Nippon Steel Kowa Real Estate to Join Kyushu Data Center Hub with 120 MW VOLTA Project
Nippon Steel Kowa Real Estate has joined a data center hub development initiative in the Kyushu region led by Asia Pacific Land (Japan) Limited. As the company continues to address increasingly diversified industrial real estate needs, this marks its first foray into data center development.
The plan calls for multiple data centers to be built across Kitakyushu City and Itoshima City in Fukuoka Prefecture. The first phase, the “VOLTA Project,” will be developed in Hibikino-Kita, Wakamatsu Ward, Kitakyushu City. The company has secured a site of approximately 6 hectares and is planning a 120 MW-class development, with operations slated to begin in 2029.
While Nippon Steel Kowa Real Estate has centered its industrial real estate business around its “LOGIFRONT” logistics facilities, it has recently expanded into research facilities and factories. The current initiative responds to rapidly rising data processing and storage demand driven by digitalization, aiming to establish next-generation digital infrastructure by leveraging the Regional Future Investment Promotion Act and promoting industry–academia–government collaboration to secure digital talent.
Northern Kyushu is positioned as Japan’s third major data center hub after Tokyo and Osaka. The region offers the lowest electricity costs in Japan, abundant renewable energy sources, strong connectivity to domestic fiber networks, and direct international connections via submarine cables to Busan, South Korea. Japan’s data center services market—estimated at roughly JPY 2 trillion in 2022—is projected to expand to around JPY 4 trillion by 2027. Demand for high-density, high-power facilities is increasing amid the growth of generative AI and cloud utilization. These market conditions underpin the company’s decision to enter the data center asset class.
Key Facts
Project Name: VOLTA Project
Developer: Asia Pacific Land (Japan) Limited
Location: Hibikino-Kita, Wakamatsu Ward, Kitakyushu City, Fukuoka Prefecture
Completion: 2029 (planned start of operations)
Data Center Capacity: 120 MW
Site Area: approx. 6 ha (approx. 645,800 sq. ft.)