Secured and Unsecured Debt of the Operating Partnership (Tables) (Kilroy Realty, L.P. [Member])

3 Months Ended

Mar. 31, 2012

The table below summarizes our capped call option positions as of both March 31, 2012 and December 31, 2011. The capped calls on the 3.25% Exchangeable Notes were terminated on April 15, 2012 upon the maturity and repayment of the 3.25% Exchangeable Notes by the Company.



	3.25% Exchangeable Notes⁽¹⁾		4.25% Exchangeable Notes⁽²⁾
Referenced shares of common stock	1,121,201		4,800,796
Exchange price including effect of capped calls	$	102.72	$	42.81

________________________


(1)	The capped calls mitigate the dilutive impact to us of the potential exchange of two-thirds of the 3.25% Exchangeable Notes into shares of common stock.


(2)	The capped calls mitigate the dilutive impact to us of the potential exchange of all of the 4.25% Exchangeable Notes into shares of common stock.

Per Share Average Trading Price Of Companys Common Stock On Stock Exchange [Tables Text Block]

For the three months ended March 31, 2012 and 2011, the per share average trading price of the Company's common stock on the NYSE was higher than the $35.93 exchange price for the 4.25% Exchangeable Notes, as presented below:



	March 31, 2012	March 31, 2011
Per share average trading price of the Company's common stock	$42.86	$37.96

Interest expense for the exchangeable notes

The following table summarizes the total interest expense attributable to the Exchangeable Notes based on the effective interest rates set forth above, before the effect of capitalized interest, for the three months ended March 31, 2012 and 2011:



	Three Months Ended March 31,
	2012		2011
	(in thousands)
Contractual interest payments	$	3,035	$	3,035
Amortization of discount	1,797		1,688
Interest expense attributable to the Exchangeable Notes	$	4,832	$	4,723

Terms of the Credit Facility

The following table summarizes the balance and terms of our Credit Facility as of March 31, 2012 and December 31, 2011, respectively:



	March 31, 2012		December 31, 2011
	(in thousands)
Outstanding borrowings⁽¹⁾	$	—	$	182,000
Remaining borrowing capacity	500,000		318,000
Total borrowing capacity⁽²⁾	$	500,000	$	500,000
Interest rate⁽³⁾			2.05		%
Facility fee-annual rate⁽⁴⁾	0.350%
Maturity date⁽⁵⁾	August 2015

________________________


(1)	As of March 31, 2012, there were no borrowings outstanding on the Credit Facility.


(2)	We may elect to borrow, subject to bank approval, up to an additional $200.0 million under an accordion feature under the terms of the Credit Facility.


(3)	The Credit Facility interest rate was calculated based on an annual rate of LIBOR plus 1.750% as of both March 31, 2012 and December 31, 2011. No interest rate is shown as of March 31, 2012 because no borrowings were outstanding.


(4)	The facility fee is paid on a quarterly basis and is calculated based on the total borrowing capacity. In addition to the facility fee, we also incurred origination and legal costs of approximately $8.3 million that are currently being amortized through the maturity date of the Credit Facility.


(5)	Under the terms of the Credit Facility, we may exercise an option to extend the maturity date by one year.

Stated debt maturities and scheduled amortization payments, excluding debt discounts

The following table summarizes the stated debt maturities and scheduled amortization payments, excluding debt discounts and premiums, as of March 31, 2012:



Year Ending	(in thousands)
Remaining 2012	$	251,758	⁽¹⁾
2013	6,373
2014	262,443
2015	357,382
2016	156,551
Thereafter	768,476
Total	$	1,802,983	⁽²⁾

________________________


(1)	Includes the 3.25% Exchangeable Notes with an aggregate principal amount of $148.0 million that we repaid in April 2012 upon maturity (see Note 17).


(2)	Includes gross principal balance of outstanding debt before impact of all debt discounts and premiums.

Capitalized interest and loan fees

The following table sets forth our gross interest expense, including debt discount/premium and loan cost amortization, net of capitalized interest, for the three months ended March 31, 2012 and 2011. The capitalized amounts are a cost of development and redevelopment, and increase the carrying value of undeveloped land and construction in progress.



	Three Months Ended March 31,
	2012			2011
	(in thousands)
Gross interest expense	$	24,994		$	22,855
Capitalized interest	(3,831		)	(1,979		)
Interest expense	$	21,163		$	20,876

Exchangeable Notes [Member]

Debt Instrument [Line Items]

Balance and significant terms of the exchangeable notes outstanding

The table below summarizes the balance and significant terms of the Company's 3.25% Exchangeable Notes due April 2012 (the "3.25% Exchangeable Notes") and 4.25% Exchangeable Notes due November 2014 (the "4.25% Exchangeable Notes" and together with the 3.25% Exchangeable Notes, the "Exchangeable Notes") outstanding as of March 31, 2012 and December 31, 2011. The Company repaid the 3.25% Exchangeable Notes in April 2012 upon maturity (see Note 17).



	3.25% Exchangeable Notes						4.25% Exchangeable Notes
	March 31, 2012			December 31, 2011			March 31, 2012			December 31, 2011
	(in thousands)
Principal amount	$	148,000		$	148,000		$	172,500		$	172,500
Unamortized discount	(132		)	(924		)	(11,679		)	(12,684		)
Net carrying amount of liability component	$	147,868		$	147,076		$	160,821		$	159,816
Carrying amount of equity component	$33,675						$19,835
Maturity date	April 2012						November 2014
Stated coupon rate ⁽¹⁾⁽²⁾	3.25%						4.25%
Effective interest rate ⁽³⁾	5.45%						7.13%
Exchange rate per $1,000 principal value of the Exchangeable Notes, as adjusted ⁽⁴⁾	11.3636						27.8307
Exchange price, as adjusted ⁽⁴⁾	$88.00						$35.93
Number of shares on which the aggregate consideration to be delivered on conversion is determined ⁽⁴⁾	1,681,813						4,800,796

_____________________


(1)	Interest on the 3.25% Exchangeable Notes is payable semi-annually in arrears on April 15^th and October 15^th of each year.


(2)	Interest on the 4.25% Exchangeable Notes is payable semi-annually in arrears on May 15^th and November 15^th of each year.


(3)	The rate at which we record interest expense for financial reporting purposes, which reflects the amortization of the discounts on the Exchangeable Notes. This rate represents our conventional debt borrowing rate at the date of issuance.


(4)	The exchange rate, exchange price, and the number of shares to be delivered upon conversion are subject to adjustment under certain circumstances including increases in our common dividends.