Company: KBSR
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001482430-25-000042
Chunk: 175

Company: KBS Real Estate Investment Trust III, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 175
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 of each property and that payment of such disposition fees to our advisor is subordinated to the Senior Debt until the Senior Debt is paid in full. Such deferred disposition fees will be set aside and deposited to an interest bearing account under the control of the Credit Facility Agent.

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Table of ContentsPART I. FINANCIAL INFORMATION (CONTINUED)Item 2.  Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

On February 6, 2025, in connection with another amendment to the Amended and Restated Portfolio Loan Facility, we and our advisor entered into an amendment to the advisory agreement to reduce the disposition fees associated with the sales of 60 South Sixth, Sterling Plaza, Towers at Emeryville, Ten Almaden, Town Center, Accenture Tower and The Almaden to 0.65% of the contract sales price of each property, in each case subject to the further limitations contained in the advisory agreement and our charter.

Debt Obligations

The following is a summary of our debt obligations as of June 30, 2025 (in thousands):

Payments Due During the Years Ended December 31,Debt ObligationsTotalRemainder of 20252026-20272028-2029ThereafterOutstanding debt obligations (1)$1,474,666 $148,679 $1,325,987 $— $— Interest payments on outstanding debt obligations (2) 115,820 52,032 63,788 — Interest payments on interest rate swaps (3) (4)— — — — — 

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(1) Amounts include principal payments only based on maturity dates as of June 30, 2025.  The maturity dates of certain loans may be extended beyond their current maturity dates; however, the extension options are subject to certain terms and conditions contained in the loan documents some of which are more stringent than our current loan compliance tests.  See the above discussion under “—Liquidity and Capital Resources” and “—Going Concern Considerations.”  

(2) Projected interest payments are based on the outstanding principal amounts, maturity dates and interest rates in effect as of June 30, 2025 (consisting of the contractual interest rate and using interest rate indices as of June 30, 2025, where applicable).  We incurred interest expense related to notes payable of $53.0 million, excluding amortization of deferred