SET-listed property firm Singha Estate Plc will invest 3.7 billion baht to develop a commercial property project on a leasehold seven-rai plot on Vibhavadi Rangsit Road to capitalise on office demand at the location.

The project, named Oasis, is to have 36 storeys and a total lettable area of 53,000 square metres, comprising office space and retail area. Construction is scheduled to start early next year and take around three years to complete.

Yesterday Singha Estate reported to the Stock Exchange that the are has high potential because of limited supply and rising demand for office space. The location is also near an expressway, subway and skytrain stations.

Oasis will be the fourth commercial property Singha Estate has invested in since it making a backdoor listing through Rasa Property Development four years ago. The earlier three projects have a total lettable area of 122,608 sq m.

They include The Lighthouse on Charoen Nakhon Road, developed by Rasa, with a lettable area of 3,201 sq m and an occupancy of 85%. The second was Suntowers on Vibhavadi Rangsit Road, which it spent 4.5 billion baht to acquire in 2015. It has a lettable area of 61,132 sq m and an occupancy of 94%.

Singha Complex is the third project, and was completed last month. It is a mixed-use development with a lettable area of 58,174 sq m, 30% of which has been pre-leased.

Chief executive Naris Cheyklin said about 10,000 sq m at Singha Complex is used by Boon Rawd Brewery Co, the parent company of Singha Estate, which relocated its headquarters from Sam Sen area on Sep 10.

Singha Complex will also have luxury condominium The ESSE at Singha Complex with 319 units worth 4.3 billion baht, which was 91% sold. Construction will be completed by the third quarter next year.

"We will scale up our investment next year with 8 billion baht for approximately four plots, up from 6 billion baht we set for this year," he said.

Singha Estate has five residential projects worth a combined 23 billion baht under development in either the luxury or super-luxury segment. Four are condo projects under Esse and Eyse brands.

The Esse Asoke, worth 4.9 billion baht, is 84% sold, and The Esse at Singha Complex is Singha Estate's own developments.

The Esse Sukhumvit 36, worth 6.4 billion baht, is a joint venture with Hong Kong-based property investment group Hongkong Land. Since launching last year, 56% of units have been sold.

Singha Estate last month signed a joint venture agreement with Daiwa House Industry, one of Japan's largest home construction firms, to develop Eyse Sukhumvit 43, a low-rise condo project worth 2 billion baht on Sukhumvit Soi 43.

The company yesterday also reported to the SET that it would enter into a marketing support service agreement between Dream Islands Development 2 Private Limited, one of the company's subsidiaries and Dream Islands Development Private Limited.

The latter is a subsidiary of Singha Property Management (SPM), which indirectly holds 95% of shares of Dream Islands Development Private Limited through Singha Property Management Singapore (SPM SG) and other companies in its group.

SPM directly and indirectly holds 37.26% of total issued and fully paid-up shares of Singha Estate. Both SPM and SPM SG are subsidiaries of Boonrawd Brewery Co.

S shares closed yesterday on the SET at 3.86 baht, up 24 satang, in trade worth 280 million baht.