Canada Pension Plan Investment Board (CPP Investments) and Pacific Asset Management Company have teamed up to develop a KRW200bn (€145.8m) data centre in South Korea.
CPP Investments and an unnamed fund managed by Pacific will commit KRW137bn in equity for the Jukjeon Data Centre project, with CPP Investments allocating KRW126bn.
CPP Investments said other investors in the joint venture include Dreammark 1, GS Retail, and Shinhan Investment Corporation.
The Jukjeon Data Centre project is located in the eastern part of the Seoul metropolitan area.
Gilles Chow, managing director, head of real estate North Asia at CPP Investments, said: “Demand for data centres in Asia Pacific continues to grow and is boosted further by the COVID-19 pandemic. Companies in South Korea are in need of digital infrastructure as the country is emerging as a technology and innovation hub in the region.
“This joint venture combines the strength of each partner to provide a best-in-class data centre for tenants, and represents a significant investment opportunity for CPP Investments as we continue to expand our real estate portfolio in the region.”
To read the latest edition of the latest IPE Real Assets magazine click here.