ESR and Colt Data Centre Services Unite for Pioneering Osaka Data Centre Development
ESR and Colt Data Centre Services Launch Joint Venture in Osaka
In an industry-shaping announcement, ESR, a leading real asset manager focused on the Asia-Pacific region, and Colt Data Centre Services (Colt DCS), a global hyperscale data centre solutions provider, have formed a joint venture to develop a state-of-the-art hyperscale data centre in Minoh City, Osaka, Japan. This collaboration aims to build the first phase of a data centre campus that will feature a total capacity of 130 megawatts (MW), with the initial phase set for 65 MW.
Strategic Location for Digital Growth
The site for this new data centre is strategically located in one of the fastest-growing data centre markets in the Asia-Pacific area. Minoh City is positioned to benefit from rapid cloud public adoption and digital transformation across Japan, particularly in light of the increasing demand for high-capacity data management solutions. The groundwork for the project is already in motion, with the initial construction planned to begin in 2027, aiming for operational readiness by the end of 2029.
Both companies are leveraging their extensive expertise to ensure that the new infrastructure meets the evolving needs of global cloud service providers and the burgeoning artificial intelligence sector. Niclas Sanfridsson, CEO of Colt DCS, emphasized the importance of this venture in facilitating Colt's expansion and supporting its global cloud customers: "Colt DCS has acquired solid experience in providing world-class data centres to our hyperscale clients in Japan. The joint venture with ESR will enable us to accelerate our expansion in Japan and support our clients' growth projects in the emerging AI sector."
Collaboration for Excellence
The partnership between ESR and Colt DCS combines Colt's industry expertise and operational excellence, backed by over 25 years of experience in the Japanese market, with ESR's strong asset development background. Stuart Gibson, co-founder and co-CEO of ESR, highlighted Japan's significance in their data centre strategy, noting, "This joint venture with Colt DCS marks an essential milestone in our strategy to deliver next-generation data centre infrastructure, vital for digital growth in the region."
The Minoh data centre will be specifically designed to support hyperscale workloads, artificial intelligence, and large enterprises. Beyond its technical capabilities, the site is envisioned as a vibrant hub for local innovation, engagement, and sustainable growth.
Comprehensive Site Planning
The Minoh site spans approximately 140,000 square meters, acquired and rezoned by the ESR-Colt DCS joint venture for this significant redevelopment project in collaboration with local government. Emphasizing Environmental, Social, and Governance (ESG) criteria, the initial centre aligns with the joint venture's broader vision for a large-scale data centre in Minoh City. The master plan significantly enhances local traffic connectivity and includes communal facilities such as an international school, park, retail spaces, and shared amenities.
As part of their commitment to sustainable development, the joint venture aims to achieve LEED Gold certification, reflecting their commitment to green data centre objectives.
About ESR and Colt DCS
ESR is a prominent player in real asset management across the Asia-Pacific, focusing on logistics real estate, data centres, and energy infrastructure, which are pivotal to the digital economy. For investors and communities, ESR's integrated platform for asset management and fund development aims to create enduring value and growth opportunities.
For Colt DCS, the company designs, builds, and operates data centres for hyperscalers and large enterprises globally. With a portfolio that includes 13 operational data centres and 19 more in various stages of development across major cities in the UK, Europe, and Asia-Pacific, Colt DCS is dedicated to building a sustainable and environmentally responsible future by reducing its global environmental impact.
Conclusion
The ESR-Colt DCS joint venture signifies a forward-thinking approach to meet the demands of the modern digital landscape. This ambitious project not only promises a technological advancement in data centre infrastructure but also contributes to the socio-economic development of the Minoh area, making it a model for future collaborations in the industry.