Keppel DC REIT's Portfolio of Data Center Assets Benefit From Strong Secular Demand
Keppel DC REIT, or KDC REIT, is a real estate investment trust that principally invests in income producing real estate assets used primarily for data center purposes and assets necessary to support the digital economy. As a wholesale data center provider, KDC REIT leases out its properties as either a colocation, fully fitted or shell and core data center. Among these three, colocation leases make up the majority of KDC REIT’s rental income but have the shortest weighted average lease expiry, or WALE, profile of less than three years compared with the fully fitted and shell and core data centers that enjoy long WALE profiles of around 11 and seven years, respectively, as of Dec. 31, 2023.