SINGAPORE - The owners of Maxwell House, which has been around since 1971, were second-time lucky with their collective sale bid, snagging a sale at $276.8 million, above their $268 million asking price.

The building at 20 Maxwell Road was put on the market at a reserve price of $295 million in September 2020, but the asking price was lowered in April this year.

On Friday (May 7), the collective sale tender for the 13-storey commercial development comprising 145 strata units was awarded to a unit of Singapore-listed Chip Eng Seng Corp, SingHaiyi Investments and Chuan Investments, which jointly bid for the property.

The sale is subject to approval of the Strata Titles Board and other conditions.

The joint tenderers will seek in-principle approval from the Singapore Land Authority to issue a fresh 99-year lease for the building, whose tenure began in June 1969.

Chip Eng Seng told the Singapore Exchange on Friday that it is seeking approval from the Urban Redevelopment Authority to redevelop the site into a commercial and residential mixed-use development. This will have a gross plot ratio of at least 5.6 and a gross floor area of at least 21,746.48 sq m, for which the commercial component will be up to 20 per cent of the total gross floor area.

Sitting on a trapezoidal island plot spanning 41,799 sq ft, the property is currently zoned "commercial" with a plot ratio of 4.3.

It is in the immediate vicinity of the dining and entertainment precinct along Tras Street, Duxton Hill and Keong Saik Road.

Located at the fringe of the Tanjong Pagar planning area, it is expected to benefit from the area's rejuvenation alongside the planned development of the Greater Southern Waterfront precinct.