The historic Bayside building that formerly housed specialty sauce maker Schlotterbeck & Foss is under contract with new owners.

Drew Sigfridson, a partner at CBRE | The Boulos Co., confirmed that the building is under contract and that the new owners are conducting due diligence and exploring potential plans for the five-story commercial building on Preble Street.

“They are from Maine,” said Sigfridson, who declined to provide additional details about the prospective buyers. “The building would most likely be a residential conversion.”

The building, designed by John Calvin Stevens and built in 1927, was listed at $3.35 million and has been on the market since January. It’s owned by J.B. Brown and Sons and is assessed at $1.5 million, according to city records.

The 43,000-square-foot property, which includes a one-story warehouse and parking lots, is bordered by Preble, Elm, Kennebec and Lancaster streets in Portland’s Bayside neighborhood. The area has seen considerable investment in recent years, including a recreation center and expanded commercial developments. The property is located across the street from the city-owned vacant lots where the Midtown apartment project has been proposed.

Schlotterbeck & Foss relocated to a bigger facility in Westbrook last year.

The company, founded in 1866, sells its own branded sauces, toppings, dressings, marinades and other specialty food products at Whole Foods, but also creates “co-branded” products for grocery stores, such as the Taste of Inspirations brand at Hannaford Supermarkets.