South Korea’s National Pension Service has added two significant London office properties to its portfolio, at a cost of £268 million.
The NPS is the fifth largest pension fund in the world and is managed by Rockspring Property Investment Managers.
The purchases include a 50 percent stake in Victoria’s 40 Grosvenor Place for around £85 million and 88 Wood Street for £183 million.
Comprising almost a quarter of a million square feet of office space, Wood Street yields over £12.5 million per year from a variety of tenants, with the share of the Victoria property adding a further £6 million.
The purchases were made for a new fund of the NPS, the Central London Property Limited Partnership, reflecting the perceived value of London commercial property after the slump in the market.
A spokesman for the fund expressed Rockspring’s intention to make further similar purchases soon.