CapitaLand Ascendas REIT (CLAR) is acquiring a share of a data center in Japan.

The company has also acquired an industrial site in Singapore set to host Keppel's floating data center development.

CapitaLand buys stake in Osaka facility

The company this week announced it is entering Japan through the acquisition of a 49 percent interest in a 40.5MW, Tier III-quality hyperscale data center in Greater Osaka for a purchase consideration of S$620.7 million (US$485.2 million). The deal is set to complete in Q2 2026.

The remaining interest in the data center is held by a fund managed by Mitsui & Co. Realty Management Ltd, a subsidiary of Japan’s leading conglomerate Mitsui & Co. Ltd.

“CLAR’s new expansion into Japan reflects our disciplined approach to scaling and diversifying CLAR’s global data center portfolio across key established digital hubs with strong demand drivers and connectivity. This strategic diversification allows CLAR to tap new opportunities for growth while maintaining the disciplined approach that has always guided our investment and portfolio management,” said William Tay, CEO and executive director of CapitaLand Ascendas REIT Management Limited.

Completed in 2023, the freehold facility is 100 percent occupied by an unnamed blue-chip tenant on a ~14-year lease with built-in annual rent increases of one percent, according to CapitaLand. There is reportedly 5.4MW potential expansion capacity at the 42,998 sqm data center.

The data center will be acquired using proceeds raised through equity fundraising. Upon close, CLAR will own data centers across Singapore, Japan, the UK, the Netherlands, France, and Switzerland.

Full details weren’t shared, but the facility appears to be a visual match to Colt DCS’ facility in Keihanna. Announced in 2021, the facility launched in 2023 as part of a joint venture with Mitsui. That five-story facility is listed as offering 45MW of IT capacity across 42,000 sqm (452,084 sq ft).

CapitaLand acquires Singapore site set to host floating data center

The deal was announced alongside the purchase of 25 Loyang Crescent in Singapore, a cluster of logistics and industrial buildings, for a purchase consideration of S$504.2 million (US$394.2m).

The 165,710 sqm (1.78m sq ft) site was acquired from Toll Offshore Petroleum Services on a sale-leaseback basis. The site includes a four-story logistics building, 13 standalone industrial buildings mainly used for warehousing, terrace workshops, and open yard space.

There is a long-term lease agreement between Toll and an unrelated third party in relation to a floating data center, with an offshore plot leased to an entity to develop a floating data center. That plot was excluded from the sale-leaseback arrangement.

Full details of which company aims to deploy a floating data center weren’t shared in the release, but Keppel is known to be planning a floating data center in Singapore at Toll’s Loyang Offshore Supply Base at 25 Loyang.

Keppel first started exploring the idea of building its own floating data center park (FDCP) in 2019 and secured regulatory approval for the project in 2023.

According to a 2025 Keppel environment report, the proposed modular floating data center development comprises a four-story, 19.2MW waterborne module and shoreside infrastructure, occupying approximately 9,870 sqm (106,240 sq ft) of land and 7,580 sqm (81,590 sq ft) of sea space. It would be cooled via seawater.

CapitaLand Group Pte. Ltd. is a Singaporean-headquartered company focusing on the investment, development, and management of real estate, ultimately owned by Singaporean sovereign wealth fund Temasek Holdings.

CLAR was Singapore’s first and largest listed business space and industrial Real Estate Investment Trust (REIT); it was listed on the Singapore Exchange Securities Trading Limited in November 2002. Today, it owns more than 229 properties; as well as facilities in Singapore, it owns around a dozen data centers across Europe.