KIMCO REALTY 8-K

Kimco Realty Reports Record Operating Results for 2002

NEW HYDE PARK, N.Y.--(BUSINESS WIRE)--Feb. 13, 2003--

Achieves Full Year FFO Per Diluted Common Share of $3.03;
Fourth Quarter FFO Per Diluted Common Share Increases to $0.78

Kimco Realty Corporation (NYSE: KIM), the nation's largest owner
and operator of neighborhood and community shopping centers, today
announced that fourth quarter net income for the period ended December
31, 2002, increased 1.7 percent to $63.0 million from $61.9 million
for the same period last year. Fourth quarter net income per diluted
common share (EPS) was $0.56, unchanged from a year ago. Funds from
operations (FFO), a widely accepted supplemental measure of REIT
performance, rose 4.2 percent to $82.7 million, from $79.4 million for
the same period last year. On a diluted per common share basis, FFO
increased 1.3 percent to $0.78 from $0.77 for the same period last
year. FFO for the fourth quarter excludes gains on dispositions of
operating properties, gains on early extinguishment of debt and
adjustments to property carrying values, which total a net amount of
approximately $0.5 million, or less than $0.01 per diluted common
share.
For the twelve months ended December 31, 2002, net income
increased 3.9 percent to $245.7 million from $236.5 million for the
same period last year. Net income per diluted common share remained
unchanged at $2.16 from the same period in the previous year. Funds
from operations rose 8.0 percent to $319.7 million for the
twelve-month period from $295.9 million in the year earlier period. On
a diluted per common share basis, FFO increased 1.3 percent to $3.03
from $2.99 reported a year ago. FFO for the year excludes gains on
dispositions of operating properties, gains on early extinguishment of
debt and adjustments to property carrying values, which total a net
amount of approximately $2.0 million, or $0.02 per diluted common
share. FFO for 2001 excludes gains on dispositions of operating
properties of $3.0 million, or $0.03 per diluted common share. A
complete reconciliation containing adjustments from GAAP net income to
FFO is included in this release.
During the quarter, Kimco increased the occupancy of its parent
shopping center portfolio to 87.8 percent from 86.0 percent at
September 30, 2002 and from a low of 85.3 percent at June 30, 2002.
The increase in occupancy was the result of new leasing, property
acquisitions and property sales. For the quarter, Kimco signed 118 new
leases totaling 1.4 million square feet bringing the full year total
leases signed in the parent portfolio to 380 or 3.9 million square
feet. Average base rent on these new leases is approximately $7.18 per
square foot.


In addition to the leases signed during the year in the Company's
parent portfolio, 59 leases were signed totaling 461,000 square feet
in the Kimco Income REIT (KIR) and 184 leases totaling 1.5 million
square feet in the Company's merchant building business, Kimco
Developers, Inc. (KDI). For the Company's entire property portfolio,
which is comprised of interests in approximately 90 million square
feet, the Company signed 623 new leases totaling 5.9 million square
feet.

Kimco continues to have success leasing and disposing of vacancies
that resulted from the Kmart bankruptcy. During the fourth quarter,
the Company executed eight leases and sold seven former Kmart sites.
During the year, the Company made significant progress repositioning
29 of the 31 leases rejected by Kmart. As previously announced,
management does not anticipate the recent store closing announcement
by Kmart will have a material impact on the Company's expected 2003
operating results.

Investment Activities

During the year ended 2002, Kimco acquired interests in 107
shopping centers with an aggregate cost of approximately $1.4 billion.
Highlights of the Company's 2002 investment activities is as follows:

-- Kimco's parent portfolio acquired interests in 50 shopping
centers valued at approximately $726.3 million. This portfolio
includes the Company's international investment activity,
which consisted of acquiring 24 shopping centers and four
development projects in its Canadian joint venture with RioCan
REIT, and acquiring two grocery-anchored shopping centers
located in Mexico. The total property value of the
international investments acquired is approximately $471.5
million. When completed, the developments will add an
additional $78 million in value to the portfolio.

-- Kimco, together with Prometheus Southeast Retail Trust,
completed the merger and privatization of Konover Property
Trust, which has been renamed Kimsouth Realty, Inc. Kimsouth
consisted of 36 shopping centers valued at approximately
$280.9 million at closing.

-- Sixteen properties valued at approximately $187.7 million were
acquired in the Company's Kimco Retail Opportunity Portfolio
(KROP).

-- During 2002, KIR acquired five shopping centers for an
aggregate purchase price of approximately $213.5 million and
on February 4, 2003 acquired a shopping center in Seattle,
Washington for approximately $88.4 million.

-- KDI invested approximately $148.6 million in existing
development projects and new development properties acquired.
KDI had property sales aggregating approximately $128 million
and generating net pre-tax gains for Kimco of approximately
$15.9 million for the year.


In addition to shopping center acquisitions, during 2002 Kimco
continued to invest in the Company's complementary business lines as
follows:

-- Kimco originated approximately $141 million in financing
receivables secured by retail real estate. The Company
provides capital to retailers where the underwritten value of
the real estate is significantly greater than principal amount
of the loan. Commitments were made to retailers including
Ames, Frank's Nursery, Gottschalks and Shopko.

-- A Kimco-led venture has sold or reached agreements on 49 of
the 54 Kmart sites for which it acquired the asset designation
rights to in June 2002. The venture's initial investment was
approximately $43 million.

-- Kimco provided preferred equity capital of approximately $25
million in nine real estate investments, including five
grocery anchored centers. This program provides capital to
real estate owners and developers.

Kimco, a publicly-traded real estate investment trust, has
specialized in shopping center acquisitions, development and
management for over 35 years. Kimco owns and operates the nation's
largest portfolio of neighborhood and community shopping centers with
interests in 606 properties comprising approximately 90.0 million
square feet of leasable space located throughout 41 states, Canada and
Mexico. For further information refer to the Company's web site at
www.kimcorealty.com.

Safe Harbor Statement: The statements in this release state the
Company's and management's hopes, intentions, beliefs, expectations or
projections of the future and are forward-looking statements. It is
important to note that the Company's actual results could differ
materially from those projected in such forward-looking statements.
Factors that could cause actual results to differ materially from
current expectations include general economic conditions, local real
estate conditions, increases in interest rates, increases in operating
costs and real estate taxes. Additional information concerning factors
that could cause actual results to differ materially from those
forward-looking statements is contained from time to time in the
Company's SEC filings, including but not limited to the Company's
report on Form 10-K for the year ended December 31, 2001. Copies of
each filing may be obtained from the Company or the SEC.