IRT Property Company Announces First Quarter Results

* Completes Financings Totaling $70 Million

* First Development Project Opens in Tampa



Apr 30, 2001, 01:00 ET from IRT Property Company

    ATLANTA, April 30 /PRNewswire/ -- IRT Property Company (NYSE:   IRT)
 announced today its operating results for the first quarter ended March 31,
 2001.
 
     Financial Highlights
     Funds from operations per fully diluted share increased 3.2% to $0.32 in
 the first quarter of 2001 compared with $0.31 in the first quarter of 2000.
 Total funds from operations were $10,564,000 in the first quarter compared
 with $10,995,000 in the prior-year period.
     Net earnings per diluted share were $0.19 in the first quarter compared
 with $0.28 in the same period a year ago.  Net earnings for the first quarter
 were $5,988,000 compared with $9,328,000 for the same period a year ago.  Net
 earnings in the first quarter of 2000 included a $2.7 million gain on the sale
 of two shopping centers.
     Commenting on the announcement, Thomas H. McAuley, Chairman and Chief
 Executive Officer, stated, "Our activity during the quarter focused on
 successfully refinancing maturing debt, negotiating property sales and
 acquisitions as well as leasing anchor tenant spaces in our existing and
 development properties.  We continue to make progress in our development
 program and believe that the current projects in our pipeline as well as the
 four additional sites we are working on in Florida and Atlanta should be major
 contributors to our growth later in the year and into 2002.  We are pleased
 with the one-off acquisition opportunities that have become available and will
 continue to closely monitor the pricing for transactions that meet our
 objectives."
 
     Development Program
     During the quarter, IRT opened the initial phase of its first development
 project, the 85,864-square-foot Regency Square.  Located in the Tampa
 metropolitan area and anchored by Publix, the center will open with the
 remaining 42,000 square feet of shops in the second quarter.  Permitting is in
 process and construction is expected to begin in the second quarter on two
 Publix-anchored shopping centers, Conway Crossing in Orlando and Lutz Lake
 Crossing in Tampa.  IRT's total development pipeline now includes eight
 projects totaling $76 million.
 
     Acquisitions and Asset Sales
     Subsequent to the end of the quarter, IRT completed the acquisition of
 Unigold Shopping Center, its second acquisition of the year.  The 102,985-
 square-foot shopping center is located in the Winter Park area of Orlando and
 is anchored by Winn-Dixie.  The Company expects an initial yield of
 approximately 11% on the $8.0 million purchase price.  Unigold is currently
 97% leased and offers additional upside potential through re-leasing and the
 ability to expand the center by 10,000 square feet.
     The Company also announced that it has completed the sale of Eden Centre
 for $4.0 million, resulting in a $750,000 gain to be booked in the second
 quarter of 2001.  Two additional properties are under contract and in due
 diligence with closing expected in the second quarter for prices aggregating
 approximately $6.0 million.
 
     Status of Delchamps/Jitney Jungle Locations
     Subsequent to the quarter, the Company leased the remaining portion of the
 former Jitney Jungle space at Village at Northshore to Office Depot.  Bed Bath
 & Beyond had already leased 30,000 square feet of the 51,249-square-foot
 space.  Office Depot is expected to take occupancy in September 2001.  Of the
 ten former Jitney Jungle locations, five are now leased with five stores
 remaining vacant.  IRT is negotiating with retailers for three of these
 locations.
 
     Balance Sheet
     In April 2001, IRT completed the refinancing of its $50 million senior
 note offering at an interest rate of 7.77% and closed on the non-recourse,
 secured financing of three shopping centers for a total of $20.7 million and a
 weighted average interest rate of 7.17%.  In addition to providing the
 flexibility and resources to pursue the Company's acquisition and development
 programs, these financings eliminated loan maturities until 2003.
 
     Outlook for 2001
     The Company also announced it remains comfortable with its previously
 issued guidance of a range in funds from operations of $1.27 to $1.30 per
 share in 2001.
 
     About IRT Property Company
     A self-administered equity real estate investment trust, IRT specializes
 in Southeastern United States shopping centers.  Anchor tenants include
 Publix, Kroger, Harris Teeter, Wal-Mart, Kmart and other popular national and
 regional chain stores.  The portfolio of 92 shopping center investments
 includes approximately 9.7 million square feet of retail space.
 
     Investor Conference Call
     Senior management of the Company will conduct an investor/analyst
 conference call on May 1, at 11:00 a.m. EDT.  The number to call for this
 interactive teleconference is (913) 981-5542.  A replay of the conference call
 will be available until May 4, 2001, by dialing (719) 457-0820 and entering
 the passcode, 514798.  If you wish to participate, please call approximately
 15 minutes prior to the scheduled time.  The Company's conference call will
 also be broadcast live via the Internet and can be accessed through the
 Company's web site (http://www.irtproperty.com), as well as
 www.streetevents.com and www.vcall.com.
 
     Supplemental Information
     A copy of the Company's supplemental information package for the quarter
 ended March 31, 2001 is available to all interested parties at our web site,
 or upon written or e-mail request to Karen Sheppard, IRT Property Company, 200
 Galleria Parkway N.W., Suite 1400, Atlanta, Georgia 30339.  E-mail address:
 investorrelations@irtproperty.com.
 
     In addition to historical information, this press release may include
 forward-looking statements within the meaning of Section 27A of the Securities
 Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  Such
 forward-looking statements are based on information presently available to
 management and are subject to various risks and uncertainties, including,
 without limitation, those described in the Company's annual report on Form 10-
 K for the year ended December 31, 2000 under "Special Cautionary Notice
 Regarding Forward Looking Statements" and "Risk Factors," and otherwise in the
 Company's SEC reports and filings.
 
     IRT PROPERTY COMPANY
     FINANCIAL HIGHLIGHTS
     (Unaudited)
     (In thousands, except per share data)
 
                                                        Three Months Ended
                                                             March 31,
                                                         2001           2000
     Gross revenues                                   $21,869        $21,468
     Earnings from operations                         $ 6,049        $ 6,749
     Gain on sales of properties                           --          2,738
     Net earnings before minority interest            $ 6,049        $ 9,487
     Minority interest - OP unitholders                  (61)          (159)
     Net earnings                                     $ 5,988        $ 9,328
     Fully diluted funds from operations (A) (C)      $10,564        $10,995
     Weighted average shares:
     Basic                                             30,213         32,298
     Diluted (B)                                       31,064         35,188
     Fully diluted (A) (C)                             33,133         35,188
     Diluted earnings per share: (B)
     Earnings from operations                         $  0.19        $  0.20
 
     Gain on sales of properties                           --           0.08
 
     Net earnings                                     $  0.19        $  0.28
 
 
     Fully diluted funds from operations
      per share (A) (C)                               $  0.32        $  0.31
 
 
     (A)  The Company defines funds from operations, consistent with the NAREIT
 definition, as net earnings (computed in accordance with generally accepted
 accounting principles) before gains (losses) on sales of properties and
 extraordinary items, plus depreciation and amortization of capitalized leasing
 costs.  Interest on debentures, amortization of debenture costs and amounts
 attributable to minority interests of convertible partnership units ("OP
 Units") are added to funds from operations when the assumed conversion is
 dilutive.  Conversion of the debentures and OP Units is dilutive and therefore
 assumed for the three months ended March 31, 2001 and 2000.
 
     (B)  Diluted earnings per share includes the effects of the conversion of
 the OP Units and the 7.3% debentures when such conversion is dilutive. For the
 three months ended March 31, 2001 and 2000, the conversion of the OP Units is
 assumed, as it is dilutive. For the three months ended March 31, 2001, the
 conversion of the 7.3% debentures is not included, as such conversion is anti-
 dilutive. The effects of such conversion for the three months ended March 31,
 2000, is included, as it is dilutive.
 
     (C)  Fully diluted funds from operations, assuming conversion of the
 Company's 7.3% subordinated debentures and OP Units, is calculated as follows:
 
 
                                                        Three Months Ended
                                                             March  31,
                                                         2001           2000
     Funds from operations                            $ 9,981       $ 10,321
     Interest on convertible debentures                   425            425
     Amortization of convertible debentures costs          25             25
 
     Amounts attributable to minority interest            133            224
 
     Fully diluted funds from operations              $10,564        $10,995
 
 
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SOURCE IRT Property Company
    ATLANTA, April 30 /PRNewswire/ -- IRT Property Company (NYSE:   IRT)
 announced today its operating results for the first quarter ended March 31,
 2001.
 
     Financial Highlights
     Funds from operations per fully diluted share increased 3.2% to $0.32 in
 the first quarter of 2001 compared with $0.31 in the first quarter of 2000.
 Total funds from operations were $10,564,000 in the first quarter compared
 with $10,995,000 in the prior-year period.
     Net earnings per diluted share were $0.19 in the first quarter compared
 with $0.28 in the same period a year ago.  Net earnings for the first quarter
 were $5,988,000 compared with $9,328,000 for the same period a year ago.  Net
 earnings in the first quarter of 2000 included a $2.7 million gain on the sale
 of two shopping centers.
     Commenting on the announcement, Thomas H. McAuley, Chairman and Chief
 Executive Officer, stated, "Our activity during the quarter focused on
 successfully refinancing maturing debt, negotiating property sales and
 acquisitions as well as leasing anchor tenant spaces in our existing and
 development properties.  We continue to make progress in our development
 program and believe that the current projects in our pipeline as well as the
 four additional sites we are working on in Florida and Atlanta should be major
 contributors to our growth later in the year and into 2002.  We are pleased
 with the one-off acquisition opportunities that have become available and will
 continue to closely monitor the pricing for transactions that meet our
 objectives."
 
     Development Program
     During the quarter, IRT opened the initial phase of its first development
 project, the 85,864-square-foot Regency Square.  Located in the Tampa
 metropolitan area and anchored by Publix, the center will open with the
 remaining 42,000 square feet of shops in the second quarter.  Permitting is in
 process and construction is expected to begin in the second quarter on two
 Publix-anchored shopping centers, Conway Crossing in Orlando and Lutz Lake
 Crossing in Tampa.  IRT's total development pipeline now includes eight
 projects totaling $76 million.
 
     Acquisitions and Asset Sales
     Subsequent to the end of the quarter, IRT completed the acquisition of
 Unigold Shopping Center, its second acquisition of the year.  The 102,985-
 square-foot shopping center is located in the Winter Park area of Orlando and
 is anchored by Winn-Dixie.  The Company expects an initial yield of
 approximately 11% on the $8.0 million purchase price.  Unigold is currently
 97% leased and offers additional upside potential through re-leasing and the
 ability to expand the center by 10,000 square feet.
     The Company also announced that it has completed the sale of Eden Centre
 for $4.0 million, resulting in a $750,000 gain to be booked in the second
 quarter of 2001.  Two additional properties are under contract and in due
 diligence with closing expected in the second quarter for prices aggregating
 approximately $6.0 million.
 
     Status of Delchamps/Jitney Jungle Locations
     Subsequent to the quarter, the Company leased the remaining portion of the
 former Jitney Jungle space at Village at Northshore to Office Depot.  Bed Bath
 & Beyond had already leased 30,000 square feet of the 51,249-square-foot
 space.  Office Depot is expected to take occupancy in September 2001.  Of the
 ten former Jitney Jungle locations, five are now leased with five stores
 remaining vacant.  IRT is negotiating with retailers for three of these
 locations.
 
     Balance Sheet
     In April 2001, IRT completed the refinancing of its $50 million senior
 note offering at an interest rate of 7.77% and closed on the non-recourse,
 secured financing of three shopping centers for a total of $20.7 million and a
 weighted average interest rate of 7.17%.  In addition to providing the
 flexibility and resources to pursue the Company's acquisition and development
 programs, these financings eliminated loan maturities until 2003.
 
     Outlook for 2001
     The Company also announced it remains comfortable with its previously
 issued guidance of a range in funds from operations of $1.27 to $1.30 per
 share in 2001.
 
     About IRT Property Company
     A self-administered equity real estate investment trust, IRT specializes
 in Southeastern United States shopping centers.  Anchor tenants include
 Publix, Kroger, Harris Teeter, Wal-Mart, Kmart and other popular national and
 regional chain stores.  The portfolio of 92 shopping center investments
 includes approximately 9.7 million square feet of retail space.
 
     Investor Conference Call
     Senior management of the Company will conduct an investor/analyst
 conference call on May 1, at 11:00 a.m. EDT.  The number to call for this
 interactive teleconference is (913) 981-5542.  A replay of the conference call
 will be available until May 4, 2001, by dialing (719) 457-0820 and entering
 the passcode, 514798.  If you wish to participate, please call approximately
 15 minutes prior to the scheduled time.  The Company's conference call will
 also be broadcast live via the Internet and can be accessed through the
 Company's web site (http://www.irtproperty.com), as well as
 www.streetevents.com and www.vcall.com.
 
     Supplemental Information
     A copy of the Company's supplemental information package for the quarter
 ended March 31, 2001 is available to all interested parties at our web site,
 or upon written or e-mail request to Karen Sheppard, IRT Property Company, 200
 Galleria Parkway N.W., Suite 1400, Atlanta, Georgia 30339.  E-mail address:
 investorrelations@irtproperty.com.
 
     In addition to historical information, this press release may include
 forward-looking statements within the meaning of Section 27A of the Securities
 Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  Such
 forward-looking statements are based on information presently available to
 management and are subject to various risks and uncertainties, including,
 without limitation, those described in the Company's annual report on Form 10-
 K for the year ended December 31, 2000 under "Special Cautionary Notice
 Regarding Forward Looking Statements" and "Risk Factors," and otherwise in the
 Company's SEC reports and filings.
 
     IRT PROPERTY COMPANY
     FINANCIAL HIGHLIGHTS
     (Unaudited)
     (In thousands, except per share data)
 
                                                        Three Months Ended
                                                             March 31,
                                                         2001           2000
     Gross revenues                                   $21,869        $21,468
     Earnings from operations                         $ 6,049        $ 6,749
     Gain on sales of properties                           --          2,738
     Net earnings before minority interest            $ 6,049        $ 9,487
     Minority interest - OP unitholders                  (61)          (159)
     Net earnings                                     $ 5,988        $ 9,328
     Fully diluted funds from operations (A) (C)      $10,564        $10,995
     Weighted average shares:
     Basic                                             30,213         32,298
     Diluted (B)                                       31,064         35,188
     Fully diluted (A) (C)                             33,133         35,188
     Diluted earnings per share: (B)
     Earnings from operations                         $  0.19        $  0.20
 
     Gain on sales of properties                           --           0.08
 
     Net earnings                                     $  0.19        $  0.28
 
 
     Fully diluted funds from operations
      per share (A) (C)                               $  0.32        $  0.31
 
 
     (A)  The Company defines funds from operations, consistent with the NAREIT
 definition, as net earnings (computed in accordance with generally accepted
 accounting principles) before gains (losses) on sales of properties and
 extraordinary items, plus depreciation and amortization of capitalized leasing
 costs.  Interest on debentures, amortization of debenture costs and amounts
 attributable to minority interests of convertible partnership units ("OP
 Units") are added to funds from operations when the assumed conversion is
 dilutive.  Conversion of the debentures and OP Units is dilutive and therefore
 assumed for the three months ended March 31, 2001 and 2000.
 
     (B)  Diluted earnings per share includes the effects of the conversion of
 the OP Units and the 7.3% debentures when such conversion is dilutive. For the
 three months ended March 31, 2001 and 2000, the conversion of the OP Units is
 assumed, as it is dilutive. For the three months ended March 31, 2001, the
 conversion of the 7.3% debentures is not included, as such conversion is anti-
 dilutive. The effects of such conversion for the three months ended March 31,
 2000, is included, as it is dilutive.
 
     (C)  Fully diluted funds from operations, assuming conversion of the
 Company's 7.3% subordinated debentures and OP Units, is calculated as follows:
 
 
                                                        Three Months Ended
                                                             March  31,
                                                         2001           2000
     Funds from operations                            $ 9,981       $ 10,321
     Interest on convertible debentures                   425            425
     Amortization of convertible debentures costs          25             25
 
     Amounts attributable to minority interest            133            224
 
     Fully diluted funds from operations              $10,564        $10,995
 
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X77316489
 
 SOURCE  IRT Property Company