American International Group is to continue the disposal of its international headquarters after agreeing the sale of its New York HQ to a consortium including investment and development firm Youngwoo & Associates and Korean bank Kumho Investment Bank.
The news of the sale, at an undisclosed price, was announced by property services firm Richard Ellis, which brokered the deal. Youngwoo & Associates is based in New York.
In addition to the New York headquarters, the consortium also agreed to buy another adjacent office. The two offices, at 70 Pine Street and 72 Wall Street, total 1.4 million square feet.
In the announcement, CBRE said: “The acquisition is expected to draw participation from a group of international financial firms and represents a major strategic initiative by the YWA/Kumho partnership to establish an investment program focused on Manhattan real estate opportunities.
“The move symbolises a broader commitment by Korean institutions to overseas investment and Kumho has taken a lead role by recently expanding its activities, with a concentration on New York.”
According to Reuters, the buildings, which are connected by a skywalk, have been owned and occupied by AIG since the 1970s. Last month, AIG sold its Tokyo headquarters to Japanese insurance company Nippon Life for $1.2 billion.
It comes at a time of restructuring for the group, which includes asset sales. AIG looks to repay $180 billion in bailout money provided by the US government.