Seoul-based KB Asset Management has acquired Samsung SDS Tower for $630 million, marking the largest real estate transaction in South Korea this year, per an announcement by US-based real estate services and investment management firm Colliers.
The transaction also represents the largest single-asset office deal in the Asia-Pacific region this year.
The 99,537-square-metre Samsung SDS Tower is located in the extended area of the Gangnam Business District and serves as the headquarters of Samsung’s information technology unit Samsung SDS.
The sale process of the asset began in the second half of 2022, Colliers said.
Chris Pilgrim, Colliers Managing Director of global capital markets, Asia Pacific, said the sale has exhibited potential for further investment into prime-rate buildings in the Korean market.
KB Asset Management acquired the two-tower building from a real estate investment trust (REIT) managed by local investment firm Ryukyung PSG Asset Management, according to a Mingtiandi report.
A consortium led by Ryukyung and NH Investment & Securities had purchased the asset for 628 billion won in 2019 from Samsung SRA Asset Management.
In other deals this year, Invesco sold Majestar City Tower B for 520 billion won ($398 million); Shinhan REITs Management reportedly acquired 65.8% of the Seoul headquarters of the Hong Kong and Shanghai Banking Corporation for 180 billion won; and CapitaLand acquired Anseong Seongeun Logistics Centre for S$112 million ($82.6 million).