Korean equity fund acquires upmarket serviced apartments from Gateway Capital
Mirae Asset Financial Group, the largest equity fund manager in South Korea, has agreed to acquire Shama Luxe, an upmarket serviced apartment block in Shanghai, for about one billion yuan, according to sources.
One of the first big mainland property transactions this year, the purchase underlined continued interest in the market by foreign funds despite increased monetary controls and policy tightening, they added.
Mirae has agreed to pay the equivalent of about 62,000 yuan per square metre to Hong Kong fund Gateway Capital for Tower 18 in Lakeview Regency, the second phase of Xintiandi in Shanghai.
Known as Shama Luxe, the 31-storey serviced apartment block has a total gross floor area of 15,793 square metres and 100 apartments, according to Gateway Capital's website.
An executive of Mirae confirmed that the company was in talks to buy a serviced apartment block in Shanghai but would not say if the Shama deal had been clinched.