20240404 market spotlight

At least three Singapore-listed REITs have increased their stakes in data centers over the past year, with analysts predicting similar moves by other real estate investors in Asia. (Nikkei montage/Source photos by Reuters and Yo Inoue)

Singapore REITs snap up Japan data centers amid AI boom

Acquisitions show investors' hunger in Asia for tech-related property assets

SINGAPORE -- Japan's data centers are a hot target for Singapore's real estate investment trusts, with the city-state's asset managers raising exposure to information technology infrastructure and potentially setting the tone for more property investors in Asia to follow suit.

Amid a fever for artificial intelligence applications across the region, data centers are poised to become even more crucial assets in real estate, as demand for better tech services stemming from the growth of AI simultaneously lifts demand for supporting infrastructure, spurring a race to build and manage, or to acquire such properties.

Sponsored Content

About Sponsored ContentThis content was commissioned by Nikkei's Global Business Bureau.