PURCHASE OF RESIDENTIAL & INDUSTRIAL SITE AT 217 AND 221-223 SEPARATION
STREET, NORTHCOTE, VICTORIA, AUSTRALIA
The Board of Directors of Chip Eng Seng Corporation Ltd (the “Company”) is pleased to
announce that the Group’s wholly owned subsidiary, CES-Northcote (VIC) Pty Ltd (“CES-
Northcote”) has today entered into a Contract of Sale (the “Agreement”) to purchase the site
at 217 and 221-223 Separation Street, Northcote, Victoria, Australia. The purchase price of
the two properties collectively is A$27 million (the “Purchase Price”). The settlement date for
this transaction is 120 days from the date of the Agreement.
217 Separation Street contains a single storey detached dwelling that is currently leased and
used for home occupation. 221-223 Separation Street contains industrial buildings and
associated car parks and will be leased to the current occupant to continue operating its
packaging business for 1 year from the settlement date.
The properties have a total site area of 17,857 square metres and provide opportunity for
significant residential redevelopment. CES-Northcote will apply for a rezoning of the land to
allow for a change of use from industrial to residential. The development potential includes
approximately 15 townhouses and 300 apartments, subject to town planning approval
(“Proposed Development”).
The Purchase Price and the Proposed Development will be financed by internal sources and
bank borrowings and the Proposed Development is not expected to have any material
impact on the net tangible assets and earnings per share of the Group for the current
financial year ending 31 December 2015.
None of the Directors and, to the best knowledge of the Directors, none of the substantial
shareholders or controlling shareholders of the Company, has any direct or indirect interest
in the transaction.