Kilroy Realty Completes $355 Million Portfolio Sale

LOS ANGELES–Kilroy Realty Corporation (NYSE: KRC) today announced that it has closed the disposition of its entire industrial portfolio and two small office projects, which in aggregate total approximately 3.7 million square feet. As part of the company’s capital recycling strategy, the company sold 44 properties for gross proceeds of approximately $355 million in two tranches to two institutional buyers. The purchase price reflects strong investor demand for well-located, well-leased, coastal assets. The company will reinvest the proceeds into its expanding West Coast office development program and anticipates recording an approximate $185 million gain on sale in the fourth quarter.

“These transactions reflect a milestone for the company as it moves forward with its value creation strategy of acquiring, repositioning, redeveloping and developing high quality office space in the best West Coast markets,” said John Kilroy, Jr., the company’s president and chief executive officer.

About Kilroy Realty Corporation
Kilroy Realty Corporation, a member of the S&P Small Cap 600 Index, is a real estate investment trust active in the office property sector along the West Coast. For over 60 years, the company has owned, developed, acquired and managed real estate assets primarily in the coastal regions of Los Angeles, Orange County, San Diego, greater Seattle and the San Francisco Bay Area. At September 30, 2012, the company’s stabilized office portfolio encompassed 12.7 million rentable square feet. More information is available at http://www.kilroyrealty.com.

West Coast Commercial Real Estate News