With its US$990 million ($1.33 bil­lion) IPO last December heav­ily subscribed, Digital Core REIT (DC REIT) was also one of the better-performing new is­sues for 2021, ending the year at 32% above its IPO price of US$0.88 ($1.18). It closed on Jan 24 at US$1.18.

Investors like DC REIT for its profile as a REIT for data centres, which are characterised by long leases and blue-chip tenants with big names in the tech industry and underpinned by long-term growth in demand. In addition, its sponsor, Digital Realty Trust, a leading data centre player, has not just the bulk in terms of its existing pipeline and portfolio, but also access to cutting-edge and environ­mentally-friendly processes.

For instance, Digital Realty has access to liquid cooling systems which are preferred for edge computing. It has implemented over liquid-cooled bare metal servers at its data centre in Singapore, although the facility is not part of DC REIT. Air cooling is unsuitable for edge deployments located in urban envi­ronments because of pollution, experts say.

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