Foreign investors were also active in the office market: the sale of Centropolis Towers to British investment manager M&G Real Estate for $1.06bn was the biggest single asset deal in the region in the third quarter. The office building is being sold with vacant possession but M&G said it was confident of being able to let the space.

Meanwhile the largest portfolio deal in the quarter, according to RCA, also took place in Seoul, with a JV between Korea’s IGIS Asset Management, US private equity firm KKR and the National Pension Service of Korea forward buying a $1.9bn office and hotel project in the Gangnam district.

JoAnn Hong, head of research and consultancy at Savills Korea, says: “There are not many cities in Asia which provide so many opportunities to buy prime freehold assets. The economy has been growing steadily at close to 3% per annum with a stable exchange rate.”

Further reading:
Savills Korea Office Research

Contact us:
JoAnn Hong