Keppel enters South Korea data centre market with planned 60MW facility
The SMA data centre landscape supplies a compelling entry factor for Keppel, observes Lee Hui Fang, primary financial investment police officer for data hubs at Keppel. “By acquiring limited power in a shovel-ready location, we are building on our deep capacities in information centre fund monitoring and development to capture the complete upside of Korea’s digital change,” she includes.
KDCF III will acquire a 73% reliable risk in a special function vehicle that owns the land. The lasting 27% is contained by a range of South Korean firms, consisting of developer Shinyoung, financial solutions firm NH Securities and construction company Hyundai E&C.
The future center on the site will be an AI-ready data center, stated Keppel in a June 9 launch. Built with Tier III-equivalent specs, the information centre are going to be primed to serve hyperscalers, cloud service providers and corporates.
Singapore-based asset manager Keppel has released that its exclusive fund, Keppel Data Centre Fund III (KDCF III), has recently obtained a land plot in Ansan, within the Seoul Metropolitan Area (SMA) in South Korea. The site is going to be used to create a 60MW greenfield information centre, noting the firm’s first foray into South Korea’s information facility market.
Construction authorizations and power authorizations have been protected for the site, with the information center targeted to be operational by 2030.
The Ansan center will sign up with Keppel’s occurring profile of 39 information centres, which had a total gross power capacity of over 800MW as at the end of 2025. The project also notes the second investment by KDCF III, whose fund under management has developed to approximately $2.7 billion as of completion of 2025.
Simultaneously, new information centre supply in the SMA is restricted as regulating requirements and power restrictions have stopped new developments. March data from JLL indicates that the SMA data center market has a vacancy price of simply 1.4%, while the entire supply pipeline across 2025 to 2027 has already been totally pre-leased.
The South Korean information center industry is developing quickly, stated Keppel, sustained by cloud migration, AI adoption and the nation’s aspiration to come to be an international AI giant. In the SMA, information centre power demand is anticipated to hit 2.3 GW by 2030, driven by need from the two international and local firms.
