Company: KW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001408100-25-000147
Chunk: 300

Company: Kennedy-Wilson Holdings, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 300
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 to our newer originations being at a lower ownership percentage than previous loans. Loans in our construction portfolio have moved from 5% ownership on legacy loans to 2.5% on any new originations. Loans in our bridge loan portfolio were also at ownership levels 5% and greater. Although the platform is growing we expect to have lower interest income levels and higher management fee levels going forward.

Co-Investment Operations - Real Estate

    In addition to our management of investments in the Co-Investment Portfolio, we have ownership interests in the properties that sit within our Co-Investment Portfolio.  The table below represents a breakout of the amounts within income from unconsolidated investments which represents our share of underlying property investments in the Co-Investment Portfolio assets for the three months ended June 30, 2025 and 2024:

Three Months Ended June 30,20252024RevenueRental$77.8 $72.0 Hotel 8.9 6.4 Sale of real estate— 16.7 Total revenue86.7 95.1 Fair value/other adjustments(7.5)(12.8)Carried interests(2.0)(12.3)ExpensesRental24.6 23.6 Hotel9.0 8.3 Cost of real estate sold— 15.0 Depreciation and amortization0.9 1.0 Total expenses34.5 47.9 Interest expense(33.3)(33.4)Other loss(9.6)(6.8)Loss from unconsolidated investments$(0.2)$(18.1)

The increase in income from unconsolidated investments is primarily due to the following:

Operating performance

The increase in income from unconsolidated investments related to the following items: (i) increase in rental operations due to the growth of our Co-Investment Portfolio (ii) improved hotel operations at Kona Village as the property continues to progress towards stabilization. These increases were offset by lower gains on sale of homes at Kohaniki and higher non-recurring expenses in other loss.    

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Fair Value

During the three months ended June 30, 2025, the Company recorded fair value decreases with respect to (i) mortgages; as lower cost mortgages move closer to maturity dates; (ii) costs associated with originating new mortgages (iii) Irish office asset as its lease up period pushes out and decreases in expected market rents