Keppel Reit buying 99.38% of freehold Seoul office block for 252.6b won

Singapore

KEPPEL Reit is acquiring a 99.38 per cent stake in T Tower, a freehold Grade A office building located in Seoul's central business district (CBD), for 252.6 billion won (S$301.4 million), its manager Keppel Reit Management said on Tuesday. The remaining stake will be bought by a unit of Keppel Corp's subsidiary, Keppel Capital Investment Holdings.

Keppel Reit's subsidiary, Keppel Reit (Korea), has entered into an agreement with a fund managed by PGIM Real Estate to acquire the majority stake in the holding company of the 28-storey T Tower. The manager noted that the distribution per unit-accretive acquisition with a net property income (NPI) yield of 4.7 per cent is part of the Reit's ongoing efforts to improve its portfolio yield.