Business news for Fri, 21 Dec 2007 & with words london+property. 2 news.

LONDON (MarketWatch) -- U.K. insurer Friends Provident has froze its 1.2 billion pounds ($2.4 billion) flagship commercial property fund after a rush for the exit by investors over the past three weeks, The Times (of London) reported, citing a spokesman. Friends' move affects up to 118,000 individual investors in its 24-year-old property fund, which invests in offices and retail developments in areas as diverse as Glasgow, Leadenhall Street in the City of London and Camden Wharf in North London. New Star Asset Management separately marked its property fund down by 8.2% last week, the report added.

LONDON (MarketWatch) -- Aberdeen Asset Management said Friday that its property unit, Aberdeen Property Investors, will buy DEGI from Dresdner Bank for 110 million euros ($158.5 million). DEGI is a German-based property investment management company with approximately 6.4 billion euros of assets under management. "This transaction reinforces our long-term commitment to the German marketplace and strengthens Aberdeen Property Investors' position as a leading global property manager," said Martin Gilbert, chief executive of Aberdeen.