Microsoft plans $1.3 billion data center in Kemps Creek in Sydney’s west





Frasers Property Industrial owns most of the land on Mamre Road across two sites. With Altis, it is already developing a 75,000 square foot, $200 million facility for global power tool giant Techtronic Industries.

“Strong sector fundamentals, historically low vacancy rates and limited land supply have created a perfect storm, and we expect land take-up in Mamre Road, Kemps Creek district to happen much faster than initially forecast,” Frasers Property Industrial executive executive director, Ian Barter, said, while declining to comment specifically on the data center proposal.

Name significant development

Documents for the proposal from engineering firm Arup were on display last week, outlining plans for a 190 megawatt installation on 14.4 hectares. Microsoft’s role is buried in the details of those documents, and the US player has not responded to requests for comment.

The project is assessed as a major development by the Ministry of Planning, Industry and Environment.

“This proposal is the latest in a growing trend of rapid planning and development proposals for these in-demand facilities,” Clay Preshaw, executive director of the division for energy and resource assessments, said in a statement.

“Our increased reliance on digital technologies, particularly over the past 18 months, means that demand for the physical infrastructure that supports these technologies is growing.”

Three such data centers have been approved for Sydney in the past five years, worth nearly $1 billion, according to the DPIE.

“There are already six in the pipeline and our recent policy changes to lower the threshold for them to be considered major developments of the state means we will likely see more coming through the system soon,” Mr Preshaw said.

Kemps Creek’s proposal includes two two-storey buildings covering nearly 61,000 square feet. Documents show that the data hall is designed to operate at a higher than normal temperature, up to 35 degrees, while the water requirement can be about 50,000 cubic meters, mainly to use for cooling.




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