The real estate investment trust (REIT) strengthens its commitment to the digital business with five data centers in Madrid, Barcelona, Bilbao, and Lisbon, consolidating its position as one of the main players in the sector in Southern Europe.
Merlin Properties is ramping up its strategy for diversifying into digital infrastructures. The company will invest €2.4 billion by 2028 to develop a total capacity of 274 megawatts (MW) across its data centers located in Getafe, Tres Cantos, Barcelona, Bilbao, and Lisbon, consolidating its ambitious Mega Plan.
This investment represents a qualitative leap in the positioning of the REIT as a strategic operator of data centers in the Iberian Peninsula, a market that is expanding rapidly due to the increasing demand for cloud services, artificial intelligence, and edge computing.
First phase completed: 64 MW and three centers already operational
By the end of 2024, Merlin has invested €381 million in its data center division. This figure is part of the first phase of the Mega Plan, which involves a total investment of €608 million to achieve an installed capacity of 64 MW.
Currently, the centers in Getafe, Parc Logístic de la Zona Franca (Barcelona), and Arasur (Bilbao) are fully operational and delivered, with an initial capacity of 26 MW by the end of 2024. The plan includes adding another 38 MW in 2025 and 2026.
According to the company’s own data, 39.2 MW of the 42 MW scheduled for installation by June 2025 have already been leased, reflecting an occupancy rate of nearly 95%, demonstrating sustained demand in this segment.
Second phase: 210 MW additional and a new investment drive
The second phase of the plan includes the rollout of 210 MW additional with a projected investment of €2.112 billion, of which €26 million has already been committed. This rollout will include two new centers:
- Tres Cantos (Madrid): currently in the licensing phase.
- Lisbon (Portugal): under construction.
The investment schedule is as follows:
- 2025: €611 million
- 2026: €916 million
- 2027: €506 million
- 2028: €79 million
To support this expansion, Merlin completed a capital increase of €921 million in July 2024, subscribed by its two main shareholders: Banco Santander and Nortia Capital, which strengthens the financial robustness of the plan.
A strategic bet on the digital economy
Merlin’s entry into the data center sector is not incidental. In a context of accelerated electrification and digitalization, data centers have become critical infrastructures, both for their strategic value and long-term profitability.
Merlin’s strategy aligns with the transformation of real estate towards high-growth alternative assets, such as logistics, digital infrastructure, and hybrid spaces. Support from large clients and cloud operators, as well as the prime locations of its centers, reinforce its model.
Conclusion
With over €2.4 billion mobilized in the next four years, Merlin positions itself as one of the key players in the new European landscape of data centers. As Madrid, Barcelona, and Lisbon consolidate as digital hubs, the Mega Plan not only strengthens the REIT’s portfolio but also contributes to enhancing digital sovereignty and technological resilience in the region.
Source: ejeprime