Earnings Release
| |
News Release
| 3 |
Consolidated Balance Sheets (unaudited)
| 8 |
Consolidated Statements of Operations (unaudited)
| 9 |
Non-GAAP Metrics (unaudited)
| 10 |
Supplemental Financial Information (unaudited) | |
Capitalization Summary
| 16 |
Components of Value | |
Components of Value Summary
| 17 |
Stabilized Portfolio |
19 |
Segment Investment Summary |
20 |
Multifamily Portfolio
| 21 |
Office Portfolio |
22 |
Industrial Portfolio |
23 |
Retail Portfolio |
24 |
Hotel, Loans, Residential and Other Investment Portfolio
| 25 |
Lease-up Portfolio |
26 |
Development Projects |
27 |
Debt Schedule
| 29 |
Investment Management
| 31 |
Other Portfolio and Financial Information | |
Same Property - Multifamily
| 32 |
Same Property - Office |
34 |
Investment Transactions
| 38 |
EBITDA by Segment (Non-GAAP)
| 39 |
Pro-rata Financial Information
| 43 |
Appendix
| 47 |
Contact: Daven Bhavsar, CFA | |
Vice President of Investor Relations | |
(310) 887-3431 | |
dbhavsar@kennedywilson.com | 151 S. El Camino Drive |
www.kennedywilson.com | Beverly Hills, CA 90212 |
Q3 | YTD | |||
(Amounts in millions, except per share data) | 2023 | 2022 | 2023 | 2022 |
GAAP Results | ||||
GAAP Net (Loss) Income to Common Shareholders | ($92.2) | $16.4 | ($94.0) | $42.2 |
Per Diluted Share | (0.66) | 0.12 | (0.67) | 0.31 |
Non-GAAP Results | ||||
Adjusted EBITDA | $33.2 | $165.9 | $319.2 | $444.4 |
Adjusted Net (Loss) Income | (46.7) | 68.7 | 44.6 | 195.5 |
Est. Annual NOI To KW ($ in millions) |
Fee-Bearing Capital ($ in billions) | |
As of Q3-22 | $473 | $5.6 |
As of Q4-22 | $491 | $5.9 |
As of Q2-23 | $499 | $7.9 |
Gross acquisitions and loan investments | 3 | 0.3 |
Gross dispositions and loan repayments | (11) | (0.2) |
Assets stabilized/unstabilized | 2 | - |
Operations | (1) | - |
FX and other(1)
| (7) | 0.2 |
Total as of Q3-23 | $485 | $8.2 |
Q3 - 2023 vs. Q3- 2022 | YTD - 2023 vs. YTD - 2022 | |||||||
Occupancy | Revenue | Expenses | NOI | Occupancy | Revenue | Expenses | NOI | |
Multifamily - Market Rate | 0.1% | 3.6% | 5.3% | 2.8% | (0.6)% | 4.1% | 5.7% | 3.3% |
Multifamily - Affordable | (0.5)% | 7.0% | 14.5% | 3.5% | (0.9)% | 8.2% | 15.4% | 4.9% |
Total | -% | 4.1% | 6.6% | 2.9% | (0.6)% | 4.7% | 7.4% | 3.5% |
Q3-2023 vs. Q3-2022 | YTD - 2023 vs. YTD - 2022 | |||||||
Occupancy | Revenue | Expenses | NOI | Occupancy | Revenue | Expenses | NOI | |
Office | 0.3% | 0.5% | 6.3% | (0.4)% | 1.0% | 1.3% | 2.9% | 1.0% |
September 30, 2023 |
December 31, 2022 | |||
Assets | ||||
Cash and cash equivalents | $ | 330.9 | $ | 439.3 |
Accounts receivable | 47.4 | 40.8 | ||
Real estate and acquired in place lease values (net of accumulated depreciation and amortization of $922.1 and $882.2)
| 4,849.6 | 5,188.1 | ||
Unconsolidated investments (including $2,089.2 and $2,093.7 at fair value)
| 2,232.7 | 2,238.1 | ||
Other assets | 211.7 | 216.1 | ||
Loan purchases and originations | 238.0 | 149.4 | ||
Total assets | $ | 7,910.3 | $ | 8,271.8 |
Liabilities | ||||
Accounts payable | $ | 14.0 | $ | 16.2 |
Accrued expenses and other liabilities (including $284.0 and $303.7 of deferred tax liabilities) | 593.1 | 658.2 | ||
Mortgage debt | 2,821.2 | 3,018.0 | ||
KW unsecured debt | 1,928.9 | 2,062.6 | ||
KWE unsecured bonds | 500.8 | 506.4 | ||
Total liabilities | 5,858.0 | 6,261.4 | ||
Equity | ||||
Cumulative perpetual preferred stock | 790.5 | 592.5 | ||
Common stock | - | - | ||
Additional paid-in capital | 1,717.7 | 1,679.5 | ||
Retained (deficit) earnings | (72.3) | 122.1 | ||
Accumulated other comprehensive loss | (427.3) | (430.1) | ||
Total Kennedy-Wilson Holdings, Inc. shareholders' equity | 2,008.6 | 1,964.0 | ||
Noncontrolling interests | 43.7 | 46.4 | ||
Total equity | 2,052.3 | 2,010.4 | ||
Total liabilities and equity | $ | 7,910.3 | $ | 8,271.8 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2023 | 2022 | 2023 | 2022 | |||||
Revenue | ||||||||
Rental | $ | 102.4 | $ | 110.9 | $ | 315.6 | $ | 324.4 |
Hotel | 16.6 | 14.0 | 42.7 | 33.2 | ||||
Investment management fees | 15.5 | 11.2 | 45.6 | 33.5 | ||||
Property services fees | 0.7 | 0.5 | 1.6 | 1.3 | ||||
Loans and other | 6.1 | 3.0 | 14.5 | 8.0 | ||||
Total revenue | 141.3 | 139.6 | 420.0 | 400.4 | ||||
(Loss) income from unconsolidated investments | ||||||||
Principal co-investments | (56.1) | 30.3 | (33.4) | 147.9 | ||||
Performance allocations | (17.9) | (18.0) | (36.3) | 0.5 | ||||
Total (loss) income from unconsolidated investments | (74.0) | 12.3 | (69.7) | 148.4 | ||||
Gain on sale of real estate, net | 30.4 | 37.0 | 138.6 | 50.8 | ||||
Expenses | ||||||||
Rental | 38.4 | 38.6 | 113.7 | 110.7 | ||||
Hotel | 9.8 | 8.6 | 27.4 | 20.5 | ||||
Compensation and related (including $7.3, $7.3, $21.7, $21.7 of share-based compensation)
| 31.1 | 33.8 | 98.7 | 103.7 | ||||
Performance allocation compensation | (6.0) | (6.6) | (5.5) | 3.2 | ||||
General and administrative | 8.4 | 9.2 | 25.5 | 26.5 | ||||
Depreciation and amortization | 38.8 | 46.1 | 118.3 | 132.7 | ||||
Total expenses | 120.5 | 129.7 | 378.1 | 397.3 | ||||
Interest expense | (64.2) | (57.1) | (192.5) | (160.8) | ||||
Loss on early extinguishment of debt | - | (1.3) | (1.6) | (2.4) | ||||
Other income | 3.2 | 36.7 | 24.5 | 46.1 | ||||
(Loss) income before provision for income taxes | (83.8) | 37.5 | (58.8) | 85.2 | ||||
Benefit from (provision for) income taxes | 19.7 | (13.9) | 13.3 | (22.5) | ||||
Net (loss) income | (64.1) | 23.6 | (45.5) | 62.7 | ||||
Net (income) loss attributable to noncontrolling interests | (17.3) | 0.7 | (21.4) | 0.5 | ||||
Preferred dividends
| (10.8) | (7.9) | (27.1) | (21.0) | ||||
Net (loss) income attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | (92.2) | $ | 16.4 | $ | (94.0) | $ | 42.2 |
Basic earnings (loss) per share | ||||||||
(Loss) earnings per share | $ | (0.66) | $ | 0.12 | $ | (0.67) | $ | 0.31 |
Weighted average shares outstanding | 139,391,316 | 136,840,874 | 138,914,964 | 136,832,102 | ||||
Diluted (loss) earnings share | ||||||||
(Loss) earnings per share | $ | (0.66) | $ | 0.12 | $ | (0.67) | $ | 0.31 |
Weighted average shares outstanding | 139,391,316 | 137,078,495 | 138,914,964 | 137,136,352 | ||||
Dividends declared per common share | $ | 0.24 | $ | 0.24 | $ | 0.72 | $ | 0.72 |
Three Months Ended | Nine Months Ended | |||||||
September 30, | September 30, | |||||||
2023 | 2022 | 2023 | 2022 | |||||
Net (loss) income attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | (92.2) | $ | 16.4 | $ | (94.0) | $ | 42.2 |
Non-GAAP adjustments: | ||||||||
Add back (Kennedy Wilson's Share)(1):
| ||||||||
Interest expense | 89.4 | 72.9 | 259.6 | 201.8 | ||||
Loss on early extinguishment of debt | - | 1.3 | 1.6 | 2.4 | ||||
Depreciation and amortization
| 38.2 | 45.0 | 116.9 | 131.6 | ||||
(Benefit from) provision for income taxes | (20.3) | 15.1 | (13.7) | 23.7 | ||||
Preferred dividends | 10.8 | 7.9 | 27.1 | 21.0 | ||||
Share-based compensation | 7.3 | 7.3 | 21.7 | 21.7 | ||||
Adjusted EBITDA | $ | 33.2 | $ | 165.9 | $ | 319.2 | $ | 444.4 |
Three Months Ended | Nine Months Ended | |||||||
September 30, | September 30, | |||||||
2023 | 2022 | 2023 | 2022 | |||||
Net (loss) income attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | (92.2) | $ | 16.4 | $ | (94.0) | $ | 42.2 |
Non-GAAP adjustments: | ||||||||
Add back (Kennedy Wilson's Share)(1):
| ||||||||
Depreciation and amortization | 38.2 | 45.0 | 116.9 | 131.6 | ||||
Share-based compensation | 7.3 | 7.3 | 21.7 | 21.7 | ||||
Adjusted Net (Loss) Income | $ | (46.7) | $ | 68.7 | $ | 44.6 | $ | 195.5 |
Weighted average shares outstanding for diluted | 139,391,316 | 137,078,495 | 138,914,964 | 137,136,352 |
Supplemental Financial Information |
September 30, 2023 | December 31, 2022 | |||
Market Data | ||||
Common stock price per share
| $ | 14.74 | $ | 15.73 |
Common stock and convertible preferred stock | ||||
Common stock shares outstanding | 139,390,837 | 137,790,768 | ||
Shares of common stock underlying convertible perpetual preferred stock and warrants(1)(2)(3)
| 37,458,836 | 25,091,671 | ||
Total Common stock outstanding and underlying convertible preferred stock and warrants | 176,849,673 | 162,882,439 | ||
Equity Market Capitalization | $ | 2,606.8 | $ | 2,562.1 |
Kennedy Wilson's Share of Debt | ||||
Kennedy Wilson's share of property debt | 5,355.0 | 5,351.5 | ||
Senior notes payable | 1,800.0 | 1,800.0 | ||
Kennedy Wilson Europe bonds | 502.3 | 508.4 | ||
Credit Facility | 145.7 | 282.0 | ||
Total Kennedy Wilson's share of debt | 7,803.0 | 7,941.9 | ||
Total Capitalization | $ | 10,409.8 | $ | 10,504.0 |
Less: Kennedy Wilson's share of cash | (424.6) | (519.5) | ||
Total Enterprise Value | $ | 9,985.2 | $ | 9,984.5 |
Kennedy Wilson's Share | ||||||
Investments | Description | Occupancy |
Est. Annual NOI(1)
| Page # | ||
Income Producing Assets | ||||||
1 |
Multifamily(2)
|
33,514 units
| 94.0% | $ | 260.2 |
21 |
2 | Office |
9.6 million square feet
| 93.6% | 140.4 |
22 | |
3 | Industrial |
10.4 million square feet
| 98.2% | 14.3 |
23 | |
4 | Retail |
3.2 million square feet
| 91.4% | 24.3 |
24 | |
5 | Hotels |
1 Hotel / 265 Hotel Rooms
| N/A | 20.6 |
25 | |
6 | Loan Investments |
98 loan investments
KW Loan balance of $255.9 million
| N/A | 25.6 |
25 | |
Total Estimated Annual NOI | $ | 485.4 | ||||
Lease-up, Development, and Non-income Producing Assets | KW Gross Asset Value | |||||
7 |
Lease-up Portfolio(3)(4)
|
919 multifamily units
1.4 million office sq. ft.
0.4 million industrial sq. ft.
0.1 million retail sq. ft.
One five-star resort
| 38.6% | $ | 1,074.6 |
26 |
8 |
Development Projects(3)(4)
|
3,066 multifamily units
0.5 million office sq. ft.
| N/A | 679.1 |
27 | |
9 |
Residential and other(3)
|
11 investments
| N/A | 204.5 |
25 | |
Total KW Gross Asset Value | $ | 1,958.2 | ||||
Investment Management | Fee-Bearing Capital | Total | ||||
10 | Investment management |
Asset management fees (TTM)(5)
| $8,200 | $ | 49.3 |
31 |
11 | Investment management | Accrued performance allocations, net | $ | 73.4 | ||
Net Debt, Hedging and KW Share Count | Total | |||||
12 | KW Share of Debt | Secured and Unsecured Debt | $ | 7,803.0 | ||
13 | KW Share of Cash | Cash | (424.6) | |||
Total Net Debt | $ | 7,378.4 |
29 | |||
14 |
KW Share of Interest Rate and Currency Hedging Contracts(6)
| Corporate and Property Level | $ | 86.6 | ||
Total Common stock outstanding and underlying convertible preferred stock | 176,849,673 |
16 |
KW Gross Asset Value | KW Share of Debt |
Investment Account
(GAV - share of debt)
| ||||
Lease-up - Multifamily and Commercial | $ | 1,074.6 | $ | 302.0 | $ | 772.6 |
Development - Multifamily, Commercial, and Hotel
| 679.1 | 262.9 | 416.2 | |||
Residential and other
| 204.5 | 24.8 | 179.7 | |||
Lease-up, Development, and Non-income Producing Assets | $ | 1,958.2 | $ | 589.7 | $ | 1,368.5 |
Pacific Northwest | Southern California | Northern California | Mountain West | Other U.S. | U.K. | Ireland | Italy | Spain | Total | |||||||||||
Multifamily - Market Rate | $ | 51.8 | $ | 26.2 | $ | 20.6 | $ | 89.8 | $ | - | $ | - | $ | 29.8 | $ | - | $ | - | $ | 218.2 |
Multifamily - Affordable | 27.3 | 4.0 | 3.0 | 7.7 | - | - | - | - | - | 42.0 | ||||||||||
Office | 19.2 | 11.8 | 8.7 | 2.4 | - | 59.1 | 33.0 | 6.2 | - | 140.4 | ||||||||||
Industrial | - | - | 0.9 | 0.4 | - | 11.6 | 1.2 | - | 0.2 | 14.3 | ||||||||||
Retail | - | 1.0 | - | 1.9 | - | 9.7 | 5.9 | - | 5.8 | 24.3 | ||||||||||
Hotel | - | - | - | - | - | - | 20.6 | - | - | 20.6 | ||||||||||
Loans | 1.9 | 7.7 | 4.4 | 2.7 | 7.7 | 1.2 | - | - | - | 25.6 | ||||||||||
Total Estimated Annual NOI | $ | 100.2 | $ | 50.7 | $ | 37.6 | $ | 104.9 | $ | 7.7 | $ | 81.6 | $ | 90.5 | $ | 6.2 | $ | 6.0 | $ | 485.4 |
Stabilized Portfolio | ||||||||||
KW Segment | Description | Balance Sheet Classification | Multifamily Units | Commercial Rentable Sq. Ft. | Hotels | Loan Investments | KW Share of Est. Annual NOI |
Fee-Bearing Capital(1)($bn)
| KW Gross Asset Value |
Ownership(2)
|
1) Consolidated | Consists primarily of wholly-owned real estate investments | Consolidated | 9,230 | 5.4 | 1 | - | $282.7 | $- | $4,905.2 | 97% |
2) Co-investment Portfolio: | ||||||||||
~50% owned | Consists primarily of 50/50 investments with partners and our Vintage Housing joint-venture | Unconsolidated | 19,514 | 1.0 | - | - | 142.3 | 1.3 | 2,830.4 | 47% |
Minority-held | Includes fund investments, loans, and other minority-held investments | Unconsolidated | 4,770 | 16.8 | - | 98 | 60.4 | 6.9 | 916.2 | 9% |
Co-investment Portfolio | 24,284 | 17.8 | - | 98 | $202.7 | $8.2 | $3,746.6 | 21% | ||
Total Stabilized Portfolio | 33,514 | 23.2 | 1 | 98 | $485.4 | $8.2 | $8,651.8 | 39% |
Consolidated | Co-Investment (Unconsolidated) | ||||||||||||||||
Multifamily | # of Assets |
Market-Rate Units |
Market-Rate Units |
VHH Affordable Units (5)
|
Total # of Units | Market-Rate Occupancy (Asset Level) |
Market-Rate Occupancy (KW Share) |
VHH Affordable Occupancy | Total Occupancy (KW Share) |
Average Rent(1)(2)(3)
|
KW Share
of Estimated Annual NOI(4)
| ||||||
Mountain West | 44 | 5,712 | 4,210 | 2,273 | 12,195 | 93.6 | % | 93.4 | % | 94.5 | % | 93.6 | % | $ | 1,606 | $ | 97.5 |
Pacific Northwest | 52 | 1,544 | 3,999 | 6,401 | 11,944 | 95.1 | 94.0 | 96.0 | 94.9 | 2,051 | 79.1 | ||||||
Southern California | 13 | 846 | 2,131 | 704 | 3,681 | 94.8 | 95.3 | 96.6 | 95.5 | 2,273 | 30.2 | ||||||
Northern California | 9 | 1,128 | 1,357 | 676 | 3,161 | 93.2 | 92.0 | 98.1 | 92.9 | 2,157 | 23.6 | ||||||
Total Western U.S. | 118 | 9,230 | 11,697 | 10,054 | 30,981 | 94.3 | % | 93.6 | % | 95.8 | % | 94.2 | % | $ | 1,850 | $ | 230.4 |
Ireland(4)
| 10 | - | 2,533 | - | 2,533 | 97.6 | 97.6 | - | 97.6 | 2,545 | 29.8 | ||||||
Total Stabilized | 128 | 9,230 | 14,230 | 10,054 | 33,514 | 94.5 | % | 94.0 | % | 95.8 | % | 94.4 | % | $ | 1,912 | $ | 260.2 |
Lease-up Assets | 3 | - | 758 | 161 | 919 |
See Page 26 for more information
| |||||||||||
Development Projects | 17 | 962 | 500 | 1,604 | 3,066 |
See Page 27 for more information
| |||||||||||
Total | 20 | 962 | 1,258 | 1,765 | 3,985 | ||||||||||||
Total Multifamily | 148 | 10,192 | 15,488 | 11,819 | 37,499 |
Consolidated | Co-Investment (Unconsolidated) | |||||||||||
Office | # of Assets | Rentable Sq. Ft. | Rentable Sq. Ft. |
Total Rentable Sq. Ft. | Occupancy (Asset Level) | Occupancy (KW Share) |
Average Annual Rent per Sq. Ft.(1)
|
Kennedy Wilson's Share of Estimated Annual NOI | ||||
Pacific Northwest(2)
| 3 | 0.6 | 0.6 | 1.2 | 99.0 | % | 99.8 | % | $ | 27.1 | $ | 19.2 |
Southern California(3)
| 6 | 0.2 | 1.3 | 1.5 | 74.7 | 85.8 | 67.7 | 11.8 | ||||
Northern California | 5 | 0.3 | 1.2 | 1.5 | 87.8 | 85.6 | 34.9 | 8.7 | ||||
Mountain West | 5 | - | 1.7 | 1.7 | 85.4 | 85.6 | 20.3 | 2.4 | ||||
Total Western U.S. | 19 | 1.1 | 4.8 | 5.9 | 85.9 | % | 91.8 | % | $ | 35.8 | $ | 42.1 |
United Kingdom(4)
| 10 | 1.5 | 0.5 | 2.0 | 91.1 | 92.8 | 37.9 | 59.1 | ||||
Ireland(4)(5)
| 9 | 0.6 | 0.5 | 1.1 | 95.1 | 94.3 | 46.0 | 33.0 | ||||
Italy(4)
| 6 | 0.6 | - | 0.6 | 100.0 | 100.0 | 12.1 | 6.2 | ||||
Total Europe(4)
| 25 | 2.7 | 1.0 | 3.7 | 93.6 | % | 94.5 | % | $ | 34.8 | $ | 98.3 |
Total Stabilized | 44 | 3.8 | 5.8 | 9.6 | 88.9 | % | 93.6 | % | $ | 35.2 | $ | 140.4 |
Lease-up Assets | 8 | 0.8 | 0.6 | 1.4 |
See page 26 for more information
| |||||||
Development Projects | 4 | 0.1 | 0.4 | 0.5 |
See page 27 for more information
| |||||||
Total | 12 | 0.9 | 1.0 | 1.9 | ||||||||
Total Office | 56 | 4.7 | 6.8 | 11.5 |
Co-Investment (Unconsolidated) | ||||||||||
Industrial | # of Assets | Rentable Sq. Ft. |
Occupancy (Asset Level) |
Occupancy (KW Share) |
Average Annual Rent per Sq. Ft.(1)
|
Kennedy Wilson's Share of Estimated Annual NOI | ||||
Mountain West | 4 | 0.4 | 100.0 | 100.0 | $ | 8.6 | $ | 0.4 | ||
Northern California | 2 | 1.0 | 100.0 | 100.0 | 4.8 | 0.9 | ||||
Total Western U.S. | 6 | 1.4 | 100.0 | % | 100.0 | % | $ | 5.5 | $ | 1.3 |
United Kingdom(2)
| 77 | 8.1 | 96.4 | 97.7 | 8.4 | 11.6 | ||||
Ireland(2)
| 20 | 0.7 | 100.0 | 100.0 | 9.2 | 1.2 | ||||
Spain(2)
| 3 | 0.2 | 100.0 | 100.0 | 5.2 | 0.2 | ||||
Total Europe(2)
| 100 | 9.0 | 96.7 | % | 98.0 | % | $ | 8.4 | $ | 13.0 |
Total Stabilized | 106 | 10.4 | 97.2 | % | 98.2 | % | $ | 8.0 | $ | 14.3 |
Lease-up Assets | 3 | 0.4 |
See page 26 for more information
| |||||||
Development Projects | 4 | TBD |
See page 27 for more information
| |||||||
Total | 7 | 0.4 | ||||||||
Total Industrial | 113 | 10.8 |
Consolidated | Co-Investment (Unconsolidated) | |||||||||||
Retail | # of Assets | Rentable Sq. Ft. | Rentable Sq. Ft. |
Total Rentable Sq. Ft. | Occupancy (Asset Level) | Occupancy (KW Share) |
Average Annual Rent per Sq. Ft.(1)
|
Kennedy Wilson's Share of Estimated Annual NOI | ||||
Southern California | 4 | - | 0.9 | 0.9 | 99.1 | 99.3 | $ | 18.1 | $ | 1.0 | ||
Mountain West | 3 | 0.1 | 0.5 | 0.6 | 87.2 | 82.6 | 13.7 | 1.9 | ||||
Total Western U.S. | 7 | 0.1 | 1.4 | 1.5 | 88.3 | % | 85.6 | % | $ | 14.6 | $ | 2.9 |
United Kingdom(2)
| 10 | 1.1 | 0.1 | 1.2 | 93.7 | 92.8 | 15.7 | 9.7 | ||||
Ireland(2)
| 1 | 0.2 | - | 0.2 | 90.1 | 90.1 | 43.5 | 5.9 | ||||
Spain(2)
| 1 | 0.3 | - | 0.3 | 92.6 | 92.6 | 21.9 | 5.8 | ||||
Total Europe(2)
| 12 | 1.6 | 0.1 | 1.7 | 93.2 | % | 92.4 | % | $ | 20.6 | $ | 21.4 |
Total Stabilized | 19 | 1.7 | 1.5 | 3.2 | 91.7 | % | 91.4 | % | $ | 19.8 | $ | 24.3 |
Lease-up Assets | 1 | 0.1 | - | 0.1 |
See page 26 for more information
| |||||||
Total | 1 | 0.1 | - | 0.1 | ||||||||
Total Retail | 20 | 1.8 | 1.5 | 3.3 |
Hotel | # of Assets | Hotel Rooms |
Average Daily Rate(1)
|
Kennedy Wilson's Share of Estimated Annual NOI | ||
Ireland(2)
| 1 | 265 | $ | 453.9 | $ | 20.6 |
Total Hotel | 1 | 265 | $ | 453.9 | $ | 20.6 |
Lease-up | 1 | 150 |
See page 27 for more information
| |||
Total Hotel | 2 | 415 |
Loan Investments | # of Loans | Average Interest Rate (KW Share) | Loan Balance (KW Share) |
Kennedy Wilson's Share of Annual Interest Income | |||
Southern California | 22 | 10.9 | % | $ | 71.0 | $ | 7.7 |
Northern California | 17 | 9.0 | % | 49.1 | 4.4 | ||
Mountain West | 16 | 8.8 | % | 30.3 | 2.7 | ||
Pacific Northwest | 7 | 8.1 | % | 23.3 | 1.9 | ||
Other U.S. | 32 | 10.8 | % | 71.4 | 7.7 | ||
Total U.S. | 94 | 10.1 | % | $ | 245.1 | $ | 24.4 |
United Kingdom(1)
| 4 | 10.9 | % | 10.8 | 1.2 | ||
Total Loan Investments | 98 | 10.1 | % | $ | 255.9 | $ | 25.6 |
Residential and Other | # of Investments | Total Acres | KW Gross Asset Value | |
Southern California | 1 | 527 | $ | 13.8 |
Hawaii | 1 | 542 | 151.3 | |
Total Western U.S. | 2 | 1,069 | $ | 165.1 |
United Kingdom(1)
| 1 | 1 | 4.1 | |
Total Residential | 3 | 1,070 | $ | 169.2 |
Other Investments | 8 | - | $ | 35.3 |
Total Residential and Other | 11 | 1,070 | $ | 204.5 |
Property | Location | Type | KW Ownership % | # of Assets | Commercial Sq. Ft. | MF Units | Hotel Rooms | Leased % | KW Share Est. Stabilized NOI |
KW Est. Costs to Complete(1)
| KW Gross Asset Value | ||||
2023 | |||||||||||||||
The Oaks | Southern California | Office | 100% | 1 | 357,000 | - | - | 83 | % | $ | 5.6 | $ | 4.2 | $ | 134.7 |
2023 Subtotal | 1 | 357,000 | - | - | 83 | % | $ | 5.6 | $ | 4.2 | $ | 134.7 | |||
2024 | |||||||||||||||
Kona Village | Hawaii | Hotel | 50% | 1 | - | - | 150 | - | % | $ | 22.0 | $ | 3.6 | $ | 367.2 |
Coopers Cross |
Ireland(2)
| Multifamily | 50% | 1 | - | 471 | - | 11 | 6.0 | 1.3 | 134.0 | ||||
Grange |
Ireland(2)
| Multifamily | 50% | 1 | - | 287 | - | 27 | 3.4 | 1.3 | 78.2 | ||||
The Heights Building 4 |
United Kingdom(2)
| Office | 51% | 1 | 80,000 | - | - | 43 | 1.8 | - | 23.7 | ||||
Stockley Park |
United Kingdom(2)
| Office | 100% | 1 | 54,000 | - | - | - | 2.2 | - | 35.4 | ||||
Hamilton Landing H4 & H7 | Northern California | Office | 100% | 1 | 118,000 | - | - | 34 | 3.1 | 7.2 | 33.9 | ||||
Various |
United Kingdom(2)
| Office | 100% | 2 | 281,000 | - | - | 34 | 7.6 | 17.1 | 128.4 | ||||
2024 Subtotal | 8 | 533,000 | 758 | 150 | 32 | % | $ | 46.1 | $ | 30.5 | $ | 800.8 | |||
Total Lease-Up | 9 | 890,000 | 758 | 150 | 52 | % | $ | 51.7 | $ | 34.7 | $ | 935.5 |
If Completed | Current | ||||||||||||
Property | Location | Type | Status | KW Ownership % |
Est. Completion Date(1)
| Est. Stabilization Date | Commercial Sq. Ft. | MF Units |
KW Share Est. Stabilized NOI |
KW Est.
Total Cost(1)
| Est. Yield on Cost |
KW Costs Incurred(2)
|
KW Est. Costs to Complete(1)
|
38° North Phase II | Nor. California | Multifamily | Under Construction | 100% | 2023 | 2024 | - | 172 | 4 | 73 | 6% | 55 | 18 |
Coopers Cross |
Ireland(3)
| Office | Under Construction | 50% | 2023 | 2025 | 395,000 | - | 11 | 162 | 7% | 145 | 17 |
Dovetail | Mountain West | Multifamily | Under Construction | 90% | 2024 | 2024 | - | 240 | 3 | 56 | 5% | 50 | 6 |
Oxbow | Mountain West | Multifamily | Under Construction | 51% | 2024 | 2024 | - | 268 | 2 | 41 | 6% | 35 | 6 |
Two10 | Pacific Northwest | Multifamily | Under Construction | 90% | 2024 | 2024 | - | 210 | 3 | 60 | 5% | 40 | 20 |
38° North Phase III | Nor. California | Multifamily | Under Construction | 100% | 2024 | 2024 | - | 30 | 1 | 13 | 6% | 4 | 9 |
The Cornerstone |
Ireland(3)
| Mixed-Use | Under Construction | 50% | 2024 | 2025 | 20,000 | 232 | 3 | 67 | 5% | 56 | 11 |
University Glen Phase II | So. California | Multifamily | Under Construction | 100% | 2024 | 2025 | - | 310 | 7 | 120 | 6% | 71 | 49 |
Gateway @ The Oaks | So. California | Multifamily | In Planning | 100% | TBD | TBD | - | TBD | TBD | TBD | TBD | 11 | TBD |
Bend | Pacific Northwest | Multifamily | In Planning | 43% | TBD | TBD | - | TBD | TBD | TBD | TBD | 18 | TBD |
415,000 | 1,462 | $ | 34 | $ | 592 | 6% | $ | 485 | $ | 136 |
If Completed | Current | ||||||||||
Property | Location | Status |
Est. Completion Date(1)
| Est. Stabilization Date | MF Units |
Est. Cash to KW(2)
|
KW Share Est. Stabilized NOI | KW Cash Basis | Leased % | ||
The Point | Pacific Northwest | Lease-up | n/a | 2023 | 161 | $ | 1.6 | $ | 1.0 | - | 92 |
Spanish Springs | Mountain West | Under Construction | 2024 | 2025 | 257 | 0.3 | 0.8 | - | - | ||
University Glen | Southern California | Under Construction | 2024 | 2025 | 170 | 1.2 | 0.8 | - | - | ||
Washington Station | Mountain West | Under Construction | 2025 | 2025 | 205 | 0.6 | 0.6 | - | - | ||
Beacon Hill | Pacific Northwest | Under Construction | 2025 | 2025 | 272 | 3.0 | 1.5 | 2.3 | - | ||
Lockwood | Southern California | Under Construction | 2025 | 2025 | 341 | 0.5 | 2.1 | 0.5 | - | ||
Redfield | Mountain West | Under Construction | 2025 | 2025 | 223 | 1.7 | 0.8 | - | - | ||
Folsom | Northern California | In Planning | 2025 | 2025 | 136 | 3.5 | 0.6 | 3.5 | - | ||
1,765 | $ | 12.4 | $ | 8.2 | $ | 6.3 |
Consolidated @ KW Share | Unconsolidated @ KW Share | |||||||||||
Maturity |
Secured(1)
|
Kennedy Wilson Europe Unsecured Bonds(2)
|
KW Unsecured Debt(3)
| Unconsolidated Secured | Vintage Housing | KW Share | ||||||
2023 | $ | 73.4 | $ | - | $ | - | $ | 19.4 | $ | 1.0 | $ | 93.8 |
2024 | 203.0 | - | - | 159.1 | 41.9 |
(6)
| 404.0 | |||||
2025 | 222.6 | 502.3 | 145.7 | 323.0 | 21.5 | 1,215.1 | ||||||
2026 | 517.2 | - | - | 440.7 | 46.9 | 1,004.8 | ||||||
2027 | 359.7 | - | - | 293.6 | 4.7 | 658.0 | ||||||
2028 | 337.0 | - | - | 234.5 | 15.6 | 587.1 | ||||||
2029 | 180.0 | - | 600.0 | 349.9 | 16.4 | 1,146.3 | ||||||
2030 | 197.4 | - | 600.0 | 18.7 | 12.7 | 828.8 | ||||||
2031 | 525.5 | - | 600.0 | 94.1 | 5.2 | 1,224.8 | ||||||
2032 | 40.1 | - | - | 66.6 | 5.5 | 112.2 | ||||||
Thereafter | 102.5 | - | - | 52.0 | 373.6 | 528.1 | ||||||
Total | $ | 2,758.4 | $ | 502.3 | $ | 1,945.7 | $ | 2,051.6 | $ | 545.0 | $ | 7,803.0 |
Cash | (142.0) | (15.5) | (166.9) | (85.0) | (15.2) | (424.6) | ||||||
Net Debt | $ | 2,616.4 | $ | 486.8 | $ | 1,778.8 | $ | 1,966.6 | $ | 529.8 | $ | 7,378.4 |
Effective Interest Rate(4)
| 4.1% | 3.3% | 4.8% | 4.4% | 5.0% | 4.3% | ||||||
Years to Maturity(5)
| 4.7 | 2.1 | 6.1 | 4.0 | 13.9 | 5.4 | ||||||
KW Share of Debt | ||||||||
Fixed Rate Debt | Floating with Interest Hedges | Floating without Interest Hedges | Total KW Share of Debt | |||||
Secured Investment Level Debt | $ | 3,274.5 | $ | 2,080.5 | $ | - | $ | 5,355.0 |
Kennedy Wilson Europe Unsecured Bonds | 502.3 | - | - | 502.3 | ||||
KW Unsecured Debt | 1,800.0 | 145.7 | - | 1,945.7 | ||||
Total | $ | 5,576.8 | $ | 2,226.2 | $ | - | $ | 7,803.0 |
% of Total Debt | 71 | % | 29 | % | - | % | 100 | % |
KW Share of Secured Investment Debt | ||||||||||||||||
Multifamily | Office | Industrial | Retail | Hotels | Residential and Other | Total | % of KW Share | |||||||||
Pacific Northwest | $ | 989.9 | $ | 107.0 | $ | - | $ | 3.3 | $ | - | $ | - | $ | 1,100.2 | 21 | % |
Southern California | 324.4 | 144.8 | - | 4.3 | - | - | 473.5 | 9 | % | |||||||
Northern California | 347.4 | 85.9 | 9.6 | - | - | - | 442.9 | 8 | % | |||||||
Mountain West | 1,249.0 | 20.9 | 4.0 | 12.0 | - | - | 1,285.9 | 23 | % | |||||||
Hawaii | - | - | - | - | 125.0 | 24.8 | 149.8 | 3 | % | |||||||
Total Western US | $ | 2,910.7 | $ | 358.6 | $ | 13.6 | $ | 19.6 | $ | 125.0 | $ | 24.8 | $ | 3,452.3 | 64 | % |
United Kingdom | $ | - | $ | 567.6 | $ | 167.1 | $ | 29.3 | $ | - | $ | - | $ | 764.0 | 14 | % |
Ireland | 565.2 | 474.5 | 9.5 | 49.1 | - | - | 1,098.3 | 21 | % | |||||||
Spain | - | - | 4.2 | 36.2 | - | - | 40.4 | 1 | % | |||||||
Total Europe | $ | 565.2 | $ | 1,042.1 | $ | 180.8 | $ | 114.6 | $ | - | $ | - | $ | 1,902.7 | 36 | % |
Total | $ | 3,475.9 | $ | 1,400.7 | $ | 194.4 | $ | 134.2 | $ | 125.0 | $ | 24.8 | $ | 5,355.0 | 100 | % |
% of Total Debt | 65 | % | 26 | % | 4 | % | 3 | % | 2 | % | - | % | 100 | % |
Adjusted Fees | ||||||||
Q3 | YTD | |||||||
Fee Description | 2023 | 2022 | 2023 | 2022 | ||||
Investment Management - Base | $ | 15.0 | $ | 11.1 | $ | 38.0 | $ | 33.0 |
Investment Management - Acquisition/Disposition | 0.5 | 0.2 | 7.8 | 0.9 | ||||
Investment Management - Performance Allocations: | ||||||||
Unrealized | (17.9) | (21.2) | (36.3) | (5.4) | ||||
Realized | - | 6.8 | - | 6.8 | ||||
Amounts reclassified from Unrealized to Realized | - | (3.6) | - | (0.9) | ||||
Total - Investment Management - Performance Allocations | (17.9) | (18.0) | (36.3) | 0.5 | ||||
Property Services | 0.7 | 0.5 | 1.6 | 1.3 | ||||
Total Adjusted Fees(2)
| $ | (1.7) | $ | (6.2) | $ | 11.1 | $ | 35.7 |
Three Months Ended September 30, | Units | Average Occupancy % | Total Revenues | Total Operating Expenses | Net Operating Income | ||||||||||||||||||||
2023 vs. 2022 | 2023 | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | ||||||||||||
Market Rate Portfolio | |||||||||||||||||||||||||
Region: | |||||||||||||||||||||||||
Mountain West | 7,403 | 93.2 | % | 92.7 | % | 0.4 | % | $ | 30.4 | $ | 29.0 | 4.8 | % | $ | 10.1 | $ | 9.6 | 4.4 | % | $ | 20.3 | $ | 19.4 | 5.0 | % |
Pacific Northwest | 4,195 | 93.3 | 93.0 | 0.4 | % | 18.6 | 17.8 | 4.4 | 6.6 | 6.2 | 6.1 | 12.0 | 11.6 | 3.5 | |||||||||||
Southern California | 1,898 | 94.3 | 94.2 | 0.1 | % | 9.5 | 9.2 | 2.5 | 3.5 | 3.3 | 6.3 | 5.9 | 5.9 | 0.4 | |||||||||||
Northern California | 1,670 | 90.4 | 92.4 | (2.2) | 8.5 | 8.6 | (0.8) | 3.7 | 3.4 | 8.3 | 4.9 | 5.2 | (6.7) | ||||||||||||
Western U.S. | 15,166 | 93.0 | % | 92.9 | % | 0.1 | % | $ | 67.0 | $ | 64.6 | 3.6 | % | $ | 23.9 | $ | 22.5 | 5.8 | % | $ | 43.1 | $ | 42.1 | 2.5 | % |
Ireland | 2,497 | 98.6 | 98.3 | 0.4 | 8.9 | 8.6 | 3.4 | 2.0 | 2.0 | (0.2) | 6.9 | 6.6 | 4.5 | ||||||||||||
Market Rate Total | 17,663 | 93.6 | % | 93.5 | % | 0.1 | % | $ | 75.9 | $ | 73.2 | 3.6 | % | $ | 25.9 | $ | 24.5 | 5.3 | % | $ | 50.0 | $ | 48.7 | 2.8 | % |
Affordable Portfolio | |||||||||||||||||||||||||
Region: | |||||||||||||||||||||||||
Pacific Northwest | 5,977 | 96.4 | % | 96.6 | % | (0.2) | % | $ | 9.5 | $ | 8.9 | 7.1 | % | $ | 3.4 | $ | 2.9 | 16.8 | % | $ | 6.2 | $ | 6.0 | 2.4 | % |
Mountain West | 1,592 | 96.1 | 97.7 | (1.6) | 2.1 | 2.0 | 6.4 | 0.7 | 0.7 | 8.3 | 1.4 | 1.3 | 5.5 | ||||||||||||
Southern California | 704 | 97.4 | 98.2 | (0.8) | 1.3 | 1.3 | 6.3 | 0.4 | 0.3 | 9.4 | 1.0 | 0.9 | 5.2 | ||||||||||||
Northern California | 676 | 97.8 | 98.6 | (0.8) | 1.1 | 1.0 | 8.6 | 0.4 | 0.3 | 12.1 | 0.8 | 0.7 | 7.0 | ||||||||||||
Affordable Total | 8,949 | 96.5 | % | 97.1 | % | (0.5) | % | $ | 14.0 | $ | 13.2 | 7.0 | % | $ | 4.9 | $ | 4.2 | 14.5 | % | $ | 9.4 | $ | 8.9 | 3.5 | % |
Total | 26,612 | 94.2 | % | 94.2 | % | - | % | $ | 89.9 | $ | 86.4 | 4.1 | % | $ | 30.8 | $ | 28.7 | 6.6 | % | $ | 59.4 | $ | 57.6 | 2.9 | % |
Total Same Property Units | 26,612 | ||||||||||||||||||||||||
Excluded from Same-Property analysis: | |||||||||||||||||||||||||
Units acquired or stabilized after 7/1/22 | 2,132 | ||||||||||||||||||||||||
Minority-held units | 4,770 | ||||||||||||||||||||||||
Total Stabilized Units | 33,514 |
Nine Months Ended September 30, | Units | Average Occupancy % | Total Revenues | Total Operating Expenses | Net Operating Income | ||||||||||||||||||||
2023 vs. 2022 | 2023 | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | ||||||||||||
Market Rate Portfolio | |||||||||||||||||||||||||
Region: | |||||||||||||||||||||||||
Mountain West | 5,609 | 93.1 | % | 93.5 | % | (0.5) | % | $ | 69.0 | $ | 65.1 | 6.0 | % | $ | 21.6 | $ | 20.8 | 3.7 | % | $ | 47.5 | $ | 44.3 | 7.1 | % |
Pacific Northwest | 3,974 | 93.4 | 93.7 | (0.3) | % | 53.0 | 49.9 | 6.1 | 18.7 | 17.8 | 5.0 | 34.3 | 32.2 | 6.7 | |||||||||||
Southern California | 1,898 | 94.0 | 95.0 | (1.0) | % | 28.1 | 27.6 | 1.9 | 10.3 | 9.6 | 7.4 | 17.8 | 18.0 | (1.0) | |||||||||||
Northern California | 1,670 | 90.8 | 93.4 | (2.8) | 25.4 | 26.1 | (2.7) | 10.5 | 9.6 | 8.9 | 15.0 | 16.5 | (9.5) | ||||||||||||
Western U.S. | 13,151 | 93.0 | % | 93.8 | % | (0.8) | % | $ | 175.5 | $ | 168.7 | 4.0 | % | $ | 61.1 | $ | 57.8 | 5.6 | % | $ | 114.6 | $ | 111.0 | 3.2 | % |
Ireland | 2,497 | 98.5 | 97.4 | 1.5 | 26.6 | 25.4 | 4.5 | 6.1 | 5.7 | 7.1 | 20.5 | 19.8 | 3.8 | ||||||||||||
Market Rate Total | 15,648 | 93.6 | % | 94.2 | % | (0.6) | % | $ | 202.1 | $ | 194.1 | 4.1 | % | $ | 67.2 | $ | 63.5 | 5.7 | % | $ | 135.1 | $ | 130.8 | 3.3 | % |
Affordable Portfolio | |||||||||||||||||||||||||
Region: | |||||||||||||||||||||||||
Pacific Northwest | 5,623 | 96.5 | % | 97.3 | % | (0.7) | % | $ | 26.1 | $ | 24.0 | 9.0 | % | $ | 9.1 | $ | 7.9 | 16.1 | % | $ | 17.0 | $ | 16.1 | 5.6 | % |
Mountain West | 1,592 | 96.1 | 97.7 | (1.6) | 6.3 | 5.9 | 6.9 | 2.1 | 1.8 | 15.0 | 4.2 | 4.1 | 3.4 | ||||||||||||
Southern California | 704 | 97.4 | 98.2 | (0.8) | 4.0 | 3.8 | 6.1 | 1.0 | 0.9 | 11.5 | 3.0 | 2.8 | 4.4 | ||||||||||||
Northern California | 676 | 97.8 | 98.6 | (0.8) | 3.2 | 3.0 | 6.6 | 1.1 | 0.9 | 14.2 | 2.1 | 2.1 | 3.1 | ||||||||||||
Affordable Total | 8,595 | 96.6 | % | 97.5 | % | (0.9) | % | $ | 39.6 | $ | 36.7 | 8.2 | % | $ | 13.3 | $ | 11.5 | 15.4 | % | $ | 26.3 | $ | 25.1 | 4.9 | % |
Total | 24,243 | 94.3 | % | 94.9 | % | (0.6) | % | $ | 241.7 | $ | 230.8 | 4.7 | % | $ | 80.5 | $ | 75.0 | 7.4 | % | $ | 161.4 | $ | 155.9 | 3.5 | % |
Total Same Property Units | 24,243 | ||||||||||||||||||||||||
Excluded from Same-Property analysis: | |||||||||||||||||||||||||
Units acquired or stabilized after 1/1/22 | 4,501 | ||||||||||||||||||||||||
Minority-held units | 4,770 | ||||||||||||||||||||||||
Total Stabilized Units | 33,514 |
Three Months Ended September 30, | Square Feet | Average Occupancy % | Total Revenues | Total Operating Expenses | Net Operating Income | ||||||||||||||||||||
2023 vs. 2022 | 2023 | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | ||||||||||||
Region: | |||||||||||||||||||||||||
Pacific Northwest | 0.6 | 100.0 | % | 100.0 | % | - | % | $ | 4.3 | $ | 4.3 | 0.9 | % | $ | 0.8 | $ | 0.8 | 1.3 | % | $ | 3.6 | $ | 3.5 | 0.8 | % |
Southern California | 0.2 | 90.5 | 92.1 | (1.8) | 2.8 | 2.7 | 3.3 | 1.0 | 1.0 | (2.6) | 1.8 | 1.7 | 6.9 | ||||||||||||
Northern California | 0.3 | 84.5 | 83.0 | 1.8 | 2.7 | 2.7 | 1.5 | 1.2 | 1.1 | 5.7 | 1.5 | 1.6 | (1.6) | ||||||||||||
Western U.S. | 1.1 | 94.2 | % | 94.1 | % | 0.2 | % | 9.8 | 9.7 | 1.7 | % | 3.0 | 2.9 | 1.6 | % | 6.9 | 6.8 | 1.8 | % | ||||||
United Kingdom | 2.0 | 93.1 | 92.5 | 0.7 | 13.2 | 13.1 | 0.4 | 1.1 | 0.9 | 17.6 | 12.1 | 12.2 | (0.9) | ||||||||||||
Ireland | 0.9 | 96.0 | 96.0 | - | 7.0 | 6.6 | 5.7 | 0.2 | 0.2 | (1.5) | 6.8 | 6.4 | 5.9 | ||||||||||||
Italy | 0.6 | 100.0 | 100.0 | - | 1.8 | 2.2 | (19.9) | 0.2 | 0.2 | 33.7 | 1.5 | 2.0 | (24.6) | ||||||||||||
Europe | 3.5 | 95.1 | % | 94.7 | % | 0.4 | % | 22.0 | 21.9 | (0.1) | % | 1.5 | 1.3 | 16.9 | % | 20.4 | 20.6 | (1.1) | % | ||||||
Total | 4.6 | 94.9 | % | 94.5 | % | 0.3 | % | $ | 31.8 | $ | 31.6 | 0.5 | % | $ | 4.5 | $ | 4.2 | 6.3 | % | $ | 27.3 | $ | 27.4 | (0.4) | % |
Total Same Property Square Feet | 4.6 | ||||||||||||||||||||||||
Excluded from Same-Property analysis: | |||||||||||||||||||||||||
Assets acquired or stabilized after 1/1/22 or occupied by KW | 0.1 | ||||||||||||||||||||||||
Minority-held office properties | 4.9 | ||||||||||||||||||||||||
Total Stabilized Square Feet | 9.6 |
Nine Months Ended September 30, | Square Feet | Average Occupancy % | Total Revenues | Total Operating Expenses | Net Operating Income | ||||||||||||||||||||
2023 vs. 2022 | 2023 | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | ||||||||||||
Region: | |||||||||||||||||||||||||
Pacific Northwest | 0.6 | 100.0 | % | 100.0 | % | - | % | $ | 13.0 | $ | 12.9 | 0.8 | % | $ | 2.3 | $ | 2.4 | (4.2) | % | $ | 10.6 | $ | 10.4 | 1.9 | % |
Southern California | 0.2 | 90.1 | 92.1 | (2.2) | 8.4 | 8.3 | 1.2 | 3.1 | 3.0 | 4.3 | 5.3 | 5.3 | (0.5) | ||||||||||||
Northern California | 0.3 | 83.1 | 79.5 | 4.5 | 7.1 | 7.4 | (3.5) | 3.5 | 3.0 | 15.6 | 3.6 | 4.4 | (16.8) | ||||||||||||
Western U.S. | 1.1 | 93.8 | % | 93.1 | % | 0.7 | % | 28.5 | 28.6 | (0.2) | % | 8.9 | 8.4 | 5.9 | % | 19.5 | 20.1 | (2.8) | % | ||||||
United Kingdom | 1.8 | 92.8 | 90.6 | 2.4 | 36.7 | 35.1 | 4.4 | 2.5 | 2.8 | (9.8) | 34.2 | 32.4 | 5.6 | ||||||||||||
Ireland | 0.8 | 95.8 | 96.7 | (1.0) | 19.0 | 18.1 | 5.4 | 0.5 | 0.4 | 2.0 | 18.6 | 17.6 | 5.5 | ||||||||||||
Italy | 0.6 | 100.0 | 100.0 | - | 5.2 | 6.6 | (20.8) | 0.8 | 0.7 | 17.0 | 4.4 | 5.8 | (25.5) | ||||||||||||
Europe | 3.2 | 95.0 | % | 94.0 | % | 1.1 | % | 60.9 | 59.8 | 2.0 | % | 3.8 | 3.9 | (3.5) | % | 57.2 | 55.8 | 2.3 | % | ||||||
Total | 4.3 | 94.7 | % | 93.7 | % | 1.0 | % | $ | 89.4 | $ | 88.4 | 1.3 | % | $ | 12.7 | $ | 12.3 | 2.9 | % | $ | 76.7 | $ | 75.9 | 1.0 | % |
Total Same Property Square Feet | 4.3 | ||||||||||||||||||||||||
Excluded from Same-Property analysis: | |||||||||||||||||||||||||
Assets acquired or stabilized after 1/1/22 or occupied by KW | 0.3 | ||||||||||||||||||||||||
Minority-held office properties | 5.0 | ||||||||||||||||||||||||
Total Stabilized Square Feet | 9.6 |
Three Months Ended September 30, | Square Feet | Average Occupancy % | Total Revenues | Total Operating Expenses | Net Operating Income | ||||||||||||||||||||
2023 vs. 2022 | 2023 | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | ||||||||||||
Region: | |||||||||||||||||||||||||
Pacific Northwest | 0.6 | 100.0 | % | 100.0 | % | - | % | $ | 4.7 | $ | 4.6 | 3.1 | % | $ | 0.8 | $ | 0.8 | 1.3 | % | $ | 4.0 | $ | 3.8 | 3.5 | % |
Southern California | 0.2 | 90.5 | 92.1 | (1.8) | 2.5 | 2.7 | (7.8) | 1.0 | 1.0 | (2.6) | 1.5 | 1.7 | (10.9) | ||||||||||||
Northern California | 0.3 | 84.5 | 83.0 | 1.8 | 2.0 | 2.4 | (14.5) | 1.2 | 1.1 | 5.7 | 0.9 | 1.3 | (32.2) | ||||||||||||
Western U.S. | 1.1 | 94.2 | % | 94.1 | % | 0.2 | % | 9.2 | 9.7 | (4.3) | % | 3.0 | 2.9 | 1.6 | % | 6.4 | 6.8 | (6.8) | % | ||||||
United Kingdom | 2.0 | 93.1 | 92.5 | 0.7 | 13.1 | 11.9 | 10.0 | 1.1 | 0.9 | 17.6 | 12.1 | 11.0 | 9.4 | ||||||||||||
Ireland | 0.9 | 96.0 | 96.0 | - | 6.8 | 6.3 | 7.9 | 0.2 | 0.2 | (1.5) | 6.6 | 6.1 | 8.2 | ||||||||||||
Italy | 0.6 | 100.0 | 100.0 | - | 1.8 | 2.2 | (19.9) | 0.2 | 0.2 | 33.7 | 1.5 | 2.0 | (24.6) | ||||||||||||
Europe | 3.5 | 95.1 | % | 94.7 | % | 0.4 | % | 21.7 | 20.4 | 6.1 | % | 1.5 | 1.3 | 16.9 | % | 20.2 | 19.1 | 5.4 | % | ||||||
Total | 4.6 | 94.9 | % | 94.5 | % | 0.3 | % | $ | 30.9 | $ | 30.1 | 2.8 | % | $ | 4.5 | $ | 4.2 | 6.3 | % | $ | 26.6 | $ | 25.9 | 2.2 | % |
Total Same Property Square Feet | 4.6 | ||||||||||||||||||||||||
Excluded from Same-Property analysis: | |||||||||||||||||||||||||
Assets acquired or stabilized after 1/1/22 or occupied by KW | 0.1 | ||||||||||||||||||||||||
Minority-held office properties | 4.9 | ||||||||||||||||||||||||
Total Stabilized Square Feet | 9.6 |
Nine Months Ended September 30, | Square Feet | Average Occupancy % | Total Revenues | Total Operating Expenses | Net Operating Income | ||||||||||||||||||||
2023 vs. 2022 | 2023 | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | 2023 | 2022 | % Change | ||||||||||||
Region: | |||||||||||||||||||||||||
Pacific Northwest | 0.6 | 100.0 | % | 100.0 | % | - | % | $ | 14.2 | $ | 13.7 | 3.9 | % | $ | 2.3 | $ | 2.4 | (4.2) | % | $ | 11.9 | $ | 11.2 | 5.6 | % |
Southern California | 0.2 | 90.1 | 92.1 | (2.2) | 7.6 | 8.3 | (8.1) | 3.1 | 3.0 | 4.3 | 4.4 | 5.2 | (15.3) | ||||||||||||
Northern California | 0.3 | 83.1 | 79.5 | 4.5 | 6.7 | 7.0 | (5.0) | 3.5 | 3.0 | 15.6 | 3.1 | 4.0 | (20.8) | ||||||||||||
Western U.S. | 1.1 | 93.8 | % | 93.1 | % | 0.7 | % | 28.5 | 29.0 | (1.7) | % | 8.9 | 8.4 | 5.9 | % | 19.4 | 20.4 | (4.9) | % | ||||||
United Kingdom | 1.8 | 92.8 | 90.6 | 2.4 | 35.8 | 32.4 | 10.4 | 2.5 | 2.8 | (9.8) | 33.3 | 29.6 | 12.2 | ||||||||||||
Ireland | 0.8 | 95.8 | 96.7 | (1.0) | 19.5 | 18.9 | 3.4 | 0.5 | 0.4 | 2.0 | 19.1 | 18.4 | 3.5 | ||||||||||||
Italy | 0.6 | 100.0 | 100.0 | - | 5.2 | 6.6 | (20.8) | 0.8 | 0.7 | 17.0 | 4.4 | 5.8 | (25.5) | ||||||||||||
Europe | 3.2 | 95.0 | % | 94.0 | % | 1.1 | % | 60.5 | 57.9 | 4.6 | % | 3.8 | 3.9 | (3.5) | % | 56.8 | 53.8 | 5.2 | % | ||||||
Total | 4.3 | 94.7 | % | 93.7 | % | 1.0 | % | $ | 89.0 | $ | 86.9 | 25.5 | % | $ | 12.7 | $ | 12.3 | 2.9 | % | $ | 76.2 | $ | 74.2 | 2.4 | % |
Total Same Property Square Feet | 4.3 | ||||||||||||||||||||||||
Excluded from Same-Property analysis: | |||||||||||||||||||||||||
Assets acquired or stabilized after 1/1/22 or occupied by KW | 0.3 | ||||||||||||||||||||||||
Minority-held office properties | 5.0 | ||||||||||||||||||||||||
Total Stabilized Square Feet | 9.6 |
100% | Kennedy Wilson's Share | ||||||||
Acquisitions | Real Estate Aggregate Purchase Price |
Cap Rate(1)
| Loan Purchases/Originations |
Annual Return on Loans(4)
| Real Estate Pro-Rata Purchase Price |
Cap Rate(2)(4)
| Loan Purchases/Originations |
Annual Return on Loans(4)
|
KW Ownership(3)
|
Q3-23 | |||||||||
Western U.S. | $94.0 | 6.0% | $212.3 | 12.8% | $9.4 | 6.0% | $10.6 | 14.1% | 6.5% |
Europe | 37.1 | 5.3% | - | -% | 8.1 | 5.3% | - | -% | 21.7% |
Total | $131.1 | 5.8% | $212.3 | 12.8% | $17.5 | 5.7% | $10.6 | 14.1% | 8.2% |
YTD | |||||||||
Western U.S. | $94.0 | 6.0% | $2,329.3 | 11.3% | $9.4 | 6.0% | $111.7 | 12.6% | 5.0% |
Europe | 54.3 | 5.2% | - | -% | 11.5 | 5.2% | - | 21.2% | |
Total | $148.3 | 5.7% | $2,329.3 | 11.3% | $20.9 | 5.6% | $111.7 | 12.6% | 5.4% |
100% | Kennedy Wilson's Share | |||||||
Dispositions |
Real Estate Aggregate Sale Price |
Cap Rate(1)
| Loan Repayments | Real Estate Pro-Rata Sale Price |
Cap Rate(2)(4)
| Loan Repayments |
KW Ownership(3)
| |
Q3-23 | ||||||||
Western U.S. | $72.2 | 5.6% | $375.5 | $58.3 | 5.7% | $24.6 | 18.5% | |
Europe | 43.7 | 10.7% | - | 43.7 | 10.7% | - | 100.0% | |
Total | $115.9 | 7.5% | $ | 375.5 | $102.0 | 7.8% | $24.6 | 25.8% |
YTD | ||||||||
Western U.S. | $455.7 | 5.2% | $531.1 | $333.3 | 5.2% | $34.4 | 37.3% | |
Europe | 163.4 | 8.2% | - | 95.4 | 9.4% | - | 58.4% | |
Total | $619.1 | 5.9% | $531.1 | $428.7 | 6.2% | $34.4 | 40.3% |
Three Months Ended September 30, 2023 | ||||||||
Consolidated | Co-Investment | Corporate | Total | |||||
Revenue | ||||||||
Rental | $ | 102.4 | $ | - | $ | - | $ | 102.4 |
Hotel | 16.6 | - | - | 16.6 | ||||
Investment management fees | - | 15.5 | - | 15.5 | ||||
Property services fees | - | - | 0.7 | 0.7 | ||||
Loans and other | - | 6.1 | - | 6.1 | ||||
Total revenue | 119.0 | 21.6 | 0.7 | 141.3 | ||||
Loss from unconsolidated investments | ||||||||
Principal co-investments | - | (56.1) | - | (56.1) | ||||
Performance allocations | - | (17.9) | - | (17.9) | ||||
Loss from unconsolidated investments | - | (74.0) | - | (74.0) | ||||
Gain on sale of real estate, net | 30.4 | - | - | 30.4 | ||||
Expenses | ||||||||
Rental | 38.4 | - | - | 38.4 | ||||
Hotel | 9.8 | - | - | 9.8 | ||||
Compensation and related (including $7.3 of share-based compensation)
| 13.2 | 5.5 | 12.4 | 31.1 | ||||
Performance allocation compensation | - | (6.0) | - | (6.0) | ||||
General and administrative | 4.8 | 1.9 | 1.7 | 8.4 | ||||
Depreciation and amortization | 38.8 | - | - | 38.8 | ||||
Total expenses | 105.0 | 1.4 | 14.1 | 120.5 | ||||
Interest expense | (40.8) | - | (23.4) | (64.2) | ||||
Loss on early extinguishment of debt | - | - | - | - | ||||
Other (loss) income | (4.9) | - | 8.1 | 3.2 | ||||
Loss before benefit from income taxes | (1.3) | (53.8) | (28.7) | (83.8) | ||||
Benefit from income taxes | 0.7 | - | 19.0 | 19.7 | ||||
Net loss | (0.6) | (53.8) | (9.7) | (64.1) | ||||
Net income attributable to noncontrolling interests | (17.3) | - | - | (17.3) | ||||
Preferred dividends | - | - | (10.8) | (10.8) | ||||
Net loss attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | (17.9) | $ | (53.8) | $ | (20.5) | $ | (92.2) |
Add back (less) (Kennedy Wilson's Share): | ||||||||
Interest expense | $ | 40.2 | $ | 25.8 | $ | 23.4 | $ | 89.4 |
Loss on early extinguishment of debt | - | - | - | - | ||||
Depreciation and amortization | 37.4 | 0.8 | - | 38.2 | ||||
Benefit from income taxes | (0.7) | (0.6) | (19.0) | (20.3) | ||||
Share-based compensation | - | - | 7.3 | 7.3 | ||||
Preferred Dividends | - | - | 10.8 | 10.8 | ||||
Fees eliminated in consolidation | - | - | - | - | ||||
Adjusted EBITDA | $ | 59.0 | $ | (27.8) | $ | 2.0 | $ | 33.2 |
Nine Months Ended September 30, 2023 | ||||||||
Consolidated | Co-Investment | Corporate | Total | |||||
Revenue | ||||||||
Rental | $ | 315.6 | $ | - | $ | - | $ | 315.6 |
Hotel | 42.7 | - | - | 42.7 | ||||
Investment management fees | - | 45.6 | - | 45.6 | ||||
Property services fees | - | - | 1.6 | 1.6 | ||||
Loans and other | - | 14.5 | - | 14.5 | ||||
Total revenue | 358.3 | 60.1 | 1.6 | 420.0 | ||||
Loss from unconsolidated investments | ||||||||
Principal co-investments | - | (33.4) | - | (33.4) | ||||
Performance allocations | - | (36.3) | - | (36.3) | ||||
Loss from unconsolidated investments | - | (69.7) | - | (69.7) | ||||
Gain on sale of real estate, net | 138.6 | - | - | 138.6 | ||||
Expenses | ||||||||
Rental | 113.7 | - | - | 113.7 | ||||
Hotel | 27.4 | - | - | 27.4 | ||||
Compensation and related (including $21.7 of share-based compensation)
| 36.4 | 24.0 | 38.3 | 98.7 | ||||
Performance allocation compensation | - | (5.5) | - | (5.5) | ||||
General and administrative | 12.7 | 7.6 | 5.2 | 25.5 | ||||
Depreciation and amortization | 118.3 | - | - | 118.3 | ||||
Total expenses | 308.5 | 26.1 | 43.5 | 378.1 | ||||
Interest expense | (119.0) | - | (73.5) | (192.5) | ||||
Loss on early extinguishment of debt | (1.6) | - | - | (1.6) | ||||
Other income | 7.1 | - | 17.4 | 24.5 | ||||
Income (loss) before (provision for) benefit from income taxes | 74.9 | (35.7) | (98.0) | (58.8) | ||||
(Provision for) benefit from income taxes | (7.3) | - | 20.6 | 13.3 | ||||
Net income (loss) | 67.6 | (35.7) | (77.4) | (45.5) | ||||
Net income attributable to noncontrolling interests | (21.4) | - | - | (21.4) | ||||
Preferred dividends | - | - | (27.1) | (27.1) | ||||
Net income (loss) attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | 46.2 | $ | (35.7) | $ | (104.5) | $ | (94.0) |
Add back (less) (Kennedy Wilson's Share): | ||||||||
Interest expense | $ | 117.2 | $ | 68.9 | $ | 73.5 | $ | 259.6 |
Loss on early extinguishment of debt | 1.6 | - | - | 1.6 | ||||
Depreciation and amortization | 114.5 | 2.4 | - | 116.9 | ||||
Provision for (benefit from) income taxes | 7.3 | (0.4) | (20.6) | (13.7) | ||||
Share-based compensation | - | - | 21.7 | 21.7 | ||||
Preferred dividends | - | - | 27.1 | 27.1 | ||||
Fees eliminated in consolidation | (0.2) | 0.2 | - | - | ||||
Adjusted EBITDA | $ | 286.6 | $ | 35.4 | $ | (2.8) | $ | 319.2 |
Three Months Ended September 30, 2022 | ||||||||
Consolidated | Co-Investment | Corporate | Total | |||||
Revenue | ||||||||
Rental | $ | 110.9 | $ | - | $ | - | $ | 110.9 |
Hotel | 14.0 | - | - | 14.0 | ||||
Investment management fees | - | 11.2 | - | 11.2 | ||||
Property services fees | - | - | 0.5 | 0.5 | ||||
Loans and other | - | 3.0 | - | 3.0 | ||||
Total revenue | 124.9 | 14.2 | 0.5 | 139.6 | ||||
Income (loss) from unconsolidated investments | ||||||||
Principal co-investments | - | 30.3 | - | 30.3 | ||||
Performance allocations | - | (18.0) | - | (18.0) | ||||
Income from unconsolidated investments | - | 12.3 | - | 12.3 | ||||
Gain on sale of real estate, net | 37.0 | - | - | 37.0 | ||||
Expenses | ||||||||
Rental | 38.6 | - | - | 38.6 | ||||
Hotel | 8.6 | - | - | 8.6 | ||||
Compensation and related (includes $7.3 of share-based compensation)
| 11.8 | 8.8 | 13.2 | 33.8 | ||||
Performance allocation compensation | - | (6.6) | - | (6.6) | ||||
General and administrative | 4.2 | 3.1 | 1.9 | 9.2 | ||||
Depreciation and amortization | 46.1 | - | - | 46.1 | ||||
Total expenses | 109.3 | 5.3 | 15.1 | 129.7 | ||||
Interest expense | (33.1) | - | (24.0) | (57.1) | ||||
Loss on early extinguishment of debt | (1.3) | - | - | (1.3) | ||||
Other income | 23.8 | - | 12.9 | 36.7 | ||||
Income (loss) before provision for income taxes | 42.0 | 21.2 | (25.7) | 37.5 | ||||
Provision for income taxes | (12.2) | - | (1.7) | (13.9) | ||||
Net income (loss) | 29.8 | 21.2 | (27.4) | 23.6 | ||||
Net loss attributable to noncontrolling interests | 0.7 | - | - | 0.7 | ||||
Preferred dividends | - | - | (7.9) | (7.9) | ||||
Net (loss) income attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | 30.5 | $ | 21.2 | $ | (35.3) | $ | 16.4 |
Add back (less) (Kennedy Wilson's Share): | ||||||||
Interest expense | $ | 32.3 | $ | 16.6 | $ | 24.0 | $ | 72.9 |
Loss on early extinguishment of debt | 1.3 | - | - | 1.3 | ||||
Depreciation and amortization | 44.2 | 0.8 | - | 45.0 | ||||
Provision for income taxes | 11.5 | 1.9 | 1.7 | 15.1 | ||||
Share-based compensation | - | - | 7.3 | 7.3 | ||||
Preferred dividends | - | - | 7.9 | 7.9 | ||||
Fees eliminated in consolidation | (0.2) | 0.2 | - | - | ||||
Adjusted EBITDA | $ | 119.6 | $ | 40.7 | $ | 5.6 | $ | 165.9 |
Nine Months Ended September 30, 2022 | ||||||||
Consolidated | Co-Investment | Corporate | Total | |||||
Revenue | ||||||||
Rental | $ | 324.4 | $ | - | $ | - | $ | 324.4 |
Hotel | 33.2 | - | - | 33.2 | ||||
Investment management fees | - | 33.5 | - | 33.5 | ||||
Property services fees | - | - | 1.3 | 1.3 | ||||
Loans and other | - | 8.0 | - | 8.0 | ||||
Total revenue | 357.6 | 41.5 | 1.3 | 400.4 | ||||
Income from unconsolidated investments | ||||||||
Principal co-investments | - | 147.9 | - | 147.9 | ||||
Performance allocations | - | 0.5 | - | 0.5 | ||||
Income from unconsolidated investments | - | 148.4 | - | 148.4 | ||||
Gain on sale of real estate, net | 50.8 | - | - | 50.8 | ||||
Expenses | ||||||||
Rental | 110.7 | - | - | 110.7 | ||||
Hotel | 20.5 | - | - | 20.5 | ||||
Compensation and related (including $21.7 of share-based compensation)
| 29.8 | 34.1 | 39.8 | 103.7 | ||||
Performance allocation compensation | - | 3.2 | - | 3.2 | ||||
General and administrative | 10.3 | 10.7 | 5.5 | 26.5 | ||||
Depreciation and amortization | 132.7 | - | - | 132.7 | ||||
Total expenses | 304.0 | 48.0 | 45.3 | 397.3 | ||||
Interest expense | (92.8) | - | (68.0) | (160.8) | ||||
Loss on early extinguishment of debt | (2.4) | - | - | (2.4) | ||||
Other income | 29.7 | - | 16.4 | 46.1 | ||||
Income (loss) before (provision for) benefit from income taxes | 38.9 | 141.9 | (95.6) | 85.2 | ||||
(Provision for) benefit from income taxes | (22.6) | - | 0.1 | (22.5) | ||||
Net income (loss) | 16.3 | 141.9 | (95.5) | 62.7 | ||||
Net loss attributable to noncontrolling interests | 0.5 | - | - | 0.5 | ||||
Preferred dividends | - | - | (21.0) | (21.0) | ||||
Net income (loss) attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | 16.8 | $ | 141.9 | $ | (116.5) | $ | 42.2 |
Add back (less) (Kennedy Wilson's Share): | ||||||||
Interest expense | $ | 90.8 | $ | 43.0 | $ | 68.0 | $ | 201.8 |
Loss on early extinguishment of debt | 2.4 | - | - | 2.4 | ||||
Depreciation and amortization | 128.8 | 2.8 | - | 131.6 | ||||
Provision for (benefit from) income taxes | 21.9 | 1.9 | (0.1) | 23.7 | ||||
Share-based compensation | - | - | 21.7 | 21.7 | ||||
Preferred dividends | - | - | 21.0 | 21.0 | ||||
Fees eliminated in consolidation | (0.4) | 0.4 | - | - | ||||
Adjusted EBITDA | $ | 260.3 | $ | 190.0 | $ | (5.9) | $ | 444.4 |
September 30, 2023 | December 31, 2022 | |||||||
Non-GAAP | Non-GAAP | Non-GAAP | Non-GAAP | |||||
Noncontrolling Interests (2)
|
KW Share of Unconsolidated Investments (3)
|
Noncontrolling Interests (2)
|
KW Share of Unconsolidated Investments (3)
| |||||
Assets | ||||||||
Cash and cash equivalents | $ | (6.5) | $ | 100.2 | $ | (6.7) | $ | 86.9 |
Accounts receivable | (0.5) | 110.9 | (0.5) | 147.2 | ||||
Real estate and acquired in place lease values, net of accumulated depreciation and amortization (1)
| (122.4) | 4,565.7 | (122.0) | 4,319.1 | ||||
Unconsolidated investments | - | (2,232.7) | - | (2,238.1) | ||||
Other assets | (5.7) | 147.4 | (4.6) | 150.8 | ||||
Loan purchases and originations | - | 10.9 | - | 9.3 | ||||
Total assets | $ | (135.1) | $ | 2,702.4 | $ | (133.8) | $ | 2,475.2 |
Liabilities | ||||||||
Accounts payable | $ | (0.4) | $ | - | $ | (0.3) | $ | - |
Accrued expenses and other liabilities (including $284.0 and $303.7 of deferred tax liabilities) | (13.5) | 105.7 | (16.2) | 88.0 | ||||
Mortgage debt | (77.5) | 2,596.7 | (70.9) | 2,387.2 | ||||
KW unsecured debt | - | - | - | - | ||||
KWE unsecured bonds | - | - | - | - | ||||
Total liabilities | (91.4) | 2,702.4 | (87.4) | 2,475.2 | ||||
Equity | ||||||||
Total Kennedy-Wilson Holdings, Inc. shareholders' equity | - | - | - | - | ||||
Noncontrolling interests | (43.7) | - | (46.4) | - | ||||
Total equity | (43.7) | - | (46.4) | - | ||||
Total liabilities and equity | $ | (135.1) | $ | 2,702.4 | $ | (133.8) | $ | 2,475.2 |
Q3 - 2023 | Q3 - 2022 | |||||||
Non-GAAP | Non-GAAP | Non-GAAP | Non-GAAP | |||||
Noncontrolling Interests(1)
|
KW Share of Unconsolidated Investments(2)
|
Noncontrolling Interests(1)
|
KW Share of Unconsolidated Investments(2)
| |||||
Revenue | ||||||||
Rental | $ | (3.2) | $ | 65.0 | $ | (3.1) | $ | 57.7 |
Hotel | - | 4.6 | - | - | ||||
Sale of real estate | - | 1.2 | - | 15.3 | ||||
Investment management and property services fees | - | (17.9) | - | (18.0) | ||||
Total revenue | (3.2) | 52.9 | (3.1) | 55.0 | ||||
Total income from unconsolidated investments | - | 74.0 | - | (12.3) | ||||
Fair value (3)
| - | (61.8) | - | 4.7 | ||||
Gain on sale of real estate, net | (17.3) | - | (0.9) | 4.9 | ||||
Expenses | ||||||||
Rental | (1.2) | 21.2 | (1.2) | 18.0 | ||||
Hotel | - | 7.8 | - | - | ||||
Cost of real estate sold | - | 0.7 | - | 11.0 | ||||
Compensation and related | - | - | - | - | ||||
General and administrative | - | - | - | - | ||||
Depreciation and amortization | (1.3) | 0.8 | (1.9) | 0.9 | ||||
Total expenses | (2.5) | 30.5 | (3.1) | 29.9 | ||||
Interest expense | 0.6 | (25.9) | 0.8 | (16.4) | ||||
Other loss | 0.1 | (9.2) | - | (4.1) | ||||
Income before benefit from income taxes | (17.3) | (0.5) | (0.1) | 1.9 | ||||
Benefit from income taxes | - | 0.5 | 0.8 | - | ||||
Net income | (17.3) | - | 0.7 | 1.9 | ||||
Net loss attributable to noncontrolling interests | 17.3 | - | (0.7) | (1.9) | ||||
Net income attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | - | $ | - | $ | - | $ | - |
Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | |||||||
Non-GAAP | Non-GAAP | Non-GAAP | Non-GAAP | |||||
Noncontrolling Interests(1)
|
KW Share of Unconsolidated Investments(2)
|
Noncontrolling Interests(1)
|
KW Share of Unconsolidated Investments(2)
| |||||
Revenue | ||||||||
Rental | $ | (9.3) | $ | 186.7 | $ | (8.3) | $ | 167.8 |
Hotel | - | 4.6 | - | - | ||||
Sale of real estate | - | 11.7 | - | 50.4 | ||||
Investment management and property services fees | 0.2 | (36.2) | - | 0.5 | ||||
Total revenue | (9.1) | 166.8 | (8.3) | 218.7 | ||||
Total income from unconsolidated investments | - | 69.7 | - | (148.4) | ||||
Fair value (3)
| - | (76.6) | - | 74.9 | ||||
Gain on sale of real estate, net | (21.5) | - | (1.0) | 4.9 | ||||
Expenses | ||||||||
Rental | (3.4) | 59.7 | (3.4) | 49.6 | ||||
Hotel | - | 7.8 | - | - | ||||
Cost of real estate sold | - | 6.5 | - | 39.4 | ||||
General and administrative | - | - | - | - | ||||
Depreciation and amortization | (3.9) | 2.4 | (4.0) | 2.9 | ||||
Total expenses | (7.3) | 76.4 | (7.4) | 91.9 | ||||
Interest expense | 1.8 | (68.9) | 1.9 | (42.9) | ||||
Other income (loss) | 0.1 | (14.9) | (0.3) | (13.4) | ||||
Loss before benefit from income taxes | (21.4) | (0.3) | (0.3) | 1.9 | ||||
Provision for income taxes | - | 0.3 | 0.8 | (1.9) | ||||
Net income | (21.4) | - | 0.5 | - | ||||
Net (loss) income attributable to noncontrolling interests | 21.4 | - | (0.5) | - | ||||
Net income attributable to Kennedy-Wilson Holdings, Inc. common shareholders | $ | - | $ | - | $ | - | $ | - |
Rental Revenues | $ | 102.4 |
Hotel Revenues | 16.6 | |
Rental (Expenses) | (38.4) | |
Hotel (Expenses) | (9.8) | |
Loans and other | 6.1 | |
Consolidated NOI | $ | 76.9 |
Adjustments: | ||
Non-controlling interest
| (2.0) | |
NOI from Unconsolidated investments (KW Share)
| 40.6 | |
Property-Level NOI - Q3-23 (KW Share) | $ | 115.5 |
Adjustments | ||
Assets acquired and disposed (net) | (1.4) | |
Lease-up and development portfolio | 4.8 | |
Hotel operations | (1.6) | |
Assets owned and occupied by Kennedy Wilson | 1.2 | |
Amortization of above/below market leases (net) | (0.3) | |
Straight-line and free rent (net) | 2.1 | |
Non-recurring income/expense, FX, and other | 1.0 | |
Q3-23 Estimated NOI | $ | 121.3 |
Estimated Annual NOI - September 30, 2023 | $ | 485.4 |
Three Months Ended | Nine Months Ended, | |||||||
September 30, | September 30, | |||||||
2023 | 2022 | 2023 | 2022 | |||||
Interest expense (Kennedy Wilson's Share) | ||||||||
Interest expense | $ | 64.2 | $ | 57.1 | $ | 192.5 | $ | 160.8 |
Interest expense (attributable to noncontrolling interests) | (0.6) | (0.8) | (1.8) | (2.0) | ||||
Kennedy Wilson's share of interest expense included in unconsolidated investments
| 25.8 | 16.6 | 68.9 | 43.0 | ||||
Interest expense - (Kennedy Wilson's Share) | $ | 89.4 | $ | 72.9 | $ | 259.6 | $ | 201.8 |
Loss on early extinguishment of debt (Kennedy Wilson's Share) | ||||||||
Loss on early extinguishment of debt | $ | - | $ | 1.3 | $ | 1.6 | $ | 2.4 |
Loss on early extinguishment of debt (Kennedy Wilson's Share) | $ | - | $ | 1.3 | $ | 1.6 | $ | 2.4 |
Depreciation and amortization (Kennedy Wilson's Share) | ||||||||
Depreciation and amortization | $ | 38.8 | $ | 46.1 | $ | 118.3 | $ | 132.7 |
Depreciation and amortization (attributable to noncontrolling interests)
| (1.4) | (1.9) | (3.8) | (3.9) | ||||
Kennedy Wilson's share of depreciation and amortization included in unconsolidated investments
| 0.8 | 0.8 | 2.4 | 2.8 | ||||
Depreciation and amortization (Kennedy Wilson's Share) | $ | 38.2 | $ | 45.0 | $ | 116.9 | $ | 131.6 |
Provision for (benefit from) income taxes (Kennedy Wilson's Share) | ||||||||
Provision for income taxes | $ | (19.7) | $ | 13.9 | $ | (13.3) | $ | 22.5 |
Provision for income taxes (attributable to noncontrolling interests) | - | (0.7) | - | (0.7) | ||||
Provision for income taxes included in unconsolidated investments
| (0.6) | 1.9 | (0.4) | 1.9 | ||||
Provision for income taxes (Kennedy Wilson's Share) | $ | (20.3) | $ | 15.1 | $ | (13.7) | $ | 23.7 |
Q3 - 2023 | Q3 - 2022 | |||||||
Same Property | Same Property | |||||||
Revenue |
NOI(6)
| Revenue |
NOI(6)
| |||||
Rental Revenues | $ | 102.4 | $ | 102.4 | $ | 110.9 | $ | 110.9 |
Hotel Revenues | 16.6 | 16.6 | 14.0 | 14.0 | ||||
Rental (Expenses) | - | (38.4) | - | (38.6) | ||||
Hotel (Expenses) | - | (9.8) | - | (8.6) | ||||
Consolidated Total | 119.0 | 70.8 | 124.9 | 77.7 | ||||
Less: NCI adjustments (1)
| (3.6) | (2.2) | (3.2) | (2.0) | ||||
Add: Unconsolidated investment adjustments (2)
| 46.6 | 32.8 | 44.6 | 31.8 | ||||
Add: Above/below market rents
| (0.4) | (0.4) | (1.0) | (1.0) | ||||
Less: Reimbursement of recoverable operating expenses
| (9.3) | - | (7.3) | - | ||||
Less: Properties bought and sold (3)
| (5.3) | (2.7) | (12.7) | (7.7) | ||||
Less: Other properties excluded (4)
| (25.7) | (12.0) | (28.5) | (15.2) | ||||
Other Reconciling Items (5)
| 0.4 | 0.4 | 1.2 | 1.4 | ||||
Same Property | $ | 121.7 | $ | 86.7 | $ | 118.0 | $ | 85.0 |
Q3 - 2023 | Q3 - 2022 | |||||||
Same Property | Same Property | |||||||
Same Property (Reported) | Revenue | NOI | Revenue | NOI | ||||
Office - Same Property | $ | 31.8 | $ | 27.3 | $ | 31.6 | $ | 27.4 |
Multifamily Market Rate Portfolio - Same Property | 75.9 | 50.0 | 73.2 | 48.7 | ||||
Multifamily Affordable Portfolio - Same Property | 14.0 | 9.4 | 13.2 | 8.9 | ||||
Same Property | $ | 121.7 | $ | 86.7 | $ | 118.0 | $ | 85.0 |
Straight-line rent adjustments (net) | (0.9) | (0.9) | (1.5) | (1.5) | ||||
Same Property (Excluding Straight-Line Rents) | $ | 120.8 | $ | 85.8 | $ | 116.5 | $ | 83.5 |
Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | |||||||
Same Property | Same Property | |||||||
Revenue |
NOI(6)
| Revenue |
NOI(6)
| |||||
Rental Revenues | $ | 315.6 | $ | 315.6 | $ | 324.4 | $ | 324.4 |
Hotel Revenues | 42.7 | 42.7 | 33.2 | 33.2 | ||||
Rental (Expenses) | - | (113.7) | - | (110.7) | ||||
Hotel (Expenses) | - | (27.4) | - | (20.5) | ||||
Consolidated Total | 358.3 | 217.2 | 357.6 | 226.4 | ||||
Less: NCI adjustments (1)
| (9.3) | (5.7) | (8.8) | (5.2) | ||||
Add: Unconsolidated investment adjustments (2)
| 130.4 | 92.5 | 123.7 | 89.3 | ||||
Add: Above/below market rents
| (1.3) | (1.3) | (2.9) | (2.9) | ||||
Less: Reimbursement of recoverable operating expenses
| (25.4) | - | (20.9) | - | ||||
Less: Properties bought and sold (3)
| (42.7) | (28.8) | (55.0) | (39.4) | ||||
Less: Other properties excluded (4)
| (76.3) | (36.2) | (72.6) | (37.3) | ||||
Other Reconciling Items (5)
| (2.6) | 0.4 | (1.9) | 0.9 | ||||
Same Property | $ | 331.1 | $ | 238.1 | $ | 319.2 | $ | 231.8 |
Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | |||||||
Same Property | Same Property | |||||||
Same Property (Reported) | Revenue | NOI | Revenue | NOI | ||||
Office - Same Property | $ | 89.4 | $ | 76.7 | $ | 88.4 | $ | 75.9 |
Multifamily Market Rate Portfolio - Same Property | 202.1 | 135.1 | 194.1 | 130.8 | ||||
Multifamily Affordable Portfolio - Same Property | 39.6 | 26.3 | 36.7 | 25.1 | ||||
Same Property | $ | 331.1 | $ | 238.1 | $ | 319.2 | $ | 231.8 |
Straight-line rent adjustments (net) | (0.4) | (0.4) | (1.5) | (1.5) | ||||
Same Property (Excluding Straight-Line Rents) | $ | 330.7 | $ | 237.7 | $ | 317.7 | $ | 230.3 |
Adjusted Fees | ||||||||
Q3 | YTD | |||||||
2023 | 2022 | 2023 | 2022 | |||||
Investment management fees | $ | 15.5 | $ | 11.2 | $ | 45.6 | $ | 33.5 |
Property services fees | 0.7 | 0.5 | 1.6 | 1.3 | ||||
Non-GAAP adjustments: | ||||||||
Add back: | ||||||||
KW share of fees eliminated in consolidation(1)
| - | 0.1 | 0.2 | 0.4 | ||||
Performance fees included in unconsolidated investments
| (17.9) | (18.0) | (36.3) | 0.5 | ||||
Adjusted Fees | $ | (1.7) | $ | (6.2) | $ | 11.1 | $ | 35.7 |
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Kennedy Wilson Holdings Inc. published this content on 01 November 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 01 November 2023 21:05:15 UTC.