Southeast Asia’s largest developer CapitaLand said on Monday it will buy a property in Singapore for $359 million from associate Ascott Residence Trust.

CapitaLand will also sell Ascott Raffles Place Singapore and Ascott Guangzhou to Ascott Residence for $283.3 million.

The property, Somerset Grand Cairnhill, will be jointly developed by Ascott Ltd and CapitaLand Residential Singapore Pte into a serviced residence with a hotel license and a high-end residential development, CapitaLand said in a statement.

CapitaLand is expected to sell the redeveloped property back to Ascott Residence for $405 million in 2017.

The property developer said it expected to recognise a netgain of about $51.4 million from the two divestments, and to share a gain of about $42.7 Ascott Residence’s sale of Somerset Grand Cairnhill.

Ascott Residence is managed by a wholly owned subsidiary of the Ascott Limited, and an indirect wholly owned subsidiary of apitaLand.