Fubon Life to buy another City of London building

26 November 2015

Fubon Life Insurance Company of Taiwan is on the verge of buying Cannon Place in the City of London for around £500m ($712m), according to CoStar News.

The 418,000 sq ft building is 80% let to tenants that include investment and law firms. It is opposite Walbrook Building, which Fubon's Taiwanese rival, Cathay, bought for £575m earlier this year.

If the deal completes, it will take Fubon's property holdings in central London from nil a year ago to more than £1.1bn, ahead of Cathay Life, which has invested £895m in the capital, said CoStar.

Fubon's London purchases over the past year include Bow Bells House at £197m, 1 Carter Lane at £139m and the Madame Tussauds building for £332.5m (IAR, 6 May 2015 Asian insurers step up European real estate investments; IAR, 26 May 2015, Sale of Tussauds to Taiwan insurer confirmed).

Insurers from China are also predicted to step up their overseas real estate purchases in the next four years, according to a report issued yesterday (IAR, 25 November, Chinese insurers to invest $73bn in real estate abroad by 2019).