PDG Opens $1B Greater Tokyo Data Centre Campus With 96MW Capacity

Singapore-based Princeton Digital Group has opened its first data centre campus in Japan, as the $1 billion project in Greater Tokyo went live this week with 96 megawatts of IT capacity.

Located in Saitama City, 30 kilometres (18.6 miles) north of central Tokyo, the TY1 campus is positioned as an alternative to data centres in the capital that face power and land constraints, PDG said Thursday in a release. The co-location facility features 140 kilowatts per rack of high-density capacity to support artificial intelligence workloads, the company said.

Hyperscale and AI are expected to drive 75 percent of total co-location demand for the Tokyo market by 2030, growing at a compound annual rate of 20 percent, PDG said, citing a report by Structure Research.

“With industry-leading power density and sustainability, TY1 further strengthens PDG’s position as the partner of choice for hyperscalers deploying AI workloads in the region,” said co-founder, chairman and CEO Rangu Salgame.

Built to Suit in Saitama

TY1 is a development of the $1 billion Lendlease Data Centre Partners fund set up in 2019. The vehicle is 20 percent funded by Aussie builder Lendlease and 80 percent by an undisclosed institutional investor believed to be from Singapore, the Australian Financial Review reported at the time.

In March of last year, PDG and Lendlease announced the completion of the 48MW first phase of TY1, which was constructed on a built-to-suit basis for PDG. The Saitama campus, first announced in 2021, is targeting LEED certification with features like stored rainwater for gardens and toilets and the use of carbon credits to offset construction-related emissions.

Founded in 2017 and backed by global investors Warburg Pincus, Mubadala Investment Company and the Ontario Teachers’ Pension Plan, PDG has more than 20 data centre projects across 15 Asia Pacific cities.

The platform has ramped up its regional expansion in recent months, announcing last September that it had acquired land to develop a further 500MW of capacity in key markets of India, Malaysia and Indonesia.

Digging Into Digital

Global investors have continued to bet on Japan’s digital infrastructure market in 2025, as Goldman Sachs kicked off the year with the announcement of a 120MW facility in Fukuoka prefecture as the US finance giant’s first data centre in Asia.

The investment bank’s Global Compute Infrastructure division partnered with Hong Kong-based fund manager Asia Pacific Land on development of the project in the city of Kitakyushu, aiming to start construction next year.

Also in January, EdgeConneX revealed its first data centre project in Japan, with the EQT-backed hyperscale specialist set to develop a Greater Osaka facility with a capacity in excess of 140MW when complete.

In February, Singapore’s CapitaLand Investment disclosed a land buy in Osaka to develop the firm’s first data centre in Japan at a total cost of $700 million. The development will add 50MW of capacity to the Temasek-backed giant’s existing 800MW global portfolio of 27 data centres.

Last month, an asset management arm of trading giant Mitsui & Co announced plans to acquire a 50 percent stake in a 20MW data centre in Greater Tokyo for JPY 18 billion ($120 million).