Chip Eng Seng Corporation says wholly-owned subsidiary, CEL Development Pte Ltd (CEL) and Choicehomes Investments Pte Ltd (CHI) have jointly put in the top bid of the land parcel at Punggol E4 for an Executive Condominium housing development. The purchase price for the site was $223.7 million.

The dite has a lease term of 99 years comprising a land area of 22,497.3 sqm. It has a gross permissible plot ratio of 3 and a maximum allowable gross floor area of 67,491.9 sqm (GFA). The proposed development, with full condominium facilities, will comprise 600 residential units.

CHI and CEL will incorporate a special purpose company to jointly develop the project. CHI and CEL will each hold 60% and 40% interest respectively in the SPV. CHI is a wholly-owned subsidiary of NTUC Choice Homes Co-operative.

The proposed development will be financed by internal fund and bank borrowings and is not expected to have any material impact on the net tangible assets and earnings per share of the Chip Eng Seng Group for the current financial year ending 31 December 2010.