Singapore investment company GIC has partnered with the Canada Pension Plan Investment Board to buy the D-Cube Retail Mall in Seoul, South Korea from Daesung Industries.

The two investors has paid US$263 million for the mall.

GIC and CPPIB will each own an equal half share in D-Cube, a four year old centre described as a high quality property in a prime location. D-Cube is located next to Sindorim Station, a major transportation hub connecting Seoul with Incheon and other major metropolitan cities near Seoul.

The mall will be rebranded as Hyundai Department store and will be operated by Hyundai, one of the top retail operators in South Korea. Working alongside GIC and CPPIB, Hyundai will reposition the D-Cube Retail Mall to better serve the Korean retail market’s expected steady growth over the long term.

Loh Wai Keong, MD & co-head Asia, with GIC Real Estate said the investment reflects GIC’s confidence in the long-term growth of Korean domestic demand and is consistent with GIC’s strategy of acquiring high-quality, centrally-located assets with upside potential.

“As a long-term value investor, our interests are aligned with CPPIB and we look forward to partnering them in this acquisition.”

Jimmy Phua, MD, head of real estate investments Asia, with CPPIB said the D-Cube Retail Mall is a prime retail asset located in a growing and affluent area.

“Through this investment, we are pleased to gain exposure to one of the largest retail markets in Asia, working alongside experienced and aligned partners.”