Photo = Yonhap news

 

[Alpha Biz= Reporter Kim Jisun] Singapore’s sovereign wealth fund, GIC, announced on the 18th that it has decided to cancel the sale of the Seoul Finance Center (SFC) in Gwanghwamun.

According to the investment banking (IB) industry, GIC reached this decision after conducting both the first and second rounds of bidding but ultimately decided to halt the sale for now.

Since August, the bidding process had attracted interest from Coramco Asset Management’s REITs division, Coramco Asset Trust, and BentallGreenOak (BGO), with CBRE serving as the sales advisor.

GIC had aimed for a valuation of 15 trillion KRW, equivalent to 40 million KRW per 3.3㎡. However, the highest bid reportedly only reached approximately 12 trillion KRW, or 33 million KRW per 3.3㎡, falling short of expectations. Negotiations failed to meet GIC's price expectations despite completing the first round of bidding on November 2 and the second round on November 11.

GIC originally acquired SFC 24 years ago in 2000 for 350 billion KRW.

SFC is an 11,9646㎡ office building with eight underground levels and 30 above-ground floors, located near Gwanghwamun Station. It is home to prestigious tenants, including Bank of America Merrill Lynch, Nomura Securities, and BlackRock Asset Management, making it a prime-grade office building.

 

 

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