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Malaysian property developer Mah Sing sells Selangor land to DayOne for data center development

By: IDCNOVARegion: Southeast Asia
Malaysian property developer Mah Sing has agreed to sell a parcel of land in Selangor to DayOne, a data center developer focused on the Asia-Pacific region, as the latter continues to expand its landholdings across the region.

In a stock exchange announcement this week, Mah Sing said its wholly owned subsidiary, Southville City Sdn Bhd (SVCSB), entered into a conditional Sale and Purchase Agreement (SPA) with WG Malaysia X Sdn Bhd for the sale of 78.80 acres of freehold land located in the Southville City township in Mukim Dengkil, Daerah Sepang, a district south of Kuala Lumpur.

The transaction is valued at RM617.8 million ($152.8 million) in cash. The land is currently vacant, and the buyer intends to develop it into a data center. The deal is expected to close in the second half of 2027.

Selangor, a western state on Peninsular Malaysia, encompasses the Klang Valley, which is Malaysia's second-largest data center market by capacity and a key colocation hub. The sale underscores the continued demand for land suitable for digital infrastructure development in the country's prime data center corridors.

WG Malaysia X Sdn Bhd is a subsidiary of DayOne Data Hub II Sdn Bhd. DayOne, which was spun out of Chinese data center firm GDS in 2025, has been aggressively building its regional footprint. The company's portfolio currently includes more than 500MW of data center capacity in service and under construction, with an additional 500MW held for future development across sites in Hong Kong, Singapore, Malaysia (Johor), Indonesia (Batam), and Japan (Tokyo).

In recent months, DayOne broke ground on new sites in Thailand and Singapore, and in August it made its first move beyond Asia by announcing a campus in Lahti, Finland. Earlier this year, the company also acquired 65 acres of land in Johor from Malaysian property group Paragon Globe.

Mah Sing, founded as a plastics manufacturer in the 1960s, entered property development in 1994 and now manages 58 projects spanning more than 5,300 acres, including residential, township, office, retail, and industrial developments. The company had previously been linked to data center development at Southville City, with Bridge DC having planned a facility on the site before backing out.

The sale reflects a broader trend of Malaysian property developers monetizing land assets to meet rising demand from data center operators, particularly in states like Selangor and Johor that offer proximity to major urban centers, robust infrastructure, and access to international connectivity.