Logistics real estate firm Goodman is reportedly close to securing an external investor for its data center development business.

The AFR reports Singapore’s sovereign wealth fund GIC is considering a proposal to invest in data center assets owned by Australian property firm Goodman Group.

GIC is reportedly discussing options to become a co-investor in the real estate firm’s data center portfolio.

Talks are ongoing, and a deal might not happen. The companies declined to comment.

Goodman is a real estate group with operations throughout Australia, New Zealand, Asia, Europe, the UK, and the Americas. Traditionally focused on logistics and industrial real estate, Goodman has been developing data centers since 2005 and has been increasing its focus on digital infrastructure in recent years.

The company claims to have a global power bank of 5GW across 13 cities, of which 2.7GW is secured and 2.3GW is in the “advanced stages” of procurement. It has projects in operation or development across Hong Kong, Australia, Germany, the US, France, and Japan.

Established by the Government of Singapore in 1981, GIC is an investor in Vantage’s EMEA data center platform, as well as a number of Equinix’s xScale hyperscale data centers globally. GIC has also invested in US firm EdgeCore and owns a stake in Czech digital infrastructure firm CETIN Group. It recently invested in a Brazilian data center joint venture with local investment firm, Alianza Investimentos Imobiliários.

In 2019, the sovereign wealth fund signed a deal with GDS to develop multiple hyperscale build-to-suit data centers in China. That year also saw the company partner with Polymer Connected (now SpaceDC) for a campus in Jakarta, Indonesia. In 2022, GIC-backed European logistics real estate firm P3 Logistic Parks announced plans for a large data center campus on the site of a former army barracks in Hanu, to the east of Frankfurt. The site was later sold to Data4.

Goodman is one of a number of logistics & warehouse industrial real estate firms looking to move into or expand their existing presence in the data center space. The likes of Prologis, Segro, GLP, ESR, P3, and others have also looked to develop facilities across the US, Europe, and Asia Pacific.

In its quarterly earnings results last week, Goodman CEO Greg Goodman said: “We continue to rotate capital and assets, with significant data center partnership activity throughout the year, including the sale of a completed data center into the Goodman Japan Data Centre Partnership. In addition, we have recently launched a data center partnership in Australia and are also preparing to launch another in Europe in FY26.”

According to the company’s latest results, data centers now account for 57 percent of Goodman’s development work in progress. Of the 5GW power bank, some 700MW is stabilized, and 300MW of capacity is in development – the latter figure is set to rise to 500MW this summer.

“We expect to have 500MW of data center projects in key global cities underway by June 2026,” CEO Goodman added. “This opportunity requires a strong capital base, and we continue to expand our Partnerships to co-fund the development program alongside the group. New partnership launches are underway with more regional data center partnerships planned.”