Goodman Group, a leading global specialist in industrial property and digital infrastructure, is expanding its data center capacity in Asia as part of its global strategy in this sector. Goodman entered into agreements to deliver up to 1,000 MW of power in Japan and has started construction on a new 50 MW data center in Tsuen Wan, Hong Kong SAR. The company has also opened a new regional office in Singapore to support its data center growth in Asia.
Past to Present: Data Center Development
Since 2006, Goodman has been actively involved in the development of data centers, successfully delivering 0.6 gigawatts (GW) of data centers and powered sites worldwide in recent years. Its global data center portfolio includes several new data center and technology hubs. With a power bank of 3.7 GW, including completed facilities and potential projects in 12 major international cities, Goodman is well-positioned to meet the growing demand for high-value data center facilities in major Asian cities.
In Japan, Goodman is establishing a new data center campus that will provide 1,000 MW of power. Site preparation and infrastructure works have begun, with the first data center facility expected to be completed in 2026. Goodman has also acquired 45 hectares of land in Tsukuba City and worked with local authorities to unlock its full potential. The Tsukuba campus will be located 50 kilometers from Tokyo and follows Goodman's successful data center projects in Inzai, Chiba.
In Hong Kong, Goodman is converting an existing industrial property in Tsuen Wan into a 50 MW data center facility. The data center market in Hong Kong is experiencing strong demand, and Goodman is capitalizing on this by expanding its data center offerings. With the completion of the Tsuen Wan West campus later this year and the Texaco data center in 2026, Goodman will manage a total of 392 MW of data centers in Hong Kong.
To support its data center strategy, Goodman has opened a regional office in Singapore. Hugh Baggie will lead this initiative as Managing Director of Data Centers for Asia. With over 18 years of real estate and finance experience, Baggie will connect customers and capital partners with Goodman's data center development and delivery capabilities across the region.
Supply and Demand Dynamics Drive Data Center Development
Goodman's focus on the data center sector in Asia is driven by the market's demand and supply dynamics.
On the demand side, the Asia-Pacific region is experiencing a surge in the need for robust and scalable data center infrastructure. Rapid digitalization, the proliferation of e-commerce, the adoption of cloud computing, and the growth of emerging technologies such as artificial intelligence and the Internet of Things (IoT) are key contributors to this heightened demand. Businesses and organizations require advanced data storage and processing capabilities to meet the escalating requirements of a digital economy.
The feasibility and pace of data center construction hinge on the availability and efficiency of the supply chain, encompassing material sourcing, technology procurement, and construction coordination. Delays or inefficiencies in the supply chain can impact project timelines and costs, influencing overall feasibility. Technological advancements play a pivotal role as well, with the supply chain for cutting-edge technologies ensuring data centers are equipped with the latest innovations, enhancing performance and sustainability. Environmental and regulatory considerations are integral, with the supply chain adapting to meet sustainability standards and regulatory compliance for long-term viability. Scalability and flexibility are paramount, requiring an agile and responsive supply chain to address changing market demands, technological shifts, and evolving business strategies during data center construction.
With the necessary capital, land, secured power, and engineering capabilities, Goodman is well-equipped to deliver large-scale, high-value data centers.
