Bae, Kim & Lee and Yoon & Yang have advised on NH Nonghyup REITs Management’s acquisition of Donuimun D Tower, a prime office building in central Seoul, for KRW895.3 billion (USD 640 million) from Mastern Asset Management.
“This is a significant transaction from a market perspective as it involves a prime-grade large office property, while the Seoul Central Business District (CBD) office market has been somewhat stagnant due to declining yields,” Chiyoung Song, a Seoul-based partner at Bae, Kim & Lee who co-advised Mastern along with associate Jaehwa Park, told Asia Business Law Journal.
This deal is the second-largest commercial property transaction in South Korea this year, following the sale of Samsung Fire & Marine Insurance’s headquarters building, the Asset, for KRW1.14 trillion.
Mastern announced on 20 November that it had finalised the sale of the tower to NH REITs, four months after the buyer was selected as the preferred bidder in July.
NH REITs has enlisted Yoon & Yang as its legal counsel, which advised from the initial stages to structuring the transaction as REITs. Partners Young Woo Park, Jae Ryun Cho and Eun Chul Choi led the Yoon & Yang team, with associates Hyeji Shin, Yea Eun Hwang and Kyu Min Lee providing additional advice.
