Asia-Pacific real asset group ESR has sold a 23-storey office block in South Korea’s capital to Korea Investment Real Asset for KRW1.28trn (€712m).
The Seoul Square building in Seoul was an asset of ARA Korea, now part of the privatised ESR group. ARA Korea acquired Seoul Square in 2019 for approximately KWR1trn before the Singapore-based parent, ARA, was taken over by ESR in 2022.
The office block was completed in 1977 and was the former headquarters of Daewoo Group. It underwent extensive remodelling in 2010, and currently it houses several domestic and foreign companies.
JLL and Savills Korea acted as sales advisors on the transaction.
Lee Keehoon, head of JLL Korea Capital Markets, said: “It is notable that a leading financial group with development expertise participated in this landmark deal in downtown Seoul.
“This means that the prospects for office investment are positive, as the area around Seoul Station is set to be transformed into a modern business district as part of the planned urban environment improvement project.”
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