Japan
CBRE announces agreement with Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and Ishikari City
September 15, 2023
CBRE (Japan Headquarters: Marunouchi, Chiyoda-ku, Tokyo) is pleased to announce that it has signed the “Promotion of Data Center Construction in Ishikari City, Hokkaido Agreement” in September 15 2023. This agreement is between CBRE, Ishikari Renewable Energy-Run Data Center No. 1 (LLC), and the city of Ishikari. This agreement will leverage CBRE’s global and vast network to support the establishment of companies in Ishikari City, Hokkaido, based on their data center location needs.
1. The purpose of the agreement
CBRE will provide Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and the city of Ishikari with information concerning corporate demand for data center locations in Ishikari City. This insight will help the two companies with the creation, planning, and execution of initiatives targeted at operators and tenants, and thereby promote the attractiveness of Ishikari City.
2. CBRE’s services outlined in the agreement
① Advisory services regarding the use of facilities developed and operated by Ishikari Re-Energy Data Center No. 1, LLC.
② Providing introductory services for candidate companies wishing to use data centers or data center services under the “locally sourced/consumed renewable energy” umbrella
③ Marketing seminars and conferences to attract corporate interest
④ Implementing a range of initiatives to increase global awareness
3. Date of agreement: September 15, 2023
Hirokazu Ono, Head of Data Center Solutions Japan, at CBRE commented, “CBRE has over 50 years’ experience in the Japanese real estate market, and we have leveraged this to provide tailored data center brokerage services that meet the needs of global corporate clients. We are delighted to sign this agreement with Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and Ishikawa City to help attract new data center clients and support the revitalization of the local economy. With the continued advancement of digital transformation and the strengthening of BCP as a result of government-led decentralization initiatives, location strategies are becoming increasingly critical for many companies in the data center field. Ishikari City in Hokkaido is an attractive location for renewable energy data centers because of its connection to international submarine communications cables and access to rich sources of renewable energy, led primarily by offshore wind power. We aim to promote this new location as an alternative to the already popular Inzai City in Chiba Prefecture. As real estate experts, CBRE will maximize its analytical data to promote data center development in Ishikari, and we will work in conjunction with Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and Ishikawa City to make data center development a key pillar of the future economic prosperity of the area.”
Jun Kato from the Corporate Collaboration Promotion Division, who is in charge of Ishikari City’s data center business commented,“The national government has been encouraging the decentralization of domestic data centers to attain a more risk-resistant distribution throughout the country. Furthermore, as data centers are energy-intensive, it is becoming increasingly important to use renewable energy resources for the purposes of decarbonization and green transformation (GX). To realize these national-level policy objectives, Ishikari City is committed to creating a virtuous cycle of environmental investment and economic prosperity. We plan to encourage the construction of data centers powered entirely by renewable energy sources in our city. The geographical strengths of Ishikawa City are its relatively low risk of natural disasters and the future establishment of a large-scale offshore wind power generation facility. This agreement with CBRE and Ishikari Renewable Energy-Run Data Center No. 1 (LLC) will allow us to take full advantage of these strengths and continue to promote endeavors to create sustainable regional development in which both electrical power and data can be locally sourced and locally consumed.”
Inquiries concerning the agreement and CBRE Data Center Solutions services:
Hirokazu Ono
Head of Data Center Solutions Japan, Advisory & Transaction Services,
CBRE K.K.
Phone: 080-3578-7540 [email protected]
About Ishikari Renewable Energy-Run Data Center No. 1, LLC
The Ishikari Renewable Energy-Run Data Center No. 1 is led by Flower Communications with the aim of commercializing a data center to be operated in Ishikari City, Hokkaido using 100% renewable energy. A joint venture established by Flower Communications with Hokkaido Power Company Co., Inc. and Tokyu Land Corporation, the project will result in a data center that directly provides Ishikari with renewable energy through an onsite PPA. Through decarbonization and “the realization of a sustainable value co-creation platform and society through well-being,” we hope this contributes to a more sustainable environment for the overall region.
About CBRE Data Center Solutions
CBRE Data Solutions provides integrated support to businesses and investors in the area of data center real estate, from investment and development strategy, land and building acquisition, to operation, management, and sale. In the planning/transaction phase, we provide investment strategy support and consulting services, and handle real estate transactions (buying and selling of land and buildings, rent brokerage). In the development phase, we support various management operations such as vendor management, schedule management, quality control, and cost management. In the operation phase, we carry out facility management services such as repair planning, server room construction, and air conditioning/electricity maintenance.
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1. The purpose of the agreement
CBRE will provide Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and the city of Ishikari with information concerning corporate demand for data center locations in Ishikari City. This insight will help the two companies with the creation, planning, and execution of initiatives targeted at operators and tenants, and thereby promote the attractiveness of Ishikari City.
2. CBRE’s services outlined in the agreement
① Advisory services regarding the use of facilities developed and operated by Ishikari Re-Energy Data Center No. 1, LLC.
② Providing introductory services for candidate companies wishing to use data centers or data center services under the “locally sourced/consumed renewable energy” umbrella
③ Marketing seminars and conferences to attract corporate interest
④ Implementing a range of initiatives to increase global awareness
3. Date of agreement: September 15, 2023
Hirokazu Ono, Head of Data Center Solutions Japan, at CBRE commented, “CBRE has over 50 years’ experience in the Japanese real estate market, and we have leveraged this to provide tailored data center brokerage services that meet the needs of global corporate clients. We are delighted to sign this agreement with Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and Ishikawa City to help attract new data center clients and support the revitalization of the local economy. With the continued advancement of digital transformation and the strengthening of BCP as a result of government-led decentralization initiatives, location strategies are becoming increasingly critical for many companies in the data center field. Ishikari City in Hokkaido is an attractive location for renewable energy data centers because of its connection to international submarine communications cables and access to rich sources of renewable energy, led primarily by offshore wind power. We aim to promote this new location as an alternative to the already popular Inzai City in Chiba Prefecture. As real estate experts, CBRE will maximize its analytical data to promote data center development in Ishikari, and we will work in conjunction with Ishikari Renewable Energy-Run Data Center No. 1 (LLC) and Ishikawa City to make data center development a key pillar of the future economic prosperity of the area.”
Jun Kato from the Corporate Collaboration Promotion Division, who is in charge of Ishikari City’s data center business commented,“The national government has been encouraging the decentralization of domestic data centers to attain a more risk-resistant distribution throughout the country. Furthermore, as data centers are energy-intensive, it is becoming increasingly important to use renewable energy resources for the purposes of decarbonization and green transformation (GX). To realize these national-level policy objectives, Ishikari City is committed to creating a virtuous cycle of environmental investment and economic prosperity. We plan to encourage the construction of data centers powered entirely by renewable energy sources in our city. The geographical strengths of Ishikawa City are its relatively low risk of natural disasters and the future establishment of a large-scale offshore wind power generation facility. This agreement with CBRE and Ishikari Renewable Energy-Run Data Center No. 1 (LLC) will allow us to take full advantage of these strengths and continue to promote endeavors to create sustainable regional development in which both electrical power and data can be locally sourced and locally consumed.”
Inquiries concerning the agreement and CBRE Data Center Solutions services:
Hirokazu Ono
Head of Data Center Solutions Japan, Advisory & Transaction Services,
CBRE K.K.
Phone: 080-3578-7540 [email protected]
About Ishikari Renewable Energy-Run Data Center No. 1, LLC
The Ishikari Renewable Energy-Run Data Center No. 1 is led by Flower Communications with the aim of commercializing a data center to be operated in Ishikari City, Hokkaido using 100% renewable energy. A joint venture established by Flower Communications with Hokkaido Power Company Co., Inc. and Tokyu Land Corporation, the project will result in a data center that directly provides Ishikari with renewable energy through an onsite PPA. Through decarbonization and “the realization of a sustainable value co-creation platform and society through well-being,” we hope this contributes to a more sustainable environment for the overall region.
About CBRE Data Center Solutions
CBRE Data Solutions provides integrated support to businesses and investors in the area of data center real estate, from investment and development strategy, land and building acquisition, to operation, management, and sale. In the planning/transaction phase, we provide investment strategy support and consulting services, and handle real estate transactions (buying and selling of land and buildings, rent brokerage). In the development phase, we support various management operations such as vendor management, schedule management, quality control, and cost management. In the operation phase, we carry out facility management services such as repair planning, server room construction, and air conditioning/electricity maintenance.
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About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2024 revenue). The company has more than 140,000 employees (including Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.