Keppel enters South Korea data centre market with planned 60MW facility
Singapore-based asset manager Keppel has released that its private fund, Keppel Data Centre Fund III (KDCF III), has obtained a land plot in Ansan, inside the Seoul Metropolitan Area (SMA) in South Korea. The site will be used to establish a 60MW greenfield data facility, marking the business’s first foray right into South Korea’s information center market.
At the same time, brand-new information hub supply in the SMA is restricted as regulatory requirements and power restrictions have curtailed new developments. March information from JLL shows that the SMA data centre market has a vacancy rate of simply 1.4%, whilst the whole supply pipeline throughout 2025 to 2027 has currently been totally pre-leased.
Construction permits and power approvals have been secured for the site, with the information center intended to be operational by 2030.
The South Korean information center market is expanding swiftly, said Keppel, backed by cloud migration, AI adoption and the country’s aspiration to become an international AI powerhouse. In the SMA, information centre power need is anticipated to hit 2.3 GW by 2030, driven by need from the two overseas and domestic companies.
The future center on the site will be an AI-ready data center, claimed Keppel in a June 9 release. Built with Tier III-equivalent specs, the data centre will be topped to serve hyperscalers, cloud service providers and corporates.
The Ansan facility are going to sign up with Keppel’s standing portfolio of 39 data facilities, which had an overall gross power capacity of over 800MW as by the end of 2025. The project also notes the 2nd financial investment by KDCF III, whose fund under management has actually expanded to about $2.7 billion since completion of 2025.
KDCF III will certainly obtain a 73% efficient stake in a special purpose vehicle that operates the land. The standing 27% is held by a range of South Korean firms, including developer Shinyoung, financial services firm NH Securities and construction business Hyundai E&C.
The SMA information center landscape uses a compelling entry factor for Keppel, observes Lee Hui Fang, chief investment police officer for data centres at Keppel. “By getting limited power in a shovel-ready location, we are building on our deep abilities in data centre fund regulation and advancement to record the full upside of Korea’s electronic transformation,” she adds.
