8/11/2015 | By Allen Kenney
Following the company’s sale of 10 West Coast office buildings earlier this year, Kilroy discussed the importance of capital recycling to the firm’s capacity to fund future growth.
“It has been a big part of the way we structured the company,” Kilroy said. The firm is projecting to sell off approximately $400 million in assets in both 2015 and 2016. That capital will then be directed into new acquisitions and development projects, according to Kilroy.
Regarding Kilroy Realty’s operations, Kilroy offered his outlook on the potential for rent and occupancy growth embedded in the firm’s existing portfolio.
“We’ve got some terrific upside across the platform,” he said.
Turning to Kilroy Realty’s development pipeline, Kilroy said the company has “really capitalized on our development expertise over the last few years.” The firm brought $540 million of fully leased development projects online in 2014. The company currently has $1.1 billion in new development underway, and those assets are approximately 85 percent leased, according to Kilroy.