KBS Real Estate Investment Trust III (KBSR) 10-Q 11 Aug 23 2023 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2023	Aug. 07, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2023
Document Transition Report	false
Entity File Number	000-54687
Entity Registrant Name	KBS REAL ESTATE INVESTMENT TRUST III, INC.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	27-1627696
Entity Address, Address Line One	800 Newport Center Drive, Suite 700
Entity Address, City or Town	Newport Beach,
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92660
City Area Code	949
Local Phone Number	417-6500
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		149,042,452
Amendment flag	false
Document fiscal period focus	Q2
Entity Central Index Key	0001482430
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Real estate:
Land	$ 274,315	$ 290,121
Buildings and improvements	2,209,820	2,235,676
Tenant origination and absorption costs	39,799	42,555
Total real estate held for investment, cost	2,523,934	2,568,352
Less accumulated depreciation and amortization	(666,570)	(656,401)
Total real estate, net	1,857,364	1,911,951
Real estate equity securities	45,327	87,416
Total real estate and real estate-related investments, net	1,902,691	1,999,367
Cash and cash equivalents	24,016	47,767
Restricted cash	9,502	6,070
Rents and other receivables, net	94,635	93,100
Above-market leases, net	225	262
Due from affiliate	0	10
Prepaid expenses and other assets	123,593	112,411
Total assets	2,154,662	2,258,987
Liabilities and equity
Notes payable, net	1,710,161	1,667,288
Accounts payable and accrued liabilities	41,966	56,071
Due to affiliate	13,806	10,365
Distributions payable	5,712	7,374
Below-market leases, net	1,464	1,911
Other liabilities	63,810	60,918
Redeemable common stock payable	0	711
Total liabilities	1,836,919	1,804,638
Commitments and contingencies (Note 10)
Redeemable common stock	40,756	32,681
Stockholders’ equity:
Preferred stock, $.01 par value per share; 10,000,000 shares authorized, no shares issued and outstanding	0	0
Common stock, $.01 par value per share; 1,000,000,000 shares authorized, 148,864,885 and 147,964,954 shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively	1,489	1,480
Additional paid-in capital	1,275,814	1,275,833
Cumulative distributions in excess of net income	(1,000,316)	(855,645)
Total stockholders’ equity	276,987	421,668
Total liabilities and equity	$ 2,154,662	$ 2,258,987

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	148,864,885	147,964,954
Common stock, shares outstanding (in shares)	148,864,885	147,964,954

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenues:
Rental income	$ 62,073	$ 68,187	$ 131,370	$ 137,042
Dividend income from real estate equity securities	0	0	6,540	7,252
Other operating income	4,757	4,551	9,109	8,744
Total revenues	66,830	72,738	147,019	153,038
Expenses:
Operating, maintenance and management	18,288	17,456	35,939	34,832
Real estate taxes and insurance	12,733	14,114	27,452	28,162
Asset management fees to affiliate	5,185	4,985	10,274	9,861
General and administrative expenses	1,545	2,014	3,136	3,800
Depreciation and amortization	28,612	26,638	57,109	53,858
Interest expense	29,348	11,170	56,078	19,826
Net gain on derivative instruments	(26,968)	(7,469)	(19,930)	(28,938)
Impairment charges on real estate	18,471	0	45,459	0
Total expenses	87,214	68,908	215,517	121,401
Other (loss) income:
Unrealized loss on real estate equity securities	(23,742)	(17,268)	(42,089)	(34,535)
Write-off of prepaid offering costs	0	(2,728)	0	(2,728)
Other interest income	68	9	110	23
Total other loss, net	(23,674)	(19,987)	(41,979)	(37,240)
Net loss	$ (44,058)	$ (16,157)	$ (110,477)	$ (5,603)
Net loss per common share, basic (in dollars per share)	$ (0.30)	$ (0.11)	$ (0.74)	$ (0.04)
Net loss per common share, diluted (in dollars per share)	$ (0.30)	$ (0.11)	$ (0.74)	$ (0.04)
Weighted-average number of common shares outstanding, basic (in shares)	148,867,178	149,331,890	148,657,257	150,866,501
Weighted-average number of common shares outstanding, diluted (in shares)	148,867,178	149,331,890	148,657,257	150,866,501

CONSOLIDATED STATEMENTS OF EQUI

CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Cumulative Distributions in Excess of Net Income
Beginning balance (in shares) at Dec. 31, 2021		153,150,766
Beginning balance at Dec. 31, 2021	$ 620,193	$ 1,532	$ 1,322,613	$ (703,952)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(5,603)			(5,603)
Issuance of common stock (in shares)		1,504,393
Issuance of common stock	15,405	$ 15	15,390
Transfers from redeemable common stock	13,968		13,968
Redemptions of common stock (in shares)		(7,381,583)
Redemptions of common stock	(76,621)	$ (74)	(76,547)
Distributions declared	(45,131)			(45,131)
Other offering costs	(1)		(1)
Ending balance (in shares) at Jun. 30, 2022		147,273,576
Ending balance at Jun. 30, 2022	522,210	$ 1,473	1,275,423	(754,686)
Beginning balance (in shares) at Mar. 31, 2022		149,941,515
Beginning balance at Mar. 31, 2022	607,950	$ 1,499	1,322,644	(716,193)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(16,157)			(16,157)
Issuance of common stock (in shares)		892,341
Issuance of common stock	9,139	$ 10	9,129
Transfers to redeemable common stock	(19,429)		(19,429)
Redemptions of common stock (in shares)		(3,560,280)
Redemptions of common stock	(36,956)	$ (36)	(36,920)
Distributions declared	(22,336)			(22,336)
Other offering costs	(1)		(1)
Ending balance (in shares) at Jun. 30, 2022		147,273,576
Ending balance at Jun. 30, 2022	$ 522,210	$ 1,473	1,275,423	(754,686)
Beginning balance (in shares) at Dec. 31, 2022	147,964,954	147,964,954
Beginning balance at Dec. 31, 2022	$ 421,668	$ 1,480	1,275,833	(855,645)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(110,477)			(110,477)
Issuance of common stock (in shares)		1,644,865
Issuance of common stock	14,065	$ 16	14,049
Transfers to redeemable common stock	(7,364)		(7,364)
Redemptions of common stock (in shares)		(744,934)
Redemptions of common stock	(6,705)	$ (7)	(6,698)
Distributions declared	(34,194)			(34,194)
Other offering costs	$ (6)		(6)
Ending balance (in shares) at Jun. 30, 2023	148,864,885	148,864,885
Ending balance at Jun. 30, 2023	$ 276,987	$ 1,489	1,275,814	(1,000,316)
Beginning balance (in shares) at Mar. 31, 2023		148,510,996
Beginning balance at Mar. 31, 2023	338,166	$ 1,485	1,275,818	(939,137)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(44,058)			(44,058)
Issuance of common stock (in shares)		773,838
Issuance of common stock	6,617	$ 8	6,609
Transfers to redeemable common stock	(2,837)		(2,837)
Redemptions of common stock (in shares)		(419,949)
Redemptions of common stock	(3,780)	$ (4)	(3,776)
Distributions declared	$ (17,121)			(17,121)
Ending balance (in shares) at Jun. 30, 2023	148,864,885	148,864,885
Ending balance at Jun. 30, 2023	$ 276,987	$ 1,489	$ 1,275,814	$ (1,000,316)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash Flows from Operating Activities:
Net loss	$ (110,477)	$ (5,603)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	57,109	53,858
Impairment charges on real estate	45,459	0
Unrealized loss on real estate equity securities	42,089	34,535
Deferred rents	(2,275)	(4,548)
Amortization of above- and below-market leases, net	(410)	(787)
Amortization of deferred financing costs	2,069	1,912
Unrealized gain on derivative instruments	(5,619)	(35,870)
Write-off of prepaid offering costs	0	2,728
Interest rate swap settlements for off-market swap instruments	(5,096)	1,008
Changes in operating assets and liabilities:
Rents and other receivables	(1,606)	4,949
Due from affiliate	10	260
Prepaid expenses and other assets	(11,295)	(8,801)
Accounts payable and accrued liabilities	(6,765)	(15,139)
Due to affiliate	3,441	(3,156)
Other liabilities	5,068	(1,817)
Net cash provided by operating activities	11,702	23,529
Cash Flows from Investing Activities:
Improvements to real estate	(49,171)	(54,445)
Purchase of interest rate cap	(25)	0
Net cash used in investing activities	(49,196)	(54,445)
Cash Flows from Financing Activities:
Proceeds from notes payable	42,220	148,218
Principal payments on notes payable	(897)	(17,143)
Payments of deferred financing costs	(519)	(33)
Interest rate swap settlements for off-market swap instruments	4,873	(1,234)
Payments to redeem common stock	(6,705)	(76,621)
Payments of prepaid other offering costs	0	(110)
Payments of other offering costs	(6)	(1)
Distributions paid to common stockholders	(21,791)	(30,057)
Net cash provided by financing activities	17,175	23,019
Net decrease in cash, cash equivalents and restricted cash	(20,319)	(7,897)
Cash, cash equivalents and restricted cash, beginning of period	53,837	46,436
Cash, cash equivalents and restricted cash, end of period	33,518	38,539
Supplemental Disclosure of Cash Flow Information:
Interest paid	43,727	23,352
Supplemental Disclosure of Noncash Investing and Financing Activities:
Distributions payable	5,712	7,404
Distributions paid to common stockholders through common stock issuances pursuant to the dividend reinvestment plan	14,065	15,405
Accrued prepaid other offering costs	0	3
Accrued improvements to real estate	11,984	23,185
Accrued interest rate swap settlements related to off-market swap instruments	$ (938)	$ 32

ORGANIZATION

ORGANIZATION	6 Months Ended
	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION	ORGANIZATION KBS Real Estate Investment Trust III, Inc. (the “Company”) was formed on December 22, 2009 as a Maryland corporation that elected to be taxed as a real estate investment trust (“REIT”) beginning with the taxable year ended December 31, 2011 and it intends to continue to operate in such manner. Substantially all of the Company’s business is conducted through KBS Limited Partnership III (the “Operating Partnership”), a Delaware limited partnership. The Company is the sole general partner of and owns a 0.1% partnership interest in the Operating Partnership. KBS REIT Holdings III LLC (“REIT Holdings III”), the limited partner of the Operating Partnership, owns the remaining 99.9% interest in the Operating Partnership and is its sole limited partner. The Company is the sole member and manager of REIT Holdings III. Subject to certain restrictions and limitations, the business of the Company is externally managed by KBS Capital Advisors LLC (the “Advisor”), an affiliate of the Company, pursuant to an advisory agreement the Company entered into with the Advisor (the “Advisory Agreement”). On January 26, 2010, the Company issued 20,000 shares of its common stock to the Advisor at a purchase price of $10.00 per share. As of June 30, 2023, the Advisor owned 20,857 shares of the Company’s common stock. The Company owns a diverse portfolio of real estate investments. As of June 30, 2023, the Company owned 16 office properties, one mixed-use office/retail property and an investment in the equity securities of Prime US REIT, a Singapore real estate investment trust (the “SREIT”). The Company commenced its initial public offering (the “Offering”) on October 26, 2010. Upon commencing the Offering, the Company retained KBS Capital Markets Group LLC (the “Dealer Manager”), an affiliate of the Company, to serve as the dealer manager of the Offering pursuant to a dealer manager agreement, as amended and restated (the “Dealer Manager Agreement”). The Company ceased offering shares of common stock in the primary Offering on May 29, 2015 and terminated the primary Offering on July 28, 2015. The Company sold 169,006,162 shares of common stock in the primary Offering for gross proceeds of $1.7 billion. As of June 30, 2023, the Company had also sold 45,899,248 shares of common stock under its dividend reinvestment plan for gross offering proceeds of $469.1 million. Also as of June 30, 2023, the Company had redeemed or repurchased 74,040,201 shares sold in the Offering for $783.8 million. Additionally, on October 3, 2014, the Company issued 258,462 shares of common stock for $2.4 million in private transactions exempt from the registration requirements pursuant to Section 4(a)(2) of the Securities Act of 1933.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2023
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, 2022. 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, 2022 included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “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 and six months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. The consolidated financial statements include the accounts of the Company, REIT Holdings III, the Operating Partnership and their direct and indirect wholly owned subsidiaries. All significant intercompany balances and transactions are eliminated in consolidation. Liquidity The Company generally finances its real estate investments using notes payable that are typically structured as non-recourse secured mortgages with maturities of approximately three to five years, with short-term extension options available upon the Company meeting certain debt covenants. Each reporting period, management evaluates the Company’s ability to continue as a going concern by evaluating conditions and events, including assessing the Company’s liquidity needs in order to satisfy upcoming debt obligations and the Company’s ability to satisfy debt covenant requirements. Through the normal course of operations, the Company has $1.6 billion of notes payable maturing over the 12-month period commencing July 1, 2023, which raises substantial doubt as to the Company’s ability to continue as a going concern considering the current commercial real estate lending environment. Of the amounts coming due within this 12-month period, approximately $1.5 billion has available extension options beyond the next 12 months, subject to terms and conditions specified in the respective loan documents, including loan-to-value, debt service coverage or other requirements. In order to satisfy these debt obligations as they mature, management and the board of directors will evaluate the Company’s options and may seek to utilize the extension options available in the respective loan agreements, may have to make partial loan paydowns to meet extension test requirements, will likely seek to refinance or restructure certain debt instruments, may be required to sell real estate assets or equity securities to make loan paydowns to meet extension tests and may defer noncontractual expenditures or cease distributions and redemptions. Additionally, the Company anticipates it may relinquish ownership of one or more secured properties to the mortgage lender. Historically, the Company has successfully refinanced its debt instruments or utilized extension options in order to satisfy debt obligations as they come due and has not yet relinquished ownership of a secured property to a lender; however, the Company may utilize such option if necessary. Based upon these plans, management believes the Company will have sufficient liquidity to satisfy the Company’s debt obligations as they come due and to continue as a going concern. However, there can be no assurances as to the certainty or timing of management’s plans to be effectively implemented within one year from the date the financial statements are issued, as certain elements of management’s plans are outside the control of the Company, including its ability to sell assets or successfully refinance or restructure certain of its debt instruments. See Note 6, “Notes Payable” for further information regarding the Company’s notes payable. Use of Estimates The preparation of the 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 consolidated financial statements and condensed notes. Actual results could materially differ from those estimates. Per Share Data Basic net income (loss) per share of common stock is calculated by dividing net income (loss) attributable to common stockholders 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 and six months ended June 30, 2023 and 2022, respectively. Distributions declared per common share were $0.115 and $0.230 in the aggregate for the three and six months ended June 30, 2023, respectively. Distributions declared per common share were $0.149 and $0.298 in the aggregate for the three and six months ended June 30, 2022, respectively. Distributions declared per common share assumes each share was issued and outstanding each day that was a record date for distributions and were based on a monthly record date for each month during the periods commencing January 2022 through June 2022 and January 2023 through June 2023. For each monthly record date for distributions during the period from January 1, 2022 through June 30, 2022, distributions were calculated at a rate of $0.04983333 per share. For each monthly record date for distributions during the period from January 1, 2023 through June 30, 2023, distributions were calculated at a rate of $0.03833333 per share. Segments The Company has invested in core real estate properties and real estate-related investments with the goal of acquiring a portfolio of income-producing investments. The Company’s real estate properties exhibit similar long-term financial performance and have similar economic characteristics to each other. Accordingly, the Company aggregated its investments in real estate properties into one reportable business segment. Square Footage, Occupancy and Other Measures Square footage, occupancy, number of tenants and other measures, including annualized base rent and annualized base rent per square foot, used to describe real estate investments included in these condensed notes to the consolidated financial statements are unaudited and outside the scope of the Company’s independent registered public accounting firm’s review of the Company’s financial statements in accordance with the standards of the United States Public Company Accounting Oversight Board. Recently Issued Accounting Standards Update In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU No. 2020-04”) to provide temporary optional expedients and exceptions to the guidance in GAAP on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (“SOFR”). Modified contracts that meet the following criteria are eligible for relief from the modification accounting requirements under GAAP: (1) the contract references LIBOR or another rate that is expected to be discontinued due to reference rate reform, (2) the modified terms directly replace or have the potential to replace the reference rate that is expected to be discontinued due to reference rate reform, and (3) any contemporaneous changes to other terms (i.e., those that do not directly replace or have the potential to replace the reference rate) that change or have the potential to change the amount and timing of contractual cash flows must be related to the replacement of the reference rate. For a contract that meets the criteria, the guidance generally allows an entity to account for and present modifications as an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. That is, the modified contract is accounted for as a continuation of the existing contract. In addition, ASU No. 2020-04 provides various optional expedients for hedging relationships affected by reference rate reform, if certain criteria are met. The amendments in ASU No. 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. In December 2022, the FASB issued ASU No. 2022-06, to extend the temporary accounting relief provided under ASU No. 2020-04 to December 31, 2024. An entity may elect to apply the amendments for contract modifications by Topic or Industry Subtopic as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020, or prospectively from a date within an interim period that includes or is subsequent to March 12, 2020, up to the date that the financial statements are available to be issued. Once elected for a Topic or an Industry Subtopic, the amendments in this update must be applied prospectively for all eligible contract modifications for that Topic or Industry Subtopic. An entity may elect to apply the amendments in ASU No. 2020-04 to eligible hedging relationships existing as of the beginning of the interim period that includes March 12, 2020 and to new eligible hedging relationships entered into after the beginning of the interim period that includes March 12, 2020.

REAL ESTATE

REAL ESTATE	6 Months Ended
	Jun. 30, 2023
Real Estate [Abstract]
REAL ESTATE	REAL ESTATE As of June 30, 2023, the Company’s real estate portfolio was composed of 16 office properties and one mixed-use office/retail property encompassing in the aggregate approximately 7.3 million rentable square feet. As of June 30, 2023, the Company’s real estate portfolio was collectively 82.5% occupied. The following table summarizes the Company’s investments in real estate as of June 30, 2023 (in thousands): Property Date Acquired City State Property Type Total Real Estate, at Cost (1) Accumulated Depreciation and Amortization (1) Total Real Estate, Net (1) Town Center 03/27/2012 Plano TX Office $ 139,690 $ (49,513) $ 90,177 McEwen Building 04/30/2012 Franklin TN Office 39,752 (11,121) 28,631 Gateway Tech Center 05/09/2012 Salt Lake City UT Office 35,875 (11,320) 24,555 60 South Sixth 01/31/2013 Minneapolis MN Office 182,683 (53,983) 128,700 Preston Commons 06/19/2013 Dallas TX Office 143,931 (39,569) 104,362 Sterling Plaza 06/19/2013 Dallas TX Office 93,547 (28,492) 65,055 201 Spear Street 12/03/2013 San Francisco CA Office 70,093 — 70,093 Accenture Tower 12/16/2013 Chicago IL Office 555,320 (151,686) 403,634 Ten Almaden 12/05/2014 San Jose CA Office 130,218 (38,212) 92,006 Towers at Emeryville 12/23/2014 Emeryville CA Office 222,806 (61,337) 161,469 3003 Washington Boulevard 12/30/2014 Arlington VA Office 154,902 (43,413) 111,489 Park Place Village 06/18/2015 Leawood KS Office/Retail 85,553 (11,690) 73,863 201 17th Street 06/23/2015 Atlanta GA Office 104,529 (31,453) 73,076 515 Congress 08/31/2015 Austin TX Office 135,158 (32,865) 102,293 The Almaden 09/23/2015 San Jose CA Office 195,166 (47,899) 147,267 3001 Washington Boulevard 11/06/2015 Arlington VA Office 60,971 (13,760) 47,211 Carillon 01/15/2016 Charlotte NC Office 173,740 (40,257) 133,483 $ 2,523,934 $ (666,570) $ 1,857,364 _____________________ (1) Amounts presented are net of impairment charges and write-offs of fully depreciated/amortized assets. As of June 30, 2023, the following property represented more than 10% of the Company’s total assets: Property Location Rentable Square Feet Total Real Estate, Net Percentage of Total Assets Annualized Base Rent (in thousands) (1) Average Annualized Base Rent per sq. ft. Occupancy Accenture Tower Chicago, IL 1,457,724 $ 403,634 18.7 % $ 35,958 $ 27.37 90.1 % ___________________ (1) Annualized base rent represents annualized contractual base rental income as of June 30, 2023, 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. Operating Leases The Company’s office and office/retail properties are leased to tenants under operating leases for which the terms and expirations vary. As of June 30, 2023, the leases, including leases that have been executed but not yet commenced, had remaining terms, excluding options to extend, of up to 16.0 years with a weighted-average remaining term of 5.7 years. Some of the 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, 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 $10.1 million and $9.3 million as of June 30, 2023 and December 31, 2022, respectively. During the six months ended June 30, 2023 and 2022, the Company recognized deferred rent from tenants of $2.3 million and $4.5 million, respectively. As of June 30, 2023 and December 31, 2022, the cumulative deferred rent balance was $91.2 million and $89.9 million, respectively, and is included in rents and other receivables on the accompanying balance sheets. The cumulative deferred rent balance included $17.3 million and $17.3 million of unamortized lease incentives as of June 30, 2023 and December 31, 2022, respectively. As of June 30, 2023, the future minimum rental income from the Company’s properties under its non-cancelable operating leases was as follows (in thousands): July 1, 2023 through December 31, 2023 $ 100,974 2024 197,727 2025 181,807 2026 164,383 2027 138,582 Thereafter 549,364 $ 1,332,837 As of June 30, 2023, the Company’s office and office/retail properties were leased to approximately 540 tenants over a diverse range of industries and geographic areas. The Company’s highest tenant industry concentrations (greater than 10% of annualized base rent) were as follows: Industry Number of Tenants Annualized Base Rent (1) (in thousands) Percentage of Finance 110 $ 37,921 18.1 % Legal Services 55 23,937 11.4 % $ 61,858 29.5 % _____________________ (1) Annualized base rent represents annualized contractual base rental income as of June 30, 2023, 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 June 30, 2023, no other tenant industries accounted for more than 10% of annualized base rent and no tenant accounted for more than 10% of annualized base rent. Geographic Concentration Risk As of June 30, 2023, the Company’s net investments in real estate in California, Illinois and Texas represented 21.9%, 18.7% and 16.8% of the Company’s total assets, respectively. As a result, the geographic concentration of the Company’s portfolio makes it particularly susceptible to adverse economic developments in the California, Illinois and Texas real estate markets. Any adverse economic or real estate developments in these markets, such as business layoffs or downsizing, industry slowdowns, relocations of businesses, changing demographics and other factors, or any decrease in demand for office space resulting from the local business climate, could adversely affect the Company’s operating results and its ability to pay distributions to stockholders. Impairment of Real Estate During the three and six months ended June 30, 2023, the Company recorded non-cash impairment charges of $18.5 million and $45.5 million, respectively, to write down the carrying value of 201 Spear Street (located in San Francisco, California) to its estimated fair value as a result of continued market uncertainty due to rising interest rates, increased vacancy rates as a result of slow return to office in San Francisco, additional projected vacancy due to anticipated tenant turnover and further declining values of comparable sales in the market, all of which impacted ongoing cash flow estimates and leasing projections, which resulted in the future estimated undiscounted cash flows to be lower than the net carrying value of the property. As of June 30, 2023, 201 Spear Street was 67.6% occupied. The Company is projecting longer lease-up periods for the vacant space, and increased tenant turnover for currently occupied space, as demand for office space in San Francisco has significantly declined as a result of the continued work-from-home arrangements, which increased due to the COVID-19 pandemic, and due to the economic slowdown and the current rising interest rate environment. The Company did not record any non-cash impairment charges during the three and six months ended June 30, 2022, respectively.

TENANT ORIGINATION AND ABSORPTI

TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES	6 Months Ended
	Jun. 30, 2023
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 June 30, 2023 and December 31, 2022, 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 Above-Market Below-Market June 30, December 31, 2022 June 30, December 31, 2022 June 30, December 31, 2022 Cost $ 39,799 $ 42,555 $ 904 $ 983 $ (7,983) $ (8,384) Accumulated Amortization (28,817) (29,524) (679) (721) 6,519 6,473 Net Amount $ 10,982 $ 13,031 $ 225 $ 262 $ (1,464) $ (1,911) 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 and six months ended June 30, 2023 and 2022 were as follows (in thousands): Tenant Origination and Above-Market Below-Market For the Three Months Ended For the Three Months Ended For the Three Months Ended 2023 2022 2023 2022 2023 2022 Amortization $ (1,012) $ (1,458) $ (18) $ (21) $ 228 $ 391 Tenant Origination and Above-Market Below-Market For the Six Months Ended For the Six Months Ended For the Six Months Ended 2023 2022 2023 2022 2023 2022 Amortization $ (2,049) $ (3,238) $ (37) $ (45) $ 447 $ 832

REAL ESTATE EQUITY SECURITIES

REAL ESTATE EQUITY SECURITIES	6 Months Ended
	Jun. 30, 2023
Investments, Debt and Equity Securities [Abstract]
REAL ESTATE EQUITY SECURITIES	REAL ESTATE EQUITY SECURITIES Investment in Prime US REIT In connection with the Company’s sale of 11 properties to the SREIT on July 18, 2019 (the “Singapore Portfolio”), on July 19, 2019, the Company, through an indirect wholly owned subsidiary (“REIT Properties III”), acquired 307,953,999 units in the SREIT at a price of $271.0 million, or $0.88 per unit, representing a 33.3% ownership interest in the SREIT (such transactions, the “Singapore Transaction”). On August 21, 2019, REIT Properties III sold 18,392,100 of its units in the SREIT for $16.2 million pursuant to an over-allotment option granted to the underwriters of the SREIT’s offering, reducing REIT Properties III’s ownership in the SREIT to 31.3% of the outstanding units of the SREIT as of that date. On November 9, 2021, REIT Properties III sold 73,720,000 of its units in the SREIT for $58.9 million, net of fees and costs, reducing REIT Properties III’s ownership in the SREIT to 18.5% of the outstanding units of the SREIT as of that date. As of June 30, 2023, REIT Properties III held 215,841,899 units of the SREIT which represented 18.2% of the outstanding units of the SREIT. As of June 30, 2023, the aggregate book value and fair value of the Company’s investment in the units of the SREIT was $45.3 million, which was based on the closing price of the SREIT units on the SGX-ST of $0.210 per unit as of June 30, 2023. On November 9, 2021, upon the Company’s sale of 73,720,000 units in the SREIT, the Company determined that based on its ownership interest of 18.5% of the outstanding units of the SREIT as of that date, it no longer had significant influence over the operations, financial policies and decision making with respect to the SREIT. Accordingly, effective November 9, 2021, the Company’s investment in the units of the SREIT represent an investment in marketable securities and is therefore presented at fair value at each reporting date based on the closing price of the SREIT units on the SGX-ST on that date and dividend income is recognized as it is declared based on eligible units as of the ex-dividend date.

NOTES PAYABLE

NOTES PAYABLE	6 Months Ended
	Jun. 30, 2023
Notes Payable [Abstract]
NOTES PAYABLE	NOTES PAYABLE As of June 30, 2023 and December 31, 2022, the Company’s notes payable consisted of the following (dollars in thousands): Book Value as of June 30, 2023 Book Value as of December 31, 2022 Contractual Interest Rate as of June 30, 2023 (1) Effective Interest Rate as of June 30, 2023 (1) Payment Type Maturity Date (2) The Almaden Mortgage Loan (3) $ 123,000 $ 123,000 3.65% 3.65% Interest Only 12/01/2023 201 Spear Street Mortgage Loan 125,000 125,000 One-month Term SOFR + 1.45% 6.59% Interest Only 01/05/2024 Carillon Mortgage Loan (4) 88,800 88,800 One-month Term SOFR +1.50% 6.64% Interest Only 04/11/2024 Modified Portfolio Revolving Loan Facility (5) 249,145 249,145 One-month Term SOFR + 1.60% 6.74% Interest Only 03/01/2024 3001 & 3003 Washington Mortgage Loan 141,335 142,232 One-month Term SOFR + 0.10% + 1.45% 6.69% Principal & Interest 06/01/2024 Accenture Tower Revolving Loan (6) 281,250 281,250 One-month Term SOFR + 2.35% 7.49% Interest Only 11/02/2023 Unsecured Credit Facility (7) 37,500 37,500 One-month Term SOFR + 2.20% 7.34% Interest Only 07/30/2023 Amended and Restated Portfolio Loan Facility (8) 601,688 559,468 One-month BSBY (9) +1.80% 6.98% Interest Only 11/03/2023 Park Place Village Mortgage Loan (10) 65,000 65,000 One-month Term SOFR + 1.95% 7.09% Interest Only 08/31/2025 Total notes payable principal outstanding $ 1,712,718 $ 1,671,395 Deferred financing costs, net (2,557) (4,107) Total Notes Payable, net $ 1,710,161 $ 1,667,288 _____________________ (1) Contractual interest rate represents the interest rate in effect under the loan as of June 30, 2023. Effective interest rate is calculated as the actual interest rate in effect as of June 30, 2023, consisting of the contractual interest rate and using interest rate indices as of June 30, 2023, where applicable. For information regarding the Company’s derivative instruments, see Note 7, “Derivative Instruments.” (2) Represents the maturity date as of June 30, 2023; subject to certain conditions, the maturity dates of certain loans may be extended beyond the dates shown. See below. (3) As of June 30, 2023, The Almaden Mortgage Loan has two 12-month extension options, subject to certain terms, conditions and fees as described in the loan documents. The Almaden Mortgage Loan bears interest at a fixed rate of 3.65% for the initial term of the loan and a floating rate of 350 basis points over one-month LIBOR during the extension options, subject to a minimum interest rate of 3.65%. Pursuant to the loan documents, the Almaden Mortgage Loan includes provisions for a LIBOR successor rate in the event LIBOR is unascertainable or ceases to be available. (4) As of June 30, 2023, the borrowing capacity under the Carillon Mortgage Loan was $111.0 million, of which $88.8 million is term debt and $22.2 million is revolving debt. As of June 30, 2023, the outstanding balance under the loan consisted of $88.8 million of term debt. As of June 30, 2023, $22.2 million of revolving debt remained available for future disbursements, subject to certain terms and conditions set forth in the loan documents. As of June 30, 2023, the Carillon Mortgage Loan has one 24-month extension option, subject to certain terms and conditions contained in the loan documents. (5) As of June 30, 2023, the Modified Portfolio Revolving Loan Facility was secured by 515 Congress, the McEwen Building, Gateway Tech Center and 201 17th Street. As of June 30, 2023, the borrowing capacity under the Modified Portfolio Revolving Loan Facility was $249.2 million, of which $124.6 million is term debt and $124.6 million is revolving debt. As of June 30, 2023, the outstanding balance under the loan consisted of $124.6 million of term debt and $124.6 million of revolving debt. As of June 30, 2023, the Modified Portfolio Revolving Loan Facility has one 12-month extension option, subject to certain terms, conditions and fees as described in the loan documents. (6) As of June 30, 2023, the outstanding balance under the Accenture Tower Revolving Loan consisted of $281.3 million of term debt and an additional $93.7 million of revolving debt remained available for future disbursements, subject to certain terms and conditions contained in the loan documents. As of June 30, 2023, the Accenture Tower Revolving Loan has two 12-month extension options, subject to certain terms and conditions contained in the loan documents. (7) As of June 30, 2023, the borrowing capacity under the Unsecured Credit Facility was $75.0 million, of which $37.5 million is term debt and $37.5 million is revolving debt. As of June 30, 2023, the outstanding balance under the Unsecured Credit Facility consisted of $37.5 million of term debt and an additional $37.5 million of revolving debt remained available for future disbursements, subject to certain terms and conditions contained in the loan documents. As of June 30, 2023, the Unsecured Credit Facility had one 12-month extension option, subject to certain terms and conditions contained in the loan documents. Subsequent to June 30, 2023, the Company exercised its extension option and extended the maturity date of the Unsecured Credit Facility to July 30, 2024. (8) As of June 30, 2023, the Amended and Restated Portfolio Loan Facility was secured by 60 South Sixth, Preston Commons, Sterling Plaza, Towers at Emeryville, Ten Almaden and Town Center. As of June 30, 2023, the borrowing capacity under the Amended and Restated Portfolio Loan Facility was $613.2 million, of which $459.9 million is term debt and $153.3 million is revolving debt. As of June 30, 2023, the outstanding balance under the loan consisted of $459.9 million of term debt and $141.8 million of revolving debt. As of June 30, 2023, an additional $11.5 million of revolving debt remained available for future disbursements, subject to certain terms and conditions contained in the loan documents. The Amended and Restated Portfolio Loan Facility has one 12-month extension option, subject to certain terms and conditions as described in the loan documents. (9) Bloomberg Short-Term Bank Yield Index (“BSBY”). (10) As of June 30, 2023, the Park Place Village Mortgage Loan has two 12-month extension options, subject to certain terms, conditions and fees as described in the loan documents. Monthly payments are interest only during the initial term and the first extension option. During the second extension option, certain future monthly payments due under the Park Place Village Mortgage Loan also include amortizing principal payments. The maturity dates of certain notes payable may be extended beyond their current maturity dates; however, the extension options are subject to certain terms and conditions contained in the loan documents some of which are more stringent than the Company’s current loan compliance tests. As a result, in order to qualify for certain loan extensions, the Company will likely be required to reduce the loan commitment by a substantial amount and/or make paydowns on certain loans, which would reduce the Company’s liquidity. Additionally, continued increases in interest rates, reductions in real estate values and future tenant turnover in the portfolio will have a further impact on the Company’s ability to meet such tests and may further reduce the available liquidity under the Company’s loan agreements. See also, Note 2, “Summary of Significant Accounting Policies — Liquidity.” During the three and six months ended June 30, 2023, the Company’s interest expense related to notes payable was $29.3 million and $56.1 million, respectively, and during the three and six months ended June 30, 2022, the Company’s interest expense related to notes payable was $11.2 million and $19.8 million, respectively, which excludes the impact of interest rate swaps and caps put in place to mitigate the Company’s exposure to rising interest rates on its variable rate notes payable. See Note 7, “Derivative Instruments.” Included in interest expense was the amortization of deferred financing costs of $1.0 million and $2.1 million for the three and six months ended June 30, 2023, respectively, and $0.9 million and $1.9 million for the three and six months ended June 30, 2022, respectively. As of June 30, 2023 and December 31, 2022, $9.4 million and $8.0 million of interest expense were payable, respectively. The following is a schedule of maturities, including principal amortization payments, for all notes payable outstanding as of June 30, 2023 (in thousands): July 1, 2023 through December 31, 2023 $ 1,044,363 2024 603,355 2025 65,000 2026 — 2027 — Thereafter — $ 1,712,718

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS	DERIVATIVE INSTRUMENTS The Company enters into derivative instruments for risk management purposes to hedge its exposure to cash flow variability caused by changing interest rates. The primary goal of the Company’s risk management practices related to interest rate risk is to prevent changes in interest rates from adversely impacting the Company’s ability to achieve its investment return objectives. The Company does not enter into derivatives for speculative purposes. The Company enters into interest rate swaps as a fixed rate payer to mitigate its exposure to rising interest rates on its variable rate notes payable. The value of interest rate swaps is primarily impacted by interest rates, market expectations about interest rates, and the remaining life of the instrument. In general, increases in interest rates, or anticipated increases in interest rates, will increase the value of the fixed rate payer position and decrease the value of the variable rate payer position. As the remaining life of the interest rate swap decreases, the value of both positions will generally move towards zero. The Company enters into interest rate caps to mitigate its exposure to rising interest rates on its variable rate notes payable. The values of interest rate caps are primarily impacted by interest rates, market expectations about interest rates, and the remaining life of the instrument. In general, increases in interest rates, or anticipated increases in interest rates, will increase the value of interest rate caps. As the remaining life of an interest rate cap decreases, the value of the instrument will generally decrease towards zero. As of June 30, 2023, the Company has entered into 20 interest rate swaps and one interest rate cap, which were not designated as hedging instruments. The following table summarizes the notional amount and other information related to the Company’s interest rate swaps and interest rate cap as of June 30, 2023 and December 31, 2022. The notional amount is an indication of the extent of the Company’s involvement in each instrument at that time, but does not represent exposure to credit, interest rate or market risks (dollars in thousands): June 30, 2023 December 31, 2022 Weighted-Average Fix Pay Rate Weighted-Average Remaining Term in Years Derivative Instruments Number of Instruments Notional Amount Number of Instruments Notional Amount Reference Rate as of June 30, 2023 Derivative instruments not designated as hedging instruments Interest rate swaps (1) 20 $ 1,696,250 20 $ 1,619,190 One-month LIBOR/ Fixed at 0.70% - 1.40% One-month Term SOFR/ Fixed at 2.38% - 3.92% 2.4% 2.0 Interest rate cap 1 $ 125,000 — $ — One-month Term SOFR at 6.49% 6.5% 0.5 _____________________ (1) Includes nine forward interest rate swaps: (i) one forward interest rate swap in the amount of $100.0 million will become effective on August 1, 2023 and mature on August 1, 2026, (ii) four forward interest rate swaps in the total amount of $200.0 million will become effective on November 1, 2023 and mature on February 1, 2026, (iii) one forward interest rate swap in the amount of $100.0 million will become effective on November 1, 2023 and mature on May 1, 2026, (iv) one forward interest rate swap in the amount of $100.0 million will become effective on November 1, 2023 and mature on July 1, 2026, (v) one forward interest rate swap in the amount of $100.0 million will become effective on November 1, 2023 and mature on November 1, 2026 and (vi) one forward interest rate swap in the amount of $100.0 million will become effective on December 1, 2023 and mature on November 1, 2026. The following table sets forth the fair value of the Company’s derivative instruments as well as their classification on the consolidated balance sheets as of June 30, 2023 and December 31, 2022 (dollars in thousands): June 30, 2023 December 31, 2022 Derivative Instruments Balance Sheet Location Number of Instruments Fair Value Number of Instruments Fair Value Derivative instruments not designated as hedging instruments Interest rate swaps Prepaid expenses and other assets, at fair value (1) 20 $ 45,785 18 $ 40,216 Interest rate swaps Other liabilities, at fair value — $ — 2 $ (75) Interest rate cap Prepaid expenses and other assets, at fair value 1 $ — — $ — _____________________ (1) Includes nine forward interest rate swaps. See footnote (1) to the table immediately above. As of June 30, 2023 and December 31, 2022, prepaid expenses and other assets included a $4.0 million and $8.7 million asset related to the fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option, respectively. The following table summarizes the effects of derivative instruments on the Company’s consolidated statements of operations (in thousands): For the Three Months Ended For the Six Months Ended 2023 2022 2023 2022 Derivatives not designated as hedging instruments Realized loss recognized on interest rate swaps $ — $ 2,649 $ — $ 6,968 Realized gain recognized on interest rate swaps (7,675) (36) (14,311) (36) Unrealized gain on interest rate swaps (1) (19,293) (10,082) (5,643) (35,870) Unrealized loss on interest rate cap — — 24 — Net gain on derivative instruments $ (26,968) $ (7,469) $ (19,930) $ (28,938) _____________________ (1) For the three and six months ended June 30, 2023, unrealized gain on interest rate swaps included a $2.1 million and $4.6 million unrealized loss, respectively, and for the three and six months ended June 30, 2022, unrealized gain on interest rate swaps included a $2.7 million and $9.4 million unrealized gain, respectively, in each case related to the change in fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option.

FAIR VALUE DISCLOSURES

FAIR VALUE DISCLOSURES	6 Months Ended
	Jun. 30, 2023
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 equity securities: At June 30, 2023, the Company’s investment in the units of the SREIT was presented at fair value on the accompanying consolidated balance sheet. The fair value of the units of the SREIT was based on a quoted price in an active market on a major stock exchange. The Company classifies these inputs as Level 1 inputs. Derivative instruments: The Company’s derivative instruments are presented at fair value on the accompanying consolidated balance sheets. The valuation of these instruments is determined using a proprietary model that utilizes observable inputs. As such, the Company classifies these inputs as Level 2 inputs. The proprietary model uses the contractual terms of the derivatives, including the period to maturity, as well as observable market-based inputs, including interest rate curves and volatility. The fair values of interest rate swaps are estimated using the market standard methodology of netting the discounted fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on an expectation of interest rates (forward curves) derived from observable market interest rate curves. In addition, credit valuation adjustments, which consider the impact of any credit risks to the contracts, are incorporated in the fair values to account for potential nonperformance risk. The fair value of interest rate caps (floors) are determined using the market standard methodology of discounting the future expected cash payments (receipts) which would occur if variable interest rates rise above (below) the strike rate of the caps (floors). The variable interest rates used in the calculation of projected payments (receipts) on the cap (floors) are based on an expectation of future interest rates derived from observed market interest rate curves and volatilities. 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 notes payable as of June 30, 2023 and December 31, 2022, which carrying amounts generally do not approximate the fair values (in thousands): June 30, 2023 December 31, 2022 Face Value Carrying Amount Fair Value Face Value Carrying Amount Fair Value Financial liabilities: Notes payable $ 1,712,718 $ 1,710,161 $ 1,647,380 $ 1,671,395 $ 1,667,288 $ 1,654,046 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. Low levels of transaction volume for certain financial instruments have made the estimation of fair values difficult and, therefore, both the actual results and the Company’s estimate of value at a future date could be materially different. As of June 30, 2023, the Company measured the following assets and liabilities at fair value (in thousands): Fair Value Measurements Using Total Quoted Prices in Significant Other Significant Recurring Basis: Real estate equity securities $ 45,327 $ 45,327 $ — $ — Asset derivatives - interest rate swaps (1) $ 45,785 $ — $ 45,785 $ — Asset derivatives - interest rate caps $ — $ — $ — $ — _____________________ (1) Includes nine forward interest rate swaps. See Note 7, “Derivative Instruments.” Also includes a $4.0 million asset related to the fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option. During the six months ended June 30, 2023, the Company measured the following asset at fair value on a nonrecurring basis (in thousands): Fair Value Measurements Using Total Quoted Prices in Significant Other Significant Nonrecurring Basis: Impaired real estate (1) $ 71,918 $ — $ — $ 71,918 _____________________ (1) Amount represents the fair value for a real estate asset impacted by an impairment charge during the six months ended June 30, 2023, as of the date that the fair value measurement was made, which was June 30, 2023.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	6 Months Ended
	Jun. 30, 2023
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS The Company has entered into the Advisory Agreement with the Advisor and the Dealer Manager Agreement with the Dealer Manager. These agreements entitled the Advisor and/or the Dealer Manager to specified fees upon the provision of certain services with regard to the Offering and reimbursement of organization and offering costs incurred by the Advisor and the Dealer Manager on behalf of the Company and entitle the Advisor to specified fees upon the provision of certain services with regard to the investment of funds in real estate investments, the management of those investments, among other services, and the disposition of investments, as well as entitle the Advisor and/or the Dealer Manager to reimbursement of offering costs related to the dividend reinvestment plan incurred by the Advisor and the Dealer Manager on behalf of the Company and 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 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 and Dealer Manager also serve or served as the advisor and dealer manager, respectively, for KBS Real Estate Investment Trust II, Inc. (“KBS REIT II”) (liquidated May 2023) and KBS Growth & Income REIT, Inc. (“KBS Growth & Income REIT”). As of January 1, 2022, the Company, together with KBS REIT II, KBS Growth & Income REIT, the Dealer Manager, the Advisor and other KBS-affiliated entities, had entered into an errors and omissions and directors and officers liability insurance program where the lower tiers of such insurance coverage were 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. In June 2023, the Company renewed its participation in the program, and the program is effective through June 30, 2024. At renewal on June 30, 2022, due to its liquidation, KBS REIT II elected to cease participation in the program and obtained separate insurance coverage. At renewal on June 30, 2023, due to its liquidation, KBS Growth & Income REIT elected to cease participation in the program and obtained separate insurance coverage. Pursuant to the terms of these agreements, summarized below are the related-party costs incurred by the Company for the three and six months ended June 30, 2023 and 2022, respectively, and any related amounts receivable and payable as of June 30, 2023 and December 31, 2022 (in thousands): Incurred Incurred Receivable as of Payable as of Three Months Ended June 30, Six Months Ended June 30, June 30, December 31, June 30, December 31, 2023 2022 2023 2022 2023 2022 2023 2022 Expensed Asset management fees (1) $ 5,185 $ 4,985 $ 10,274 $ 9,861 $ — $ — $ 13,565 $ 10,191 Reimbursement of operating expenses (2) 115 60 194 192 — 10 241 174 $ 5,300 $ 5,045 $ 10,468 $ 10,053 $ — $ 10 $ 13,806 $ 10,365 _____________________ (1) See “Asset Management Fees” below. (2) Reimbursable operating expenses primarily consists of internal audit personnel costs, accounting software costs and cybersecurity related expenses incurred by the Advisor under the Advisory Agreement. The Company has reimbursed 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 $31,000 and $56,000 for the three and six months ended June 30, 2023, respectively, and $56,000 and $102,000 for the three and six months ended June 30, 2022, respectively, and were the only type of employee costs reimbursed under the Advisory Agreement for the three and six months ended June 30, 2023 and 2022, respectively. The Company currently does not reimburse for employee costs in connection with services for which the Advisor earns acquisition or origination fees or disposition fees (other than reimbursement of travel and communication expenses) and other than future payments pursuant to the Bonus Retention Fund (see below, “–Asset Management Fees”), the Company does not reimburse the Advisor for the salaries or benefits the Advisor or its affiliates may pay to the Company’s executive officers and affiliated directors. 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. As of December 31, 2021, the Company was charged $0.8 million by certain vendors for services for which the Company believes it was either overcharged or which were never performed. Additionally, during the year ended December 31, 2022, the Company incurred $1.6 million of legal and accounting costs related to the investigation of this matter. The Advisor agreed to reimburse the Company for any amounts inappropriately charged to the Company for these vendor services, including legal and accounting costs incurred related to the investigation of this matter. As of December 31, 2021, the Company had recorded a receivable of $0.3 million related to the reimbursement of these overpayments and also recorded a credit against the liability for asset management fees that were deferred in prior periods of $0.5 million that would have been due by the Company to the Advisor in those periods as a result of the increase in the Company’s net income and MFFO for such periods, and corresponding decrease in expenses, related to the charges that the Company should not have incurred. As of June 30, 2023, the Advisor had reimbursed the Company $1.9 million in cash for amounts inappropriately charged to the Company and for legal and accounting costs related to the investigation of this matter. In connection with the Offering, Messrs. Bren, Hall, McMillan and Schreiber agreed to provide additional indemnification to one of the participating broker-dealers. The Company agreed to add supplemental coverage to its directors’ and officers’ insurance coverage to insure Messrs. Bren, Hall, McMillan and Schreiber’s obligations under this indemnification agreement in exchange for reimbursement by Messrs. Bren, Hall, McMillan and Schreiber to the Company for all costs, expenses and premiums related to this supplemental coverage. During the six months ended June 30, 2023 and 2022, the Advisor did not incur any costs of the supplemental coverage obtained by the Company. Asset Management Fees For asset management services, the Company pays the Advisor a monthly fee. With respect to investments in real property, the asset management fee is a monthly fee equal to one-twelfth of 0.75% of the amount paid or allocated to acquire the investment, plus the cost of any subsequent development, construction or improvements to the property. This amount includes any portion of the investment that was debt financed and is inclusive of acquisition expenses related thereto (but excludes acquisition fees paid or payable to the Advisor). In the case of investments made through joint ventures, the asset management fee is determined based on the Company’s proportionate share of the underlying investment (but excluding acquisition fees paid or payable to the Advisor). With respect to investments in loans and any investments other than real property, the asset management fee is a monthly fee calculated, each month, as one-twelfth of 0.75% of the lesser of (i) the amount actually paid or allocated to acquire or fund the loan or other investment (which amount includes any portion of the investment that was debt financed and is inclusive of acquisition or origination expenses related thereto, but is exclusive of acquisition or origination fees paid or payable to the Advisor) and (ii) the outstanding principal amount of such loan or other investment, plus the acquisition or origination expenses related to the acquisition or funding of such investment (excluding acquisition or origination fees paid or payable to the Advisor), as of the time of calculation. The Company currently does not pay any asset management fees in connection with the Company’s investment in the equity securities of the SREIT. Notwithstanding the foregoing on November 8, 2022, the Company and the Advisor renewed the Advisory Agreement and amended certain provisions related to the payment of asset management fees (the “Renewed Advisory Agreement”), among other provisions. Pursuant to the Renewed Advisory Agreement, commencing with asset management fees accruing from October 1, 2022, the Company pays $1.15 million of the monthly asset management fee to the Advisor in cash and the Company deposits the remainder of the monthly asset management fee into an interest bearing account in the Company’s name, which amounts will be paid to the Advisor from such account solely as reimbursement for payments made by the Advisor pursuant to the Advisor’s employee retention program (such account, the “Bonus Retention Fund”). The Bonus Retention Fund was established in order to incentivize and retain key employees of the Advisor. The Company will be deemed to have fully funded the Bonus Retention Fund once the Company has deposited $8.5 million in cash into such account, at which time the monthly asset management fee will be payable in full to the Advisor. The Advisor has acknowledged and agreed that payments by the Advisor to employees under the Advisor’s employee retention program that are reimbursed by the Company from the Bonus Retention Fund will be conditioned on (a) the Company’s liquidation and dissolution; (b) a transaction involving the acquisition, merger, conversion or consolidation, either directly or indirectly, of the Company in which (i) the Company is not the surviving entity and (ii) the Advisor is no longer serving as an advisor or asset manager to the surviving entity in such transaction; (c) the sale or other disposition of all or substantially all of the Company’s assets; (d) the non-renewal or termination of the Renewed Advisory Agreement without cause; or (e) the termination of the employee without cause. To the extent the Bonus Retention Fund is not fully paid out to employees as set forth above, the Renewed Advisory Agreement provides that the residual amount will be deemed additional Deferred Asset Management Fees (defined below) and be treated in accordance with the provisions for payment of Deferred Asset Management Fees. Two of the Company’s executive officers, Jeff Waldvogel and Stacie Yamane, and one of the Company’s directors, Marc DeLuca, participate in and have been allocated awards under the Advisor’s employee retention program, which awards would only be paid as set forth above. As of June 30, 2023, the Company has deposited $5.1 million of restricted cash into the Bonus Retention Fund and the Company had not made any payments to the Advisor from the Bonus Retention Fund. Prior to entering the Renewed Advisory Agreement, the Advisory Agreement had provided that with respect to asset management fees accruing from March 1, 2014, the Advisor would defer, without interest, the Company’s obligation to pay asset management fees for any month in which the Company’s modified funds from operations (“MFFO”) for such month, as such term is defined in the practice guideline issued by the Institute for Portfolio Alternatives (“IPA”) in November 2010 and interpreted by the Company, excluding asset management fees, did not exceed the amount of distributions declared by the Company for record dates of that month. The Company remained obligated to pay the Advisor an asset management fee in any month in which the Company’s MFFO, excluding asset management fees, for such month exceeded the amount of distributions declared for the record dates of that month (such excess amount, an “MFFO Surplus”); however, any amount of such asset management fee in excess of the MFFO Surplus was deferred under the Advisory Agreement. If the MFFO Surplus for any month exceeded the amount of the asset management fee payable for such month, any remaining MFFO Surplus was applied to pay any asset management fee amounts previously deferred in accordance with the Advisory Agreement. Pursuant to the Renewed Advisory Agreement, asset management fees accruing from October 1, 2022 are no longer subject to the deferral provision described above. Asset management fees that remained deferred as of September 30, 2022 are “Deferred Asset Management Fees.” As of September 30, 2022, Deferred Asset Management Fees totaled $8.5 million. The Renewed Advisory Agreement also provides that the Company remains obligated to pay the Advisor outstanding Deferred Asset Management Fees in any month to the extent that MFFO for such month exceeds the amount of distributions declared for the record dates of that month (such excess amount, a “RMFFO Surplus”); provided however, that any amount of outstanding Deferred Asset Management Fees in excess of the RMFFO Surplus will continue to be deferred. As of June 30, 2023 and December 31, 2022, the Company had accrued $13.6 million and $10.2 million of asset management fees, respectively, of which $8.5 million were Deferred Asset Management Fees as of June 30, 2023 and December 31, 2022, and $5.1 million and $1.7 million were related to asset management fees that were restricted for payment and deposited in the Bonus Retention Fund as of June 30, 2023 and December 31, 2022, respectively. Consistent with the prior Advisory Agreement, the Renewed Advisory Agreement provides that notwithstanding the foregoing, any and all Deferred Asset Management Fees that are unpaid will become immediately due and payable at such time as the Company’s stockholders have received, together as a collective group, aggregate distributions (including distributions that may constitute a return of capital for federal income tax purposes) sufficient to provide (i) an 8.0% per year cumulative, noncompounded return on such net invested capital (the “Stockholders’ 8% Return”) and (ii) a return of their net invested capital, or the amount calculated by multiplying the total number of shares purchased by stockholders by the issue price, reduced by any amounts to repurchase shares pursuant to the Company’s share redemption program. The Stockholders’ 8% Return is not based on the return provided to any individual stockholder. Accordingly, it is not necessary for each of the Company’s stockholders to have received any minimum return in order for the Advisor to receive Deferred Asset Management Fees. In addition, the Renewed Advisory Agreement provides that any and all Deferred Asset Management Fees that are unpaid will also be immediately due and payable upon the earlier of: (i) a listing of the Company’s shares of common stock on a national securities exchange; (ii) the Company’s liquidation and dissolution; (iii) a transaction involving the acquisition, merger, conversion or consolidation, either directly or indirectly, of the Company in which (y) the Company is not the surviving entity and (z) the Advisor is no longer serving as an advisor or asset manager to the surviving entity in such transaction; and (iv) the sale or other disposition of all or substantially all of the Company’s assets. The Renewed Advisory Agreement has a term expiring on September 27, 2023 but may be renewed for an unlimited number of successive one-year periods upon the mutual consent of the Company and the Advisor. The Renewed Advisory Agreement may be terminated (i) upon 60 days written notice without cause or penalty by either the Company (acting through the conflicts committee) or the Advisor or (ii) immediately by the Company for cause or upon the bankruptcy of the Advisor. If the Renewed Advisory Agreement is terminated without cause, then the Advisor will be entitled to receive from the Company any residual amount of the Bonus Retention Fund deemed to be additional Deferred Asset Management Fees, provided that upon such non-renewal or termination the Company does not retain an advisor in which the Advisor or its affiliates have a majority interest. Upon termination of the Renewed Advisory Agreement, all unpaid Deferred Asset Management Fees will automatically be forfeited by the Advisor, and if the Renewed Advisory Agreement is terminated for cause, any residual amount of the Bonus Retention Fund deemed to be additional Deferred Asset Management Fees will also automatically be forfeited by the Advisor. Lease to Affiliate On May 29, 2015, the indirect wholly owned subsidiary (the “Lessor”) of the Company that owns 3003 Washington Boulevard entered into a lease with an affiliate of the Advisor (the “Lessee”) for 5,046 rentable square feet, or approximately 2.4% of the total rentable square feet, at 3003 Washington Boulevard. The lease commenced on October 1, 2015 and was amended on March 14, 2019 (the “Amended Lease”) to extend the lease period commencing on September 1, 2019 and terminating on August 31, 2024 and set the annual base rent during the extension period. The annualized base rent from the commencement of the Amended Lease is approximately $0.3 million, and the average annual rental rate (net of rental abatements) over the term of the Amended Lease through its termination is $62.55 per square foot. During the three and six months ended June 30, 2023, the Company recognized $82,000 and $165,000 of revenue related to this lease, respectively. During the three and six months ended June 30, 2022, the Company recognized $82,000 and $165,000 of revenue related to this lease, respectively. Prior to their approval of the lease and the Amended Lease, the Company’s conflicts committee and board of directors determined the lease to be fair and reasonable to the Company. Portfolio Sale On July 18, 2019, the Company sold the Singapore Portfolio to the SREIT, which is affiliated with Charles J. Schreiber, Jr., a director and executive officer of the Company. See Note 5, “Real Estate Equity Securities” for information related to the Company’s investment in the SREIT. The SREIT is externally managed by an entity (the “Manager”) in which Charles J. Schreiber, Jr. currently holds an indirect ownership interest. Mr. Schreiber is also a former director of the Manager. The SREIT pays the Manager an annual base fee of 10% of annual distributable income and an annual performance fee of 25% of the increase in distributions per unit of the SREIT from the preceding year. For acquisitions other than the Singapore Portfolio, the SREIT pays the Manager an acquisition fee of 1% of the acquisition price. The SREIT will also pay the Manager a divestment fee of 0.5% of the sale price of any real estate sold and a development management fee of 3% of the total project costs incurred for development projects. A portion of the fees paid to the Manager are paid to KBS Realty Advisors LLC, an entity controlled by Mr. Schreiber, for sub-advisory services. The Schreiber Trust, a trust whose beneficiaries are Charles J. Schreiber, Jr. and his family members, and the Linda Bren 2017 Trust also acquired units in the SREIT. The Schreiber Trust agreed it will not sell any portion of its units in the SREIT unless it has received the consent of the Company’s conflicts committee. The Linda Bren 2017 Trust has agreed it will not sell $5.0 million of its investment in the SREIT unless it has received the consent of the Company’s conflicts committee. During the six months ended June 30, 2023 and 2022, no other business transactions occurred between the Company and KBS REIT II, KBS Growth & Income REIT, the Advisor, the Dealer Manager or other KBS-affiliated entities.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Economic Dependency The Company is dependent on the Advisor for certain services that are essential to the Company, including the identification, evaluation, negotiation, origination, acquisition and disposition of investments; management of the daily operations of the Company’s investment portfolio; and other general and administrative responsibilities. In the event that the Advisor is unable to provide the respective services, the Company will be required to obtain such services from other sources. Legal Matters From time to time, the Company may be party to legal proceedings that arise in the ordinary course of its business. Management is not aware of any legal proceedings of which the outcome 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. Environmental

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2023
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	SUBSEQUENT EVENTS The Company evaluates subsequent events up until the date the consolidated financial statements are issued. Distributions Paid

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2023
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 and six months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the year ending December 31, 2023.
Principles of Consolidation	The consolidated financial statements include the accounts of the Company, REIT Holdings III, 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 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 consolidated financial statements and condensed notes. Actual results could materially differ from those estimates.
Per Share Data	Basic net income (loss) per share of common stock is calculated by dividing net income (loss) attributable to common stockholders 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 and six months ended June 30, 2023 and 2022, respectively.
Segments	The Company has invested in core real estate properties and real estate-related investments with the goal of acquiring a portfolio of income-producing investments. The Company’s real estate properties exhibit similar long-term financial performance and have similar economic characteristics to each other. Accordingly, the Company aggregated its investments in real estate properties into one reportable business segment.
Square Footage, Occupancy and Other Measures	Square footage, occupancy, number of tenants and other measures, including annualized base rent and annualized base rent per square foot, used to describe real estate investments included in these condensed notes to the consolidated financial statements are unaudited and outside the scope of the Company’s independent registered public accounting firm’s review of the Company’s financial statements in accordance with the standards of the United States Public Company Accounting Oversight Board.
Recently Issued Accounting Standards Update	In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU No. 2020-04”) to provide temporary optional expedients and exceptions to the guidance in GAAP on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (“SOFR”). Modified contracts that meet the following criteria are eligible for relief from the modification accounting requirements under GAAP: (1) the contract references LIBOR or another rate that is expected to be discontinued due to reference rate reform, (2) the modified terms directly replace or have the potential to replace the reference rate that is expected to be discontinued due to reference rate reform, and (3) any contemporaneous changes to other terms (i.e., those that do not directly replace or have the potential to replace the reference rate) that change or have the potential to change the amount and timing of contractual cash flows must be related to the replacement of the reference rate. For a contract that meets the criteria, the guidance generally allows an entity to account for and present modifications as an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. That is, the modified contract is accounted for as a continuation of the existing contract. In addition, ASU No. 2020-04 provides various optional expedients for hedging relationships affected by reference rate reform, if certain criteria are met. The amendments in ASU No. 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. In December 2022, the FASB issued ASU No. 2022-06, to extend the temporary accounting relief provided under ASU No. 2020-04 to December 31, 2024. An entity may elect to apply the amendments for contract modifications by Topic or Industry Subtopic as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020, or prospectively from a date within an interim period that includes or is subsequent to March 12, 2020, up to the date that the financial statements are available to be issued. Once elected for a Topic or an Industry Subtopic, the amendments in this update must be applied prospectively for all eligible contract modifications for that Topic or Industry Subtopic. An entity may elect to apply the amendments in ASU No. 2020-04 to eligible hedging relationships existing as of the beginning of the interim period that includes March 12, 2020 and to new eligible hedging relationships entered into after the beginning of the interim period that includes March 12, 2020.
Fair Value Measurement	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

REAL ESTATE (Tables)

REAL ESTATE (Tables)	6 Months Ended
	Jun. 30, 2023
Real Estate [Abstract]
Schedule of Real Estate Investments	The following table summarizes the Company’s investments in real estate as of June 30, 2023 (in thousands): Property Date Acquired City State Property Type Total Real Estate, at Cost (1) Accumulated Depreciation and Amortization (1) Total Real Estate, Net (1) Town Center 03/27/2012 Plano TX Office $ 139,690 $ (49,513) $ 90,177 McEwen Building 04/30/2012 Franklin TN Office 39,752 (11,121) 28,631 Gateway Tech Center 05/09/2012 Salt Lake City UT Office 35,875 (11,320) 24,555 60 South Sixth 01/31/2013 Minneapolis MN Office 182,683 (53,983) 128,700 Preston Commons 06/19/2013 Dallas TX Office 143,931 (39,569) 104,362 Sterling Plaza 06/19/2013 Dallas TX Office 93,547 (28,492) 65,055 201 Spear Street 12/03/2013 San Francisco CA Office 70,093 — 70,093 Accenture Tower 12/16/2013 Chicago IL Office 555,320 (151,686) 403,634 Ten Almaden 12/05/2014 San Jose CA Office 130,218 (38,212) 92,006 Towers at Emeryville 12/23/2014 Emeryville CA Office 222,806 (61,337) 161,469 3003 Washington Boulevard 12/30/2014 Arlington VA Office 154,902 (43,413) 111,489 Park Place Village 06/18/2015 Leawood KS Office/Retail 85,553 (11,690) 73,863 201 17th Street 06/23/2015 Atlanta GA Office 104,529 (31,453) 73,076 515 Congress 08/31/2015 Austin TX Office 135,158 (32,865) 102,293 The Almaden 09/23/2015 San Jose CA Office 195,166 (47,899) 147,267 3001 Washington Boulevard 11/06/2015 Arlington VA Office 60,971 (13,760) 47,211 Carillon 01/15/2016 Charlotte NC Office 173,740 (40,257) 133,483 $ 2,523,934 $ (666,570) $ 1,857,364 _____________________ (1) Amounts presented are net of impairment charges and write-offs of fully depreciated/amortized assets.
Schedule of Concentration of Risk, by Assets	As of June 30, 2023, the following property represented more than 10% of the Company’s total assets: Property Location Rentable Square Feet Total Real Estate, Net Percentage of Total Assets Annualized Base Rent (in thousands) (1) Average Annualized Base Rent per sq. ft. Occupancy Accenture Tower Chicago, IL 1,457,724 $ 403,634 18.7 % $ 35,958 $ 27.37 90.1 % ___________________
Schedule of Future Minimum Rental Income for Company's Properties	As of June 30, 2023, the future minimum rental income from the Company’s properties under its non-cancelable operating leases was as follows (in thousands): July 1, 2023 through December 31, 2023 $ 100,974 2024 197,727 2025 181,807 2026 164,383 2027 138,582 Thereafter 549,364 $ 1,332,837
Schedule of Concentration of Risk, by Risk Factor	The Company’s highest tenant industry concentrations (greater than 10% of annualized base rent) were as follows: Industry Number of Tenants Annualized Base Rent (1) (in thousands) Percentage of Finance 110 $ 37,921 18.1 % Legal Services 55 23,937 11.4 % $ 61,858 29.5 % _____________________

TENANT ORIGINATION AND ABSORP_2

TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES (Tables)	6 Months Ended
	Jun. 30, 2023
Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities [Abstract]
Schedule of Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities	As of June 30, 2023 and December 31, 2022, 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 Above-Market Below-Market June 30, December 31, 2022 June 30, December 31, 2022 June 30, December 31, 2022 Cost $ 39,799 $ 42,555 $ 904 $ 983 $ (7,983) $ (8,384) Accumulated Amortization (28,817) (29,524) (679) (721) 6,519 6,473 Net Amount $ 10,982 $ 13,031 $ 225 $ 262 $ (1,464) $ (1,911)
Schedule of 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 and six months ended June 30, 2023 and 2022 were as follows (in thousands): Tenant Origination and Above-Market Below-Market For the Three Months Ended For the Three Months Ended For the Three Months Ended 2023 2022 2023 2022 2023 2022 Amortization $ (1,012) $ (1,458) $ (18) $ (21) $ 228 $ 391 Tenant Origination and Above-Market Below-Market For the Six Months Ended For the Six Months Ended For the Six Months Ended 2023 2022 2023 2022 2023 2022 Amortization $ (2,049) $ (3,238) $ (37) $ (45) $ 447 $ 832

NOTES PAYABLE (Tables)

NOTES PAYABLE (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Payable [Abstract]
Schedule of Long-term Debt Instruments	As of June 30, 2023 and December 31, 2022, the Company’s notes payable consisted of the following (dollars in thousands): Book Value as of June 30, 2023 Book Value as of December 31, 2022 Contractual Interest Rate as of June 30, 2023 (1) Effective Interest Rate as of June 30, 2023 (1) Payment Type Maturity Date (2) The Almaden Mortgage Loan (3) $ 123,000 $ 123,000 3.65% 3.65% Interest Only 12/01/2023 201 Spear Street Mortgage Loan 125,000 125,000 One-month Term SOFR + 1.45% 6.59% Interest Only 01/05/2024 Carillon Mortgage Loan (4) 88,800 88,800 One-month Term SOFR +1.50% 6.64% Interest Only 04/11/2024 Modified Portfolio Revolving Loan Facility (5) 249,145 249,145 One-month Term SOFR + 1.60% 6.74% Interest Only 03/01/2024 3001 & 3003 Washington Mortgage Loan 141,335 142,232 One-month Term SOFR + 0.10% + 1.45% 6.69% Principal & Interest 06/01/2024 Accenture Tower Revolving Loan (6) 281,250 281,250 One-month Term SOFR + 2.35% 7.49% Interest Only 11/02/2023 Unsecured Credit Facility (7) 37,500 37,500 One-month Term SOFR + 2.20% 7.34% Interest Only 07/30/2023 Amended and Restated Portfolio Loan Facility (8) 601,688 559,468 One-month BSBY (9) +1.80% 6.98% Interest Only 11/03/2023 Park Place Village Mortgage Loan (10) 65,000 65,000 One-month Term SOFR + 1.95% 7.09% Interest Only 08/31/2025 Total notes payable principal outstanding $ 1,712,718 $ 1,671,395 Deferred financing costs, net (2,557) (4,107) Total Notes Payable, net $ 1,710,161 $ 1,667,288 _____________________ (1) Contractual interest rate represents the interest rate in effect under the loan as of June 30, 2023. Effective interest rate is calculated as the actual interest rate in effect as of June 30, 2023, consisting of the contractual interest rate and using interest rate indices as of June 30, 2023, where applicable. For information regarding the Company’s derivative instruments, see Note 7, “Derivative Instruments.” (2) Represents the maturity date as of June 30, 2023; subject to certain conditions, the maturity dates of certain loans may be extended beyond the dates shown. See below. (3) As of June 30, 2023, The Almaden Mortgage Loan has two 12-month extension options, subject to certain terms, conditions and fees as described in the loan documents. The Almaden Mortgage Loan bears interest at a fixed rate of 3.65% for the initial term of the loan and a floating rate of 350 basis points over one-month LIBOR during the extension options, subject to a minimum interest rate of 3.65%. Pursuant to the loan documents, the Almaden Mortgage Loan includes provisions for a LIBOR successor rate in the event LIBOR is unascertainable or ceases to be available. (4) As of June 30, 2023, the borrowing capacity under the Carillon Mortgage Loan was $111.0 million, of which $88.8 million is term debt and $22.2 million is revolving debt. As of June 30, 2023, the outstanding balance under the loan consisted of $88.8 million of term debt. As of June 30, 2023, $22.2 million of revolving debt remained available for future disbursements, subject to certain terms and conditions set forth in the loan documents. As of June 30, 2023, the Carillon Mortgage Loan has one 24-month extension option, subject to certain terms and conditions contained in the loan documents. (5) As of June 30, 2023, the Modified Portfolio Revolving Loan Facility was secured by 515 Congress, the McEwen Building, Gateway Tech Center and 201 17th Street. As of June 30, 2023, the borrowing capacity under the Modified Portfolio Revolving Loan Facility was $249.2 million, of which $124.6 million is term debt and $124.6 million is revolving debt. As of June 30, 2023, the outstanding balance under the loan consisted of $124.6 million of term debt and $124.6 million of revolving debt. As of June 30, 2023, the Modified Portfolio Revolving Loan Facility has one 12-month extension option, subject to certain terms, conditions and fees as described in the loan documents. (6) As of June 30, 2023, the outstanding balance under the Accenture Tower Revolving Loan consisted of $281.3 million of term debt and an additional $93.7 million of revolving debt remained available for future disbursements, subject to certain terms and conditions contained in the loan documents. As of June 30, 2023, the Accenture Tower Revolving Loan has two 12-month extension options, subject to certain terms and conditions contained in the loan documents. (7) As of June 30, 2023, the borrowing capacity under the Unsecured Credit Facility was $75.0 million, of which $37.5 million is term debt and $37.5 million is revolving debt. As of June 30, 2023, the outstanding balance under the Unsecured Credit Facility consisted of $37.5 million of term debt and an additional $37.5 million of revolving debt remained available for future disbursements, subject to certain terms and conditions contained in the loan documents. As of June 30, 2023, the Unsecured Credit Facility had one 12-month extension option, subject to certain terms and conditions contained in the loan documents. Subsequent to June 30, 2023, the Company exercised its extension option and extended the maturity date of the Unsecured Credit Facility to July 30, 2024. (8) As of June 30, 2023, the Amended and Restated Portfolio Loan Facility was secured by 60 South Sixth, Preston Commons, Sterling Plaza, Towers at Emeryville, Ten Almaden and Town Center. As of June 30, 2023, the borrowing capacity under the Amended and Restated Portfolio Loan Facility was $613.2 million, of which $459.9 million is term debt and $153.3 million is revolving debt. As of June 30, 2023, the outstanding balance under the loan consisted of $459.9 million of term debt and $141.8 million of revolving debt. As of June 30, 2023, an additional $11.5 million of revolving debt remained available for future disbursements, subject to certain terms and conditions contained in the loan documents. The Amended and Restated Portfolio Loan Facility has one 12-month extension option, subject to certain terms and conditions as described in the loan documents. (9) Bloomberg Short-Term Bank Yield Index (“BSBY”).
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 June 30, 2023 (in thousands): July 1, 2023 through December 31, 2023 $ 1,044,363 2024 603,355 2025 65,000 2026 — 2027 — Thereafter — $ 1,712,718

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Notional and Fair Value of Interest Rate Swaps Designated as Cash Flow Hedges	The following table summarizes the notional amount and other information related to the Company’s interest rate swaps and interest rate cap as of June 30, 2023 and December 31, 2022. The notional amount is an indication of the extent of the Company’s involvement in each instrument at that time, but does not represent exposure to credit, interest rate or market risks (dollars in thousands): June 30, 2023 December 31, 2022 Weighted-Average Fix Pay Rate Weighted-Average Remaining Term in Years Derivative Instruments Number of Instruments Notional Amount Number of Instruments Notional Amount Reference Rate as of June 30, 2023 Derivative instruments not designated as hedging instruments Interest rate swaps (1) 20 $ 1,696,250 20 $ 1,619,190 One-month LIBOR/ Fixed at 0.70% - 1.40% One-month Term SOFR/ Fixed at 2.38% - 3.92% 2.4% 2.0 Interest rate cap 1 $ 125,000 — $ — One-month Term SOFR at 6.49% 6.5% 0.5 _____________________ (1) Includes nine forward interest rate swaps: (i) one forward interest rate swap in the amount of $100.0 million will become effective on August 1, 2023 and mature on August 1, 2026, (ii) four forward interest rate swaps in the total amount of $200.0 million will become effective on November 1, 2023 and mature on February 1, 2026, (iii) one forward interest rate swap in the amount of $100.0 million will become effective on November 1, 2023 and mature on May 1, 2026, (iv) one forward interest rate swap in the amount of $100.0 million will become effective on November 1, 2023 and mature on July 1, 2026, (v) one forward interest rate swap in the amount of $100.0 million will become effective on November 1, 2023 and mature on November 1, 2026 and (vi) one forward interest rate swap in the amount of $100.0 million will become effective on December 1, 2023 and mature on November 1, 2026.
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value	The following table sets forth the fair value of the Company’s derivative instruments as well as their classification on the consolidated balance sheets as of June 30, 2023 and December 31, 2022 (dollars in thousands): June 30, 2023 December 31, 2022 Derivative Instruments Balance Sheet Location Number of Instruments Fair Value Number of Instruments Fair Value Derivative instruments not designated as hedging instruments Interest rate swaps Prepaid expenses and other assets, at fair value (1) 20 $ 45,785 18 $ 40,216 Interest rate swaps Other liabilities, at fair value — $ — 2 $ (75) Interest rate cap Prepaid expenses and other assets, at fair value 1 $ — — $ — _____________________ (1) Includes nine forward interest rate swaps. See footnote (1) to the table immediately above. As of June 30, 2023 and December 31, 2022, prepaid expenses and other assets included a $4.0 million and $8.7 million asset related to the fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option, respectively.
Schedule of Derivative Instruments in Statement of Operations	The following table summarizes the effects of derivative instruments on the Company’s consolidated statements of operations (in thousands): For the Three Months Ended For the Six Months Ended 2023 2022 2023 2022 Derivatives not designated as hedging instruments Realized loss recognized on interest rate swaps $ — $ 2,649 $ — $ 6,968 Realized gain recognized on interest rate swaps (7,675) (36) (14,311) (36) Unrealized gain on interest rate swaps (1) (19,293) (10,082) (5,643) (35,870) Unrealized loss on interest rate cap — — 24 — Net gain on derivative instruments $ (26,968) $ (7,469) $ (19,930) $ (28,938) _____________________ (1) For the three and six months ended June 30, 2023, unrealized gain on interest rate swaps included a $2.1 million and $4.6 million unrealized loss, respectively, and for the three and six months ended June 30, 2022, unrealized gain on interest rate swaps included a $2.7 million and $9.4 million unrealized gain, respectively, in each case related to the change in fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option.

FAIR VALUE DISCLOSURES (Tables)

FAIR VALUE DISCLOSURES (Tables)	6 Months Ended
	Jun. 30, 2023
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 notes payable as of June 30, 2023 and December 31, 2022, which carrying amounts generally do not approximate the fair values (in thousands): June 30, 2023 December 31, 2022 Face Value Carrying Amount Fair Value Face Value Carrying Amount Fair Value Financial liabilities: Notes payable $ 1,712,718 $ 1,710,161 $ 1,647,380 $ 1,671,395 $ 1,667,288 $ 1,654,046
Schedule of Fair Value, Assets Measured on Recurring Basis	As of June 30, 2023, the Company measured the following assets and liabilities at fair value (in thousands): Fair Value Measurements Using Total Quoted Prices in Significant Other Significant Recurring Basis: Real estate equity securities $ 45,327 $ 45,327 $ — $ — Asset derivatives - interest rate swaps (1) $ 45,785 $ — $ 45,785 $ — Asset derivatives - interest rate caps $ — $ — $ — $ — _____________________ (1) Includes nine forward interest rate swaps. See Note 7, “Derivative Instruments.” Also includes a $4.0 million asset related to the fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option. During the six months ended June 30, 2023, the Company measured the following asset at fair value on a nonrecurring basis (in thousands): Fair Value Measurements Using Total Quoted Prices in Significant Other Significant Nonrecurring Basis: Impaired real estate (1) $ 71,918 $ — $ — $ 71,918 _____________________
Schedule of Fair Value, Assets Measured on Non Recurring Basis	As of June 30, 2023, the Company measured the following assets and liabilities at fair value (in thousands): Fair Value Measurements Using Total Quoted Prices in Significant Other Significant Recurring Basis: Real estate equity securities $ 45,327 $ 45,327 $ — $ — Asset derivatives - interest rate swaps (1) $ 45,785 $ — $ 45,785 $ — Asset derivatives - interest rate caps $ — $ — $ — $ — _____________________ (1) Includes nine forward interest rate swaps. See Note 7, “Derivative Instruments.” Also includes a $4.0 million asset related to the fair value of two off-market interest rate swaps determined to be hybrid financial instruments for which the Company elected to apply the fair value option. During the six months ended June 30, 2023, the Company measured the following asset at fair value on a nonrecurring basis (in thousands): Fair Value Measurements Using Total Quoted Prices in Significant Other Significant Nonrecurring Basis: Impaired real estate (1) $ 71,918 $ — $ — $ 71,918 _____________________

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	6 Months Ended
	Jun. 30, 2023
Related Party Transactions [Abstract]
Schedule of Related Party Costs	Pursuant to the terms of these agreements, summarized below are the related-party costs incurred by the Company for the three and six months ended June 30, 2023 and 2022, respectively, and any related amounts receivable and payable as of June 30, 2023 and December 31, 2022 (in thousands): Incurred Incurred Receivable as of Payable as of Three Months Ended June 30, Six Months Ended June 30, June 30, December 31, June 30, December 31, 2023 2022 2023 2022 2023 2022 2023 2022 Expensed Asset management fees (1) $ 5,185 $ 4,985 $ 10,274 $ 9,861 $ — $ — $ 13,565 $ 10,191 Reimbursement of operating expenses (2) 115 60 194 192 — 10 241 174 $ 5,300 $ 5,045 $ 10,468 $ 10,053 $ — $ 10 $ 13,806 $ 10,365 _____________________ (1) See “Asset Management Fees” below. (2) Reimbursable operating expenses primarily consists of internal audit personnel costs, accounting software costs and cybersecurity related expenses incurred by the Advisor under the Advisory Agreement. The Company has reimbursed 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 $31,000 and $56,000 for the three and six months ended June 30, 2023, respectively, and $56,000 and $102,000 for the three and six months ended June 30, 2022, respectively, and were the only type of employee costs reimbursed under the Advisory Agreement for the three and six months ended June 30, 2023 and 2022, respectively. The Company currently does not reimburse for employee costs in connection with services for which the Advisor earns acquisition or origination fees or disposition fees (other than reimbursement of travel and communication expenses) and other than future payments pursuant to the Bonus Retention Fund (see below, “–Asset Management Fees”), the Company does not reimburse the Advisor for the salaries or benefits the Advisor or its affiliates may pay to the Company’s executive officers and affiliated directors. 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. As of December 31, 2021, the Company was charged $0.8 million by certain vendors for services for which the Company believes it was either overcharged or which were never performed. Additionally, during the year ended December 31, 2022, the Company incurred $1.6 million of legal and accounting costs related to the investigation of this matter. The Advisor agreed to reimburse the Company for any amounts inappropriately charged to the Company for these vendor services, including legal and accounting costs incurred related to the investigation of this matter. As of December 31, 2021, the Company had recorded a receivable of $0.3 million related to the reimbursement of these overpayments and also recorded a credit against the liability for asset management fees that were deferred in prior periods of $0.5 million that would have been due by the Company to the Advisor in those periods as a result of the increase in the Company’s net income and MFFO for such periods, and corresponding decrease in expenses, related to the charges that the Company should not have incurred. As of June 30, 2023, the Advisor had reimbursed the Company $1.9 million in cash for amounts inappropriately charged to the Company and for legal and accounting costs related to the investigation of this matter.

ORGANIZATION (Details)

ORGANIZATION (Details) $ / shares in Units, $ in Thousands		3 Months Ended		6 Months Ended		55 Months Ended	147 Months Ended
	Oct. 03, 2014 USD ($) shares	Jun. 30, 2023 USD ($) property shares	Jun. 30, 2022 USD ($) shares	Jun. 30, 2023 USD ($) property shares	Jun. 30, 2022 USD ($) shares	May 29, 2015 USD ($) shares	Jun. 30, 2023 USD ($) property shares	Dec. 31, 2022 shares	Jan. 26, 2010 $ / shares shares
Organizational Structure [Line Items]
Common stock, shares issued (in shares)		148,864,885		148,864,885			148,864,885	147,964,954
Issuance of common stock, value | $		$ 6,617	$ 9,139	$ 14,065	$ 15,405
Redemptions of common stock, value | $		$ 3,780	$ 36,956	$ 6,705	$ 76,621
Private Placement
Organizational Structure [Line Items]
Issuance of common stock (in shares)	258,462
Issuance of common stock, value | $	$ 2,400
Office
Organizational Structure [Line Items]
Number of real estate properties | property		16		16			16
Mixed-use Office/Retail Property
Organizational Structure [Line Items]
Number of real estate properties | property		1		1			1
Common Stock
Organizational Structure [Line Items]
Issuance of common stock (in shares)		773,838	892,341	1,644,865	1,504,393	169,006,162
Issuance of common stock, value | $		$ 8	$ 10	$ 16	$ 15	$ 1,700,000
Shares of common stock sold under dividend reinvestment plan (in shares)							45,899,248
Shares of common stock sold under dividend reinvestment plan, value | $							$ 469,100
Redemptions of common stock (in shares)		419,949	3,560,280	744,934	7,381,583		74,040,201
Redemptions of common stock, value | $		$ 4	$ 36	$ 7	$ 74		$ 783,800
KBS Capital Advisors LLC
Organizational Structure [Line Items]
Common stock, shares issued (in shares)									20,000
Common stock, purchase price per share (in dollars per share) | $ / shares									$ 10
KBS Capital Advisors LLC | Common Stock
Organizational Structure [Line Items]
Shares held by affiliate (in shares)		20,857		20,857			20,857
Operating Partnership
Organizational Structure [Line Items]
Partnership interest in operating partnership				0.10%
Partnership interest in the operating partnership and is its sole limited partner				99.90%

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) $ / shares in Units, $ in Billions	3 Months Ended		6 Months Ended
	Jun. 30, 2023 USD ($) $ / shares shares	Jun. 30, 2022 $ / shares shares	Jun. 30, 2023 USD ($) segment $ / shares shares	Jun. 30, 2022 $ / shares shares
Accounting Policies [Abstract]
Debt obligations coming due over the 12-month period | $	$ 1.6		$ 1.6
Available extension options beyond the next 12 months | $	$ 1.5		$ 1.5
Potentially dilutive securities (in shares) | shares	0	0	0	0
Distributions declared per share (in dollars per share) | $ / shares	$ 0.115	$ 0.149	$ 0.230	$ 0.298
Common share, distribution rate for share per month, declared (in dollars per share) | $ / shares			$ 0.03833333	$ 0.04983333
Number of reportable segments | segment			1

REAL ESTATE - Additional Inform

REAL ESTATE - Additional Information (Details) ft² in Millions	Jun. 30, 2023 ft² property
Real Estate Properties [Line Items]
Rentable square feet | ft²	7.3
Percentage of portfolio occupied	82.50%
Office
Real Estate Properties [Line Items]
Number of real estate properties	16
Mixed-use Office/Retail Property
Real Estate Properties [Line Items]
Number of real estate properties	1

REAL ESTATE - Schedule of Real

REAL ESTATE - Schedule of Real Estate Investments (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Real Estate Properties [Line Items]
Total real estate at cost	$ 2,523,934	$ 2,568,352
Accumulated depreciation and amortization	(666,570)	(656,401)
Total real estate, net	1,857,364	$ 1,911,951
Town Center | Office
Real Estate Properties [Line Items]
Total real estate at cost	139,690
Accumulated depreciation and amortization	(49,513)
Total real estate, net	90,177
McEwen Building | Office
Real Estate Properties [Line Items]
Total real estate at cost	39,752
Accumulated depreciation and amortization	(11,121)
Total real estate, net	28,631
Gateway Tech Center | Office
Real Estate Properties [Line Items]
Total real estate at cost	35,875
Accumulated depreciation and amortization	(11,320)
Total real estate, net	24,555
60 South Sixth | Office
Real Estate Properties [Line Items]
Total real estate at cost	182,683
Accumulated depreciation and amortization	(53,983)
Total real estate, net	128,700
Preston Commons | Office
Real Estate Properties [Line Items]
Total real estate at cost	143,931
Accumulated depreciation and amortization	(39,569)
Total real estate, net	104,362
Sterling Plaza | Office
Real Estate Properties [Line Items]
Total real estate at cost	93,547
Accumulated depreciation and amortization	(28,492)
Total real estate, net	65,055
201 Spear Street | Office
Real Estate Properties [Line Items]
Total real estate at cost	70,093
Accumulated depreciation and amortization	0
Total real estate, net	70,093
Accenture Tower | Office
Real Estate Properties [Line Items]
Total real estate at cost	555,320
Accumulated depreciation and amortization	(151,686)
Total real estate, net	403,634
Ten Almaden | Office
Real Estate Properties [Line Items]
Total real estate at cost	130,218
Accumulated depreciation and amortization	(38,212)
Total real estate, net	92,006
Towers at Emeryville | Office
Real Estate Properties [Line Items]
Total real estate at cost	222,806
Accumulated depreciation and amortization	(61,337)
Total real estate, net	161,469
3003 Washington Boulevard | Office
Real Estate Properties [Line Items]
Total real estate at cost	154,902
Accumulated depreciation and amortization	(43,413)
Total real estate, net	111,489
Park Place Village | Office/Retail
Real Estate Properties [Line Items]
Total real estate at cost	85,553
Accumulated depreciation and amortization	(11,690)
Total real estate, net	73,863
201 17th Street | Office
Real Estate Properties [Line Items]
Total real estate at cost	104,529
Accumulated depreciation and amortization	(31,453)
Total real estate, net	73,076
515 Congress | Office
Real Estate Properties [Line Items]
Total real estate at cost	135,158
Accumulated depreciation and amortization	(32,865)
Total real estate, net	102,293
The Almaden | Office
Real Estate Properties [Line Items]
Total real estate at cost	195,166
Accumulated depreciation and amortization	(47,899)
Total real estate, net	147,267
3001 Washington Boulevard | Office
Real Estate Properties [Line Items]
Total real estate at cost	60,971
Accumulated depreciation and amortization	(13,760)
Total real estate, net	47,211
Carillon | Office
Real Estate Properties [Line Items]
Total real estate at cost	173,740
Accumulated depreciation and amortization	(40,257)
Total real estate, net	$ 133,483

REAL ESTATE - Properties Repres

REAL ESTATE - Properties Represented More than 10% of Company’s Total Assets (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($) ft² $ / ft²	Dec. 31, 2022 USD ($)
Real Estate Properties [Line Items]
Rentable Square Feet | ft²	7,300,000
Total Real Estate, Net	$ 1,857,364	$ 1,911,951
Annualized base rent	$ 61,858
Occupancy	82.50%
Accenture Tower | Assets, Total
Real Estate Properties [Line Items]
Rentable Square Feet | ft²	1,457,724
Total Real Estate, Net	$ 403,634
Annualized base rent	$ 35,958
Average Annualized Base Rent per sq. ft. | $ / ft²	27.37
Occupancy	90.10%
Accenture Tower | Assets, Total | Customer Concentration Risk
Real Estate Properties [Line Items]
Percentage of Total Assets	18.70%

REAL ESTATE - Operating Leases,

REAL ESTATE - Operating Leases, Additional Information (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($) tenant	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Operating Leased Assets [Line Items]
Deferred rent recognized	$ 2,275	$ 4,548
Deferred rent receivables	91,200		$ 89,900
Incentive to lessee	$ 17,300		17,300
Number of Tenants | tenant	540
Other liabilities, at fair value
Operating Leased Assets [Line Items]
Security deposit liability	$ 10,100		$ 9,300
Maximum
Operating Leased Assets [Line Items]
Operating leases, term of contract	16 years
Weighted Average
Operating Leased Assets [Line Items]
Operating leases, term of contract	5 years 8 months 12 days

REAL ESTATE - Future Minimum Re

REAL ESTATE - Future Minimum Rental Income (Details) $ in Thousands	Jun. 30, 2023 USD ($)
Real Estate [Abstract]
July 1, 2023 through December 31, 2023	$ 100,974
2024	197,727
2025	181,807
2026	164,383
2027	138,582
Thereafter	549,364
Future minimum rental income	$ 1,332,837

REAL ESTATE - Highest Tenant In

REAL ESTATE - Highest Tenant Industry Concentrations - Greater than 10% of Annual Base Rent (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($) tenant
Concentration Risk [Line Items]
Number of Tenants | tenant	540
Annualized base rent | $	$ 61,858
Industry | Customer Concentration Risk | Revenue
Concentration Risk [Line Items]
Percentage of Annualized Base Rent	29.50%
Finance
Concentration Risk [Line Items]
Number of Tenants | tenant	110
Annualized base rent | $	$ 37,921
Finance | Customer Concentration Risk | Revenue
Concentration Risk [Line Items]
Percentage of Annualized Base Rent	18.10%
Legal Services
Concentration Risk [Line Items]
Number of Tenants | tenant	55
Annualized base rent | $	$ 23,937
Legal Services | Customer Concentration Risk | Revenue
Concentration Risk [Line Items]
Percentage of Annualized Base Rent	11.40%

REAL ESTATE - Geographic Concen

REAL ESTATE - Geographic Concentration Risk, Additional Information (Details) - Assets, Total - Geographic Concentration Risk	6 Months Ended
	Jun. 30, 2023
California
Concentration Risk [Line Items]
Concentration risk, percentage	21.90%
Illinois
Concentration Risk [Line Items]
Concentration risk, percentage	18.70%
Texas
Concentration Risk [Line Items]
Concentration risk, percentage	16.80%

Real Estate - Impairment of Rea

Real Estate - Impairment of Real Estate, Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Real Estate [Abstract]
Impairment charges on real estate	$ 18,471	$ 0	$ 45,459	$ 0
Occupancy of real estate (as a percentage)	67.60%		67.60%

TENANT ORIGINATION AND ABSORP_3

TENANT ORIGINATION AND ABSORPTION COSTS, ABOVE-MARKET LEASE ASSETS AND BELOW-MARKET LEASE LIABILITIES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Tenant Origination and Absorption Costs, Above-Market Lease Assets and Below-Market Lease Liabilities [Abstract]
Tenant origination and absorption costs, gross	$ 39,799		$ 39,799		$ 42,555
Tenant origination and absorption costs, accumulated amortization	(28,817)		(28,817)		(29,524)
Tenant origination and absorption costs, net	10,982		10,982		13,031
Tenant origination and absorption costs, amortization expense	(1,012)	$ (1,458)	(2,049)	$ (3,238)
Above-market lease assets, cost	904		904		983
Above-market lease assets, accumulated amortization	(679)		(679)		(721)
Above market leases, net	225		225		262
Above-market lease assets, amortization expense	(18)	(21)	(37)	(45)
Below-market lease liabilities, cost	(7,983)		(7,983)		(8,384)
Below-market lease liabilities, accumulated amortization	6,519		6,519		6,473
Below-market lease liabilities, net amount	(1,464)		(1,464)		$ (1,911)
Below-market lease liabilities, amortization expense	$ 228	$ 391	$ 447	$ 832

REAL ESTATE EQUITY SECURITIES (

REAL ESTATE EQUITY SECURITIES (Details) $ / shares in Units, $ in Thousands					3 Months Ended		6 Months Ended
	Nov. 09, 2021 USD ($) shares	Aug. 21, 2019 USD ($) shares	Jul. 19, 2019 USD ($) $ / shares shares	Jul. 18, 2019 property	Jun. 30, 2023 USD ($) $ / shares shares	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($) $ / shares shares	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Marketable Securities [Line Items]
Real estate equity securities					$ 45,327		$ 45,327		$ 87,416
Dividend income from real estate equity securities					$ 0	$ 0	6,540	$ 7,252
Unrealized loss on equity securities							$ 42,089	34,535
SREIT
Marketable Securities [Line Items]
Ownership percentage	18.50%						18.20%
Units held (in units) | shares					215,841,899		215,841,899
Real estate equity securities					$ 45,300		$ 45,300
Units, closing price (in dollars per share) | $ / shares					$ 0.210		$ 0.210
Dividend income from real estate equity securities							$ 6,500	7,300
Unrealized loss on equity securities					$ 23,700	$ 17,300	$ 42,100	$ 34,500
REIT Properties III
Marketable Securities [Line Items]
Ownership percentage		31.30%
Units disposed (in shares) | shares		18,392,100
Units disposed		$ 16,200
Purchase and Sales Agreement | REIT Properties III
Marketable Securities [Line Items]
Units acquired (in units) | shares			307,953,999
Units acquired			$ 271,000
Units acquired (in dollars per share) | $ / shares			$ 0.88
Ownership percentage			33.30%
SREIT
Marketable Securities [Line Items]
Units disposed (in shares) | shares	73,720,000
Units disposed	$ 58,900
Disposed of by Sale | SREIT
Marketable Securities [Line Items]
Number of real estate properties disposed | property				11

NOTES PAYABLE - Schedule of Lon

NOTES PAYABLE - Schedule of Long-term Debt Instruments (Details)	6 Months Ended
	Jun. 30, 2023 USD ($) extension_option	Dec. 31, 2022 USD ($)
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 1,712,718,000	$ 1,671,395,000
Deferred financing costs, net	(2,557,000)	(4,107,000)
Total Notes Payable, net	1,710,161,000	1,667,288,000
Face amount of debt	1,712,718,000	1,671,395,000
Carillon Mortgage Loan
Debt Instrument [Line Items]
Total Notes Payable, net	88,800,000
Face amount of debt	$ 111,000,000
Carillon Mortgage Loan | Revolving Credit Facility
Debt Instrument [Line Items]
Number of extensions | extension_option	1
Extension period	24 months
Maximum borrowing capacity	$ 22,200,000
Unused borrowing capacity, amount	22,200,000
Modified Portfolio Revolving Loan Facility | Secured Debt
Debt Instrument [Line Items]
Total Notes Payable, net	124,600,000
Face amount of debt	249,200,000
Line of credit	124,600,000
Accenture Tower Revolving Loan | Secured Debt
Debt Instrument [Line Items]
Total Notes Payable, net	281,300,000
Amended and Restated Portfolio Loan Facility | Secured Debt
Debt Instrument [Line Items]
Total Notes Payable, net	459,900,000
Unused borrowing capacity, amount	11,500,000
Line of credit	141,800,000
Mortgages | The Almaden Mortgage Loan
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 123,000,000	123,000,000
Stated percentage	3.65%
Effective interest rate	3.65%
Number of extensions | extension_option	2
Extension period	12 months
Mortgages | The Almaden Mortgage Loan | One-month LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate	3.50%
Mortgages | 201 Spear Street Mortgage Loan
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 125,000,000	125,000,000
Effective interest rate	6.59%
Mortgages | 201 Spear Street Mortgage Loan | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	1.45%
Mortgages | Carillon Mortgage Loan
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 88,800,000	88,800,000
Effective interest rate	6.64%
Mortgages | Carillon Mortgage Loan | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	1.50%
Mortgages | 3001 & 3003 Washington Mortgage Loan
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 141,335,000	142,232,000
Effective interest rate	6.69%
Mortgages | 3001 & 3003 Washington Mortgage Loan | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	1.45%
Mortgages | 3001 & 3003 Washington Mortgage Loan | Adjusted-term secured overnight financing rate
Debt Instrument [Line Items]
Basis spread on variable rate	0.10%
Mortgages | Park Place Village Loan
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 65,000,000	65,000,000
Effective interest rate	7.09%
Number of extensions | extension_option	2
Extension period	12 months
Mortgages | Park Place Village Loan | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	1.95%
Secured Debt | Modified Portfolio Revolving Loan Facility
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 249,145,000	249,145,000
Effective interest rate	6.74%
Number of extensions | extension_option	1
Extension period	12 months
Secured Debt | Modified Portfolio Revolving Loan Facility | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 124,600,000
Secured Debt | Modified Portfolio Revolving Loan Facility | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	1.60%
Secured Debt | Accenture Tower Revolving Loan
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 281,250,000	281,250,000
Effective interest rate	7.49%
Secured Debt | Accenture Tower Revolving Loan | Revolving Credit Facility
Debt Instrument [Line Items]
Number of extensions | extension_option	2
Extension period	12 months
Maximum borrowing capacity	$ 93,700,000
Secured Debt | Accenture Tower Revolving Loan | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	2.35%
Secured Debt | Amended and Restated Portfolio Loan Facility
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 601,688,000	559,468,000
Effective interest rate	6.98%
Number of extensions | extension_option	1
Extension period	12 months
Face amount of debt	$ 613,200,000
Secured Debt | Amended and Restated Portfolio Loan Facility | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 153,300,000
Secured Debt | Amended and Restated Portfolio Loan Facility | One-month BSBY
Debt Instrument [Line Items]
Basis spread on variable rate	1.80%
Unsecured Debt | Unsecured Credit Facility
Debt Instrument [Line Items]
Total notes payable principal outstanding	$ 37,500,000	$ 37,500,000
Effective interest rate	7.34%
Number of extensions | extension_option	1
Extension period	12 months
Face amount of debt	$ 75,000,000
Unsecured Debt | Unsecured Credit Facility | One-month SOFR
Debt Instrument [Line Items]
Basis spread on variable rate	2.20%
Line of Credit | Unsecured Credit Facility
Debt Instrument [Line Items]
Total Notes Payable, net	$ 37,500,000
Line of Credit | Unsecured Credit Facility | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity	37,500,000
Line of credit	$ 37,500,000

NOTES PAYABLE - Additional Info

NOTES PAYABLE - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Debt Instrument [Line Items]
Interest expense	$ 29,348	$ 11,170	$ 56,078	$ 19,826
Amortization of deferred financing costs			2,069	1,912
Interest payable, current	9,400		9,400		$ 8,000
Interest Expense
Debt Instrument [Line Items]
Amortization of deferred financing costs	$ 1,000	$ 900	$ 2,100	$ 1,900

NOTES PAYABLE - Schedule of Mat

NOTES PAYABLE - Schedule of Maturities of Long-term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Notes Payable [Abstract]
July 1, 2023 through December 31, 2023	$ 1,044,363
2024	603,355
2025	65,000
2026	0
2027	0
Thereafter	0
Total notes payable	$ 1,712,718	$ 1,671,395

DERIVATIVE INSTRUMENTS - Notion

DERIVATIVE INSTRUMENTS - Notional Amount (Details) - Derivative instruments not designated as hedging instruments	6 Months Ended
	Jun. 30, 2023 USD ($) investment_instrument	Dec. 31, 2022 USD ($) investment_instrument
Interest Rate Swaps
Derivative [Line Items]
Number of Instruments	20	20
Notional Amount | $	$ 1,696,250,000	$ 1,619,190,000
Weighted-Average Fix Pay Rate	2.40%
Weighted-Average Remaining Term in Years	2 years
Interest Rate Swaps | Minimum | One-month LIBOR
Derivative [Line Items]
Reference rate	0.70%
Interest Rate Swaps | Minimum | One-month SOFR
Derivative [Line Items]
Reference rate	2.38%
Interest Rate Swaps | Maximum | One-month LIBOR
Derivative [Line Items]
Reference rate	1.40%
Interest Rate Swaps | Maximum | One-month SOFR
Derivative [Line Items]
Reference rate	3.92%
Interest Rate Cap
Derivative [Line Items]
Number of Instruments	1	0
Notional Amount | $	$ 125,000,000	$ 0
Weighted-Average Fix Pay Rate	6.50%
Weighted-Average Remaining Term in Years	6 months
Interest Rate Cap | One-month SOFR
Derivative [Line Items]
Reference rate	6.49%
Interest Rate Swap, Future Maturity
Derivative [Line Items]
Number of Instruments	9
Interest Rate Swap, Maturity on August 1, 2026
Derivative [Line Items]
Number of Instruments	1
Notional Amount | $	$ 100,000,000
Interest Rate Swap, Maturity on February 1, 2026
Derivative [Line Items]
Number of Instruments	4
Notional Amount | $	$ 200,000,000
Interest Rate Swap, Maturity on May 1, 2026
Derivative [Line Items]
Number of Instruments	1
Notional Amount | $	$ 100,000,000
Interest Rate Swap, Maturity on July 1, 2026
Derivative [Line Items]
Number of Instruments	1
Notional Amount | $	$ 100,000,000
Interest Rate Swap, Maturity on November 1, 2026
Derivative [Line Items]
Number of Instruments	1
Notional Amount | $	$ 100,000,000

DERIVATIVE INSTRUMENTS - Balanc

DERIVATIVE INSTRUMENTS - Balance Sheet (Details) $ in Thousands	Jun. 30, 2023 USD ($) investment_instrument	Dec. 31, 2022 USD ($) investment_instrument
Prepaid expenses and other assets, at fair value
Derivative [Line Items]
Hybrid instruments | $	$ 4,000	$ 8,700
Derivative instruments not designated as hedging instruments | Interest Rate Swaps
Derivative [Line Items]
Number of Instruments	20	20
Derivative instruments not designated as hedging instruments | Interest Rate Swaps | Prepaid expenses and other assets, at fair value
Derivative [Line Items]
Number of Instruments	20	18
Asset, fair value | $	$ 45,785	$ 40,216
Derivative instruments not designated as hedging instruments | Interest Rate Swaps | Other liabilities, at fair value
Derivative [Line Items]
Number of Instruments	0	2
Liability, fair value | $	$ 0	$ (75)
Derivative instruments not designated as hedging instruments | Interest Rate Cap
Derivative [Line Items]
Number of Instruments	1	0
Derivative instruments not designated as hedging instruments | Interest Rate Cap | Prepaid expenses and other assets, at fair value
Derivative [Line Items]
Number of Instruments	1	0
Asset, fair value | $	$ 0	$ 0
Derivative instruments not designated as hedging instruments | Hybrid Financial Instruments
Derivative [Line Items]
Number of Instruments		2

DERIVATIVE INSTRUMENTS - Statem

DERIVATIVE INSTRUMENTS - Statement of Operations (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023 USD ($) investment_instrument	Jun. 30, 2022 USD ($) investment_instrument	Jun. 30, 2023 USD ($) investment_instrument	Jun. 30, 2022 USD ($) investment_instrument	Dec. 31, 2022 investment_instrument
Derivative [Line Items]
Net gain on derivative instruments	$ (26,968)	$ (7,469)	$ (19,930)	$ (28,938)
Derivative instruments not designated as hedging instruments
Derivative [Line Items]
Net gain on derivative instruments	(26,968)	(7,469)	(19,930)	(28,938)
Derivative instruments not designated as hedging instruments | Interest Rate Swaps
Derivative [Line Items]
Realized loss recognized on interest rate swaps	0	2,649	0	6,968
Realized gain recognized on interest rate swaps	(7,675)	(36)	(14,311)	(36)
Unrealized loss (gain) on derivatives	$ (19,293)	(10,082)	$ (5,643)	(35,870)
Number of Instruments | investment_instrument	20		20		20
Derivative instruments not designated as hedging instruments | Interest Rate Cap
Derivative [Line Items]
Unrealized loss (gain) on derivatives	$ 0	0	$ 24	0
Number of Instruments | investment_instrument	1		1		0
Derivative instruments not designated as hedging instruments | Interest Rate Swap at Fair Value
Derivative [Line Items]
Unrealized gain (loss)	$ 2,100	$ 2,700	$ (4,600)	$ 9,400
Number of Instruments | investment_instrument	2	2	2	2

FAIR VALUE DISCLOSURES - Schedu

FAIR VALUE DISCLOSURES - Schedule of Face Value, Carrying Amounts and Fair Value (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Financial liabilities:
Face Value	$ 1,712,718,000	$ 1,671,395,000
Carrying Amount
Financial liabilities:
Notes payable	1,710,161,000	1,667,288,000
Fair Value
Financial liabilities:
Notes payable	$ 1,647,380,000	$ 1,654,046,000

FAIR VALUE DISCLOSURES - Assets

FAIR VALUE DISCLOSURES - Assets and Liabilities at Fair value (Details) $ in Thousands	Jun. 30, 2023 USD ($) investment_instrument	Dec. 31, 2022 USD ($) investment_instrument	Jun. 30, 2022 investment_instrument
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate equity securities	$ 45,327	$ 87,416
Prepaid expenses and other assets, at fair value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Hybrid instruments	$ 4,000	$ 8,700
Interest Rate Swaps | Derivative instruments not designated as hedging instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of Instruments | investment_instrument	20	20
Interest Rate Swaps | Derivative instruments not designated as hedging instruments | Prepaid expenses and other assets, at fair value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of Instruments | investment_instrument	20	18
Interest Rate Cap | Derivative instruments not designated as hedging instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of Instruments | investment_instrument	1	0
Interest Rate Cap | Derivative instruments not designated as hedging instruments | Prepaid expenses and other assets, at fair value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of Instruments | investment_instrument	1	0
Interest Rate Swap, Future Maturity | Derivative instruments not designated as hedging instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of Instruments | investment_instrument	9
Interest Rate Swap at Fair Value | Derivative instruments not designated as hedging instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of Instruments | investment_instrument	2		2
Recurring Basis:
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate equity securities	$ 45,327
Recurring Basis: | Quoted Prices in Active Markets  for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate equity securities	45,327
Recurring Basis: | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate equity securities	0
Recurring Basis: | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate equity securities	0
Recurring Basis: | Interest Rate Swaps
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	45,785
Recurring Basis: | Interest Rate Swaps | Quoted Prices in Active Markets  for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0
Recurring Basis: | Interest Rate Swaps | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	45,785
Recurring Basis: | Interest Rate Swaps | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0
Recurring Basis: | Interest Rate Cap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0
Recurring Basis: | Interest Rate Cap | Quoted Prices in Active Markets  for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0
Recurring Basis: | Interest Rate Cap | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	0
Recurring Basis: | Interest Rate Cap | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets	$ 0

FAIR VALUE DISCLOSURES - Nonrec

FAIR VALUE DISCLOSURES - Nonrecurring Basis (Details) - Nonrecurring Basis $ in Thousands	Jun. 30, 2023 USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired real estate	$ 71,918
Quoted Prices in Active Markets  for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired real estate	0
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired real estate	0
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired real estate	$ 71,918

FAIR VALUE DISCLOSURES - Additi

FAIR VALUE DISCLOSURES - Additional Information (Details) - Valuation Technique, Discounted Cash Flow - Nonrecurring Basis	Jun. 30, 2023
Discount Rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Real estate properties, measurement input	0.0975
Terminal Cap Rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Real estate properties, measurement input	0.0775

RELATED PARTY TRANSACTIONS - Co

RELATED PARTY TRANSACTIONS - Costs (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Related Party Transaction [Line Items]
Receivable as of	$ 0		$ 0		$ 10
Payable as of	13,806		13,806		10,365
Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount	5,300	$ 5,045	10,468	$ 10,053
Advisor and Dealer Manager | Related Party
Related Party Transaction [Line Items]
Receivable as of	0		0		10
Payable as of	13,806		13,806		10,365
Advisor and Dealer Manager | Asset management fees
Related Party Transaction [Line Items]
Related party, transaction amount	5,185	4,985	10,274	9,861
Advisor and Dealer Manager | Asset management fees | Related Party
Related Party Transaction [Line Items]
Receivable as of	0		0		0
Payable as of	13,565		13,565		10,191
Advisor and Dealer Manager | Reimbursement of operating expenses
Related Party Transaction [Line Items]
Related party, transaction amount	115	60	194	192
Advisor and Dealer Manager | Reimbursement of operating expenses | Related Party
Related Party Transaction [Line Items]
Receivable as of	0		0		10
Payable as of	241		241		174
Advisor and Dealer Manager | Salaries, benefits and overhead
Related Party Transaction [Line Items]
Related party, transaction amount	$ 31	$ 56	56	$ 102
Advisor and Dealer Manager | Vendor services, overcharged fees
Related Party Transaction [Line Items]
Related party, transaction amount						$ 800
Advisor and Dealer Manager | Vendor services, overcharged fees | Related Party
Related Party Transaction [Line Items]
Receivable as of						300
Advisor and Dealer Manager | Overcharged fees, legal and accounting
Related Party Transaction [Line Items]
Related party, transaction amount					$ 1,600
Advisor and Dealer Manager | Reimbursement of overcharged fees and associated legal and accounting cost
Related Party Transaction [Line Items]
Related party, transaction amount			$ 1,900
Advisor and Dealer Manager | Asset Management Fee Credit, Vendor Services and Overcharged Fees | Related Party
Related Party Transaction [Line Items]
Related party, transaction amount						$ 500

RELATED PARTY TRANSACTIONS - Ad

RELATED PARTY TRANSACTIONS - Additional Information (Details) $ in Thousands						3 Months Ended		6 Months Ended
	Nov. 08, 2022	Oct. 01, 2022 USD ($)	Sep. 30, 2022 USD ($)	Jul. 18, 2019 USD ($)	Mar. 14, 2019 USD ($) $ / ft²	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	May 29, 2015 ft²
Related Party Transaction [Line Items]
Restricted cash						$ 9,502		$ 9,502		$ 6,070
Payable as of						13,806		13,806		10,365
Annualized base rent								61,858
Rental income						62,073	$ 68,187	131,370	$ 137,042
Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount						5,300	5,045	10,468	10,053
SREIT
Related Party Transaction [Line Items]
Acquisition fee as percent of acquisition price of real estate				1%
Dividend fee as percent of sale price of real estate				0.50%
Development management fee as percent of total project cost				3%
SREIT | Linda Bren 2017 Trust
Related Party Transaction [Line Items]
Investment in an unconsolidated entity				$ 5,000
Incurred costs of supplemental coverage | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount								0	0
Monthly asset management cash fee | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount		$ 1,150
Fully funded bonus retention funded | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount		$ 8,500
Bonus retention fund payments | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount								0
Deferred asset management fees | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount			$ 8,500
Asset management fees | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party, transaction amount						$ 5,185	4,985	$ 10,274	9,861
Non compounded return on net invested capital | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Related party transaction rate (percent)								8%
Related Party
Related Party Transaction [Line Items]
Monthly asset management fee, percent of acquisition expense, excluding acquisition fees related to thereto (percent)						0.0625%		0.0625%
Rental income						$ 82	$ 82	$ 165	$ 165
Related Party | Subsidiaries
Related Party Transaction [Line Items]
Net rentable area (in sq feet) | ft²											5,046
Total rentable square feet (percentage)											2.40%
Annualized base rent					$ 300
Average annualized base rent per square foot (usd per sqft) | $ / ft²					62.55
Related Party | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Payable as of						13,806		13,806		10,365
Related Party | SREIT
Related Party Transaction [Line Items]
Annual base fee (percent)				10%
Annual performance fee (percent)				25%
Related Party | Bonus retention fund deposit | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Restricted cash						5,100		5,100
Payable as of						5,100		5,100		1,700
Related Party | Deferred asset management fees | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Payable as of						8,500		8,500		8,500
Related Party | Asset management fees | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Payable as of						$ 13,565		$ 13,565		$ 10,191
Related Party | The renewal advisory agreement | Advisor and Dealer Manager
Related Party Transaction [Line Items]
Renewal period	1 year
Termination period	60 days

SUBSEQUENT EVENTS - (Details)

SUBSEQUENT EVENTS - (Details) - USD ($) $ / shares in Units, $ in Thousands		6 Months Ended
	Jul. 03, 2023	Jun. 30, 2023	Jun. 30, 2022
Subsequent Event [Line Items]
Distributions paid to common stockholders		$ 21,791	$ 30,057
Subsequent Event
Subsequent Event [Line Items]
Distributions paid to common stockholders	$ 5,700
Distributions paid per share (in dollars per share)	$ 0.03833333