Principal Asset Management, the investment management unit of Principal Financial Group, reached the final investor close on February 28 for its Principal Data Center Growth & Income Fund, which is dedicated to developing a portfolio of hyperscale data center projects across the US. The fund raised $3.64 billion, well over the target of a diverse global investor base. This is the third discretionary data center-focused vehicle by Principal.
The fund is expected to capitalize over $8 billion of hyperscale development assets across the U.S. in partnership with Stream Data Centers, a leading digital infrastructure solutions provider.
Principal Real Estate, the dedicated real estate investment team of Principal Asset Management, is a top 10 global real estate manager. It has been investing in data centers since 2007, with $11 billion in data center assets under management and a construction pipeline of $11 billion. Principal Real Estate manages $100+ billion in real estate assets globally.
KEY QUOTE:
“Closing this fund marks a pivotal moment for Principal Asset Management as we continue to respond to the surging demand for digital infrastructure. The success of this fundraise affirms our deep expertise in data center investments and we are grateful for the trust and confidence of our diverse group of investors. This strategy aligns with our focus on investing in scalable sectors of the market that we expect to benefit from secular tailwinds and continues our expansion into opportunistic real estate strategies.”
- John Berg, senior managing director and global head of private real estate at Principal Asset Management
