KILROY REALTY CORP
For the period ended Dec 31, 2024. Filed Feb 13, 2025.
View on SEC.govAbout this filing
A company's yearly report to the SEC, with audited financial statements. It is the fullest account a company gives of its business, its finances and the risks it sees.
FY2024 · Filed Feb 13, 2025
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Item 2. Properties
General
| Number ofBuildings | RentableSquare Feet | Number ofTenants | Percentage Occupied (1) | |
|---|---|---|---|---|
| Stabilized Office Properties (2) | 123 | 17,142,721 | 428 | 82.8% |
| Number ofProperties | Number of Units | 2024 Average Occupancy | |
|---|---|---|---|
| Stabilized Residential Properties | 3 | 1,001 | 92.5% |
Our stabilized portfolio includes all of our properties with the exception of development and redevelopment properties currently committed for construction, under construction, or in the tenant improvement phase, undeveloped land, and real estate assets held for sale. We define redevelopment properties as those properties for which we expect to spend significant development and construction costs pursuant to a formal plan to change its use, the intended result of which is a higher economic return on the property. We define a property in the tenant improvement phase as a development or redevelopment property where the project has reached “cold shell condition” and is ready for tenant improvements, which may require additional major base building modifications before being placed in service. Projects in the tenant improvement phase are moved into our stabilized portfolio once the project reaches the earlier of 95% occupancy or one year from the date of the cessation of major base building construction activities. Costs capitalized to construction in progress for development and redevelopment properties are transferred to land and improvements, buildings and improvements, and deferred leasing costs on our consolidated balance sheets as the projects or phases of projects are placed in service.
| Number of Properties/Projects | Estimated Rentable Square Feet (1) | |
|---|---|---|
| In-process redevelopment projects - tenant improvement | 2 | 100,000 |
| In-process development projects - under construction | 1 | 875,000 |
Our stabilized portfolio also excludes our future development pipeline, which as of December 31, 2024, was comprised of eight future development sites, representing approximately 64 gross acres of undeveloped land.
As of December 31, 2024, all of our properties and development and redevelopment projects, and all of our business was conducted in the state of California with the exception of ten stabilized office properties and one future development project located in the state of Washington and one stabilized office property and one future development project located in Austin, Texas. All of our properties and development and redevelopment projects are 100% owned, excluding four office properties owned by three consolidated property partnerships.
We own our interests in all of our real estate assets through the Operating Partnership. All our properties are held in fee, except for the fourteen office buildings that are held subject to five long-term ground leases for the land (see Note 19 “Commitments and Contingencies” to our consolidated financial statements included in this report for additional information regarding our ground lease obligations).
In general, the office properties are leased to tenants on a full service gross, modified gross, or triple net basis. Under a full service gross lease, we are obligated to pay the tenant’s proportionate share of real estate taxes, insurance, and operating expenses up to the amount incurred during the tenant’s first year of occupancy (“Base Year”). The tenant pays its pro-rata share of increases in expenses above the Base Year. A modified gross lease is similar to a full service gross lease, except tenants are obligated to pay their proportionate share of certain operating expenses, usually electricity, directly to the service provider. In addition, some office and life science properties, primarily in Seattle and Austin and certain properties in certain submarkets in the San Francisco Bay Area, San Diego, and Los Angeles, are leased to tenants on a triple net basis, pursuant to which the tenants pay their proportionate share of real estate taxes, operating costs, and utility costs. At December 31, 2024, 46% of our properties were leased to tenants on a triple net basis, 27% of our properties were leased to tenants on a modified gross basis, and 21% of our properties were leased to tenants on a full service gross basis, and 6% of our properties were leased to tenants on a modified net basis, in each case as a percentage of our annualized base rental revenue.
We believe that all of our properties are well maintained and do not require significant capital improvements. As of December 31, 2024, all of our stabilized office properties, excluding our three residential properties, were managed through internal property managers.
Office Properties
The following table sets forth certain information relating to each of the stabilized office properties owned as of December 31, 2024.
| Property Location | No. ofBuildings | Year Built/Renovated | RentableSquare Feet | PercentageOccupied at12/31/2024 (1) | AnnualizedBase Rent(in $000’s) (2) | Annualized Rent Per Square Foot (2) |
|---|---|---|---|---|---|---|
| Los Angeles | ||||||
| 3101-3243 La Cienega Boulevard,Culver City, California | 19 | 2008-2017 | 166,207 | 18.6% | $1,682 | $54.52 |
| 2240 East Imperial Highway, El Segundo, California | 1 | 1983/ 2008 | 122,870 | 100.0% | 3,713 | 30.21 |
| 2250 East Imperial Highway, El Segundo, California | 1 | 1983 | 298,728 | 46.2% | 4,653 | 34.03 |
| 2260 East Imperial Highway, El Segundo, California | 1 | 1983/ 2012 | 298,728 | 100.0% | 9,026 | 30.21 |
| 909 North Pacific Coast Highway, El Segundo, California | 1 | 1972/ 2005 | 244,880 | 72.2% | 6,725 | 38.03 |
| 999 North Pacific Coast Highway, El Segundo, California | 1 | 1962/ 2003 | 138,389 | 48.7% | 2,137 | 34.64 |
| 1350 Ivar Avenue,Los Angeles, California | 1 | 2020 | 16,448 | 100.0% | 1,005 | 61.10 |
| 1355 Vine Street,Los Angeles, California | 1 | 2020 | 183,129 | 100.0% | 10,882 | 59.42 |
| 1375 Vine Street, Los Angeles, California | 1 | 2020 | 159,236 | 100.0% | 9,805 | 61.58 |
| 1395 Vine Street, Los Angeles, California | 1 | 2020 | 2,575 | 100.0% | 161 | 62.65 |
| 1500 North El Centro Avenue, Los Angeles, California | 1 | 2016 | 113,447 | 63.6% | 4,872 | 67.54 |
| 1525 North Gower Street, Los Angeles, California | 1 | 2016 | 9,610 | 100.0% | 650 | 67.61 |
| 1575 North Gower Street, Los Angeles, California | 1 | 2016 | 264,430 | 98.3% | 15,990 | 61.52 |
| 6115 West Sunset Boulevard, Los Angeles, California | 1 | 1938/ 2015 | 26,238 | 23.8% | 390 | 62.49 |
| 6121 West Sunset Boulevard, Los Angeles, California | 1 | 1938/ 2015 | 93,418 | 100.0% | 4,605 | 49.29 |
| 6255 West Sunset Boulevard, Los Angeles, California | 1 | 1971/ 1999 | 325,772 | 59.0% | 9,768 | 52.92 |
| 3750 Kilroy Airport Way, Long Beach, California | 1 | 1989 | 10,718 | 100.0% | 128 | 33.52 |
| Property Location | No. ofBuildings | Year Built/Renovated | RentableSquare Feet | PercentageOccupied at12/31/2024 (1) | AnnualizedBase Rent(in $000’s) (2) | Annualized Rent Per Square Foot (2) |
|---|---|---|---|---|---|---|
| 3760 Kilroy Airport Way, Long Beach, California | 1 | 1989 | 166,761 | 80.4% | 4,967 | 37.04 |
| 3780 Kilroy Airport Way, Long Beach, California | 1 | 1989 | 221,452 | 96.6% | 7,977 | 38.03 |
| 3800 Kilroy Airport Way, Long Beach, California | 1 | 2000 | 192,476 | 93.5% | 5,934 | 32.97 |
| 3840 Kilroy Airport Way, Long Beach, California | 1 | 1999 | 138,441 | 77.6% | 4,446 | 41.40 |
| 3880 Kilroy Airport Way, Long Beach, California | 1 | 1987/ 2013 | 96,923 | 51.9% | 1,655 | 32.93 |
| 3900 Kilroy Airport Way, Long Beach, California | 1 | 1987 | 130,935 | 87.3% | 2,791 | 38.06 |
| 8560 West Sunset Boulevard, West Hollywood, California | 1 | 1963/ 2007 | 76,359 | 93.6% | 5,854 | 82.70 |
| 8570 West Sunset Boulevard,West Hollywood, California | 1 | 2002/ 2007 | 49,276 | 99.0% | 3,203 | 66.03 |
| 8580 West Sunset Boulevard, West Hollywood, California | 1 | 2002/ 2007 | 6,875 | —% | — | — |
| 8590 West Sunset Boulevard, West Hollywood, California | 1 | 2002/ 2007 | 56,750 | 99.7% | 3,407 | 60.19 |
| 12100 West Olympic Boulevard, Los Angeles, California | 1 | 2003 | 155,679 | 74.1% | 8,590 | 74.51 |
| 12200 West Olympic Boulevard, Los Angeles, California | 1 | 2000 | 154,544 | 32.0% | 973 | 69.00 |
| 12233 West Olympic Boulevard, Los Angeles, California | 1 | 1980/ 2011 | 156,746 | 54.0% | 3,231 | 40.69 |
| 12312 West Olympic Boulevard, Los Angeles, California | 1 | 1950/ 1997 | 78,900 | 100.0% | 3,919 | 49.66 |
| 2100/2110 Colorado Avenue, Santa Monica, California | 3 | 1992/ 2009 | 104,853 | 55.4% | 4,580 | 78.79 |
| 501 Santa Monica Boulevard, Santa Monica, California | 1 | 1974 | 78,509 | 65.0% | 4,038 | 80.93 |
| Subtotal/Weighted Average –Los Angeles | 53 | 4,340,302 | 75.0% | $151,757 | $48.25 | |
| San Diego | ||||||
| 12225 El Camino Real, Del Mar, California | 1 | 1998 | 58,401 | 100.0% | $2,543 | $43.55 |
| 12235 El Camino Real, Del Mar, California | 1 | 1998 | 53,751 | 100.0% | 2,627 | 48.87 |
| 12340 El Camino Real,Del Mar, California | 1 | 2002/ 2022 | 109,307 | 100.0% | — | — |
| 12390 El Camino Real, Del Mar, California | 1 | 2000 | 73,238 | 100.0% | 4,237 | 57.85 |
| 12770 El Camino Real, Del Mar, California | 1 | 2016 | 75,035 | 100.0% | 4,226 | 56.33 |
| 12780 El Camino Real,Del Mar, California | 1 | 2013 | 140,591 | 100.0% | 7,137 | 50.77 |
| 12790 El Camino Real,Del Mar, California | 1 | 2013 | 87,944 | 100.0% | 4,940 | 56.18 |
| 12830 El Camino Real,Del Mar, California | 1 | 2021 | 196,444 | 100.0% | 14,419 | 73.40 |
| 12860 El Camino Real,Del Mar, California | 1 | 2021 | 92,042 | 100.0% | 6,621 | 71.93 |
| 12348 High Bluff Drive, Del Mar, California | 1 | 1999 | 39,192 | 51.5% | 926 | 45.90 |
| 12400 High Bluff Drive, Del Mar, California | 1 | 2004/ 2022 | 216,518 | 100.0% | 15,576 | 71.94 |
| 12707 High Bluff Drive, Del Mar, California | 1 | 2017 | 59,245 | 93.5% | 3,428 | 61.87 |
| 12777 High Bluff Drive, Del Mar, California | 1 | 2017 | 44,486 | 100.0% | 2,319 | 52.14 |
| Property Location | No. ofBuildings | Year Built/Renovated | RentableSquare Feet | PercentageOccupied at12/31/2024 (1) | AnnualizedBase Rent(in $000’s) (2) | Annualized Rent Per Square Foot (2) |
|---|---|---|---|---|---|---|
| 3579 Valley Centre Drive, Del Mar, California | 1 | 1999 | 54,960 | 94.7% | 3,085 | 59.30 |
| 3611 Valley Centre Drive, Del Mar, California | 1 | 2000 | 132,425 | 100.0% | 7,337 | 55.41 |
| 3661 Valley Centre Drive, Del Mar, California | 1 | 2001 | 131,662 | 100.0% | 4,205 | 33.71 |
| 3721 Valley Centre Drive, Del Mar, California | 1 | 2003 | 117,777 | 90.3% | 6,003 | 56.46 |
| 3811 Valley Centre Drive, Del Mar, California | 1 | 2000 | 118,912 | 100.0% | 6,782 | 57.03 |
| 3745 Paseo Place,Del Mar, California | 1 | 2019 | 95,871 | 86.3% | 5,876 | 71.00 |
| 13480 Evening Creek Drive North,San Diego, California | 1 | 2008 | 143,401 | 56.7% | 4,139 | 50.90 |
| 13500 Evening Creek Drive North,San Diego, California | 1 | 2004 | 137,660 | 100.0% | 6,267 | 45.53 |
| 13520 Evening Creek Drive North,San Diego, California | 1 | 2004 | 146,701 | 74.2% | 4,861 | 44.65 |
| 2100 Kettner Boulevard,San Diego, California | 1 | 2022 | 212,423 | 30.2% | 4,469 | 69.83 |
| 2305 Historic Decatur Road, Point Loma, California | 1 | 2009 | 107,456 | 88.3% | 4,536 | 47.84 |
| 9455 Towne Centre Drive, UTC, California | 1 | 2021 | 160,444 | 100.0% | 7,822 | 48.76 |
| 9514 Towne Centre Drive, UTC, California | 1 | 2023 | 70,616 | 100.0% | 5,220 | 73.92 |
| Subtotal/Weighted Average –San Diego | 26 | 2,876,502 | 89.2% | $139,601 | $54.57 | |
| San Francisco Bay Area | ||||||
| 4100 Bohannon Drive, Menlo Park, California | 1 | 1985 | 47,643 | 100.0% | $2,640 | $55.41 |
| 4200 Bohannon Drive, Menlo Park, California | 1 | 1987 | 43,600 | 69.4% | 1,477 | 48.78 |
| 4300 Bohannon Drive, Menlo Park, California | 1 | 1988 | 63,430 | 63.5% | 2,526 | 62.77 |
| 4500 Bohannon Drive, Menlo Park, California | 1 | 1990 | 63,429 | 100.0% | 4,074 | 64.23 |
| 4600 Bohannon Drive, Menlo Park, California | 1 | 1990 | 48,413 | 100.0% | 2,600 | 53.71 |
| 4700 Bohannon Drive, Menlo Park, California | 1 | 1989 | 63,429 | 100.0% | 3,513 | 55.39 |
| 1290-1300 Terra Bella Avenue, Mountain View, California | 1 | 1961 | 114,175 | 100.0% | 7,445 | 65.21 |
| 680 East Middlefield Road,Mountain View, California | 1 | 2014 | 171,676 | 100.0% | 7,763 | 45.22 |
| 690 East Middlefield Road,Mountain View, California | 1 | 2014 | 171,215 | 100.0% | 7,729 | 45.14 |
| 1701 Page Mill Road, Palo Alto, California | 1 | 2015 | 128,688 | 100.0% | 8,461 | 65.75 |
| 3150 Porter Drive,Palo Alto, California | 1 | 1998 | 36,886 | 100.0% | 3,277 | 88.83 |
| 900 Jefferson Avenue,Redwood City, California | 1 | 2015 | 228,226 | 100.0% | 13,468 | 59.01 |
| 900 Middlefield Road,Redwood City, California | 1 | 2015 | 119,616 | 100.0% | 10,236 | 85.92 |
| 100 Hooper Street,San Francisco, California | 1 | 2018 | 417,914 | 95.5% | 23,646 | 59.33 |
| 100 First Street, San Francisco, California | 1 | 1988 | 480,457 | 93.6% | 30,940 | 71.62 |
| 303 Second Street, San Francisco, California | 1 | 1988 | 784,658 | 73.5% | 51,919 | 91.47 |
| Property Location | No. ofBuildings | Year Built/Renovated | RentableSquare Feet | PercentageOccupied at12/31/2024 (1) | AnnualizedBase Rent(in $000’s) (2) | Annualized Rent Per Square Foot (2) |
|---|---|---|---|---|---|---|
| 201 Third Street, San Francisco, California | 1 | 1983 | 346,538 | 25.5% | 6,081 | 72.01 |
| 360 Third Street, San Francisco, California | 1 | 2013 | 436,357 | 66.6% | 25,489 | 88.08 |
| 250 Brannan Street, San Francisco, California | 1 | 1907/ 2001 | 100,850 | 100.0% | 10,323 | 102.36 |
| 301 Brannan Street, San Francisco, California | 1 | 1909/ 1989 | 82,834 | 100.0% | 7,391 | 89.23 |
| 333 Brannan Street,San Francisco, California | 1 | 2016 | 185,602 | 100.0% | 17,688 | 95.30 |
| 345 Brannan Street,San Francisco, California | 1 | 2015 | 110,050 | 99.7% | 10,551 | 96.16 |
| 350 Mission Street, San Francisco, California | 1 | 2016 | 455,340 | 99.7% | 24,076 | 53.09 |
| 345 Oyster Point Boulevard,South San Francisco, California | 1 | 2001 | 40,410 | 100.0% | 2,192 | 54.24 |
| 347 Oyster Point Boulevard,South San Francisco, California | 1 | 1998 | 39,780 | 100.0% | 2,158 | 54.24 |
| 349 Oyster Point Boulevard,South San Francisco, California | 1 | 1999 | 65,340 | 100.0% | 4,265 | 65.27 |
| 350 Oyster Point Boulevard,South San Francisco, California | 1 | 2021 | 234,892 | 100.0% | 18,167 | 77.34 |
| 352 Oyster Point Boulevard,South San Francisco, California | 1 | 2021 | 232,215 | 100.0% | 18,062 | 77.78 |
| 354 Oyster Point Boulevard,South San Francisco, California | 1 | 2021 | 193,472 | 100.0% | 15,048 | 77.78 |
| 505 North Mathilda Avenue, Sunnyvale, California | 1 | 2014 | 212,322 | 100.0% | 9,449 | 44.50 |
| 555 North Mathilda Avenue, Sunnyvale, California | 1 | 2014 | 212,322 | 100.0% | 9,449 | 44.50 |
| 599 North Mathilda Avenue, Sunnyvale, California | 1 | 2000 | 76,031 | —% | — | — |
| 605 North Mathilda Avenue, Sunnyvale, California | 1 | 2014 | 162,785 | 100.0% | 7,244 | 44.50 |
| Subtotal/Weighted Average –San Francisco | 33 | 6,170,595 | 87.4% | $369,347 | $68.89 | |
| Seattle | ||||||
| 601 108th Avenue North East, Bellevue, Washington | 1 | 2000 | 490,738 | 98.7% | $20,410 | $42.60 |
| 10900 North East 4th Street, Bellevue, Washington | 1 | 1983 | 428,557 | 89.7% | 13,681 | 37.60 |
| 2001 West 8th Avenue, Seattle, Washington | 1 | 2009 | 535,395 | 19.5% | 4,913 | 47.65 |
| 333 Dexter Ave North, Seattle, Washington | 1 | 2022 | 618,766 | 100.0% | 31,809 | 51.41 |
| 701 North 34th Street, Seattle, Washington | 1 | 1998 | 141,860 | 44.8% | 2,194 | 34.52 |
| 801 North 34th Street, Seattle, Washington | 1 | 1998 | 173,615 | 100.0% | 5,789 | 33.34 |
| 837 North 34th Street, Seattle, Washington | 1 | 2008 | 112,487 | 85.6% | 2,269 | 23.57 |
| 320 Westlake Avenue North,Seattle, Washington | 1 | 2007 | 184,644 | 96.1% | 8,079 | 45.52 |
| 321 Terry Avenue North,Seattle, Washington | 1 | 2013 | 135,755 | 100.0% | 5,417 | 39.90 |
| 401 Terry Avenue North,Seattle, Washington | 1 | 2003 | 174,530 | 100.0% | 7,008 | 40.15 |
| Subtotal/Weighted Average –Seattle | 10 | 2,996,347 | 80.5% | $101,569 | $42.57 | |
| Austin | ||||||
| 200 W. 6th Street, Austin CBD, Texas | 1 | 2023 | 758,975 | 74.7% | $25,283 | $44.58 |
| Property Location · No. ofBuildings · Year Built/Renovated · RentableSquare Feet · PercentageOccupied at12/31/2024 (1) · AnnualizedBase Rent(in $000’s) (2) · Annualized Rent Per Square Foot (2) | |||||
|---|---|---|---|---|---|
| Subtotal/Weighted Average - Austin | 1 | 758,975 | 74.7% | $25,283 | $44.58 |
| TOTAL/WEIGHTED AVERAGE | 123 | 17,142,721 | 82.8% | $787,557 | $56.18 |
(1)Based on all leases at the respective properties in effect as of December 31, 2024. Includes month-to-month leases and leases with a lease term of less than one year as of December 31, 2024. Represents economic occupancy for space where we have achieved revenue recognition for the associated lease agreements..
(2)Annualized base rental revenue includes the impact of straight-lining rent escalations and the amortization of free rent periods, and excludes the impact of the following: amortization of deferred revenue related to tenant-funded tenant improvements, amortization of above/below market rent, amortization for lease incentives due under existing leases, and expense reimbursement revenue. Excludes month-to-month leases, vacant space, and leases with a lease term of less than one year, as of December 31, 2024. Includes 100% of annualized base rent of consolidated property partnerships.
In-Process Redevelopment Projects
As of December 31, 2024, the following redevelopment projects were in the tenant improvement phase:
| Construction Start Date · Estimated Stabilization Date (2) · Estimated Rentable Square Feet · % Leased · Total Project Occupied (3) | ||||||
|---|---|---|---|---|---|---|
| TENANT IMPROVEMENT (1) | Location | |||||
| Office / Life Science | ||||||
| San Francisco Bay Area | ||||||
| 4400 Bohannon Drive | Other Peninsula | 4Q 2022 | 3Q 2025 | 48,000 | —% | —% |
| San Diego | ||||||
| 4690 Executive Drive | University Towne Center | 1Q 2022 | 3Q 2025 | 52,000 | —% | —% |
| TOTAL: | 100,000 | —% | —% | |||
(1)Represents projects that have reached “cold shell condition” and are ready for tenant improvements, which may require additional major base building modifications before being placed in service.
(2)For office and retail, represents the earlier of anticipated 95% occupancy date or one year from substantial completion of base building components. For multi-phase projects, interest and carry cost capitalization may cease and recommence driven by various factors, including tenant improvement construction and other tenant related timing or project scope. Redevelopment will occur in phases based on existing lease expiration dates and timing of the tenant improvement build-out.
(3)Represents economic occupancy for space where we have achieved revenue recognition for the associated lease agreements.
In-Process Development Projects
As of December 31, 2024, the following development project was under construction:
| Construction Start Date · Estimated Stabilization Date (1) · Estimated Rentable Square Feet · % Leased | |||||
|---|---|---|---|---|---|
| UNDER CONSTRUCTION | Location | ||||
| Office / Life Science | |||||
| San Francisco Bay Area | |||||
| Kilroy Oyster Point - Phase 2 | South San Francisco | 2Q 2021 | 1Q 2026 | 875,000 | —% |
| TOTAL: | 875,000 | —% | |||
(1)For office and retail, represents the earlier of anticipated 95% occupancy date or one year from substantial completion of base building components. For multi-phase projects, interest and carry cost capitalization may cease and recommence driven by various factors, including tenant improvement construction and other tenant related timing or project scope.
Future Development Pipeline
The following table sets forth certain information relating to our future development pipeline as of December 31, 2024.
| Future Development Pipeline | Location | Approx. Developable Square Feet / Resi Units (1) |
|---|---|---|
| Los Angeles | ||
| 1633 26th Street | West Los Angeles | 190,000 |
| San Diego | ||
| Santa Fe Summit South / North | 56 Corridor | 600,000 - 650,000 |
| 2045 Pacific Highway | Little Italy | 275,000 |
| Kilroy East Village | East Village | 1,100 units |
| San Francisco Bay Area | ||
| Kilroy Oyster Point - Phases 3 and 4 | South San Francisco | 875,000 - 1,000,000 |
| Flower Mart | SOMA | 2,300,000 |
| Seattle | ||
| SIX0 | Denny Regrade | 925,000 and 650 units |
| Austin | ||
| Stadium Tower | Stadium District / Domain | 493,000 |
(1)Represents developable office/life science square feet and/or residential units. The developable square feet and scope of projects could change materially from estimated data provided due to one or more of the following: any significant changes in the economy, market conditions, tenant requirements and demands, construction costs, new supply, regulatory and entitlement processes, or project design.
Significant Tenants
The following table sets forth information about our 20 largest tenants based upon annualized base rental revenues, as defined below, as of December 31, 2024.
| Tenant Name (1) · Region · Annualized Base Rental Revenue(2) · Rentable Square Feet(2) · Percentage of Total Annualized Base Rental Revenue(2) · Percentage of Total Rentable Square Feet · Year(s) of Significant Lease Expiration(s)(3) · Weighted Average Remaining Lease Term (Years) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (in thousands) | ||||||||||
| 1 | Global technology company | Seattle / San Diego | $44,851 | 849,826 | 5.7% | 5.0% | 2032 - 2033 / 2037 | 8.6 | ||
| 2 | Cruise LLC | San Francisco Bay Area | 35,449 | 374,618 | 4.5% | 2.2% | 2031 | 6.9 | ||
| 3 | Stripe, Inc. | San Francisco Bay Area | 33,110 | 425,687 | 4.2% | 2.5% | 2034 | 9.5 | ||
| 4 | Adobe Systems, Inc. | San Francisco Bay Area / Seattle | 27,897 | 522,879 | 3.5% | 3.1% | 2027 / 2031 | 6.4 | ||
| 5 | LinkedIn Corporation / Microsoft Corporation | San Francisco Bay Area | 26,142 | 587,429 | 3.3% | 3.4% | 2026 | 1.7 | ||
| 6 | Salesforce, Inc. | San Francisco Bay Area / Seattle | 24,706 | 472,988 | 3.1% | 2.8% | 2029 - 2030 / 2032 | 5.4 | ||
| 7 | Okta, Inc. | San Francisco Bay Area | 24,206 | 293,001 | 3.1% | 1.7% | 2028 | 3.8 | ||
| 8 | DoorDash, Inc. | San Francisco Bay Area | 23,842 | 236,759 | 3.0% | 1.4% | 2032 | 7.1 | ||
| 9 | Netflix, Inc. | Los Angeles | 21,854 | 361,388 | 2.8% | 2.1% | 2032 | 7.6 | ||
| 10 | Cytokinetics, Inc. | San Francisco Bay Area | 18,167 | 234,892 | 2.3% | 1.4% | 2033 | 8.8 | ||
| 11 | Box, Inc. | San Francisco Bay Area | 16,853 | 287,680 | 2.1% | 1.7% | 2028 | 3.5 | ||
| 12 | Neurocrine Biosciences, Inc. (4) | San Diego | 16,365 | 299,064 | 2.1% | 1.7% | 2025 / 2029 / 2031 | 5.7 | ||
| 13 | DIRECTV, LLC | Los Angeles | 16,085 | 532,956 | 2.0% | 3.1% | 2026 - 2027 | 2.7 | ||
| 14 | Synopsys, Inc. | San Francisco Bay Area | 15,492 | 342,891 | 2.0% | 2.0% | 2030 | 5.7 | ||
| 15 | Viacom International, Inc. | Los Angeles | 13,718 | 220,330 | 1.7% | 1.3% | 2028 | 4.0 | ||
| 16 | Indeed, Inc. | Austin | 13,430 | 330,394 | 1.7% | 1.9% | 2034 | 10.0 | ||
| 17 | Sony Interactive Entertainment, LLC | San Francisco Bay Area | 13,059 | 127,760 | 1.7% | 0.7% | 2030 | 5.3 | ||
| 18 | Amazon.com (5) | Seattle | 12,921 | 340,705 | 1.6% | 2.0% | 2025 / 2030 | 4.3 | ||
| 19 | Riot Games, Inc. | Los Angeles | 12,893 | 205,978 | 1.6% | 1.2% | 2026 / 2031 | 3.6 | ||
| 20 | Tandem Diabetes Care, Inc. | San Diego | 12,409 | 143,850 | 1.6% | 0.8% | 2035 | 10.3 | ||
| Total | $423,449 | 7,191,075 | 53.6% | 42.0% | 6.0 | |||||
(1)Includes subsidiaries of tenant listed.
(2)Annualized base rental revenue includes the impact of straight-lining rent escalations and the amortization of free rent periods and excludes the impact of the following: amortization of deferred revenue related to tenant-funded tenant improvements, amortization of above/below market rents, amortization for lease incentives due under existing leases, and expense reimbursement revenue. Excludes month-to-month leases, vacant space. ad leases with a lease term of less than one year, as of December 31, 2024. Includes 100% of the annualized base rental revenues of consolidated property partnerships.
(3)We define significant lease expirations as those with space expiring greater than 25,000 rentable square feet.
(4)The 2025 lease expiration represents 26,043 rentable square feet expiring on June 30, 2025.
(5)The 2025 lease expiration represents 56,398 rentable square feet that expired on January 15, 2025.
The following pie chart sets forth the composition of our tenant base by industry as a percentage of our annualized base rental revenue based on the North American Industry Classification System as of December 31, 2024.
Our markets are dynamic and populated with innovative and creative tenants, including, but not limited to, technology, entertainment and digital media companies. While technology companies comprise 54% of our office portfolio base rent, technology is a broad concept that encompasses diverse industries, including software, social media, hardware, cloud computing, internet media, and technology services.
Lease Expirations
The following table sets forth a summary of our lease expirations for our stabilized portfolio, excluding our residential properties, for each of the next ten years beginning with 2025, assuming that none of the tenants exercise renewal options or termination rights. See further discussion of our lease expirations under “Item 1A. Risk Factors” and “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations —Factors that May Influence Future Results of Operations”.
Lease Expirations
| Year of Lease Expiration | # of Expiring Leases | Total Square Feet | % of Total Leased Square Feet | Annualized Base Rent (000’s)(1) (2) | % of Total Annualized Base Rent (1) | Annualized Rent per Square Foot (1) |
|---|---|---|---|---|---|---|
| 2025 | 67 | 715,573 | 5.2% | $30,212 | 3.8% | $42.22 |
| 2026 | 74 | 1,934,525 | 14.0% | 93,174 | 11.8% | 48.16 |
| 2027 | 77 | 1,095,562 | 7.9% | 44,802 | 5.7% | 40.89 |
| 2028 | 58 | 1,160,992 | 8.4% | 71,467 | 9.1% | 61.56 |
| 2029 | 49 | 1,213,765 | 8.9% | 66,518 | 8.5% | 54.80 |
| 2030 | 55 | 1,661,615 | 12.0% | 98,690 | 12.5% | 59.39 |
| 2031 | 47 | 2,261,711 | 16.4% | 145,974 | 18.5% | 64.54 |
| 2032 | 17 | 1,125,182 | 8.2% | 74,380 | 9.4% | 66.10 |
| 2033 | 11 | 995,693 | 7.2% | 58,538 | 7.4% | 58.79 |
| 2034 | 19 | 710,620 | 5.1% | 47,932 | 6.2% | 67.45 |
| 2035 and beyond | 19 | 919,502 | 6.7% | 55,870 | 7.1% | 60.76 |
| Total (3) | 493 | 13,794,740 | 100.0% | $787,557 | 100.0% | $57.09 |
(1)Annualized base rent includes the impact of straight-lining rent escalations and the amortization of free rent periods and excludes the impact of the following: amortization of deferred revenue related to tenant-funded tenant improvements, amortization of above/below market rents, amortization for lease incentives due under existing leases, and expense reimbursement revenue. Additionally, the underlying leases contain various expense structures, including full service gross, modified gross, and triple net. Percentages represent percentage of total portfolio annualized contractual base rental revenue.
(2)Includes 100% of annualized based rent of consolidated property partnerships..
(3)For leases that have been renewed early with existing tenants, the expiration date and annualized base rent information presented takes into consideration the renewed lease terms. Excludes leases not commenced as of December 31, 2024, space leased under month-to-month leases, storage leases, vacant space, leases with a lease term of less than one year, intercompany leases, and future lease renewal options not executed as of December 31, 2024.
Secured Debt
As of December 31, 2024, the Operating Partnership had three outstanding mortgage notes payable which were secured by certain of our properties. Our secured debt represents an aggregate principal indebtedness of approximately $606.7 million. See additional information regarding our secured debt in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Liquidity Sources,” Notes 9 and 10 to our consolidated financial statements and “Schedule III—Real Estate and Accumulated Depreciation,” included in this report.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.