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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Sangjin] Daishin Securities is moving forward with plans to establish a real estate investment trust (REIT) based on its headquarters, Daishin 343 (formerly known as Daishin Finance Center).
According to reports from the financial investment industry on the 7th, Daishin Securities is considering incorporating Daishin 343, located in Euljiro, Jung-gu, Seoul, into a REIT. This decision appears to stem from the repeated failures in recent sale negotiations for the property.
Daishin Securities had been in talks with NH Amundi Asset Management regarding the sale of Daishin 343, but those negotiations fell through last month. Additionally, an agreement was not reached in previous discussions with Aegis Asset Management in August of last year.
Daishin 343 is a building that spans 26 floors above ground and 7 floors below, with a total floor area of 53,369.33 square meters. The market estimates the value of office spaces in the Central Business District (CBD) to be around 40 million KRW per 3.3 square meters, leading to an estimated value of over 650 billion KRW for Daishin 343.
If Daishin 343 is transformed into a REIT, it is expected that Daishin Asset Trust, Daishin Securities' real estate subsidiary, will manage the operation. Reports suggest that Daishin Securities is also keeping open the possibility of establishing a publicly listed REIT based on Daishin 343.
Moreover, since Daishin Securities meets the conditions to become a comprehensive investment financial institution (CIF), it is anticipated that various strategies utilizing Daishin 343 will be explored. As of mid-2024, Daishin Securities had a total equity of 3.1122 trillion KRW, surpassing the 3 trillion KRW threshold required for CIF status. Achieving CIF status would allow the company to double its corporate credit limit from 100% to 200% of its equity.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
