LOS ANGELES--(BUSINESS WIRE)--
Kilroy Realty Corporation(NYSE: KRC) announced today that
Moody’s Investors Service (“Moody’s”) has upgraded the company’s senior
unsecured debt rating to Baa2 with a stable outlook. Moody’s also
upgraded the company’s cumulative and redeemable preferred stock rating
to Baa3 from Ba1. Moody’s noted KRC’s superior operating performance,
first-class West Coast portfolio spanning from Seattle to San Diego and
management’s focus on a strong financial credit profile as key factors
in the upgrade. The upgrade further reflects expectations that the
company will continue to maintain a conservative approach to balance
sheet management as it executes on its development pipeline.
“A fundamental component of our corporate strategy has always been
prudently managing our balance sheet while executing on our growth
initiatives. Over the past five years, since our initial rating, we
significantly transformed the company, enhanced our position as a
premier west coast real estate franchise and strengthened our financial
position,” said Tyler H. Rose, executive vice president and chief
financial officer. “We are pleased that Moody’s has recognized our
commitment to maintaining a strong credit profile, which will further be
improved with the projected delivery by the end of this year of $590
million of projects under construction, all of which are 100% leased.”
About Kilroy Realty Corporation. With more than 65 years’
experience owning, developing, acquiring and managing real estate assets
in West Coast real estate markets, Kilroy Realty Corporation (KRC), a
publicly traded real estate investment trust and member of the S&P
MidCap 400 Index, is one of the region’s premier landlords. The company
provides physical work environments that foster creativity and
productivity and serves a broad roster of dynamic, innovation-driven
tenants, including technology, entertainment, digital media and health
care companies.
At March 31, 2015, the company’s stabilized portfolio totaled
13.0 million square feet of office properties, all located in the
coastal regions of greater Seattle, the San Francisco Bay Area, Los
Angeles, Orange County and San Diego. The company is recognized by the
Global Real Estate Sustainability Benchmark (GRESB) as the North
American leader in sustainability and was ranked first among 151 North
American participants across all asset types. At the end of the first
quarter, the company’s properties were 42% LEED certified and 60% of
eligible properties were ENERGY STAR certified. In addition, KRC had
approximately 1.7 million square feet of new office and mixed-use
development under construction with a total estimated investment of
approximately $1.1 billion. More information is available at http://www.kilroyrealty.com.
Forward-Looking Statements. This press release contains
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended. Forward-looking statements are based
on our current expectations, beliefs and assumptions, and are not
guarantees of future performance. Forward-looking statements are
inherently subject to uncertainties, risks, changes in circumstances,
trends and factors that are difficult to predict, many of which are
outside of our control. Accordingly, actual performance, results and
events may vary materially from those indicated in forward-looking
statements, and you should not rely on forward-looking statements as
predictions of future performance, results or events. Numerous factors
could cause actual future performance, results and events to differ
materially from those indicated in forward-looking statements,
including, among others, risks associated with: investment in real
estate assets, which are illiquid; trends in the real estate industry;
significant competition, which may decrease the occupancy and rental
rates of properties; the ability to successfully complete acquisitions
and dispositions on announced terms; the ability to successfully operate
acquired properties; the availability of cash for distribution and debt
service and exposure of risk of default under debt obligations; adverse
changes to, or implementations of, applicable laws, regulations or
legislation; and the ability to successfully complete development and
redevelopment projects on schedule and within budgeted amounts. These
factors are not exhaustive. For a discussion of additional factors that
could materially adversely affect our business and financial
performance, see the factors included under the caption “Risk Factors”
in our annual report on Form 10-K for the year ended December 31, 2014
and our other filings with the Securities and Exchange Commission. All
forward-looking statements are based on information that was available,
and speak only as of the date on which they are made. We assume no
obligation to update any forward-looking statement made in this press
release that becomes untrue because of subsequent events, new
information or otherwise, except to the extent required in connection
with ongoing requirements under U.S. securities laws.
Kilroy Realty Corporation
Tyler H. Rose
Executive Vice
President
and Chief Financial Officer
(310) 481-8484
or
Michelle
Ngo
Senior Vice President and Treasurer
(310) 481-8581
Source: Kilroy Realty Corporation