Kilroy Realty (KRC) Q3 2026 Earnings Call: Leasing Surges, FFO Guidance Raised
Source Tradingkey
Key Takeaways
- Kilroy Realty Corporation reported Q3 2026 FFO of $0.88 per diluted share, including approximately $0.01 of settlement and restoration fee income.
- The company signed approximately 815,000 square feet of new and renewal leases. Year-to-date leasing exceeded 1.75 million square feet, up nearly 44% from the first nine months of 2025.
- Comparable lease rents increased 30.6% on a GAAP basis and 9.7% on a cash basis. Excluding spaces vacant for more than 12 months, spreads reached 37.9% and 14.9%, respectively.
- Leased occupancy rose 150 basis points sequentially to 83.0%, while physical occupancy, including Kilroy Oyster Point Phase 2, declined 10 basis points to 76.9%.
- The signed-but-not-occupied pipeline expanded to more than 1.4 million square feet and $101 million of annualized base rent, supporting management’s outlook for future occupancy and NOI growth.
- Kilroy raised the midpoint of its 2026 FFO guidance by $0.01, setting a revised range of $3.55 to $3.59 per share.
Core Financial Data
| Metric | Q3 2026 result | Change or context |
|---|---|---|
| FFO per diluted share | $0.88 | Includes about $0.01 of settlement and restoration fee income |
| Cash same-property NOI growth | -1.5% | Lower fees and tax refunds reduced growth by 170 basis points |
| Physical occupancy | 76.9% | Down 10 basis points sequentially |
| Leased occupancy | 83.0% | Up 150 basis points sequentially |
| Q3 leasing volume | 815,000 sq. ft. | Spread across 45 transactions |
| Year-to-date leasing | More than 1.75 million sq. ft. | Up nearly 44% year over year |
| GAAP re-leasing spread | 30.6% | Comparable leases signed during the quarter |
| Cash re-leasing spread | 9.7% | Comparable leases signed during the quarter |
| Signed-but-not-occupied pipeline | More than 1.4 million sq. ft. | Represents $101 million of ABR |
| Unused credit and term-loan capacity | More than $1.2 billion | Available to help address maturities |
Business and Operating Performance
Disclaimer: The content available on Mitrade Insights is provided for informational and marketing purposes only. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research
Nothing in this material constitutes investment advice, personal recommendation, investment research, an offer, or a solicitation to buy or sell any financial instrument. The content has been prepared without consideration of your individual investment objectives, financial situation, or needs, and should not be treated as such.
Past performance is not a reliable indicator of future performance and/or results. Forward-looking scenarios or forecasts are not a guarantee of future performance. Actual results may differ materially from those anticipated.
Mitrade makes no representation or warranty as to the accuracy or completeness of the information provided and accepts no liability for any loss arising from reliance on such information.
Nothing in this material constitutes investment advice, personal recommendation, investment research, an offer, or a solicitation to buy or sell any financial instrument. The content has been prepared without consideration of your individual investment objectives, financial situation, or needs, and should not be treated as such.
Past performance is not a reliable indicator of future performance and/or results. Forward-looking scenarios or forecasts are not a guarantee of future performance. Actual results may differ materially from those anticipated.
Mitrade makes no representation or warranty as to the accuracy or completeness of the information provided and accepts no liability for any loss arising from reliance on such information.
Recommended Articles
Financial Markets 2026: Volatility Catalysts in Gold, Silver, Oil, and Blue-Chip Stocks—A CFD Trader's OutlookThe financial world is perpetually in motion, but the landscape for 2026 seems to be shaping up to be particularly dynamic. For CFD traders navigating global markets, this heightened volatility could present a distinctive set of challenges and opportunities.
The financial world is perpetually in motion, but the landscape for 2026 seems to be shaping up to be particularly dynamic. For CFD traders navigating global markets, this heightened volatility could present a distinctive set of challenges and opportunities.
Understand how the Strait of Hormuz shock moved markets, and what CFD traders watched next.
Ripple (XRP) and Stellar (XLM) are showing signs of recovery on Tuesday after rebounding slightly the previous day, following double-digit corrections last week.
WTI Price Forecast: Climbs above $86.00 as 100-day SMA breakout comes into playWest Texas Intermediate (WTI) – the benchmark US Crude Oil price – attracts buyers for the second straight day on Tuesday as escalating US-Iran tensions and the standoff over the Strait of Hormuz continue to fuel supply concerns.
West Texas Intermediate (WTI) – the benchmark US Crude Oil price – attracts buyers for the second straight day on Tuesday as escalating US-Iran tensions and the standoff over the Strait of Hormuz continue to fuel supply concerns.
Gold price (XAU/USD) holds steady near $4,335 after pulling back from an early-June top near $4,450 during the early Asian trading hours on Wednesday.
