Goodman Group and CPP Investments Launch €8 Billion European Data Center Venture

Goodman Group and CPP Investments Launch €8 Billion European Data Center Venture December 23, 2025 In a major move to capitalize on the surging demand for digital infrastructure in Europe, Australian property developer Goodman Group and Canada Pension Plan Investment Board (CPP Investments) have formed a joint venture with a total investment capacity of €8 billion (US$9.4 billion). The partnership underscores the intense competition and capital influx into the continent's key data center markets, driven by the exponential growth of cloud computing and artificial intelligence workloads. The two entities announced the establishment of the Goodman European Data Centre Development Partnership, a 50/50 venture that will initially commit €2.2 billion (US$2.59 billion). The platform will develop a portfolio of four hyperscale data center projects across Europe's premier FLAP markets—Frankfurt, Amsterdam, and Paris. The combined portfolio is slated to deliver 435MW of primary power capacity, supporting an IT load of 282MW. The specific projects include two facilities in Paris (PAR01 and PAR02), one in Frankfurt (FRA02), and one in Amsterdam (AMS01). Max Biagosch, Senior Managing Director and Global Head of Real Assets at CPP Investments, highlighted the strategic rationale behind the deal. "We are pleased to expand our longstanding partnership with Goodman Group and establish a strong European foothold in the data center sector across key Tier 1 markets," he said. "By combining Goodman’s extensive development capabilities and powered landbank with our global expertise in digital infrastructure investments, this partnership allows us to capitalise on a compelling growth opportunity for the long-term benefit of CPP contributors and beneficiaries." The partners noted that all sites have secured critical power connections and planning permits, with site infrastructure works already substantially advanced. This preparatory work is expected to enable the commencement of construction by June 30, 2026. The transaction is proceeding on a phased basis and is anticipated to be completed by March 2026, pending the satisfaction of customary closing conditions. Goodman Group CEO Greg Goodman emphasized the rarity and strategic value of the portfolio. "A portfolio of this size and quality – located in Europe’s FLAP markets – is rare. These powered locations are highly sought after to meet the rapidly growing requirement for cloud computing and AI adoption, particularly when they offer speed to market and delivery certainty," Goodman stated. "The quality and scale of this partnership make it ideal for our long-term relationship with CPP Investments." The venture marks CPP Investments' formal entry into the European data center market and represents a significant expansion of its global digital infrastructure strategy, which includes prior investments in South Korea, Canada, and several Asia-Pacific regions. For Goodman Group, this deal accelerates its transformation from a traditional industrial property firm into a major player in the data center development sector, building on its existing projects in markets like Hong Kong, Australia, Germany, and the United States. Source: datacenterdynamics