Koramco to launch blind fund for core office investments

View of Samsung Fire & Marine Insurance’s headquarters, ‘The Asset Gangnam’. [Courtesy of Koramco REITs & Trust]

Koramco REITs & Trust is set to establish a blind fund focused on core office investments, following the sale of the “The Asset Gangnam” building, which serves as the headquarters for Samsung Fire & Marine Insurance, marking its first potential major transaction in about six years.

On Monday, Koramco REITs & Trust announced plans to raise 500 billion won ($365 million) by the first quarter of next year for this new fund.

Core offices refer to large office buildings over 33,000 square meters located in key business districts such as Gangnam, Yeouido, and Gwanghwamun in Seoul. These properties are characterized by stable tenant structures, excellent accessibility, and strong market recognition. The creation of the blind fund will be led by Yoon Jang-ho, vice president of Koramco REITs & Trust’s REITs Division 2, who has been with the company since 2005 and is its longest-serving executive.

To ensure the smooth establishment of the fund, the company is also undergoing an organizational alignment. REITs Division 2 has formed two new investment teams, and the company plans to fully leverage the analytical capabilities of the Research & Strategy Office and the investor pool of the Investment Funding Office.