Johor, the Malaysian city located just north of Singapore, is continuing to attract attention from data center developers.

Singaporean telco Singtel is reportedly in talks to develop a data center in the city.

Local real estate firm UEM Sunrise has sold another plot of land in Johor to an unnamed data center developer. Another property firm, Crescendo Corporation, has also sold a plot of land in the area to data center operator Digital Halo.

Singtel coming to Johor?

The Edge Malaysia reports the company is in talks with Malaysian authorities to set up a data center in Iskandar Puteri.

The facility will be operated by its Nxera data center unit, the report suggests.

Singtel’s data center portfolio currently comprises 62MW of existing capacity in Singapore, while Singtel is building a new 58MW data center in the city-state known as DC Tuas. Nxera’s website lists three facilities in Singapore, including the upcoming Tuas facility.

The company has also partnered with Telkom and Medco Power in Indonesia as well as Gulf Energy and AIS in Thailand to develop data centers in Batam and Bangkok respectively.

The portfolio will deliver a total combined capacity of over 155MW once the three new projects are operational in 2025, with room to scale up to more than 200MW.

KKR acquired an $800 million, 20 percent stake in Singtel's data center business last year.

UEM Sunrise sells more land in Johor for data centers

Malaysian real estate firm UEM Sunrise has sold just under 30 acres of land in Johor Bahru to a data center developer.

Through its wholly-owned subsidiaries, UEM Land Berhad (UEML) and Nusajaya Rise Sdn. Bhd., the company this week announced it has entered a conditional Sale and Purchase Agreement with an unnamed “leading global data center industry player” for the disposal of two parcels of freehold land for a cash consideration of approximately RM144.9 million ($30.7m).

Located in East Ledang in Iskandar Puteri, the company said the freehold lands which are in the Mukim of Pulai, total approximately 11.7 hectares (28.9 acres) in total.

UEM said the land will be developed for the construction of a data center, but specifications or timelines weren’t shared.

Founded in 1966, UEM Sunrise is the real estate development arm of UEM group, which is owned by Khazanah Nasional Berhad, the sovereign wealth fund of Malaysia.

Earlier this month UEM announced a partnership with ESR-owned Logos to explore the development of a data center campus in Gerbang Nusajaya, Johor. The 30-hectare site in Gerbang Nusajaya is set to offer up to 360MW of capacity.

UEM Sunrise CEO, Sufian Abdullah, said: “Building on a prior Memorandum of Understanding signed in May with Logos Infrastructure Holdco Pte Ltd. to develop a data center campus in Gerbang Nusajaya, this strategic land divestment reaffirms our dedication to supporting Johor's data center ecosystem, ultimately addressing the global demand for data solutions.”

He added: “Our southern landbanks being strategically positioned next to Singapore, shall benefit from the growing investments in Iskandar Puteri Johor, as well as spillover effects for demand on our residential and commercial spaces.”

Crescendo sells land to Digital Halo

Local property development firm Crescendo Corporation Berhad (CCB) this week announced it had sold a 20.46-acre plot of land in the Pulai area of Johor to Digital Halo.

The company said its wholly-owned subsidiary Panoramic Industrial Development Sdn Bhd had this week entered into a conditional sale and purchase agreement with Digital Halo Pte Ltd for the disposal of vacant industrial land measuring approximately 20.46 acres in the Mukim of Pulai District of Johor Bahru, for RM115.87 million ($24.6m).

Digital Halo was founded last year by APAC real estate investment firm Arch Capital. Led by former Keppel exec Kai Goh, the company is also developing a 70MW campus in the Cainta area of Manila in the Philippines.

Crescendo said its Panoramic unit had previously sold nearby land to STT GDC and Microsoft, selling a 1.1 million sq ft plot of land in the Pulai area of Johor to Microsoft in April and seven parcels of land to STT back in November.

Located in Malaysia’s south, Johor is just across the border from Singapore. Though Singapore is starting to ease restrictions around its ongoing moratorium on new data center developments, Johor has grown a sizeable data center market of its own as developments overspill from the city-state. Other developers and operators in Johor include PDG, AirTrunk, Equinix, Keppel, ChinData's Bridge DC, and Yondr.