One REIT caught my attention recently. This is none other than Keppel DC REIT. While most REITs invest mainly in retail, industrial, commercial or hospitality, Keppel DC REIT is the first REIT that purely invests in data centres. Since it is the only data centre REIT, I decided to do some research and see if it is worth investing for long term dividends.

Now, what is a Data Centre? One slide from Keppel DC REIT’s Investor Presentation says it all. Basically, it is a building with facilities that house servers and network equipment, supporting clients’ critical business operations. The business requires technical expertise and intricate understanding of the industry and clients’ needs.

Keppel DC REIT’s portfolio comprises of 15 data centres across 8 countries namely Ireland, United Kingdom, The Netherlands, Germany, Italy, Malaysia, Singapore and Australia. Thus, 67.4% of portfolio are in Asia Pacific and 32.6% are