Goodman's Japanese data centre comes under fire following Sydney site setback

The Goodman Group, Australia's largest property company, is facing criticism over its proposed data centre project in Japan, following a setback in Sydney. This project, expected to be one of the largest foreign investments in digital infrastructure in Japan, is nearing completion in Tsukuba, near Tokyo. The 1 gigawatt capacity project, equivalent to an estimated $20 billion investment, is being viewed with suspicion by local residents.

The controversy began when the project was rebranded as a logistics warehouse in 2023, sparking suspicion among residents. Despite this, the project proceeded, with construction of the first 50-MW phase beginning this year. The 45-hectare site is situated adjacent to a residential block, a hospital, and a nursing home, raising further concerns.

Residents, including Hiroyuki Yanagimachi who formed a group to seek more information, have complained about the lack of transparency and open forums to discuss the project. The group collected around 800 signatures, calling for a public town hall meeting and requesting an open information session, but have not received a response from Goodman.

If negotiations fail, the group is considering protests at the construction site and outside Goodman's Tokyo office. Goodman has stated that its door remains open for a meeting with the residents' association to address their concerns. They have also planned to hold information meetings with residents, though the format is yet to be decided.

Despite protests, Goodman maintains that it is committed to engaging with residents openly and respectfully. The Japan Data Center Council, an industry body Goodman is part of, emphasizes the importance of consultation, stating that engagement should be a forum for mutual understanding.