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FAIR VALUE MEASUREMENTS AND THE FAIR VALUE OPTION (Tables)
 12 Months Ended
Dec. 31, 2013
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Measurements
The following table presents fair value measurements (including items that are required to be measured at fair value and items for which the fair value option has been elected) as of December 31, 2013:
 
(Dollars in millions)
 
Level 1
 
Level 2
 
Level 3
 
Total
Marketable securities(1)
 
$
4.0

 
$
—

 
$
—

 
$
4.0

Investments in joint ventures
 
—

 
—

 
81.1

 
81.1

Currency forward contract (2)
 
—

 
(9.6
)
 
—

 
(9.6
)
 
 
$
4.0

 
$
(9.6
)
 
$
81.1

 
$
75.5

(1) Included in other assets.
(2) See further discussion of currency forward contracts.

The following table presents fair value measurements (including items that are required to be measured at fair value and items for which the fair value option has been elected) as of December 31, 2012:
 
(Dollars in millions)
 
Level 1
 
Level 2
 
Level 3
 
Total
Short term investments
 
$
—

 
$
10.0

 
$
—

 
$
10.0

Investments in joint ventures
 
—

 
—

 
68.4

 
$
68.4

Currency forward contract
 
—

 
(1.2
)
 
—

 
(1.2
)
 
 
$
—

 
$
8.8

 
$
68.4

 
$
77.2
Schedule of Investments in Joint Ventures Held at Fair Value
The following table summarizes our investments in joint ventures held at fair value by type:
(Dollars in millions)
December 31, 2013
 
December 31, 2012
Funds
$
33.5

 
$
25.8

FV Option
47.6

 
42.6

Total
$
81.1

 
$
68.4
Schedule of Changes in Level 3 Investments
The following table presents changes in Level 3 investments, investments in investment companies and investments in joint ventures that elected the fair value option, for the years ended December 31:

(Dollars in millions)
 
2013
 
2012
 
2011
Beginning balance
 
$
68.4

 
$
51.4

 
$
34.7

Unrealized and realized gains
 
5.3

 
10.0

 
5.7

Unrealized and realized losses
 
(0.3
)
 
(0.4
)
 
(1.4
)
Contributions
 
10.8

 
11.6

 
14.0

Distributions
 
(3.1
)
 
(4.2
)
 
(1.6
)
Ending Balance
 
$
81.1

 
$
68.4

 
$
51.4
Schedule of the Funds and Fair Value Option Investments, Significant Inputs
The table below describes the range of inputs used as of December 31, 2013 for real estate assets:
 
 
Estimated rates used for
 
 
Capitalization rates
 
Discount Rates
Office
 
6.00% — 7.50%
 
7.00% — 9.75%
Retail
 
6.00% — 10.00%
 
9.00% — 12.00%
Hotel
 
6.50%
 
8.00%
Multifamily
 
5.75% — 7.00%
 
7.50% — 9.00%
Loan
 
n/a
 
1.75% — 12.00%
Land and condominium units
 
n/a
 
8.00% — 12.00%
Schedule of Currency Forward Contracts
The table below details the currency forward contracts Kennedy Wilson had as of December 31, 2013 and 2012:

(Dollars in millions)
 
 
 
Fair Value Liabilities
 
Change in Unrealized Losses
 
 
 
 
 
December 31,
 
Year Ended December 31,
Currency
Notional Amount
Trade Date
Settlement Date
Exchange Rate
2013
2012
 
2013
2012
Euro
€96.0
5/31/2012 - 12/17/2013
6/4/2015 - 12/19/2016
1.2400 - 1.3816
$
7.0

$
1.2

 
$
(5.3
)
$
(1.2
)
GBP
£25.5
8/9/2013 - 8/23/2013
2/13/2014 - 8/28/2014
1.5479 - 1.5522
2.6

—

 
(2.6
)
—

Total
 
 
 
 
$
9.6

$
1.2

 
$
(7.9
)
$
(1.2
)