Kilroy Rlty Corp - KRC STOCK NEWS

Kilroy Realty Corporation (KRC) announced the redemption of $300 million in 3.800% Senior Notes due January 15, 2023. The redemption price will be 100% of the principal, plus accrued interest, with a redemption date set for October 25, 2021. This action will result in an estimated $13.7 million loss from early extinguishment of debt in Q4 2021, which was not accounted for in prior financial guidance. U.S. Bank National Association will manage the redemption process.

Kilroy Realty Corporation (NYSE: KRC) announced the pricing of $450 million senior notes due 2033 at 2.650%. The notes, offered at 99.957% of principal, will yield 2.654% and mature on November 15, 2033. The offering's net proceeds, expected to be approximately $445.8 million, will fund the Kilroy Oyster Point office project in South San Francisco, among other uses. The closing is anticipated on October 7, 2021. Major banks, including Wells Fargo and J.P. Morgan, acted as underwriters.

Cushman & Wakefield (NYSE: CWK) has announced that DermTech, Inc. has leased approximately 96,000 square feet at the Del Mar Corporate Centre (DMCC) in San Diego for its new headquarters and laboratory. The DMCC, owned by Kilroy Realty (NYSE: KRC), features three Class A buildings with modern amenities and easy access to shopping and dining. DermTech plans significant renovations to convert office space into a life sciences lab to facilitate early melanoma detection. This move reflects the growing demand for biotech space in the San Diego area.

Kilroy Realty Corporation (NYSE: KRC) has successfully acquired West 8th, a fully leased 28-story office building in Seattle, for $490 million. The property, comprising 539,000 square feet, is strategically located near Amazon's headquarters and adds significant value to Kilroy's portfolio. The acquisition is expected to bolster Kilroy's tenant credit profile and provide opportunities to increase below-market rents as leases expire. This move enhances Kilroy's presence in a prime technology office market, supporting anticipated rental growth and earnings.

Kilroy Realty Corporation (NYSE: KRC) announced three new leases totaling 330,000 square feet with biotech companies in San Diego. This includes Tandem Diabetes Care (~182,000 sq ft), DermTech (~96,000 sq ft), and Sorrento Therapeutics (~52,000 sq ft). The leases represent a shift of commercial office space into state-of-the-art life science facilities, supporting Kilroy's investment in this sector. The company also plans a 600,000 sq ft project to meet increasing demand in the area, where vacancy rates in prime locations are below 2% and rents have risen over 20% year-over-year.

Kilroy Realty Corporation (NYSE: KRC) declared a quarterly cash dividend of $0.52 per common share, payable on October 13, 2021, to stockholders of record on September 30, 2021. This represents a 4.0% increase from the previous annualized dividend of $2.00 per share, amounting to an annual rate of $2.08. As of June 30, 2021, Kilroy's stabilized portfolio comprised approximately 14.2 million square feet of space, with 91.8% occupancy and 93.6% leased. The company is a member of the S&P MidCap 400 Index, recognized for its leadership in sustainability.

Kilroy Realty Corporation (NYSE: KRC) announced that the Indeed Tower in Austin, Texas received LEED v4 Platinum certification, ranking it as the second-largest LEED v4 Core & Shell project in the U.S. and fifth-largest globally. Spanning ±730,000 square feet and 36 stories, the tower exemplifies sustainability with features like 85% onsite rainwater management and a 14% reduction in annual energy costs. Acquired for $580 million, Indeed Tower is pivotal to Kilroy's strategy, enhancing its sustainable real estate portfolio valued at approximately $3 billion in ongoing projects.

Kilroy Realty Corporation (NYSE: KRC) will participate in the Bank of America Merrill Lynch 2021 Global Real Estate Virtual Conference on September 21, 2021, starting at 12:00 p.m. ET. The discussion will last approximately 35 minutes and can be accessed live via the Company's Investor Relations webpage or through a dedicated webcast link. A replay will be available after the event until December 22, 2021. As of June 30, 2021, KRC’s portfolio included 14.2 million square feet of space, with 91.8% occupancy and 93.6% leased.

Kilroy Realty Corporation (NYSE: KRC) reported strong second-quarter results for 2021, showcasing net income of $35.8 million ($0.30 per share) and Funds from Operations (FFO) of $104.6 million ($0.88 per share). Revenues reached $226.0 million with a stabilized portfolio occupancy of 91.8%. The company signed around 198,000 square feet in new and renewing leases with significant rent increases of 25.6% (GAAP) and 8.7% (cash). Recent acquisitions include the Indeed Tower in Austin for $580.2 million. KRC maintains a robust balance sheet with $2.0 billion in liquidity and low debt maturities until 2023.