PGIM Real Estate is launching a dedicated data center fund.

– Wikimedia Commons

First reported by Pere, which cited investor documents from a pension fund, the real estate investment management business of PGIM is looking to raise $2 billion in capital commitments for the fund.

If it reaches that $2 billion figure, it will be the largest closed-end fund raised by the firm, according to Pere data. The company declined to comment to the publication.

While it is the company’s first data center fund, PGIM has been regularly investing in data centers since around 2013. The company previously owned a portfolio of US data centers alongside Digital Realty later sold to Menlo Equities.

Most recently, it has invested in several joint ventures with Equinix in Australia and the US to fund the development of hyperscale data centers under the colo firm’s xScale brand. The company said the $600 million US venture with Equinix was the first investment made through PGIM Real Estate’s dedicated global data center strategy.

PGIM recently acquired land in Munich, Germany, for the development of a data center. Bought for its closed-end value-add fund European Value Partners (EVP) II, the investment firm said the site can offer 30MW.