Company: KW
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001408100-25-000084
Chunk: 99

Company: Kennedy-Wilson Holdings, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 7
Chunk 99
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$289.9 $256.3 Hotel31.7 11.1 Sale of real estate46.7 19.5 Total revenue368.3 286.9 Fair value/other adjustments(9.8)(233.7)Gain on sale of real estate, net32.6 — Carried interests(49.7)(64.3)ExpensesRental94.8 82.8 Hotel36.3 16.3 Cost of real estate sold43.1 13.6 Depreciation and amortization3.9 3.2 Total expenses178.1 115.9 Interest expense(131.0)(99.0)Other loss(25.4)(26.6)Provision for income taxes(0.4)(0.2)Income (loss)  from unconsolidated investments$6.5 $(252.8)

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

Operating performance

During the year ended December 31, 2024, the Company recognized an increase in rental and hotel revenue of $54.2 million as compared to the same period in 2023, primarily as a result of the recapitalization of certain previously consolidated multifamily properties that are now a part of our co-investment portfolio and the opening of the Kona Village Resort in July 2023. This increase in rental and hotel revenue was offset by: (i) costs associated with the ongoing stabilization of the Kona Village Resort and development properties in Europe that are in the process of leasing up, as these projects were under development in prior period and all costs were capitalized during construction (ii) higher interest expense due to changes in the contractual interest rates of our indebtedness and higher debt balances due to the increase in assets in Co-Investment portfolio; and (iii) lower income from sales of residential units at our Kohanaiki development in Hawaii as compared to the prior period.

We had a gain on sale of real estate, net of $32.6 million during the year ended December 31, 2024 due to the sale of the majority of our interest in a multifamily property in Western United States that was not accounted for under fair value and  we did not have comparable activity in the prior period.   

 Fair Value

During the year ended December 31, 2024,  the Company recorded fair value decreases with respect to: (i) lower fair