Oxley Holdings said on Thursday it accepted an expression of interest (EOI) from a U.S.-based real estate fund which is interested in acquiring the Chevron House property in Singapore’s central business district for S$1.025 billion.
The EOI was accepted after considering the prevailing property market conditions and that the unsolicited offer generally meets Oxley’s long-term investment objectives from when it acquired the property, the Singapore real estate company said in a filing to SGX on Thursday.
Oxley acquired Chevron House in late 2017 for S$660 million.
However, the EOI isn’t intended to be legally binding and is subject to due diligence and a definitive sale agreement, the filing said.
The U.S. fund has been given a 45-day exclusive period, it said.
Chevron House, formerly known as Caltex House, is currently untenanted amid preparation for a major refurbishment; it has 33 storeys and three basement levels.
The acquisition would be of Oxley’s wholly owned subsidiary Oxley Beryl, which owns the Chevron House property at 30 Raffles Place in Singapore, the filing said.
Oxley Beryl will receive a S$7.5 million refundable deposit to be held in escrow after accepting the EOI, Oxley said.
Oxley requested a lifting of the trading halt on its shares on Thursday.