Nullzilla moved from Lost Angles into Kits Sector during it's rampage. The massive Null monster destroyed several buidlings in the residential district. Mainframe's leaders used a Giant Robot to fight the monster, but the battle destroyed more buildings in Kits, including Bob's apartment. (Nullzilla)
Hexadecimal brought Bob to Kits Sector when he fell ill during the attack on Mainframe by the Guardian Armada. She thought it would be a romantic area for them to spend some time together and for him to recover from the fight. (Daemon Rising)
Kits Sector is a reference to the Kitsilano neighbourhood of Vancouver, Canada (the city in which ReBoot was produced). Similar to its Mainframe counterpart, Kitsilano is a quiet beachside neighbourhood and is often referred to as "Kits" by Vancouverites.