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

Company: Kennedy-Wilson Holdings, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 2
Chunk 25
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Consolidated Portfolio Segment

    Rental income was $93.3 million for the three months ended June 30, 2025 as compared to $97.8 million for the same period in 2024.  The $4.5 million decrease is primarily due to asset sales the majority of which were non-core assets in Europe and the Western United States, as well as deconsolidations of multifamily properties in the prior year as a result of asset recapitalizations that resulted in the Company not maintaining sole control of the investments and the investments moving to our investment management business and our Co-Investment Portfolio segment.  These decreases have been offset by certain multifamily developments that have been completed and are now operating properties.

Gain on sale of real estate, net was $55.1 million for the three months ended June 30, 2025 as compared to $0.2 million during the same period in 2024.  The gain on sale of real estate, net during the three months ended June 30, 2025 was due to (i) recapitalized and deconsolidated a 1,008 unit wholly-owned multifamily property which reduced the Company’s ownership interests in the asset to 10%; and (ii) sold non-core office assets in Ireland, Italy and the United Kingdom. These dispositions generated $123.1 million of cash to KW and a gain on sale of $52.4 million. 

    Rental expenses was $35.4 million for the three months ended June 30, 2025 as compared to $37.0 million for the three months ended June 30, 2024.  The decrease is due to asset sales as discussed above.      

Compensation and related expenses increased to $8.7 million for three months ended June 30, 2025 as compared to $7.8 million for the three months ended June 30, 2024 due to higher allocations of overhead expenses to the Consolidated segment as there were higher gains on sale of real estate, net in the current period.

General and administrative expenses increased to $3.6 million for three months ended June 30, 2025 as compared to $3.3 million for the three months ended June 30, 2024 due to higher allocations of overhead expenses to the Consolidated segment as discussed above.