DEGI INTERNATIONAL sells office tower in Seoul (DE/KR)

In late May 2009, DEGI, a member company of Aberdeen Property Investors, sold the Hyundai Swiss Tower in Seoul – an office property held in its DEGI INTERNATIONAL open-ended property fund – to a South Korean buyer for approximately €39 million.

Despite the difficult market environment, the negotiated sales price exceeded its current portfolio valuation.

Located in the South Korean capital inside the well-established submarket of Kangnam, the Class A office building was acquired through a participation in 2005. The property has an aggregate floor space of about 15,000 m², and is let to tenants from a variety of industries.

As Bärbel Schomberg, CEO of DEGI, emphasized, this sale above the portfolio valuation demonstrates that it is possible to benefit handsomely from international market developments even in an economically difficult environment. The prerequisites for doing so are above all active portfolio management, the quality of the property, and a property valuation in line with market standards. "Even during difficult market phases, our active portfolio management enables us not just to conduct transactions, but to turn a profit in the process," Schomberg went on to say.

Source: Maitland

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