Mindspace Business Parks REIT partners with Princeton Digital Group to develop data centre campus near Mumbai
Under this new agreement, Mindspace REIT will develop three built-to-suit data centers, adding a further one million sq ft to its portfolio
Mindspace Business Parks REIT on September 25 announced that it has entered into a strategic partnership with Princeton Digital Group, a global leader in data center operations, to develop PDG’s flagship and largest data center campus in India, at Mindspace Airoli West in Navi Mumbai near Mumbai.
Under this new agreement, Mindspace REIT will develop three built-to-suit data centers, adding a further one million sq ft to its portfolio. The REIT has already developed two data centers for PDG, measuring 0.63 million sq ft, the company said.
Upon completion, the Business Park will feature five data center buildings and the total data center footprint within the Mindspace REIT portfolio will stand at 1.65 million sq ft This development spanning ~15 acres, will become a part of the larger 50-acre campus ecosystem of Mindspace Airoli West, the company said in a statement.
Also Read: Mindspace Business Parks REIT reports 9.2% increase in operating income, revenue up by 10% in Q1FY25
“We are delighted to partner with PDG in their India expansion. This deal reinforces our commitment to diversifying our portfolio and tapping into high-growth sectors like data centers. For us, integrating data centers into our portfolio makes strategic sense as they offer stable and long-term revenue streams, future proof our portfolio, and help diversify income sources," said Ramesh Nair, CEO, Mindspace REIT.
According to the company, Mindspace REIT will provide PDG with a full range of turnkey services, including power infrastructure, tailored to meet sustainability goals.
The company further said that Navi Mumbai has become a leading hub for cloud infrastructure, driven by its strategic location near submarine cable landing stations, stable power supply with zero outage, availability of renewable energy, and robust infrastructure. The micro-market is also well- positioned to accommodate the growth of AI technologies, making it an ideal choice for AI-enabled data center campuses.
Data centres growth in India
There has been a 21% increase in the total data centre stock across the country in the first half of the year. Mumbai has led the way with a substantial 54.9% share of the total capacity, followed by Chennai (12.3%), Bengaluru (8.2%) and Pune (7.2%), a report by Savills, a real estate consultancy firm in July 2024 had said.
The report also said that there has been an increased demand for Edge Data Centres (smaller facilities located close to the population they serve) emerging from Tier-II and Tier-III cities.
Also Read: 21% growth in data centre stock in H1, Mumbai leads with majority share in total capacity
The total stock of data centres in the country has grown 21% year-on-year to 942 MW in H1 2024, from 778 MW in the corresponding six-month period last year.