China's Greenland Group says to build two-billion-pound headquarters in Seoul

HONG KONG (Reuters) - China's Greenland Group said on Monday it plans to invest over 20 billion yuan (2 billion pounds) to build the tallest twin-tower in the capital city of South Korea, the latest massive project of the state-backed developer overseas as it speeds up expansion outside home. The second-largest residential developer in China announced last week its investment in the U.S. reached $6 billion (4 billion pounds) with its involvement in a $5 billion project in New York in which it holds a 70 percent stake - the biggest investment in the U.S. by a Chinese developer. Chinese developers are increasing their investment overseas as property prices continue to slide at home while land prices remain expensive. Greenland said it signed a Memorandum of Understanding with the Seoul city government on Monday, and the twin-tower will serve as its headquarters in South Korea. "As China and South Korea completed their negotiations over free trade zone and renminbi/won can have direct exchange, the economic and trade ties between the two countries will further escalate, and the related demand will give a big push to South Korea's real estate market," the Shanghai-based company said in a statement. South Korea started direct yuan/won trading on Dec. 1. Greenland said it expected sales from South Korea to reach 4.5 billion yuan this year. The group first entered the north-east Asian nation in 2012 and it has projects in the island of Jeju. The company said total overseas sales will likely exceed its target to reach $3.9 billion this year, up 30 percent from the previous year. (Reporting by Clare Jim; Editing by Michael Perry and Biju Dwarakanath)