Kilroy Realty Corp.
), a real estate investment trust (REIT), has recently announced
that one of its operating subsidiaries, Kilroy Realty, L.P, has
secured a non-recourse mortgage loan worth $97 million. The 15-year
loan bears an interest rate of 4.48% and is scheduled to mature on
July 1, 2027.
The loan is secured by office properties located at 2211
Michelson Drive in Irvine, California and 2100 and 2110 Colorado
Avenue in Santa Monica, California. The net proceeds from the loan
will be used to repay down debt under its credit
Kilroy Realty remains focused on maintaining a strong balance
sheet and healthy liquidity. During the first quarter of 2012,
Kilroy Realty completed a public offering of 9.5 million shares at
$42.00 each, generating net proceeds of approximately $382.1
million. The company used the net proceeds to pay down debt under
its revolving credit facility and fund acquisitions
Moreover, Kilroy Realty closed a $150 million unsecured term
loan facility in the first quarter of 2012 that bears an interest
at LIBOR plus 1.75% and matures on March 29, 2016. The proceeds
from the loan were utilized to pay off the company's 3.25%
exchangeable senior notes due April 15, 2012.
Kilroy Realty invests, develops, and manages real estate
properties across the U.S. The company focuses on maintaining
a conservative balance sheet, and funds acquisitions and
development activities through available cash, debt or equity
Kilroy Realty currently retains a Zacks #3 Rank, which
translates into a short-term Hold rating. We have a long-term
Neutral recommendation on the stock.One of its competitors,
MPG Office Trust, Inc
) holds a Zacks #1 Rank which translates into a short term Strong
KILROY REALTY (KRC): Free Stock Analysis Report
MPG OFFICE TRST (MPG): Free Stock Analysis
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