Kramont Realty Trust Agrees to Sell 2,090,000 Common Shares; Net Proceeds to Company of $29,450,600

PLYMOUTH MEETING, Pa., Dec 31, 2002 (BUSINESS WIRE) -- Kramont Realty Trust (NYSE:KRT) announced today that it has agreed to sell 2,090,000 of its common shares to Teachers Insurance and Annuity Association of America and certain investment advisory clients of Kensington Investment Group, Inc. and Teachers Advisors, Inc.

The sale of 1,810,000 of the shares closed today with the remaining 280,000 expected to close on our about January 2, 2003.

Shares were priced at $14.35 for an aggregate purchase price of $29,991,500. Net proceeds to the Trust are estimated to be $29,450,600 and will be for used for general corporate purposes. Cohen & Steers Capital Advisors, LLC acted as placement agent for the transaction.

Kramont Realty Trust is a self-administered, self-managed equity real estate investment trust specializing in neighborhood and community shopping center acquisitions, leasing, development and management. The company owns, operates, manages and has under development 89 properties encompassing approximately 11.6 million square feet of leasable space in 16 states.

For more information, please visit www.kramont.com.

This press release contains certain forward-looking statements within the meaning of the Securities Act of 1933, as amended. Future events and actual results, financial and otherwise, may differ materially from the results discussed in the forward-looking statements.

Risks and other factors that might cause such a difference include, but are not limited to, the effect of economic and market conditions; risks that the Company's acquisition and development projects will fail to perform as expected; cost overruns and delays on expansion and development projects; financing risks, such as the inability to obtain debt or equity financings on favorable terms; the level and volatility of interest rates; loss or bankruptcy of one or more of the Company's major retail tenants; failure of the Company's properties to generate additional income to offset increases in operating expenses and loss of interest income and failure to consummate a strategic transaction, as well as other risks listed from time to time in the Company's reports filed with the Securities and Exchange Commission or otherwise publicly disseminated by the Company.

CONTACT:
Kramont Realty Trust
Investors: Louis P. Meshon, Sr., 610/825-7100
Media: Mitchell Brown, 610/818-6563

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"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995:
Statements in this press release regarding Kramont Realty Trust's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.

© 2003 Kramont Realty Trust All Rights Reserved