Kramont Announces Three Leases Valued At $4.6 Million.

Business Editors

PLYMOUTH MEETING, Pa.--(BUSINESS WIRE)--Oct. 28, 2002

Kramont Realty Trust (NYSE:KRT), a neighborhood and community shopping center real estate investment trust, today announced three leases for stores at three Pennsylvania properties.

The leases for a Pennsylvania Liquor Control Board (PLCB) Wine and Spirits Superstore, a Hooters Restaurant and a Cosi Restaurant have an aggregate value of approximately $4.6 million.

"Kramont continues to attract the nation's most popular and successful companies serving the needs of consumers who seek and appreciate quality, value and convenience," Louis P. Meshon, Sr., president and chief executive officer said.

The PLCB's 26th Wine & Spirits Superstore opened this month at Whitemarsh Shopping Center, Conshohocken, PA. The PLCB added 4,691 square feet to its existing 5,509 square foot facility and totally renovated the space to provide greatly expanded lines of wines and spirits in an attractive shopping environment. It is the first store to carry the new name and logo: "Pennsylvania Wine & Spirits Premium Collection."

The 67,546 square foot Whitemarsh Shopping Center is anchored by a 38,500 square foot Clemens Market. The center was completely renovated in 1997.

A 3,926 square foot Hooters Restaurant recently opened at Park Hills Plaza, Altoona, PA. Atlanta-based Hooters of America, Inc. is a rapidly expanding chain of casual, beach theme restaurants currently numbering about 300 in 41 states, Canada, Mexico, the Caribbean, South America, Europe and Asia. The newest Hooters, which specializes in chicken wings, is already developing a strong customer base.

Park Hills Plaza is a 280,000 square foot center in heavily industrialized Altoona, which has experienced strong commercial and residential growth in recent years. The center is anchored by a 52,000 square foot Weis Market and includes among its major tenants Staples, Dunham's Sports, Toys `R' Us and Superpetz.

The company also signed a lease for a 2,650 square foot Cosi Restaurant on a site adjacent to Kramont's corporate headquarters here, which it purchased in August of this year. The building, which is being refurbished, formerly housed a Friendly's Restaurant. The location is in a densely populated, heavily traveled upscale area near an entrance to the Pennsylvania Turnpike and a regional shopping mall.

Cosi is expected to open in the spring of 2003.

Cosi currently operates more than 79 restaurants in 11 states and Washington, DC. The New York-based company is the product of a 1999 merger of Xando Coffee and Bar and Cosi Sandwich Bar. The stores offer items including Xando's variety of coffees, espressos and pastries as well as beer and wine in the evenings, and Cosi's soups, salads, sandwiches and pizza.

"Attesting to the tenant appeal of Kramont centers is the fact that leases for the three new stores represent significant base rent increases over the rents paid by the previous tenants," Mr. Meshon, Sr. concluded.

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

Detailed information about Kramont Realty Trust and its properties can be found on its World Wide Web site at http://www.kramont.com.

Certain matters with this press release are discussed using forward-looking language as specified in the Private Securities Litigation Reform Act of 1995, and, as such, may involve known and unknown risks, uncertainties and other factors that may cause the actual results of performance to differ from those projected in the forward-looking statement.