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Northeast Asia News

Lendlease begins construction of 100 MW Data Centre campus in Japan for Princeton Digital Group

Artist’s impression of the data centre in Saitama

Lendlease and Princeton Digital Group (PDG) today marked the commencement of construction of a 100 MW data centre campus, which would meet the hyperscale requirments of the world’s large cloud, commerce and content companies.

This was marked with a groundbreaking ceremony in Saitama City, north of Tokyo. Last year in June, PDG announced its plan to build one of the largest hyperscale facilities in Tokyo with a total investment value of USD 1 billion.

Also, this is the first project under Lendlease Data Centre Partners, the companies said in a statement.

Hyperscaler’s needs

Lendlease is developing and constructing the core and shell on a built-to-suit basis for PDG, on a long-term lease. PDG will invest in and operate the data centre with its mechanical and electrical equipment.

The gross development value of the project post completion of all phases will be in excess of A$800 million for Lendlease, while PDG is investing US$1 billion of capital in this new data centre. Located in Saitama City, 30 km north of central Tokyo, the facility is sited on approximately 33,000 sqm of land in one of the major commercial centres in the Greater Tokyo area.

Andrew Gauci, Managing Director of Japan & Head of Telecoms and Data Infrastructure Asia said:

“We are excited to commence construction of our first data centre project under Lendlease Data Centre Partners, for a Pan-Asia market leader like PDG. This contributes to the Japanese government’s plans to increase data capability in the country and improve digital resilience. Data centres is also a key sector for Lendlease and we look forward to accelerating our growth in the data infrastructure sector across our strategic markets.”

The phased development is planned to deliver more than 60,000 sqm of gross floor area and close to 100 MW of IT capacity. Japan is the second largest data centre market in Asia.

From left to right: Andrew Gauci, Lendlease Managing Director of Japan & Head of Telecoms and Data Infrastructure Asia; Rangu Salgame, Princeton Digital Group Chairman & CEO; Justin Gabbani, Lendlease Chief Executive Officer Asia; and, Varoon Raghavan, Princeton Digital Group Chief Operating Officer

Japan and Greater Tokyo are still in the early stages of growth, particularly in terms of entry and expansion of global hyperscalers. The new facility will be built to the latest hyperscale design and standards, offering enhanced scalability, connectivity and reliability. Rangu Salgame, Chairman and CEO of Princeton Digital Group said:

“Today marks an important milestone in PDG’s plans in Japan, which is an important and strategic market for our customers. The on-time commencement of construction is a validation of our approach of adopting the right model for each market such as working with leading developers like Lendlease for this project. Our continued track record of delivering on our commitments is a key factor in why PDG is a partner of choice for hyperscalers across the region.”

Kajima Corporation has been appointed as contractor and Nikken Sekkei Ltd designer. This phase will be completed in 2024.

In April this year, PDG announced a collaboration with Indonesia’s APJII to improve the strength of their network infrastructure. Additionally, in February this year, PDG announced a $500 million investment from Mubadala Investment Company, Warburg Pincus and Ontario Teachers’ Pension Plan Board.

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  • June 13, 2022
Author Info - W.Media
Venkatesh Ganesh
Venkatesh Ganesh
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