Asia-focused investment firm PAG has formed a 50/50 joint venture with real estate investor Mapletree Investments to acquire Goldin Financial Global Centre (GFGC) in Hong Kong for HK$5.6 billion (US$713 million).
Located in Kowloon Bay, GFGC is a premium office building featuring spacious interiors and flexible floor plans, with a total lettable area of 886,703 square feet. Following its completion in 2016, it received LEED platinum and BEAM Plus platinum certifications for healthy, sustainable, and cost-saving green buildings.
Goldin Financial Global Centre in Kowloon Bay is a premium office building featuring spacious interiors and flexible floor plans, with a total lettable area of 886,703 square feet.
PAG Real Assets, the real estate business of PAG, currently has more than US$10 billion in equity under management across the Asia-Pacific region. Over the past two decades, it has acquired and managed over 7,000 properties across the region, including office and logistics, multifamily, hotel, retail, digital infrastructure and renewables.
PAG president J-P Toppino comments: “GFGC is an iconic building in Hong Kong’s CBD2, and represents very good value at a significant discount to replacement cost. This transaction further expands PAG Real Assets’ footprint in Hong Kong, where we see the ongoing post-Covid recovery creating attractive opportunities for us and our investors.”
Wong Mun Hoong, regional chief executive officer, Australia & North Asia, at Mapletree, adds: “We see this joint acquisition with our partner, PAG, as a great opportunity to own a high-quality office building, boosting our presence in Hong Kong’s commercial sector at an attractive price. With the reopening of the border with China and the easing of travel restrictions, we are confident of the recovery of the office sector in Hong Kong.”
As at March 31 2022, Singapore-based Mapletree owns and manages a diverse portfolio of S$78.7 billion (US$59 billion) real estate assets comprising office, industrial, logistics, data centre, retail, residential and student accommodation across Asia-Pacific, Europe, the United States and the United Kingdom. In Hong Kong, Mapletree has assets under management worth S$7.49 billion in the logistics, office, retail and data centre sectors.