Australian Data Center Firm NextDC Acquires 169 Hectares Near Melbourne for AU$165 Million
June 25, 2026
Australian Data Center Firm NextDC Acquires 169 Hectares Near Melbourne for AU$165 Million
Australian data center operator NextDC has made a significant land acquisition outside Melbourne, purchasing 169 hectares of land for AU$165 million (approximately US$107 million). The deal underscores the accelerating demand for digital infrastructure in Australia, driven by the rapid expansion of cloud computing and artificial intelligence services.
The site, located in the municipality of Melton, about 40 kilometers west of Melbourne’s central business district, is expected to support the development of a large-scale data center campus. NextDC plans to use the land to build multiple facilities that will provide critical capacity for hyperscale cloud providers and enterprise customers seeking low-latency connectivity and high-density computing environments.
This acquisition marks one of the largest single land purchases by an Australian data center company in recent years. The total investment, including land costs and future construction, is expected to run into the billions of dollars as NextDC expands its footprint to meet surging demand. The company noted that the location offers access to robust power infrastructure and fiber connectivity, both essential for large-scale data center operations.
“Melbourne is one of Australia’s most important data center markets, and this acquisition positions us to support the next wave of digital growth,” a NextDC spokesperson said. The company emphasized that the site’s size and location will allow for phased development, ensuring scalability and flexibility to adapt to evolving customer requirements.
The deal reflects broader trends in the Asia-Pacific data center market, where land and power constraints in major urban centers are pushing operators to acquire larger parcels in suburban or regional areas. Industry analysts note that such strategic land banking is becoming increasingly critical as hyperscale providers demand campuses with capacity exceeding 100 megawatts. NextDC’s move is likely to intensify competition among local and international players vying for prime development sites in the region.
Source: datacenterdynamics