Published : Aug. 31, 2016 - 10:05
[
THE INVESTOR] Four South Korean insurers including
Hanwha Life Insurance have invested a combined 200 billion won (US$178.57 million) in Google’s office building in California, US, according to news reports on Aug. 31.
Related article : Institutional investors show growing appetite for overseas property mezzanine debtThey have joined hands with Hyundai Asset Management on condition of purchasing a senior loan with the Silicon Valley building as a collateral, with an expected 4 percent annual rate of return.
Hanwha Life Insurance headquarters in Seoul
The IT colossus occupies most of the three-story building of over 18,500 square meters gross area, further guaranteeing a secure investment, according to industry sources.
A growing number of insurers are looking at senior loans with overseas real estate put up as collateral as a a low-risk investment option: NH Life Insurance and five others invested 240 billion won in Atlantic Building in Washington D.C. in June; and KDB Life Insurance and three others invested 120 billion won in Courvoisier Centre in Florida, Miami.
By Hwang You-mee (
glamazon@heraldcorp.com)