Integrated property developer Soilbuild Group Holdings has signed a put and call option agreement to divest Penjuru Logistics Hub, a purpose-built logistics warehouse located near Jurong Island and Jurong Port, for $60 million.

The group says it expects to recognise a gain of $16.3 million from the divestment, net of estimated expenses in connection with the sale. Soilbuild had previously recognised a fair value gain of $5.2 million upon revaluation of the warehouse property located at 34 Penjuru Lane following its completion.

Soilbuild will lease back the five-storey warehouse with 0.4 million square feet (sf) of business space for five years for about $5 million a year. As at end-June 2010, Penjuru Logistics Hub had been leased to a range of logistics support businesses, including those for petrochemical and maritime companies located at Jurong Island and Jurong Port respectively. The property has a remaining lease of 22 years.