Why It Matters
Kilroy Realty Corp. is seeking to capitalize on expanding opportunities for private-sector involvement in VA facility modernization, while advocating for tax deductions that would improve returns on properties in high-tax states like California. Additionally, Kilroy is working to protect its San Diego holdings from potential constraints related to military flight operations at nearby Marine Corps Air Station Miramar.
By the Numbers
Kilroy Realty Corp. began federal lobbying in August 2024 and has filed seven disclosures through Q4 2025. In the fourth quarter, Kilroy paid Atlas Advocacy $60,000 for lobbying services.
The company has maintained a consistent relationship with Atlas Advocacy, with no strategy shifts. Kilroy’s focus has remained stable: Veterans Affairs facilities modernization, Marine Corps Air Station Miramar flight regulations, and the Corporate State and Local Tax deduction.
Kilroy retained two lobbyists: Jon Robinson Wadsworth and Matthew Smith. Neither has congressional staff experience, but both bring relevant expertise. Wadsworth has lobbied on aviation issues and secured Department of Defense funding for veterans organizations. Smith has similar experience with airport authorities.
The Agenda
Kilroy Realty Corp. is lobbying on three policy areas. The company is advocating on Veterans Integrated Service Network (VISN) 21 facility modernization, positioning itself for public-private partnerships under expanded VA infrastructure authorities. Kilroy is also pushing on the Corporate State and Local Tax (SALT) deduction—a major real estate industry priority. Finally, the company is lobbying on flight regulations at Marine Corps Air Station Miramar in San Diego.
The VITAL Act of 2025 directly relates to Kilroy’s VA facilities advocacy, authorizing enhanced-use leases and commercial contracting standards that could create development opportunities. On SALT, bipartisan members continue pushing relief efforts. No specific federal legislation addresses the MCAS Miramar issue, suggesting Kilroy’s effort is defensive.
Broader Context
Kilroy’s lobbying targets three areas with significant congressional activity.
On tax policy, The One Big Beautiful Bill Act raised the SALT deduction cap from $10,000 to $40,000—a major victory for high-tax states where Kilroy operates. The commercial real estate sector is now pursuing additional provisions like the "C-SALT" deduction for corporate entities.
On VA facilities modernization, the VA is investing nearly $5 billion in fiscal year 2026 to modernize healthcare facilities. Federal Enhanced-Use Lease programs are facilitating public-private partnerships in Kilroy’s VISN 21 service area.
On MCAS Miramar, San Diego loosened rules for housing under flight paths in 2021, but no federal legislative activity addresses MCAS Miramar operations.
Between The Lines
Congressional activity shows mixed momentum across Kilroy’s focus areas.
On Corporate SALT deduction, there’s significant legislative energy. Representatives Sean Casten and Lauren Underwood introduced a bill to raise the cap, while a bipartisan group led by Representatives Andrew Garbarino and Josh Gottheimer pushed for full repeal. Democratic leaders including Senator Kirsten Gillibrand and Minority Leader Chuck Schumer have urged permanent cap removal.
On VA facilities modernization, the VITAL Act of 2025 (S. 2988) authorizes enhanced-use leases allowing private entities to lease and develop VA property—potentially beneficial for private real estate developers.
On MCAS Miramar, congressional records contain no specific legislation, suggesting targeted lobbying to protect Kilroy’s San Diego portfolio.
The Bottom Line
Kilroy Realty Corp. paid Atlas Advocacy $60,000 in fourth quarter 2025 to lobby on VA facilities modernization, corporate tax deductions, and MCAS Miramar flight regulations. Two issues align with active congressional efforts: the VITAL Act of 2025 expands private-sector involvement in VA real estate projects, while SALT deduction relief has secured congressional support. The MCAS Miramar lobbying appears defensive, lacking corresponding federal legislative activity.
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