NTT is to form a data center-focused real estate investment trust (REIT).

First reported by Nikkei, NTT Data is to set up the REIT in Japan next year. The trust will initially manage assets totaling up to 100 billion yen ($625.2 million).

It will be the first domestic data center REIT in Japan; the move will reportedly make it easier to raise funds for projects. NTT will potentially look at listing the REIT, according to reports.

NTT will initially seed the REIT will some of its data centers, primarily overseas facilities, and continue managing them.

REITs are companies that own, and often operate, income-producing real estate such as apartments, retail outlets, offices, and data centers. They act as a fund for investors, generating revenue via leasing space and collecting rent on their properties.

Several major data center firms – including Equinix, Digital Realty, Iron Mountain – operate as REITs.

Digital Realty also set up a listed data center REIT – known as Digital Core REIT – in Singapore seeded with a number of stabilized facilities from its portfolio.