DayOne Data Centers Acquires 65 Acres in Johor for US$100 Million to Build New Facility

DayOne Data Centers has agreed to acquire approximately 65 acres of land in Johor, Malaysia, for US$100 million, as the company moves to expand its footprint in one of Southeast Asia's fastest-growing data center markets. The transaction underscores the sustained investor appetite for land and infrastructure in the Johor region, which has emerged as a key hub for hyperscale and enterprise computing capacity serving Singapore and the broader region.

The seller, Paragon Globe Bhd, has received shareholder approval for the land sale, clearing a key condition for the deal to proceed. DayOne Data Centers intends to develop a new data center on the acquired site, though the company has not disclosed the planned capacity or construction timeline for the facility. The transaction is expected to be completed in the second half of 2027, according to the announcement.

The acquisition reflects the broader race among data center operators to secure land in Johor, where proximity to Singapore, available power and relatively lower costs have attracted billions of dollars in development. Johor has become a focal point for operators seeking to serve Singapore's constrained market while capturing demand from cloud providers and AI-driven workloads across Southeast Asia. For DayOne, the purchase represents a long-term bet on the region's digital infrastructure needs, with the land bank positioning the company to scale capacity as demand materializes.

The deal's completion in the second half of 2027 will be closely watched by industry participants assessing the pace of new supply entering the Johor market, where several large-scale projects are already under development. Securing shareholder approval from Paragon Globe removes a significant procedural hurdle, though the transaction remains subject to customary closing conditions.