DigiCo has signed a 71MW lease for a Sydney data center with an unnamed technology firm, including the reallocation of 20MW of existing contracted capacity.

DigiCo Infrastructure REIT has secured a major customer for its Sydney data center in Australia.

The ASX-listed company announced this week that it has signed a 15-year contract for 71MW of capacity at its SYD1 facility in Sydney with an unnamed global technology firm. The contract is backed by "investment-grade credit support."

The facility is set to reach 88MW once current upgrades and expansions are complete. It is now 100 percent leased.

The contract includes the reallocation of 20MW of existing contracted capacity to the new customer. The remaining 17MW of SYD1 capacity is leased to co-location customers.

DigiCo is in the midst of expanding the SYD site, which is set to nearly double its capacity. The company said the first 10MW of the SYD1 Expansion is expected to be energized and income-producing in late Q4 FY27, with the balance delivered progressively over FY28, in line with customer requirements.

Simon Mitchell, co-head and CFO of DGT, said: "Execution of the 71MW contract at SYD1 is a key milestone for DGT, taking the site to 100 percent contracted across 88MW of total capacity. The 15-year agreement with a global technology firm provides long-term earnings visibility, supported by investment-grade credit backing. It validates the quality of our infrastructure and strengthens the quality of cash flows from our portfolio."

HMC Capital, an investment manager, acquired Global Switch's Australian business in 2024. The business comprises a two-building facility in the Ultimo area of Sydney. HMC Capital then launched and floated DigiCo Real Estate Investment Trust, a new company that holds its data center assets, including the Sydney facility.

"When we acquired SYD1, our business plan was to fully lease and develop the site to 88MW over five years, and we now expect to reach that milestone well ahead of our original plan," Mitchell added.