Singapore's sovereign wealth fund is in talks to buy half of Broadgate, a large office and retail complex in the City of London, in what would be one of the biggest UK property deals since the financial crisis.
GIC, which last month changed its name from Government of Singapore Investment Corporation, is to buy the stake from private equity group Blackstone in a proposed deal worth about £1.7 billion, according to a person with knowledge of the matter.
GIC has been competing against other sovereign wealth funds, including the world's largest by assets, Norges Bank Investment Management, for the agreement.
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The move highlights sovereign wealth funds' increasing desire to buy high value London property. Cash rich investors from Asia, the Middle East and Europe have been piling into top end UK real estate, with an emphasis on the City and the West End, in search for higher returns than their fixed asset portfolios can deliver while interest rates remain at record lows.