Keppel enters South Korea data centre market with planned 60MW facility
The SMA data center landscape offers a compelling entry factor for Keppel, observes Lee Hui Fang, chief financial investment policeman for information facilities at Keppel. “By acquiring limited power in a shovel-ready site, we are improving our deep capacities in data centre fund monitoring and growth to record the full upside of Korea’s electronic improvement,” she includes.
The South Korean data centre industry is expanding rapidly, claimed Keppel, backed by cloud migration, AI adoption and the nation’s aspiration to become a global AI powerhouse. In the SMA, information center strength demand is anticipated to hit 2.3 GW by 2030, steered by demand from the two overseas and local firms.
Singapore-based asset manager Keppel has reported that its private fund, Keppel Data Centre Fund III (KDCF III), has acquired a property plot in Ansan, within the Seoul Metropolitan Area (SMA) in South Korea. The site will be used to create a 60MW greenfield data centre, marking the company’s initial venture into South Korea’s data center market.
At the same time, new data centre supply in the SMA is restricted as regulating requirements and power restrictions have curtailed brand-new advancements. March data from JLL indicates that the SMA data center industry has a vacancy price of simply 1.4%, whilst the entire supply pipe across 2025 to 2027 has currently been fully pre-leased.
KDCF III will acquire a 73% efficient stake in an exclusive function vehicle that owns the land. The lasting 27% is held by a range of South Korean firms, consisting of developer Shinyoung, financial services firm NH Securities and construction business Hyundai E&C.
Construction licenses and power approvals have actually been protected for the site, with the data centre targeted to be functional by 2030.
The future facility on the site will be an AI-ready data center, claimed Keppel in a June 9 launch. Built with Tier III-equivalent requirements, the data centre will be keyed to serve hyperscalers, cloud service providers and corporates.
The Ansan facility are going to sign up with Keppel’s existing profile of 39 information centers, which had a complete gross power capacity of over 800MW as by the end of 2025. The plan even notes the second investment by KDCF III, whose fund under management has actually grown to somewhere around $2.7 billion as of completion of 2025.
