M&G Real Estate to buy S Korean office tower for $1bn

Fund manager M&G Real Estate has struck a deal to acquire an office tower in South Korea for $1.04bn, representing the investment group’s biggest commercial property transaction over the past five years.

M&G’s Asia Property fund has bought Centropolis Towers, a prime, twin-tower office in Seoul, in joint venture with two South Korean pension funds in order to finance the large-scale deal, which is set to complete in September.

M&G said the South Korean commercial property market has attractive income yields of about 5%, surpassing that of most other major cities.

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