Singapore-based Ascendas-Singbridge Group has launched its fifth single-asset office fund in South Korea with the acquisition of a building in Seoul.

The Ascendas Korea Office Qualified Private Real Estate Investment Trust No 5 is a 10-year closed private fund.

It will own ICON Yeoksam, a brand new mid-sized office building in the Gangnam Business District (GBD), acquired today for SGD124m (€78.2m).

William Tay, CEO for Korea operations at Ascendas-Singbridge, said: “ICON Yeoksam has good connectivity and high visibility in the core GBD area and has already attracted the attention of numerous blue-chip companies seeking to set up their offices there.

“Backed by its rapidly-growing economy, South Korea continues to hold huge potential for investment and fund management business.”

Ascendas-Singbridge established a foothold in South Korea in 2002 when it acquired Citibank Centre in Seoul. Since then, it has built up a portfolio of office buildings, including West Finance Centre and Anam Tower in Seoul.

Today, its assets under management in South Korea total KRW700bn (€548m).

Backed by Temasek Holdings and JTC Corporation, the cashed-up Ascendas-Singbridge has been on a buying spree in Australia, India and other markets in recent months. It has just completed acquisition of a Sydney office tower for AUD252m.