Keppel enters South Korea data centre market with planned 60MW facility
The future facility on the site will be an AI-ready information center, said Keppel in a June 9 release. Constructed with Tier III-equivalent specs, the data centre will be topped to offer hyperscalers, cloud service providers and corporates.
The SMA information center landscape uses a compelling entry factor for Keppel, observes Lee Hui Fang, primary investment policeman for information hubs at Keppel. “By getting scarce power in a shovel-ready location, we are improving our deep abilities in information centre fund monitoring and development to record the complete upside of Korea’s electronic change,” she includes.
Simultaneously, new information centre supply in the SMA is restricted as regulating requirements and power restraints have actually stopped brand-new growths. March information from JLL suggests that the SMA data center industry has a vacancy price of just 1.4%, while the whole supply pipeline throughout 2025 to 2027 has already been completely pre-leased.
KDCF III will certainly get a 73% reliable stake in a significant purpose vehicle that possesses the land. The lasting 27% is contained by a range of South Korean business, including developer Shinyoung, financial services firm NH Securities and construction business Hyundai E&C.
Construction permits and power approvals have actually been protected for the site, with the data centre intended to be working by 2030.
The South Korean information centre market is developing quickly, said Keppel, sustained by cloud move, AI adoption and the country’s ambition to become a worldwide AI giant. In the SMA, information centre power need is expected to hit 2.3 GW by 2030, steered by demand from both worldwide and domestic business.
The Ansan facility are going to join Keppel’s standing profile of 39 data centers, which had a total gross power capacity of over 800MW as by the end of 2025. The project additionally marks the 2nd investment by KDCF III, whose fund under supervision has actually increased to roughly $2.7 billion since the end of 2025.
Singapore-based asset supervisor Keppel has announced that its private fund, Keppel Data Centre Fund III (KDCF III), has acquired a land plot in Ansan, within the Seoul Metropolitan Area (SMA) in South Korea. The site will be utilized to develop a 60MW greenfield data center, noting the company’s very first foray into South Korea’s data facility market.
