Keppel enters South Korea data centre market with planned 60MW facility
Construction licenses and power authorizations have actually been obtained for the site, with the data centre intended to be operational by 2030.
Singapore-based asset manager Keppel has announced 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 will be used to establish a 60MW greenfield data center, noting the firm’s initial foray right into South Korea’s data centre market.
Simultaneously, new information centre supply in the SMA is limited as regulating requirements and power constraints have cut new growths. March data from JLL suggests that the SMA data center market has a vacancy rate of just 1.4%, whilst the whole supply pipeline throughout 2025 to 2027 has actually already been fully pre-leased.
KDCF III will get a 73% reliable stake in a special objective mechanism 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 firm Hyundai E&C.
The South Korean information centre market is expanding quickly, claimed Keppel, sustained by cloud shift, AI adoption and the nation’s passion to come to be a global AI powerhouse. In the SMA, data center strength need is anticipated to strike 2.3 GW by 2030, generated by need from the two international and local companies.
The future facility on the site will be an AI-ready information centre, stated Keppel in a June 9 release. Built with Tier III-equivalent requirements, the information centre are going to be keyed to serve hyperscalers, cloud service providers and corporates.
The SMA data centre landscape provides a compelling entry point for Keppel, observes Lee Hui Fang, primary investment officer for data centres at Keppel. “By getting limited power in a shovel-ready location, we are improving our deep capabilities in information centre fund management and advancement to capture the complete upside of Korea’s digital improvement,” she adds.
The Ansan center will sign up with Keppel’s standing portfolio of 39 data centers, which had a complete gross power capacity of over 800MW as at the end of 2025. The project also notes the second financial investment by KDCF III, whose fund under management has increased to about $2.7 billion since completion of 2025.
