Malaysian conglomerate Sunway Group has made a strategic move by selling 64 acres of land in Johor’s Sunway City Iskandar Puteri (SCIP) to Equalbase Pte Ltd for RM380 million ($80.4 million). The deal marks a significant step in the development of a new data center, though specific plans remain undisclosed. Sunway emphasized the location’s advantages, citing its proximity to Singapore as a key factor in unlocking growth potential for the region.
Equalbase, an industrial real estate firm, plans to integrate sustainable solutions into the project, including clean energy and advanced water management systems. The company’s executive chairman highlighted their commitment to innovation, aiming to create one of the most environmentally friendly data centers in the region. This venture represents Equalbase’s first foray into data center development, expanding its portfolio beyond logistics and warehouse facilities.
Johor’s data center market is rapidly expanding, fueled by its strategic position near Singapore, where development restrictions have pushed demand across the border. Major players like PDG, AirTrunk, and Equinix have already established operations in the area, with over 1GW of capacity in operation and another 1GW under development. The Johor government is also drafting new guidelines to streamline data center planning, ensuring sustainable and coordinated growth in the sector.
In a related development, Malaysian IT firm Systech Bhd. has partnered with server distributor EISSB to establish a new data center project. The collaboration will focus on providing advanced infrastructure, including GPUs, servers, and cooling systems, though further details remain under wraps. This initiative reflects the growing momentum in Malaysia’s digital infrastructure sector, as both local and international players seek to capitalize on Johor’s emerging data center hub.