Korean firm Mirae Asset Global Investments is in negotiations to buy out the management platform of Singapore-listed Manulife US REIT.

Following media speculation, Manulife US REIT has confirmed it was in the process of negotiating a transaction with Mirae and that it would make an announcement when there was any material development.

Korean media has reported a figure of KRW200bn (€138m) as the likely price for the management platform of the SGX-listed US office real estate investment trust (REIT), but the REIT’s manager has said the proposal from Mirae does not contain a reference to such a figure.

“For the avoidance of doubt, the manager is still actively engaged with Mirae, and is negotiating the terms of the transaction. At this point, no binding definitive agreements have been entered into,” said William D Gantt III, the CEO of Manulife US REIT.

Manulife US REIT also said it had agreed to sell a property known as Tanasbourne, located in Hillsboro, Oregon, for US$35.5m (€32.5m) to John Hancock Life Insurance.

The trust said the sale was part of a strategic review and represented the manager’s continued efforts in identifying asset disposition opportunities within its existing portfolio.

Proceeds from the sale would be used to pay down debt and to cover capital expenditure, such as tenant incentives.

The trust was listed in 2016 and holds a portfolio of 12 income-producing office assets in key markets in the US worth around US$1.9bn.

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