More than 60 years of experience
Southern California's commercial real estate markets are among the most challenging—and rewarding—in the nation. That is just one of many lessons we’ve learned in the more than six decades that KRC has operated here. Today, with 100% of our properties located in Los Angeles, Orange and San Diego Counties, we enjoy the hometown advantage of understanding local history, local markets and local relationships.
A fully integrated real estate enterprise
Our experience has also taught us the wisdom of mastering all the disciplines of our profession. KRC's core management capabilities span all aspects of real estate, from land acquisition, financing and property development, to construction management, leasing activities and property operations, to long-term strategic portfolio development. This integrated approach to real estate ownership produces efficiencies throughout our company's property operations and creates a sound base from which to navigate the changing market environments that characterize a normal real estate business cycle.
In 1997, we became a publicly traded real estate investment trust, with our common stock traded on the New York Stock Exchange and, in 2001, added to the S&P Small Cap 600 Index. Public ownership enhances our access to a variety of funding sources at competitive rates and supports a strong and flexible capital structure.
A disciplined business strategy
Operating in one of the most dynamic economies in the world has shaped our business strategy at KRC. Our primary goal is to deliver a steady stream of high quality, adaptable and productive work environments for the wide range of industries attracted to Southern California.
The resulting portfolio of office, industrial, R&D and multi-purpose properties is managed to enhance value rather than size. We regularly recycle capital from mature assets into new development, continually upgrading the quality of our portfolio while maintaining a healthy balance sheet and enhancing the potential returns we can generate for our shareholders.
Strong and broad-based development experience
We have a bias toward development, preferring to control the location, design and amenities of the properties we add to our portfolio. We believe this approach produces a better outcome for our tenants and our shareholders.
We maintain an active, multi-year development program, focusing on economically dynamic locations where anticipated long-term demand is strong, supply is habitually limited and barriers to entry are formidable. Typically this means coastal submarkets of Southern California that offer both a vibrant economic backdrop for businesses and a unique quality of life for their employees.
We are experienced developers in a variety of property types, including:
Our current development program focuses on the principal submarkets of coastal San Diego. Over the past decade, KRC has established market-leading positions in a number of these submarkets extending from La Jolla north to Del Mar and east to the I-15 Corridor.
A respect for long-term tenant relationships
Many of our tenants have done business with KRC for decades, turning to us again and again as their real estate needs have changed. We believe such relationships are built on a foundation of trust and experience. We take the time to understand each prospective tenant’s requirements and we offer our knowledge of markets and experience in development to help create the right workplace solution for each one.
Our current tenant roster is drawn from the full range of California's diversified economy, including small, medium and large commercial enterprises in software, manufacturing, banking, entertainment, insurance, telecommunications, health care, defense, finance, engineering, technology, and other business and professional services.
An innovator in work spaces
Southern California’s fast-paced, knowledge-based economy has fundamentally altered concepts of design and amenities in commercial real estate here. KRC has been an innovator in rethinking the work environment.
We design many of our properties in relaxed, campus-style settings with a rich variety of outdoor and indoor common space, flexible interior floor plates and individual office plans that can adapt as tenant needs change.
We equip our properties with state-of-the-market infrastructure and amenities, often accommodating the specific needs of individual tenants focused on research and development, manufacturing and other specialized services.
A commitment to sustainable practices
As long-term owners of the properties we develop, we share a common interest with our tenants for work environments that optimize resource use and minimize their impact on the environment. KRC has become a leading proponent of LEED-certified design, development and property operation.
The Leadership in Energy Efficient and Environmental Design certification process is designed to address the entire lifecycle of a property and takes into account such issues as site design, low-impact development, water and energy efficiency, indoor environmental quality, materials and resources used in construction, and innovative responses to unique building or site conditions.
In recent years, we have built substantially all our new development projects to LEED specifications and achieved gold or silver certification levels for several buildings. We are also actively pursuing LEED certification for much of our existing portfolio. Click here to see our recently LEED-certified Intuit Campus.
We believe these efforts reward our tenants with a superior workplace environment that can generate higher productivity, superior employee retention and a more successful recruiting experience.