     reasonably susceptible of being cured by someone other than Lessee to
     be cured, and such cure is thereafter prosecuted to completion with
     diligence and continuity and all of such defaults or Events of Default
     which are reasonably susceptible of being cured by someone other than
     Lessee are ultimately cured within a reasonable time period under the
     circumstances.

          (d)     Notwithstanding anything else contained in this Lease to
     the contrary, including, without limitation, a Leasehold Mortgagee's
     right to cure Lessee defaults under this Lease, no Leasehold Mortgagee
     shall have any obligations or liabilities under this Lease whatsoever.
     Under no circumstances shall a Leasehold Mortgagee or any purchaser at
     a foreclosure sale of the Leasehold Mortgage or any transferee under a
     deed-in-lieu of foreclosure be subject to any personal liability under
     this Lease, and the Lessor, for itself and its successors and assigns,
     hereby acknowledges and agrees that the Lessor hereunder shall have no
     personal recourse against any Leasehold Mortgagee or any such
     purchaser or transferee, its successors or assigns, either before or
     after such Leasehold Mortgagee becomes an owner of the leasehold
     estate created hereby.

                                      -16-
<Page>

          (e)     Notwithstanding anything else in this Lease to the
     contrary, if an event or events ("TERMINATION EVENT") shall occur
     which shall entitle Lessor to terminate this Lease or Lessee's right
     to possession hereunder and (1) the applicable notice or grace period
     set forth in Paragraph 14.2(c) has not expired, or (2) such
     Termination Event arises from an Event of Default under Paragraphs
     16.1(a)-16.1(f), or (3) this Lease is rejected in a bankruptcy or
     similar proceeding involving Lessee, or (4) if a first Leasehold
     Mortgagee has foreclosed the leasehold estate created by this Lease,
     accepted an assignment in lieu of foreclosure, or such leasehold
     estate has been sold to a purchaser at a foreclosure sale, such first
     Leasehold Mortgagee or such purchaser shall thereupon have the option
     to obtain a new or direct Lease with Lessor in accordance with and on
     the following terms and conditions:

                      (i)   Within thirty (30) days after the written
          request of such Leasehold Mortgagee (or purchaser), Lessor
          shall enter into a new or direct Lease of the Premises with
          such Leasehold Mortgagee (or purchaser), or either of their
          designees, as provided in the following subparagraph (2)
          ("NEW LESSEE").

                      (ii)  Such new or direct Lease shall be entered
          into at the reasonable cost of the New Lessee, shall be
          effective as of the date of termination of this Lease, and
          shall be for the remainder of the Term and at the Basic Rent
          and on all the agreements, terms, covenants, and conditions
          of this Lease. On the execution of such new or direct Lease,
          the New Lessee shall pay any and all sums which would, at
          the time of the execution thereof, have been due under this
          Lease but for the termination as aforesaid, and shall
          otherwise fully remedy or agree in writing to remedy any
          existing defaults under this Lease of which such Leasehold
          Mortgagee was previously notified pursuant to Paragraph
          14.2(b) hereof, other than any default which is not
          reasonably susceptible of being cured by such New Lessee,
          which such default(s) shall be, and shall be deemed to be,
          waived by Lessor. The New Lessee shall pay all necessary and
          reasonable expenses, including reasonable counsel fees and
          court costs, incurred in terminating this Lease and in
          recovering possession of the Premises, as well as in the
          preparation, execution, and delivery of such new or direct
          Lease.

                      (iii) If a first Leasehold Mortgagee declines to
          enter into a new or direct Lease with Lessor as provided
          above, the provisions of this Subsection (e) shall apply to
          a second Leasehold Mortgage.

                                      -17-
<Page>

                      (iv)  In the event either the first or the
          second Leasehold Mortgagee enters into a new or direct Lease
          with Lessor in accordance with the terms and conditions
          hereof, Lessee shall release Lessor from any liability to
          Lessee hereunder and Lessor shall release Lessee from any
          liability to Lessor hereunder.

          Nothing contained herein shall release the Lessee named in this Lease
from any of its obligations under this Lease which may not have been discharged
or fully performed by a New Lessee, nor shall Lessee be released from any
obligations under any Leasehold Mortgage or other documents evidencing or
securing same.

          (f)     Each Leasehold Mortgagee, at its option, shall be named
     as an insured or loss payee, as requested, as its interest may appear,
     in all policies of insurance maintained by Lessee covering the
     Premises or the buildings and improvements located thereon.

          (g)     Upon the written request of any subtenant of Lessee or
     any leasehold mortgagee of any such subtenant, such subtenant or
     leasehold mortgagee or both, as applicable, shall be entitled to the
     rights and remedies accorded to a Leasehold Mortgagee, as described in
     Paragraphs 14.2(b) through (e) above and Paragraph 14.3 below, but
     only with respect to that portion of the Premises being leased by the
     subtenant from Lessee.

          14.3.   AMENDMENTS REQUIRED BY LEASEHOLD MORTGAGEE. Upon the written
request of Lessee from time to time, Lessor agrees to execute such reasonable
modifications or amendments of this Lease as shall be required by any Leasehold
Mortgagee or by any lender to which Lessee or a subtenant has made application
for a Leasehold Mortgage; provided that Lessee shall reimburse Lessor for any
costs, including reasonable attorneys' fees, incurred in connection with any
such modification or amendment, and provided further that in no event shall any
such modification (i) materially affect the rights of Lessor under this Lease,
(ii) materially affect the value of Lessor's interest in the Premises as
encumbered by this Lease, (iii) require Lessor to join in any such Leasehold
Mortgage, or (iv) extend any grace or cure periods provided herein. Lessor shall
not unreasonably withhold, condition, or delay any such request for such
modification or amendment.

          14.4.   AGREEMENT BETWEEN LESSOR AND LEASEHOLD MORTGAGEE. Within ten
(10) days after Lessor's receipt of written request from Lessee or any Leasehold
Mortgagee, Lessor agrees to execute and deliver in recordable form any agreement
or instrument required by any Leasehold Mortgagee to confirm the rights of such
Leasehold Mortgagee under this Paragraph 14.

          14.5.   LEASEHOLD MORTGAGEE INTENDED THIRD PARTY BENEFICIARY. Lessor
and Lessee acknowledge and agree that the provisions of this Paragraph 14 are
included for purposes of inducing Leasehold Mortgagees to finance the Premises
and improvements to be located thereon; and such provisions are intended for the
benefit of any and all Leasehold

                                      -18-
<Page>

Mortgagees and may be relied upon and enforced by any Leasehold Mortgagee as a
third party beneficiary of such provisions.

          15.     SUBLETTING AND ASSIGNMENT.

          15.1.   SUBLETTING. The parties acknowledge that Lessee may, without
the consent of Lessor, sublease portions of the Premises and the buildings,
structures and improvements located thereon from time to time during the Term to
subtenants who will carry on lawful activities permitted under this Lease.
Lessee shall be entitled to enter into subleases of any portions of the Premises
and/or the buildings, structures and improvements located thereon from time to
time during the term, provided that in no event shall the term of any sublease
or any renewal option contained therein extend beyond the expiration of the
Term.

          15.2.   ASSIGNMENT. Provided no Event of Default has occurred and is
continuing, Lessee may, without the consent of Lessor, at any time and from time
to time, sell, assign, or otherwise transfer all or any part of its right,
title, or interest in this Lease, including, without limitation, all or any part
of its interest in any subleases and/or all of its interest in any buildings,
structures and improvements located on the Premises; provided, that, except as
otherwise provided in Subsection 14.2(d), the proposed grantee, assignee, or
transferee (collectively, "TRANSFEREE"), agrees in writing to perform all of the
Lessee's covenants, agreements, and obligations under this Lease arising
subsequent to such assignment and, provided further, that a copy of such
instrument is delivered to Lessor within ten (10) days after the effective date
of such assignment; and upon such assignment, Lessee shall be relieved of all
liability and obligations which arise or accrue after the date of the
assignment.

          16.     DEFAULT.

          16.1.   EVENT OF DEFAULT. Lessee agrees that any one or more of the
following events shall be considered "EVENTS OF DEFAULT" as said term is used
herein, that is to say, if

          (a)     Lessee shall be adjudged an involuntary bankrupt, or a
     decree or order approving, as properly filed, a petition or answer
     filed against Lessee asking reorganization of Lessee under the Federal
     bankruptcy laws as now or hereafter amended, or under the laws of any
     state, shall be entered, and any such decree or judgment or order
     shall not have been vacated or set aside within ninety (90) days from
     the date of the entry or granting thereof; or

          (b)     Lessee shall file or admit the jurisdiction of the court
     and the material allegations contained in any petition in bankruptcy
     or any petition pursuant or purporting to be pursuant to the Federal
     bankruptcy laws as now or hereafter amended, or Lessee shall institute
     any proceeding or shall give its consent to the institution of any
     proceeding for any relief of Lessee under any bankruptcy or insolvency
     laws or any laws relating to the relief of debtors,

                                      -19-
<Page>

     readjustment of indebtedness, reorganization, arrangements,
     composition, or extension; or

          (c)     Lessee shall make any assignment for the benefit of
     creditors or shall apply for or consent to the appointment of a
     receiver for Lessee or any of the property of Lessee; or

          (d)     The Premises are levied upon by any revenue officer or
     similar officer and such levy shall not have been set aside within
     ninety (90) days from he date thereof; or

          (e)     A decree or order appointing a receiver of the property
     of Lessee shall be made and such decree or order shall not have been
     vacated or set aside within ninety (90) days from the date of entry or
     granting thereof; or

          (f)     Lessee shall abandon the Premises or vacate the same
     during the Term for a period in excess of ninety (90) days during any
     six month period, except during period of construction or restoration
     during which Lessee makes all payments due hereunder; or

          (g)     Lessee shall default in any payment of Basic Rent or in
     any other payment required to be made by Lessee hereunder when due as
     herein provided, and any such default shall continue for thirty (30)
     days after receipt by Lessee of written notice thereof; or

          (h)     Lessee shall default in keeping, observing, or performing
     any of the other covenants or agreements herein contained to be kept,
     observed, and performed by Lessee, and such default shall continue for
     thirty (30) days after receipt by Lessee of notice thereof in writing;
     provided that if such default is not reasonably susceptible of being
     cured within said thirty (30) day period and Lessee commences cure
     within such thirty (30) day period and thereafter diligently and
     continuously prosecutes such cure, Lessee shall not be deemed in
     default.

          Subject to the provisions of Paragraph 16.2, if Lessee fails to cure
any default within the applicable notice and grace period, Lessor (i) may, but
shall have no obligation to, exercise the remedy of curing the default on behalf
of and at the cost of Lessee, and (ii) may, subject to the provisions of
Paragraphs 14 and 18.1 of this Lease, exercise all remedies for an Event of
Default under Paragraph 17 of this Lease. However, if Lessee cures the default
within the applicable notice and grace period (or, where permitted, commences to
cure such default as provided above) and pays all out-of-pocket costs and
expenses incurred by Lessor in connection with the default, including without
limitation interest on monies advanced by Lessor at the rate of 9% per annum
commencing after expiration of the period permitted for cure, and reasonable
attorneys' fees, the default shall be deemed cured. Notwithstanding the
foregoing, if, as a result of any nonmonetary default, the Premises or any
improvements located thereon shall be in imminent danger of material damage or
destruction or Lessor's

                                      -20-
<Page>

title to the Premises shall be in imminent danger of being forfeited or
materially impaired, Lessor may, upon written notice to Lessee, proceed, prior
to the expiration of any applicable grace period, to cure such default, in which
event Lessee shall reimburse Lessor for the out-of-pocket cost of such cure
within ten (10) days after receipt of written demand therefor accompanied by an
itemization of such costs in reasonable detail.

          16.2.   FORCE MAJEURE. Notwithstanding any provision of this Lease to
the contrary, neither party shall be deemed to be in default as a result of its
failure to perform any of its non-monetary obligations under this Lease, if such
party's failure to perform any such obligation is due in whole or in part to any
strike, lockout, labor dispute (whether legal or illegal), labor shortage, civil
disorder, failure of power or other utility, governmental laws and regulations,
moratorium, riots, insurrections, war, freight or supply shortages or the
inability to obtain such commodities on reasonable terms, lack of or delays in
transportation, accidents, casualties, severe weather, acts of God, acts caused
directly or indirectly by the other party (or the other party's agents,
employees, guests or invitees), or any other cause beyond the reasonable control
of such party. In such event, the time for performance by such party shall be
extended by an amount of time equal to the period of the delay so caused.

          17.     REMEDIES FOR DEFAULT.

          17.1.   REMEDIES GENERALLY. Upon the occurrence of any one or more
Events of Default, Lessor may at its election terminate this Lease or terminate
Lessee's right to possession only without terminating the Lease.

          (a)     Upon termination of the Lease, the Lessee shall surrender
     possession and vacate the Premises immediately, and deliver possession
     thereof to the Lessor, and hereby grants to the Lessor the full and
     free right, without demand or notice of any kind to Lessee (except as
     expressly provided for herein) to enter into and upon the Premises in
     such event with or without process of law and to repossess the
     Premises as the Lessor's former estate and to expel or remove the
     Lessee and any others who may be occupying or within the Premises
     without being deemed in any manner guilty of trespass, eviction, or
     forcible entry or detainer, without incurring any liability for any
     damage resulting therefrom and without relinquishing the Lessor's
     rights to rent or any other right given to the Lessor hereunder or by
     operation of law.

          (b)     If the Lessor elects to terminate the Lessee's right to
     possession only without terminating the Lease, the Lessor may, at the
     Lessor's option, enter into the Premises, remove the Lessee's signs
     and other evidences of tenancy, and take and hold possession thereof
     as hereinabove provided, without such entry and possession terminating
     the Lease or releasing the Lessee, in whole or in part, from the
     Lessee's obligations to pay the rent hereunder for the full term or
     from any other of its obligations under this Lease. Lessor shall make
     commercially reasonable efforts to relet the Premises for such rent
     and upon such terms as shall be satisfactory to Lessor

                                      -21-
<Page>

     (including the right to relet the Premises for a term greater or
     lesser than that remaining under the Term, and the right to relet the
     Premises as a part of a larger area, and the right to change the
     character or use made of the Premises). For purposes of such
     reletting, Lessor may decorate or make any repairs, changes,
     alterations or additions in or to the Premises that may be necessary
     or convenient. If Lessor does not relet any portion of the Premises or
     the improvements located thereon Lessee shall pay to Lessor, as and
     when due on the dates set forth hereunder, damages equal to the amount
     of the Basic Rent and other sums provided herein to be paid by Lessee
     for the remainder of the Term as such items shall become due, as
     otherwise provided hereunder. If the Premises are relet in whole or in
     part and a sufficient sum shall not be realized from such reletting
     after paying all of the reasonable expenses of such decorations,
     repairs, changes, alterations, or additions, the expenses of such
     reletting and the collection of the rents and interest accruing
     therefrom (including, but not by way of limitation, reasonable
     attorneys' fees and brokers' commissions), to satisfy the Basic Rent
     and other charges herein provided to be paid for the reminder of the
     Term, Lessee shall pay to Lessor on demand any deficiency as such
     deficiency occurs, and Lessee agrees that Lessor may file suit to
     recover any sums falling due under the terms of this Paragraph from
     time to time, as such sums fall due. Any rent or other sums received
     by Lessor from subtenants of Lessee in respect of such subtenants' use
     and occupancy of the Premises, or portion thereof, shall be deemed
     sums realized from reletting of the Premises by Lessor following
     default by Lessee hereunder.

          (c)     Lessor may seek such other remedies as are provided by
     law, including but not limited to filing suit against Lessee for any
     amounts due hereunder, plus interest thereon, and reasonable
     attorneys' fees, which Lessor is entitled to recover hereunder. This
     remedy may be pursued by Lessor in addition to any other remedy sought
     herein.

          (d)     The rights of Lessor under this Paragraph 17 are subject
     to the provisions of Paragraphs 14 and 18.1 of this Lease.

          17.2.   REMEDIES CUMULATIVE. No remedy herein or otherwise conferred
upon or reserved to Lessor or Lessee shall be considered to exclude or suspend
any other remedy, provided herein or available under Florida law, but the same
shall be cumulative and shall be in addition to every other remedy given
hereunder, or now or hereafter existing at law or in equity or by statute, and
every power and remedy given by this Lease to Lessor or Lessee may be exercised
from time to time and so often as occasion may arise or as may be deemed
expedient.

          17.3.   NO WAIVER. No delay or omission of Lessor or Lessee to
exercise any right or power arising from any default shall impair any such right
or power or be construed to be a waiver of any such default or any acquiescence
therein. No waiver of any breach of any of the covenants of this Lease shall be
construed, taken or held to be a waiver of any

                                      -22-
<Page>

other breach, or as a waiver, acquiescence in or consent to any further or
succeeding breach of the same covenant. The acceptance by Lessor of payment of
any rent after termination of this lease or of Lessee's right to possession
hereunder shall not, in the absence of agreement in writing to the contrary by
Lessor, be deemed to restore this Lease or Lessee's right to possession
hereunder, as the case may be, but shall be construed as a payment on account,
and not in satisfaction of damages due from Lessee to Lessor.

          18.     NON-DISTURBANCE OF SUBTENANTS BY LESSOR.

          18.1.   NON-DISTURBANCE OF SUBTENANTS. In addition to the provisions
of Paragraph 14.2a above, in the event of a termination of this Lease (other
than a termination due to the expiration of the Term or due to a fire, other
casualty loss, taking or condemnation), Lessor hereby agrees that it will not
terminate any sublease of space in the Premises, including any master sublease,
which is in force and effect at the time of such termination of this Lease and
shall not disturb the use, possession or leasehold rights of the subtenant
thereunder, so long as such subtenant is not in default, beyond applicable
notice and grace periods, of any terms, covenant or condition of its sublease.

          18.2.   EXECUTION AND DELIVERY OF NON-DISTURBANCE AGREEMENT. Lessor
shall at any time and from time to time, within ten (10) days after Lessee's
written request, execute, acknowledge and deliver to Lessee and to any subtenant
designated by Lessee a Non-Disturbance Agreement, attached hereto as Schedule
"B," with such modifications as the subtenant may reasonably request, provided
that in no event shall any such modification to the Non-Disturbance Agreement
(a) materially affect Lessor's rights under this Lease or (b) materially alter
Lessor's rights with respect to any such subtenant under applicable laws.
Lessor's failure to provide such Non-Disturbance Agreement shall not be a
condition of or limit, modify or abrogate in any way the non-disturbance
covenant of Lessor contained in Paragraph 18.1.

          18.3.   SUBTENANT AS THIRD PARTY BENEFICIARY. The parties acknowledge
that the provisions of this Paragraph 18 are included for the purpose of
inducing subtenants to sublease portions of the Premises and/or the buildings,
structures and improvements located thereon during the Term and that such
provisions are intended for the benefit of all subtenants of the Premises and
may be relied upon and enforced by any of them as a third party beneficiary of
such provisions.

          19.     RESTRICTIONS ON ENCUMBRANCE BY LESSOR. Lessor may mortgage,
collaterally assign, pledge, hypothecate, place any lien, security interest or
other encumbrance on or otherwise encumber any interest of Lessor in any part of
the Premises, provided that any mortgage, assignment, pledge, hypothecation,
lien, security interest, or encumbrance shall be expressly subject and
subordinate to this Lease and its terms, including without limitation the
provisions of Paragraphs 9, 10, 11, and 14 and to any new or direct lease
entered into pursuant to Paragraph 14.2(e).

                                      -23-
<Page>

          20.     TRANSFERS OF PREMISES.

          20.1.   TRANSFER SUBJECT TO LEASE AND RIGHTS OF LEASEHOLD MORTGAGEE.
Any transfer of any interest of Lessor in any part of the Premises shall be
subject to this Lease and to the rights of any Leasehold Mortgagee described in
Paragraph 14. Any transferee of any interest of Lessor hereunder and any
assignee of Lessee's interest hereunder shall be deemed by virtue of its
acceptance of such transfer or assignment to have agreed: (i) to be bound by
each of the terms, conditions, covenants and agreements contained in this Lease,
and (ii) to execute and deliver to the other party any agreement or instrument
reasonably required by such other party to evidence such transferee's or
assignee's acknowledgment and acceptance of the terms and provisions of clause
(i) of this Paragraph 20.1; provided, however, that the failure of such
transferee or assignee to deliver any such agreement or instrument shall not in
any way negate, modify, or limit the binding effect of the terms and provisions
of clause (i) of this Paragraph 20.1 on such transferee or assignee.

          20.2.   CONTINUED LIABILITY. Notwithstanding any transfer of any
interest of a party in the Premises or this Lease, except as provided in
Subsection 14.2(d), such party shall remain liable under this Lease, unless and
until the transferee affirms this Lease in writing and assumes all of the
transferring party's obligations under this Lease in writing, by a recordable
instrument.

          21.     APPRAISAL. The appraisals required by Paragraphs 10.3 and 11.4
shall be made as follows: Lessor and Lessee shall each appoint one appraiser
within fifteen (15) days after written notice of any event requiring an
appraisal under said Paragraphs and each party shall notify the other of the
name and address of such party's appraiser within said fifteen (15) day period.
If, after notice by either party to the other of the appointment of an appraiser
by the party giving such notice, the other party to whom notice is given shall
fail, within a period of ten (10) days after such notice, to appoint an
appraiser, then the appraiser so appointed by the party giving the notice shall
have the power to proceed as sole appraiser to make the appraisal hereunder. The
two appointed appraisers shall make the required appraisals and, if the higher
appraisal is not more than 110% of the lower appraisal, the average of the two
appraisals shall be accepted by, and be binding upon, the parties. If the higher
appraisal is more than 110% of the lower appraisal, Lessor and Lessee shall
promptly appoint an arbitrator. If Lessor and Lessee fail to appoint such
arbitrator within thirty (30) days after the completion of the initial
appraisals, either Lessor or Lessee, upon written notice to the other, may
request the appointment of an arbitrator by the then President of the local Real
Estate Board, Board of Realtors or similar body. The arbitrator must select one
of the two initial appraisers, and the appraiser selected by the arbitrator
shall be accepted by and be binding upon the parties. In connection with the
appraisal process described herein, the appraiser or appraisers and any
arbitrator shall afford each party a hearing and the right to submit evidence,
with the privilege of cross-examination on the questions at issue, and shall,
with all possible speed, make their determination in writing and give notice of
the same to the parties. Each party shall cooperate with the appraisers and the
arbitrator and shall use its best efforts to obtain from the two initial
appraisers their determination within thirty (30) days of the appointment of the
last of such appraisers to be appointed and from the arbitrator

                                      -24-
<Page>

his selection of the appropriate appraisal within thirty (30) days after his
appointment. Lessor and Lessee shall each pay the fees of the person appointed
by it as appraiser hereunder and Lessor and Lessee shall each pay one-half of
the fees of any arbitrator appointed pursuant to the provisions of this
Paragraph and one-half of the general expenses of all appraisals and
arbitrations required hereunder. Any appraiser appointed hereunder shall have no
less than five (5) years experience in the appraisal of real property similar in
type and character to the Premises and the buildings and improvements located
thereon at the time of such appraisal in the county in which the Premises are
located and shall hold the professional designation of M.A.I.

          22.     ESTOPPEL CERTIFICATE. Each party agrees that, at any time and
from time to time, within ten (10) days after receipt of written request from
the other party, it shall execute, acknowledge, and deliver to such other party,
to any Leasehold Mortgagee, or to any person or entity designated by such other
party, a written instrument in recordable form certifying that (a) this Lease is
unmodified and in full force and effect (or if there have been modifications,
that it is in full force and effect as modified and stating the modifications),
(b) the dates to which the Basic Rent, and other charges have been paid, (c)
whether or not to the best of the certifying party's knowledge the certifying
party or the other party is in default in the performance of any term, covenant,
or condition contained in this Lease and, if so, specifying each default, and
(d) any other facts or matters within the actual knowledge of the certifying
party that may be reasonably requested. In addition, if requested by the other
party, the certifying party shall attach a copy of this Lease, as modified or
amended, to the estoppel certificate and shall certify in the estoppel
certificate that the attached Lease is true, correct, and complete. It is
intended that any such certificate delivered pursuant to this Paragraph 22 may
be relied upon by the party requesting such certificate or the person or entity
to whom the party requesting such certificate requests the certificate to be
delivered. In the event either party fails to deliver an estoppel certificate
within the time period and otherwise as provided herein, such failure shall be
deemed a conclusive admission by such party that the matters set forth in the
requested estoppel certificate or letter are true, correct and complete in all
respects, and the party requesting such estoppel certificate or letter and any
person on whose behalf such estoppel certificate or letter is requested shall be
entitled to rely on the truth, accuracy, and completeness of the requested
estoppel certificate or letter as if it had been provided as required hereunder.

          23.     OWNERSHIP OF IMPROVEMENTS DURING LEASE TERM. During the Term,
Lessee shall be the owner of all buildings, structures and improvements
constructed or erected by or on behalf of Lessee upon the Premises or any
portion thereof, and Lessor shall have no right, title, or interest therein. As
such owner, Lessee shall be entitled to all of the tax and other benefits of
such ownership, including, without limitation, the right to take depreciation
deductions and investment tax credits under the tax laws.

          24.     SURRENDER. Upon the expiration or other termination of the
Term, Lessee shall quit and surrender the Premises to Lessor in good condition
and repair, except for reasonable wear and tear and damage which Lessee need not
repair, rebuild, or restore under this Lease, and subject to the rights of the
holder of any mortgage described in

                                      -25-
<Page>

Paragraph 14 and of any subtenants of the Premises, provided that such rights
shall not exceed the Term of the Lease or the term of any new or direct Lease
entered into between Lessor and first Leasehold Mortgagee in accordance with the
provisions of Paragraph 14 hereof, unless otherwise consented to by Lessor at
the time of their creation. Lessor shall thereafter, but not until such time, be
the owner of all improvements and buildings (but not any personal or removable
property contained therein) constructed or erected by Lessee upon the Premises,
and Lessee shall thereafter, but not until such time, have no further right,
title or interest therein. At the sole option of Lessor, upon one hundred eight
(180) days' prior written notice to Lessee, Lessor may require Lessee to
demolish and remove all buildings and improvements on the Premises at Lessee's
expense.

          25.     QUIET ENJOYMENT.

          25.1.   COVENANT OF QUIET ENJOYMENT. Except with respect to the
covenants and restrictions recorded in the Public Records and set forth in
Schedule "C" annexed hereto, Lessor agrees, covenants, and warrants that so long
as Lessee faithfully performs the terms, covenants, and conditions of this Lease
within the applicable notice or grace periods provided herein, Lessee shall
peaceably and quietly have, hold, and enjoy the Premises for the Term, without
disturbance by or from Lessor or any one claiming by, though, or under Lessor,
and free of any and all liens and encumbrances created or suffered by Lessor or
any one claiming by, through, or under Lessor.

          25.2.   LESSOR'S TITLE. Lessor represents and covenants to Lessee that
Lessor owns marketable and insurable fee simple title to the Premises free and
clear of any liens, claims, restrictions, encumbrances, or rights of others
except for the permitted exceptions set forth in Schedule "C" annexed hereto.

          26.     HOLDOVER. If Lessee shall holdover as a tenant after the
termination or other expiration of the Term, such tenancy shall be deemed to be
on a month-to-month basis, on all of the same terms, covenants and conditions of
this Lease, except that for each month or part thereof during any holdover
period, Lessee shall pay Lessor one and one-half (1 1/2) times the Basic Rent
due under this Lease for the month immediately preceding the expiration or
other termination of the Term.

          27.     WAIVER. No waiver of any term, covenant, or condition
contained in this Lease or any breach of any such term, covenant, or condition
by either party shall constitute a waiver of any subsequent breach of such term,
covenant, or condition or justify or authorize the non-observance of any other
occasion of the same or any other term, covenant, or condition of this Lease by
either party.

          28.     MEMORANDUM OF LEASE. The parties shall execute and acknowledge
within ten (10) business days after the execution of this Lease a memorandum
hereof, in the form set forth on Exhibit "D" attached hereto, in recordable form
and otherwise in form and substance acceptable to the parties hereto.
Immediately upon the execution of such Memorandum of Lease, the Lessee will
cause such Memorandum of Lease to be recorded in

                                      -26-
<Page>

the appropriate public records for real estate, and the cost of such recording
will be borne by Lessee.

          29.     BROKERS. Lessor represents and warrants to Lessee that it has
not engaged the services of or dealt with any broker in connection with this
Lease, and Lessee represents and warrants to Lessor that it has not engaged the
services of or dealt with any broker in connection with this Lease, and each
party hereby indemnifies and agrees to defend and hold the other harmless from
any and all losses, costs, damages, liabilities, claims, and expenses,
including, without limitation, reasonable attorneys' fees, suffered or incurred
by the other party in connection with any claim of any broker claiming to have
dealt with the party providing the indemnification.

          30.     NOTICES. All notices, requests, demands or other instruments
required or contemplated to be given or furnished under this Lease to Lessor or
Lessee shall be directed to Lessor or Lessee as the case may be at the following
addresses:

          If to Lessee:          KIMCO Governors Marketplace Ltd.
                                 c/o KIMCO Realty Corporation
                                 3333 New Hyde Park Road
                                 Suite 100
                                 P.O. Box 5020
                                 New Hyde Park, New York 10142-0020
                                 Attn: Susan Deck, Esq.

          and:                   KIMCO Governors Marketplace Ltd.
                                 c/o Agora Development, LLC
                                 7400 Baymeadows Way
                                 Suite 107
                                 Jacksonville, Florida 32256
                                 Attn: William M. Sulzbacher

          and:                   Donald Kennicott
                                 Holland & Knight LLP
                                 1201 West Peachtree Street, N.E.
                                 Suite 2000
                                 Atlanta, Georgia 30309

          If to Lessor:          Smith Interests General Partnership, L.L.P.
                                 c/o Robert H. Smith
                                 Capital City Bank
                                 217 North Monroe Street
                                 Tallahassee, Florida 32301

                                      -27-
<Page>

          with copy to:          Duby Ausley, Esquire
                                 Ausley & McMullen
                                 Post Office Box 391
                                 Tallahassee, Florida 32302

Any such notices, requests, reports, demands, or other instruments shall be (i)
personally delivered to the offices set forth above, in which case they shall be
deemed delivered on the date of delivery to said offices with receipt therefor;
(ii) sent by Western Union telegram, in which case they shall be deemed
delivered on the date Western Union delivers its telephonic communication, (iii)
sent by certified mail, return receipt requested, in which case they shall be
deemed delivered three (3) business days after deposit in the U.S. mail, postage
prepaid, (iv) sent by facsimile machine (provided sender has written
confirmation that the facsimile was received by addressee's facsimile machine),
and provided further that a copy of said notice is sent as provided in clause
(i), (ii), (iii) or (iv), or (v) sent by overnight courier (Federal Express or
like service), in which case (as to delivery by the means described in
subparagraphs (iv) and (v)), they shall be deemed received on the date of actual
delivery. Either party may change the address to which any such notice, report,
demand or other instrument is to be delivered by furnishing written notice of
such change to the other party in compliance with the foregoing provisions.
Notice from counsel for a party shall be deemed notice from such party.

          31.     MISCELLANEOUS.

          31.1.   CAPTIONS. The captions in this Lease, including the Exhibits,
are for convenience only and are not a part of this Lease and are not intended
to and do not in any way define, limit, describe, or amplify the terms and
provisions of this Lease or the scope or intent hereof.

          31.2.   ENTIRE AGREEMENT. This Lease represents the entire agreement
between the parties hereto, and there are no collateral or oral agreements or
understandings. This Lease supersedes all prior written or oral agreements,
covenants, representations, and warranties between the parties, and to the
extent of any conflict between the provisions of this Lease and the provisions
of any other prior agreements, understandings, or instruments between the
parties, the provisions of this Lease shall be paramount or prevail. This Lease
shall not be modified in any manner except by an instrument in writing executed
by the parties, and then only with the written consent of each Leasehold
Mortgagee described in Paragraph 14.

          31.3.   BINDING EFFECT. This Lease shall be binding on and shall
insure to the benefit of Lessor and Lessee and their respective successors and
assigns, subject to restrictions on transfer and encumbrance set forth in this
Lease.

          31.4.   ATTORNEYS' FEES. In the event of any litigation involving the
terms of this Lease or the duties or obligations of Lessor and Lessee, the
prevailing party shall be entitled to recover its costs and expenses, including,
without limitation, court costs and reasonable attorneys' fees, in connection
therewith, whether incurred in negotiation,

                                      -28-
<Page>

preparation of documents, at trial or on appeal and whether incurred in the
establishment of the amount of fees and costs or the collection thereof.

          31.5.   RIGHTS AND REMEDIES CUMULATIVE. All rights and remedies of
each of the parties are cumulative, and the exercise by a party of one or more
of such rights or remedies shall not preclude the exercise by such party at the
same or a different time or times of any other rights or remedies provided for
in this Lease or at law or in equity.

          31.6.   INTERPRETATION. This Lease shall be construed in accordance
with the laws of the State of Florida. Whenever the contents of any provision
shall require it, the singular number shall be deemed to be the plural number
and vice versa, and the neuter gender shall be deemed to include the masculine
and the feminine. This Lease shall not be construed more strictly against one
party than the other by virtue of it having been prepared by such party or its
counsel, all parties having had the opportunity to participate in the
negotiation and drafting of this Lease.

          31.7.   EXHIBITS. All Exhibits referred to in and attached to this
Lease and all of the terms, conditions, and provisions contained in such
Exhibits are by this reference incorporated into this Lease.

          31.8.   TIME OF ESSENCE. Time is of the essence of this Lease.

          31.9.   AUTHORITY OF PARTIES. Lessor and Lessee each warrant and
represent to, and covenant with, the other that it is duly authorized and
empowered to enter into this Lease, that this Lease is the valid and binding
obligation of the warranting party and is enforceable against the warranting
party in accordance with its terms.

          31.10.  NO MERGER OF TITLE. There shall be no merger of the leasehold
estate created by this Lease with the fee estate in the Premises by reason of
the fact that the same person may acquire or hold (a) the leasehold estate
created by this Lease or any interest in such leasehold estate, and (b) the fee
estate in the Premises or any interest in such fee estate; and no such merger
shall occur unless and until all persons, including any mortgagee having any
interest in (i) the leasehold estate created by this Lease and (ii) the fee
estate in the Premises, shall join in a written instrument effecting such merger
and shall duly record the same.

          31.11.  LESSOR'S CONSENT OR APPROVAL. Whenever Lessor's consent or
approval is required under this Lease, such approval shall not be unreasonably
withheld, conditioned, or delayed.

          31.12.  PERFORMANCE OF SUBTENANTS. Notwithstanding any provision of
this Lease to the contrary, any obligation or responsibility of Lessee under
this Lease may be performed, in whole or in part, by one or more subtenants of
the Premises and Lessor shall accept such performance.

                            [Signature page follows]

                                      -29-
<Page>

Witnesses:                              LESSOR:

/s/ Cleo J. Gay                         SMITH INTERESTS GENERAL
-----------------------------------     PARTNERSHIP, L.L.P., a Florida limited
(Signature)                             liability partnership

Cleo J. Gay
-----------------------------------
(Printed Name)

/s/ Emily G. Groom                      By  /s/ William G. Smith
-----------------------------------        -----------------------------------
(Signature)                             Name: William G. Smith, Jr.
                                        Its: Managing Partner
Emily G. Groom
-----------------------------------
(Printed Name)

/s/ Cleo J. Gay                         By  /s/ J. Vereen Smith
-----------------------------------        -----------------------------------
(Signature)                             Name: J. Vereen Smith, Jr.
                                        Its: Managing Partner
Cleo J. Gay
-----------------------------------
(Printed Name)

/s/ Emily G. Groom
-----------------------------------
(Signature)

Emily G. Groom
-----------------------------------
(Printed Name)

                       [SIGNATURES CONTINUE ON NEXT PAGE]

                                      -30-
<Page>

                                        LESSEE:

                                        KIMCO GOVERNORS
                                        MARKETPLACE LTD.,
                                        a Florida limited partnership

/s/ Tami Gossling                       By: KIMCO GOVERNORS
-----------------------------------         MARKETPLACE 317, INC., a Florida
(Signature)                                 corporation, General Partner

Tami Gossling
-----------------------------------
(Printed Name)

                                            By: /s/ Daniel C. Slattery
/s/ Jenee R Dessenberg                         -------------------------------
-----------------------------------             Daniel C. Slattery
(Signature)                                     Executive Vice President

Jenee R Dessenberg
-----------------------------------
(Printed Name)

                                      -31-
<Page>

                                  EXHIBIT "A-l"

                          LEGAL DESCRIPTION OF PREMISES

<Page>

                                                       INDENTURE OF GROUND LEASE
                                                                      (PARCEL B)

                                   EXHIBIT A-1

                                LEGAL DESCRIPTION

                                    PARCEL B
                                LEGAL DESCRIPTION

PARCEL 1:

(a).   PARCEL 21:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida, and run North 409.96 feet, thence West 408.24 feet to a
copper pin at the intersection of the centerline of magnolia Drive and old State
Road No. 20 (East Lafayette Street), thence run North 00 degrees 02 minutes East
33.61 feet, thence South 79 degrees 02 minutes East 50.92 feet to the Northeast
intersection of said two streets, thence run Northerly along a line 50 feet from
and parallel with the centerline of Magnolia Drive a distance of 535.77 feet to
the Northeast corner of the intersection of Magnolia Drive and new State Road
No. 20 (U.S. No. 27), thence run North 00 degrees 05 minutes 30 seconds East
along the East right of way boundary of Magnolia Drive 697.29 feet to the
Northwest corner of property owned by Leon Federal Savings and Loan Association
as recorded in Official Records Book 178, Page 389, of the Public Records of
Leon County, Florida, for the Point of Beginning. From said Point of Beginning
continue North 00 degrees 05 minutes 30 seconds East along said East right of
way boundary of Magnolia Drive 199.82 feet to the Southerly right of way
boundary of Governor's Square Boulevard, thence North 85 degrees 59 minutes 28
seconds East along said Southerly right of way boundary of Governor's Square
Boulevard 250.00 feet, thence South 00 degrees 05 minutes 30 seconds West 217.70
feet to the North boundary of said property owned by Leon Federal Savings and
Loan Association, thence North 89 degrees 54 minutes 30 seconds West along said
North boundary 249.15 feet to the Point of Beginning.

(b).   PARCEL 22:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1
East, Leon County, Florida, and run North 409.96 feet, thence West 408.24
feet to a copper pin at the intersection of the centerline of Magnolia
Drive and old State Road No. 20 (East Lafayette Street), thence run North
00 degrees 02 minutes East 33.61 feet, thence South 79 degrees 02 minutes
East 50.92 feet to the Northeast intersection of said two streets, thence
run Northerly along a line 50 feet from and parallel with the centerline of
Magnolia Drive a distance of 535.77 feet to the Northeast corner of the
intersection of Magnolia Drive and new State Road No. 20 (U.S. No. 27),
thence run North 00 degrees 05 minutes 30 seconds East along the East right
of way boundary of Magnolia Drive 697.29 feet to the Northwest corner of
property owned by Leon Federal Savings and Loan Association as recorded in
Official Records Book 178, Page 389, of the Public Records of Leon County,
Florida, and run South 89 degrees 54 minutes 30 seconds East along said
Northerly boundary 249.15 feet to the Point of Beginning. From said Point
of Beginning continue South 89 degrees 54 minutes 30 seconds East along
said Northerly boundary 230.30 feet, thence North 00 degrees 05 minutes 30
seconds East along a projection of the Easterly boundary of said property
owned by Leon Federal Savings and Loan Association a distance of 234.21
feet to the South right of way boundary of Governor's Square Boulevard,
thence South 85 degrees 59 minutes 28 seconds West along said South right
of way boundary 230.88 feet, thence South 00 degrees 05 minutes 30 seconds
West 217.70 feet to the Point of Beginning.

                            (continued on next page)

<Page>

Together with certain limited non-exclusive drainage rights in the following
described drainage easement:

PARCEL 2

Perpetual Easement for drainage system, created, defined and granted by that
certain Drainage and Retention Pond Easement among WILLIAM GODFREY SMITH and
PATTY HILL SMITH, his wife, JULIAN VEREEN SMITH AND ELAINE W. SMITH, his wife,
and R. SPENCER BURRESS, as the Managing Trustee of the Julian Vereen Smith Issue
Trust and as Managing Trustee of the William Godfrey Smith, Jr. Trust, as
Grantors and GOVERNOR'S SQUARE, INC., as Grantee, dated April 7, 1978, and
recorded in Official Records Book 894, page 1025, of the Public Records of Leon
County, Florida, as further amended by that certain Amendment to Drainage and
Retention Pond Easement dated April 1, 1980, and recorded in Official Records
Book 956, page 2240, of the Public Records of Leon County, Florida, and as
further amended by that certain Second Amendment to Drainage and Retention Pond
Easement dated as of February 28, 1992, by and between TALLAHASSEE ASSOCIATES
and THE SMITH INTEREST GENERAL PARTNERSHIP, as recorded in Official Records Book
1546, page 644, of the Public Records of Leon County, Florida, and as further
amended by that certain Supplement to Drainage and Retention Pond Easement dated
as of January 12, 1994, and recorded July 16, 1994, in Official Records Book
1655, Page 97, of the Public Records of Leon County, Florida, as further amended
by Third Amendment to Drainage and Retention Pond Easement between Tallahassee
Associates and the Smith Interests General Partnership, dated November 17, 1994,
and recorded November 18, 1994, in Official Records Book 1776, page 703, of the
Public Records of Leon County, Florida, over, upon and across the following
described land located in Leon County, Fl, together with all rights, privileges
and benefits pertinent thereto under said Drainage and Retention Pond Easement,
as amended, accruing to Tallahassee Associates its successors and assigns,
described as follows:

PARCEL 2.1
RETENTION POND AREA (retention pond on west side of Blairstone, north of
Governors Square Blvd.)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of 36
DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along
said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence North 36 DEG. 45' East 304.50 feet;
thence North 00 DEG. 11' East 460.00 feet, thence South 89 DEG. 49' East 510.00
feet to the Westerly right-of-way boundary of said Blairstone Road, thence South
00 DEG. 11' West along said Westerly right-of-way boundary 606.00 feet, thence
North 89 DEG. 49' West 360.00 feet, thence South 38 DEG. 18' 26" West 274.73
feet to the POINT OF BEGINNING.

                            (continued on next page)

<Page>

ALSO:

PARCEL 2.2
(Drainage easement across Blairstone from pond to open channel east of
Blairstone)

100 foot by 100 foot easement across Blairstone Road extension between easement
for retention pond and proposed open channel waterway.

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.26 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2563.00 feet to the POINT OF BEGINNING. From said POINT OF
BEGINNING continue North 00 DEG. 11' East along said Westerly right-of-way
boundary 100.00 feet, thence South 89 DEG. 49' East 100.00 feet to the Easterly
right-of-way boundary of said Blairstone Road extension, thence South 00 DEG.
11' West along said Easterly right-of-way boundary 100.00 feet, thence North 89
DEG. 49' West 100.00 feet to the POINT OF BEGINNING.

ALSO:

PARCEL 2.3
(PROPOSED OPEN CHANNEL WATERWAY) A 100 foot strip lying 50 feet either side of
the following described centerline:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence south 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2633.00 feet, thence South 89 DEG. 49' East 100.00 feet to
the Easterly right-of-way boundary of said Blairstone Road for the POINT OF
BEGINNING of said centerline. From said POINT OF BEGINNING continue South 89
DEG. 49' East 206.61 feet, thence North 83 DEG. 27' 18" East 194.65 feet, thence
North 86 DEG. 26' 54" East 201.40 feet to the terminal point of said centerline.

ALSO:

PARCEL 2.4
Extension of Retention Pond Easement across proposed 100 foot Roadway (Governors
Square Avenue)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way

                            (continued on next page)

<Page>

boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of 36
DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along
said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence South 36 DEG. 45' West 100.00 feet to
the Southerly right-of-way boundary of said proposed 100.00 foot roadway
(Governors Square Avenue), thence South 53 DEG. 49' East along said Southerly
right-of-way boundary 197.28 feet, thence North 38 DEG. 18' 26" East 100.07 feet
to the POINT OF BEGINNING.

<Page>

                                  EXHIBIT "A-2"

                              SITE PLAN OF PREMISES

<Page>

[GRAPHIC]

<Page>

[GRAPHIC]

<Page>

                                   EXHIBIT "B"

              RECOGNITION, NON-DISTURBANCE AND ATTORNMENT AGREEMENT

          THIS AGREEMENT is made and entered into this __________ day of
__________________, _______, by and between SMITH INTERESTS GENERAL PARTNERSHIP,
L.L.P. ("PRIME LANDLORD"), KIMCO GOVERNORS MARKETPLACE LTD. ("LANDLORD")
and _____________________________("TENANT").

          A.      By a Lease dated as of_______________, ______ ("PRIME LEASE"),
Prime Landlord leases to "Landlord" the land in Tallahassee, Florida, described
therein (the "PROPERTY").

          B.      Landlord has entered into a Lease dated ______________________
("SUBLEASE") with Tenant for a portion of the Property or the improvements
located thereon. By execution hereof, Landlord certifies to Prime Landlord that
the terms and provisions of such Sublease are consistent in all material
respects with the terms and provisions of the Ground Lease (except for the
following _____________________________).

          C.      Although not required by the terms of the Prime Lease, the
parties desire to provide for a consent by Prime Landlord to the Sublease and
for a recognition, non-disturbance and attornment agreement all as hereinafter
set forth.

          In consideration of the Premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged by
the parties, it is hereby agreed as follows:

          1.      Prime Landlord hereby consents to the Sublease.

          2.      (a) Provided Tenant is not in default (beyond any applicable
notice and cure periods) in the payment of rent or other sums payable by Tenant
under the terms of the Sublease or under any other provision of the Sublease,
and Tenant is then in occupancy of the Premises (as defined in the Sublease):

                      (i)   The right of possession of Tenant to the Premises
          shall not be affected or disturbed by any termination of the Prime
          Lease or by Prime Landlord in the exercise of any of its rights and
          remedies under the Prime Lease; and

                      (ii)  In the event Prime Landlord terminates the Prime
          Lease or Landlord's right to possession thereunder, Tenant agrees to
          continue occupancy of the Premises under the same terms and conditions
          of the Sublease and to attorn to the Prime Landlord, its successors or
          assigns, to the same extent and with the same force as if Prime
          Landlord were the Landlord under the Sublease. Prime Landlord shall
          thereupon (i) be

<Page>

          entitled, but not obligated, to exercise the claims, rights, powers,
          privileges, options and remedies of the Landlord under the Sublease
          and shall be further entitled to the benefits of, and to receive and
          enforce performance of, all of the covenants to be performed by Tenant
          under the Sublease as though Prime Landlord were named herein as the
          landlord, and (ii) be bound (as Landlord) to the Tenant under the
          terms of the Sublease and be obligated to perform all of the
          obligations of the Landlord under the Sublease.

          (b)     Prime Landlord shall not, by virtue of this Agreement, be or
become subject to any liability or obligation to Tenant under the Sublease or
otherwise, until Prime Landlord shall have terminated the Prime Lease or
Landlord's right to possession thereunder, and then only to the extent of
liabilities or obligations accruing subsequent to the date of such termination.

          (c)     Except as set forth in the Sublease, Tenant shall not pay an
installment of rent or any part thereof more than thirty (30) days prior to the
due date of such installment, and Prime Landlord shall not be bound by, and
shall be entitled to recover from Tenant as rent under the Sublease, any payment
of rent or additional rent made by Tenant to Landlord for more than one (1)
month in advance (except as set forth in the Sublease).

          (d)     Upon delivery to Tenant by Prime Landlord of a certified final
order of a court of competent jurisdiction terminating the Prime Lease or
Landlord's right to possession thereunder, together with written notice from
Prime Landlord that the rentals under the Sublease should be paid to Prime
Landlord, Tenant shall thereafter pay to Prime Landlord all rentals and other
monies due and to become due to the Landlord under the Sublease.

          3.      In case any lease or tenancy shall come into existence between
Prime Landlord and Tenant pursuant to the provisions of this Agreement, the
provisions of Paragraph 5 hereof shall apply to any liability imposed upon Prime
Landlord, by reason of such lease or tenancy.

          4.      The term "PRIME LANDLORD" as used in this Agreement means only
the owner for the time being of the Property, so that in the event of any sale
or transfer of an interest therein, the party hereto designated as Prime
Landlord shall be and thereby is entirely freed and relieved of all covenants
and obligations of the Prime Landlord hereunder and any such purchaser or
transferee shall, however, be bound hereby as Prime Landlord.

          5.      This Agreement shall inure to the benefit of and shall be
binding upon Tenant and Prime Landlord, and their respective heirs, personal
representatives, successors and assigns. This Agreement shall be governed by and
construed according to the laws of the State of Florida.

                                       -2-
<Page>

          Prime Landlord, Landlord and Tenant have executed this Agreement the
day and year first above written.

                                    PRIME LANDLORD:

                                    SMITH INTERESTS GENERAL
                                    PARTNERSHIP, L.L.P.

                                    By:
                                       ----------------------------------------
                                    Name: William G. Smith, Jr.
                                    Its: Managing Partner

                                    By:
                                       ----------------------------------------
                                    Name: J. Vereen Smith, Jr.
                                    Its: Managing Partner

                                    LANDLORD:

                                    KIMCO GOVERNORS
                                    MARKETPLACE LTD., a Florida limited
                                    partnership

                                       By: KIMCO GOVERNORS
                                           MARKETPLACE 317, INC., a
                                           Florida corporation, General Partner

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

                                    TENANT:

                                    By:
                                       ----------------------------------------
                                    Its:
                                        ---------------------------------------

                                       -3-
<Page>

STATE OF ___________)
                    )SS.
COUNTY OF __________)

          I, _____________________, a notary public in and for said County, in
the State aforesaid, DO HEREBY CERTIFY THAT William G. Smith, Jr. and J. Vereen
Smith, Jr., Managing Partners of Smith Interests General Partnership, L.L.P., a
Florida limited liability partnership, personally known to me to be the same
person whose name is subscribed to the foregoing instrument, appeared before me
this day in person and acknowledged that he signed and delivered the said
instrument as his own free and voluntary act, and as the free and voluntary act
and deed of said partnership, for the uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this _____ day of ___________,
________.

                                    Notary Public

                                    ------------------------------------------
                                    (Printed Name)

                                    My Commission Expires:
                                                          --------------------

<Page>

STATE OF ___________)
                    )SS.
COUNTY OF __________)

          I, _______________________, a notary public in and for said County, in
the State aforesaid, DO HEREBY CERTIFY THAT ______________________, personally
known to me to be the __________ President of _______________ corporation and
____________ personally known to me be the ______________ Secretary of said
corporation, and personally known to me to be the same persons whose names are
subscribed to the foregoing instrument, appeared before me this day in person
and severally acknowledged that as such _____________ President and ____________
Secretary, they signed and delivered the said instrument as ____________
President and ____________ Secretary of said corporation, and caused the
corporate seal of said corporation to be affixed thereto, pursuant to authority
given by the Board of Directors of said corporation as aforesaid, as their free
and voluntary act, and as the free and voluntary act and deed of said
corporation, for the uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this ________ day of
____________, _______.

                                    Notary Public

                                    ------------------------------------------
                                    (Printed Name)

                                    My Commission Expires:
                                                          --------------------

<Page>

STATE OF ___________)
                    )SS.
COUNTY OF __________)

          I, ___________________, a notary public in and for said County, in the
State aforesaid, DO HEREBY CERTIFY THAT _____________, personally known to me to
be the __________________ of KIMCO GOVERNORS MARKETPLACE 317, INC., which is the
general partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to me
to be the same person whose name is subscribed to the foregoing instrument,
appeared before me this day in person and severally acknowledged that as such
vice president of the general partner of KIMCO GOVERNORS MARKETPLACE LTD., he
signed and delivered the said instrument as his free and voluntary act, and as
the free and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD., for the
uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this _________ day of
_____________, _________.

                                    Notary Public

                                    ------------------------------------------
                                    (Printed Name)

                                    My Commission Expires:
                                                          --------------------

<Page>

                                   EXHIBIT "C"

                              PERMITTED EXCEPTIONS

1.   The lien of ad valorem taxes for [the year lease becomes effective] and
     subsequent years.

2.   Easements or claims of easements for utilities purposes not shown by the
     public records.

3.   Easement Agreement (For Sign) dated October 4, 2002, between The Smith
     Interests General Partnership, L.L.P. and Kimco Governors Marketplace Ltd.,
     recorded in Official Records Book R2743, Page 1415, Public Records of Leon
     County, Florida.

<Page>

This instrument was prepared by
DuBose Ausley
Ausley & McMullen
P. O. Box 391
Tallahassee, FL 32302

                                   EXHIBIT "D"

                               MEMORANDUM OF LEASE

          THIS MEMORANDUM OF LEASE, made as of the 1st day of January, 2003, by
and between THE SMITH INTERESTS GENERAL PARTNERSHIP, L.L.P. (hereinafter
referred to as "LESSOR"), and KIMCO GOVERNORS MARKETPLACE LTD., a limited
partnership organized and existing under the laws of the State of Florida, whose
principal address is 3333 New Hyde Park Road, Suite 100, P.O. Box 5020, New Hyde
Park, New York 11042-0020 (hereinafter referred to as "LESSEE").

                                   WITNESSETH:

          1.      That for and in consideration of the sum of One Dollar ($1.00)
and other good and valuable considerations, the receipt and sufficiency of which
is hereby acknowledged, and the mutual covenants contained in that certain Lease
between the parties dated as of the 1st day of January, 2003 (hereinafter
referred to as the "GROUND LEASE"), the Lessor does hereby lease to the Lessee,
and the Lessee does hereby lease from the Lessor all of the lands described in
Exhibit "A" attached hereto and by this reference made a part hereof (subject to
all conditions and restrictions of record which are set forth in the Ground
Lease), together with all improvements, appurtenances and easements specifically
granted to the Lessee in the Ground Lease.

          2.      Each and all of the terms, provisions, conditions, covenants,
and agreements set forth in the Ground Lease are incorporated herein by this
reference as though the same were fully set forth herein.

          3.      The term of the Ground Lease is now in full force and effect
and shall expire at 12:01 a.m. on December 31, 2087, unless extended or sooner
terminated as provided in the Ground Lease.

          4.      Lessor's estate shall not be subject to any claim, lien, or
encumbrance created or suffered by Lessee, and any claim of lien arising from
any act or omission of Lessee shall attach only against Lessee's estate.

          5.      Lessee is not the agent of Lessor for the construction,
alteration, or repair of any buildings or improvements on the premises by Lessee
during the term of this Lease, and all contractors, materialmen, mechanics, and
laborers are hereby charged with

<Page>

notice that they must look to Lessee only for the payment of any charge for work
done or materials furnished on the premises during the term of this Lease.

          6.      This Memorandum of lease is made and entered into for the
purpose of recording and giving notice of (but in no way modifying, amending,
enlarging, reducing or varying the terms of) the Ground Lease, and all of the
rights and obligations of Lessor and Lessee are and shall be governed by the
terms, covenants, conditions, agreements, and limitations contained in the
Ground Lease. In the event of inconsistency between the terms of the Ground
Lease and the terms of this Memorandum, the terms of the Ground Lease shall
govern.

                                       -2-
<Page>

          IN WITNESS WHEREOF, the parties hereto have set their hands and seals
the day and year first-above written.

Signed, sealed, and delivered in the presence of: LESSOR:

---------------------------------------------     THE SMITH INTERESTS GENERAL
(Signature)                                       PARTNERSHIP, L.L.P.

---------------------------------------------
(Printed name of witness)
                                                  By:
                                                     ---------------------------
---------------------------------------------     Name: William G. Smith, Jr.
(Signature)                                       Its: Managing Partner

---------------------------------------------     By:
(Printed name of witness)                            ---------------------------
                                                  Name: J. Vereen Smith, Jr.
                                                  Its: Managing Partner
---------------------------------------------
(Signature)

---------------------------------------------
(Printed name of witness)

---------------------------------------------
(Signature)

---------------------------------------------
(Printed name of witness)

                       [SIGNATURES CONTINUE ON NEXT PAGE]

                                       -3-
<Page>

                                      LESSEE:

                                      KIMCO GOVERNORS
                                      MARKETPLACE LTD., a Florida limited
                                      partnership

--------------------------------        By: KIMCO GOVERNORS
(Signature)                                 MARKETPLACE 317, INC., a
                                            Florida corporation, General Partner
--------------------------------
(Printed name of witness)

--------------------------------            By:
(Signature)                                    ---------------------------------
                                               Daniel C. Slattery
--------------------------------               Executive Vice President
(Printed name of witness)

                                       -4-
<Page>

STATE OF FLORIDA

COUNTY OF LEON

          The foregoing Memorandum of Lease was acknowledged before me this
_____ day of December, 2002, by William G. Smith, Jr. and J. Vereen Smith, Jr.,
Managing Partners of The Smith Interests General Partnership, L.L.P. who are
personally known to me ______________ or who have produced _____________ as
identification.

                                               Notary Public

                                               ---------------------------------
                                               (Printed Name)

                                               My Commission Expires:___________

          The foregoing Memorandum of Lease was acknowledged before me this ____
day of December, 2002, by Daniel C. Slattery, personally known to me to be the
Executive Vice President of KIMCO GOVERNORS MARKETPLACE 317, INC., which is the
general partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to me
to be the same person whose name is subscribed to the foregoing instrument,
appeared before me this day in person and severally acknowledged that as such
Executive Vice President of the general partner of KIMCO GOVERNORS MARKETPLACE
LTD., he signed and delivered the said instrument as his free and voluntary act,
and as the free and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD.,
for the uses and purposes therein set forth.

                                               Notary Public

                                               ---------------------------------
                                               (Printed Name)

                                               My Commission Expires:___________

                                       -5-
<Page>

                       CERTIFICATE REGARDING GROUND LEASE
                                   (PARCEL B)

     THIS CERTIFICATE is made by THE SMITH INTERESTS GENERAL PARTNERSHIP,
L.L.P., a Florida limited liability partnership ("Lessor"); and KIMCO GOVERNORS
MARKETPLACE LTD., a Florida limited partnership ("Lessee") pursuant to Section
1.3 of that certain Indenture of Ground Lease (Parcel B) executed as of the 1st
day of January, 2003, between Lessor and Lessee (the "Parcel B Ground Lease"),
relating to the Premises described on EXHIBIT "A-1" attached hereto and made a
part hereof.

     NOW, THEREFORE, in consideration for entering into the Parcel A Ground
Lease and pursuant to Section 1.3 thereof, Lessor and Lessee certify and confirm
to each other that:

     1.   The Commencement Date of the Parcel B Ground Lease is January 1, 2003
(notwithstanding that the option to enter into the Parcel B Ground Lease was
exercised by letter dated December 12, 2002);

     2.   The Expiration Date of the Parcel B Ground Lease is 12:01 a.m.
December 31, 2087, unless extended or sooner terminated as provided in the
Parcel B Ground Lease; and

     3.   Notwithstanding that the Commencement Date of the Parcel B Ground
Lease is January 1, 2003, Lessor agrees that Lessee, its contractors and
licensees, may enter on to the Premises, from and after the date hereof, for the
purpose of beginning site preparation work and construction of improvements on
the Premises and Lessee agrees that the indemnification provision of the Parcel
B Ground Lease (including, without limitation, those set forth in Section 13.1
of the Parcel B Ground Lease) shall be in full force and effect, from and after
the date hereof.

     IN WITNESS WHEREOF, Lessor and Lessee have executed this Certificate as of
December 18, 2003.

Witnesses:                              LESSOR:

/s/ Cleo J. Gay
------------------------------------
(Signature)                             SMITH INTERESTS GENERAL
                                        PARTNERSHIP, L.L.P., a Florida limited
Cleo J. Gay                             liability partnership
------------------------------------
(Printed Name)                          By /s/ William G. Smith, Jr.
                                           -----------------------------------
/s/ Emily G. Groom                      Name: William G. Smith, Jr.
------------------------------------    Its: Managing Partner
(Signature)
                                        By /s/ J. Vereen Smith, Jr.
Emily G. Groom                             -----------------------------------
------------------------------------    Name: J. Vereen Smith, Jr.
(Printed Name)                          Its: Managing Partner

/s/ Cleo J. Gay
------------------------------------
(Signature)

Cleo J. Gay
------------------------------------
(Printed Name)

/s/ Emily G. Groom
------------------------------------
(Signature)

Emily G. Groom
------------------------------------
(Printed Name)

                       [Signatures continue on next page]

<Page>

/s/ Tami Gossling                       LESSEE:
------------------------------------
(Signature)                             KIMCO GOVERNORS MARKETPLACE
                                        LTD.,
Tami Gossling                           a Florida limited partnership
------------------------------------
(Printed Name)                          By: KIMCO GOVERNORS MARKETPLACE
                                            317, INC., a Florida corporation,
                                            General Partner
/s/ Jenee R Dessenberg
------------------------------------
(Signature)                                 By:/s/ Daniel C. Slattery
                                               ------------------------------
Jenee R Dessenberg                             Daniel C. Slattery,
------------------------------------           Executive Vice President
(Printed Name)

                                        2

<Page>

                                                       INDENTURE OF GROUND LEASE
                                                                      (PARCEL B)

                                   EXHIBIT A-1

                                LEGAL DESCRIPTION

                                    PARCEL B
                                LEGAL DESCRIPTION

PARCEL 1:

(a).   PARCEL 21:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida, and run North 409.96 feet, thence West 408.24 feet to a
copper pin at the intersection of the centerline of Magnolia Drive and old State
Road No. 20 (East Lafayette Street), thence run North 00 degrees 02 minutes East
33.61 feet, thence South 79 degrees 02 minutes East 50.92 feet to the Northeast
intersection of said two streets, thence run Northerly along a line 50 feet from
and parallel with the centerline of Magnolia Drive a distance of 535.77 feet to
the Northeast corner of the intersection of Magnolia Drive and new State Road
No. 20 (U.S. No. 27), thence run North 00 degrees 05 minutes 30 seconds East
along the East right of way boundary of Magnolia Drive 697.29 feet to the
Northwest corner of property owned by Leon Federal Savings and Loan Association
as recorded in Official Records Book 178, Page 389, of the Public Records of
Leon County, Florida, for the Point of Beginning. From said Point of Beginning
continue North 00 degrees 05 minutes 30 seconds East along said East right of
way boundary of Magnolia Drive 199.82 feet to the Southerly right of way
boundary of Governor's Square Boulevard, thence North 85 degrees 59 minutes
28 seconds East along said Southerly right of way boundary of Governor's
Square Boulevard 250.00 feet, thence South 00 degrees 05 minutes 30 seconds
West 217.70 feet to the North boundary of said property owned by Leon Federal
Savings and Loan Association, thence North 89 degrees 54 minutes 30 seconds
West along said North boundary 249.15 feet to the Point of Beginning.

(b).   PARCEL 22:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida, and run North 409.96 feet, thence West 408.24 feet to a
copper pin at the intersection of the centerline of Magnolia Drive and old State
Road No. 20 (East Lafayette Street), thence run North 00 degrees 02 minutes East
33.61 feet, thence South 79 degrees 02 minutes East 50.92 feet to the Northeast
intersection of said two streets, thence run Northerly along a line 50 feet from
and parallel with the centerline of Magnolia Drive a distance of 535.77 feet to
the Northeast corner of the intersection of Magnolia Drive and new State Road
No. 20 (U.S. No. 27), thence run North 00 degrees 05 minutes 30 seconds East
along the East right of way boundary of Magnolia Drive 697.29 feet to the
Northwest corner of property owned by Leon Federal Savings and Loan Association
as recorded in Official Records Book 178, Page 389, of the Public Records of
Leon County, Florida, and run South 89 degrees 54 minutes 30 seconds East along
said Northerly boundary 249.15 feet to the Point of Beginning. From said Point
of Beginning continue South 89 degrees 54 minutes 30 seconds East along said
Northerly boundary 230.30 feet, thence North 00 degrees 05 minutes 30 seconds
East along a projection of the Easterly boundary of said property owned by Leon
Federal Savings and Loan Association a distance of 234.21 feet to the South
right of way boundary of Governor's Square Boulevard, thence South 85 degrees 59
minutes 28 seconds West along said South right of way boundary 230.88 feet,
thence South 00 degrees 05 minutes 30 seconds West 217.70 feet to the Point of
Beginning.

                            (continued on next page)

<Page>

Together with certain limited non-exclusive drainage rights in the following
described drainage easement:

PARCEL 2

Perpetual Easement for drainage system, created, defined and granted by that
certain Drainage and Retention Pond Easement among WILLIAM GODFREY SMITH and
PATTY HILL SMITH, his wife, JULIAN VEREEN SMITH and ELAINE W. SMITH, his wife,
and R. SPENCER BURRESS, as the Managing Trustee of the Julian Vereen Smith Issue
Trust and as Managing Trustee of the William Godfrey Smith, Jr. Trust, as
Grantors and GOVERNOR'S SQUARE, INC., as Grantee, dated April 7, 1978, and
recorded in Official Records Book 894, page 1025, of the Public Records of Leon
County, Florida, as further amended by that certain Amendment to Drainage and
Retention Pond Easement dated April 1, 1980, and recorded in Official Records
Book 956, page 2240, of the Public Records of Leon County, Florida, and as
further amended by that certain Second Amendment to Drainage and Retention Pond
Easement dated as of February 28, 1992, by and between TALLAHASSEE ASSOCIATES
and THE SMITH INTEREST GENERAL PARTNERSHIP, as recorded in Official Records Book
1546, page 644, of the Public Records of Leon County, Florida, and as further
amended by that certain Supplement to Drainage and Retention Pond Easement dated
as of January 12, 1994, and recorded July 16, 1994, in Official Records Book
1655, page 97, of the Public Records of Leon County, Florida, as further amended
by Third Amendment to Drainage and Retention Pond Easement between Tallahassee
Associates and the Smith Interests General Partnership, dated November 17, 1994,
and recorded November 18, 1994, in Official Records Book 1776, page 703, of the
Public Records of Leon County, Florida, over, upon and across the following
described land located in Leon County, Fl, together with all rights, privileges
and benefits pertinent thereto under said Drainage and Retention Pond Easement,
as amended, accruing to Tallahassee Associates its successors and assigns,
described as follows:

PARCEL 2.1
RETENTION POND AREA (retention pond on west side of Blairstone, north of
Governors Square Blvd.)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of 36
DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along
said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence North 36 DEG. 45' East 304.50 feet;
thence North 00 DEG. 11' East 460.00 feet, thence South 89 DEG. 49' East 510.00
feet to the Westerly right-of-way boundary of said Blairstone Road, thence South
00 DEG. 11' West along said Westerly right-of-way boundary 606.00 feet, thence
North 89 DEG. 49' West 360.00 feet, thence South 38 DEG. 18' 26" West 274.73
feet to the POINT OF BEGINNING.

                            (continued on next page)

<Page>

ALSO:

PARCEL 2.2
(Drainage easement across Blairstone from pond to open channel east of
Blairstone)

100 foot by 100 foot easement across Blairstone Road extension between easement
for retention pond and proposed open channel waterway.

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2583.00 feet to the POINT OF BEGINNING. From said POINT OF
BEGINNING continue North 00 DEG. 11' East along said Westerly right-of-way
boundary 100.00 feet, thence South 89 DEG. 49' East 100.00 feet to the Easterly
right-of-way boundary of said Blairstone Road extension, thence South 00 DEG.
11' West along said Easterly right-of-way boundary 100.00 feet, thence North 89
DEG. 49' West 100.00 feet to the POINT OF BEGINNING.

ALSO:

PARCEL 2.3
(PROPOSED OPEN CHANNEL WATERWAY) A 100 foot strip lying 50 feet either side of
the following described centerline:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2633.00 feet, thence South 89 DEG. 49' East 100.00 feet to
the Easterly right-of-way boundary of said Blairstone Road for the POINT OF
BEGINNING of said centerline. From said POINT OF BEGINNING continue South 89
DEG. 49' East 206.61 feet, thence North 83 DEG. 27' 18" East 194.65 feet, thence
North 86 DEG. 26' 54" East 201.40 feet to the terminal point of said centerline.

ALSO:

PARCEL 2.4
Extension of Retention Pond Easement across proposed 100 foot Roadway (Governors
Square Avenue)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
                            (continued on next page)

<Page>

boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of 36
DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along
said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence South 36 DEG. 45' West 100.00 feet to
the Southerly right-of-way boundary of said proposed 100.00 foot roadway
(Governors Square Avenue), thence South 53 DEG. 49' East along said Southerly
right-of-way boundary 197.28 feet, thence North 38 DEG. 18' 26" East 100.07 feet
to the POINT OF BEGINNING.

<Page>

[GRAPHIC]

<Page>

                                  EXHIBIT "A-1"
                                    PARCEL A
                                LEGAL DESCRIPTION

PARCEL 1

A parcel of land lying in the Southwest quarter of Section 32, Township 1 North,
Range 1 East, Leon County, Florida, being all of that parcel of land described
in the instrument recorded in Official Records Book 1614, page 617 of the Public
Records of Leon County, Florida, and a portion of Parcel 11 described in the
instrument recorded in Official Records Book 1244, page 1322 of said public
records, more particularly described as follows:

COMMENCE at a copper pin in concrete accepted as the Northwest corner of the
Southeast quarter of Section 31, Township 1 North, Range 1 East, Leon County,
Florida and run thence North 89 DEG. 51' 32" East 2193.38 feet to the centerline
of Magnolia Drive (State Road No. 265); thence leaving said centerline, run
North 89 DEG. 35' 12" East along the centerline of Park Avenue, 50.00 feet;
thence leaving said centerline, run South 00 DEG. 02' 32" East along a
projection of the Easterly right of way of Magnolia Drive, 33.00 feet to the
intersection of said Easterly right of way with the Southerly right of way of
Park Avenue; thence run North 89 DEG. 35' 12" East along said right of way,
694.87 feet to the Northeast corner of Parcel 29, described in the instrument
recorded in Official Records Book 1244, page 1322 of said public records;
continue thence North 89 DEG. 35' 12" East along said right of way, 275.67 feet
to an one inch iron pipe marking the Northwest corner of that parcel of land
described in the instrument recorded in Deed Book 169, page 391 of said public
records; thence run North 89 DEG. 38' 31" East along said right of way, 184.51
feet to a concrete monument marking the Northeast corner of said parcel; thence
run South 02 DEG. 39' 37" West along the East boundary of said parcel, 25.80
feet to the Southerly right of way of Park Avenue, described in the instrument
recorded in Official Records Book 1935, page 1438 and the POINT OF BEGINNING.
From said Point of Beginning, run thence Easterly along said right of way as
follows: North 89 DEG. 33' 11" East 296.90 feet; thence South 83 DEG. 53' 35"
East 175.86 feet; thence North 89 DEG. 32' 38" East 300.47 feet; thence South 88
DEG. 09' 05" East 388.47 feet; thence South 89 DEG. 51' 35" East 205.53 feet;
thence North 00 DEG. 08' 25" East 11.00 feet; thence South 89 DEG. 51' 35" East
281.84 feet; thence leaving said right of way, run South 00 DEG. 19' 26" East
100.59 feet to a 5/8 inch iron rod with cap marked "LB 6816"; thence run South
47 DEG. 28' 00" West 103.76 feet to a 5/8 inch iron rod with cap marked
"LB6816"; thence run South 02 DEG. 28' 00" West 466.00 feet to a 5/8 inch iron
rod with cap marked "LB6816"; thence run South 17 DEG. 32' 00" East 93.00 feet
to a 5/8 inch iron rod with cap marked "LB6816"; thence run South 48 DEG. 00'
40" West 121.50 feet to the Northerly right of way boundary of Governors Square
Boulevard (100 foot right of way), described in the instrument recorded in
Official Records Book 918, page 1464 of said public records, said point lying on
a curve concave Southeasterly; thence along said right of way and curve having a
radius of 623.68 feet, through a central angle of 21 DEG. 29' 05", for an arc
distance of 233.87 feet (the chord of said arc bears North 84 DEG. 23' 53" West
232.50 feet) to a point of tangency; thence run South 84 DEG. 51' 34" West along
said right of way, 879.97 feet to a point of curve to the right; thence along
said curve having a radius of 666.80 feet, through a central angle of 32 DEG.
00' 00", for an arc distance of 372.41 feet (the chord of said arc bears North
79 DEG. 08' 26" West 367.59 feet) to the point of tangency; thence run North 63
DEG. 08' 26" West along said right of way, 317.11 feet to a point of curve to
the left; thence along said curve having a radius of 642.37 feet, through a
central angle of 18 DEG. 23' 57", for an arc distance of 206.28 feet (the chord
of said arc bears North 72 DEG. 20' 25" West 205.40 feet); thence leaving said
right of way, run North 00 DEG. 06' 24" West along the Easterly boundary of
Parcel 29, described in the instrument recorded in Official Records Book 1244,
page 1322 of said public records, a distance of 262.47 feet to a 5/8" iron rod
with cap marked "LB6590", marking the Southwest corner of an existing stormwater
facility described in the instrument recorded in Official Records Book 1516,
page 1074 of said public records; thence run North 89 DEG. 34' 07" East along
the Southerly boundary of said stormwater facility, 274.89 feet to a 5/8" iron
rod with cap marked "LB6590"; thence run North 00 DEG. 06' 02" West along the
Easterly boundary of said stormwater facility, 89.82 feet to the South boundary

<Page>

of said parcel described in Deed Book 169, page 391 of said public records;
thence run North 89 DEG. 27' 04" East along the South boundary of said
parcel, 172.04 feet to concrete monument; thence run North 02 DEG. 39' 37" East
along the Easterly boundary of said parcel, 248.56 feet to the POINT OF
BEGINNING.

PARCEL 2:

Perpetual Easement for drainage system, created, defined and granted by that
certain Drainage and Retention Pond Easement among WILLIAM GODFREY SMITH and
PATTY HILL SMITH, his wife, JULIAN VEREEN SMITH and ELAINE W. SMITH, his wife,
and R. SPENCER BURRESS, as the Managing Trustee of the Julian Vereen Smith Issue
Trust and as Managing Trustee of the William Godfrey Smith, Jr. Trust, as
Grantors and GOVERNOR'S SQUARE, INC., as Grantee, dated April 7, 1978, and
recorded in official Records Book 894, page 1025, of the Public Records of Leon
County, Florida, as further amended by that certain Amendment to Drainage and
Retention Pond Easement dated April 1, 1980, and recorded in Official Records
Book 956, page 2240, of the Public Records of Leon County, Florida, and as
further amended by that certain Second Amendment to Drainage and Retention Pond
Easement dated as of February 28, 1992, by and between TALLAHASSEE ASSOCIATES
and THE SMITH INTEREST GENERAL PARTNERSHIP, as recorded in Official Records Book
1546, page 644, of the Public Records of Leon County, Florida, and as further
amended by that certain Supplement to Drainage and Retention Pond Easement dated
as of January 12, 1994, and recorded July 16, 1994, in Official Records Book
1655, page 97, of the Public Records of Leon County, Florida, as further amended
by Third Amendment to Drainage and Retention Pond Easement between Tallahassee
Associates and the Smith Interests General Partnership, dated November 17, 1994,
and recorded November 18, 1994, in Official Records Book 1776, page 703, of the
Public Records of Leon County, Florida, over, upon and across the following
described land located in Leon County, Fl, together with all rights, privileges
and benefits pertinent thereto under said Drainage and Retention Pond Easement,
as amended, accruing to Tallahassee Associates its successors and assigns,
described as follows:

RETENTION POND AREA:

PARCEL 2.1:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1
East, and run thence North 409.96 feet, thence West 408.24 feet to a copper
pin at the intersection of the centerline of Magnolia Drive with the
centerline of East Lafayette Street, thence run North 00 DEG. 02' East along
the centerline of Magnolia Drive 33.61 feet, thence run South 79 DEG. 02'
East 50.92 feet to the intersection of the East right-of-way boundary of
Magnolia Drive with the North right-of-way boundary of East Lafayette Street,
thence run North 00 DEG. 02' East along a line 50.00 feet from and parallel
to the centerline of Magnolia Drive, a distance of 535.77 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the
North right-of-way boundary of U.S. No. 27, thence along said Northerly
right-of-way boundary of U.S. No. 27, as follows: South 67 DEG. 35' 06" East
1153.28 feet, thence South 67 DEG. 04' 54" East 326.30 feet, thence South 61
DEG. 10' 31" East 301.10 feet, thence South 66 DEG. 04' 33" East 500.00 feet,
thence South 60 DEG. 21' 57" East 402.00 feet, thence South 66 DEG. 03' 46"
East 1451.33 feet to the Westerly right-of-way boundary of Blairstone Road
Extension, thence North 00 DEG. 11' East along said Westerly right-of-way
boundary 2004.00 feet to the Northerly right-of-way boundary of a proposed
100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49' West
215.11 feet to a point of curve to the right, thence along said right-of-way
curve with a radius of 506.72 feet, through a central angle of 36 DEG. 00'
for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along said
Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence North 36 DEG. 45' East 304.50 feet;
thence North 00 DEG. 11' East 460.00 feet, thence South 89 DEG. 49' East
510.00 feet to the Westerly right-of-way boundary of said Blairstone Road,
thence South 00 DEG. 11' West along said Westerly right-of-way boundary
606.00 feet, thence North

<Page>

89 DEG. 49' West 360.00 feet, thence South 38 DEG. 18' 26" West 274.73 feet to
the POINT OF BEGINNING.

ALSO:

PARCEL 2.2:

100 foot by 100 foot easement across Blairstone Road extension between easement
for retention pond and proposed open channel waterway.

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2583.00 feet to the POINT OF BEGINNING. From said POINT OF
BEGINNING continue North 00 DEG. 11' East along said Westerly right-of-way
boundary 100.00 feet, thence South 89 DEG. 49' East 100.00 feet to the Easterly
right-of-way boundary of said Blairstone Road extension, thence South 00 DEG.
11' West along said Easterly right-of-way boundary 100.00 feet, thence North
89 DEG. 49' West 100.00 feet to the POINT OF BEGINNING.

ALSO:

PARCEL 2.3:

(PROPOSED OPEN CHANNEL WATERWAY) A 100 foot strip lying 50 feet either side of
the following described centerline:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2633.00 feet, thence South 89 DEG. 49' East 100.00 feet to
the Easterly right-of-way boundary of said Blairstone Road for the POINT OF
BEGINNING of said centerline. From said POINT OF BEGINNING continue South
89 DEG. 49' East 206.61 feet, thence North 83 DEG. 27' 18" East 194.65 feet,
thence North 86 DEG. 26' 54" East 201.40 feet to the terminal point of said
centerline.

ALSO:

<Page>

PARCEL 2.4:

Extension of Retention Pond Easement across proposed 100 foot Roadway (Governors
Square Avenue)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of
36 DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West
along said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING.
From said POINT OF BEGINNING continue North 53 DEG. 49' West along said
Northerly right-of-way boundary 200.00 feet, thence South 36 DEG. 45' West
100.00 feet to the Southerly right-of-way boundary of said proposed 100.00 foot
roadway (Governors Square Avenue), thence South 53 DEG. 49' East along said
Southerly right-of-way boundary 197.28 feet, thence North 38 DEG. 18' 26" East
100.07 feet to the POINT OF BEGINNING.

PARCEL 3:

A portion of Parcel 11 described in the instrument recorded in Official Records
Book 1244, page 1322 of the Public Records of Leon County, Florida, lying in the
Southwest quarter of Section 32, Township 1 North, Range 1 East, Leon County,
Florida, more particularly described as follows: COMMENCE at a copper pin in
concrete accepted as the Northwest corner of the Southeast quarter of Section
31, Township 1 North, Range 1 East, Leon County, Florida and run thence North
89 DEG. 51' 32" East 2193.38 feet to the centerline of Magnolia Drive (State
Road No. 265); thence leaving said centerline, run North 89 DEG. 35' 12" East
along the centerline of Park Avenue, 50.00 feet; thence leaving said centerline,
run South 00 DEG. 02' 32" East along a projection of the Easterly right of way
of Magnolia Drive, 33.00 feet to the intersection of said Easterly right of way
with the Southerly right of way of Park Avenue; thence run North 89 DEG. 35' 12"
East along said right of way, 694.87 feet to the Northeast corner of Parcel 29,
described in the instrument recorded in Official Records Book 1244, page 1322 of
said public records; continue thence North 89 DEG. 35' 12" East along said right
of way, 275.67 feet to an one inch iron pipe marking the Northwest corner of
that parcel of land described in the instrument recorded in Deed Book 169, page
391 of said public records; thence run North 89 DEG. 38' 31" East along said
right of way, 184.51 feet to a concrete monument marking the Northeast corner of
said parcel; thence run South 02 DEG. 39' 37" West along the East boundary of
said parcel, 25.80 feet to the Southerly right of way of Park Avenue, described
in the instrument recorded in Official Records Book 1935, page 1438; thence run
thence Easterly along said right of way as follows: North 89 DEG. 33' 11" East
296.90 feet; thence South 83 DEG. 53' 35" East 175.86 feet; thence North 89 DEG.
32' 38" East 300.47 feet; thence South 88 DEG. 09' 05" East 388.47 feet; thence
South 89 DEG. 51' 35" East 205.53 feet; thence North 00 DEG. 08' 25" East 11.00
feet; thence South 89 DEG. 51' 35" East 281.84 feet to a point for the POINT OF
BEGINNING. From said POINT OF BEGINNING, continue North

<Page>

89 DEG. 51' 35" East along said Southerly right of way, 75.30 feet to the West
boundary of that parcel of land described in instrument recorded in Official
Records Book 1942, page 495 of said public records; thence leaving said right of
way, run Southerly along said West boundary as follows: South 00 DEG. 00' 00"
East 68.39 feet; thence South 47 DEG. 47' 26" West 103.76 feet; thence South
02 DEG. 47' 56" West 86.53 feet, more or less to a Jurisdictional Westland line,
delineated by the Department of Environmental Protection; thence leaving the
aforesaid West boundary and run Southwesterly along said jurisdictional line as
follows: South 59 DEG. 14' 50" West 65.94 feet; thence North 75 DEG. 18' 54"
West 17.60 feet, more or less to the Easterly boundary of a 33.87 acre parcel,
shown and described in a Boundary Survey prepared by Genesis Group, for
Governors Marketplace, LLC, dated 7/27/99; thence leaving said jurisdictional
line, and run Northerly along said Easterly boundary as follows: North 02 DEG.
28' 00" East 83.32 feet; thence run North 47 DEG. 28' 00" East 103.76 feet;
thence run North 00 DEG. 19' 26" West 100.59 feet to the POINT OF BEGINNING.

<Page>

                                  EXHIBIT "A-2"

[GRAPHIC]

[MOOREBASS CONSULTING LOGO]

<Page>

[GRAPHIC]

<Page>

                                   EXHIBIT "B"

              RECOGNITION, NON-DISTURBANCE AND ATTORNMENT AGREEMENT

          THIS AGREEMENT is made and entered into this ______ day of
____________, _____, by and between ELAINE W. SMITH PARTNERSHIP, LLP and SMITH
INTERESTS GENERAL PARTNERSHIP, L.L.P. (collectively, "PRIME LANDLORD"), KIMCO
GOVERNORS MARKETPLACE LTD. ("LANDLORD") and ____________________________________
("TENANT").

          A.      By a Lease dated as of ____________, ______ ("PRIME LEASE"),
Prime Landlord leases to "Landlord" the land in Tallahassee, Florida, described
therein (the "PROPERTY").

          B.      Landlord has entered into a Lease dated ________________
("SUBLEASE") with Tenant for a portion of the Property or the improvements
located thereon. By execution hereof, Landlord certifies to Prime Landlord that
the terms and provisions of such Sublease are consistent in all material
respects with the terms and provisions of the Ground Lease (except for the
following ___________________).

          C.      Although not required by the terms of the Prime Lease, the
parties desire to provide for a consent by Prime Landlord to the Sublease and
for a recognition, non-disturbance and attornment agreement all as hereinafter
set forth.

          In consideration of the Premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged by
the parties, it is hereby agreed as follows:

          1.      Prime Landlord hereby consents to the Sublease.

          2.      (a)   Provided Tenant is not in default (beyond any applicable
notice and cure periods) in the payment of rent or other sums payable by Tenant
under the terms of the Sublease or under any other provision of the Sublease,
and Tenant is then in occupancy of the Premises (as defined in the Sublease):

                       (i)   The right of possession of Tenant to the
                             Premises shall not be affected or
                             disturbed by any termination of the Prime
                             Lease or by Prime Landlord in the
                             exercise of any of its rights and
                             remedies under the Prime Lease; and

                       (ii)  In the event Prime Landlord terminates
                             the Prime Lease or Landlord's right to
                             possession thereunder, Tenant agrees to
                             continue occupancy of the Premises under
                             the same terms and conditions of the
                             Sublease and to attorn to the Prime
                             Landlord, its successors or assigns, to
                             the same extent and with the same force
                             as if Prime Landlord were the Landlord
                             under the Sublease. Prime Landlord shall
                             thereupon (i) be entitled, but not
                             obligated, to exercise the claims,
                             rights, powers,

<Page>

                             privileges, options and remedies of the
                             Landlord under the Sublease and shall be
                             further entitled to the benefits of, and
                             to receive and enforce performance of,
                             all of the covenants to be performed by
                             Tenant under the Sublease as though Prime
                             Landlord were named herein as the
                             landlord, and (ii) be bound (as Landlord)
                             to the Tenant under the terms of the
                             Sublease and be obligated to perform all
                             of the obligations of the Landlord under
                             the Sublease.

          (b)     Prime Landlord shall not, by virtue of this Agreement, be or
become subject to any liability or obligation to Tenant under the Sublease or
otherwise, until Prime Landlord shall have terminated the Prime Lease or
Landlord's right to possession thereunder, and then only to the extent of
liabilities or obligations accruing subsequent to the date of such termination.

          (c)     Except as set forth in the Sublease, Tenant shall not pay an
installment of rent or any part thereof more than thirty (30) days prior to the
due date of such installment, and Prime Landlord shall not be bound by, and
shall be entitled to recover from Tenant as rent under the Sublease, any payment
of rent or additional rent made by Tenant to Landlord for more than one (1)
month in advance (except as set forth in the Sublease).

          (d)     Upon delivery to Tenant by Prime Landlord of a certified final
order of a court of competent jurisdiction terminating the Prime Lease or
Landlord's right to possession thereunder, together with written notice from
Prime Landlord that the rentals under the Sublease should be paid to Prime
Landlord, Tenant shall thereafter pay to Prime Landlord all rentals and other
monies due and to become due to the Landlord under the Sublease.

          3.      In case any lease or tenancy shall come into existence between
Prime Landlord and Tenant pursuant to the provisions of this Agreement, the
provisions of Paragraph 5 hereof shall apply to any liability imposed upon Prime
Landlord, by reason of such lease or tenancy.

          4.      The term "PRIME LANDLORD" as used in this Agreement means only
the owner for the time being of the Property, so that in the event of any sale
or transfer of an interest therein, the party hereto designated as Prime
Landlord shall be and thereby is entirely freed and relieved of all covenants
and obligations of the Prime Landlord hereunder and any such purchaser or
transferee shall, however, be bound hereby as Prime Landlord.

          5.      This Agreement shall inure to the benefit of and shall be
binding upon Tenant and Prime Landlord, and their respective heirs, personal
representatives, successors and assigns. This Agreement shall be governed by and
construed according to the laws of the State of Florida.

                                       -2-
<Page>

          Prime Landlord, Landlord and Tenant have executed this Agreement the
day and year first above written.

                                        PRIME LANDLORD:

                                        SMITH INTERESTS GENERAL
                                        PARTNERSHIP, L.L.P.

                                        By:
                                           -------------------------------------
                                        Name: William G. Smith, Jr.
                                        Its: Managing Partner

                                        By:
                                           -------------------------------------
                                        Name: J. Vereen Smith, Jr.
                                        Its: Managing Partner

                                        ELAINE W. SMITH PARTNERSHIP, LLP

                                        By:
                                           -------------------------------------
                                        Name: Elaine W. Smith
                                        Its: Managing Partner

                                        LANDLORD:

                                        KIMCO GOVERNORS MARKETPLACE
                                        LTD., a Florida limited partnership

                                        By: KIMCO GOVERNORS
                                            MARKETPLACE 317, INC., a Florida
                                            corporation, General Partner

                                            By:
                                               ---------------------------------
                                               Bruce M. Kauderer, Vice President

                                        TENANT:

                                        By:
                                           -------------------------------------
                                        Its:
                                            ------------------------------------

                                       -3-
<Page>

STATE OF ___________________)
                            )SS.
COUNTY OF __________________)

          I, _________________, a notary public in and for said County, in the
State aforesaid, DO HEREBY CERTIFY THAT William G. Smith, Jr. and J. Vereen
Smith, Jr., Managing Partners of Smith Interests General Partnership, L.L.P., a
Florida limited liability partnership, personally known to me to be the same
persons whose names are subscribed to the foregoing instrument, appeared before
me this day in person and acknowledged that they signed and delivered the said
instrument as their own free and voluntary acts, and as the free and voluntary
act and deed of said partnership, for the uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this ______ day of ____________,
_____________.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

 STATE OF __________________)
                            )SS.
 COUNTY OF _________________)

          I, ______________, a notary public in and for said County, in the
State aforesaid, DO HEREBY CERTIFY THAT Elaine W. Smith, Managing Partner of
Elaine W. Smith Partnership, LLP, a Florida limited liability partnership,
personally known to me to be the same person whose name is subscribed to the
foregoing instrument, appeared before me this day in person and acknowledged
that he signed and delivered the said instrument as his own free and voluntary
act, and as the free and voluntary act and deed of said partnership, for the
uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this _______ day of ___________,
__________.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

<Page>

STATE OF ___________________)
                            )SS.
COUNTY OF __________________)

          I, __________________, a notary public in and for said County, in the
State aforesaid, DO HEREBY CERTIFY THAT Bruce M. Kauderer, personally known to
me to be the vice president of KIMCO GOVERNORS MARKETPLACE 317, INC., which is
the general partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to
me to be the same person whose name is subscribed to the foregoing instrument,
appeared before me this day in person and severally acknowledged that as such
vice president of the general partner of KIMCO GOVERNORS MARKETPLACE LTD., he
signed and delivered the said instrument as his free and voluntary act, and as
the free and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD., for the
uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this _______ day of ________,
________.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

STATE OF ___________________)
                            )SS.
COUNTY OF __________________)

          I, _________________, a notary public in and for said County, in the
State aforesaid, DO HEREBY CERTIFY THAT __________, __________ of
________________, personally known to me to be the same person whose name is
subscribed to the foregoing instrument, appeared before me this day in person
and acknowledged that he/she signed and delivered the said instrument as his/her
own free and voluntary act, and as the free and voluntary act and deed of said
__________________, for the uses and purposes therein set forth.

          GIVEN under my hand and notarial seal this ______ day of ____________,
_________.

                                        Notary Public

                                        ---------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

<Page>

                                   EXHIBIT "C"

                              PERMITTED EXCEPTIONS

1.   The lien of ad valorem taxes for 2000 and subsequent years.

2.   Easements or claims of easements for utilities purposes not shown by the
     public records.

<Page>

This instrument was prepared by
DuBose Ausley
Ausley & McMullen
P.O. Box 391
Tallahassee, FL 32302

                                   EXHIBIT "D"

                               MEMORANDUM OF LEASE

          THIS MEMORANDUM OF LEASE, made as of the 1st day of October, 2000, by
and between ELAINE W. SMITH PARTNERSHIP, LLP AND THE SMITH INTERESTS GENERAL
PARTNERSHIP, L.L.P. (Elaine W. Smith Partnership, LLP and The Smith Interests
General Partnership, L.L.P. being hereinafter collectively referred to as
"LESSOR"), KIMCO GOVERNORS MARKETPLACE LTD., a limited partnership organized and
existing under the laws of the State of Florida, whose principal address is 3333
New Hyde Park Road, Suite 100, P.O. Box 5020, New Hyde Park, New York 11042-0020
(hereinafter referred to as "LESSEE").

                                   WITNESSETH:

          1.      That for and in consideration of the sum of One Dollar ($1.00)
and other good and valuable considerations, the receipt and sufficiency of which
is hereby acknowledged, and the mutual covenants contained in that certain
Lease between the parties dated as of the 1st day of October, 2000 (hereinafter
referred to as the "GROUND LEASE"), the Lessor does hereby lease to the Lessee,
and the Lessee does hereby lease from the Lessor all of the lands described in
EXHIBIT "A" attached hereto and by this reference made a part hereof (subject to
all conditions and restrictions of record which are set forth in the Ground
Lease), together with all improvements, appurtenances and easements specifically
granted to the Lessee in the Ground Lease.

          2.      Each and all of the terms, provisions, conditions, covenants,
and agreements set forth in the Ground Lease are incorporated herein by this
reference as though the same were fully set forth herein.

          3.      The term of the Ground Lease is now in full force and effect
and shall expire at 12:01 a.m. September 30, 2085, unless extended or sooner
terminated as provided in the Ground Lease.

          4.      Lessor's estate shall not be subject to any claim, lien, or
encumbrance created or suffered by Lessee, and any claim of lien arising from
any act or omission of Lessee shall attach only against Lessee's estate.

          5.      Lessee is not the agent of Lessor for the construction,
alteration, or repair of any buildings or improvements on the premises by Lessee
during the term of this Lease, and all contractors, materialmen, mechanics, and
laborers are hereby charged with

<Page>

notice that they must look to Lessee only for the payment of any charge for work
done or materials furnished on the premises during the term of this Lease.

          6.      This Memorandum of lease is made and entered into for the
purpose of recording and giving notice of (but in no way modifying, amending,
enlarging, reducing or varying the terms of) the Ground Lease, and all of the
rights and obligations of Lessor and Lessee are and shall be governed by the
terms, covenants, conditions, agreements, and limitations contained in the
Ground Lease. In the event of inconsistency between the terms of the Ground
Lease and the terms of this Memorandum, the terms of the Ground Lease shall
govern.

                                       -2-
<Page>

          IN WITNESS WHEREOF, the parties hereto have set their hands and seals
the day and year first-above written.

Signed, sealed, and delivered           LESSOR:
in the presence of:
                                        THE SMITH INTERESTS GENERAL
                                        PARTNERSHIP, L.L.P.
------------------------------------
(Signature)
                                        By:
------------------------------------       -------------------------------------
(Printed name of witness)               Name: William G. Smith, Jr.
                                        Its: Managing Partner
------------------------------------
(Signature)                             By:
                                           -------------------------------------
------------------------------------    Name: J. Vereen Smith, Jr.
(Printed name of witness)               Its: Managing Partner

------------------------------------
(Signature)

------------------------------------
(Printed name of witness)

------------------------------------
(Signature)

------------------------------------
(Printed name of witness)

                                        ELAINE W. SMITH PARTNERSHIP, LLP
------------------------------------
(Signature)                             By:
                                           -------------------------------------
------------------------------------    Name: Elaine W. Smith
(Printed name of witness)               Its: Managing Partner

------------------------------------
(Signature)

------------------------------------
(Printed name of witness)

                                        LESSEE:
------------------------------------
(Signature)                             KIMCO GOVERNORS MARKETPLACE
                                        LTD., a Florida limited partnership
------------------------------------
(Printed name of witness)

                                        By: KIMCO GOVERNORS
------------------------------------        MARKETPLACE 317, INC., a Florida
(Signature)                                 corporation, General Partner

------------------------------------
(Printed name of witness)
                                            By:
                                               ---------------------------------
                                            Bruce M. Kauderer, Vice President

                                       -3-
<Page>

STATE OF FLORIDA

COUNTY OF LEON

          The foregoing Memorandum of Lease was acknowledged before me this
________ day of _________, 2000, by William G. Smith, Jr. and J. Vereen Smith,
Jr., the Managing Partners of The Smith Interests General Partnership, L.L.P.
who are personally known to me _____________________ or who have produced
____________________ as identification.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

STATE OF FLORIDA

COUNTY OF LEON

          The foregoing Memorandum of Lease was acknowledged before me this
________ day of _____________, 2000, by Elaine W. Smith, the Managing Partner of
Elaine W. Smith Partnership, LLP, who is personally known to me _______________
or who has produced _________________ as identification.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

                                       -5-
<Page>

STATE OF _____________

COUNTY OF ____________

          The foregoing Memorandum of Lease was acknowledged before me this
_________ day of _____________, 2000, by Bruce M. Kauderer, personally known to
me to be the vice president of KIMCO GOVERNORS MARKETPLACE 317, INC., which is
the general partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to
me to be the same person whose name is subscribed to the foregoing instrument,
appeared before me this day in person and severally acknowledged that as such
vice president of the general partner of KIMCO GOVERNORS MARKETPLACE LTD., he
signed and delivered the said instrument as his free and voluntary act, and as
the free and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD., for the
uses and purposes therein set forth.

                                        Notary Public

                                        ----------------------------------------
                                        (Printed Name)

                                        My Commission Expires:
                                                              ------------------

                                       -6-
<Page>

                                   EXHIBIT "E"

10.12 ACRE TRACT

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida and run thence North a distance of 409.96 feet, thence West
408.24 feet to a copper pin at the intersection of the centerline of Magnolia
Drive and the centerline of East Lafayette Street, thence North 00 degrees 02
minutes 00 seconds East along the said centerline of Magnolia Drive a distance
of 33.61 feet, thence South 79 degrees 02 minutes 00 seconds East 50.92 feet to
the intersection of the East right-of-way of said Magnolia Drive with the North
right-of-way of said East Lafayette Street, thence run North 00 degrees 02
minutes East along the Easterly right-of-way of said Magnolia Drive a distance
of 535.77 feet to a concrete monument on the intersection of the Easterly
right-of-way of said Magnolia Drive with the Northerly right-of-way of U.S. No.
27, thence run North 00 degrees 03 minutes 51 seconds East along said Easterly
right-of-way 996.27 feet to the intersection of the Easterly right-of-way of
Magnolia Drive with the Northerly right-of-way of Governor's Square Boulevard
for the POINT OF BEGINNING. From said POINT OF BEGINNING continue North 00
degrees 03 minutes 51 seconds East 656.24 feet to the intersection of the
Easterly right-of-way of said Magnolia Drive with the Southerly right-of-way of
Park Avenue, thence leaving said Easterly right-of-way run North 89 degrees 44
minutes East along the Southerly right-of-way of said Park Avenue a distance of
695.0 feet, thence leaving the said Southerly right-of-way run South 00 degrees
03 minutes 51 seconds West along a line 695 feet from and parallel to the
Easterly right-of-way of said Magnolia Drive, a distance of 626.44 feet to a
point on the Northerly right-of-way of said Governor's Square Boulevard said
point lying on a curve concave Southerly, thence run Northwesterly along said
right-of-way curve with a radius of 642.37 feet, through a central angle of 12
degrees 40 minutes 02 seconds for an arc length of 141.73 feet, thence run South
85 degrees 59 minutes 28 seconds West along said Northerly right-of-way 554.78
feet to the POINT OF BEGINNING containing 10.12 acres more or less.

Less and except the outparcel referred to in Article XXVIII C of the foregoing
lease, measuring approximately 145 feet along Magnolia Drive, approximately 152
feet along Governors Square Avenue, approximately 136 feet on its easterly
boundary and approximately 150 feet on its northerly boundary.

<Page>

                                  EXHIBIT "E-1"

I hereby certify that the following legal description meets the minimum
requirements as established by Chapter 21HH - 6 of the Florida Administrative
Code.

1.52 ACRES              DRAINAGE AREA

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
Leon County, Florida and run thence North a distance of 409.96 feet, thence West
408.24 feet to a copper pin at the intersection of the centerline of Magnolia
Drive and the centerline of East Lafayette Street, thence North 00 degrees 02
minutes 00 seconds East along the said centerline of Magnolia Drive a distance
of 33.61 feet, thence South 79 degrees 02 minutes 00 seconds East 50.92 feet to
the intersection of the East right-of-way of said Magnolia Drive with the North
right-of-way of said East Lafayette Street, thence run North 00 degrees 02
minutes East along the Easterly right-of-way of said Magnolia Drive a distance
of 535.77 feet to a concrete monument on the intersection of the Easterly
right-of-way of said Magnolia Drive with the Northerly right-of-way of U.S. No.
27, thence run North 00 degrees 03 minutes 51 seconds-East along said Easterly
right-of-way 996.27 feet to the intersection of the Easterly right-of-way of
Magnolia Drive with the Northerly right-of-way of Governor's Square Boulevard
thence continue North 00 degrees 03 minutes 51 seconds East 656.24 feet to the
intersection of the Easterly right-of-way of said Magnolia Drive with the
Southerly right-of-way of said Park Avenue, thence run North 89 degrees 44
minutes East along said Southerly right-of-way 695.0 feet, thence leaving said
right-of-way run South 00 degrees 03 minutes 51 seconds West 75.0 feet to the
POINT OF BEGINNING. From said POINT OF BEGINNING continue South 00 degrees 03
minutes 51 seconds West 290.0 feet, thence run North 89 degrees 44 minutes East
275.0 feet, thence North 00 degrees 03 minutes 51 seconds East 235 feet, thence
South 89 degrees 44 minutes West 210 feet, thence North 49 degrees 53 minutes 33
seconds West 84.90 feet to the POINT OF BEGINNING containing 1.52 acres more or
less.

[SEAL]
                                        /s/ Paul N.  Williamson
                                        ------------------------------------
                                        Paul N.  Williamson, P.L.S.,
                                        Florida Registration No. 3208

Job No:  86-019
PSR No:  5560
July 10, 1986

<Page>

                                                       INDENTURE OF GROUND LEASE
                                                                      (PARCEL A)

                                   EXHIBIT "F"

                               ADDITIONAL PROPERTY

PROPOSED STORMWATER EASEMENT

A portion of Parcel 11 described in the instrument recorded in Official Records
Book 1244, page 1322 of the Public Records of Leon County, Florida, lying in the
Southwest quarter of Section 32, Township 1 North, Range 1 East, Leon County,
Florida, more particularly described as follows: COMMENCE at a copper pin in
concrete accepted as the Northwest corner of the Southeast quarter of Section
31, Township 1 North, Range 1 East, Leon County, Florida and run thence North 89
DEG. 51' 32" East 2193.38 feet to the centerline of Magnolia Drive (State Road
No. 265); thence leaving said centerline, run North 89 DEG. 35' 12" East along
the centerline of Park Avenue, 50.00 feet; thence leaving said centerline, run
South 00 DEG. 02' 32" East along a projection of the Easterly right of way of
Magnolia Drive, 33.00 feet to the intersection of said Easterly right of way
with the Southerly right of way of Park Avenue; thence run North 89 DEG. 35' 12"
East along said right of way, 694.87 feet to the Northeast corner of Parcel 29,
described in the instrument recorded in Official Records Book 1244, page 1322 of
said public records; continue thence North 89 DEG. 35' 12" East along said right
of way, 275.67 feet to an one inch iron pipe marking the Northwest corner of
that parcel of land described in the instrument recorded in Deed Book 169, page
391 of said public records; thence run North 89 DEG. 38' 31" East along said
right of way, 184.51 feet to a concrete monument marking the Northeast corner of
said parcel; thence run Southerly right of way of Park Avenue, boundary of said
parcel, 25.80 feet to the Southerly right of way of Park Avenue, described in
the instrument recorded in Official Records Book 1935, page 1438; thence run
thence Easterly along said right of way as follows: North 89 DEG. 33' 11" East
296.73 feet; thence South 83 DEG. 53' 35" East 175.86 feet; thence North 89 DEG.
32' 38" East 300.47 feet; thence South 88 DEG. 09' 05" East 388.47 feet; thence
South 89 DEG. 51' 35" East 205.53 feet; thence North 00 DEG. 08' 25" East 11.00
feet; thence South 89 DEG. 51' 35" East 281.84 feet to a point for the POINT OF
BEGINNING. From said POINT OF BEGINNING, continue North 89 DEG. 51' 35" East
along said Southerly right of way, 75.30 feet to the West boundary of that
parcel of land described in instrument recorded in Official Records Book 1942,
page 495 of said public records; thence leaving said right of way, run Southerly
along said West boundary as follows: South 00 DEG. 00' 00" East 68.39 feet;
thence South 47 DEG. 47' 26" West 103.76 feet; thence South 02 DEG. 47' 56" West
86.53 feet, more or less to a Jurisdictional Wetland line, delineated by the
Department of Environmental Protection; thence leaving the aforesaid West
boundary and run Southwesterly along said jurisdictional line as follows: South
59 DEG. 14' 50" West 65.94 feet; thence North 75 DEG. 18' 54" 17.60 feet, more
or less to the easterly boundary of a 33.87 acre parcel, shown and described in
a Boundary Survey prepared by the Genesis Group, for Governors Marketplace, LLC,
dated 7/27/99; thence leaving said jurisdictional line, and run Northerly along
said Easterly boundary as follows: North 02 DEG. 28' 00" East 83.32 feet; thence
run North 47 DEG. 28' 00" East 103.76 feet; thence run North 00 DEG. 19' 26"
West 100.59 feet to the POINT OF BEGINNING.

<Page>

                                   EXHIBIT 15A
                                  GROUND LEASE

This instrument was prepared by
DuBose Ausley
Ausley & McMullen
P.O. Box 391
Tallahassee, FL 32302

                               MEMORANDUM OF LEASE

          This MEMORANDUM OF LEASE, made as of the 1st day of October, 2000, by
and between ELAINE W. SMITH PARTNERSHIP, LLP AND THE SMITH INTERESTS GENERAL
PARTNERSHIP, L.L.P. (Elaine W.Smith Partnership, LLP and The Smith Interests
General Partnership, L.L.P. being hereinafter collectively referred to as
"LESSOR"), KIMCO GOVERNORS MARKETPLACE LTD., a limited partnership organized and
existing under the laws of the State of Florida, whose principal address is 3333
New Hyde Park Road, Suite 100, P.O. Box 5020, New Hyde Park, New York 11042-0020
(hereinafter referred to as "LESSEE").

                                   WITNESSETH:

     1.   That for and in consideration of the sum of One Dollar ($1.00) and
other good and valuable considerations, the receipt and sufficiency of which is
hereby acknowledged, and the mutual covenants contained in that certain Lease
between the parties dated as of the 1st day of October, 2000 (hereinafter
referred to as the "GROUND LEASE"), the Lessor does hereby lease to the Lessee,
and the Lessee does hereby lease from the Lessor all of the lands described in
EXHIBIT "A-1" attached hereto and by this reference made a part hereof (subject
to all conditions and restrictions of record which are set forth in the Ground
Lease), together with all improvements, appurtenances and easements specifically
granted to the Lessee in the Ground Lease.

     2.   Each and all of the terms, provisions, conditions, covenants, and
agreements set forth in the Ground Lease are incorporated herein by this
reference as though the same were fully set forth herein.

     3.   The term of Ground Lease is now in full force and effect and shall
expire at 12:01 a.m. September 30, 2085, unless extended or sooner terminated as
provided in the Ground Lease.

     4.   Lessor's estate shall not be subject to any claim, lien, or
encumbrance created or suffered by Lessee, and any claim of lien arising from
any act or omission of Lessee shall attach only against Lessee's estate.

     5.   Lessee is not the agent of Lessor for the construction, alteration, or
repair of any buildings or improvements on the premises by Lessee during the
term of this Lease, and all contractors, materialmen, mechanics, and laborers
are hereby charged with notice that

<Page>

they must look to Lessee only for the payment of any charge for work done or
materials furnished on the premises during the term of this Lease.

     6.   This Memorandum of lease is made and entered into for the purpose of
recording and giving notice of (but in no way modifying, amending, enlarging,
reducing or varying the terms of) the Ground Lease, and all of the rights and
obligations of Lessor and Lessee are and shall be governed by the terms,
covenants, conditions, agreements, and limitations contained in the Ground
Lease. In the event of inconsistency between the terms of the Ground Lease and
the terms of this Memorandum, the terms of the Ground Lease shall govern.

                            [Signature pages follow]

                                        2
<Page>

          IN WITNESS WHEREOF, the parties hereto have set their hands and seals
the day and year first-above written.

Signed, sealed, and delivered               LESSOR:
in the presence of:

                                            THE SMITH INTERESTS GENERAL
 /s/ J. Marshall Conrad                     PARTNERSHIP, L.L.P.
---------------------------------
(Signature)

     J. Marshall Conrad                     By: /s/ William G. Smith
---------------------------------              ---------------------------------
(Printed name of witness)                   Name: William G. Smith, Jr.
                                            Its: Managing Partner

 /s/ Kristin H. Godfrey
---------------------------------
(Signature)                                 By: /s/ J. Vereen Smith
                                               ---------------------------------
     Kristin H. Godfrey                      Name: J. Vereen Smith, Jr.
---------------------------------            Its: Managing Partner
(Printed name of witness)

 /s/ J. Marshall Conrad
---------------------------------
(Signature)
     J. Marshall Conrad
---------------------------------
(Printed name of witness)

 /s/ Kristin H. Godfrey
---------------------------------
(Signature)
     Kristin H. Godfrey
---------------------------------
(Printed name of witness)

 /s/ J. Marshall Conrad                     ELAINE W. SMITH PARTNERSHIP, LLP
---------------------------------
(Signature)
     J. Marshall Conrad                     By: /s/ Elaine W. Smith
---------------------------------              ---------------------------------
(Printed name of witness)                   Name: Elaine W. Smith
                                            Its: Managing Partner
 /s/ Kristin H. Godfrey
---------------------------------
(Signature)
     Kristin H. Godfrey
---------------------------------
(Printed name of witness)

                                        3
<Page>

 /s/ Rebecca Stack                          LESSEE:
---------------------------------
(Signature)
     Rebecca Stack                          KIMCO GOVERNORS MARKETPLACE
---------------------------------           LTD., a Florida limited partnership
(Printed name of witness)

 /s/ [ILLEGIBLE]                            By: KIMCO GOVERNORS
---------------------------------               MARKETPLACE 317, INC., a Florida
(Signature)                                     corporation, General Partner
     [ILLEGIBLE]
---------------------------------
(Printed name of witness)                       By: /s/ Bruce M. Kauderer
                                                   -----------------------------
                                                   Bruce M. Kauderer,
                                                   Vice President

                                        4
<Page>

STATE OF FLORIDA

COUNTY OF LEON

          The foregoing Memorandum of Lease was acknowledged before me this 29th
day of September 2000, by William G. Smith, Jr. and J. Vereen Smith, Jr., the
Managing Partners of The Smith Interests General Partnership, L.L.P. who are
personally known to me /X/ or who have produced N/A as identification.

                                            Notary Public

                                            /s/ Kristin H. Godfrey
                                            ------------------------------------
                                            (Printed Name)Kristin H. Godfrey

                                            My Commission Expires:______________
[SEAL]
                                                     Kristin H. Godfrey
                                              MY COMMISSION # CC656249 EXPIRES
                                                        July 7, 2001
                                           BONDED THRU TROY FAIN INSURANCE, INC.

STATE OF FLORIDA

COUNTY OF LEON

          The foregoing Memorandum of Lease was acknowledged before me this 29th
day of September 2000, by Elaine W. Smith, the Managing Partners of Elaine W.
Smith Partnership, LLP, who is personally known to me /X/ or who has produced
N/A as identification.

                                            Notary Public

                                            /s/ Kristin H. Godfrey
                                            ------------------------------------
                                            (Printed Name)Kristin H. Godfrey

                                            My Commission Expires:______________
[SEAL]
                                                     Kristin H. Godfrey
                                              MY COMMISSION # CC656249 EXPIRES
                                                        July 7, 2001
                                           BONDED THRU TROY FAIN INSURANCE, INC.

                                        5
<Page>

STATE OF NEW YORK

COUNTY OF NASSAU

          The foregoing Memorandum of Lease was acknowledged before me this 29th
day of September,2000, by Bruce M. Kauderer, personally known to me to be the
vice president of KIMCO GOVERNORS MARKETPLACE 317, INC., which is the general
partner of KIMCO GOVERNORS MARKETPLACE LTD., and personally known to me to be
the same person whose name is subscribed to the foregoing instrument, appeared
before me this day in person and severally acknowledged that as such vice
president of the general partner of KIMCO GOVERNORS MARKETPLACE LTD., he signed
and delivered the said instrument as his free and voluntary act, and as the free
and voluntary act and deed of KIMCO GOVERNORS MARKETPLACE LTD., for the uses and
purposes therein set forth.

                                            Notary Public

                                              /s/ Roseanne Dwyer
                                            ------------------------------------
                                            (Printed Name)

                                            My Commission Expires:______________

[SEAL]
                                                       ROSEANNE DWYER
                                               Notary Public, State of New York
                                                         No. 4909302
                                                  Qualified in Nassau County
                                             Commission Expires January 11, 2002

                                        6
<Page>

                                  EXHIBIT "A-1"
                                    PARCEL A
                                LEGAL DESCRIPTION

PARCEL 1

A parcel of land lying in the Southwest quarter of Section 32, Township 1 North,
Range 1 East, Leon County, Florida, being all of that parcel of land described
in the instrument recorded in Official Records Book 1614, page 617 of the Public
Records of Leon County, Florida, and a portion of Parcel 11 described in the
instrument recorded in Official Records Book 1244, page 1322 of said public
records, more particularly described as follows:

COMMENCE at a copper pin in concrete accepted as the Northwest corner of the
Southeast quarter of Section 31, Township 1 North, Range 1 East, Leon County,
Florida and run thence North 89 DEG. 51' 32" East 2193.38 feet to the centerline
of Magnolia Drive (State Road No. 265); thence leaving said centerline, run
north 89 DEG. 35' 12" East along the centerline of Park Avenue, 50.00 feet;
thence leaving said centerline, run South 00 DEG. 02' 32" East along a
projection of the Easterly right of way of Magnolia Drive, 33.00 feet to the
intersection of said Easterly right of way with the Southerly right of way of
Park Avenue; thence run North 89 DEG. 35' 12" East along said right of way,
694.87 feet to the Northeast corner of Parcel 29, described in the instrument
recorded in Official Records Book 1244, page 1322 of said public records;
continue thence North 89 DEG. 35' 12" East along said right of way, 275.67 feet
to an one inch iron pipe marking the Northwest corner of that parcel of land
described in the instrument recorded in Deed Book 169, page 391 of said public
records; thence run North 89 DEG. 38' 31" East along said right of way, 184.51
feet to a concrete monument marking the Northeast corner of said parcel; thence
run South 02 DEG. 39' 37" West along the East boundary of said parcel, 25.80
feet to the Southerly right of way of Park Avenue, described in the instrument
recorded in Official Records Book 1935, page 1438 and the POINT OF BEGINNING.
From said Point of Beginning, run thence Easterly along said right of way as
follows: North 89 DEG. 33' 11" East 296.90 feet; thence South 83 DEG. 53' 35"
East 175.86 feet; thence North 89 DEG. 32' 38" East 300.47 feet; thence South
88 DEG. 09' 05" East 388.47 feet; thence South 89 DEG. 51' 35" East 205.53 feet;
thence North 00 DEG. 08' 25" East 11.00 feet; thence South 89 DEG. 51' 35" East
281.84 feet; thence leaving said right of way, run South 00 DEG. 19' 26" East
100.59 feet to a 5/8 inch iron rod with cap marked "LB 6816"; thence run South
47 DEG. 28' 00" West 103.76 feet to a 5/8 inch iron rod with cap marked
"LB6816"; thence run South 02 DEG. 28' 00" West 466.00 feet to a 5/8 inch iron
rod with cap marked "LB6816"; thence run South 17 DEG. 32' 00" East 93.00 feet
to a 5/8 inch iron rod with cap marked "LB6816"; thence run South 48 DEG. 00'
40" West 121.50 feet to the Northerly right of way boundary of Governors Square
Boulevard (100 foot right of way), described in the instrument recorded in
Official Records Book 918, page 1464 of said public records, said point lying on
a curve concave Southeasterly; thence along said right of way and curve having a
radius of 623.68 feet, through a central angle of 21 DEG. 29' 05", for an arc
distance of 233.87 feet (the chord of said arc bears North 84 DEG. 23' 53" West
232.50 feet) to a point of tangency; thence run South 84 DEG. 51' 34" West along
said right of way, 879.97 feet to a point of curve to the right; thence along
said curve having a radius of 666.80 feet, through a central angle of 32 DEG.
00' 00", for an arc distance of 372.41 feet (the chord of said arc bears North
79 DEG. 08' 26" West 367.59 feet) to the point of tangency; thence run North
63 DEG. 08' 26" West along said right of way, 317.11 feet to a point of curve to
the left; thence along said curve having a radius of 642.37 feet, through a
central angle of 18 DEG. 23' 57", for an arc distance of 206.28 feet (the chord
of said arc bears North 72 DEG. 20' 25" West 205.40 feet); thence leaving said
right of way, run North 00 DEG. 06' 24" West along the Easterly boundary of
Parcel 29, described in the instrument recorded in Official Records Book 1244,
page 1322 of said public records, a distance of 262.47 feet to a 5/8" iron rod
with cap marked "LB6590", marking the Southwest corner of an existing stormwater
facility described in the instrument recorded in Official Records Book 1516,
page 1074 of said public records; thence run North 89 DEG. 34' 07" East along
the Southerly boundary of said stormwater facility, 274.89 feet to a 5/8" iron
rod with cap marked "LB6590"; thence run North 00 DEG. 06' 02" West along the
Easterly boundary of said stormwater facility, 89.82 feet to the South boundary

<Page>

of said parcel described in Deed Book 169, page 391 of said public records;
thence run North 89 DEG. 27' 04" East along the South boundary of said parcel,
172.04 feet to concrete monument; thence run North 02 DEG. 39' 37" East along
the Easterly boundary of said parcel, 248.56 feet to the POINT OF BEGINNING.

PARCEL 2:

Perpetual Easement for drainage system, created, defined and granted by that
certain Drainage and Retention Pond Easement among WILLIAM GODFREY SMITH and
PATTY HILL SMITH, his wife, JULIAN VEREEN SMITH and ELAINE W. SMITH, his wife,
and R. SPENCER BURRESS, as the Managing Trustee of the Julian Vereen Smith Issue
Trust and as Managing Trustee of the William Godfrey Smith, Jr. Trust, as
Grantors and GOVERNOR'S SQUARE, INC., as Grantee, dated April 7, 1978, and
recorded in Official Records Book 894, page 1025, of the Public Records of Leon
County, Florida, as further amended by that certain Amendment to Drainage and
Retention Pond Easement dated April 1, 1980, and recorded in Official Records
Book 956, page 2240, of the Public Records of Leon County, Florida, and as
further amended by that certain Second Amendment to Drainage and Retention Pond
Easement dated as of February 28, 1992, by and between TALLAHASSEE ASSOCIATES
and THE SMITH INTEREST GENERAL PARTNERSHIP, as recorded in Official Records Book
1546, page 644, of the Public Records of Leon County, Florida, and as further
amended by that certain Supplement to Drainage and Retention Pond Easement dated
as of January 12, 1994, and recorded July 16, 1994, in Official Records Book
1655, page 97, of the public Records of Leon County, Florida, as further amended
by Third Amendment to Drainage and Retention Pond Easement between Tallahassee
Associates and the Smith Interests General Partnership, dated November 17, 1994,
and recorded November 18, 1994, in Official Records Book 1776, page 703, of the
Public Records of Leon County, Florida, over, upon and across the following
described land located in Leon County, Fl, together with all rights, privileges
and benefits pertinent thereto under said Drainage and Retention Pond Easement,
as amended, accruing to Tallahassee Associates its successors and assigns,
described as follows:

RETENTION POND AREA:

PARCEL 2.1:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of 36
DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along
said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence North 36 DEG. 45' East 304.50 feet;
thence North 00 DEG. 11' East 460.00 feet, thence South 89 DEG. 49' East 510.00
feet to the Westerly right-of-way boundary of said Blairstone Road, thence South
00 DEG. 11' West along said Westerly right-of-way boundary 606.00 feet, thence
North

<Page>

89 DEG. 49' west 360.00 feet, thence South 38 DEG. 18' 26" West 274.73 feet to
the POINT OF BEGINNING.

ALSO:

PARCEL 2.2:

100 foot by 100 foot easement across Blairstone Road extension between easement
for retention pond and proposed open channel waterway.

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2583.00 feet to the POINT OF BEGINNING. From said POINT OF
BEGINNING continue North 00 DEG. 11' East along said Westerly right-of-way
boundary 100.00 feet, thence South 89 DEG. 49' East 100.00 feet to the Easterly
right-of-way boundary of said Blairstone Road extension, thence South 00 DEG.
11' West along said Easterly right-of-way boundary 100.00 feet, thence North
89 DEG. 49' West 100.00 feet to the POINT OF BEGINNING.

ALSO:

PARCEL 2.3:

(PROPOSED OPEN CHANNEL WATERWAY) A 100 foot strip lying 50 feet either side of
the following described centerline:

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S No. 27, as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2633.00 feet, thence south 89 DEG. 49' East 100.00 feet to
the Easterly right-of-way boundary of said Blairstone Road for the POINT OF
BEGINNING of said centerline. From said POINT OF BEGINNING continue south
89 DEG. 49' East 206.61 feet, thence North 83 DEG. 27' 18" East 194.65 feet,
thence North 86 DEG. 26' 54" East 201.40 feet to the terminal point of said
centerline.

ALSO:

<Page>

PARCEL 2.4:

Extension of Retention Pond Easement across proposed 100 foot Roadway (Governors
Square Avenue)

Commence at the Southeast corner of Section 31, Township 1 North, Range 1 East,
and run thence North 409.96 feet, thence West 408.24 feet to a copper pin at the
intersection of the centerline of Magnolia Drive with the centerline of East
Lafayette Street, thence run North 00 DEG. 02' East along the centerline of
Magnolia Drive 33.61 feet, thence run South 79 DEG. 02' East 50.92 feet to the
intersection of the East right-of-way boundary of Magnolia Drive with the North
right-of-way boundary of East Lafayette Street, thence run North 00 DEG. 02'
East along a line 50.00 feet from and parallel to the centerline of Magnolia
Drive, a distance of 535.77 feet to the intersection of the East right-of-way
boundary of Magnolia Drive with the North right-of-way boundary of U.S. No. 27,
thence along said Northerly right-of-way boundary of U.S. No. 27 as follows:
South 67 DEG. 35' 06" East 1153.28 feet, thence South 67 DEG. 04' 54" East
326.30 feet, thence South 61 DEG. 10' 31" East 301.10 feet, thence South 66 DEG.
04' 33" East 500.00 feet, thence South 60 DEG. 21' 57" East 402.00 feet, thence
South 66 DEG. 03' 46" East 1451.33 feet to the Westerly right-of-way boundary of
Blairstone Road Extension, thence North 00 DEG. 11' East along said Westerly
right-of-way boundary 2004.00 feet to the Northerly right-of-way boundary of a
proposed 100.00 foot roadway (Governors Square Avenue), thence North 89 DEG. 49'
West 215.11 feet to a point of curve to the right, thence along said
right-of-way curve with a radius of 506.72 feet, through a central angle of 36
DEG. 00' for an arc distance of 318.38 feet, thence North 53 DEG. 49' West along
said Northerly right-of-way boundary 20.59 feet to the POINT OF BEGINNING. From
said POINT OF BEGINNING continue North 53 DEG. 49' West along said Northerly
right-of-way boundary 200.00 feet, thence South 36 DEG. 45' West 100.00 feet to
the Southerly right-of-way boundary of said proposed 100.00 foot roadway
(Governors Square Avenue), thence South 53 DEG. 49' East along said Southerly
right-of-way boundary 197.28 feet, thence North 38 DEG. 18' 26" East 100.07 feet
to the POINT OF BEGINNING.

PARCEL 3:

A portion of Parcel 11 described in the instrument recorded in Official Records
Book 1244, page 1322 of the Public Records of Leon County, Florida, lying in the
Southwest quarter of Section 32, Township 1 North, Range 1 East, Leon County,
Florida, more particularly described as follows: COMMENCE at a copper pin in
concrete accepted as the Northwest corner of the Southeast quarter of Section
31, Township 1 North, Range 1 East, Leon County, Florida and run thence North 89
DEG. 51' 32" East 2193.38 feet to the centerline of Magnolia Drive (State Road
No. 265); thence leaving said centerline, run North 89 DEG. 35' 12" East along
the centerline of Park Avenue, 50.00 feet; thence leaving said centerline, run
South 00 DEG. 02' 32" East along a projection of the Easterly right of way of
Magnolia Drive, 33.00 feet to the intersection of said Easterly right of way
with the Southerly right of way of Park Avenue; thence run North 89 DEG. 35' 12"
East along said right of way, 694.87 feet to the Northeast corner of Parcel 29,
described in the instrument recorded in official Records Book 1244, page 1322 of
said public records; continue thence North 89 DEG. 35' 12" East along said right
of way, 275.67 feet to an one inch iron pipe marking the Northwest corner of
that parcel of land described in the instrument recorded in Deed Book 169, page
391 of said public records; thence run North 89 DEG. 38' 31" East along said
right of way, 184.51 feet to a concrete monument marking the Northeast corner of
said parcel; thence run South 02 DEG. 39' 37" West along the East boundary of
said parcel, 25.80 feet to the Southerly right of way of Park Avenue, described
in the instrument recorded in official Records Book 1935, page 1438; thence run
thence Easterly along said right of way as follows: North 89 DEG. 33' 11" East
296.90 feet; thence South 83 DEG. 53' 35" East 175.86 feet; thence North 89 DEG.
32' 38" East 300.47 feet; thence South 88 DEG. 09' 05" East 388.47 feet; thence
South 89 DEG. 51' 35" East 205.53 feet; thence North 00 DEG. 08' 25" East 11.00
feet; thence South 89 DEG. 51' 35" East 281.84 feet to a point for the POINT OF
BEGINNING. From said POINT OF BEGINNING, continue North

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89 DEG. 51' 35" East along said Southerly right of way, 75.30 feet to the West
boundary of that parcel of land described in instrument recorded in Official
Records Book 1942, page 495 of said public records; thence leaving said right of
way, run Southerly along said West boundary as follows: South 00 DEG. 00' 00"
East 68.39 feet, thence South 47 DEG. 47' 26" West 103.76 feet; thence South 02'
DEG. 47' 56" West 86.53 feet more or less to a Jurisdictional Wetland line,
delineated by the Department of Environmental Protection; thence leaving the
aforesaid West boundary and run Southwesterly along said jurisdictional line as
follows: South 59 DEG. 14' 50" West 65.94 feet; thence North 75 DEG. 18' 54"
West 17.60 feet, more or less to the Easterly boundary of a 33.87 acre parcel,
shown and described in a Boundary Survey prepared by Genesis Group, for
Governors Marketplace, LLC, dated 7/27/99; thence leaving said jurisdictional
line, and run Northerly along said Easterly boundary as follows: North 02 DEG.
28' 00" East 83.32 feet; thence run North 47 DEG. 28' 00" East 103.76 feet;
thence run North 00 DEG. 19' 26" West 100.59 feet to the POINT OF BEGINNING.

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[GRAPHIC]

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