CapitaLand Completes Acquisition of Data Center Facility in UK for SGD 200M

CapitaLand Ascendas REIT Management Limited, the manager of CapitaLand Ascendas REIT (CLAR), has completed the acquisition of a high-specification Tier III colocation data centre facility in the United Kingdom from an unrelated global data centre operator for SGD 200 million ($147.49 million).

CapitaLand said in a statement that the property, located in Watford, North-West London, will allow the company to capitalize on the growing demand for cloud and digital services in the United Kingdom while also expanding the company's data centre footprint in Europe.

"As demand for cloud and digital services continues to rise, we are capitalizing on favorable market dynamics to significantly scale up our presence in the data centre sector," said William Tay, Chief Executive Officer and Executive Director of CapitaLand Ascendas REIT Management.

According to him, London is one of the top three global data centre markets and the largest colocation data centre market in Europe.

As a result, he sees this acquisition as complementing the firm's data centres in and around London, deepening and increasing its data centre investments in the United Kingdom by 54% to SGD 569.8 million ($419.93 million), and increasing the firm's exposure to 96 percent of its investments in the United Kingdom.