Commercial real estate firm Tishman Speyer recently announced that Korean bank Hana Financial Group would contribute up to $500 million in equity capital in a partnership to boost co-investment in United States, European and Asian property, New York Business Journal reports. Tishman Speyer said the companies signed a memorandum of understanding that would see Hana Financial Group contribute the funds over the next two years to invest in the company’s sponsored real estate opportunities.
The announcement did not say how much capital Tishman Speyer would contribute to the joint venture’s investments. How much of HFG’s equity contribution would be leveraged to increase the venture’s purchasing power also was not specified.
“Hana Financial Group and Tishman Speyer share a passion for projects that drive innovation, support local communities and improve the quality of life for people around the globe,” Tishman Speyer President and CEO Rob Speyer said in a statement. “This joint platform will be a springboard for our collective mission.”
The companies also said their focus would be on asset classes and properties that promote innovation and Environmental, Social and Governance (ESG) factors when assessing joint investment opportunities.
“Tishman Speyer is a world-class company with extensive experience investing in real estate projects in cooperation with many of the leading global institutional investors,” Jihoon Kang, Head of the Global Strategy Team at Hana Financial Group, said in a statement. “This MOU will open the door for Hana Financial Group to strengthen its investment capabilities in the ESG sector and contribute to the Group’s efforts to achieve its vision of protecting the environment and of providing happiness to all members of our society.”
Hana Financial Group and Tishman Speyer took part in a prior transaction when the former bought Le Cristalia, a seven-story office building in Paris that was fully leased to Bristol Myers Squibb from Tishman Speyer for $194 million in 2019, Real Estate Weekly reports.
Established in Seoul, South Korea in 1971, HFG currently employs approximately 22,000 people and operates more than 1,000 branches with assets under management of more than $390 billion.
Tishman Speyer operates in 28 markets across the United States, Europe, Asia and Latin America. Its portfolio includes Rockefeller Center in New York City, The Springs in Shanghai Early rendering TaunusTurm in Frankfurt and the Mission Rock neighborhood currently being realized in San Francisco.
Joe Dyton can be reached at email@example.com.