<article>Singapore&#8217;s sovereign wealth fund <a href="https://www.dealstreetasia.com/?s=GIC%20Private Ltd">GIC Private Ltd</a> and <a href="https://www.dealstreetasia.com/?s=CPPIB">Canada Pension Plan Investment Board</a> (CPPIB) have formed a joint venture to buy a landmark Grade A office building in Seoul for W418 million ($380 million).</article>

Singapore&#8217;s sovereign wealth fund <a href="https://www.dealstreetasia.com/?s=GIC%20Private Ltd">GIC Private Ltd</a> and <a href="https://www.dealstreetasia.com/?s=CPPIB">Canada Pension Plan Investment Board</a> (CPPIB) have formed a joint venture to buy a landmark Grade A office building in Seoul for W418 million ($380 million).
In a statement posted on its website, GIC said the joint venture will acquire <a href="https://www.dealstreetasia.com/?s=Kumho%20Asiana Main Tower">Kumho Asiana Main Tower</a>, located in the centre of Gwanghwamun, from Asiana Airlines&#8217; parent company Asiana Group.
Gwanghwamun is a core office, government, and cultural precinct in Seoul&#8217;s Central Business District. Due to its surrounding amenities and historical and cultural importance, the district is a top choice for multinational and local tenants, GIC said.
GIC and CPPIB will each take a 50 per cent stake in Kumho Asiana Main Tower following the transaction. GIC said DWS, formerly Deutsche Asset Management, sourced and will manage the property after the deal.
The 29-story building with eight underground floors commanding an area of 60,695 square meters is run by Kumho Asiana Main Tower Co., a special purpose company in which Asiana Airlines holds an 80 per cent stake.
The building is used by Kumho Industrial, Kumho Resort, Air Seoul, Kumho Tire and some departments of Asiana Airlines. A Pulse New report in March said the proceeds of the building&#8217;s sale will be used to pay off debts of Asiana Airlines.
&#8220;This investment reflects our confidence in South Korea&#8217;s continued growth&#8230; we believe this high-quality, well-located property will generate resilient returns over the long term,&#8221; said GIC Real Estate Chief Investment Officer Lee Kok Sun.
Jimmy Phua, Managing Director and Head of Real Estate at CPPIB, said the investment reflects the pension fund&#8217;s desire to increase its investments in the Asia Pacific region.
GIC is a sovereign wealth fund established by the Government of Singapore in 1981 to manage Singapore&#8217;s foreign reserves. CPPIB, on the other hand, is a global investment management organization that invests the assets of the Canada Pension Plan.
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GIC said the joint venture will acquire Kumho Asiana Main Tower, located in the centre of Gwanghwamun, from Asiana Airlines' parent company Asiana Group.

Singapore's GIC, Canadian pension fund to buy prime Seoul building for $380m

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Singapore's GIC, Canadian pension fund to buy prime Seoul building for $380m

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