[THE INVESTOR] Samsung Life Insurance plans to sell its office building in Gangnam, southern Seoul, according to The Bell on July 19.
Citing unnamed industry sources, the report said the insurance business unit of Samsung Group recently sent a request for proposal letters and plans to hold a bid to select the deal advisor next week.
Established in 2010, the building is a relatively new one with 17 stories and 30,647 square-meter space. Considering the transaction prices near the Samseong-dong area, the selling price could reach about 200 billion won (US$176.5 million), the report said.
The nation’s largest conglomerate is selling off several office buildings in Seoul in recent years possibly to secure more cash. Sources also say unlike his predecessors Lee Jae-yong, the third-generation heir, has little interest in property investments.
Since his father Chairman Lee Kun-hee’s hospitalization in 2014, Samsung has sold key office buildings in central Seoul it had owned for decades. In 2016, Samsung Life Insurance and Samsung Fire and Marine Insurance sold their headquarters buildings to Korean builder Booyoung Group for 438 billion won and 571.7 billion won, respectively.
A consortium led by NH Investment Securities and Koramco REITS Management has recently been named the preferred bidder to acquire Samsung C&T’s headquarters building, one of the three landmark buildings in Seocho-dong occupied by Samsung companies since 2007. The neighboring area is affectionately called “Samsung Town.”
By Lee Ji-yoon (firstname.lastname@example.org)