HSBC is selling its group headquarters in London’s Canary Wharf for £772.5m ($1.3bn) in cash, but will remain in the building in a leaseback deal.

It is being bought by the South Korean National Pension Fund – one of Asia’s largest sovereign investors.

The bank said they were “delighted” with their new landlords.

HSBC, which will remain in the building of the last 17 years of the lease, said a gain of £350m would appear on its income statement the deal’s completion.

Ken Harvey, HSBC’s chief technology and services officer, said: “We actively manage our global real estate portfolio in accordance with the needs of our businesses and in the interests of our shareholders, and we are delighted the National Pension Service of Korea, one of Asia’s largest sovereign investors, will be our new landlord.”