Company: KBSR
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001482430-25-000036
Chunk: 151

Company: KBS Real Estate Investment Trust III, Inc.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 8
Chunk 151
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 of the SREIT as of that date.  Due to the disruptions in the financial markets discussed above, since early March 2020, the trading price of the common units of the SREIT has experienced substantial volatility.  The trading price of the common units of the SREIT has been significantly impacted by the market sentiment for stock with significant investment in U.S. commercial office buildings.  As of May 12, 2025, the aggregate value of our investment in the units of the SREIT was $33.7 million, which was based solely on the closing price of the units on the SGX-ST of $0.142 per unit as of May 12, 2025, and did not take into account any potential discount for the holding period risk due to the quantity of units we hold.  This is a decrease of $0.738 per unit from our initial acquisition of the SREIT units at $0.880 per unit on July 19, 2019.  

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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)

As of May 12, 2025, we had mortgage debt obligations in the aggregate principal amount of $1.5 billion, with a weighted-average remaining term of 1.3 years.  As of May 12, 2025, our debt obligations consisted of $117.8 million of fixed rate notes payable and $1.4 billion of variable rate notes payable. As of May 12, 2025, the interest rates on $1.0 billion of our variable rate notes payable were effectively fixed through interest rate swap agreements.

As of May 12, 2025, we have $611.1 million of loan maturities and required principal paydowns during the next 12 months and $534.8 million of loan maturities and required principal paydowns from May 12, 2026 through December 31, 2026.  Our loan agreements require us to sell two properties in 2025, two properties in 2026 and up to four properties in 2027.  Selling real estate assets in the current market may result in a lower sale price than we would otherwise obtain.  We may continue to evaluate raising capital through the issuance of new equity or debt to the extent we see improvement in the capital markets.  We may also