Any good tips how to handle the "where is this going" convo while still keeping her a fbuddy? always looking for good material. And just for the record, if a girl ever tells you they love you, don't respond with "Thanks".
I always concentrated and deflected the issues on me while trying to not make myself look bad - that is, I'd blame work (too stressful and working too many hours to think about entering a full blown relationship… but our "fun time" together has really been amazing for helping me handle the stress), blame an ex ("for full disclosure my ex continues to talk to me… I'm not seeing or anything like that, but it's not fair to you to have to deal with that at the start of a relationship), or talk about how great your life presently is ("I'm in an awesome spot right now that I don't really want to rock the boat… and you and our time 'hanging out' is really a big part of that. I totally enjoy our time together and I don't want to push for a change right now.").
Key is to use reasons which are not negative towards you (in fact, it make you look even better because it's implying that you rock at work, your life is great, you are fully disclosing a crazy ex-gf and apparently handling it well) and offer that slight glimmer of hope for her through an indirect compliment. I even went so far a couple of times as to point out how neither of us should turn down how ridiculously great our "connection" is in bed and that, as two independent, single people, we'd be stupid to just stop that.
If the chick is legitimately into you, any of this will work like a charm.