Keppel Enters South Korean Data Center Market with Plans for 60MW AI-Ready Facility in Seoul
June 9, 2026
Keppel Enters South Korean Data Center Market with Plans for 60MW AI-Ready Facility in Seoul
Singaporean real estate and infrastructure investor Keppel Ltd. has announced its entry into South Korea’s data center market, securing land in Ansan, a city within the Seoul Metropolitan Area, to develop a 60MW greenfield facility. The move marks a strategic expansion for Keppel, which already operates a portfolio of 39 data centers across Asia Pacific and Europe, representing 800MW in gross capacity.
The project will be undertaken by Keppel Data Centre Fund III (KDCF III), a private fund managed by the company. KDCF III will acquire an approximately 73 percent effective stake in a special purpose vehicle that owns the land, with the remaining 27 percent held by Korean developer Shinyoung, securities firm NH Securities, and construction company Hyundai E&C. This partnership underscores the growing collaboration between international investors and local players in South Korea’s rapidly evolving digital infrastructure landscape.
According to Keppel, construction permits and power approvals have already been secured for the site. The facility is designed as a Tier III, AI-ready data center and is expected to be ready for service by 2030. The company emphasized that the project will cater to the surging demand from cloud service providers and hyperscalers, which has outpaced new supply in the Seoul Metropolitan Area.
“South Korea represents a compelling growth market for digital infrastructure, underpinned by strong demand from cloud service providers and hyperscalers, alongside limited new supply in the Seoul Metropolitan Area,” said Manjot Singh Mann, CEO of Keppel’s Connectivity Division. “Building on Keppel’s established track record in developing and operating data centers for hyperscalers across Asia Pacific and Europe, this project will allow us to leverage our deep technical expertise and operational capabilities to deliver scalable, high-quality, and AI-ready infrastructure solutions that meet the evolving needs of our customers.”
The announcement comes amid a broader wave of data center investment in Ansan. Earlier this week, Asia-Pacific data center firm Digital Edge also disclosed plans to acquire land in the same area for a 60MW facility. Additionally, South Korean internet giant Kakao operates a data center in Ansan that launched in 2024. The clustering of major projects in the region highlights Ansan’s emergence as a strategic hub for digital infrastructure, driven by its proximity to Seoul and access to power and fiber connectivity.
Keppel’s entry into South Korea is expected to intensify competition in a market where international players are increasingly vying for land and power to meet hyperscaler demand. With limited new supply in the Seoul Metropolitan Area and rising AI workloads, the project positions Keppel to capture a share of what industry analysts describe as one of Asia’s most constrained and high-growth data center markets.
Source: datacenterdynamics
