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Monday, September 14, 2026

Japanese real estate developers boosting data center projects

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Daiwa House's modular small data center in Okuma, Fukushima Prefecture

Daiwa House's modular small data center in Okuma, Fukushima Prefecture | Daiwa House / via JIJI

JIJI

Sep 14, 2026

Major real estate developers in Japan are stepping up their data center development, as further growth is expected on the back of an artificial-intelligence boom.

According to the communications ministry, the data center-related market in Japan is expected to exceed ¥5 trillion in 2028.

As friction with nearby residents, particularly in urban areas, is increasing over data center construction projects, the developers hope to leverage their expertise accumulated through land transactions and redevelopment projects to facilitate smooth expansion of their data center businesses.

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