Principal Asset Management’s European data centre fund has acquired assets in Ireland’s capital.

The Principal European Data Centre Fund I has invested €10m to buy two detached data centres, totalling 7,570sqm, on the Willsborough Industrial Estate of Dublin. The facilities are leased to Verizon Ireland and Vodafone Ireland.

Paul Lewis, director of European data centres, Principal Asset Management, said: “Adding two data centres in a strong micro-location in one of Europe’s Tier 1 markets to our growing portfolio furthers our aim of rapidly constructing a portfolio of prime leased data centre assets.

“We see favourable supply-demand dynamics in the Dublin market at present given the constraints on power availability and the difficulty this presents for new development. Additionally, the current attractive long-term pricing for assets such as these means they will provide a strong contribution to the fund”.

In February last year, IPE Real Assets reported that Principal Real Estate had raised an initial €155m for the European data centre fund, a vehicle with a €450m hard cap target.

Fund I focuses on pan-European manage-to-core data centre assets and currently owns assets in Spain, the UK, the Netherlands and Ireland.

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