Malaysian real estate developer Sime Darby Property has created a new RM1.25 billion ($307.7 million) real estate fund aimed at investing in build-to-suit-to-lease data centers and industrial and logistics developments.

According to Sime Darby Property, the fund, dubbed the New Economy Venture, achieved 100 percent capital commitment at first close and is backed by a number of institutional investors, including the Employees Provident Fund, Lembaga Tabung Angkatan Tentera, and Great Eastern Life Assurance (Malaysia).

Sime Darby Property is acting as the general partner and sponsor to the fund, committing $123.1 million as co-investor at first close.

The fund has already been used to secure two seed assets in the City of Elmina, a township in Sungai Buloh, Selangor, Malaysia. These assets represent 85 percent of the target fund size and are supposed to be long-term lease arrangements.

Construction has begun on both of these assets, with completion expected in the second half of 2027.

“The launch of the New Economy Venture marks a significant milestone in our transformation journey under the SHIFT32 strategy,” said Dato’ Seri Azmir Merican, group managing director and CEO of Sime Darby Property.

“As general partner and manager to the fund, it will enable Sime Darby Property to diversify its recurring income streams through investment yield and fee-based income from the development of new economy assets such as data centers and warehouses, which are much in demand in the Malaysian real estate market.”

Sime Darby Property’s investment and asset management (IAM) business currently has $1.08bn in assets under management, which the company said is supported by a long-term hyperscale data center lease that began operation in April 2026.

Sime Darby Property has leased land to Google since 2024 for the development and operation of two data centers.

Sime Darby Property has existed for 50 years, originally focusing on planning townships and communities in Malaysia. The company claims to have built more than 100,000 homes across 25 active townships and developments.

While the company is continuing with these developments, its IAM business is focused on “long-term value creation through strategic asset ownership and management.”

As part of its “SHIFT32” strategy, the developer is working toward transitioning from its roots as a property developer into a diversified real estate company with recurring income streams.