A-FLOW Properties Corp. has secured a multibillion loan to develop the initial phase of its first data center campus in Binan, Laguna.

The first phase of A-FLOW’s three-building data center campus is targeted to be operational by the end of 2024. The data center will be able to accommodate a total of 36 megawatts (MW) IT (information technology) load capacity, with an initial rollout of 6 MW. The carrier-neutral facility will be built to the latest industry standards and will feature resilient power delivery design with diverse power feeds.

A-FLOW is a joint venture between Ayala Land, Inc. (ALI) subsidiary AyalaLand Logistics Holdings Corp. (ALLHC) and FLOW Digital Infrastructure, a Singapore-based investor, developer and operator of digital infrastructure in Asia Pacific.

The joint venture signed the PHP 2.4 billion loan agreement with the Land Bank of the Philippines, which represents the first tranche of a 10-year, PHP 10.8 billion loan. ALLHC clarified in a statement that any succeeding tranches to be availed will be covered by separate loan agreements, and that A-FLOW will fund the data center project through a combination of internal and external sources.

The Department of Information and Communications Technology (DICT) is optimistic about the future of data centers in the country, earlier saying that it projects a fivefold increase in data center capacity by 2025, reaching around 300 MW.

A-FLOW President Amandine Wang said, “This agreement marks a significant step forward in our shared commitment to develop the largest carrier-neutral data center campus in the Philippines. We are excited to build an ecosystem to attract a combination of international hyperscale customers and local enterprise customers.”

According to ALI President and CEO and ALLHC Chairman Anna Ma. Margarita Dy, digital transformation, cloud computing, and the rise of artificial intelligence are technologies that require robust and scalable data center solutions. 

“Ayala Land is proud to be participating in this new opportunity leveraging our land and our lucrative abilities to contribute to the country’s move towards a digital economy,” Dy remarked. “Like any other infrastructure project, capital is key. So, we thank LANDBANK for the PHP 10.8 billion loan facility to A-FLOW, a critical enabler for this project.”

LANDBANK President and CEO Ma. Lynette Ortiz said, “Beyond our work with various government agencies, we recognize that partnering with key players like A-FLOW is essential for advancing national development. In this era of rapid digitalization, we are likewise ready to drive investments into the local data center market, alongside other sectors contributing to our nation’s technological progress.” 

“This is the first data center project financed by LANDBANK, and with this new partnership, we are confident that this project will yield significant economic benefits,” Ortiz added.

A-FLOW supports the digital growth and expansion of businesses in the Philippines, leveraging FLOW’s deep data center expertise and ALLHC’s established record in industrial real estate development, ALLHC said.