Ward has opened talks with the Foxes over he last 24 hours.
And Kirkland feels the King Power Stadium is the ideal place for the 25-year-old to launch his Premier League career.
"He [Ward] had a great season at Huddersfield when they got promoted. He came back to Liverpool and he's not really been involved," Kirkland told Sky Sports.
"I've seen him a few times for Liverpool's U23s and he's done superbly but he needs to be playing. If that [switch] to Leicester happens he will be a big loss to Liverpool, but for Danny it is a fantastic move."