KBS Real Estate Investment Trust 10-Q 10 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	3 Months Ended
	Mar. 31, 2016	May. 04, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	KBS Real Estate Investment Trust, Inc.
Entity Central Index Key	1,330,622
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		185,878,530

CONSOLIDATED BALANCE SHEETS (U

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Real estate held for investment:
Land	$ 178,872	$ 181,051
Buildings and improvements	609,591	618,644
Tenant origination and absorption costs	42,928	44,560
Total real estate held for investment, at cost and net of impairment charges	831,391	844,255
Less accumulated depreciation and amortization	(132,880)	(130,135)
Total real estate held for investment, net	698,511	714,120
Real estate held for sale, net	128,511	146,760
Total real estate, net	827,022	860,880
Real estate loans receivable, net	27,517	27,281
Total real estate and real estate-related investments, net	854,539	888,161
Cash and cash equivalents	75,392	46,605
Restricted cash	38,596	39,874
Rents and other receivables, net	31,205	31,452
Above-market leases, net	4,951	5,417
Assets related to real estate held for sale	18,243	18,855
Due from affiliate	112	0
Prepaid expenses and other assets, net	30,436	24,501
Total assets	1,053,474	1,054,865
Notes payable:
Notes payable, net	308,476	308,630
Notes payable related to real estate held for sale, net	118,982	119,592
Total notes payable, net	427,458	428,222
Accounts payable and accrued liabilities	18,514	19,152
Due to affiliates	46	68
Below-market leases, net	20,138	22,047
Liabilities related to real estate held for sale	3,496	5,164
Other liabilities	49,242	50,549
Total liabilities	$ 518,894	$ 525,202
Commitments and contingencies (Note 11)
Redeemable common stock	$ 8,753	$ 10,000
Stockholders’ equity
Preferred stock, $.01 par value; 10,000,000 shares authorized, no shares issued and outstanding	0	0
Common stock, $.01 par value; 1,000,000,000 shares authorized, 186,097,528 and 186,414,147 shares issued and outstanding as of March 31, 2016 and December 31, 2015, respectively	1,861	1,864
Additional paid-in capital	1,656,140	1,656,137
Cumulative distributions and net losses	(1,132,174)	(1,138,338)
Total stockholders’ equity	525,827	519,663
Total liabilities and stockholders’ equity	$ 1,053,474	$ 1,054,865

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (Unaudited) - $ / shares	Mar. 31, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	186,097,528	186,414,147
Common stock, shares outstanding	186,097,528	186,414,147

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Revenues:
Rental income	$ 29,396	$ 35,365
Tenant reimbursements	10,247	12,554
Interest income from real estate loans receivable	810	726
Parking revenues and other operating income	672	932
Total revenues	41,125	49,577
Expenses:
Operating, maintenance, and management	15,854	21,989
Real estate taxes, property-related taxes, and insurance	5,462	6,781
Asset management fees to affiliate	2,348	2,420
General and administrative expenses	3,372	2,220
Depreciation and amortization	10,998	15,605
Interest expense	5,229	8,733
Impairment charges on real estate	10,864	0
Total expenses	54,127	57,748
Other income and loss
Gain on sales of real estate, net	23,586	13,967
Gain on sales of foreclosed real estate held for sale	0	2,509
Loss from extinguishment of debt	(3)	0
Other interest income	137	116
Other income	106	0
Total other income	23,826	16,592
Loss from continuing operations	10,824	8,421
Discontinued operations:
Gain on sales of real estate, net	0	124
(Loss) income from discontinued operations	(5)	44
Total (loss) income from discontinued operations	(5)	168
Net income	$ 10,819	$ 8,589
Basic and diluted income per common share:
Continuing operations (in dollars per share)	$ 0.06	$ 0.05
Discontinued operations (in dollars per share)	0	0
Net income per common share (in dollars per share)	$ 0.06	$ 0.05
Weighted-average number of common shares outstanding, basic and diluted (in shares)	186,299,622	187,718,362

CONSOLIDATED STATEMENTS OF EQUI

CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Cumulative Distributions and Net Income (Loss) [Member]
Balance, shares at Dec. 31, 2014		187,845,515
Balance at Dec. 31, 2014	$ 602,773	$ 1,879	$ 1,662,483	$ (1,061,589)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(11,387)			(11,387)
Redemptions of common stock, shares		(1,431,368)
Redemptions of common stock	(6,361)	$ (15)	(6,346)
Distributions declared	$ (65,362)			(65,362)
Balance, shares at Dec. 31, 2015	186,414,147	186,414,147
Balance at Dec. 31, 2015	$ 519,663	$ 1,864	1,656,137	(1,138,338)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	10,819			10,819
Redemptions of common stock, shares		(316,619)
Redemptions of common stock	(1,247)	$ (3)	(1,244)
Transfers from redeemable common stock	1,247		1,247
Distributions declared	$ (4,655)			(4,655)
Balance, shares at Mar. 31, 2016	186,097,528	186,097,528
Balance at Mar. 31, 2016	$ 525,827	$ 1,861	$ 1,656,140	$ (1,132,174)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash Flows from Operating Activities:
Net income	$ 10,819	$ 8,589
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	10,998	15,605
Impairment charges on real estate	10,864	0
Loss due to property damages	1,030	0
Noncash interest income on real estate-related investments	(271)	(240)
Deferred rent	68	(495)
Bad debt expense	0	334
Amortization of deferred financing costs	88	476
Amortization of above- and below-market leases, net	(1,312)	(1,790)
Gain on sales of foreclosed real estate held for sale	0	(2,509)
Gain on sales of real estate, net	(23,586)	(14,191)
Loss on extinguishment of debt	3	0
Amortization of discounts and premiums on notes payable, net	188	511
Changes in operating assets and liabilities:
Restricted cash for operational expenditures	1,775	2,949
Rents and other receivables	634	(1,880)
Prepaid expenses and other assets	(6,350)	(3,615)
Accounts payable and accrued liabilities	1,129	3,894
Due from affiliate	(112)	0
Due to affiliates	(22)	651
Other liabilities	(1,290)	(1,480)
Net cash provided by operating activities	4,653	6,809
Cash Flows from Investing Activities:
Improvements to real estate	(8,344)	(11,903)
Proceeds from sales of real estate, net	39,882	99,915
Proceeds from sales of foreclosed real estate held for sale	0	14,155
Principal repayments on real estate loans receivable	35	27
Net change in restricted cash for capital expenditures	(122)	4,111
Net cash provided by investing activities	31,451	106,305
Cash Flows from Financing Activities:
Principal payments on notes payable	(1,040)	(19,263)
Net change in restricted cash for debt service obligations	(375)	276
Payments to redeem common stock	(1,247)	(1,558)
Distributions paid to common stockholders	(4,655)	(9,389)
Net cash used in financing activities	(7,317)	(29,934)
Net increase in cash and cash equivalents	28,787	83,180
Cash and cash equivalents, beginning of period	46,605	58,675
Cash and cash equivalents, end of period	75,392	141,855
Supplemental Disclosure of Cash Flow Information:
Interest paid	$ 4,443	$ 7,086

ORGANIZATION

ORGANIZATION	3 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION	ORGANIZATION KBS Real Estate Investment Trust, Inc. (the “Company”) was formed on June 13, 2005 as a Maryland corporation and has elected to be taxed as a real estate investment trust (“REIT”). Substantially all of the Company’s assets are held by, and the Company conducts substantially all of its operations through, KBS Limited Partnership, a Delaware limited partnership (the “Operating Partnership”), and its subsidiaries. The Company is the sole general partner of and directly owns a 99% partnership interest in the Operating Partnership. The Company’s wholly owned subsidiary, KBS REIT Holdings LLC, a Delaware limited liability company (“KBS REIT Holdings”), owns the remaining 1% partnership interest in the Operating Partnership and is its sole limited partner. The Company invested in a diverse portfolio of real estate and real estate-related investments. As of March 31, 2016 , the Company owned or, with respect to a limited number of properties, held a leasehold interest in, 350 real estate properties (of which 77 properties were held for sale, all of which were GKK Properties), including the GKK Properties (defined below). In addition, as of March 31, 2016 , the Company owned four real estate loans receivable and a participation interest with respect to a real estate joint venture. On September 1, 2011, the Company, through indirect wholly owned subsidiaries (collectively, “KBS”), entered into a Collateral Transfer and Settlement Agreement (the “Settlement Agreement”) with, among other parties, GKK Stars Acquisition LLC (“GKK Stars”), the wholly owned subsidiary of Gramercy Property Trust, Inc. (“Gramercy”) that indirectly owned the Gramercy real estate portfolio, to effect the orderly transfer of certain assets and liabilities of the Gramercy real estate portfolio to KBS in satisfaction of certain debt obligations under a mezzanine loan owed by wholly owned subsidiaries of Gramercy to KBS (the “GKK Mezzanine Loan”). The Settlement Agreement resulted in the transfer of the equity interests in certain subsidiaries of Gramercy (the “Equity Interests”) that indirectly owned or, with respect to a limited number of properties, held a leasehold interest in, 867 properties (the “GKK Properties”), consisting of 576 bank branch properties and 291 office buildings, operations centers and other properties. As of December 15, 2011, GKK Stars had transferred all of the Equity Interests to the Company, giving the Company title to or, with respect to a limited number of GKK Properties, a leasehold interest in, 867 GKK Properties as of that date. Subject to certain restrictions and limitations, the business of the Company is managed by KBS Capital Advisors LLC (the “Advisor”), an affiliate of the Company, pursuant to an advisory agreement with the Company (the “Advisory Agreement”) in effect through November 8, 2016. The Advisory Agreement may be renewed for an unlimited number of one -year periods upon the mutual consent of the Advisor and the Company. Either party may terminate the Advisory Agreement upon 60 days written notice. The Advisor owns 20,000 shares of the Company’s common stock. Upon commencing its initial public offering (the “Offering”), the Company retained KBS Capital Markets Group LLC (the “Dealer Manager”), an affiliate of the Advisor, to serve as the dealer manager of the Offering pursuant to a dealer manager agreement dated January 27, 2006 (the “Dealer Manager Agreement”). The Company ceased offering shares of common stock in its primary offering on May 30, 2008. The Company terminated its dividend reinvestment plan effective April 10, 2012. The Company sold 171,109,494 shares of common stock in its primary offering for gross offering proceeds of $1.7 billion . The Company sold 28,306,086 shares of common stock under its dividend reinvestment plan for gross offering proceeds of $233.7 million . As of March 31, 2016 , the Company had redeemed 13,338,052 of the shares sold in the Offering for $93.0 million . Asset Management Services Agreement Related to the GKK Properties On December 19, 2013, the Company, through an indirect wholly owned subsidiary (“KBS Acquisition Sub”), entered into an amended and restated asset management services agreement (the “Amended Services Agreement”) with GKK Realty Advisors LLC (the “Property Manager”), an affiliate of Gramercy, with respect to the GKK Properties. The effective date of the Amended Services Agreement was December 1, 2013. Pursuant to the Amended Services Agreement, the Property Manager agreed to provide, among other services: standard asset management services, assistance related to dispositions, accounting services and budgeting and business plans for the GKK Properties (the “Services”). The Property Manager is not affiliated with the Company or KBS Acquisition Sub. As compensation for the Services, the Company agreed to pay the Property Manager: (i) an annual fee of $7.5 million plus all GKK Property-related expenses incurred by the Property Manager, (ii) subject to certain terms and conditions in the Amended Services Agreement, a profit participation interest based on a percentage (ranging from 10% to 30% ) of the amount by which the gross fair market value or gross sales price of certain identified portfolios of GKK Properties exceeds the sum of (a) an agreed-upon baseline value for such GKK Property portfolios plus (b) new capital expended to increase the value of GKK Properties within the portfolios and expenditures made to pay for tenant improvements and leasing commissions related to these GKK Properties as of the measurement date, and (iii) a monthly construction oversight fee equal to a percentage of construction costs for certain construction projects at the GKK Properties overseen by the Property Manager. As of March 31, 2016 , the Company accrued $21.4 million of estimated profit participation interest related to the GKK Properties under the Amended Services Agreement. The Amended Services Agreement will terminate on December 31, 2016, with a one -year extension option at the Company’s option, subject to certain terms and conditions contained in the Amended Services Agreement. The Amended Services Agreement supersedes and replaces all prior agreements related to the Services among the Company and its affiliates and the Property Manager and its affiliates.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES There have been no significant changes to the Company’s accounting policies since it filed its audited financial statements in its Annual Report on Form 10-K for the year ended December 31, 2015 . For further information about the Company’s accounting policies, refer to the Company’s consolidated financial statements and notes thereto for the year ended December 31, 2015 included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”). Principles of Consolidation and Basis of Presentation The accompanying unaudited consolidated financial statements and condensed notes thereto have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information as contained within the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) and the rules and regulations of the SEC, including the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the unaudited consolidated financial statements do not include all of the information and footnotes required by GAAP for audited financial statements. In the opinion of management, the financial statements for the unaudited interim periods presented include all adjustments, which are of a normal and recurring nature, necessary for a fair and consistent presentation of the results for such periods. Operating results for the three months ended March 31, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016 . The unaudited consolidated financial statements include the accounts of the Company, KBS REIT Holdings, the Operating Partnership and their direct and indirect wholly owned subsidiaries. All significant intercompany balances and transactions are eliminated in consolidation. Use of Estimates The preparation of the unaudited consolidated financial statements and condensed notes thereto in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited consolidated financial statements and condensed notes. Actual results could materially differ from those estimates. Reclassifications Certain amounts in the Company’s prior period consolidated financial statements have been reclassified to conform to the current period presentation. These reclassifications have not changed the results of operations of prior periods. During the three months ended March 31, 2016 , the Company sold 14 properties (all of which were GKK Properties). As of March 31, 2016 , the Company had classified 77 properties as held for sale, all of which were GKK Properties. As a result, certain assets and liabilities were reclassified to held for sale on the consolidated balance sheets for all periods presented. Per Share Data Basic net income (loss) per share of common stock is calculated by dividing net income (loss) by the weighted-average number of shares of common stock issued and outstanding during such period. Diluted net income (loss) per share of common stock equals basic net income (loss) per share of common stock, as there were no potentially dilutive securities outstanding during the three months ended March 31, 2016 and 2015 , respectively. Distributions declared per share of common stock were $0.025 and $0.025 for the three months ended March 31, 2016 and 2015 , respectively. Distributions per share of common stock were based on a quarterly record date for each quarter ended March 31, 2016 and 2015 , respectively. Segments The Company’s segments are based on the Company’s method of internal reporting, which classifies its operations by investment type: (i) real estate, (ii) real estate-related and (iii) commercial properties primarily leased to financial institutions received under the Settlement Agreement, the GKK Properties. For financial data by segment, see Note 10, “Segment Information.” Recently Issued Accounting Standards Update In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU No. 2014-09”). ASU No. 2014-09 requires an entity to recognize the revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. ASU No. 2014-09 supersedes the revenue requirements in Revenue Recognition (Topic 605) and most industry-specific guidance throughout the Industry Topics of the Codification. ASU No. 2014-09 does not apply to lease contracts within the scope of Leases (Topic 840). ASU No. 2014-09 was to be effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and is to be applied retrospectively, with early application not permitted. In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date (“ASU No. 2015-14”), which defers the effective date of ASU No. 2014-09 by one year. Early adoption is permitted but not before the original effective date. The Company is still evaluating the impact of adopting ASU No. 2014-09 on its financial statements, but does not expect the adoption of ASU No. 2014-09 to have a material impact on its financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements (Subtopic 205-40) , Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU No. 2014-15”). The amendments in ASU No. 2014-15 require management to evaluate, for each annual and interim reporting period, whether there are conditions or events, considered in the aggregate, that raise substantial doubt about an entity’s ability to continue as a going concern within one year after the date that the financial statements are issued (or are available to be issued when applicable) and, if so, provide related disclosures. ASU No. 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Early adoption is permitted for annual or interim reporting periods for which the financial statements have not previously been issued. The Company does not expect the adoption of ASU No. 2014-15 to have a significant impact on its financial statements. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU No. 2016-01”). The amendments in ASU No. 2016-01 address certain aspects of recognition, measurement, presentation and disclosure of financial instruments. ASU No. 2016-01 primarily affects accounting for equity investments and financial liabilities where the fair value option has been elected. ASU No. 2016-01 also requires entities to present financial assets and financial liabilities separately, grouped by measurement category and form of financial asset in the balance sheet or in the accompanying notes to the financial statements. ASU No. 2016-01 is effective for annual periods beginning after December 15, 2017, including interim periods within those fiscal years. Early application is permitted for financial statements that have not been previously issued. The Company does not expect the adoption of ASU No. 2016-01 to have a significant impact on its financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU No. 2016-02”). The amendments in ASU No. 2016-02 change the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU No. 2016-02 is effective for annual periods beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption of ASU No. 2016-02 as of its issuance is permitted. The new leases standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. The Company is currently evaluating the impact of adopting the new leases standard on its consolidated financial statements.

REAL ESTATE HELD FOR INVESTMENT

REAL ESTATE HELD FOR INVESTMENT	3 Months Ended
	Mar. 31, 2016
Real Estate Held for Investment [Abstract]
REAL ESTATE HELD FOR INVESTMENT	REAL ESTATE HELD FOR INVESTMENT As of March 31, 2016 , the Company’s portfolio of real estate held for investment, including the GKK Properties, was composed of approximately 6.6 million rentable square feet and was 86% occupied. These properties are located in 29 states and include office properties, industrial properties and bank branch properties. Included in the Company’s portfolio of real estate held for investment was 3.5 million rentable square feet related to the GKK Properties held for investment, which were 85% occupied as of March 31, 2016 . The following table summarizes the Company’s investments in real estate as of March 31, 2016 and December 31, 2015 (in thousands): Land Buildings and Improvements Tenant Origination and Absorption Costs Total Real Estate Held for Investment As of March 31, 2016: Office $ 61,335 $ 355,881 $ 566 $ 417,782 Industrial 14,651 73,737 2,244 90,632 GKK Properties 102,886 179,973 40,118 322,977 Real estate held for investment, at cost and net of impairment charges 178,872 609,591 42,928 831,391 Accumulated depreciation/amortization — (108,430 ) (24,450 ) (132,880 ) Real estate held for investment, net $ 178,872 $ 501,161 $ 18,478 $ 698,511 As of December 31, 2015: Office $ 61,986 $ 357,524 $ 565 $ 420,075 Industrial 14,651 73,411 2,244 90,306 GKK Properties 104,414 187,709 41,751 333,874 Real estate held for investment, at cost and net of impairment charges 181,051 618,644 44,560 844,255 Accumulated depreciation/amortization — (105,551 ) (24,584 ) (130,135 ) Real estate held for investment, net $ 181,051 $ 513,093 $ 19,976 $ 714,120 Operating Leases The Company’s real estate assets are leased to tenants under operating leases for which the terms and expirations vary. As of March 31, 2016 , the Company’s leases, including the GKK Properties held for investment and excluding options to extend, had remaining terms of up to 14.3 years with a weighted-average remaining term of 4.0 years. As of March 31, 2016 , leases related to the GKK Properties, excluding options to extend, had remaining terms of up to 10.8 years with a weighted-average remaining term of 3.8 years. Some of the Company’s leases have provisions to extend the term of the leases, options for early termination for all or a part of the leased premises after paying a specified penalty, rights of first refusal to purchase the property at competitive market rates, and other terms and conditions as negotiated. The Company retains substantially all of the risks and benefits of ownership of the real estate assets leased to tenants. Generally, upon the execution of a lease, the Company requires a security deposit from the tenant in the form of a cash deposit and/or a letter of credit. The amount required as a security deposit varies depending upon the terms of the respective lease and the creditworthiness of the tenant, but generally is not a significant amount. Therefore, exposure to credit risk exists to the extent that a receivable from a tenant exceeds the amount of its security deposit. Security deposits received in cash related to tenant leases are included in other liabilities in the accompanying consolidated balance sheets and totaled $3.3 million and $3.2 million as of March 31, 2016 and December 31, 2015 , respectively. During the three months ended March 31, 2016 and 2015 , the Company recognized deferred rent from tenants of $(0.1) million and $0.5 million , respectively. These amounts for the three months ended March 31, 2016 and 2015 were net of $0.3 million and $0.4 million of lease incentive amortization, respectively. As of March 31, 2016 and December 31, 2015 , the cumulative deferred rent balance was $25.4 million and $24.8 million , respectively, and is included in rents and other receivables on the accompanying balance sheets. The cumulative deferred rent balance included $6.2 million and $5.8 million of unamortized lease incentives as of March 31, 2016 and December 31, 2015 , respectively. The Company records property operating expense reimbursements due from tenants for common area maintenance, real estate taxes and other recoverable costs in the period the related expenses are incurred. The future minimum rental income from the Company’s properties under non-cancelable operating leases, including leases subject to shedding rights and excluding options to extend, as of March 31, 2016 for the years ending December 31 is as follows (in thousands): April 1, 2016 through December 31, 2016 $ 71,663 2017 87,031 2018 76,670 2019 66,707 2020 52,272 Thereafter 140,532 $ 494,875 As of March 31, 2016 , the Company’s highest tenant industry concentration (greater than 10% of annualized base rent) was as follows: Industry Number of Annualized (1) (in thousands) Percentage of Finance 51 $ 34,935 37.6 % _____________________ (1) Annualized base rent represents annualized contractual base rental income as of March 31, 2016 , adjusted to straight-line any contractual tenant concessions (including free rent), rent increases and rent decreases from the lease's inception through the balance of the lease term. As of March 31, 2016 , no other tenant industries accounted for more than 10% of the Company’s annualized base rent. The Company currently has over 250 tenants over a diverse range of industries and geographical regions. As of March 31, 2016 and December 31, 2015 , the Company had a bad debt expense reserve of $0.5 million and $0.5 million , respectively. The Company’s bad debt expense reserve as of March 31, 2016 and December 31, 2015 included $0.4 million and $0.4 million related to the GKK Properties, respectively. During the three months ended March 31, 2016 and 2015 , the Company recorded bad debt expense related to its tenant receivables of $0 and $0.4 million , respectively. As of March 31, 2016 , the Company had a concentration of credit risk related to leases with the following tenant that represented more than 10% of the Company’s annualized base rent: Annualized Base Rent Statistics Tenant Property Tenant Industry Rentable Square Feet % of Portfolio Rentable Square Feet Annualized Base Rent (1) (in thousands) % of Portfolio Annualized Base Rent Annualized Base Rent per Square Foot Lease Expirations Bank of America, N.A. Various Finance 1,761,364 31.1 % $ 14,818 15.9 % $ 8.41 (2) _____________________ (1) Annualized base rent represents annualized contractual base rental income as of March 31, 2016 , adjusted to straight-line any contractual tenant concessions (including free rent), rent increases and rent decreases from the lease’s inception through the balance of the lease term. (2) As of March 31, 2016 , lease expiration dates ranged from 2019 through 2023 with a weighted-average remaining term of 4.2 years. No other tenant represented more than 10% of the Company’s annualized base rent. Bank of America Corporation is the guarantor of various leases that its subsidiary, Bank of America, N.A., has with the Company. The condensed consolidated financial information of Bank of America Corporation has been included herein because of the significant credit concentration the Company has with this guarantor. Bank of America Corporation currently files its financial statements in reports filed with the SEC, and the following unaudited summary financial data regarding Bank of America Corporation is taken from its previously filed public reports. For more detailed financial information regarding Bank of America Corporation, please refer to its financial statements, which are publicly available with the SEC at http:// www.sec.gov . Three Months Ended March 31, 2016 2015 Consolidated Statements of Income (in millions) Total revenue, net of interest expense $ 19,512 $ 20,914 Income before income taxes 3,699 4,322 Net income 2,680 3,097 As of March 31, 2016 December 31, 2015 Consolidated Balance Sheets (in millions) Total assets 2,185,498 $ 2,144,316 Total liabilities 1,922,722 1,888,111 Total stockholders’ equity $ 262,776 256,205 Geographic Concentration Risk As of March 31, 2016 , the Company’s net investments in real estate in Virginia represented 11.6% of the Company’s total assets. As a result, the geographic concentration of the Company’s portfolio makes it particularly susceptible to adverse economic developments in Virginia’s real estate market. Any adverse economic or real estate developments in this market, such as business layoffs or downsizing, industry slowdowns, relocations of businesses, changing demographics and other factors, or any decrease in demand for office or bank branch space resulting from the local business climate, could adversely affect the Company’s operating results. Impairment of Real Estate During the three months ended March 31, 2016 , the Company recorded non-cash impairment charges of $10.9 million , of which $10.6 million relates to 20 properties classified as real estate held for investment (including 18 GKK Properties), to write-down the carrying values of these real estate investments to their estimated fair values and $0.3 million with respect to three GKK Properties that were held for sale to write-down the carrying values of these real estate investments to their estimated sales price less estimated costs to sell. See Note 6, “Real Estate Held for Sale and Discontinued Operations,” for information regarding impairments of assets related to real estate held for sale. The facts and circumstances leading to the impairments on the Company’s real estate held for investment are as follows: City Gate Plaza The Company recognized an impairment charge during the three months ended March 31, 2016 of $2.7 million to reduce the carrying value of the Company's investment in City Gate Plaza, an office property located in Sacramento, California, to its estimated fair value. During the three months ended March 31, 2016 , the Company revised its cash flow projections to account for higher projected leasing costs to stabilize the property. The continued lack of demand in the Sacramento office rental market also resulted in higher capitalization rates. University Park Buildings The Company recognized an impairment charge during the three months ended March 31, 2016 of $1.2 million to reduce the carrying value of the Company's investment in the University Park Buildings, an office property located in Sacramento, California, to its estimated fair value. The Company revised its cash flow projections primarily to account for higher projected capital costs for general building upgrades and to address certain maintenance issues. The continued lack of demand in the Sacramento office rental market also resulted in higher capitalization rates. GKK Properties Citizens Bank Portfolio The Company recognized an impairment charge during the three months ended March 31, 2016 of $5.3 million relating to 13 properties in the Citizens Bank Portfolio due to a decrease in cash flow projections primarily due to an increase in projected vacancy, thus decreasing the projected cash flows the properties would generate. Other Properties The Company recognized an impairment charge during the three months ended March 31, 2016 of $1.4 million relating to five other GKK Properties classified as held for investment. No impairment charge related to any individual property was greater than $600,000 . These impairments generally resulted from changes in the projected hold periods or changes in lease projections including longer estimated lease-up periods and lower projected rental rates, thus decreasing the projected cash flows the properties would generate.

TENANT ORIGINATION AND ABSORPTI

TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES	3 Months Ended
	Mar. 31, 2016
Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities [Abstract]
TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES	TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES As of March 31, 2016 and December 31, 2015 , the Company’s tenant origination and absorption costs, above-market lease assets, and below-market lease liabilities (excluding fully amortized assets and liabilities and accumulated amortization) were as follows (in thousands): Tenant Origination and Absorption Costs Above-Market Lease Assets Below-Market Lease Liabilities March 31, 2016 December 31, 2015 March 31, 2016 December 31, 2015 March 31, 2016 December 31, 2015 Cost, net of impairments $ 42,928 $ 44,560 $ 13,624 $ 13,624 $ (57,820 ) $ (57,844 ) Accumulated amortization (24,450 ) (24,584 ) (8,673 ) (8,207 ) 37,682 35,797 Net amount $ 18,478 $ 19,976 $ 4,951 $ 5,417 $ (20,138 ) $ (22,047 ) Increases (decreases) in net income as a result of amortization of the Company’s tenant origination and absorption costs, above-market lease assets and below-market lease liabilities for the three months ended March 31, 2016 and 2015 were as follows (in thousands): Tenant Origination and Absorption Costs Above-Market Lease Assets Below-Market Lease Liabilities For the Three Months Ended March 31, For the Three Months Ended March 31, For the Three Months Ended March 31, 2016 2015 2016 2015 2016 2015 Amortization $ (1,542 ) $ (2,824 ) $ (828 ) $ (855 ) $ 2,140 $ 2,645

REAL ESTATE LOANS RECEIVABLE

REAL ESTATE LOANS RECEIVABLE	3 Months Ended
	Mar. 31, 2016
Receivables [Abstract]
REAL ESTATE LOANS RECEIVABLE	REAL ESTATE LOANS RECEIVABLE As of March 31, 2016 and December 31, 2015 , the Company, through indirect wholly owned subsidiaries, had invested in or originated real estate loans receivable as follows (dollars in thousands): Loan Name Location of Related Property or Collateral Date Acquired/ Originated Property Type Loan Type Outstanding Principal Balance as of March 31, 2016 (1) Book Value as of March 31, 2016 (2) Book Value as of December 31, 2015 (2) Contractual Interest Rate (3) Annualized Effective Interest Rate (3) Maturity Date Sandmar Mezzanine Loan Southeast U.S. (4) 01/09/2007 Retail Mezzanine $ 5,074 $ 5,096 $ 5,096 5.4% — % 01/01/2017 Lawrence Village Plaza Loan Origination New Castle, Pennsylvania (5) 08/06/2007 Retail Mortgage 6,882 6,882 6,903 8.0% 8.1 % 09/01/2015 San Diego Office Portfolio B-Note San Diego, California (6) 10/26/2007 Office B-Note 20,000 18,498 18,277 5.8% 11.2 % 10/11/2017 4929 Wilshire B-Note Los Angeles, California 11/19/2007 Office B-Note 3,820 3,539 3,503 6.1% 12.4 % 07/11/2017 $ 35,776 $ 34,015 $ 33,779 Reserve for Loan Losses (7) — (6,498 ) (6,498 ) $ 35,776 $ 27,517 $ 27,281 _____________________ (1) Outstanding principal balance as of March 31, 2016 represents original principal balance outstanding under the loan, increased for any subsequent fundings and reduced for any principal paydowns. (2) Book value represents outstanding principal balance, adjusted for unamortized acquisition discounts, origination fees and direct origination and acquisition costs. Loan balances are presented gross of any asset-specific reserves. (3) Contractual interest rate is the stated interest rate on the face of the loan. Annualized effective interest rate is calculated as the actual interest income recognized in 2016, using the interest method, annualized and divided by the average amortized cost basis of the investment during 2016. The contractual interest rates and annualized effective interest rates presented are as of March 31, 2016 . (4) The Company had recorded an asset-specific loan loss reserve against this investment as of March 31, 2016 . See “—Reserve for Loan Losses.” (5) On September 1, 2015, the Lawrence Village Plaza Loan Origination matured without repayment. The Company had recorded an asset-specific loan loss reserve against this investment as of March 31, 2016 . See “—Reserve for Loan Losses.” On March 29, 2016, the Company entered into an agreement in lieu of foreclosure with the borrower under the Lawrence Village Plaza Loan Origination. On April 25, 2016, the scheduled closing date of the agreement in lieu of foreclosure was extended to May 13, 2016. (6) The borrower under this note is a wholly owned subsidiary of the Irvine Company. Donald Bren, who is the brother of Peter Bren (one of the Company’s executive officers and sponsors), is the chairman of the Irvine Company. During the three months ended March 31, 2016 , the Company recognized $0.5 million of interest income related to its investment in this loan. (7) See “—Reserve for Loan Losses.” As of March 31, 2016 and December 31, 2015 , interest receivable from real estate loans receivable was $0.1 million and $0.1 million , respectively, and is included in rents and other receivables. The following summarizes the activity related to real estate loans receivable for the three months ended March 31, 2016 (in thousands): Real estate loans receivable, net - December 31, 2015 $ 27,281 Principal repayments received on real estate loans receivable (35 ) Accretion of discounts on purchased real estate loans receivable 280 Amortization of origination fees and costs on purchased and originated real estate loans receivable (9 ) Real estate loans receivable, net - March 31, 2016 $ 27,517 For the three months ended March 31, 2016 and 2015 , interest income from real estate loans receivable consisted of the following (in thousands): Three Months Ended March 31, 2016 2015 Contractual interest income $ 539 $ 486 Interest accretion 280 248 Amortization of origination fees and costs (9 ) (8 ) Interest income from real estate loans receivable $ 810 $ 726 The Company generally recognizes income on impaired loans on either a cash basis, where interest income is only recorded when received in cash, or on a cost-recovery basis, where all cash receipts are applied against the carrying value of the loan. The Company will resume the accrual of interest if it determines the collection of interest according to the contractual terms of the loan is probable. The Company considers the collectibility of the loan’s principal balance in determining whether to recognize income on impaired loans on a cash basis or a cost-recovery basis. As of March 31, 2016 , the borrower under the Sandmar Mezzanine Loan was delinquent. Beginning in July 2014, interest income received on the Sandmar Mezzanine Loan was recorded on a cost-recovery basis. As of September 30, 2015, the book value, which is net of the loan loss reserve for the Sandmar Mezzanine Loan was $0 . Subsequent to September 30, 2015, the Company began recognizing cash receipts related to the Sandmar Mezzanine Loan as interest income. During the three months ended March 31, 2016 and 2015 , the Company recognized interest income of $49,000 and $0 related to the Sandmar Mezzanine Loan, respectively. On September 1, 2015, the Lawrence Village Plaza Loan Origination matured without repayment and the Company began recognizing interest income on a cash basis. During the three months ended March 31, 2016 and 2015 , the Company recognized interest income of $0.1 million and $0.1 million on the Lawrence Village Plaza Loan Origination, respectively. Reserve for Loan Losses As of March 31, 2016 , the total reserve for loan losses consisted of $5.1 million of asset-specific reserves related to the Sandmar Mezzanine Loan and $1.4 million of asset-specific reserves related to the Lawrence Village Plaza Loan Origination; these loans had amortized cost bases of $5.1 million and $6.9 million , respectively. The Company did not record additional loan loss reserves during the three months ended March 31, 2016 .

REAL ESTATE HELD FOR SALE AND D

REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS	3 Months Ended
	Mar. 31, 2016
Discontinued Operations and Disposal Groups [Abstract]
REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS	REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS In accordance with ASU No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity (“ASU No. 2014-08”), operating results of properties that are classified as held for sale in the ordinary course of business on or subsequent to January 1, 2014 would generally be included in continuing operations on the Company’s consolidated statements of operations. Operating results of properties that were classified as held for sale in financial statements issued for the reporting periods prior to January 1, 2014 will remain in discontinued operations on the Company’s consolidated statement of operations. Prior to the adoption of ASU No. 2014-08, the operating results of properties held for sale or to be disposed of and the aggregate net gains recognized upon their disposition were presented as discontinued operations in the accompanying consolidated statements of operations for all periods presented. During the year ended December 31, 2015 , the Company disposed of 34 properties (of which 31 were GKK Properties) and terminated its leasehold interest in three GKK Properties. As of December 31, 2015 , the Company had classified eight properties as held for sale (all of which were GKK Properties). During the three months ended March 31, 2016 , the Company disposed of 14 properties (all of which were GKK Properties). As of March 31, 2016 , the Company had classified 77 properties as held for sale, all of which were GKK Properties. The following summary presents the major components of assets and liabilities related to real estate held for sale as of March 31, 2016 and December 31, 2015 (in thousands): March 31, 2016 December 31, 2015 Assets related to real estate held for sale Total real estate, at cost and net of impairment charges $ 157,889 $ 179,708 Accumulated depreciation and amortization (29,378 ) (32,948 ) Real estate held for sale, net 128,511 146,760 Other assets 18,243 18,855 Total assets related to real estate held for sale $ 146,754 $ 165,615 Liabilities related to real estate held for sale Notes payable, net 118,982 119,592 Other liabilities 3,496 5,164 Total liabilities related to real estate held for sale $ 122,478 $ 124,756 During the three months ended March 31, 2016 , the Company sold 14 GKK Properties, which properties were not classified as held for sale in financial statements issued for the reporting periods prior to January 1, 2014. During the year ended December 31, 2015 , the Company sold three historical real estate properties and 30 GKK Properties, which properties were not classified as held for sale in financial statements issued for the reporting periods prior to January 1, 2014. As of March 31, 2016 , the Company had classified 77 properties as held for sale, all of which were GKK Properties. In accordance with ASU No. 2014-08, the operations of these properties are included in continuing operations on the Company’s consolidated statements of operations. The following table summarizes certain revenues and expenses related to all of these properties, which were included in continuing operations (in thousands): Three Months Ended March 31, 2016 2015 Revenues Rental income $ 4,338 $ 11,139 Tenant reimbursements and other operating income 1,710 4,684 Total revenues 6,048 15,823 Expenses Operating, maintenance, and management 1,593 6,531 Real estate taxes and insurance 759 1,991 Asset management fees to affiliate — 130 General and administrative expenses 1 — Depreciation and amortization 520 4,763 Interest expense 1,949 4,244 Impairment of real estate 271 — Total expenses 5,093 17,659 Discontinued Operations The following table summarizes operating income from discontinued operations for the three months ended March 31, 2016 and 2015 (in thousands): Three Months Ended March 31, 2016 2015 Total revenues and other income $ — $ 33 Total expenses 5 (11 ) (Loss) income from discontinued operations before gain on sales of real estate, net, and impairment charge (5 ) 44 Gain on sales of real estate, net — 124 (Loss) income from discontinued operations $ (5 ) $ 168 Foreclosed Real Estate Held for Sale During the three months ended March 31, 2015 , the Company sold the remaining two condominium units of the Tribeca Building and recognized a gain on sale of $2.5 million (which gain on sale has been reduced by disposition fees to the Advisor of $0.2 million related to these two Units) and recorded expenses of $0.2 million related to foreclosed real estate held for sale.

NOTES PAYABLE

NOTES PAYABLE	3 Months Ended
	Mar. 31, 2016
Notes Payable [Abstract]
NOTES PAYABLE	NOTES PAYABLE As of March 31, 2016 and December 31, 2015 , the Company’s notes payable, including notes payable related to real estate held for sale, consisted of the following (dollars in thousands): Loan Type Book Value as of March 31, 2016 Book Value as of December 31, 2015 Contractual Interest Rate as of March 31, 2016 (1) Effective (1) Payment Type Maturity Date (2) Notes Payable Plaza in Clayton Mortgage Loan $ 62,200 $ 62,200 5.9% 5.9% Interest Only 10/06/2016 Portfolio Loan 164,131 164,131 One-month LIBOR + 1.80% 2.2% Interest Only 01/01/2017 226,331 226,331 GKK Properties Notes Payable Bank of America - BBD2 Mortgage Loan (3) 65,223 65,712 6.0% 6.0% Principal & Interest 09/08/2019 Pitney Bowes - Bank of America Mortgage Loan 36,160 36,160 5.3% 5.3% Principal & Interest 10/10/2022 FSI 6000D Mortgage Loan (4) 28,646 28,934 5.8% 5.8% Principal & Interest 06/05/2017 FSI 6000B Mortgage Loan (4) 27,641 27,763 5.8% 5.8% Principal & Interest 06/05/2017 FSI 6000A Mortgage Loan (4) 24,197 24,271 6.8% 6.8% Principal & Interest 10/05/2017 FSI 6000C Mortgage Loan (4) 21,900 21,967 6.8% 6.8% Principal & Interest 10/05/2017 203,767 204,807 Total notes payable principal outstanding 430,098 431,138 Discount on notes payable, net (5) (2,299 ) (2,487 ) Deferred financing costs, net (341 ) (429 ) Total notes payable, net $ 427,458 $ 428,222 _____________________ (1) Contractual interest rate represents the interest rate in effect under the loan as of March 31, 2016 . Effective interest rate is calculated as the actual interest rate in effect as of March 31, 2016 (consisting of the contractual interest rate), using interest rate indices as of March 31, 2016 , where applicable. (2) Represents the initial maturity date or the maturity date as extended as of March 31, 2016 ; subject to certain conditions, the maturity dates of certain loans may be extended beyond the maturity date shown. (3) On April 15, 2016, the Company, through an indirect wholly owned subsidiary, entered into a defeasance agreement with the lenders under the Bank of America - BBD2 Mortgage Loan. See Note 12, “Subsequent Events - Defeasance of the Bank of America - BBD2 Mortgage Loan.” (4) On April 11, 2016, the Company, through indirect wholly owned subsidiaries, entered into a defeasance agreement with each of the lenders under these loans. See Note 12, “Subsequent Events - Disposition of the FSI 6000 Properties and Defeasance of the FSI 6000 Mortgage Loans.” (5) Represents the unamortized discounts and premiums on notes payable due to the above- and below-market interest rates when the loans were assumed. The discounts and premiums are amortized over the remaining life of the respective loan. As of March 31, 2016 and December 31, 2015 , the Company’s deferred financing costs were $0.3 million and $0.4 million , respectively, net of amortization. During the three months ended March 31, 2016 and 2015 , the Company incurred interest expense of $5.2 million and $8.7 million , respectively. Included in interest expense was: (i) the amortization of deferred financing costs of $0.1 million and $0.5 million for the three months ended March 31, 2016 and 2015 , respectively, and (ii) the amortization of discounts and premiums on notes payable, which increased interest expense by $0.2 million and $0.5 million for the three months ended March 31, 2016 and 2015 , respectively. As of March 31, 2016 and December 31, 2015 , $2.2 million and $1.7 million of interest was payable, respectively. The following is a schedule of maturities, including principal amortization payments, for all notes payable outstanding as of March 31, 2016 (in thousands): April 1, 2016 through December 31, 2016 $ 67,078 2017 269,788 2018 4,707 2019 61,957 2020 2,728 Thereafter 23,840 $ 430,098 The following summarizes the activity related to notes payable for the three months ended March 31, 2016 (in thousands): Total notes payable, net - December 31, 2015 $ 428,222 Principal repayments (1,040 ) Amortization of discounts and premiums on notes payable, net 188 Amortization of deferred financing costs 88 Total notes payable, net - March 31, 2016 $ 427,458 Debt Covenants The documents evidencing the Company’s outstanding debt obligations typically require that specified loan-to-value and debt service coverage ratios be maintained with respect to the financed properties. A breach of the financial covenants in these documents may result in the lender imposing additional restrictions on the Company’s operations, such as restrictions on the Company’s ability to incur additional debt, or may allow the lender to impose “cash traps” with respect to cash flow from the property securing the loan. In addition, such a breach may constitute an event of default and the lender could require the Company to repay the debt immediately. If the Company fails to make such repayment in a timely manner, the lender may be entitled to take possession of any property securing the loan. As of March 31, 2016 , the Company was in compliance with these debt covenants.

FAIR VALUE DISCLOSURES

FAIR VALUE DISCLOSURES	3 Months Ended
	Mar. 31, 2016
Fair Value Disclosures [Abstract]
FAIR VALUE DISCLOSURES	FAIR VALUE DISCLOSURES Under GAAP, the Company is required to measure certain financial instruments at fair value on a recurring basis. In addition, the Company is required to measure other non-financial and financial assets at fair value on a non-recurring basis (e.g., carrying value of impaired real estate loans receivable and long-lived assets). Fair value is defined as the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The GAAP fair value framework uses a three-tiered approach. Fair value measurements are classified and disclosed in one of the following three categories: • Level 1: unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities; • Level 2: quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which significant inputs and significant value drivers are observable in active markets; and • Level 3: prices or valuation techniques where little or no market data is available that requires inputs that are both significant to the fair value measurement and unobservable. The fair value for certain financial instruments is derived using a combination of market quotes, pricing models and other valuation techniques that involve significant management judgment. The price transparency of financial instruments is a key determinant of the degree of judgment involved in determining the fair value of the Company’s financial instruments. Financial instruments for which actively quoted prices or pricing parameters are available and for which markets contain orderly transactions will generally have a higher degree of price transparency than financial instruments for which markets are inactive or consist of non-orderly trades. The Company evaluates several factors when determining if a market is inactive or when market transactions are not orderly. The following is a summary of the methods and assumptions used by management in estimating the fair value of each class of assets and liabilities for which it is practicable to estimate the fair value: Cash and cash equivalents, restricted cash, rent and other receivables, and accounts payable and accrued liabilities: These balances approximate their fair values due to the short maturities of these items. Real estate loans receivable: These instruments are presented in the accompanying consolidated balance sheets at their amortized cost net of recorded loan loss reserves and not at fair value. The fair values of real estate loans receivable were estimated using an internal valuation model that considered the expected cash flows for the loans, underlying collateral values (for collateral-dependent loans) and estimated yield requirements of institutional investors for loans with similar characteristics, including remaining loan term, loan-to-value, type of collateral and other credit enhancements. The Company classifies these inputs as Level 3 inputs. Notes payable: The fair values of the Company’s notes payable are estimated using a discounted cash flow analysis based on management’s estimates of current market interest rates for instruments with similar characteristics, including remaining loan term, loan-to-value ratio, type of collateral and other credit enhancements. Additionally, when determining the fair value of a liability in circumstances in which a quoted price in an active market for an identical liability is not available, the Company measures fair value using (i) a valuation technique that uses the quoted price of the identical liability when traded as an asset or quoted prices for similar liabilities when traded as assets or (ii) another valuation technique that is consistent with the principles of fair value measurement, such as the income approach or the market approach. The Company classifies these inputs as Level 3 inputs. The following were the face values, carrying amounts and fair values of the Company’s real estate loans receivable and notes payable as of March 31, 2016 and December 31, 2015 , which carrying amounts generally do not approximate the fair values (in thousands): March 31, 2016 December 31, 2015 Face Value Carrying Amount Fair Value Face Value Carrying Amount Fair Value Financial assets: Real estate loans receivable (1) $ 35,776 $ 27,517 $ 25,747 $ 35,811 $ 27,281 $ 25,218 Financial liabilities: Notes payable $ 430,098 $ 427,458 $ 450,544 $ 431,138 $ 428,222 $ 448,351 _____________________ (1) Carrying amount of real estate loans receivable includes loan loss reserves. Disclosure of the fair values of financial instruments is based on pertinent information available to the Company as of the period end and requires a significant amount of judgment. The actual value of these investments could be materially different from the Company’s estimate of value. Assets Recorded at Fair Value During the three months ended March 31, 2016 , the Company measured the following assets at fair value on a nonrecurring basis (in thousands): Fair Value Measurements Using Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Nonrecurring Basis (1) : Impaired real estate held for investment $ 37,070 $ — $ — $ 37,070 Impaired real estate held for sale 8,771 — — 8,771 _____________________ (1) Amounts represent the aggregate fair value for real estate assets impacted by impairment charges during the three months ended March 31, 2016 , as of the date that the fair value measurements were made. The carrying value for these real estate assets may have subsequently increased or decreased from the fair value reflected due to activity that has occurred since the measurement date. As of March 31, 2016 , certain of the Company’s real estate properties held for investment were measured at estimated fair value as these properties were impaired and the carrying values of these properties were adjusted as a result of changes in cash flow projections. See Note 3, “Real Estate Held for Investment — Impairment of Real Estate,” for information regarding impairments related to real estate held for investment. As of March 31, 2016 , certain of the Company’s real estate properties held for sale and sold were measured at estimated fair value as these properties were impaired and the carrying values of these properties were adjusted to estimated fair value. The Company estimated the fair value for these impaired real estate properties held for sale and sold based on an estimated sales price, less estimated costs to sell.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2016
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS The Company has entered into an Advisory Agreement with the Advisor, which entitles the Advisor to specified fees for the management and disposition of investments, among other services, as well as to reimbursement for certain costs incurred by the Advisor in providing services to the Company. In addition, the Advisor is entitled to certain other fees, including an incentive fee upon achieving certain performance goals, as detailed in the Advisory Agreement. The Company has also entered into a fee reimbursement agreement (the “AIP Reimbursement Agreement”) with the Dealer Manager pursuant to which the Company agreed to reimburse the Dealer Manager for certain fees and expenses it incurs for administering the Company’s participation in the DTCC Alternative Investment Product Platform with respect to certain accounts of the Company’s investors serviced through the platform. The Advisor also serves, and the Dealer Manager also serves or served, as the advisor and dealer manager, respectively, for KBS Real Estate Investment Trust II, Inc., KBS Real Estate Investment Trust III, Inc., KBS Strategic Opportunity REIT, Inc., KBS Legacy Partners Apartment REIT, Inc., KBS Strategic Opportunity REIT II, Inc. and KBS Growth & Income REIT, Inc. On January 6, 2014, the Company, together with KBS Real Estate Investment Trust II, Inc., KBS Real Estate Investment Trust III, Inc., KBS Strategic Opportunity REIT, Inc., KBS Legacy Partners Apartment REIT, Inc., KBS Strategic Opportunity REIT II, Inc., the Dealer Manager, the Advisor and other KBS-affiliated entities, entered into an errors and omissions and directors and officers liability insurance program where the lower tiers of such insurance coverage are shared. The cost of these lower tiers is allocated by the Advisor and its insurance broker among each of the various entities covered by the program, and is billed directly to each entity. The allocation of these shared coverage costs is proportionate to the pricing by the insurance marketplace for the first tiers of directors and officers liability coverage purchased individually by each REIT. The Advisor’s and the Dealer Manager’s portion of the shared lower tiers’ cost is proportionate to the respective entities’ prior cost for the errors and omissions insurance. In June 2015, KBS Growth & Income REIT, Inc. was added to the insurance program at terms similar to those described above. During the three months ended March 31, 2016 and 2015 , no other business transactions occurred between the Company and the other KBS-sponsored programs. On May 18, 2012, KBS Strategic Opportunity REIT, Inc. made an $8.0 million investment in a joint venture in which the Company indirectly owns a participation interest through another joint venture investment. Pursuant to the terms of the Advisory Agreement and the AIP Reimbursement Agreement, summarized below are the related-party costs incurred by the Company for the three months ended March 31, 2016 and 2015 , respectively, and any related amounts payable as of March 31, 2016 and December 31, 2015 (in thousands): Incurred Payable Three Months Ended March 31, March 31, December 31, 2016 2015 2016 2015 Expensed Asset management fees $ 2,348 $ 2,420 $ — $ — Reimbursement of operating expenses (1) 64 49 46 68 Disposition fees (2) 418 1,185 — — $ 2,830 $ 3,654 $ 46 $ 68 _____________________ (1) Reimbursable operating expenses primarily consists of internal audit personnel costs, accounting software and cybersecurity related expenses incurred by the Advisor under the Advisory Agreement. The Company reimburses the Advisor for the Company’s allocable portion of the salaries, benefits and overhead of internal audit department personnel providing services to the Company. These amounts totaled $64,000 and $45,000 for the three months ended March 31, 2016 and 2015 , respectively. These were the only type of employee costs reimbursed under the Advisory Agreement for the three months ended March 31, 2016 and 2015 . The Company will not reimburse for employee costs in connection with services for which the Advisor earns disposition fees (other than reimbursement of travel and communication expenses) or for the salaries or benefits the Advisor or its affiliates may pay to the Company’s executive officers. In addition to the amounts above, the Company reimburses the Advisor for certain of the Company’s direct costs incurred from third parties that were initially paid by the Advisor on behalf of the Company. (2) Disposition fees with respect to real estate sold are included in the gain (loss) on sales of real estate in the accompanying consolidated statements of operations. As of March 31, 2016 , the Company had $112,000 due from the Advisor, which consisted of $36,000 in property insurance rebate and $76,000 in legal and professional fees reimbursable to the Company. Modification of Disposition Fee Related to GKK Properties In accordance with the Advisory Agreement, for substantial assistance in connection with the sale of properties, loans or other investments as determined by the conflicts committee of the Company’s board of directors, the Company pays the Advisor or its affiliates a disposition fee of 1% of the contract sales price of the properties, loans or other investments sold. However, in no event may the total commissions (including such disposition fees) paid to the Advisor, its affiliates and unaffiliated third parties exceed 6% of the contract sales price of the property, loan or other investment sold or exceed a competitive real estate commission. Notwithstanding the foregoing, in January 2015, the disposition fee related to the sales of GKK Properties was modified to provide that the conflicts committee will determine in its sole discretion the amount of the disposition fee related to the sale of GKK Properties upon the terms set forth below, which disposition fee may be an amount not to exceed 1% of the contract sales price, which maximum amount is consistent with the fixed percentage applicable to the sales of other properties, loans and other investments. With respect to sales of the GKK Properties, and provided that the conflicts committee determines that the Advisor has provided a substantial amount of services in connection with the sale of each GKK Property for which the payment of a disposition fee is requested by the Advisor, then: (a) With respect to portfolio or single asset sales of GKK Properties designated by the conflicts committee in its sole discretion at or about the time of the sale, the Company will pay the Advisor a fee in an amount not to exceed 1% of the contract sales price and subject to other limitations and conditions set forth in the Advisory Agreement, as determined by the conflicts committee in its sole discretion, which fee will be payable upon the respective closing; and (b) With respect to sales of all other GKK Properties for which a disposition fee has not yet been paid, if, upon the sale of the final GKK Property, the conflicts committee determines in its sole discretion that the Company has recovered its entire investment related to the GKK Mezzanine Loan and the GKK Properties subsequent to the Settlement Agreement, after taking into consideration the net cash flow received by the Company from the investment, whether in the form of (i) net proceeds from the sales or other dispositions or transfers of the GKK Properties, (ii) the net cash flow related to the GKK Mezzanine Loan, (iii) the net cash flow related to the GKK Properties subsequent to the Settlement Agreement and/or (iv) other proceeds related to the assets and liabilities received under the Settlement Agreement, then the Company will pay the Advisor a fee in an amount not to exceed 1% of the contract sales price and subject to other conditions set forth in the Advisory Agreement, as determined by the conflicts committee in its sole discretion, which fee will be payable promptly upon such determination by the conflicts committee. As of March 31, 2016 , the Company had sold 161 GKK Properties for an aggregate contract sales price of $214.1 million for which the Company had not paid or accrued a disposition fee. If the conflicts committee determines the Company has recovered its entire investment related to the GKK Mezzanine Loan and the GKK Properties upon the sale of the final GKK Property, the conflicts committee may authorize the Company to pay the Advisor a disposition fee of up to 1% of the aggregate contract sales price of these GKK Properties sold as of March 31, 2016 , which amount would be determined by the conflicts committee in its sole discretion.

SEGMENT INFORMATION

SEGMENT INFORMATION	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
SEGMENT INFORMATION	SEGMENT INFORMATION The Company presently operates in three business segments based on its investment types: real estate, real estate-related and commercial properties primarily leased to financial institutions received under the Settlement Agreement, or the GKK Properties. Under the real estate segment, the Company has invested primarily in office and industrial properties located throughout the United States. The real estate segment excludes all real estate properties that were classified as discontinued operations. Under the real estate-related segment, the Company has invested in or originated mortgage loans, mezzanine loans and other real estate-related assets, including real estate securities. The GKK Properties segment consists of primarily office properties, bank branch properties, operations centers and other properties located in 29 states but excludes GKK Properties that were classified as discontinued operations. All revenues earned from the Company’s three reporting segments were from external customers and there were no intersegment sales or transfers. The Company does not allocate corporate-level accounts to its reporting segments. Corporate-level accounts include corporate general and administrative expenses, asset management fees, non-operating interest income and other corporate-level expenses. The accounting policies of the reporting segments are consistent with those described in Note 2, “Summary of Significant Accounting Policies.” The Company evaluates the performance of its segments based upon net operating income from continuing operations (“NOI”), which is a non-GAAP supplemental financial measure. The Company defines NOI for its real estate segment and the GKK Properties segment as operating revenues (rental income, tenant reimbursements and other operating income) less property and related expenses (property operating expenses, real estate taxes, insurance and provision for bad debt) less interest expense. The Company defines NOI for its real estate-related segment as interest income and income from its unconsolidated joint venture investment less loan servicing costs (if applicable) and interest expense (if applicable). NOI excludes certain items that are not considered to be controllable in connection with the management of an asset such as non-property income and expenses, depreciation and amortization, asset management fees and corporate general and administrative expenses. The Company uses NOI to evaluate the operating performance of the Company’s real estate investments, real estate-related investments and the GKK Properties and to make decisions about resource allocations. The Company believes that net income is the GAAP measure that is most directly comparable to NOI; however, NOI should not be considered as an alternative to net income as the primary indicator of operating performance as it excludes the items described above. Additionally, NOI as defined above may not be comparable to other REITs or companies as their definitions of NOI may differ from the Company’s definition. During the year ended December 31, 2014, the Company revised its definition of NOI to exclude asset management fees, which the Company does not consider to be controllable in connection with the management of each property or real estate-related asset and is viewed by the chief operating decision makers as a corporate-level administrative expense. NOI for all prior periods presented has been adjusted to conform to the current period definition. The following tables summarize total revenues, interest expense and NOI for each reportable segment for the three months ended March 31, 2016 and 2015 , and total assets and total liabilities for each reportable segment as of March 31, 2016 and December 31, 2015 (in thousands): For the Three Months Ended March 31, 2016 2015 Revenues: Real estate segment (1) $ 17,189 $ 17,841 Real estate-related segment 810 726 GKK Properties segment (1) 23,126 31,010 Total revenues $ 41,125 $ 49,577 Interest expense: Real estate segment (1) $ 1,938 $ 2,209 GKK Properties segment (1) 3,291 6,524 Total interest expense $ 5,229 $ 8,733 NOI: Real estate segment (1) $ 7,735 $ 6,394 Real estate-related segment 809 725 GKK Properties segment (1) 6,036 4,955 Total NOI $ 14,580 $ 12,074 As of March 31, As of December 31, 2016 2015 Assets: Real estate segment $ 493,978 $ 499,789 Real estate-related segment 28,705 27,899 GKK Properties segment 324,063 350,392 Total segment assets 846,746 878,080 Real estate held for sale 146,754 165,615 Corporate-level (2) 59,974 11,170 Total assets $ 1,053,474 $ 1,054,865 Liabilities: Real estate segment $ 242,832 $ 243,387 Real estate-related segment 14 3 GKK Properties segment 152,124 155,752 Total segment liabilities 394,970 399,142 Real estate held for sale 122,478 124,756 Corporate-level (3) 1,446 1,304 Total liabilities $ 518,894 $ 525,202 _____________________ (1) Amounts include certain properties in continuing operations that were sold or held for sale as of March 31, 2016 . See Note 6, “Real Estate Held for Sale and Discontinued Operations” for more information. (2) Total corporate-level assets consisted primarily of cash and cash equivalents of approximately $59.5 million and $10.6 million as of March 31, 2016 and December 31, 2015 , respectively. (3) As of March 31, 2016 and December 31, 2015 , corporate-level liabilities consisted primarily of accounts payable and accrued liabilities for general and administrative expenses. The following table reconciles the Company’s net income to its NOI for the three months ended March 31, 2016 and 2015 (amounts in thousands): For the Three Months Ended March 31, 2016 2015 Net income $ 10,819 $ 8,589 Gain on sales of real estate (23,586 ) (13,967 ) Loss (gain) from extinguishment of debt 3 — Gain on sale of foreclosed real estate held for sale — (2,509 ) Other income and interest income (243 ) (116 ) Asset management fees to affiliate 2,348 2,420 General and administrative expenses 3,372 2,220 Depreciation and amortization 10,998 15,605 Impairment charges on real estate 10,864 — Total income from discontinued operations 5 (168 ) NOI (1) $ 14,580 $ 12,074 _____________________ (1) Amounts include certain properties in continuing operations that were sold or held for sale as of March 31, 2016 . See Note 6, “Real Estate Held for Sale and Discontinued Operations” for more information.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Lease Obligations Pursuant to the Settlement Agreement, the Company indirectly received leasehold interests in certain commercial properties, pursuant to leases between the owner of the property, as landlord, and the Company, as tenant. The ground leases have expiration dates from 2017 through 2042 and the building leases have expiration dates from 2016 through 2085. These lease obligations generally contain rent increases and renewal options. In certain instances, the rent owed by the Company to the owner of the property under the lease is greater than the revenue received by the Company from the tenants occupying the property. Future minimum lease payments owed by the Company under non-cancelable operating building and ground leases as of March 31, 2016 were as follows (in thousands): April 1, 2016 through December 31, 2016 $ 12,477 2017 12,644 2018 2,440 2019 1,774 2020 1,289 Thereafter 30,182 $ 60,806 If the Company was to dispose of an asset that is subject to a ground lease, the Company may incur additional losses to settle obligations related to the ground lease. Economic Dependency The Company is dependent on the Advisor for certain services that are essential to the Company, including the management of the Company’s real estate and real estate-related investment portfolio; the disposition of real estate and real estate-related investments; and other general and administrative responsibilities. In the event that the Advisor is unable to provide any of these services, the Company will be required to obtain such services from other sources. The Company is also dependent on the Property Manager for the Services under the Amended Services Agreement, including the operations, leasing and eventual dispositions of the GKK Properties. Environmental As an owner of real estate, the Company is subject to various environmental laws of federal, state and local governments. Although there can be no assurance, the Company is not aware of any environmental liability that could have a material adverse effect on its financial condition or results of operations. However, changes in applicable environmental laws and regulations, the uses and conditions of properties in the vicinity of the Company’s properties, the activities of its tenants and other environmental conditions of which the Company is unaware with respect to the properties could result in future environmental liabilities. Under the Settlement Agreement, the Company indirectly took title to or, with respect to a limited number of the GKK Properties, indirectly took a leasehold interest in, the GKK Properties on an “as is” basis. As such, the Company was not able to inspect the GKK Properties or conduct standard due diligence on certain of the GKK Properties before the transfers of the properties. Additionally, the Company did not receive representations, warranties and indemnities relating to the GKK Properties from Gramercy and/or its affiliates. Thus, the value of the GKK Properties may decline if the Company subsequently discovers environmental problems with the GKK Properties. Legal Matters From time to time, the Company is party to legal proceedings that arise in the ordinary course of its business. Management is not aware of any legal proceedings the outcome of which is probable or reasonably possible to have a material adverse effect on the Company’s results of operations or financial condition, which would require accrual or disclosure of the contingency and possible range of loss. Additionally, the Company has not recorded any loss contingencies related to legal proceedings in which the potential loss is deemed to be remote.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2016
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	SUBSEQUENT EVENTS The Company evaluates subsequent events up until the date the consolidated financial statements are issued. Distribution Declared On May 6, 2016, the Company’s board of directors declared a distribution in the amount of $0.025 per share of common stock to stockholders of record as of the close of business on June 22, 2016. The Company expects to pay this distribution on or about June 29, 2016. Disposition of the FSI 6000 Properties and Defeasance of the FSI 6000 Mortgage Loans On April 11, 2016, the Company sold 61 bank branch properties, containing 245,843 rentable square feet (the “FSI 6000 Properties”), to a buyer unaffiliated with the Company or the Advisor (the “FSI 6000 Buyer”), for an aggregate sales price, net of closing credits, of $139.6 million (which includes a payment of $6.6 million by the FSI 6000 Buyer to the Company to compensate the Company for costs and expenses the Company incurred in connection with the defeasance of the FSI 6000 Mortgage Loans, as defined below), excluding closing costs. In connection with the disposition of the FSI 6000 Properties, the Company entered into a defeasance agreement with each of the lenders under the FSI 6000A Mortgage Loan, FSI 6000B Mortgage Loan, FSI 6000C Mortgage Loan and FSI 6000D Mortgage Loan (collectively, the “FSI 6000 Mortgage Loans”) to defease the entire aggregate outstanding principal balance of $102.3 million under the FSI 6000 Mortgage Loans, releasing the FSI 6000 Properties, which had secured the FSI 6000 Mortgage Loans. The defeasance costs and write-off of an unamortized discount resulted in an aggregate loss on extinguishment of debt of approximately $6.6 million . Defeasance of the Bank of America - BBD2 Mortgage Loan On April 15, 2016, the Company, through an indirect wholly owned subsidiary, entered into a defeasance with the lender under the Bank of America - BBD2 Mortgage Loan to defease the remaining outstanding principal balance of $65.1 million , releasing all the properties that secured the Bank of America - BBD2 Mortgage Loan. The Bank of America - BBD2 Mortgage Loan bore interest at a rate of 5.96% and was due to mature on September 8, 2019. The defeasance costs and write-off of an unamortized discount and unamortized deferred financing costs resulted in a loss on extinguishment of debt of approximately $12.7 million .

SUMMARY OF SIGNIFICANT ACCOUN19

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
Basis of Presentation	The accompanying unaudited consolidated financial statements and condensed notes thereto have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information as contained within the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) and the rules and regulations of the SEC, including the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the unaudited consolidated financial statements do not include all of the information and footnotes required by GAAP for audited financial statements. In the opinion of management, the financial statements for the unaudited interim periods presented include all adjustments, which are of a normal and recurring nature, necessary for a fair and consistent presentation of the results for such periods. Operating results for the three months ended March 31, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016 .
Principles of Consolidation	The unaudited consolidated financial statements include the accounts of the Company, KBS REIT Holdings, the Operating Partnership and their direct and indirect wholly owned subsidiaries. All significant intercompany balances and transactions are eliminated in consolidation.
Use of Estimates	The preparation of the unaudited consolidated financial statements and condensed notes thereto in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the unaudited consolidated financial statements and condensed notes. Actual results could materially differ from those estimates.
Reclassifications	Certain amounts in the Company’s prior period consolidated financial statements have been reclassified to conform to the current period presentation. These reclassifications have not changed the results of operations of prior periods. During the three months ended March 31, 2016 , the Company sold 14 properties (all of which were GKK Properties). As of March 31, 2016 , the Company had classified 77 properties as held for sale, all of which were GKK Properties. As a result, certain assets and liabilities were reclassified to held for sale on the consolidated balance sheets for all periods presented.
Per Share Data	Basic net income (loss) per share of common stock is calculated by dividing net income (loss) by the weighted-average number of shares of common stock issued and outstanding during such period. Diluted net income (loss) per share of common stock equals basic net income (loss) per share of common stock, as there were no potentially dilutive securities outstanding during the three months ended March 31, 2016 and 2015 , respectively. Distributions declared per share of common stock were $0.025 and $0.025 for the three months ended March 31, 2016 and 2015 , respectively. Distributions per share of common stock were based on a quarterly record date for each quarter ended March 31, 2016 and 2015 , respectively.
Segments	The Company’s segments are based on the Company’s method of internal reporting, which classifies its operations by investment type: (i) real estate, (ii) real estate-related and (iii) commercial properties primarily leased to financial institutions received under the Settlement Agreement, the GKK Properties. For financial data by segment, see Note 10, “Segment Information.”
Recently Issued Accounting Standards Update	In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU No. 2014-09”). ASU No. 2014-09 requires an entity to recognize the revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. ASU No. 2014-09 supersedes the revenue requirements in Revenue Recognition (Topic 605) and most industry-specific guidance throughout the Industry Topics of the Codification. ASU No. 2014-09 does not apply to lease contracts within the scope of Leases (Topic 840). ASU No. 2014-09 was to be effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and is to be applied retrospectively, with early application not permitted. In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date (“ASU No. 2015-14”), which defers the effective date of ASU No. 2014-09 by one year. Early adoption is permitted but not before the original effective date. The Company is still evaluating the impact of adopting ASU No. 2014-09 on its financial statements, but does not expect the adoption of ASU No. 2014-09 to have a material impact on its financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements (Subtopic 205-40) , Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU No. 2014-15”). The amendments in ASU No. 2014-15 require management to evaluate, for each annual and interim reporting period, whether there are conditions or events, considered in the aggregate, that raise substantial doubt about an entity’s ability to continue as a going concern within one year after the date that the financial statements are issued (or are available to be issued when applicable) and, if so, provide related disclosures. ASU No. 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Early adoption is permitted for annual or interim reporting periods for which the financial statements have not previously been issued. The Company does not expect the adoption of ASU No. 2014-15 to have a significant impact on its financial statements. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU No. 2016-01”). The amendments in ASU No. 2016-01 address certain aspects of recognition, measurement, presentation and disclosure of financial instruments. ASU No. 2016-01 primarily affects accounting for equity investments and financial liabilities where the fair value option has been elected. ASU No. 2016-01 also requires entities to present financial assets and financial liabilities separately, grouped by measurement category and form of financial asset in the balance sheet or in the accompanying notes to the financial statements. ASU No. 2016-01 is effective for annual periods beginning after December 15, 2017, including interim periods within those fiscal years. Early application is permitted for financial statements that have not been previously issued. The Company does not expect the adoption of ASU No. 2016-01 to have a significant impact on its financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU No. 2016-02”). The amendments in ASU No. 2016-02 change the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. ASU No. 2016-02 is effective for annual periods beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption of ASU No. 2016-02 as of its issuance is permitted. The new leases standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. The Company is currently evaluating the impact of adopting the new leases standard on its consolidated financial statements.

REAL ESTATE HELD FOR INVESTME20

REAL ESTATE HELD FOR INVESTMENT (Tables)	3 Months Ended
	Mar. 31, 2016
Guarantor by Name [Line Items]
Schedule of Real Estate Investments	The following table summarizes the Company’s investments in real estate as of March 31, 2016 and December 31, 2015 (in thousands): Land Buildings and Improvements Tenant Origination and Absorption Costs Total Real Estate Held for Investment As of March 31, 2016: Office $ 61,335 $ 355,881 $ 566 $ 417,782 Industrial 14,651 73,737 2,244 90,632 GKK Properties 102,886 179,973 40,118 322,977 Real estate held for investment, at cost and net of impairment charges 178,872 609,591 42,928 831,391 Accumulated depreciation/amortization — (108,430 ) (24,450 ) (132,880 ) Real estate held for investment, net $ 178,872 $ 501,161 $ 18,478 $ 698,511 As of December 31, 2015: Office $ 61,986 $ 357,524 $ 565 $ 420,075 Industrial 14,651 73,411 2,244 90,306 GKK Properties 104,414 187,709 41,751 333,874 Real estate held for investment, at cost and net of impairment charges 181,051 618,644 44,560 844,255 Accumulated depreciation/amortization — (105,551 ) (24,584 ) (130,135 ) Real estate held for investment, net $ 181,051 $ 513,093 $ 19,976 $ 714,120
Schedule of Future Minimum Rental Income Under Non-cancelable Operating Leases	The future minimum rental income from the Company’s properties under non-cancelable operating leases, including leases subject to shedding rights and excluding options to extend, as of March 31, 2016 for the years ending December 31 is as follows (in thousands): April 1, 2016 through December 31, 2016 $ 71,663 2017 87,031 2018 76,670 2019 66,707 2020 52,272 Thereafter 140,532 $ 494,875
Schedules of Concentration of Risk, by Risk Factor	As of March 31, 2016 , the Company had a concentration of credit risk related to leases with the following tenant that represented more than 10% of the Company’s annualized base rent: Annualized Base Rent Statistics Tenant Property Tenant Industry Rentable Square Feet % of Portfolio Rentable Square Feet Annualized Base Rent (1) (in thousands) % of Portfolio Annualized Base Rent Annualized Base Rent per Square Foot Lease Expirations Bank of America, N.A. Various Finance 1,761,364 31.1 % $ 14,818 15.9 % $ 8.41 (2) _____________________ (1) Annualized base rent represents annualized contractual base rental income as of March 31, 2016 , adjusted to straight-line any contractual tenant concessions (including free rent), rent increases and rent decreases from the lease’s inception through the balance of the lease term. (2) As of March 31, 2016 , lease expiration dates ranged from 2019 through 2023 with a weighted-average remaining term of 4.2 years. As of March 31, 2016 , the Company’s highest tenant industry concentration (greater than 10% of annualized base rent) was as follows: Industry Number of Annualized (1) (in thousands) Percentage of Finance 51 $ 34,935 37.6 % _____________________ (1) Annualized base rent represents annualized contractual base rental income as of March 31, 2016 , adjusted to straight-line any contractual tenant concessions (including free rent), rent increases and rent decreases from the lease's inception through the balance of the lease term.
Bank of America Corporation [Member]
Guarantor by Name [Line Items]
Schedule of Condensed Consolidated Information	Bank of America Corporation is the guarantor of various leases that its subsidiary, Bank of America, N.A., has with the Company. The condensed consolidated financial information of Bank of America Corporation has been included herein because of the significant credit concentration the Company has with this guarantor. Bank of America Corporation currently files its financial statements in reports filed with the SEC, and the following unaudited summary financial data regarding Bank of America Corporation is taken from its previously filed public reports. For more detailed financial information regarding Bank of America Corporation, please refer to its financial statements, which are publicly available with the SEC at http:// www.sec.gov . Three Months Ended March 31, 2016 2015 Consolidated Statements of Income (in millions) Total revenue, net of interest expense $ 19,512 $ 20,914 Income before income taxes 3,699 4,322 Net income 2,680 3,097 As of March 31, 2016 December 31, 2015 Consolidated Balance Sheets (in millions) Total assets 2,185,498 $ 2,144,316 Total liabilities 1,922,722 1,888,111 Total stockholders’ equity $ 262,776 256,205

TENANT ORIGINATION AND ABSORP21

TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES (Tables)	3 Months Ended
	Mar. 31, 2016
Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities [Abstract]
Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities	As of March 31, 2016 and December 31, 2015 , the Company’s tenant origination and absorption costs, above-market lease assets, and below-market lease liabilities (excluding fully amortized assets and liabilities and accumulated amortization) were as follows (in thousands): Tenant Origination and Absorption Costs Above-Market Lease Assets Below-Market Lease Liabilities March 31, 2016 December 31, 2015 March 31, 2016 December 31, 2015 March 31, 2016 December 31, 2015 Cost, net of impairments $ 42,928 $ 44,560 $ 13,624 $ 13,624 $ (57,820 ) $ (57,844 ) Accumulated amortization (24,450 ) (24,584 ) (8,673 ) (8,207 ) 37,682 35,797 Net amount $ 18,478 $ 19,976 $ 4,951 $ 5,417 $ (20,138 ) $ (22,047 )
Amortization of Tenant Origination and Absorption Costs, Above-Market Leases and Below-Market Lease Liabilities	Increases (decreases) in net income as a result of amortization of the Company’s tenant origination and absorption costs, above-market lease assets and below-market lease liabilities for the three months ended March 31, 2016 and 2015 were as follows (in thousands): Tenant Origination and Absorption Costs Above-Market Lease Assets Below-Market Lease Liabilities For the Three Months Ended March 31, For the Three Months Ended March 31, For the Three Months Ended March 31, 2016 2015 2016 2015 2016 2015 Amortization $ (1,542 ) $ (2,824 ) $ (828 ) $ (855 ) $ 2,140 $ 2,645

REAL ESTATE LOANS RECEIVABLE (T

REAL ESTATE LOANS RECEIVABLE (Tables)	3 Months Ended
	Mar. 31, 2016
Receivables [Abstract]
Schedule of Real Estate Loans Receivable	As of March 31, 2016 and December 31, 2015 , the Company, through indirect wholly owned subsidiaries, had invested in or originated real estate loans receivable as follows (dollars in thousands): Loan Name Location of Related Property or Collateral Date Acquired/ Originated Property Type Loan Type Outstanding Principal Balance as of March 31, 2016 (1) Book Value as of March 31, 2016 (2) Book Value as of December 31, 2015 (2) Contractual Interest Rate (3) Annualized Effective Interest Rate (3) Maturity Date Sandmar Mezzanine Loan Southeast U.S. (4) 01/09/2007 Retail Mezzanine $ 5,074 $ 5,096 $ 5,096 5.4% — % 01/01/2017 Lawrence Village Plaza Loan Origination New Castle, Pennsylvania (5) 08/06/2007 Retail Mortgage 6,882 6,882 6,903 8.0% 8.1 % 09/01/2015 San Diego Office Portfolio B-Note San Diego, California (6) 10/26/2007 Office B-Note 20,000 18,498 18,277 5.8% 11.2 % 10/11/2017 4929 Wilshire B-Note Los Angeles, California 11/19/2007 Office B-Note 3,820 3,539 3,503 6.1% 12.4 % 07/11/2017 $ 35,776 $ 34,015 $ 33,779 Reserve for Loan Losses (7) — (6,498 ) (6,498 ) $ 35,776 $ 27,517 $ 27,281 _____________________ (1) Outstanding principal balance as of March 31, 2016 represents original principal balance outstanding under the loan, increased for any subsequent fundings and reduced for any principal paydowns. (2) Book value represents outstanding principal balance, adjusted for unamortized acquisition discounts, origination fees and direct origination and acquisition costs. Loan balances are presented gross of any asset-specific reserves. (3) Contractual interest rate is the stated interest rate on the face of the loan. Annualized effective interest rate is calculated as the actual interest income recognized in 2016, using the interest method, annualized and divided by the average amortized cost basis of the investment during 2016. The contractual interest rates and annualized effective interest rates presented are as of March 31, 2016 . (4) The Company had recorded an asset-specific loan loss reserve against this investment as of March 31, 2016 . See “—Reserve for Loan Losses.” (5) On September 1, 2015, the Lawrence Village Plaza Loan Origination matured without repayment. The Company had recorded an asset-specific loan loss reserve against this investment as of March 31, 2016 . See “—Reserve for Loan Losses.” On March 29, 2016, the Company entered into an agreement in lieu of foreclosure with the borrower under the Lawrence Village Plaza Loan Origination. On April 25, 2016, the scheduled closing date of the agreement in lieu of foreclosure was extended to May 13, 2016. (6) The borrower under this note is a wholly owned subsidiary of the Irvine Company. Donald Bren, who is the brother of Peter Bren (one of the Company’s executive officers and sponsors), is the chairman of the Irvine Company. During the three months ended March 31, 2016 , the Company recognized $0.5 million of interest income related to its investment in this loan. (7) See “—Reserve for Loan Losses.”
Schedule of Activity Related to Real Estate Loans Receivable	The following summarizes the activity related to real estate loans receivable for the three months ended March 31, 2016 (in thousands): Real estate loans receivable, net - December 31, 2015 $ 27,281 Principal repayments received on real estate loans receivable (35 ) Accretion of discounts on purchased real estate loans receivable 280 Amortization of origination fees and costs on purchased and originated real estate loans receivable (9 ) Real estate loans receivable, net - March 31, 2016 $ 27,517
Schedule of Interest Income from Real Estate Loans Receivable	For the three months ended March 31, 2016 and 2015 , interest income from real estate loans receivable consisted of the following (in thousands): Three Months Ended March 31, 2016 2015 Contractual interest income $ 539 $ 486 Interest accretion 280 248 Amortization of origination fees and costs (9 ) (8 ) Interest income from real estate loans receivable $ 810 $ 726

REAL ESTATE HELD FOR SALE AND23

REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS (Tables)	3 Months Ended
	Mar. 31, 2016
Discontinued Operations and Disposal Groups [Abstract]
Schedule of Major Components of Real Estate Held for Sale and Liabilities Related to Real Estate Held for Sale	The following summary presents the major components of assets and liabilities related to real estate held for sale as of March 31, 2016 and December 31, 2015 (in thousands): March 31, 2016 December 31, 2015 Assets related to real estate held for sale Total real estate, at cost and net of impairment charges $ 157,889 $ 179,708 Accumulated depreciation and amortization (29,378 ) (32,948 ) Real estate held for sale, net 128,511 146,760 Other assets 18,243 18,855 Total assets related to real estate held for sale $ 146,754 $ 165,615 Liabilities related to real estate held for sale Notes payable, net 118,982 119,592 Other liabilities 3,496 5,164 Total liabilities related to real estate held for sale $ 122,478 $ 124,756
Schedule of Revenue and Expenses Related to Real Estate Properties	The following table summarizes certain revenues and expenses related to all of these properties, which were included in continuing operations (in thousands): Three Months Ended March 31, 2016 2015 Revenues Rental income $ 4,338 $ 11,139 Tenant reimbursements and other operating income 1,710 4,684 Total revenues 6,048 15,823 Expenses Operating, maintenance, and management 1,593 6,531 Real estate taxes and insurance 759 1,991 Asset management fees to affiliate — 130 General and administrative expenses 1 — Depreciation and amortization 520 4,763 Interest expense 1,949 4,244 Impairment of real estate 271 — Total expenses 5,093 17,659
Schedule of Operating Income from Discontinued Operations	The following table summarizes operating income from discontinued operations for the three months ended March 31, 2016 and 2015 (in thousands): Three Months Ended March 31, 2016 2015 Total revenues and other income $ — $ 33 Total expenses 5 (11 ) (Loss) income from discontinued operations before gain on sales of real estate, net, and impairment charge (5 ) 44 Gain on sales of real estate, net — 124 (Loss) income from discontinued operations $ (5 ) $ 168

NOTES PAYABLE (Tables)

NOTES PAYABLE (Tables)	3 Months Ended
	Mar. 31, 2016
Notes Payable [Abstract]
Schedule of Long-term Debt Instruments	As of March 31, 2016 and December 31, 2015 , the Company’s notes payable, including notes payable related to real estate held for sale, consisted of the following (dollars in thousands): Loan Type Book Value as of March 31, 2016 Book Value as of December 31, 2015 Contractual Interest Rate as of March 31, 2016 (1) Effective (1) Payment Type Maturity Date (2) Notes Payable Plaza in Clayton Mortgage Loan $ 62,200 $ 62,200 5.9% 5.9% Interest Only 10/06/2016 Portfolio Loan 164,131 164,131 One-month LIBOR + 1.80% 2.2% Interest Only 01/01/2017 226,331 226,331 GKK Properties Notes Payable Bank of America - BBD2 Mortgage Loan (3) 65,223 65,712 6.0% 6.0% Principal & Interest 09/08/2019 Pitney Bowes - Bank of America Mortgage Loan 36,160 36,160 5.3% 5.3% Principal & Interest 10/10/2022 FSI 6000D Mortgage Loan (4) 28,646 28,934 5.8% 5.8% Principal & Interest 06/05/2017 FSI 6000B Mortgage Loan (4) 27,641 27,763 5.8% 5.8% Principal & Interest 06/05/2017 FSI 6000A Mortgage Loan (4) 24,197 24,271 6.8% 6.8% Principal & Interest 10/05/2017 FSI 6000C Mortgage Loan (4) 21,900 21,967 6.8% 6.8% Principal & Interest 10/05/2017 203,767 204,807 Total notes payable principal outstanding 430,098 431,138 Discount on notes payable, net (5) (2,299 ) (2,487 ) Deferred financing costs, net (341 ) (429 ) Total notes payable, net $ 427,458 $ 428,222 _____________________ (1) Contractual interest rate represents the interest rate in effect under the loan as of March 31, 2016 . Effective interest rate is calculated as the actual interest rate in effect as of March 31, 2016 (consisting of the contractual interest rate), using interest rate indices as of March 31, 2016 , where applicable. (2) Represents the initial maturity date or the maturity date as extended as of March 31, 2016 ; subject to certain conditions, the maturity dates of certain loans may be extended beyond the maturity date shown. (3) On April 15, 2016, the Company, through an indirect wholly owned subsidiary, entered into a defeasance agreement with the lenders under the Bank of America - BBD2 Mortgage Loan. See Note 12, “Subsequent Events - Defeasance of the Bank of America - BBD2 Mortgage Loan.” (4) On April 11, 2016, the Company, through indirect wholly owned subsidiaries, entered into a defeasance agreement with each of the lenders under these loans. See Note 12, “Subsequent Events - Disposition of the FSI 6000 Properties and Defeasance of the FSI 6000 Mortgage Loans.” (5) Represents the unamortized discounts and premiums on notes payable due to the above- and below-market interest rates when the loans were assumed. The discounts and premiums are amortized over the remaining life of the respective loan.
Schedule of Maturities of Long-term Debt	The following is a schedule of maturities, including principal amortization payments, for all notes payable outstanding as of March 31, 2016 (in thousands): April 1, 2016 through December 31, 2016 $ 67,078 2017 269,788 2018 4,707 2019 61,957 2020 2,728 Thereafter 23,840 $ 430,098
Schedule of Activity Related to Notes Payable and Repurchase Agreements	The following summarizes the activity related to notes payable for the three months ended March 31, 2016 (in thousands): Total notes payable, net - December 31, 2015 $ 428,222 Principal repayments (1,040 ) Amortization of discounts and premiums on notes payable, net 188 Amortization of deferred financing costs 88 Total notes payable, net - March 31, 2016 $ 427,458

FAIR VALUE DISCLOSURES (Tables)

FAIR VALUE DISCLOSURES (Tables)	3 Months Ended
	Mar. 31, 2016
Fair Value Disclosures [Abstract]
Schedule of Face Value, Carrying Amounts and Fair Value	The following were the face values, carrying amounts and fair values of the Company’s real estate loans receivable and notes payable as of March 31, 2016 and December 31, 2015 , which carrying amounts generally do not approximate the fair values (in thousands): March 31, 2016 December 31, 2015 Face Value Carrying Amount Fair Value Face Value Carrying Amount Fair Value Financial assets: Real estate loans receivable (1) $ 35,776 $ 27,517 $ 25,747 $ 35,811 $ 27,281 $ 25,218 Financial liabilities: Notes payable $ 430,098 $ 427,458 $ 450,544 $ 431,138 $ 428,222 $ 448,351 _____________________ (1) Carrying amount of real estate loans receivable includes loan loss reserves.
Fair Value, Assets Measured on Recurring and Nonrecurring Basis	During the three months ended March 31, 2016 , the Company measured the following assets at fair value on a nonrecurring basis (in thousands): Fair Value Measurements Using Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Nonrecurring Basis (1) : Impaired real estate held for investment $ 37,070 $ — $ — $ 37,070 Impaired real estate held for sale 8,771 — — 8,771 _____________________ (1) Amounts represent the aggregate fair value for real estate assets impacted by impairment charges during the three months ended March 31, 2016 , as of the date that the fair value measurements were made. The carrying value for these real estate assets may have subsequently increased or decreased from the fair value reflected due to activity that has occurred since the measurement date.

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	3 Months Ended
	Mar. 31, 2016
Related Party Transactions [Abstract]
Schedule of Related Party Costs	Pursuant to the terms of the Advisory Agreement and the AIP Reimbursement Agreement, summarized below are the related-party costs incurred by the Company for the three months ended March 31, 2016 and 2015 , respectively, and any related amounts payable as of March 31, 2016 and December 31, 2015 (in thousands): Incurred Payable Three Months Ended March 31, March 31, December 31, 2016 2015 2016 2015 Expensed Asset management fees $ 2,348 $ 2,420 $ — $ — Reimbursement of operating expenses (1) 64 49 46 68 Disposition fees (2) 418 1,185 — — $ 2,830 $ 3,654 $ 46 $ 68 _____________________ (1) Reimbursable operating expenses primarily consists of internal audit personnel costs, accounting software and cybersecurity related expenses incurred by the Advisor under the Advisory Agreement. The Company reimburses the Advisor for the Company’s allocable portion of the salaries, benefits and overhead of internal audit department personnel providing services to the Company. These amounts totaled $64,000 and $45,000 for the three months ended March 31, 2016 and 2015 , respectively. These were the only type of employee costs reimbursed under the Advisory Agreement for the three months ended March 31, 2016 and 2015 . The Company will not reimburse for employee costs in connection with services for which the Advisor earns disposition fees (other than reimbursement of travel and communication expenses) or for the salaries or benefits the Advisor or its affiliates may pay to the Company’s executive officers. In addition to the amounts above, the Company reimburses the Advisor for certain of the Company’s direct costs incurred from third parties that were initially paid by the Advisor on behalf of the Company. (2) Disposition fees with respect to real estate sold are included in the gain (loss) on sales of real estate in the accompanying consolidated statements of operations.

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The following tables summarize total revenues, interest expense and NOI for each reportable segment for the three months ended March 31, 2016 and 2015 , and total assets and total liabilities for each reportable segment as of March 31, 2016 and December 31, 2015 (in thousands): For the Three Months Ended March 31, 2016 2015 Revenues: Real estate segment (1) $ 17,189 $ 17,841 Real estate-related segment 810 726 GKK Properties segment (1) 23,126 31,010 Total revenues $ 41,125 $ 49,577 Interest expense: Real estate segment (1) $ 1,938 $ 2,209 GKK Properties segment (1) 3,291 6,524 Total interest expense $ 5,229 $ 8,733 NOI: Real estate segment (1) $ 7,735 $ 6,394 Real estate-related segment 809 725 GKK Properties segment (1) 6,036 4,955 Total NOI $ 14,580 $ 12,074 As of March 31, As of December 31, 2016 2015 Assets: Real estate segment $ 493,978 $ 499,789 Real estate-related segment 28,705 27,899 GKK Properties segment 324,063 350,392 Total segment assets 846,746 878,080 Real estate held for sale 146,754 165,615 Corporate-level (2) 59,974 11,170 Total assets $ 1,053,474 $ 1,054,865 Liabilities: Real estate segment $ 242,832 $ 243,387 Real estate-related segment 14 3 GKK Properties segment 152,124 155,752 Total segment liabilities 394,970 399,142 Real estate held for sale 122,478 124,756 Corporate-level (3) 1,446 1,304 Total liabilities $ 518,894 $ 525,202 _____________________ (1) Amounts include certain properties in continuing operations that were sold or held for sale as of March 31, 2016 . See Note 6, “Real Estate Held for Sale and Discontinued Operations” for more information. (2) Total corporate-level assets consisted primarily of cash and cash equivalents of approximately $59.5 million and $10.6 million as of March 31, 2016 and December 31, 2015 , respectively. (3) As of March 31, 2016 and December 31, 2015 , corporate-level liabilities consisted primarily of accounts payable and accrued liabilities for general and administrative expenses.
Reconciliation of Net Income (Loss) to Net Operating Income (Loss)	The following table reconciles the Company’s net income to its NOI for the three months ended March 31, 2016 and 2015 (amounts in thousands): For the Three Months Ended March 31, 2016 2015 Net income $ 10,819 $ 8,589 Gain on sales of real estate (23,586 ) (13,967 ) Loss (gain) from extinguishment of debt 3 — Gain on sale of foreclosed real estate held for sale — (2,509 ) Other income and interest income (243 ) (116 ) Asset management fees to affiliate 2,348 2,420 General and administrative expenses 3,372 2,220 Depreciation and amortization 10,998 15,605 Impairment charges on real estate 10,864 — Total income from discontinued operations 5 (168 ) NOI (1) $ 14,580 $ 12,074 _____________________ (1) Amounts include certain properties in continuing operations that were sold or held for sale as of March 31, 2016 . See Note 6, “Real Estate Held for Sale and Discontinued Operations” for more information.

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Future Minimum Lease Payments, Non-Cancelable Operating Leases	Future minimum lease payments owed by the Company under non-cancelable operating building and ground leases as of March 31, 2016 were as follows (in thousands): April 1, 2016 through December 31, 2016 $ 12,477 2017 12,644 2018 2,440 2019 1,774 2020 1,289 Thereafter 30,182 $ 60,806

ORGANIZATION (Details)

ORGANIZATION (Details) $ in Thousands	Dec. 19, 2013USD ($)	Mar. 31, 2016USD ($)propertyshares	Dec. 31, 2015USD ($)shares	May. 30, 2008USD ($)shares	Sep. 30, 2012USD ($)shares	Sep. 30, 2015USD ($)shares	Sep. 01, 2011property
Organizational Structure [Line Items]
Partnership interest in the Operating Partnership and is its sole limited partner		99.00%
Partnership interest in Operating Partnership		1.00%
Number of real estate properties | property		350
Number of real estate loans receivable | property		4
Redemptions of common stock		$ 1,247	$ 6,361
Common Stock [Member]
Organizational Structure [Line Items]
Issuance of common stock, shares | shares				171,109,494
Issuance of common stock, value				$ 1,700,000
Shares of common stock sold under dividend reinvestment plan, shares | shares					28,306,086
Shares of common stock sold under dividend reinvestment plan, value					$ 233,700
Redemptions of common stock, shares | shares		316,619	1,431,368			13,338,052
Redemptions of common stock		$ 3	$ 15			$ 93,000
KBS Capital Advisors LLC [Member]
Organizational Structure [Line Items]
Period of Advisory Agreement renewal		1 year
Period of termination notice		60 days
KBS Capital Advisors LLC [Member] | Common Stock [Member]
Organizational Structure [Line Items]
Shares held by affiliate | shares		20,000
GKK Properties [Member]
Organizational Structure [Line Items]
Number of real estate properties | property							867
Agreement for annual fee to be paid for real estate services, amount	$ 7,500
Accrued income		$ 21,400
Amended service agreement, extension period	1 year
GKK Properties [Member] | Minimum [Member]
Organizational Structure [Line Items]
Profit participation interest based on a percentage rate of gross fair value of gross sale price	10.00%
GKK Properties [Member] | Maximum [Member]
Organizational Structure [Line Items]
Profit participation interest based on a percentage rate of gross fair value of gross sale price	30.00%
GKK Properties [Member] | Bank Branches [Member]
Organizational Structure [Line Items]
Number of real estate properties | property							576
GKK Properties [Member] | Office Building [Member]
Organizational Structure [Line Items]
Number of real estate properties | property							291

SUMMARY OF SIGNIFICANT ACCOUN30

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	3 Months Ended		12 Months Ended
	Mar. 31, 2016property$ / shares	Mar. 31, 2015$ / shares	Dec. 31, 2015property	Sep. 01, 2011property
Summary of Significant Accounting Policies [Line Items]
Number of real estate properties disposed			34
Number of real estate properties	350
Distributions declared per common share | $ / shares	$ 0.025	$ 0.025
GKK Properties [Member]
Summary of Significant Accounting Policies [Line Items]
Number of real estate properties disposed	14		31
Number of real estate properties				867
GKK Properties [Member] | Held-for-Sale [Member]
Summary of Significant Accounting Policies [Line Items]
Number of real estate properties	77		8

REAL ESTATE HELD FOR INVESTME31

REAL ESTATE HELD FOR INVESTMENT (Narrative) (Details) $ in Thousands, ft² in Millions	3 Months Ended
	Mar. 31, 2016USD ($)ft²States	Mar. 31, 2015USD ($)
Real Estate Properties [Line Items]
Rentable square feet	6.6
Percentage of real estate portfolio occupied	86.00%
Number of states in which entity operates | States	29
Impairment of real estate | $	$ 10,864	$ 0
GKK Properties [Member]
Real Estate Properties [Line Items]
Rentable square feet	3.5
Percentage of real estate portfolio occupied	85.00%

REAL ESTATE HELD FOR INVESTME32

REAL ESTATE HELD FOR INVESTMENT (Schedule of Real Estate Investments) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	$ 831,391	$ 844,255
Accumulated depreciation/amortization	(132,880)	(130,135)
Total real estate held for investment, net	698,511	714,120
Office [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	417,782	420,075
Industrial [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	90,632	90,306
GKK Properties [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	322,977	333,874
Land [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	178,872	181,051
Accumulated depreciation/amortization	0	0
Total real estate held for investment, net	178,872	181,051
Land [Member] | Office [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	61,335	61,986
Land [Member] | Industrial [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	14,651	14,651
Land [Member] | GKK Properties [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	102,886	104,414
Buildings and Improvements [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	609,591	618,644
Accumulated depreciation/amortization	(108,430)	(105,551)
Total real estate held for investment, net	501,161	513,093
Buildings and Improvements [Member] | Office [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	355,881	357,524
Buildings and Improvements [Member] | Industrial [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	73,737	73,411
Buildings and Improvements [Member] | GKK Properties [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	179,973	187,709
Tenant Origination and Absorption Costs [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	42,928	44,560
Accumulated depreciation/amortization	(24,450)	(24,584)
Total real estate held for investment, net	18,478	19,976
Tenant Origination and Absorption Costs [Member] | Office [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	566	565
Tenant Origination and Absorption Costs [Member] | Industrial [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	2,244	2,244
Tenant Origination and Absorption Costs [Member] | GKK Properties [Member]
Real Estate Properties [Line Items]
Real estate held for investment, at cost and net of impairment charges	$ 40,118	$ 41,751

REAL ESTATE HELD FOR INVESTME33

REAL ESTATE HELD FOR INVESTMENT (Operating Leases) (Narrative) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)Tenants	Mar. 31, 2015USD ($)	Dec. 31, 2015USD ($)
Operating Leased Assets [Line Items]
Recognition of deferred revenue, net of discontinued operations	$ (100)	$ 500
Amortization of lease incentives	300	400
Deferred rent receivables	25,400		$ 24,800
Unamortized lease incentives	$ 6,200		5,800
Number of tenants | Tenants	250
Bad debt reserve	$ 500		500
Provision of doubtful accounts, net of discontinued operations	$ 0	$ 400
Maximum [Member]
Operating Leased Assets [Line Items]
Operating lease, term	14 years 3 months 18 days
Weighted Average [Member]
Operating Leased Assets [Line Items]
Operating lease, term	4 years
GKK Properties [Member]
Operating Leased Assets [Line Items]
Bad debt reserve	$ 400		400
GKK Properties [Member] | Maximum [Member]
Operating Leased Assets [Line Items]
Operating lease, term	10 years 9 months 18 days
GKK Properties [Member] | Weighted Average [Member]
Operating Leased Assets [Line Items]
Operating lease, term	3 years 9 months 18 days
Other Liabilities [Member]
Operating Leased Assets [Line Items]
Security deposit liability	$ 3,300		$ 3,200

REAL ESTATE HELD FOR INVESTME34

REAL ESTATE HELD FOR INVESTMENT (Future Minimum Rental Income) (Details) $ in Thousands	Mar. 31, 2016USD ($)
Real Estate Held for Investment [Abstract]
April 1, 2016 through December 31, 2016	$ 71,663
2,017	87,031
2,018	76,670
2,019	66,707
2,020	52,272
Thereafter	140,532
Future minimum rental income	$ 494,875

REAL ESTATE HELD FOR INVESTME35

REAL ESTATE HELD FOR INVESTMENT (Highes Tenant Industry Concentrations- Grater than 10% of Annual Base Rent) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)Tenants
Concentration Risk [Line Items]
Number of Tenants	250
Industry - Finance [Member]
Concentration Risk [Line Items]
Number of Tenants	51
Annualized Base Rent | $	$ 34,935
Percentage of Annualized Base Rent	37.60%

REAL ESTATE HELD FOR INVESTME36

REAL ESTATE HELD FOR INVESTMENT (Concentration of Credit Risk, Tenant Lease that Represents More than 10% of Annualized Base Rent) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)ft²$ / ft²
Weighted Average [Member]
Concentration Risk [Line Items]
Operating lease, term	4 years
Tenant Lease - Bank of America, N.A. [Member]
Concentration Risk [Line Items]
Rentable Square Feet | ft²	1,761,364
Annualized Base Rent | $	$ 14,818
Annualized Base Rent per Square Foot | $ / ft²	8.41
Tenant Lease - Bank of America, N.A. [Member] | Weighted Average [Member]
Concentration Risk [Line Items]
Operating lease, term	4 years 2 months 12 days
Tenant Lease - Bank of America, N.A. [Member] | Rentable Square Feet [Member]
Concentration Risk [Line Items]
Percentage of Annualized Base Rent	31.10%
Tenant Lease - Bank of America, N.A. [Member] | Base Rent [Member]
Concentration Risk [Line Items]
Percentage of Annualized Base Rent	15.90%

REAL ESTATE HELD FOR INVESTME37

REAL ESTATE HELD FOR INVESTMENT (Condensed Financial Information of Bank of America Corporation) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Consolidated Statements of Income
Total revenue, net of interest expense	$ 41,125	$ 49,577
Consolidated Balance Sheets
Total assets	1,053,474		$ 1,054,865
Total liabilities	518,894		525,202
Total stockholders’ equity	525,827		519,663
Bank of America Corporation [Member]
Consolidated Statements of Income
Total revenue, net of interest expense	19,512,000	20,914,000
Income before income taxes	3,699,000	4,322,000
Net income	2,680,000	$ 3,097,000
Consolidated Balance Sheets
Total assets	2,185,498,000		2,144,316,000
Total liabilities	1,922,722,000		1,888,111,000
Total stockholders’ equity	$ 262,776,000		$ 256,205,000

REAL ESTATE HELD FOR INVESTME38

REAL ESTATE HELD FOR INVESTMENT (Geographic Concentration Risk) (Details)	3 Months Ended
	Mar. 31, 2016
VIRGINIA | Assets, Total [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	11.60%

REAL ESTATE HELD FOR INVESTME39

REAL ESTATE HELD FOR INVESTMENT (Impairment of Real Estate) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)property
Investment [Line Items]
Impairment of real estate	$ 10,900
Assets Held-for-Investment [Member]
Investment [Line Items]
Impairment of real estate	$ 10,600
Number of real estate properties included in impairment charges | property	20
Assets Held-for-Investment [Member] | City Gate Plaza [Member]
Investment [Line Items]
Impairment of real estate	$ 2,700
Number of real estate properties included in impairment charges | property	1
Assets Held-for-Investment [Member] | University Park Buildings [Member]
Investment [Line Items]
Impairment of real estate	$ 1,200
Number of real estate properties included in impairment charges | property	1
Assets Held-for-Investment [Member] | GKK Properties [Member]
Investment [Line Items]
Impairment of real estate	$ 1,400
Number of real estate properties included in impairment charges | property	18
Assets Held-for-Investment [Member] | GKK Properties [Member] | Maximum [Member]
Investment [Line Items]
Amount of Impairment of Real Estate per Individual Property	$ 600
Assets Held-for-Investment [Member] | GKK Properties [Member] | Impairment Charge up to $600,000 [Member]
Investment [Line Items]
Number of real estate properties included in impairment charges | property	5
Assets Held-for-Investment [Member] | GKK Properties [Member] | Citizen Bank Portfolio [Member]
Investment [Line Items]
Impairment of real estate	$ 5,300
Number of real estate properties included in impairment charges | property	13
Held-for-Sale [Member]
Investment [Line Items]
Impairment of real estate	$ 300
Held-for-Sale [Member] | GKK Properties [Member]
Investment [Line Items]
Number of real estate properties included in impairment charges | property	3

TENANT ORIGINATION AND ABSORP40

TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities [Abstract]
Tenant Origination and Absorption Costs, Cost, net of impairments	$ 42,928		$ 44,560
Tenant Origination and Absorption Costs, Accumulated amortization	(24,450)		(24,584)
Tenant Origination and Absorption Costs, Net amount	18,478		19,976
Tenant Origination and Absorption Costs, Amortization	(1,542)	$ (2,824)
Above-Market Lease Assets, Cost, net of impairments	13,624		13,624
Above-Market Lease Assets, Accumulated amortization	(8,673)		(8,207)
Above-Market Lease Assets, Net amount	4,951		5,417
Above-Market Lease Assets, Amortization	(828)	(855)
Below-Market Lease Liabilities, Cost, net of impairments	(57,820)		(57,844)
Below-Market Lease Liabilities, Accumulated amortization	37,682		35,797
Below-Market Lease Liabilities, Net amount	(20,138)		$ (22,047)
Below-Market Lease Liabilities, Amortization	$ 2,140	$ 2,645

REAL ESTATE LOANS RECEIVABLE (S

REAL ESTATE LOANS RECEIVABLE (Schedule of Real Estate Loans Receivable) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Outstanding Principal Balance	$ 35,776
Book Value	34,015	$ 33,779
Reserve for Loan Losses	(6,498)	(6,498)
Book Value	27,517	27,281
Interest receivable	$ 100	100
Sandmar Mezzanine Loan Southeast U.S. [Member] | Mezzanine [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Date Acquired/ Originated	Jan. 9, 2007
Outstanding Principal Balance	$ 5,074
Book Value	$ 5,096	5,096
Contractual Interest Rate	5.40%
Annualized Effective Interest Rate	0.00%
Maturity Date	Jan. 1, 2017
Lawrence Village Plaza Loan Origination New Castle, Pennsylvania [Member] | Mortgages [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Date Acquired/ Originated	Aug. 6, 2007
Outstanding Principal Balance	$ 6,882
Book Value	$ 6,882	6,903
Contractual Interest Rate	8.00%
Annualized Effective Interest Rate	8.10%
Maturity Date	Sep. 1, 2015
San Diego Office Portfolio B-Note San Diego, California [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Interest income	$ 500
San Diego Office Portfolio B-Note San Diego, California [Member] | B-Note [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Date Acquired/ Originated	Oct. 26, 2007
Outstanding Principal Balance	$ 20,000
Book Value	$ 18,498	18,277
Contractual Interest Rate	5.80%
Annualized Effective Interest Rate	11.20%
Maturity Date	Oct. 11, 2017
4929 Wilshire B-Note Los Angeles, California [Member] | B-Note [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Date Acquired/ Originated	Nov. 19, 2007
Outstanding Principal Balance	$ 3,820
Book Value	$ 3,539	$ 3,503
Contractual Interest Rate	6.10%
Annualized Effective Interest Rate	12.40%
Maturity Date	Jul. 11, 2017

REAL ESTATE LOANS RECEIVABLE 42

REAL ESTATE LOANS RECEIVABLE (Schedule of Activity Related to Real Estate Loans Receivable) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Real Estate Loans Receivable [Roll Forward]
Real estate loans receivable, net - December 31, 2015	$ 27,281
Principal repayments received on real estate loans receivable	(35)
Accretion of discounts on purchased real estate loans receivable	280
Amortization of origination fees and costs on purchased and originated real estate loans receivable	(9)	$ (8)
Real estate loans receivable, net - March 31, 2016	$ 27,517

REAL ESTATE LOANS RECEIVABLE 43

REAL ESTATE LOANS RECEIVABLE (Schedule of Interest Income from Real Estate Loans Receivable) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Real Estate Properties [Line Items]
Contractual interest income	$ 539,000	$ 486,000
Interest accretion	280,000	248,000
Amortization of origination fees and costs	(9,000)	(8,000)
Interest income from real estate loans receivable	810,000	726,000
Book value	34,015,000		$ 33,779,000
Sandmar Mezzanine Loan [Member]
Real Estate Properties [Line Items]
Book value	0
Interest income related to impaired loans	49,000	0
Lawrence Village Plaza Loan Origination [Member]
Real Estate Properties [Line Items]
Interest income related to impaired loans	$ 100,000	$ 100,000

REAL ESTATE LOANS RECEIVABLE (R

REAL ESTATE LOANS RECEIVABLE (Reserve for Loan Losses) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Mortgage Loans on Real Estate [Line Items]
Reserve for loan losses	$ 6,498	$ 6,498
Sandmar Mezzanine Loan [Member]
Mortgage Loans on Real Estate [Line Items]
Reserve for loan losses	5,100
Mortgage loans on real estate, amortized cost basis	5,100
Lawrence Village Plaza Loan Origination [Member]
Mortgage Loans on Real Estate [Line Items]
Reserve for loan losses	1,400
Mortgage loans on real estate, amortized cost basis	$ 6,900

REAL ESTATE HELD FOR SALE AND45

REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS (Narrative) (Details) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2016USD ($)property	Mar. 31, 2015USD ($)Units	Dec. 31, 2015USD ($)property	Sep. 01, 2011property
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of real estate properties disposed			34
Number of real estate properties	350
Real estate held for sale, net | $	$ 128,511		$ 146,760
Number of residential units sold, included in disposition fees | Units		2
Gain on sales of foreclosed real estate held for sale | $	$ 0	$ 2,509
GKK Properties [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of real estate properties disposed	14		31
Additional number of real estate properties disposed			30
Number of real estate properties with terminated leasehold interest			3
Number of real estate properties				867
Tribeca Building [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Disposition fees | $		200
Foreclosed real estate expense | $		$ 200
Held-for-Sale [Member] | GKK Properties [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of real estate properties	77		8
Historical Real Estate [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of real estate properties disposed			3
Historical Real Estate [Member] | GKK Properties [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of real estate properties disposed	14

REAL ESTATE HELD FOR SALE AND46

REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS (Schedule of Major Components of Real Estate Held for Sale and Liabilities Related to Real Estate Held for Sale) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Discontinued Operations and Disposal Groups [Abstract]
Total real estate, at cost and net of impairment charges	$ 157,889	$ 179,708
Accumulated depreciation and amortization	(29,378)	(32,948)
Real estate held for sale, net	128,511	146,760
Other assets	18,243	18,855
Total assets related to real estate held for sale	146,754	165,615
Notes payable, net	118,982	119,592
Other liabilities	3,496	5,164
Total liabilities related to real estate held for sale	$ 122,478	$ 124,756

REAL ESTATE HELD FOR SALE AND47

REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS (Revenue and Expenses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Revenues
Rental income	$ 29,396	$ 35,365
Tenant reimbursements and other operating income	10,247	12,554
Total revenues	41,125	49,577
Expenses
Operating, maintenance, and management	15,854	21,989
Real estate taxes and insurance	5,462	6,781
Asset management fees to affiliate	2,348	2,420
General and administrative expenses	3,372	2,220
Depreciation and amortization	10,998	15,605
Interest expense	5,229	8,733
Impairment of real estate	10,864	0
Total expenses	54,127	57,748
Two Properties [Member]
Revenues
Rental income	4,338	11,139
Tenant reimbursements and other operating income	1,710	4,684
Total revenues	6,048	15,823
Expenses
Operating, maintenance, and management	1,593	6,531
Real estate taxes and insurance	759	1,991
Asset management fees to affiliate	0	130
General and administrative expenses	1	0
Depreciation and amortization	520	4,763
Interest expense	1,949	4,244
Impairment of real estate	271	0
Total expenses	$ 5,093	$ 17,659

REAL ESTATE HELD FOR SALE AND48

REAL ESTATE HELD FOR SALE AND DISCONTINUED OPERATIONS (Schedule of Operating Income from Discontinued Operations) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Discontinued Operations and Disposal Groups [Abstract]
Total revenues and other income	$ 0	$ 33
Total expenses	5	(11)
(Loss) income from discontinued operations before gain on sales of real estate, net, and impairment charge	(5)	44
Gain on sales of real estate, net	0	124
Total (loss) income from discontinued operations	$ (5)	$ 168

NOTES PAYABLE (Narrative) (Deta

NOTES PAYABLE (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Debt Instrument [Line Items]
Deferred financing costs	$ 300		$ 400
Interest expense	5,229	$ 8,733
Amortization of financing cost, net of discontinued operations	100	500
Amortization of discounts and premiums on notes payable, net	188	511
Interest payable	2,200		$ 1,700
Notes Payable [Member]
Debt Instrument [Line Items]
Amortization of discounts and premiums on notes payable, net	$ 200	$ 500

NOTES PAYABLE (Schedule of Long

NOTES PAYABLE (Schedule of Long-term Debt Instruments) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 430,098	$ 431,138
Discount on notes payable, net	(2,299)	(2,487)
Deferred Finance Costs, Net	(341)	(429)
Total notes payable, net	427,458	428,222
Mortgages [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	226,331	226,331
Mortgages [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	203,767	204,807
Mortgages [Member] | Plaza in Clayton Mortgage Loan [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 62,200	62,200
Contractual interest rate	5.90%
Effective Percentage	5.90%
Maturity Date	Oct. 6, 2016
Mortgages [Member] | Portfolio Loan [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 164,131	164,131
Effective Percentage	2.20%
Maturity Date	Jan. 1, 2017
Mortgages [Member] | Portfolio Loan [Member] | One-month LIBOR [Member]
Debt Instrument [Line Items]
Variable rate	1.80%
Mortgages [Member] | Bank of America - BBD2 Mortgage Loan [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 65,223	65,712
Contractual interest rate	6.00%
Effective Percentage	6.00%
Maturity Date	Sep. 8, 2019
Mortgages [Member] | Pitney Bowes - Bank of America Mortgage Loan [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 36,160	36,160
Contractual interest rate	5.30%
Effective Percentage	5.30%
Maturity Date	Oct. 10, 2022
Mortgages [Member] | FSI 6000D Mortgage Loan [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 28,646	28,934
Contractual interest rate	5.80%
Effective Percentage	5.80%
Maturity Date	Jun. 5, 2017
Mortgages [Member] | FSI 6000B Mortgage Loan [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 27,641	27,763
Contractual interest rate	5.80%
Effective Percentage	5.80%
Maturity Date	Jun. 5, 2017
Mortgages [Member] | FSI 6000A Mortgage Loan [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 24,197	24,271
Contractual interest rate	6.80%
Effective Percentage	6.80%
Maturity Date	Oct. 5, 2017
Mortgages [Member] | FSI 6000C Mortgage Loan [Member] | GKK Properties [Member]
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 21,900	$ 21,967
Contractual interest rate	6.80%
Effective Percentage	6.80%
Maturity Date	Oct. 5, 2017

NOTES PAYABLE (Schedule of Matu

NOTES PAYABLE (Schedule of Maturities of Long-Term Debt) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Notes Payable [Abstract]
April 1, 2016 through December 31, 2016	$ 67,078
2,017	269,788
2,018	4,707
2,019	61,957
2,020	2,728
Thereafter	23,840
Notes payable outstanding	$ 430,098	$ 431,138

NOTES PAYABLE (Schedule of Acti

NOTES PAYABLE (Schedule of Activity Related to Notes Payable) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Activity Related to Notes Payable [Roll Forward]
Total notes payable, net - December 31, 2015	$ 428,222
Principal repayments	(1,040)
Amortization of discounts and premiums on notes payable, net	188	$ 511
Amortization of deferred financing costs	88	$ 476
Total notes payable, net - March 31, 2016	$ 427,458

FAIR VALUE DISCLOSURES (Schedul

FAIR VALUE DISCLOSURES (Schedule of Face Value, Carrying Amounts and Fair Value) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate loans receivable, Face Value	$ 35,776	$ 35,811
Notes payable, Face Value	430,098	431,138
Notes payable, Value	427,458	428,222
Carrying Amount [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate loans receivable, Value	27,517	27,281
Notes payable, Value	427,458	428,222
Fair Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate loans receivable, Value	25,747	25,218
Notes payable, Value	$ 450,544	$ 448,351

FAIR VALUE DISCLOSURES (Sched54

FAIR VALUE DISCLOSURES (Schedule of Assets at Fair Value) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	$ 10,864	$ 0
Nonrecurring Basis [Member] | Assets Held-for-Investment [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	37,070
Nonrecurring Basis [Member] | Assets Held-for-Investment [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	0
Nonrecurring Basis [Member] | Assets Held-for-Investment [Member] | Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	0
Nonrecurring Basis [Member] | Assets Held-for-Investment [Member] | Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	37,070
Nonrecurring Basis [Member] | Assets Held-for-Sale [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	8,771
Nonrecurring Basis [Member] | Assets Held-for-Sale [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	0
Nonrecurring Basis [Member] | Assets Held-for-Sale [Member] | Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	0
Nonrecurring Basis [Member] | Assets Held-for-Sale [Member] | Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impairment of real estate	$ 8,771

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Related Party Transaction [Line Items]
Payable	$ 46		$ 68
Administrative fees, amount paid	64	$ 45
Advisor and Dealer Manager [Member]
Related Party Transaction [Line Items]
Incurred	2,830	3,654
Payable	46		68
Advisor and Dealer Manager [Member] | Expensed [Member] | Asset Management Fees [Member]
Related Party Transaction [Line Items]
Incurred	2,348	2,420
Payable	0		0
Advisor and Dealer Manager [Member] | Expensed [Member] | Reimbursement of Operating Expenses [Member]
Related Party Transaction [Line Items]
Incurred	64	49
Payable	46		68
Advisor and Dealer Manager [Member] | Expensed [Member] | Dispositon Fees [Member]
Related Party Transaction [Line Items]
Incurred	418	$ 1,185
Payable	$ 0		$ 0

RELATED PARTY TRANSACTIONS (Nar

RELATED PARTY TRANSACTIONS (Narrative) (Details)	May. 18, 2012USD ($)	Mar. 31, 2016USD ($)property	Dec. 31, 2015USD ($)	Jan. 15, 2015
Related Party Transaction [Line Items]
Due from affiliate		$ 112,000	$ 0
Disposition fee as percent				1.00%
KBS Capital Advisors LLC [Member]
Related Party Transaction [Line Items]
Due from affiliate		$ 112,000
Disposition fee as percent				1.00%
Selling commissions fees paid, percent of sales price				6.00%
GKK Properties [Member]
Related Party Transaction [Line Items]
Number of real estate properties sold | property		161
Sales of real estate		$ 214,100,000
GKK Properties [Member] | KBS Capital Advisors LLC [Member]
Related Party Transaction [Line Items]
Disposition fee as percent		1.00%		1.00%
Property Insurance Rebate [Member] | KBS Capital Advisors LLC [Member]
Related Party Transaction [Line Items]
Due from affiliate		$ 36,000
Legal and Professional Fees Reimbursement [Member] | KBS Capital Advisors LLC [Member]
Related Party Transaction [Line Items]
Due from affiliate		$ 76,000
KBS Strategic Opportunity REIT, Inc. [Member]
Related Party Transaction [Line Items]
Investment in joint venture	$ 8,000,000

SEGMENT INFORMATION (Schedule o

SEGMENT INFORMATION (Schedule of Segment Reporting Information, by Segment) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)Statessegments	Mar. 31, 2015USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | segments	3
Number of states in which entity operates | States	29
Revenues	$ 41,125	$ 49,577
Interest expense	5,229	8,733
Total net operating income	14,580	12,074
Assets	1,053,474		$ 1,054,865
Real estate held for sale	128,511		146,760
Liabilities	518,894		525,202
Liabilities related to real estate held for sale	3,496		5,164
Cash and cash equivalents	75,392	141,855	46,605	$ 58,675
Operating Segments [Member]
Segment Reporting Information [Line Items]
Assets	846,746		878,080
Real estate held for sale	146,754		165,615
Liabilities	394,970		399,142
Liabilities related to real estate held for sale	122,478		124,756
Corporate-Level [Member]
Segment Reporting Information [Line Items]
Assets	59,974		11,170
Liabilities	1,446		1,304
Cash and cash equivalents	59,500		10,600
Real Estate Segment [Member]
Segment Reporting Information [Line Items]
Revenues	17,189	17,841
Interest expense	1,938	2,209
Total net operating income	7,735	6,394
Assets	493,978		499,789
Liabilities	242,832		243,387
Real Estate-Related Segment [Member]
Segment Reporting Information [Line Items]
Revenues	810	726
Total net operating income	809	725
Assets	28,705		27,899
Liabilities	$ 14		3
GKK Properties Segment [Member]
Segment Reporting Information [Line Items]
Number of states in which entity operates | States	29
Revenues	$ 23,126	31,010
Interest expense	3,291	6,524
Total net operating income	6,036	$ 4,955
Assets	324,063		350,392
Liabilities	$ 152,124		$ 155,752

SEGMENT INFORMATION (Reconcilia

SEGMENT INFORMATION (Reconciliation of Net Income (Loss) to Net Operating Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Segment Reporting [Abstract]
Net income	$ 10,819	$ 8,589	$ (11,387)
Gain on sales of real estate	(23,586)	(13,967)
Loss (gain) from extinguishment of debt	3	0
Gain on sales of foreclosed real estate held for sale	0	(2,509)
Other income and interest income	(243)	(116)
Asset management fees to affiliate	2,348	2,420
General and administrative expenses	3,372	2,220
Depreciation and amortization	10,998	15,605
Impairment charges on real estate	10,864	0
Total income from discontinued operations	5	(168)
NOI	$ 14,580	$ 12,074

COMMITMENTS AND CONTINGENCIES59

COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands	Mar. 31, 2016USD ($)
Commitments and Contingencies Disclosure [Abstract]
April 1, 2016 through December 31, 2016	$ 12,477
2,017	12,644
2,018	2,440
2,019	1,774
2,020	1,289
Thereafter	30,182
Total future minimum lease payments	$ 60,806

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) - $ / shares	May. 06, 2016	Mar. 31, 2016	Mar. 31, 2015
Subsequent Event [Line Items]
Distributions declared per common share		$ 0.025	$ 0.025
Subsequent Event [Member]
Subsequent Event [Line Items]
Distributions declared per common share	$ 0.025

SUBSEQUENT EVENTS (Disposition

SUBSEQUENT EVENTS (Disposition of the FSI 6000 Properties and Defeasance of the FSI 6000 Mortgage Loans) (Details) $ in Thousands	Apr. 15, 2016USD ($)	Apr. 11, 2016USD ($)ft²property	Mar. 31, 2016USD ($)	Mar. 31, 2015USD ($)
Subsequent Event [Line Items]
Loss on extinguishment of debt			$ 3	$ 0
Outstanding principal balance			$ 35,776
Subsequent Event [Member] | FSI 6000 Mortgage Loan [Member]
Subsequent Event [Line Items]
Defease amount of outstanding principal balance		$ 102,300
Loss on extinguishment of debt		$ 6,600
Subsequent Event [Member] | Bank of America - BBD2 Mortgage Loan [Member]
Subsequent Event [Line Items]
Loss on extinguishment of debt	$ 12,700
Outstanding principal balance	$ 65,100
Contractual interest rate	5.96%
Subsequent Event [Member] | FSI 6000 Properties [Member] | Bank Branches [Member]
Subsequent Event [Line Items]
Number of real estate properties sold | property		61
Net rentable area | ft²		245,843
Sales of real estate		$ 139,600
Payment received for cost and expenses		$ 6,600