이 누리집은 대한민국 공식 전자정부 누리집입니다.

한상넷

비즈니스 정보

Biz News Korea(Eng)

KTB Asset to invest in the 850 Third Avenue in Manhattan

Collected: 2017.02.04

Distributed: 2017.02.06

Source: Go Direct

850 Third Avenue

South Korea’s KTB Asset Management Co. together with local institutional investors will invest 82 billion won ($72 million) in the 850 Third Avenue, a 21-floor office building in New York City, U.S., for higher returns amid protracted low interest environment.

According to investment bank industry sources on Friday, KTB Asset Management decided to purchase high-yield debt backed by the 850 Third Avenue building in downtown New York from U.S-based global asset manager Blackstone Group L.P. The asset manager will acquire the securities through a real estate private equity fund it will be creating. It expects the investment to deliver a return of 5 percent per annum over the next five years.

Built in 1962, the 850 Third Avenue is estimated to value over $400 million and its tenants include New York Police Department and global TV network Discovery Channel. It is anticipated to deliver stable returns as the vacancy rate of the buildings in the neighborhoods is only around 2 percent, industry observers said.

Funds from around the world are flooding into large real estates in Manhattan as a means of safe investment options amid heightened financial uncertainties, said an unnamed KTB Asset Management official.

By Song Gwang-sup

Read in Korean

List

Previous: SK Innovation’s 2016 OP nears $3 billion, a record for Korean refiner

Next: Daewoo E&C feared to suffer huge losses in Q4 on stricter accounting rules