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

Company: KBS Real Estate Investment Trust III, Inc.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 12
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 of the 201 Spear Street property to a third-party buyer of the 201 Spear Street Mortgage Loan.  As a result, during the three months ended March 31, 2024, the Company disposed of the 201 Spear Street property in connection with the Deed-in-Lieu Transaction and recognized a $56.4 million gain from extinguishment of debt for the three months ended March 31, 2024.  The results of operations for 201 Spear Street are included in continuing operations on the Company’s consolidated statements of operations.  The following table summarizes the revenue and expenses related to 201 Spear Street for the three months ended March 31, 2024 (in thousands).   For the Three Months EndedMarch 31, 2024RevenuesRental income (1)$197 Other operating income9 Total revenues$206 ExpensesOperating, maintenance, and management$52 Real estate taxes and insurance69 Asset management fees to affiliate26 General and administrative expenses22 Interest expense419 Total expenses$588 _____________________(1) For the three months ended March 31, 2024, rental income includes a reserve for straight-line rent for a lease at 201 Spear Street.

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Table of ContentsPART I. FINANCIAL INFORMATION (CONTINUED)Item 1.  Financial Statements (continued)KBS REAL ESTATE INVESTMENT TRUST III, INC.CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)March 31, 2025(unaudited)5.      REAL ESTATE DISPOSITIONS

During the year ended December 31, 2024, the Company sold two office properties to purchasers unaffiliated with the Company or the Advisor.  In February 2024, the Company completed the sale of one office property for $48.8 million, before third-party closing costs and disposition fees payable to the Advisor, and in November 2024, the Company sold one office property for $151.0 million, before third-party closing costs, credits and disposition fees payable to the Advisor.  The Company recognized a gain on sale of $53.1 million related to these dispositions.  As of March 31, 2025, the Company did not have any real estate properties held for sale.  The results of operations for the properties sold during the year ended December 31, 2024 are included in continuing operations on the Company’s consolidated statements of