The parent company of data center firm Telehouse has reportedly acquired an office campus in East London that has planning permission for a large data center development.

First reported by Green Street News and BisNow, KDDI has acquired the Republic campus in Tower Hamlets from Trilogy Real Estate and LaSalle Investment Management for around £250 million ($333.8m).

The companies are yet to comment publicly on the news.

Telehouse provided the following comment to DCD: “We don’t comment on rumour or speculation, and as always, if and when we have something relevant to share, we will do so through the appropriate channels at the right time.”

The campus, comprising two office buildings totaling 483,000 sq ft (44,862 sqm), is located at 2 Clove Crescent, close to Telehouse’s existing Docklands campus. Notably, there is planning consent in place for a 376,000 sq ft (35,000 sqm) data center on the acquired site.

Once part of the old East India Company docks, an office campus was built on the site in the early 1990s. LaSalle and Trilogy bought the campus from Criterion Capital in 2015 for £170 million ($227m), pivoting it for educational uses.

The two firms put Republic up on the market last October, reportedly seeking £247.5 million ($330.6m) for the education-focused campus.

In 2023, LaSalle and Trilogy secured planning consent for a 940,000 sq ft (87,329 sqm) expansion of Republic, including two residential towers, a 376,000 sq ft (34,932 sqm) multi-story data center, and lab space. The permitted eight-floor data center could have a potential IT power of 30MW and feature six halls, each of 12,900 sq ft (1,200 sqm).

Tower Hamlets Council originally refused the request, but it was overturned by the government planning inspector.

More than 15,000 students study at Republic, including students from the University of the West of Scotland, City Gateway, Global Banking School, Anglia Ruskin University, and York St John University.

Established in 1988 and owned by Japanese telco KDDI, Telehouse operates in 15 cities globally, including the US, UK, France, Germany, China, Singapore, Vietnam, and Japan.

Opened in the 1990s, Telehouse’s London North facility was the first purpose-built carrier-neutral data center in Europe. Today, the site totals six buildings, including the latest Telehouse West Two, which broke ground in October.