Property investor GLP has closed its first digital infrastructure-focused fund in China and plans to buy a data center with the proceeds.
The GLP China IDC Income Fund has assets under management of 2.6 billion Yuan ($358m), having raised cash from a group of institutional investors based in China and abroad.
According to GLP, the fund will “acquire a fully operational, high-performance data center developed by GLP and fully leased to a leading e-commerce company.” The Tier III facility is located in the greater Beijing region.
“GLP China IDC Income Fund I is indicative of strong investor demand for stable income streams backed by high quality real assets with the potential of long-term capital appreciation,” said Teresa Zhuge, executive vice chairman and chairman of the executive committee of GLP China.
“With our operating and investment expertise, customer access, and a track record of growth at scale, we are confident in building a competitive and differentiated data center business to capture outsized growth in the new digital economy.”
An investor that buys and builds property across the logistics and digital infrastructure sectors, GLP says it controls assets that will deliver 1.4GW of IT capacity, including 20 data centers across the four core regions of Beijing-Tianjin-Hebei, the Yangtze River Delta, the Greater Bay Area, and the Mid-Western Region.
Its data center unit, IDC, offers build-to-suit, turn-key and powered shell solutions for both hyperscalers and enterprise customers.
Last year, GLP sold its international business unit, including data center platform Ada Infrastructure, to Ares Management Corporation in a deal worth $3.7 billion so that it could focus on the Chinese market.
