DayOne to Acquire Johor Data Centre Site from Paragon Globe for $96 Million
June 24, 2026
DayOne to Acquire Johor Data Centre Site from Paragon Globe for $96 Million
DayOne Data Centres, a Singapore-based digital infrastructure platform backed by regional investors, has agreed to purchase a development site in Johor, Malaysia, from Paragon Globe Berhad for approximately $96 million. The transaction underscores the accelerating demand for data centre capacity in Southeast Asia, particularly in Johor, which has emerged as a key hub for hyperscale cloud providers and enterprises seeking alternatives to Singapore’s constrained market.
The site, located in the Iskandar Puteri region of Johor, spans approximately 8.9 acres and is slated for the development of a large-scale data centre facility. DayOne plans to build a campus with a total power capacity of up to 60 megawatts, positioning it to serve both local and international clients requiring high-density compute and storage infrastructure. The acquisition price reflects the growing premium on land parcels suitable for data centre development in the region, where demand from global technology firms has intensified over the past two years.
Paragon Globe, a Malaysian property developer, had previously earmarked the land for mixed-use development but pivoted to data centre use amid rising interest from digital infrastructure investors. The deal is expected to close within the next quarter, subject to regulatory approvals. Industry analysts note that Johor’s proximity to Singapore, combined with its abundant land supply and competitive energy costs, has made it a preferred location for data centre expansion. The transaction also highlights the increasing role of Malaysian real estate firms in facilitating the region’s digital transformation by repurposing land for high-value technology assets.
The broader implications for the data centre sector are significant. As hyperscalers like Amazon Web Services, Google, and Microsoft continue to expand their presence in Asia, secondary markets such as Johor are absorbing spillover demand from Singapore, where moratoriums on new data centre builds have only recently been eased. DayOne’s investment signals confidence in the long-term viability of Johor as a data centre hub, potentially attracting further capital inflows from institutional investors and infrastructure funds. The project is expected to create hundreds of construction and operational jobs, contributing to the local economy while supporting the region’s digital infrastructure goals.
Source: mingtiandi
