KRAMONT REALTY TRUST

KRAMONT REALTY TRUST

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Company Overview
Kramont Realty Trust, formerly a publicly quoted company, is an American self-administered, self-managed real estate investment trust that specializes in the acquisition, leasing, development, and management of community and neighborhood shopping centers. It was established after the merger of Kranzco Realty Trust and CV Reit in 2005. It is headquartered in Plymouth Meeting, Pennsylvania, and maintains regional offices in Georgia, Virginia, Florida, and New York.
Kramont Realty Trust owns and manages approximately 90 neighborhood shopping centers and two office buildings, encompassing nearly 12.6 million square feet of leasable space in 16 states. The centers are normally anchored by a discount department store, supermarket, and drugstore, and are primarily located in the East and Southeast, of which Philadelphia is its largest market. Among the major tenants of these shopping centers includes Wal-Mart, TJX Companies, Ahold USA, and Kmart.
Kramont Realty Trust’s objective is to increase shareholder value through enhancing leasing revenues, expanding and renovating existing properties, and acquiring attractive properties with the potential for growth and greater profitability.
Business Summary
Kramont Realty Trust (Kramont) is a self-administered, self-managed equity real estate investment trust (REIT), which is engaged in the ownership, acquisition, development, redevelopment, management and leasing primarily of community and neighborhood shopping centers. Kramont does not directly own any assets other than its interest in Kramont Operating Partnership, L.P. (Kramont OP) and conducts its business through Kramont OP and its affiliated entities, including Montgomery CV Realty L.P. (Montgomery OP), collectively referred to as the OPs. The OPs, directly or indirectly, own all of the Company’s assets, including its interests in shopping centers. As of December 31, 2004, the OPs owned and operated 83 shopping centers and two office buildings, and managed three shopping centers for third parties and four shopping centers in connection with a joint venture, located in 16 states aggregating approximately 12.5 million leasable square feet.
Description and history
Kramont Realty Trust (Kramont) is a self-administered, self-managed equity real estate investment trust (REIT), which is engaged in the ownership, acquisition, development, redevelopment, management and leasing primarily of community and neighborhood shopping centers. Kramont does not directly own any assets other than its interest in Kramont Operating Partnership, L.P. (Kramont OP) and conducts its business through Kramont OP and its affiliated entities, including Montgomery CV Realty L.P. (Montgomery OP), collectively referred to as the OPs. The OPs, directly or indirectly, own all of the Company’s assets, including its interests in shopping centers. Accordingly, the Company conducts its operations through an Umbrella Partnership REIT (UPREIT) structure. As of December 31, 2004, Kramont owned 93.6% of Kramont OP and is its sole general partner. As of December 31, 2004, Kramont OP indirectly owned 99.87% of the limited partnership interest of Montgomery OP and owned 100% of its sole general partner. As of December 31, 2004, the OPs owned and operated 83 shopping centers and two office buildings, and managed three shopping centers for third parties and four shopping centers in connection with a joint venture, located in 16 states aggregating approximately 12.5 million leasable square feet.

On December 19, 2004, the Company entered into an Agreement and Plan of Merger providing for the merger of the Company into an affiliate of Melbourne, Australia-based Centro Properties Limited, and for the merger of other affiliates of Centro into Kramont Operating Partnership, L.P. and Montgomery CV Realty L.P. On January 27, 2005, the parties amended the Agreement and Plan of Merger.

All operating and administrative functions, such as leasing, data processing, maintenance, finance, accounting, construction and legal are centrally managed at the Company’s headquarters. In addition, Kramont maintains regional offices in Georgia, New York, Virginia, Florida and Pennsylvania. Onsite functions, such as security, maintenance, landscaping, sweeping, plumbing, electrical and other similar activities are either performed by the Company or subcontracted.

Self-Storage Warehouse Partnerships

Kramont owns 45%-50% general and limited partnership interests in three partnerships whose principal assets consist of self-storage warehouses located in southeast Florida, with an aggregate of approximately 2,800 units and 320,000 square feet, managed by unaffiliated parties. The Company receives monthly distributions from each of the partnerships based on cash flows.

Drexel

Effective December 31, 1997, the Company acquired a 95% economic interest in Drexel Realty, Inc. (Drexel), which has been engaged in the development, construction, leasing and management of real estate. Until the Merger, Drexel managed the properties owned by Montgomery OP, as well as other properties located in Pennsylvania and New Jersey owned by third parties. As of December 31, 2004, Drexel managed three properties in Pennsylvania and New Jersey owned by third parties.

Shopping Center Venture

In July 2003, Kramont formed a joint venture with Tower Fund (Tower), for the purpose of acquiring real estate assets. Tower is a commingled separate account available through annuity contracts of Metropolitan Life Insurance Company (New York, New York) and managed by Blackrock Realty, Inc, (formerly SSR Realty Advisors). The Company will administer the day-to-day affairs of the joint venture, which is owned 80% by Tower and 20% by Kramont. The joint venture owns four shopping centers comprising 553,000 square feet in Vestal, New York.

Established after the merger of Kranzco Realty Trust and CV Reit

Business Line
Specializes in the acquisition, leasing, development, and management of community and neighborhood shopping centers
Subsidiary

Advisor
BDO SEIDMAN
IPO date
12/29/1980
US SIC Code
6798
Company Address
580, West Germantown Pike

City province or state postal code
19462, PLYMOUTH MEETING, PA
Phone: +1 610 825 7100
Fax: +1 610 834 8110
Country address: UNITED STATES OF AMERICA
Website url: www.kramont.com