On Tuesday, Singapore’s Keppel announced an agreement to acquire an AI-ready data centre facility in Tokyo under development by Japan’s largest property group, Mitsui Fudosan. This deal follows Keppel’s announcement less than two weeks ago of its intention to more than double its data centre assets under management from the current $9 billion to $19 billion shortly, aiming to capitalise on the growing demand for AI-driven infrastructure.
Kepple, on their official website, mentioned, “Keppel Ltd. (Keppel) is pleased to announce that its private fund, Keppel Data Centre Fund II (KDCF II), has entered into a sale and purchase agreement with Mitsui Fudosan Co. Ltd. (Mitsui Fudosan) for the forward purchase of Keppel Data Centre Tokyo 2 (Keppel DC Tokyo 2), an AI-ready data centre facility that is currently being developed by Mitsui Fudosan in Japan.”
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The project represents Keppel’s first data centre development in Japan and its second data centre asset in the country, following the recent acquisition of an operational facility in Tokyo in collaboration with Keppel DC Reit.
What Do We Know?
According to the Straits Times, Kepple will be doing the fit-out work, while the Japanese company Mitsui Fudosan will be developing the data centre’s core and shell by 2027. Moreover, the Singapore-based company will act as the facility manager, adding to their recurring revenue.
However, the financial terms and location of the project are hidden from the public eye. According to a few Japanese outlets, the data centre is anticipated to be located on the former site of Polytechnic University’s Sagamihara campus.
The data centre, dubbed Keppel DC Tokyo 2, will be built on more than 300,000 sq ft of gross floor area as stated by the real estate investment platform Mingtiandi.
