Company: KBSR
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001482430-25-000042
Chunk: 181

Company: KBS Real Estate Investment Trust III, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 181
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 instruments was realized gain on interest rate swaps of $6.3 million, offset by unrealized loss on interest rate swaps of $1.4 million for the three months ended June 30, 2024.  The change in net gain on derivative instruments was primarily due to changes in fair values with respect to our interest rate swaps that are not accounted for as cash flow hedges.  In general, we expect net gains or losses on derivative instruments to vary based on fair value changes with respect to our interest rate swaps that are not accounted for as cash flow hedges.  In addition, as the remaining lives of our interest rate swaps that are not accounted for as cash flow hedges decrease, we expect the fair values of these interest rate swaps to move towards zero, decreasing the net gains or losses on derivative instruments.

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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)

During the three months ended June 30, 2025, we recorded an unrealized gain on real estate equity securities of $2.8 million, and during the three months ended June 30, 2024, we recorded an unrealized loss on real estate equity securities of $4.5 million, as a result of the change in the closing price of the units of the SREIT on the SGX-ST.   

Comparison of the six months ended June 30, 2025 versus the six months ended June 30, 2024 

Six Months Ended June 30,Increase(Decrease)Percentage Change$ Changes Due to Dispositions of Properties (1)$ Change Due to Properties HeldThroughout Both Periods (2) 20252024Rental income$121,168 $130,038 $(8,870)(7)%$(9,780)$910 Dividend income from real estate equity securities261 540 (279)(52)%— (279)Other operating income8,342 9,046 (704)(8)%(817)113 Operating, maintenance and management34,317 35,101 (784)(2)%(2,204)1,420 Real estate taxes and insurance23,772 25,071 (1,299)(5)%(1,696)397 Asset management fees to affiliate9,227 9,820 (593)(6)%(643)50 General and administrative