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Cushman & Wakefield report release: Asia Pacific Data Centre Construction Cost Guide 2025

31/01/2025

Cushman & Wakefield is pleased to announce the release of the latest edition of its Asia Pacific Data Centre Construction Cost Guide. This report provides a comprehensive analysis of both land purchase and data centre construction costs to assist data centre operators, developers, investors and lenders looking to better understand the sector’s capital requirements. 

It also includes insights on three of the key themes impacting the sector across APAC: power cost and availability, artificial intelligence (AI) and investment.

The full report is now available online.

Key Findings:

  • Regional construction costs continue to rise, but at a slower pace. Average construction cost inflation across Asia Pacific in 2024-2025 is 3.8%, down from 4.9% in 2023-2024.
  • The top five most expensive construction markets remained unchanged from last year, albeit ranked differently. 
  • Only India and Australia saw the rate of construction inflation increase, in both cases primarily driven by strong demand from both local and international players. In all other markets, the rate of inflation slowed or plateaued as pandemic-induced supply chain disruption continued to unwind. 
  • India, Australia and Indonesia saw the greatest increase in construction costs (5%); Hong Kong China saw the slowest rate of inflation (2.1%).
  • Across the region, powered greenfield sites suitable for data centres have become increasingly scarce, driving land prices higher. 
  • This scarcity of land has encouraged a move towards innovative redevelopment of brownfield sites.

Regional Land Cost Index

APAC Data Centre CCG 2025_regional-land-cost-index.png

Regional Construction Cost Index 

(ranked by mid-range cost and based on a mid-specification build)

APAC Data Centre CCG 2025_regional-construction-cost-index.png

 

About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for property owners and occupiers with approximately 52,000 employees in nearly 400 offices and 60 countries. In 2024, the firm reported revenue of $9.4 billion across its core service lines of Services, Leasing, Capital markets, and Valuation and other. Built around the belief that Better never settles, the firm receives numerous industry and business accolades for its award-winning culture. For additional information, visit www.cushmanwakefield.com.

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