Actis JV to Develop $315M Seoul Data Center
- Sep 28, 2020
A partnership between Actis and GS E&C, the construction arm of GS Group, will develop and operate a new, 21 MW data center in Seoul, South Korea. Actis holds a 75 percent stake in the partnership. The joint venture will invest $315 million in the development.
The new facility marks GS E&C 10th data center project. Plans call for the construction of an eight-story building in the Pyeongchon Cluster, which has the highest presence of cloud service providers in the city. The property will be developed to Tier III standards and house 1,600 high-density racks for CSP clients and 400 low-density racks for co-location customers.
Seoul has one of the highest percentages of smartphone penetration in the world, at 95 percent, and has seen mobile data traffic increase 26 times over the past eight years. The city has a high rate of data consumption, but providers face difficulties in meeting demand as fewer than five largescale, non-owner occupied facilities are available in the metro, according to Brian Chinappi, Actis’ head of Asia real estate.
The new development underpins Actis’ ongoing expansion plans in the digital infrastructure segment—in China, the company launched Chayora Holdings, a data center platform that will develop facilities for the country’s Tier I markets. Additionally, earlier this year, Actis inaugurated a $250 million pan-African data center platform, which kicked off with an investment in Rack Centre in Lagos, Nigeria.
In June, another data center broke ground in South Korea—Digital Realty Trust started development work on Digital Seoul 1, its first facility in the country. The 162,000-square-foot building will provide 12 MW of IT capacity and house up to 2,200 cabinets.