Kilroy Realty Corporation Acquires San Diego Commercial Real Estate Portfolio for $64.3 Million
|View printer-friendly version|
LOS ANGELES, April 27 -- Kilroy Realty Corporation (NYSE: KRC) today reported that it has completed the acquisition of the Pacific Corporate Center complex located in the Sorrento Mesa region of San Diego County, one of the fastest growing submarkets in the county. Kilroy acquired the project from LMP Properties, a private real estate partnership, for a purchase price of $64.3 million in an all cash transaction.
The 39.8-acre Pacific Corporate Center business park includes seven fully- leased, high-end research and development facilities totaling 411,339 square feet and two development sites totaling 12.8 acres. Kilroy said it plans to build three additional buildings totaling approximately 240,000 square feet on the two sites. The company expects to break ground on the first phase of construction in the fourth quarter.
``With this acquisition, Kilroy continues to solidify its leading market position in one of San Diego County's most desirable commercial real estate markets,'' said John B. Kilroy, Jr., the company's president and chief executive officer. ``Pacific Corporate Center is strategically significant in the Sorrento Mesa submarket, and gives us another terrific development opportunity to expand our market leadership in providing state-of-the-art facilities to the fast growing technology based businesses in the area,'' he said. In addition to the Pacific Corporate Center development sites, Kilroy also controls six other development sites in the north coastal San Diego County market.
Kilroy funded the acquisition from its $350 million unsecured revolving credit facility.
Kilroy Realty Corporation owns, operates and develops commercial and industrial properties, primarily in California. At March 31, 1998, the company owned 4.9 million square feet of commercial office space in and 5.5 million square feet of industrial space, primarily in California.