Property developer Chip Eng Seng Corp on Tuesday said it would buy the Changi Garden property for S$248.8 million.
Changi Garden is located at the junction of Upper Changi Road North and Jalan Mariam and has a freehold tenure and a site area of 18,589.30 square metres.
Chip Eng Seng intends to redevelop the property into a low-rise residential condominium with full condominium facilities, it said in a statement.
The proposed redevelopment is expected to yield approximately 320 residential units and potentially some retail shops.
Changi Garden was put up for collective sale in September, which at the time made it the 15th residential en bloc attempt this year. According to the Urban Redevelopment Authority's Master Plan 2014, it is zoned "residential".
The acquisition and the proposed redevelopment will be funded by internal resources and bank borrowings, Chip Eng Seng said.
The deal is not expected to have significant impact on the net tangible assets and earnings per share of the company for the current financial year ending 31 December 2017, the company said.
Chip Eng Seng Corp pecializes in building construction activities in the private and public sector. Shares in the company were unchanged at S$0.90 on the Singapore Exchange.