Investment in Real Estate

6 Months Ended

Jun. 30, 2026

The following table summarizes the Company’s investment in real estate, at cost as of:


	June 30, 2026		December 31, 2025
Land	$	1,106,560	$	1,116,786
Building and improvements	5,951,441		5,912,087
Tenant improvements	709,946		694,713
Furniture and fixtures	5,257		5,210
Property under development	13,060		64,503
INVESTMENT IN REAL ESTATE, AT COST	$	7,786,264	$	7,793,299

Acquisitions of Real Estate

The Company had no acquisitions of real estate during the six months ended June 30, 2026.

Dispositions of Real Estate

The Company had no dispositions of real estate during the six months ended June 30, 2026.

The following table summarizes information on dispositions completed during the six months ended June 30, 2025. These properties were considered non-strategic to the Company’s portfolio:


Property	Segment	Date of Disposition	Square Feet (unaudited)	Sales Price(1) (in millions)		(Loss) Gain on Sale(2) (in millions)
Maxwell	Office	1/22/2025	102,963	$	46.0	$	(2.2)
Foothill Research Center	Office	3/4/2025	195,121	$	23.0	$	12.2
625 Second	Office	5/30/2025	138,354	$	28.0	$	—

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1.Represents gross sales price before certain credits, prorations and closing costs.

2.Included within (loss) gain on sale of real estate, net on the Consolidated Statements of Operations.

Held for Sale

As of June 30, 2026, the Company classified 2001 Gateway Place, its 161,000 square-foot (unaudited) office property in the North San Jose submarket, as held for sale. The property was identified as non-strategic to the Company’s portfolio and was subsequently sold on July 1, 2026. The following table summarizes the components of the assets and liabilities associated with the real estate held for sale as of June 30, 2026:



ASSETS
Investment in real estate, net	$	21,858
Accounts receivables and straight-line rent receivables, net	598
Deferred leasing costs and intangible assets, net	412
Prepaid expenses and other assets, net	35
ASSETS ASSOCIATED WITH REAL ESTATE HELD FOR SALE	$	22,903

LIABILITIES
Accounts payable, accrued liabilities and other	$	822
Security deposits and prepaid rent	620
LIABILITIES ASSOCIATED WITH REAL ESTATE HELD FOR SALE	$	1,442

Impairment of Long-Lived Assets

During the three and six months ended June 30, 2026, the Company recorded an impairment charge of $18.3 million related to the real estate assets of its 2001 Gateway Place office property. The impairment charge reflects a shortened expected holding period for the property and a reduction in the carrying value of the property to its estimated fair value based on the contractual sales price, which is considered a Level 2 measurement. During the three and six months ended June 30, 2026, the Company also recorded an impairment charge of $12.0 million related to leasehold improvements at Quixote in connection with the announced phased wind-down of its leased sound stage facilities. The fair value of the asset group, which includes the right-of-use assets related to the leases (see Note 12), was estimated using a discounted cash flow analysis incorporating market rental rates and contractual lease terms, which is considered a Level 3 measurement. The impairment charges are recorded within impairment loss on the Consolidated Statements of Operations.

During the three and six months ended June 30, 2025, the Company recorded an impairment charge of $18.4 million related to the real estate assets of its 625 Second office property. The impairment charge reflected a shortened expected holding period for the property and a reduction in the carrying value of the property to the estimated fair value based on the contractual sales price, which is considered a Level 2 measurement. The impairment charge is recorded within impairment loss on the Consolidated Statement of Operations.