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Every few decades, a traditional industry gets a wake-up call. For India’s real estate sector, that wake-up call might just be artificial intelligence.
In June 2025, Anant Raj Ltd; a company known for developing luxury homes and IT parks in Delhi-NCR, announced a ₹18,000 crore ($2.1 billion) investment to build data centres.
These are secure, infrastructure-heavy facilities designed to house servers, cooling systems, and support the growing demand for AI and cloud services.
The company plans to add two new data centres in Haryana, aiming to reach 300+ megawatts of capacity by 2032. It already has one operational facility and wants data infrastructure to make up 40% of its revenue in the next 4 years, up from just 5% today.
But, why is a real estate company going all in on server farms? What’s behind this ₹18,000 crore gamble? And why are Indian firms from Reliance to RMZ Corp racing to do the same?
Let’s decode!
First, what’s driving this shift?
Three things: AI, cloud computing, and data localisation.
India is one of the biggest creators of digital data in the world; responsible for 28% of global data generation, according to Anant Raj’s MD Amit Sarin. Yet, only 1% of that data is stored locally. The rest is stored on servers abroad. But that’s changing.
New government norms, combined with the boom in AI tools, OTT content, and digital banking, mean more companies want their data hosted inside India for compliance, speed, and cost.
This has triggered a data gold rush. Real estate firms with access to land and power are perfectly positioned to capitalize. They’re now building specialised infrastructure to house servers; what we call data centres.
India’s data centre market is booming
Because India’s digital infrastructure gap is closing fast.
According to a 2025 JLL report, India’s data centre capacity is set to grow 77% in just 4 years i.e. from 1 GW to 1.8 GW. That’s one of the fastest growth rates globally.
And it’s not just Anant Raj. Adani Group and Reliance Industries have already announced massive data centre expansion plans. RMZ Corp is spending $1.7 billion on two such facilities. Panchshil Realty is exploring a partnership with Blackstone to build one in Mumbai.
It’s no longer about just building homes or office towers but about building the backend of India’s AI economy.
Key players and investments:
What’s in it for Anant Raj?
More than just rentals.
Unlike traditional real estate, data centres offer long-term, annuity-style cash flows. Tenants (usually large tech firms or cloud providers) sign multi-year leases and often pay premium rates.
Anant Raj has also tied up with Orange Business (a French IT firm) to offer cloud services alongside infrastructure allowing it to become a full-stack provider, not just a landlord.
With ₹18,000 crore in planned investment, the company is funding the project from internal accruals, not debt. That signals confidence and ambition.
Why does this matter for India’s digital future?
This is about more than just one company. It’s about India’s leap from digital consumption to digital infrastructure.
Moody’s Analytics recently noted that India, Singapore, and Malaysia are becoming top destinations for AI-linked investments like data centres and semiconductor plants. The reasons are clear: low costs, strong tech talent, and favourable government policies.
India’s role is shifting from being a consumer of digital content to becoming a hub for hosting and processing it. That transformation needs backend infrastructure. And companies like Anant Raj are positioning themselves to meet that demand.
Zoom out
Anant Raj’s ₹18,000 crore investment is a signal of how legacy real estate firms are adapting to India’s digital future. As data localisation norms tighten and AI-led services grow, data centres are becoming the next real estate frontier.
Across the board, India’s data centre ecosystem is seeing capital flow from every direction: real estate developers, infrastructure conglomerates, global operators, and hyperscale cloud providers. The sector has already drawn $15 billion since 2020, and is projected to attract another $20–25 billion by 2030. Anant Raj is positioning itself early in this cycle, with the right land, strategy, and partners in place to ride this long-term digital infrastructure wave.
FAQs
Why is Anant Raj investing ₹18,000 crore in data centres?
Anant Raj Ltd. is investing ₹18,000 crore ($2.1 billion) to tap into India’s booming demand for data storage, cloud services, and AI infrastructure. With data localisation norms and digital services growing rapidly, the company sees data centres as a long-term revenue driver and is targeting over 300 MW of capacity by 2032.
What is Anant Raj Ltd.'s plan for data centre capacity?
The company plans to build two new data centres in Haryana, in addition to one already operational. It aims to achieve over 300 megawatts (MW) of total capacity by 2032, making data infrastructure a key part of its business portfolio.
How much of Anant Raj’s revenue will come from data centres?
Anant Raj expects data centres to contribute more than 40% of its total revenue in the next four years, up from just 5% currently. This marks a significant shift from traditional real estate to digital infrastructure.
Where are Anant Raj’s data centres located?
Anant Raj’s operational and upcoming data centre projects are located in Delhi NCR and Haryana. These locations are strategically chosen for connectivity, power access, and proximity to enterprise clients.
Is Anant Raj funding the data centre project through debt?
No. The company is funding its ₹18,000 crore data centre investment through internal accruals. This means the project is being financed without taking on debt, reflecting strong financial confidence.
Why are Indian real estate firms entering the data centre market?
With rising demand for cloud computing, AI services, and strict data localisation laws, real estate developers are leveraging land and power access to enter the high-growth data centre space. It offers recurring revenues and long-term lease models.
Which other companies are investing in Indian data centres?
Major players include Reliance Industries, AdaniConneX, NTT DATA, CtrlS, Nxtra (Airtel), STT GDC, and RMZ Corp. Collectively, India’s data centre sector has attracted over $15 billion since 2020 and is projected to reach $25 billion by 2030.
What is the future of India’s data centre market?
India’s data centre capacity is expected to grow by 77% to 1.8 GW by 2029, driven by AI, 5G, cloud adoption, and digital services. The sector is one of the fastest-growing globally, with strong government and investor support.
What is the partnership between Anant Raj and Orange Business?
Anant Raj has partnered with French IT firm Orange Business to offer cloud services alongside its data centre infrastructure. This helps the company provide end-to-end solutions and move beyond being just a real estate landlord.
How does data localisation impact data centre growth in India?
India’s data localisation laws require companies to store certain types of data within the country. This has created massive demand for local data centres, as businesses seek secure, compliant, and cost-effective infrastructure within Indian borders.
