Swiss real estate investment advisor Stoneweg is entering the data center market, launching its own data center fund and platform via its Stoneweg Europe Stapled Trust (SERT) unit.

Stoneweg EBT Management Pte. Ltd, as trustee-manager of Stoneweg European Business Trust, this week announced Stoneweg European Business Trust has made a €50 million ($58m) investment in the Stoneweg Icona data-centre fund.

Once other investors join the fund, Stoneweg European BT’s stake is expected to range from 4-8 percent, suggesting the fund could total around €1.25 billion ($1.45bn).

The portfolio comprises interests in four early-stage data center development sites located in Ireland, Spain, Italy, and Denmark. The sites, totaling 225 hectares, have 1,116MW of secured/reserved power, with visibility for an additional 563MW.

Further details on the proposed campuses weren’t shared. The sites are currently progressing through development approvals and are in the various stages of securing pre-leases with major tenant-customers, according to Stoneweg.

The firm said the portfolio would make its platform the largest data center operator in that region and “well-positioned to become a leading player in Europe’s rapidly growing hyperscale data center market.”

It added that the acquisition also complements SERT’s existing data center holdings in Denmark and Poland.

Simon Garing, CEO of the managers of SERT, said: “We are pleased to announce this landmark investment: SERT is well-positioned alongside our sponsor in a unique and high-quality development fund at the forefront of Europe’s rapidly expanding data centre market. We will remain actively engaged in growing SERT’s investment alongside the fund’s promising development pipeline, aiming to maximise returns from the projected €29.5 billion ($34.3bn) gross development value of the four assets.”

Max-Hervé George, chairman and co-CEO of SWI Group, added: “Our IDC platform drives the development of data centres in Europe’s most strategic locations – powering the future of AI and cloud computing with flexible capital and deep local expertise. The combined strengths of Stoneweg and Icona under the SWI Group umbrella will provide further momentum to the long-term growth of Stoneweg Europe Stapled Trust.”

Stoneweg Europe Stapled Trust (formerly Cromwell European REIT and renamed as Stoneweg European REIT following a change in sponsor) is a financially stapled group comprising Stoneweg European Real Estate Investment Trust and Stoneweg European Business Trust. It is focused on investing in incoming-producing real estate, mostly industrial and office facilities. SERT’s sponsor is SWI Group, comprising Stoneweg and Icona Capital.

SERT’s portfolio, valued at €2.2 billion ($2.5bn), comprises more than 100 predominantly freehold properties around cities in the Netherlands, Italy, France, Poland, Germany, Finland, Denmark, Slovakia, the Czech Republic, and the UK. The portfolio spans a total lettable area of approximately 1.7 million sqm (18.29m sq ft) and serves more than 800 tenant-customers.

Founded in 2015, Stoneweg previously sold a former bottling plant in Madrid to Thor Equities for a data center development.