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, primary financial investment officer for data facilities at Keppel. “By securing scarce power in a shovel-ready site, we are building on our deep capabilities in information centre fund management and growth to capture the complete upside of Korea’s digital transformation,” she includes.
KDCF III will get a 73% reliable risk in an exclusive objective mechanism that owns the land. The lasting 27% is held by a consortium of South Korean firms, including developer Shinyoung, financial solutions firm NH Securities and construction enterprise Hyundai E&C.
The future facility on the site will be an AI-ready data centre, claimed Keppel in a June 9 release. Constructed with Tier III-equivalent requirements, the information centre will be topped to serve hyperscalers, cloud service providers and corporates.
Additionally, new data hub source in the SMA is restricted as regulating requirements and power restrictions have actually curtailed new advancements. March data from JLL suggests that the SMA data centre industry has a vacancy price of simply 1.4%, whilst the whole supply pipe across 2025 to 2027 has actually already been fully pre-leased.
Construction licenses and power authorizations have been obtained for the site, with the data facility intended to be functional by 2030.
The Ansan facility are going to join Keppel’s occurring portfolio of 39 information facilities, which had a complete gross power capacity of over 800MW as by the end of 2025. The plan additionally marks the second investment by KDCF III, whose fund under management has actually increased to roughly $2.7 billion as of completion of 2025.
Singapore-based asset manager Keppel has reported that its private budget, Keppel Data Centre Fund III (KDCF III), has already gotten a property plot in Ansan, inside the Seoul Metropolitan Area (SMA) in South Korea. The site is going to be utilized to establish a 60MW greenfield information facility, marking the business’s first foray into South Korea’s data center market.
The South Korean data centre market is growing quickly, claimed Keppel, supported by cloud move, AI adoption and the country’s aspiration to become a global AI giant. In the SMA, data center strength need is expected to hit 2.3 GW by 2030, generated by need from both overseas and local companies.
