Keppel has acquired a data center in Tokyo, Japan. Keppel DC REIT Management Pte. Ltd, manager of Keppel DC REIT, and Keppel Ltd. announced this week that the companies have entered into an agreement to acquire a 100 percent interest in a shell and core data center located in Tokyo for JPY 23.4 billion ($144.8m)
Keppel DC REIT will have a 98.47 percent interest in the property, while the remaining 1.53 percent will be held by Keppel. Funded by debt, the deal is expected to close in Q3 2024 and marks Keppel DC REIT’s entry into Japan. The freehold multi-story property, named Tokyo Data Centre 1, was completed in 2019 with a net lettable area of 190,165 sq ft (17,665 sqm). It is master leased on a triple-net basis to a Fortune Global 500 company and hyperscaler with seven years remaining on the lease term.
Loh Hwee Long, CEO of Keppel DC REIT Management, said: “Our first acquisition in Japan, one of the largest and fastest growing data center markets in Asia, demonstrates our ability to acquire quality assets in key data center hubs. Japan is a core market and the addition of Tokyo Data Centre 1 will further strengthen our portfolio’s geographical, as well as income diversification.
