Kilroy Realty Corp (KRC) 2025 Q1 法說會逐字稿

Hello and welcome to the Kilroy Realty Corporation 1Q '25 earnings conference call. My name is Harry, and I will be your operator today. (Operator Instructions)

您好，歡迎參加 Kilroy Realty Corporation 2025 年第一季財報電話會議。我叫哈利，今天我將擔任您的接線生。（操作員指示）

I would now like to hand the conference over to Doug Bettisworth, Vice President's, Corporate Finance. Thank you. Please go ahead.

現在我想將會議交給公司財務副總裁 Doug Bettisworth。謝謝。請繼續。

Good morning, everyone. Thank you for joining us. On the call with me today are Angela Aman, CEO; Jeffrey Kuehling, EVP, CFO and Treasurer; and Eliott Trencher, EVP, CIO. In addition, Justin Smart, President; and Rob Paratte, EVP, Chief Leasing Officer, will be available for Q&A.

大家早安。感謝您加入我們。今天與我一起參加電話會議的有執行長 Angela Aman、執行副總裁、財務長兼財務主管 Jeffrey Kuehling 以及執行副總裁、資訊長 Eliott Trencher。此外，總裁賈斯汀·斯馬特 (Justin Smart) 和執行副總裁兼首席租賃官羅布·帕拉特 (Rob Paratte) 將參加問答環節。

Please note that some of the information we will be discussing during this call is forward-looking in nature. Please refer to our supplemental package for a statement regarding the forward-looking information on this call and in the supplemental. This call is being webcast live on our website and will be available for replay for the next eight days.

請注意，我們在本次電話會議中討論的一些資訊本質上是前瞻性的。請參閱我們的補充包，以了解有關本次電話會議和補充文件中前瞻性資訊的聲明。本次電話會議將在我們的網站上進行現場直播，並將在接下來的八天內提供重播。

Our earnings release and supplemental package have been filed on a Form 8-K with the SEC, and both are also available on our website. Angela will start the call with a strategic overview and quarterly highlights. Eliott will provide a transaction market outlook and Jeffrey will discuss our financial results and provide you with updated 2025 guidance. Then we will be happy to take your questions. Angela?

我們的收益報告和補充資料已以 8-K 表格形式提交給美國證券交易委員會 (SEC)，也可在我們的網站上查閱。安吉拉將以策略概述和季度重點開始電話會議。Eliott 將提供交易市場展望，Jeffrey 將討論我們的財務表現並為您提供更新的 2025 年指引。我們將很樂意回答您的問題。安吉拉？

Thanks, Doug, and thank you all for joining today's call. Despite an environment defined by volatility and macroeconomic uncertainty, I'm pleased to report on a positive start to 2025, with solid leasing activity executed during the quarter and encouraging forward leasing indicators across our portfolio. Office demand in our markets continues to rebound as we benefit from the ongoing solidification of return to office mandates, recent meaningful improvements in the health, safety and vibrancy of some of our most important submarkets and materially growing demand from the burgeoning AI industry.

謝謝，道格，謝謝大家參加今天的電話會議。儘管環境充滿波動性和宏觀經濟不確定性，但我很高興地報告 2025 年開局良好，本季租賃活動穩健，我們投資組合的遠期租賃指標令人鼓舞。由於我們受益於重返辦公室規定不斷鞏固、一些最重要子市場的健康、安全和活力方面近期取得的顯著改善以及蓬勃發展的人工智能行業需求的大幅增長，我們市場的辦公室需求持續反彈。

San Francisco best represents the intersection of these important trends. The rapid expansion of new AI business formation and growth in the city of San Francisco, combined with recent RTO mandates for major employers in the market and a crime rate that is now the lowest in 23 years, have all contributed to growing foot traffic and the re-amortization of major office corridors in the city.

舊金山最能代表這些重要趨勢的交會。舊金山市新人工智慧企業的成立和成長迅速擴張，加上最近對市場上主要雇主的 RTO 授權以及目前 23 年來最低的犯罪率，都導致了人流量的增長和該市主要辦公走廊的重新攤銷。

During Q1, we saw signs of this positive momentum playing out in our portfolio with the execution of a nearly 60,000 square foot lease with a technology company at our 201 Third Street asset, representing our largest lease execution in the city since 2019. In addition, during the period, we also experienced a 60% year-over-year increase in tour activity in our San Francisco portfolio, providing strong visibility on the future pipeline.

在第一季度，我們看到了這種積極勢頭在我們的投資組合中顯現的跡象，我們與一家科技公司在第三街 201 號的資產簽訂了近 60,000 平方英尺的租約，這是自 2019 年以來我們在該市簽訂的最大規模的租約。此外，在此期間，我們舊金山旅遊投資組合的旅遊活動年增了 60%，為未來的發展提供了良好的前景。

As discussed on prior calls, we have also seen some large, well-established AI users expand into other West Coast markets and the ongoing search for high-quality talent. As an example, during the first quarter, we signed a 34,000 square foot expansion of a 9,000 square foot data analytics and AI tenant that originally took occupancy just last year at our recently redeveloped West8 asset in Seattle. This transaction represents a common theme in AI leasing.

正如先前的電話會議所討論的那樣，我們也看到一些大型、成熟的人工智慧用戶正在向其他西海岸市場擴張，並正在持續尋找高品質的人才。例如，在第一季度，我們簽署了一份 34,000 平方英尺的擴建協議，該協議是對位於西雅圖的最近重新開發的 West8 資產中一個 9,000 平方英尺的數據分析和人工智慧租戶的擴建，該租戶最初於去年才入住。此次交易代表了人工智慧租賃的一個共同主題。

Tenants are being rational and disciplined as they initially leased space, while placing a high priority on landlords who will work with them to accommodate future growth needs. And often, as in this example, anticipated future growth is materializing quickly as these businesses rapidly scale.

租戶在最初租賃空間時表現得理性且自律，同時高度重視願意與他們合作以滿足未來成長需求的房東。而且通常，如本例所示，隨著這些業務的快速擴張，預期的未來成長正在迅速實現。

Across the entirety of our office portfolio, the forward leasing pipeline continues to expand in size and improving quality. During the first quarter, we saw a 40% year-over-year portfolio-wide improvement into our activity despite the increase in volatility that defined the first two months of this year. Although it's reasonable to question of recent headlines, will impact the pace of future leasing activity. We have, to date, seen a de minimis impact on transaction volume or velocity.

在我們整個辦公大樓組合中，遠期租賃管道的規模不斷擴大，品質也不斷提高。在第一季度，儘管今年前兩個月波動性有所增加，但我們的整個投資組合活動比去年同期成長了 40%。儘管對最近的頭條新聞提出質疑是合理的，但這會影響未來租賃活動的步伐。到目前為止，我們已經看到對交易量或速度的影響微乎其微。

Turning to life science. The industry entered 2025 with a combination of hope related to the economic and market backdrop for the sector and caution on the policy and regulatory outlook. Since then, market volatility has dampened some enthusiasm around the return of public market financing for the space, while the policy and regulatory outlook has proven more complicated than originally anticipated.

轉向生命科學。進入2025年，該行業既對行業經濟和市場背景充滿希望，也對政策和監管前景保持謹慎。自那時起，市場波動抑制了公眾對該領域公開市場融資回歸的一些熱情，而政策和監管前景也比最初預期的更加複雜。

That said, the scope of the opportunity for the life science sector remains unprecedented and recent messaging from the newly appointed FDA commissioner that emphasize a commitment to protecting innovation and maintaining a science-based approach to regulation has been broadly encouraging. While there's little question that the sector will need to continue to adapt to a rapidly evolving financial and regulatory climate. Consistent with what we have seen play out on the office side, there has been, to date, no discernible impact on life science leasing momentum in our portfolio.

儘管如此，生命科學領域的機會範圍仍然是前所未有的，新任命的 FDA 局長最近發出的信息強調致力於保護創新和保持以科學為基礎的監管方法，這令人鼓舞。毫無疑問，該行業需要繼續適應快速變化的金融和監管環境。與我們在辦公室方面看到的情況一致，到目前為止，我們的投資組合中的生命科學租賃勢頭沒有受到明顯的影響。

During Q1, at our KOP Phase 2 development project in South San Francisco, we continue to experience meaningful tenant engagement, supported by the project's differentiated design, high-quality construction, broad amenity offerings and importantly, scale, which provides confidence in our ability to meet the ambitious future growth objectives of many of these prospects.

在第一季度，我們在南舊金山的 KOP 第二階段開發項目中，繼續經歷了有意義的租戶參與，這得益於該項目的差異化設計、高品質的建築、廣泛的便利設施以及重要的規模，這使我們對滿足許多潛在客戶雄心勃勃的未來增長目標的能力充滿信心。

We have advanced our discussions with several potential tenants. And are actively working with them on space plans and pricing. Active demand requirements currently include tenants interested in our spec suites as well as several users in discussions for full floors or multiple floors on the campus. We understand and appreciate the attention and focus that this project continues to receive from the investment community, and we will provide timely updates on the tabs of lease-up when they are available.

我們已經與幾位潛在租戶進行了進一步的討論。並積極與他們合作制定空間規劃和定價。目前活躍的需求包括對我們的規格套房感興趣的租戶以及正在討論校園內整層或多層的幾位用戶。我們瞭解並感謝投資界對該項目持續給予的關注和重視，我們將及時更新租賃情況。

As Eliott will cover in a moment, we remain very active on the capital allocation front as we work towards monetizing those parcels in our future land bank with the highest and best use outside of the company's core competencies. Last night announcing that the first phase of our Santa Fe Summit land parcel disposition is now under contract.

正如艾略特稍後將要談到的，我們在資本配置方面仍然非常活躍，我們致力於將未來土地儲備中的這些地塊貨幣化，並在公司核心競爭力之外實現最高和最佳的利用。昨晚宣布，我們聖達菲峰會土地地塊處置的第一階段現已簽訂合約。

In addition, we are also evaluating a number of operating property dispositions where we can achieve attractive valuations and advance our broader strategic goals for the portfolio. As we realize proceeds from these efforts, we will evaluate the full spectrum of redeployment opportunities, including acquisitions, leverage reductions and or stock buybacks, appropriately balancing economics, future growth plans and balance sheet strength.

此外，我們也正在評估一些經營性房地產處置，以便我們能夠獲得有吸引力的估值並推進我們投資組合的更廣泛的策略目標。當我們從這些努力中獲得收益時，我們將評估各種重新部署機會，包括收購、降低槓桿和/或股票回購，適當平衡經濟、未來成長計畫和資產負債表實力。

I'm also pleased to highlight that in April, we published our annual sustainability report, introducing new ambitious goals that we hope to achieve by 2030 across a wide range of important environmental and social topics. Corporate responsibility is embedded into our culture at Kilroy, and I am excited about the significant milestones that we, as a team, are committed to realizing over the coming years to maintain our leadership in this important area.

我還很高興地強調，我們在四月發布了年度永續發展報告，其中介紹了我們希望在 2030 年前在廣泛重要的環境和社會議題上實現的新的雄心勃勃的目標。企業責任已融入 Kilroy 的文化中，我為我們團隊在未來幾年致力於實現的重要里程碑感到興奮，以保持我們在這一重要領域的領導地位。

Looking ahead, our focus remains on staying agile, investing in our tenants, portfolio and platform and maintaining superior financial and operational flexibility. I want to thank the Kilroy team for their hard work and dedication, throughout a challenging start to 2025. Particularly for our Los Angeles-based team that continue to execute despite significant disruption associated with the January fires and for continuing to respond to change with courage and innovation. Kilroy is well positioned to execute on our near- and long-term goals and to capitalize on the exciting trends playing out across our West Coast market. Eliott?

展望未來，我們的重點仍然是保持敏捷，投資我們的租戶、投資組合和平台，並保持卓越的財務和營運靈活性。我要感謝 Kilroy 團隊在 2025 年充滿挑戰的開局中所付出的辛勤工作和奉獻精神。特別是我們位於洛杉磯的團隊，儘管一月份的火災造成了嚴重破壞，但他們仍然堅持執行任務，並繼續以勇氣和創新來應對變化。Kilroy 已做好準備，實現我們的近期和長期目標，並利用西海岸市場令人興奮的趨勢。艾略特？

Thanks, Angela. Office sales volume in the first quarter was roughly flat year-over-year. That said, there's a wider array of capital pursuing deals, which can generally be grouped into three buckets: institutional, high net worth and users.

謝謝，安吉拉。第一季辦公大樓銷售量與去年同期基本持平。話雖如此，追求資本的交易種類卻更廣泛，通常可分為三類：機構、高淨值和使用者。

Institutional capital pulled back the most when rates increased in 2022, but has returned in recent quarters. For example, 300 Howard Street, a vacant 400,000 square foot building in San Francisco was recently recapitalized by two institutional groups for $111 million or $265 per square foot.

2022 年利率上升時，機構資本回落幅度最大，但近幾季有所回升。例如，位於舊金山的霍華德街 300 號，是一棟空置的 40 萬平方英尺的建築，最近被兩家機構集團以 1.11 億美元或每平方英尺 265 美元的價格進行了資本重組。

The price per pound for this building is consistent with other trades of vacant properties in downtown San Francisco, but the transaction is meaningful for the city since it is the first stand-alone deal over $100 million in 2022. Furthermore, the recap is a great endorsement from sophisticated investors that the changes in the city are tangible and putting San Francisco on the right track.

該建築的每磅價格與舊金山市中心其他空置物業的交易價格一致，但這筆交易對該市意義重大，因為這是 2022 年第一筆超過 1 億美元的獨立交易。此外，這份回顧得到了成熟投資者的大力認可，顯示舊金山的變化是切實的，並且正走上正確的軌道。

Additionally, users have been selectively buying office buildings over the past few years, filling a void in the market. The latest example is Lending Club, who recently went under contract to acquire 88 Kearney Street in San Francisco for $75 million or roughly $320 per square foot. The significance of this trend is that it reinforces the importance of and commitment to the office and highlights that companies place value in office buildings beyond what investors are currently underwriting.

此外，過去幾年來，用戶一直在選擇性地購買辦公大樓，填補了市場空白。最新的例子是 Lending Club，該公司最近簽訂了合同，以 7500 萬美元或每平方英尺約 320 美元的價格收購舊金山科爾尼街 88 號。這一趨勢的意義在於，它強化了人們對辦公室的重要性和承諾，並強調公司對辦公大樓的重視程度超出了投資者目前的承保範圍。

While both of these transactions are in the city of San Francisco, there are similar dynamics playing out across all of our markets with notable activity increases in Silicon Valley and Seattle, Bellevue.

雖然這兩筆交易都發生在舊金山市，但我們所有市場都呈現類似的動態，矽谷、西雅圖和貝爾維尤的交易活動明顯增加。

Turning to our land sites. We continue to work on maximizing value across the pipeline. As previously discussed, at the Flower Mart in San Francisco, value maximization will come from both creating optionality and the ultimate use and optionality in the phasing of execution. To that end, we continue to work through our internal process evaluating alternatives and are hopeful of getting a warm receptivity from the new growth-oriented leadership at the city. There is still more work to be done, and we will provide further updates as appropriate over the coming quarters.

轉向我們的陸地站點。我們將繼續致力於實現整個管道的價值最大化。如同前面所討論的，在舊金山的花卉市場，價值最大化既來自於創造可選性，也來自於執行階段的最終使用和可選性。為此，我們繼續透過內部流程評估替代方案，並希望得到該市新的以成長為導向的領導層的熱情接受。仍有更多工作要做，我們將在未來幾季內根據需要提供進一步的更新。

The second way we are working to maximize value is through select sales. As Angela mentioned, we signed an agreement to sell a portion of our Santa Fe Summit site in San Diego for a gross price of $38 million. The sale covers five of the 22 acres, and the deal is scheduled to close upon the receipt of entitlements, which we estimate to be in 2026.

我們努力實現價值最大化的第二種方式是透過精選銷售。正如安吉拉所提到的，我們簽署了一項協議，以 3800 萬美元的總價格出售位於聖地亞哥的聖達菲峰會場地的一部分。此次出售涉及 22 英畝土地中的 5 英畝，交易預計在收到權利後完成，我們估計完成時間為 2026 年。

We remain in active negotiations on multiple other sites in Southern California and continue to be on track to generate gross proceeds inclusive of this initial sale in excess of $150 million. As previously discussed, we anticipate the future land sales to have elongated closing time lines with proceeds to be realized over the next few years.

我們仍在就南加州其他多個地點進行積極談判，並將繼續按計劃實現包括此次首次銷售在內的超過 1.5 億美元的總收益。如前所述，我們預計未來土地銷售的成交時間將會延長，收益將在未來幾年內實現。

With that, I will turn the call over to Jeffrey.

說完這些，我將把電話轉給傑弗裡。

Thanks, Eliott. Before we dive into quarterly results, I want to spend a few moments highlighting the enhancements we made to our disclosures this quarter. First, we provided additional details around the individual components of rental income. The added context highlights the strength of our operating portfolio by more readily identifying drivers of our rental income stream. Second, we added a reconciliation from cash NOI to total NOI. We hope the schedule provides a more intuitive view of our business and visibility into the earnings impacts of nonrecurring items, specifically items like restoration and settlement income.

謝謝，艾略特。在深入探討季度業績之前，我想花一點時間強調我們本季在資訊揭露方面所做的改進。首先，我們提供了有關租金收入各個組成部分的更多詳細資訊。透過更容易識別租金收入流的驅動因素，增加的背景凸顯了我們營運組合的實力。其次，我們增加了現金淨營業收入與總淨營業收入的對帳。我們希望該時間表能夠更直觀地展示我們的業務，並能夠更清楚地了解非經常性項目（特別是修復和結算收入等項目）對收益的影響。

Finally, we introduced an additional retention statistic that highlights the effect of direct leases executed with in-place subtenants. The new metric acknowledges where we've eliminated downtime and maintained occupancy by retaining the in-place sub-time.

最後，我們引入了一個額外的保留統計數據，強調了與現有轉租戶簽訂的直接租賃的影響。新的指標確認了我們透過保留原位子時間消除了停機時間並維持了佔用率。

In the first quarter, the retention rate, including subtenants, was almost 1,500 basis points higher than our base retention rate. For comparison, our 2024 retention rate, including subtenants, would have been 42% and almost 1,100 basis points higher than our base retention rate.

第一季度，包括轉租租戶在內的留存率比我們的基本留存率高出近 1,500 個基點。相較之下，包括轉租租戶在內，我們的 2024 年保留率將達到 42%，比我們的基本保留率高出近 1,100 個基點。

Now turning to the first quarter. FFO was $1.02 per diluted share and cash same-property NOI declined 160 basis points year-over-year. During the period, we delivered cash same-property base rent growth of 90 basis points despite a 300 basis points decline in average occupancy, reflecting the strong contractual rent escalations embedded throughout our portfolio. Occupancy ended the quarter at 81.4%, down from 82.8% at year-end. And on our last earnings call, we discussed the known move-outs of several larger tenants in the first quarter totaling 216,000 square feet.

現在轉到第一季。FFO 為每股稀釋收益 1.02 美元，現金同物業 NOI 較去年同期下降 160 個基點。在此期間，儘管平均入住率下降了 300 個基點，但我們的現金同物業基本租金仍增長了 90 個基點，這反映了我們整個投資組合中合約租金的強勁上漲。本季入住率為 81.4%，低於去年年底的 82.8%。在我們上次的收益電話會議上，我們討論了第一季已知的幾家較大租戶的遷出情況，總面積達 216,000 平方英尺。

The one meaningful variance from our previous expectations was the timing of DermTech downsizes and renewal. The 110,000 square foot lease expired in March and is shown as a month-to-month expiration on the lease expiration schedule in the supplemental as of March 31. In April, the downsize in renewal was executed, resulting in an 81,000 square foot move-out in the second quarter.

與我們先前的預期相比，一個顯著的差異是 DermTech 縮減規模和更新的時間。110,000 平方英尺的租約於 3 月到期，並在 3 月 31 日的補充租約到期時間表中顯示為每月到期。4 月份，公司實施了續約縮減措施，導致第二季的搬離面積達到 81,000 平方英尺。

First quarter GAAP re-leasing spreads were negative 15.8%, while cash re-leasing spreads were negative 23%. Re-leasing spreads were impacted by a single large transaction in which we invested minimal capital secure a three year lease with an existing subtenant. The shorter lease term provides us with the opportunity to reset rents earlier when the market recovers. This deal resulted in a strong net effective rent. However, the minimal capital commitment led to lower base rents and spreads. Excluding the impact of that single lease, cash re-leasing spreads would have been approximately negative 8.3%, which is consistent with last quarter.

第一季 GAAP 再租賃利差為-15.8%，現金再租賃利差為-23%。轉租利差受到一筆大型交易的影響，在該交易中，我們投入了最少的資本，與現有的轉租人簽訂了三年租約。較短的租賃期限為我們提供了在市場復甦時提前調整租金的機會。這筆交易帶來了豐厚的淨有效租金。然而，最低的資本投入導致較低的基本租金和利差。排除該單一租賃的影響，現金轉租利差約為-8.3%，與上一季持平。

Turning to guidance we're reaffirming our full year guidance, including FFO, cash same-property NOI growth and average occupancy expectations. The midpoint of our range implies a modest deceleration of FFO, consistent with our average occupancy assumptions, as a reminder, the midpoint of guidance also assumes the cessation of interest capitalization at the Flower Mart in the second half of the year.

談到指導，我們重申全年指導，包括 FFO、現金同物業 NOI 成長和平均入住率預期。我們範圍的中點意味著 FFO 的適度減速，與我們的平均入住率假設一致，提醒一下，指導的中點還假設花卉市場的利息資本化在下半年停止。

As it relates to the balance sheet, Kilroy has a significant unencumbered asset base, a well-lettered debt maturity schedule and substantial liquidity, which together, create tremendous financial flexibility and position Kilroy to be nimble and responsive as we navigate a dynamic capital allocation environment in the coming quarters.

就資產負債表而言，Kilroy 擁有大量無抵押資產基礎、清晰的債務到期計劃和充足的流動性，這些因素共同創造了巨大的財務靈活性，使 Kilroy 能夠在未來幾個季度應對動態資本配置環境時保持靈活和響應。

With that, we're happy to answer your questions. Operator?

我們很樂意回答您的問題。操作員？

(Operator Instructions)

（操作員指示）

Michael Carroll, RBC.

邁克爾·卡羅爾，RBC。

Yeah, thanks. I got on a little late, so I'm not sure if I missed this or not. But Angela, can you provide an update on how you're viewing the Flower Mart site right now? And maybe can you provide some potential options that Kilroy might have for that specific site and what you're analyzing today?

是的，謝謝。我來得有點晚，所以不確定是否錯過了這個。但是安吉拉，您能否提供有關您目前對花卉市場網站的看法的最新情況？也許您能提供一些 Kilroy 針對該特定網站以及您今天所分析的內容可能提供的潛在選項嗎？

Sure. Yeah, Eliott talked about this a little bit in his prepared remarks, but all we can say at this point is consistent with what we said last quarter. The exercise we're going through is intended to explore a wider range of uses for the Flower Mart site than what was originally programmed. And also to ensure that we can execute it in a way where it can be phased, and we can be responsive to the market as it continues to improve and recover in San Francisco. .

當然。是的，埃利奧特在他的準備好的演講中談到了這一點，但我們現在所能說的與我們上個季度所說的一致。我們正在進行的練習旨在探索花卉市場場地比最初規劃的更廣泛的用途。並且還要確保我們能夠分階段執行該計劃，並且隨著舊金山市場的不斷改善和復甦，我們能夠對市場做出反應。。

As I mentioned earlier, we're very bullish about what we're seeing in the city of San Francisco from a leasing standpoint and from a safety and vibrancy standpoint, particularly just over the last few months, we are working hard on the Flower Mart site and Eliott mentioned, we're very hopeful that we'll get a warm receptivity from the new administration.

正如我之前提到的，從租賃、安全和活力的角度來看，我們對舊金山市的現狀非常樂觀，特別是在過去的幾個月裡，我們正在努力建立花卉市場，艾略特提到，我們非常希望得到新政府的熱情接待。

And then maybe can you talk a little bit about the timing? I mean, I'm not sure if that is visible right now, but I mean, is this -- when we're making these decisions, is it within the next year? Or how long should we expect this kind of annualization to take place?

那可以稍微談談時間安排嗎？我的意思是，我不確定現在是否可以看到這一點，但我的意思是，當我們做出這些決定時，是在明年嗎？或者我們應該預期這種年化現象會持續多久？

Yeah. I think we're actively underway on a number of different things as it relates to the site and having those conversations beginning and expect to continue to have those conversations. With the city over the course of this year. There are a lot of different paths that this process could take. And so that makes it a little difficult to get perfect visibility on what we think the timing of an actual conclusion here is on the Flower Mart side.

是的。我認為我們正在積極開展與網站相關的許多不同的事情，並且已經開始了這些對話，並希望繼續進行這些對話。今年以來，我們一直在關注這座城市。這個過程可以採取多種不同的路徑。因此，我們很難完全了解花卉市場方面實際得出結論的時間。

But I would remind you that what we had incorporated into guidance was an assumption that at some point in the second half of the year, we stopped capitalizing on the Flower Mart. And to the extent we have more clarity on which of the various paths we're on at that point, we can update that assumption as appropriate.

但我想提醒大家，我們在業績指引中納入了一個假設，即在下半年的某個時候，我們將停止利用花卉市場。如果我們對當時的經營方向有了更清楚的了解，我們會適時更新這個假設。

Jana Galen, Bank of America.

美國銀行的 Jana Galen。

Thank you. Good morning. Just hoping you could comment a little bit more on the level of leasing this quarter. Maybe some has pulled forward in 4Q or perhaps the fires in LA impacted the leasing sales cycle there. Just any kind of commentary around what the forward pipeline looks like today maybe geographically. Thank you.

謝謝。早安.只是希望您能對本季的租賃水平發表更多評論。也許有些已經在第四季度提前了，或者也許洛杉磯的火災影響了那裡的租賃銷售週期。任何有關未來管道目前在地理上是什麼樣子的評論都可以。謝謝。

Yeah. I'll make a couple of comments and then turn it over to Rob to give a broader overview of kind of the pipeline and how it sits today. But I would say, the activity in the quarter represented a few things. I think you're right to highlight that Q4 was exceptionally large leasing volume quarter for us. So without a question, there were a couple of deals in that pool that would have otherwise occurred in the first quarter but ended up getting pulled forward into the fourth quarter.

是的。我將發表幾點評論，然後將其交給 Rob，讓他更廣泛地概述管道類型及其當前狀況。但我想說，本季的活動代表了一些事情。我認為您強調的正確一點是，第四季度對我們來說是租賃量異常大的一個季度。因此毫無疑問，該池中的幾筆交易原本會在第一季發生，但最終被提前到了第四季。

So positive in terms of our ability to get occupancy turned on as quickly as possible, but certainly impacted quarter-to-quarter leasing activity to some extent. We also had a couple of deals in the pool for the first quarter that just slipped into the first week of April. And I think if those deals had happened just a week earlier, our leasing volume would have been a healthy increase on a quarter-over-quarter basis -- or excuse me, a year-over-year basis relative to the first quarter.

就我們盡快恢復入住的能力而言，這是積極的，但肯定在一定程度上影響了季度租賃活動。我們第一季也達成了幾筆交易，這些交易剛剛進入四月的第一周。我認為，如果這些交易早一周完成，我們的租賃量就會比上一季出現健康成長——或者不好意思，與第一季相比，是同比增長。

We feel really good about the pipeline and where it sits and the work that the team has done really across regions to rebuild the pipeline off of that really significant volume in the fourth quarter of last year, and I'll let Rob touch on that.

我們對這條管道及其位置感到非常滿意，團隊在跨地區重建管道的工作也讓我們在去年第四季度的大量產量的基礎上感到非常滿意，我將讓羅布談談這一點。

Yeah. I think, Jan, just to add to what Angela said, everything is what's going on. I mean our leasing teams are fully engaged and our very energized working knee deep in a lot of transactions. And as Angela said, some quarters, we are lucky and we pull in business from the forthcoming quarter and get it done, like we did in Q4. And then in some quarters like Q1, some of it spilled into Q2.

是的。我認為，簡，我只是想補充安琪拉所說的話，一切都是正在發生的事情。我的意思是我們的租賃團隊全力投入，在許多交易中充滿活力地工作。正如安吉拉所說，在某些季度，我們很幸運，我們從下個季度開始吸引業務並完成任務，就像我們在第四季度所做的那樣。然後，在第一季等一些季度，部分成長蔓延到了第二季度。

But our pipeline, I think the thing that's really important to know is that our leasing team is really focused on rebuilding the pipeline. And so we have numerous transactions right now that are promising. And I think it's going to be a matter of time before it plays out. And when you really look at demand characteristics in our different markets, they do operate in different modes at different times, which is sort of a good thing for Kilroy. Right now, San Francisco is very active.

但我們的管道，我認為真正重要的是要知道我們的租賃團隊真正專注於重建管道。因此，我們現在有許多有前景的交易。我認為這只是時間問題。當你真正觀察我們不同市場的需求特徵時，你會發現它們在不同時間確實以不同的模式運作，這對 Kilroy 來說是一件好事。目前，舊金山非常活躍。

It's had its first quarter net positive absorbed five years according to CBRE. So that's a very promising trend. And we've seen that activity show up in our portfolio, which is pretty impressive. Bellevue, Washington, again, very strong market. Oftentimes, we wish we had more space there to lease.

據世邦魏理仕稱，該公司五年來第一季的淨利潤為正。這是一個非常有希望的趨勢。我們已經看到這種活動出現在我們的投資組合中，這非常令人印象深刻。華盛頓州貝爾維尤再次成為一個非常強勁的市場。我們常常希望那裡有更多的空間可供租賃。

And I think that Seattle itself is benefiting from some of the same things Angela said in her script, in terms of the political environment, law enforcement and cleaning up the street. So we're seeing at West8, quite a good activity from a variety of tenants.

我認為西雅圖本身也受益於安吉拉在劇本中所說的一些內容，例如政治環境、執法和街道清潔等。因此，我們在 West8 看到各種租戶的活動相當活躍。

To your point in the latter part of your question, LA, particularly on the West side, has been slower. I think part of that is a natural disruption from the fires. We have seen a slight uptick into our activities. So we're hoping that, that trend continues. But LA has had -- as in last quarter, LA just had more issues surrounding it than other markets. However, I will say that Long Beach or asset and Long Beach aero continues to perform quite well from a leasing perspective. In the last two markets, San Diego and Austin are doing fine, and we have a good pipeline in both those regions.

正如您在問題後半部分所提到的，洛杉磯，特別是西區，發展速度較慢。我認為部分原因是火災造成的自然破壞。我們的活動略有增加。所以我們希望這種趨勢能夠持續下去。但就像上個季度一樣，洛杉磯面臨的問題比其他市場更多。不過，我想說，從租賃的角度來看，長灘或資產以及長灘航空繼續表現良好。在最後兩個市場中，聖地牙哥和奧斯汀表現良好，我們在這兩個地區都有良好的管道。

Yeah, I'd just reiterate also the tour activity we mentioned in the prepared remarks, we're up 40% portfolio-wide and importantly, up 60% in the city of San Francisco. So we really are seeing good momentum build. And I think the team is working hard to take advantage of that, capitalize on it.

是的，我還要重申我們在準備好的發言中提到的旅遊活動，我們的投資組合成長了 40%，更重要的是，舊金山市的投資組合成長了 60%。因此，我們確實看到了良好的發展動能。我認為團隊正在努力利用這一點，並充分利用它。

Thank you, very helpful. That's it for me.

謝謝，非常有幫助。對我來說就是這樣。

Steve Sakwa, Evercore ISI.

史蒂夫‧薩誇 (Steve Sakwa)，Evercore ISI。

Yeah, thanks. Angela, I just wanted to come back to the leasing pipeline and the deal activity you mentioned that slipped. I guess, one, could you just kind of actually quantify what the leasing pipeline is? And what level of deals kind of slipped, I guess, from Q1 into April?

是的，謝謝。安吉拉，我只是想回到租賃管道和您提到的交易活動下滑的問題上。我想，首先，您能否量化一下租賃管道的具體內容？我猜，從第一季到四月，交易量下滑到了什麼程度？

Yeah. I think the pipeline is up something like 15% on a quarter-over-quarter basis. We don't typically talk about the absolute size of the pipeline, but you have seen really healthy momentum kind of rebuilding that pipeline. And again, I think tour activity tends to be one of the most important leading indicators in terms of forward lease activity. So we're seeing really good progress there, as I mentioned, with a 40% portfolio-wide improvement. Really driven by the city of San Francisco, but certainly more broad-based as well.

是的。我認為該管道的數量比上一季增加了 15% 左右。我們通常不會談論管道的絕對規模，但您已經看到重建該管道的真正健康勢頭。而且我認為，旅遊活動往往是遠期租賃活動最重要的領先指標之一。因此，正如我所提到的，我們看到了非常好的進展，整個投資組合的改善率為 40%。確實受到舊金山市的推動，但肯定也有更廣泛的基礎。

Across the different markets, as Rob was highlighting. We've got different dynamics playing out in many of our markets. But I think across the board, seeing that improvement and return to office across many of our metrics, seeing the last election results and the way that several of our cities are improving from a health, safety and vibrancy perspective, all of that is certainly contributing to the pipeline. And then really in San Francisco and to some degree, Seattle Bellevue a little bit in San Diego as well. We're seeing AI as a real driver of leasing activity and momentum more broadly across the board.

正如 Rob 所強調的，跨越不同的市場。我們在許多市場中都呈現出不同的動態。但我認為，從整體來看，我們的許多指標都有所改善，選舉結果也有所改善，而且我們的幾個城市在健康、安全和活力方面都有所改善，所有這些無疑都為這一進程做出了貢獻。然後實際上是在舊金山，某種程度上，西雅圖貝爾維尤，還有一點在聖地牙哥。我們認為人工智慧是全面推動租賃活動和發展勢頭的真正驅動力。

I'm sorry, but were you able to quantify the April, I think you said some deals that you thought would get done in Q1 kind of slipped into Q2. So is there a quantification you can put around that?

抱歉，但是您能量化四月的情況嗎？我想您說過，一些您認為會在第一季完成的交易推遲到了第二季。那麼，您可以對此進行量化嗎？

Yeah. There was probably at least, I'm going to say 50,000 to 60,000 square feet of deals that just slipped into the first quarter of April. But again, the pipeline at March 31, the forward pipeline was about 15% of where it had been at 12/31.

是的。可能至少有，我想說 50,000 到 60,000 平方英尺的交易剛剛進入 4 月第一季。但同樣，3 月 31 日的管道，遠期管道約為 12 月 31 日的 15%。

Seth Bergey, Citigroup.

花旗集團的塞思‧伯吉 (Seth Bergey)。

Hi, this is Sydney McEntee, on for Seth. So on the sale of land at Santa Fe Summit for $38 million, is the plan for a second phase of the sale of the other 17 acres. And then more broadly, how are you thinking about monetizing the land bank versus other existing operating portfolio dispositions?

大家好，我是 Sydney McEntee，代替 Seth。因此，在以 3800 萬美元出售聖達菲峰會土地後，計劃第二階段出售其餘 17 英畝土地。那麼更廣泛地說，您如何考慮將土地儲備貨幣化，而不是將其他現有的營運組合處置貨幣化？

Hey, Sydney It's Eliott. So we are evaluating a few different sales that I referenced in the prepared remarks, that is one of them. And the way we sort of thought about the land sales are to kind of focus on where we think that there's appetite from third-party capital. And today, that's really around land where there's a higher and better use outside of office and life science. It also kind of aligns well because -- frankly, that's our core competency.

嘿，悉尼，我是艾略特。因此，我們正在評估我在準備好的評論中提到的幾種不同的銷售，這是其中之一。我們對土地出售的看法是，重點關注第三方資本有興趣的地方。如今，這實際上與土地在辦公室和生命科學之外的更高、更好的用途有關。這也非常吻合，因為——坦白說，這是我們的核心競爭力。

And if we have well located land, that should ultimately go towards office and life science. Those are sites that we ought to be developing, when time is right, which is not yet. But -- that's how we thought about the prioritization of the land bank.

如果我們擁有地理位置優越的土地，那麼這些土地最終應該用於辦公室和生命科學。時機成熟時，我們就應該開發這些網站，但現在還不是。但是——這就是我們對土地儲備優先排序的想法。

The second piece of your question, anything we do in terms of monetizing the land bank doesn't preclude us from looking at operating property sales. And so we are looking at some of those as well. And similarly, the strategy there is to kind of look at where we think that there is appetite from third-party capital, where we think that there's good value, and that value is -- and our view of what the outlook that asset or that market will be -- is less optimistic than maybe where third-party capital value it. And so that's how we've tried to prioritize what assets we look to monetize.

你問題的第二部分，我們在土地儲備貨幣化方面所做的任何事情都不會妨礙我們考慮經營性房地產銷售。因此我們也正在研究其中的一些。同樣，我們的策略是觀察第三方資本對哪些領域有興趣，哪些領域具有良好的價值，以及我們對該資產或市場前景的看法，這些看法可能不如第三方資本對其的估值那麼樂觀。這就是我們嘗試確定優先考慮哪些資產可以貨幣化的方式。

Great. Thanks. And then one more for me. In terms of renewals, are you still seeing companies reduce base on renewals? Or have you seen more of a trend of expansions like the one at West8?

偉大的。謝謝。然後我再加一個。在續約方面，您是否仍看到公司減少續約基礎？或者您看到了更多像 West8 這樣的擴張趨勢？

I thought if I misunderstood the question, I apologize. But in terms of renewals, we're seeing, for the most part, companies retaining the footprint they've had. And then I know you are asking about renewals, but in many cases, in San Francisco, particularly new companies coming to market are actually looking for more -- the space requirement changes. Particularly for AI companies where flexibility is very important to them. And so that's how, as Angela mentioned in her remarks, the large deal that we did in San Francisco was the result of being able to accommodate a dynamic sort of growth pattern they have.

我想如果我誤解了這個問題，我深感抱歉。但就續約而言，我們看到大多數公司仍保留著原有的足跡。然後我知道您問的是續約問題，但在許多情況下，在舊金山，特別是進入市場的新公司實際上正在尋求更多——空間需求發生變化。特別是對於人工智慧公司來說，靈活性對他們來說非常重要。正如安吉拉在演講中提到的那樣，我們在舊金山達成的大交易是為了適應他們動態的成長模式。

So on a renewal basis, it's much better than it was 1.5 years ago where most companies were trying to adjust 5% or 10%. We're seeing people stay in the same footprint.

因此，從續約的角度來看，這比一年半前的情況要好得多，當時大多數公司都試圖調整 5% 或 10%。我們看到人們的足跡都是一樣的。

Caitlin Burrows, Goldman Sachs.

凱特琳·伯羅斯，高盛。

Hi, good morning. Maybe just -- yeah, just a question on the capitalized interest point. So it seems like the two big movers to capitalize interest over the next 12 months will be KOP 2 and Flower Mart. So maybe just starting with KOP 2 is the right way to think about it, the $828 million that you've incurred so far, that could go up to, it seems like roughly $1 billion that, that will come off in early '26.

嗨，早安。也許只是——是的，只是關於資本化利息點的一個問題。所以，未來12個月，KOP 2和Flower Mart將成為實現利息資本化的兩大推動者。所以，或許從KOP 2開始考慮才是正確的做法。到目前為止，你投入的8.28億美元，可能會增加到大約10億美元，到2026年初就會到帳。

And then similarly, for Flower Mart, I'm wondering since not specifically listed as like how much you've spent on it, I don't think. How much -- or like if there's a way you could quantify better what that impact could be?

同樣，對於花卉市場，我很好奇，因為沒有具體列出你花了多少錢，我想沒有。有多大——或者是否有辦法更好地量化這種影響？

Sure, Caitlin. This is Jeffrey. You nailed it with KOP 2. So it will come off in early 2026. And then last quarter, we did touch on some of the individual components for the Flower Mart. So there's about $7 million of capitalized interest per quarter and then an additional $1 million of carry costs for the parcel such as insurance or taxes.

當然，凱特琳。這是傑弗裡。您成功了，KOP 2。因此它將在 2026 年初實現。上個季度，我們確實談到了花卉市場的一些具體組成部分。因此，每季的資本化利息約為700萬美元，此外還有100萬美元的包裹持有成本，例如保險或稅金。

Okay. Yeah, got it. And then maybe just in terms of like the types of users that are active. You guys have talked about AI a bunch, which is great to hear. I know isn't like the biggest exposure for you guys. But I guess, could you talk a little bit about the types of usage that you're talking to? And if, I guess, who's most active outside of AI and how that's been evolving over the past couple of months.

好的。是的，明白了。然後可能只是就活躍用戶的類型而言。你們談論了很多關於人工智慧的事情，我很高興聽到這個消息。我知道這對你們來說並不是最大的曝光。但我想，您能否稍微談談您所談論的使用類型？我想問一下，誰在人工智慧領域之外最活躍，以及過去幾個月人工智慧領域是如何發展的。

Yeah, Caitlin, this is Rob. I'll talk about a couple of markets. If you look at Bellevue, for example, there is an AI component to it. Our transaction in Bellevue was the third largest of the quarter in Q1, but there's other uses such as private services, law firms, Tommy Bahama with a large renewal that happened in South Lake Union, a retailer, and that was office space, not retail space, Lululemon being another retailer that used office space.

是的，凱特琳，這是羅布。我將談論幾個市場。例如，如果你看看貝爾維尤，你會發現它有一個人工智慧元件。我們在貝爾維尤的交易是第一季第三大交易，但還有其他用途，例如私人服務、律師事務所、Tommy Bahama，以及在南湖聯盟 (South Lake Union) 發生的大型續約，這是一家零售商，那是辦公空間，而不是零售空間，Lululemon 是另一家使用辦公空間的零售商。

In San Francisco, the most notable additions aside from technology where really JPMorgan and their large renewal with the city and Morgan Lewis moving to the Trans-America Pyramid. And I think just one side note that's really, I think, compelling about the change in San Francisco related to JPMorgan through a combination of their expanding business, it's a key market for them. The combination of expanding business in philanthropy on their own account, they're saying that they've -- they're contributing up to $1.2 billion to the economic growth and prosperity of San Francisco, and we're seeing more companies doing that. So this tracks exactly with what Angela was saying about the improving environment.

在舊金山，除了技術之外，最引人注目的新增功能是摩根大通及其與這座城市的大規模更新，以及摩根路易斯遷入泛美金字塔。我認為，值得一提的是，舊金山的變化與摩根大通的業務擴張有關，這對摩根大通來說是一個關鍵市場。他們表示，透過擴大自身慈善業務，他們已經為舊金山的經濟成長和繁榮貢獻了高達 12 億美元，而且我們看到越來越多的公司正在這樣做。這與安琪拉所說的改善環境完全一致。

So professional services have always been part of San Francisco, and you're going to continue to see that, I think, particularly with the large law firms that are either wanting to come here for technology or just other Pacific business.

因此，專業服務一直是舊金山的一部分，我認為你會繼續看到這一點，特別是那些希望來這裡尋求科技或其他太平洋業務的大型律師事務所。

Nick Yulico, Scotiabank.

加拿大豐業銀行的 Nick Yulico。

Hi, thanks. So I guess just going to the occupancy guidance range for the year. So if we adjust for DermTech happening in the second quarter, not first quarter, it looks like you're sort of right in the middle of that average occupancy guidance right now with that impact. So can you just maybe flesh out a bit like what the assumptions are to get to bottom or high end of the range in terms of what does that mean for leasing activity picking up or not and any major known move-outs still expected? Thanks.

你好，謝謝。所以我想這只是進入今年的入住率指導範圍。因此，如果我們根據第二季（而不是第一季）發生的 DermTech 事件進行調整，那麼看起來您現在正處於平均入住率指引的中間位置，並受到了這種影響。那麼，您能否稍微詳細說明一下，對於租賃活動是否回升以及是否仍預計會出現任何已知的重大遷出，這些假設對於達到最低或最高範圍意味著什麼？謝謝。

Yeah, thanks, Nick. This is Jeffrey. You nailed the DermTech comment. There's one more lease that looks like it might be a Q2 effect, 23andMe in South San Francisco, about 65,000 square feet. So that's contemplated within our guidance range. Obviously, if that happens in the quarter, you'll see the occupancy move down just a bit.

是的，謝謝，尼克。這是傑弗裡。您對 DermTech 的評論非常正確。還有一份租約看起來可能會受到第二季的影響，位於南舊金山的 23andMe，面積約 65,000 平方英尺。所以這在我們的指導範圍內。顯然，如果本季出現這種情況，您會看到入住率略有下降。

When we think about the third quarter, I just want to remind everyone that we do have two development properties that will be coming into the stabilized pool, which will affect occupancy is included within our guidance range. So that will bring it down a touch in the third quarter as well. And when we get to the fourth quarter, our projections are pretty stable at that point.

當我們考慮第三季時，我只想提醒大家，我們確實有兩處開發物業將進入穩定池，這將影響入住率，並包含在我們的指導範圍內。因此，第三季的銷售額也會略有下降。當我們進入第四季度時，我們的預測相當穩定。

And we -- as you see with the signed but not occupied range this quarter. There is a bunch of rent starts that are coming online at the end of the year. So you'll see the final number kind of bounce around and give or take on how many of those we get started.

如您所見，本季度已簽署但未佔用的範圍。年底將有大量租賃開始生效。因此，您會看到最終的數字會上下波動，並取決於我們開始的數量。

Yeah. I think the other thing to note is just Rob did a good job on hitting, particularly in San Francisco, which is our largest market. The degree to which tenants are looking for plug-and-play space. and flexibility the ultimate footprint in youth and really working to get into space as quickly as possible. So that's where our spec suite program is particularly effective.

是的。我認為另一件值得注意的事情是羅佈在打擊方面做得很好，特別是在舊金山，這是我們最大的市場。租戶尋求即插即用空間的程度。靈活性是年輕人的最終足跡，並真正努力盡快進入空間。這就是我們的規格套件程式特別有效的地方。

And we do have a number of market-ready spec suites available in that market as well as across other markets as well. But to the extent over the next quarter or two, we really can accelerate leasing activity we've got a shot at getting some of those in occupancy by year-end, which would drive us to the upper end of the range. So that's really the focus in terms of for the variability in terms of what could get us to the top end of the range. But even just based on things that are signed to date, we expect Q4 to be positive net absorption quarter.

我們確實在該市場以及其他市場上提供了許多可供市場使用的規格套件。但在未來一兩個季度內，我們確實可以加速租賃活動，我們有機會在年底前讓部分租賃活動進入入住狀態，這將使我們達到該範圍的上限。因此，這確實是關於可變性的焦點，關於什麼可以讓我們達到範圍的頂端。但即使僅基於迄今為止簽署的協議，我們也預計第四季度將是淨吸收量為正的季度。

Okay. Yes. Thanks, that's helpful. I guess just then following up to on the spec suites at KOP 2. So it sounds like maybe that getting some leasing there could be in the upper end of the guidance range? And is that right? And then also just sort of a timing standpoint, I mean, if you were to get any sort of lease signing on how fast that could actually hit occupancy in the spec suites. Thanks.

好的。是的。謝謝，這很有幫助。我想這只是對 KOP 2 規格套件的後續跟進。所以聽起來也許在那裡獲得一些租賃可能會處於指導範圍的上限？那是對的嗎？然後從時間角度來看，我的意思是，如果你要簽署任何形式的租約，那麼這實際上可以多快達到規格套房的入住率。謝謝。

Right. So when Jeffrey mentioned the redevelopment assets that are coming into the stabilized occupancy pool in Q3, those are redevelopment properties, not KOP. KOP wouldn't come in until 2026. So lease-up at KOP is not a driver of the occupancy guidance we've given or our performance within that range.

正確的。因此，當 Jeffrey 提到第三季進入穩定入住池的重建資產時，那些是重建物業，而不是 KOP。KOP 直到 2026 年才會到來。因此，KOP 的租賃率並不是我們給出的入住率指導或我們在此範圍內的表現的驅動因素。

I do want, Rob, to spend a minute, though, just talking a little bit and expanding on the momentum we've seen in KOP, which has been notable and as I mentioned earlier, has included activity both on the spec suites as well as full floor multiple floor users on the campus.

不過，羅布，我確實想花一點時間，稍微談一談並擴展我們在 KOP 中看到的勢頭，這是值得注意的，正如我之前提到的，包括規格套房以及校園內整層多層用戶的活動。

Sure. Nick, we continue -- we've said this before, but we continue to entertain steady interest and activity from early stage and mid-emerging science companies. We also still see a variety of users in tech and fintech, but really the predominant user is related to life science. I can't really speak to what others have said or the macro environment, but we're very busy on the ground at KOP, it's actually pretty exciting. We've got ongoing conversations going with two larger users right now, both of whom are in need of scale and a path to future growth.

當然。尼克，我們繼續——我們之前說過，但我們繼續關注早期和中期新興科學公司的穩定興趣和活動。我們仍然看到科技和金融科技領域的各種用戶，但真正主要的用戶與生命科學有關。我無法真正談論其他人所說的內容或宏觀環境，但我們在 KOP 現場非常忙碌，這實際上非常令人興奮。我們目前正在與兩個較大的用戶進行對話，他們都需要擴大規模並找到未來成長的道路。

And obviously, our campus and the land we have plays into that very well. I would say also just giving more color that we're commencing space planning and design planning dialogue with several of these users. And with a couple, we're into detailed cost estimation analysis with a variety of single-floor users. And those are really -- I'm giving that color because those are really important precursors to the next step of getting to either a completed LOI or a lease. So we do have a lot going on.

顯然，我們的校園和土地發揮了很好的作用。我想說的是，我們正在與其中幾位使用者開始進行空間規劃和設計規劃對話。針對這些情況，我們針對各種單層使用者進行了詳細的成本估算分析。而這些真的——我之所以給出這種顏色，是因為它們是下一步獲得完整的意向書或租約的重要前提。所以我們確實有很多事情要做。

It's -- I think the macro situation doesn't help expedite getting things signed, but we have people that are very focused and haven't seen a pullback to date. So -- and lastly, to your question to Angela, the spec suites are by building those and marketing them now, we actually have quite a bit of activity on those. So that is a good 2025 possibility.

我認為宏觀形勢不利於加快簽署協議，但我們的人員非常專注，迄今為止還沒有看到任何回落。所以——最後，對於你向安吉拉提出的問題，規格套件是透過建立它們並進行行銷來實現的，我們實際上在這些方面開展了相當多的活動。因此 2025 年很有可能實現。

John P. Kim, BMO.

John P. Kim，BMO。

Thank you. Just following up on KOP 2. We've seen this quarter that you were a little bit more, I would say, aggressive on lease spreads and higher TIs, is that something that you're doing now at KOP 2 to help stimulate demand as you look for anchor tenants?

謝謝。只是跟進 KOP 2。我們看到本季你們在租賃利差和更高 TI 方面採取了更積極的態度，這是你們現在在 KOP 2 做的事情嗎？以便在尋找主力租戶時刺激需求？

Yeah. Well, I want to first address sort of the question about spreads and leasing activity that was executed in the quarter, and then I'll let Rob kind of touch again on the leasing strategy at KOP 2. But just remember what Jeffrey mentioned in his remarks, that really driver of the negative spreads during the quarter, the most significant driver of the negative spreads was one larger lease we signed. It was a direct deal with an existing subtenant that had very little capital in it. And that drove -- as a result of having no capital and comping off of a deal that had a full capital market TI package the optically looks like a lower spread.

是的。好吧，我想先回答有關本季執行的利差和租賃活動的問題，然後我會讓 Rob 再次談談 KOP 2 的租賃策略。但請記住傑弗裡在演講中提到的內容，本季負利差的真正驅動因素，負利差的最重要驅動因素是我們簽署的一份更大的租約。這是與現有轉租人直接達成的交易，而該轉租人的資本非常少。而這導致——由於沒有資本，且交易具有完整的資本市場 TI 方案，因此從光學上看利差較低。

But as Jeffrey mentioned, it's a very positive net effective rent. And I think the right decision for that building. It's also a three year lease, which gives us the ability to get another bite at the apple and reset rent in a few years as the market continues to improve. So I think across the board, that was the right decision.

但正如傑弗裡提到的，這是一個非常積極的淨有效租金。我認為對於這座建築來說這是一個正確的決定。這也是一份為期三年的租約，這使我們能夠再次嘗試，並在幾年後隨著市場持續改善而重新設定租金。所以我認為總體來說，這是正確的決定。

So obviously, contributing to a negative spread number in the quarter. I think if you just look at second-generation leasing, I think that the TILC number was pretty consistent actually with where we had been throughout all of 2024. So I think if there was any increase, it was only in first gen space, and it's just a function of the build-out of those tenants. But I think a very small pool there as well.

顯然，這導致了本季利差為負。我認為，如果只看第二代租賃，TILC 的數字實際上與 2024 年全年的水平相當一致。所以我認為如果有任何成長，那也只是在第一代空間，而這只是這些租戶擴建的一個函數。但我認為那裡的游泳池也非常小。

Sure. And kudos to you, John, on your Cinco de Mayo comment yesterday that was clever. We -- back to KOP specifically, we have a variety of offerings, whether it's Shell or whether it's the existing spec suites, and we have a variety of sizes in the spec suites. And we have a really good handle on what the competition is doing, and we price everything and we're going aggressively after tenants based on a variety of factors, meaning who's the tenant, when is their occupancy or expected occupancy, how much space do they need and there are other factors.

當然。約翰，我向你表示敬意，你昨天對五月五日節的評論非常聰明。我們 - 具體回到 KOP，我們提供多種產品，無論是殼牌還是現有的規格套件，並且我們在規格套件中提供各種尺寸。我們非常了解競爭對手的動向，我們會為所有東西定價，並根據各種因素積極爭取租戶，這些因素包括租戶是誰、他們的入住時間或預期入住時間是什麼時候、他們需要多少空間等等。

And I don't want to go too much into what our strategy is because I know a lot of people listen to this call, but we're seeing every transaction that's in the market, and we're talking to a lot of folks right now. And as I said earlier to Nick, I think that we're working on some really promising transactions.

我不想過多地談論我們的策略，因為我知道很多人都在聽這個電話，但我們正在關注市場上的每一筆交易，我們現在正在與很多人交談。正如我之前對尼克所說的那樣，我認為我們正在進行一些非常有前景的交易。

I think, obviously, it's a very competitive environment right now given the amount of supply in South San Francisco. But we have an incredibly high-quality well-magnetized project. And I think the biggest thing that's been driving forward some of the conversations we've been having on the leasing side at KOP 2 really has been the scale of our project and our ability to accommodate future growth for a lot of these tenants. That's been much more important in the conversations or at least as important as just economics and the competitive environment there.

我認為，考慮到南舊金山的供應量，目前的競爭環境顯然非常激烈。但我們有一個品質極高、極具吸引力的項目。我認為，推動我們在 KOP 2 租賃方面進行的一些對話的最大因素實際上是我們項目的規模以及我們為許多租戶提供未來成長的能力。這在對話中更為重要，或至少與經濟和競爭環境一樣重要。

And maybe a follow-up for Rob. Can you rank your markets in terms of where you see the most leasing activity and the likelihood of occupancy growth. I noticed this quarter, Seattle and Austin had an increase in lease rates. So I don't know if that is representative of what you're seeing on the ground with your pipeline?

也許是 Rob 的後續行動。您能否根據租賃活動最多和入住率成長的可能性對您所在的市場進行排名？我注意到本季西雅圖和奧斯汀的租賃率有所上升。所以我不知道這是否代表了您在管道現場看到的情況？

Yeah. I mean I think Bellevue is our strongest market, most activity. San Diego is also extremely strong. The problem we have at One Paseo as we run out of space quickly. But we've had some recent expansions, and it continues to be our second strongest market.

是的。我的意思是，我認為貝爾維尤是我們最強大、最活躍的市場。聖地牙哥也非常強大。我們在 One Paseo 遇到的問題是空間很快就用完了。但我們最近進行了一些擴張，它仍然是我們第二個強大的市場。

Austin rates maintain and we're still in the high 40s, low 50s, triple net depending on the other parts of the package, the concessions and things like that. But those markets are all very promising. And I think San Francisco, even there is still a dichotomy between top-tier rents and the lower tier rents. But because our product, the product we have right now and the reason we're getting activity on it is it's really well suited to these emerging life -- excuse me, emerging technology companies, both AI and regular tech. So on one hand, at projects like 201 third, we have a lot of tech interest at projects like 303 second.

奧斯汀的利率保持不變，我們仍然處於 40 多、50 多、三重淨利率，具體取決於方案的其他部分、優惠等。但這些市場都非常有前景。我認為即使在舊金山，頂級租金和低級租金之間仍然存在差異。但因為我們的產品，我們現在擁有的產品以及我們對其採取行動的原因是它非常適合這些新興的生命——對不起，是新興的科技公司，包括人工智慧和常規技術。一方面，我們對 201 第三專案等技術很感興趣，另一方面，我們對 303 第二專案等技術也很感興趣。

We have a mix of technology and more fire category, I would say tenants and 101st sort of has that mix as well. So I think that San Francisco is just going to take time. We're seeing positive movement on sublease space. It's now down to 6 million feet. That's partly absorption and partly converting to direct space.

我們擁有多種技術和更多的消防類別，我想說租戶和 101 街也擁有這種組合。所以我認為舊金山只是需要時間。我們看到轉租空間出現了正面的動向。現在已降至600萬英尺。這部分是吸收，部分是轉換為直接空間。

We have, as I said earlier, positive absorption for the first time in Q1. And notably, demand is at 7 million feet right now. So I think that I can't predict rent growth there, but I think we're seeing better circumstances than we did not that long ago

正如我之前所說，我們在第一季首次實現了正吸收。值得注意的是，目前的需求量已達 700 萬英尺。所以我認為我無法預測那裡的租金成長，但我認為我們現在的情況比不久前好

Yeah, I'd just add to that. One thing we talked about on last quarter's call was the opportunity embedded in the portfolio from just some of our highest quality vacancies, which included West in Seattle, indeed Tower in Austin and 2100 Kettner. And the improvements in the lease rate you mentioned, in Seattle and indeed, really were those -- and in Austin were really those -- two of those three assets, I would also say one of the leases that slipped from late March into early April was at 2100 Kettner.

是的，我只是想補充一點。我們在上個季度的電話會議上談到的一件事是，我們的一些最優質的空置物業中蘊含著投資機會，其中包括西雅圖的 West、奧斯汀的 Tower 和 2100 Kettner。您提到的租賃率的提高，在西雅圖確實如此——在奧斯汀也確實如此——這三項資產中的兩項，我還想說，從 3 月底到 4 月初租賃率下滑的其中一項是在 2100 Kettner。

So we are making really good progress at leasing up, I think, very compelling economics, some of the highest quality vacancies in the portfolio and putting us in a position to realize that growth as quickly as possible.

因此，我認為我們在租賃方面取得了非常好的進展，經濟效益非常引人注目，投資組合中有一些品質最高的空置物業，這使我們能夠盡快實現成長。

Dylan Burzinski, Green Street Advisors.

迪倫·布爾津斯基 (Dylan Burzinski)，Green Street Advisors 的顧問。

Hi, good morning. Thanks for taking the question. I guess just going back to some of the comments made on KOP Phase 2, are you guys able to sort of give a square footage of the overall pipeline that is sort of touring or looking at that space today? And maybe if you can comment on sort of the two larger users that are interested just how big of a potential space needs those are?

嗨，早安。感謝您回答這個問題。我想回到對 KOP 第二階段的一些評論，你們能否給出今天正在參觀或查看該空間的整個管道的平方英尺數？也許您可以評論一下感興趣的兩個較大用戶，他們的潛在空間需求有多大？

Yeah. I mean I guess I'll start with that the second part of your question first. I mentioned in the prepared remarks, we've got some users looking at the spec suites. We have a number of users looking at spec suites, and those generally range from 15,000 to 25,000 square feet. Floor plates at KOP 2 are in the 40,000 to 44,000 square foot range.

是的。我的意思是我想我會先從你問題的第二部分開始。我在準備好的發言中提到，我們有一些用戶正在查看規格套件。我們有許多用戶正在查看規格套房，其面積通常在 15,000 到 25,000 平方英尺之間。KOP 2 的樓面面積在 40,000 至 44,000 平方英尺之間。

So when I mentioned other larger tenants exploring full for uses or multiple floor uses, I would say it's somewhere between one and three floors at other parts of the campus.

因此，當我提到其他較大的租戶探索全部用途或多層用途時，我會說它在校園其他地方的一到三層之間。

That's helpful. And then I guess just maybe touching on sort of net effectives, especially in San Francisco. Eliott, I think you alluded to that deal that Blackstone and Divco West did. But as you start to see potential basis resets across your various markets, do you guys sort of view that as a potential for a further step down in terms of the effective rents given the much lower basis that these buyers are coming in at?

這很有幫助。然後我想也許只是觸及某種淨效益，特別是在舊金山。艾略特，我想你提到了黑石集團和 Divco West 達成的那筆交易。但是，當您開始看到各個市場都可能出現基準重置時，考慮到這些買家的基準要低得多，您是否認為有效租金有可能進一步下降？

I think it's a little early to say. And without talking about any individual owners basis specifically, I think that there's a balance between where someone has sort of bought a building and then what kind of capital they're intending to put into the building. And certainly, some of the trades earlier in the cycle, which had a lower basis, our view was those buildings needed a fair amount of capital. So it will be interesting to see how different folks business plans play out, what the total amenity offerings are and how they kind of contrast to market to see what that means in terms of tenant preference?

我認為現在說這個還為時過早。並且，在不具體談論任何個人業主基礎的情況下，我認為在某人購買建築物的位置和他們打算投入建築物的資本類型之間存在平衡。當然，對於週期早期的一些交易，由於基礎較低，我們認為這些建築需要相當多的資金。因此，觀察不同的人的商業計劃如何實施、整體便利設施如何、與市場形成怎樣的對比，以了解這對租戶偏好意味著什麼，將會很有趣。

Peter Abramowitz, Jefferies.

彼得‧阿布拉莫維茲 (Peter Abramowitz)，傑富瑞 (Jefferies)。

Yes, thank you for taking the question. Just wanted to ask, have you commented on DirecTV and their expiration '26 and '27. And can you kind of handicap what you think the likelihood of a renewal is?

是的，感謝您提出這個問題。只是想問一下，您是否對 DirecTV 及其 26 年和 27 年到期的事情發表過評論。您能否預測續約的可能性有多高？

I won't handicap it, but we have discussions with them. They've been a long-term tenant. So I don't have much more to say right now. The exploration is one we're focused on as well as '26.

我不會阻礙它，但我們會與他們進行討論。他們一直是長期租戶。所以我現在沒什麼好說的。這次探索和 26 年一樣，都是我們關注的重點。

I think that -- yeah, the team over the last couple of quarters has done a great job of trying to really get ahead of the 2026 expirations and having active dialogue and conversations with really everybody expiring next year and starting to have those conversations as well with 2027 and is a little bit early in some of the 2027 and plans for many of our tenants continue to shift and change, particularly as we return to office policies continue to solidify. So even conversations we had six months ago have changed, I think, for the better in terms of renewal retention over the recent quarters.

我認為——是的，團隊在過去幾個季度中做得非常出色，他們試圖真正領先於 2026 年到期，並與明年即將到期的所有人進行積極的對話和交流，並開始就 2027 年進行這些對話，而且對於 2027 年的一些人來說還為時過早，我們許多租戶的計劃繼續轉變和變化，特別是隨著我們鞏固辦公室的政策。因此，我認為，就最近幾季的續約保留率而言，即使是我們六個月前進行的對話也發生了變化，變得更好了。

Okay. That's helpful. And then just a follow-up on Eliott's comments earlier, I believe you mentioned the possibility of selling operating properties in addition to land. So just wondering if you could comment on any kind of comparable trades in your markets? And if you could give us any more info on maybe markets that you're looking at trim exposure in or characteristics of those assets you might be looking to sell and what you think pricing would be like today?

好的。這很有幫助。然後，我只是對艾略特之前的評論進行跟進，我相信您提到了除了土地之外還出售經營性地產的可能性。所以我只是想知道您是否可以對您所在市場的任何可比較交易發表評論？您是否可以提供更多信息，例如您正在考慮削減風險敞口的市場，或者您可能想要出售的資產的特徵，以及您認為今天的定價會是什麼樣的？

Yeah. So we touched on a few comps in San Francisco. Those were for buildings that were much less occupied than market. So it's just important when you think about basis to kind of factor that in. As we have thought about our dispose, it's not necessarily catered to a particular strategy of getting out of this market or getting into that market.

是的。因此我們談到了舊金山的幾家公司。這些建築的入住率比市場低得多。因此，當你考慮基礎時，將其考慮進去是很重要的。正如我們考慮過我們的處置一樣，它不一定適合退出這個市場或進入那個市場的特定策略。

It's really as we have evaluated each asset and try to make a determination on how we see the next few years playing out of that particular asset. And then based on other characteristics or qualities, how big the asset is, how much capital it will require, who the likely buyer pool is trying to make a determination of where we think we can get great execution.

事實上，我們已經評估了每項資產，並試圖確定未來幾年該特定資產的表現。然後根據其他特徵或品質，資產有多大，需要多少資本，潛在買家是誰，我們試圖確定我們認為在哪裡可以獲得出色的執行。

So it's where the concentric circle of something that doesn't fit in our medium-term strategic plan, overlaps with where we think that there is capital that's going to price this efficiently is how we've kind of concentrated on our Divco strategy.

因此，當一些不符合我們中期戰略計劃的東西的同心圓與我們認為有資本可以有效定價的地方重疊時，我們就會集中精力於我們的 Divco 戰略。

Upal Rana, KeyCorp.

Upal Rana，KeyCorp。

Great, thank you. Just on DermTech, their downsizing was communicated on prior calls, but was the result of what you expected? And what has been the demand on the space that they've given back? Thanks.

太好了，謝謝。就 DermTech 而言，他們在之前的電話會議中已經傳達了裁員的消息，但結果是否符合您的預期？他們歸還的空間需求是什麼？謝謝。

I'd say the result is better than we expected and we're marketing. I mean, obviously, keeping them in the whole space would have been better, but the outcome was good for us, and we're marketing the remaining space it's actually a really good building and fitted out nicely. So we have seen some activity on it.

我想說結果比我們預期的要好，而且我們正在進行行銷。我的意思是，顯然，將它們保留在整個空間中會更好，但結果對我們來說是好的，我們正在行銷剩餘的空間，它實際上是一座非常好的建築，裝修得很好。因此我們看到了一些相關活動。

Remember, DermTech was a bankruptcy. And so there's new ownership there, and it just has taken them -- it took them a little bit longer than we expected for them to really get their arms around the business and understand what their needs were going to be, but I think this was roughly in line with what we had expected.

請記住，DermTech 已經破產了。因此，那裡有了新的所有權，他們只是花了比我們預期更長的時間來真正掌握業務並了解他們的需求，但我認為這大致符合我們的預期。

Okay. Great. And then in gross to the recovery in LA, how is it progressing? And how would you characterize the office demand? Or have any requirements shifted at all from potential tenants across the various submarkets?

好的。偉大的。那麼洛杉磯的整體復甦進展如何？您如何描述辦公室需求？或者各個子市場的潛在租戶的要求是否有轉變？

Yeah, It's -- LA is such a fragmented large market, meaning there's so many smaller submarkets. But if you look at Long Beach, for example, it's actually, as I said earlier, done very well, and due to the campus, we renovated the campus, and that's paid off. We've also -- we're located right between LAX basically in Orange County. So it's a very convenient stop-off point. It's a lot of business going on between those areas.

是的，洛杉磯是一個非常分散的大市場，這意味著它有許多較小的子市場。但是，如果你看看長灘，例如，正如我之前所說，它實際上做得很好，而且由於校園，我們對校園進行了翻新，並且獲得了回報。我們也位於洛杉磯國際機場和橘郡之間。所以這是一個非常方便的中途停留點。這些地區之間有許多業務往來。

Hollywood has -- for us, we don't have studio space in Hollywood. Hollywood for us has had some activity, and it's improved a little bit over the last year or so. So we're working on some things that we hope to bring to fruition. And I think the west side -- it's just -- it's a matter of how much space was absorbed in the past. You kind of hit this plateau usually when there's a lot of leasing, and there was a lot of big tech leasing on the West side over the past two years.

好萊塢有——對我們來說，我們在好萊塢沒有工作室空間。對我們來說，好萊塢有一些活動，並且在過去一年左右的時間裡有所改善。因此，我們正在做一些事情，希望能夠取得成果。我認為西側——這只是——過去吸收了多少空間的問題。當有大量租賃時，通常會達到這種穩定狀態，而過去兩年西區有大量大型科技公司租賃。

And I think part of that is tenants just either trying to right size or figure out that they've got enough space. But we're seeing a little bit of thing. I mean we've had some uptick in tour activity at our assets on the West side. It's just going to take time. And the last thing I'd say is I think the political environment in LA is just getting better but a little bit behind where we are in Seattle and San Francisco.

我認為部分原因是租戶只是想找到合適的面積或弄清楚他們是否有足夠的空間。但我們確實看到了一些事情。我的意思是，我們在西區的資產的旅遊活動有所增加。這只是需要時間而已。我最後要說的是，我認為洛杉磯的政治環境正在變好，但比西雅圖和舊金山稍微落後一些。

Okay, great. Thank you.

好的，太好了。謝謝。

Young Ku, Wells Fargo.

富國銀行的 Young Ku。

Great, thank you. I just want to go back to your occupancy guidance commentary. So it looks like the redevelopment assets that's coming back online in Q3 with estimated stabilization base in Q3. Are you saying that those are going to be coming back online at 100% leased? How should we think about that?

太好了，謝謝。我只是想回到您的入住指導評論。因此看起來，重建資產將在第三季恢復正常，預計第三季的基礎將趨於穩定。您是說這些將以 100% 的租賃率重新上線嗎？我們該如何看待這個問題？

They're not going to be coming on at 100% leased. As we reported in the supplemental this quarter, they were 0% leased. So there is some progress that's being made on those, but I would assume that, obviously, the full basis goes into the denominator and there might be some amount of leasing when they stabilize.

他們不會以 100% 的租賃率來入住。正如我們在本季度補充報告中所報告的，它們的租賃率為 0%。因此，這些方面正在取得一些進展，但我認為，顯然，全部基礎都會進入分母，並且當它們穩定下來時可能會有一定數量的租賃。

Okay. So when you're talking about estimated stabilization date, how should we think about that?

好的。那麼當您談到預計穩定日期時，我們應該如何考慮呢？

Yes. The stabilization is basically -- it's communicated in the supplemental as Q3. It's not based on hitting a leasing target. It's based on the time since substantial completion of those projects. So they will come on in Q3 regardless of what percent lease they're at, at that point in time.

是的。穩定性基本上是 - 它在 Q3 的補充中進行了傳達。這並不是基於達到租賃目標。這是基於這些項目基本上完工以來的時間。因此，無論當時租賃比例是多少，他們都會在第三季開始營業。

Got you. Thank you for that. And then just one last from me. You talked about DirecTV leased, how should we think about the length in lease that's expiring in 2026 also?

明白了。謝謝你。這是我的最後一句話。您談到了 DirecTV 租賃，我們應該如何考慮 2026 年到期的租賃期限？

We have some things going on there that we -- I don't want to name tenants, but we have I explain more about your question because we did announce that we took care of some of that leasing.

我們在那裡發生了一些事情——我不想透露租戶的名字，但我們會就您的問題做更多解釋，因為我們確實宣布我們已經處理了部分租賃事宜。

If you remember last quarter, that's our largest expiration in 2026, which is just under 600,000 feet. We've announced, as of last quarter that we had addressed, I believe, 430,000 feet of that. And as footnoted on the lease expiration page in the supplemental.

如果你還記得上個季度，那是我們在 2026 年最大的一次到期，高度略低於 600,000 英尺。我們宣布，截至上個季度，我們已經解決了其中的 430,000 英尺的問題。正如補充資料中租約到期頁的註腳所述。

Brendan Lynch, Barclays.

巴克萊銀行的布倫丹·林奇。

Great, thank you for taking my question. Eliott, entitlements in California can be quite challenging. What do you see as the risk that the Santa Fe Summit site doesn't receive the entitlements that the buyer is seeking?

太好了，謝謝你回答我的問題。艾略特，加州的福利待遇可能相當具有挑戰性。您認為聖塔菲峰會場地無法獲得買家所尋求的權利的風險是什麼？

So the transaction that we've completed has a residential as-of-right use. And so that's the reason that this portion was the first portion to be sold. So can't predict how any process will go out, but this is something that has a right. We're confident we can do.

因此，我們完成的交易具有住宅合法用途。這就是這部分是第一個被出售的原因。因此無法預測任何過程將如何進行，但這是我們有權做的事情。我們有信心可以做到。

Okay, thank you. Okay. It sounds like you're a bit tight on capacity in San Diego. What is the prospect of developing the rest of the space at Santa Fe Summit into incremental office space?

好的，謝謝。好的。聽起來聖地牙哥的容量有點緊張。將聖達菲峰會剩餘的空間開發成增量辦公空間的前景如何？

That's not our expectation. I think one development in a lot of markets. You need it does not make sense today, and that's why we have not undertaken any kind of development. But as I kind of mentioned earlier, that's the balance of the Santa Fe Summit land site is something that we are evaluating as one of our potential land sales.

這不是我們的期望。我認為很多市場都出現了一種發展。今天你需要它已經沒有意義了，這就是為什麼我們沒有進行任何形式的開發。但正如我之前提到的，聖達菲峰會土地的餘額是我們正在評估的潛在土地銷售之一。

And that area has really transformed. There's been a lot more residential that's come into that part of town. And so we think there's a higher and better use there.

該地區確實發生了變化。城鎮的這一部分已經住進了越來越多的居民。因此我們認為其用途更廣泛、更好。

Yeah. To your point, though, I mean, San Diego has been a great market for us. We've performed extraordinarily well, particularly in submarkets like Delmar, which is what drove the acquisition we did last year to continue to increase exposure and capacity in San Diego and give the team more to lease in that market since it's been going as well as it has.

是的。不過，就您的觀點而言，聖地牙哥對我們來說是一個很好的市場。我們的表現非常出色，特別是在德爾瑪 (Delmar) 等子市場，這促使我們去年進行了收購，以繼續提高聖地亞哥的曝光率和容量，並為團隊提供更多在該市場的租賃資源，因為該市場一直發展良好。

So we're certainly interested in continuing to grow that portfolio. This site just doesn't, to Eliott's point, really, it's not office or life sciences are not the best uses for this site.

因此，我們當然有興趣繼續擴大該投資組合。正如艾略特所言，這個網站確實不適合辦公室或生命科學領域。

Steve Sakwa, Evercore ISI.

史蒂夫‧薩誇 (Steve Sakwa)，Evercore ISI。

Hi Steve.

你好，史蒂夫。

Yeah, just want to follow up -- hi, sorry. Just want to follow up on the land and the sale of Santa Fe Summit. If you do kind of the quick math the 5 acres you're selling is, I think, north of $7 million an acre. And I realize it's only a piece of that whole land parcel. But kind of would suggest that maybe there's not impairments and maybe there's even upside. Just trying to think through kind of the value there and maybe how to think about value for the overall land portfolio?

是的，只是想跟進一下——嗨，抱歉。只是想跟進聖達菲峰會的土地和銷售情況。如果你稍微算一下，你賣的 5 英畝土地的價格是每英畝 700 萬美元以上。我意識到這只是整個土地的一部分。但某種程度上顯示也許不存在損害，甚至可能有好處。只是想思考那裡的價值以及如何考慮整個土地組合的價值？

And I guess what would ultimately precipitous to be you to kind of think about taking impairments on the land bank?

我想，什麼最終會讓您突然考慮對土地儲備進行減損？

I'll start on that. So I think that to Brendan's question, part of why the deal was structured the way it was is because this first phase is at the right. The balance of the site is not, and so there will be a change in use required there if it does go residential. So when you think about what that means on a per acre basis, oftentimes, there's a negotiation with city to get an actual change in use. So it's not an unreasonable starting point, but our expectation is that anything that happens on the balance would not quite be at the per acre value that we executed on the first phase.

我將從那開始。所以我認為，對於布倫丹的問題，交易之所以如此構建，部分原因是因為第一階段是正確的。該場地的平衡則不然，因此，如果要將其改為住宅用途，則需要更改其用途。因此，當您考慮這對每英畝意味著什麼時，通常會與城市進行談判以獲得實際的用途變更。因此，這並不是一個不合理的起點，但我們的預期是，在平衡上發生的任何事情都不會完全達到我們在第一階段執行的每英畝價值。

As far as the $150 million plus that we've talked about, for land sales in the works, our expectation for those are that they are at or better than where we're carrying them.

就我們談到的 1.5 億美元以上的土地銷售而言，我們預計這些資金將達到或超過我們目前的水平。

Caitlin Burrows, Goldman Sachs.

凱特琳·伯羅斯，高盛。

(technical difficulty) disclosures. So I was just wondering if you could go through your thinking --

（技術難度）揭露。所以我只是想知道你是否可以闡述你的想法--

My apologies to interrupt. If you want to just ask question again. Thank you. Apologies we missed the first part of the question.

抱歉打擾了。如果您想再次提問。謝謝。抱歉，我們錯過了問題的第一部分。

Yes. I know you guys made some updates to your disclosure. So I was just wondering if you could go through your thinking on taking out the same-store NOI GAAP trends and the commenced leasing if you thought it was creating confusion or being understood incorrectly?

是的。我知道你們對披露內容做了一些更新。所以我只是想知道，如果您認為這會造成混淆或被誤解，您是否可以考慮刪除同店 NOI GAAP 趨勢和開始的租賃？

Sure. We tried to just reevaluate the entire package to make sure it was really clear on what the economic drivers of our business were. So specifically, when we're looking at cash versus GAAP NOI, the revenue recognition timing with some of the nonrecurring items seem to be causing a lot of volatility in maybe confusion for understanding our business.

當然。我們試圖重新評估整個方案，以確保清楚了解我們業務的經濟驅動力。因此，具體來說，當我們查看現金與 GAAP NOI 時，一些非經常性項目的收入確認時間似乎會造成很大的波動，甚至可能使我們對業務的理解混淆。

So we tried to step back and simplify the same-property NOI disclosure to make sure that it actually tracks more closely with the economics of the day-to-day business. And then by expanding kind of the reconciliation between cash and total NOI. We hope that's much easier to see just how those kind of items flow through the financial statements.

因此，我們試圖退一步並簡化同一財產的 NOI 揭露，以確保它實際上與日常業務的經濟狀況更加緊密地追蹤。然後透過擴大現金和總營業淨收入之間的協調。我們希望能夠更輕鬆地了解這些項目在財務報表中的流動情況。

As we think about kind of leases commence. We think there's a lot of information on kind of the forward-looking part of our business, specifically with the signed but not occupied spreads available, the leases we executed in the period that we thought gave enough context for people to understand where the business was going from a forward perspective, and I decided that was probably the best disclosure to keep.

當我們考慮開始租賃類型時。我們認為，關於我們業務的前瞻性部分有很多信息，特別是已簽署但未入住的利差，以及我們在此期間執行的租約，我們認為這些信息為人們從前瞻性角度了解業務的發展方向提供了足夠的背景信息，我認為這可能是最好的披露方式。

Thank you, everyone. This will conclude today's Kilroy Realty Corporation 1Q '25 earnings conference call. Thank you again for everyone who joined us. You may now disconnect your lines.

謝謝大家。今天的 Kilroy Realty Corporation 2025 年第一季財報電話會議就此結束。再次感謝所有加入我們的人。現在您可以斷開線路了。