Swiss investment manager Partners Group and a consortium of investors have bought a mixed-use complex in Beijing’s ZGC area, known as the Silicon Valley of China, for US$1.34bn.
Partners Group purchased a majority stake in the 176,976 sq.m. Dinghao Plaza, the firm said in a statement.
The Zug-based investor teamed up investors including Ascent Real Estate Investors, Sigma Delta Partners Investment and the Family Office Company.
“Dinghao Plaza is ideally located in ZGC, Beijing’s vibrant tech and media area, where demand for large, contiguous, and premium office space is high and supported by the strong growth of China’s technological sector,” said Rahul Ghai, managing director, private real estate Asia at Partners Group.
Built in 2003, the property features a large retail podium and two office towers, with direct underground access to the ZGC metro station.
The consortium plans to reposition under-used retail into office space and refurbish the existing office space across the two towers to grade-A standard.
“Together with our consortium partners, we plan to undertake a multi-year value creation program which will transform Dinghao Plaza into a core real estate asset,” Ghai continued.
Partners Group has US$83bn of assets under management and invests in private equity, private real estate, private infrastructure and private debt.
Ascent Real Estate Investors and Sigma Delta Partners Investment are both China-focused investment managers, while the Family Office Company is a Bahrain-based asset manager for family offices and high-net-worth individuals.