This acquisition aligns with Keppel's recent announcement regarding its strategic plan to substantially increase its data center assets under management. The company aims to expand its portfolio from S$9 billion (approximately $6.84 billion) to S$19 billion in the near future. This expansion is driven by the rapidly growing demand for AI infrastructure.
Mitsui Fudosan will be responsible for constructing the core and shell of the data centre, while Keppel's private fund will manage the interior fit-out, as stated by the Singaporean firm.
Keppel also indicated that it will serve as the facility manager once the data centre is operational in 2027, contributing to its recurring revenue stream.
Christina Tan, Keppel's chief investment officer and CEO of fund management, expressed enthusiasm about collaborating more closely with Mitsui Fudosan to enhance the quality of assets for the forthcoming Keppel Data Centre Fund III.
In an email response to Reuters, the company noted that it could not disclose specific financial details regarding the transaction due to confidentiality agreements.