Stockland and Fife Capital Propose Major 168MW Data Center Development in Western Sydney

Stockland and Fife Capital Propose Major 168MW Data Center Development in Western Sydney

April 6, 2026

A significant new data center project is on the horizon for Sydney's rapidly expanding digital infrastructure landscape. A joint development application has been submitted to the New South Wales government, signaling a major investment into the region's capacity to support growing cloud, AI, and enterprise computing demands. The proposed facility underscores the intense competition and capital influx characterizing the Asia-Pacific data center market, where Sydney remains a primary hub.

The application, filed under the State Environmental Planning Policy by a partnership between real estate giant Stockland and investment firm Fife Capital, seeks approval to construct a large-scale data center at 90 Aldington Road in Kemps Creek, located in Western Sydney. The project plans to develop a currently vacant 92,400-square-meter plot of land adjacent to existing industrial facilities.

The core facility is designed to house a dozen data halls, each with a capacity of 14MW, culminating in a total IT load of 168MW. To support this substantial power requirement and future growth in the surrounding industrial park, the plans also include the development of a dedicated 1GW electrical substation. The data center itself is slated to incorporate direct-to-chip liquid cooling technology, an advanced solution for managing the heat generated by high-density computing, often associated with AI workloads. The total investment for the project is estimated to reach up to AU$3.94 billion (US$2.7 billion).

Fife Capital, an alternative investment manager founded in Sydney, brings experience in logistics and mixed-use developments to the partnership. Stockland, one of Australia's largest diversified property groups with a portfolio valued at AU$10.6 billion, has been actively expanding its data center footprint. This move follows its recent partnership with EdgeConneX for a development in Sydney's Macquarie Park area, indicating a strategic pivot towards digital infrastructure as a core growth sector.

The proposed Kemps Creek development, if approved, would significantly bolster Sydney's data center inventory and reinforce its position as a critical node in the Asia-Pacific region. The scale of the project, its focus on advanced cooling, and the accompanying grid infrastructure investment highlight the industry's shift towards building large, power-intensive, and efficient facilities capable of supporting next-generation technologies. This project represents a substantial commitment to meeting the forecasted surge in data processing and storage needs from both domestic and international enterprises.

Source: datacenterdynamics

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