>

>

Growth opportunities in data centre sector to be led by demand from emerging regional markets: JLL

/ EdgeProp Singapore |

February 3, 2021 4:52 PM SGT

SINGAPORE (EDGEPROP) - The market for Asia Pacific data centre real estate is poised to enter a new cycle of growth that will be led by demand from the region’s larger emerging markets, according to a report by JLL. The sector has seen investor and operator activities from mainland China, India, and Indonesia grow significantly over the past few months.

The international consultancy says that surging internet usage and smartphone adoption, coupled with social media, e-gaming, video streaming, and big data applications, are fuelling requirements for extra data centre capacity across the Asia Pacific region. JLL expects the demand for data centres in the region to grow exponentially on the back of a growing consumer mobile internet market.

Read more: Singapore ranked sixth globally for data-centre market competitiveness

The market for hosting, storage, and computing cloud services is also expected to be worth USD$163 billion ($217 billion) by the end of this year, jumping 30% in four years. Meanwhile, Internet cloud traffic is also expected to grow by more than 150% over the same period, says JLL.

“The sheer scale of growing data consumption makes data centre infrastructure a compelling global and regional opportunity for both investors and operators. There are clear opportunities across the Asia Pacific data centre sector, in both emerging and mature markets,” says Bob Tan, senior director, Alternatives, Capital Markets, JLL.

JLL says that the data centre markets in mainland China, India, and Indonesia are currently underserved by existing supply but are facing strong demand from local and international operators.

Looking ahead, conditions governing market entry, such as water and fibre network availability, the role of renewable energy, and market dynamics will continue to be key occupier and investor themes beyond 2021. Many operators looking to expand into new and emerging markets will also choose to partner with local developers in joint ventures for development and operation, says JLL.

Tags:

Asia Pacific JLL Data centre computing cloud services internet Bob Tan capital markets

Follow Us

Follow our channels to receive property news updates 24/7 round the clock.

Subscribe to our newsletter

Top Articles

1

Record-breaking 1,000 HDB resale flats hit $1 mil in 2024

2

Project Spotlight: This condo in Ang Mo Kio has 241 profitable and no unprofitable transactions

3

Novo Place hits 88.1% as 137 units snapped up in second balloting

4

Is it a Good Deal?: A duplex penthouse in Sentosa sold for a loss of $1.93 million

5

10 best-selling new private residential projects of 2024

Our Site

Follow Us

Property Research

Condos

HDBs

Landed

Commercial

Industrial

Properties For Sale

Properties For Rent

Edgeprop.sg (previously known as The Edge Property Singapore) is the best property portal for real estate agents, investors, home-seekers and sellers alike in Singapore. On EdgeProp, you will be able to find the latest and hottest property news, property listings, and access tools for your research and analysis.

Whether you are looking to buy, sell or rent apartments, condominiums, executive condos, HDBs, landed houses, commercial properties or industrial properties, we bring you Singapore’s most comprehensive and up-to-date property news and thousands of listings to facilitate your property decisions. Click into any listing to check out the new AI Redesign tool to envision your property based on your preferred style, be it Scandinavian, Minimalist or many others.

Make data-driven property decisions with our easy-to-use free and paid tools. The Edge Fair Value tool lets users calculate the fair value of a property, while the En Bloc Calculator helps to determine the probability of a Singapore project being put up for collective sale. Our whole new Research tool provides you data on past transactions, price trends, and more for condos, HDBs, landed houses, commercial properties and industrial properties.

Aside from that, EdgeProp also offers a market trends tracker that lets you access historical property data, sales volume and compare how similar properties are selling, a heatmap that shows you where Singapore’s most popular property sales locations are, a HDB lease tool to calculate your HDB tenure, an affordability calculator, and property alerts to track your preferred Singapore property by project or location, as well as information on new launches.

On the lookout for undervalued property or looking to rent? EdgeProp’s powerful search filters will let you personalise your property-seeking experience – whether you are looking for a property near MRT stations, amenities like schools, or within a HDB Estate or District – so that you find exactly what you are looking for.

View More

Close Ad

00:00