,Singapore

Keppel DC REIT expands to Australia through new data centre

It will spend $26.3m to $36.41m on the construction.

Keppel DC REIT will be expanding in Australia through a new shell and core data centre which will be built on the vacant land within the Macquarie Business Park precinct in Sydney, it said in an announcement.

Macquarie Telecom, the master lessee of the existing shell and core data centre called Intellicentre 2 Data Centre (IC2 DC), will be the developer. It will also be the master lessee of the data centre when completed.

The expansion to the Macquarie Telecom data centre campus will be named Intellicentre 3 East Data Centre (IC3 East DC) and will feature a minimum of 86,000 sqft of lettable area upon its completion, which is expected to be between 2019 and 2020.

Keppel DC REIT will make a payment based on the actual total costs of construction works, within a range of $26.3m to $36.41m (A$26m to A$36m), to be payable to Macquarie Telecom only on completion.

Upon the completion of the development, a new 20-year triple-net master lease with Macquarie Telecom incorporating both IC2 DC and IC3 East DC shell and core buildings will commence. The lease will include built-in annual rental escalations with renewal options.

Assuming the completion of IC3 East DC had occurred on 30 June 2018, the transaction would have increased the portfolio Weighted Average Lease Expiry (WALE) from 8.8 years to 9.9 years and the portfolio aggregate lettable area would have increased to approximately 1,198,103 sqft. 

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

HongKongLand had the most growth for the day.
It surpassed the Bloomberg consensus estimate of 14.5%.
The agreement aims to grow tourism and economic activities as borders reopen. 
It will also enter a loan agreement worth $210.6m.
The acquisition will be fully funded by cash through internal resources.
These countries are Cambodia, the Maldives, Sri Lanka, Thailand, and Turkey.
The decrease was driven by profit declines in their beer and non-alcoholic businesses.
Sources say the state-owned Chinese firm is in talks with advisers about the potential divestment.
The tests start on 29 November.
Exercise CyberMaritime 2021 puts the sector's cybersecurity readiness to the test.
This is equivalent to 236 attackers per company in a year.
Genting Singapore was seen with the most growth.
The partnerships aim to improve care delivery and patient outcomes.