CapitaLand to invest Rs 6,200 crore in realty, data centre projects in Telangana over next 5-7 years

HYDERABAD: Singapore-based realty investment and development giant CapitaLand is all set to invest Rs 6,200 crore in Telangana over the next 5-7 years. This includes Rs 5000 crore in doubling its total office space in Hyderabad of over 6 million sq ft over the next five years and Rs 1,200 crore in setting up a 36MW data centre in the city.

The data centre will come up at CapitaLand India Trust (CLINT)’s International Tech Park Hyderabad (ITPH) in Madhapur with a built-up area of 2.5 lakh sq ft and is expected to be deployed in the next 3-5 years. The data center is slated to incorporate the latest technologies in cooling and security, as well as a dedicated gas insulated substation within the site enabling the data centre to serve hyperscale players and large enterprises in the region.

The Telangana government also inked a Memorandum of Understanding (MoU) with CapitaLand India Trust Management Pte Ltd, the trustee-manager of CLINT, on Tuesday for the development of the data centre.

Announcing the investment, Telangana IT & industries minister KT Rama Rao tweeted: "Very Happy to announce that @CapitaLand is investing in a Data Center in Hyderabad with a capacity of 36 MW and an investment Rs 1,200 crores scheduled to be developed and deployed by the end of 2024."

"Also happy to learn that CapitaLand will double its current office space of 6 million sq ft in Hyderabad over the next 5-7 years with a potential investment of over Rs 5,000 crores," he said, indicating that this was a sign of CapitaLand's confidence in Hyderabad’s IT/ITeS journey.

Pointing out that Hyderabad is one of the fastest growing data center markets in India, KTR said CapitaLand’s investment will add to that pace and said the Telangana government was keen to work with CapitaLand in other infrastructure projects in logistics and renewable energy as well.

CLINT CEO Sanjeev Dasgupta said this was the company’s second data centre project in India after it acquired a greenfield data centre development site in Navi Mumbai in 2021. He also pointed out that CLINT owns and manages three business parks in Hyderabad – ITPH, CyberPearl and aVance – aggregating to 3.8 million sq ft and catering to nearly 70 global organisations and over 30,000 professionals.

Patrick Boocock, CEO, Private Equity Alternative Assets, Real Assets, CapitaLand Investment, said CapitaLand Group has built strong competencies in data centre design, development and operations with 25 data centres across Asia and Europe offering over 500 MW of power on a completed basis.

“Our latest Hyderabad project will incorporate state-of-the-art technology, with sustainability being a key consideration in its design and development. It reinforces our commitment to becoming a strategic data centre operator in India," he said.