Teraco expands with JB7 hyperscale facility

Teraco, a subsidiary of Digital Realty and a leader in interconnection platforms and vendor-neutral colocation data centres, has started constructing a new hyperscale data centre at its Isando Campus in Ekurhuleni, located east of Johannesburg

This new facility, JB7, is backed by an R8 billion (approx. US$440mn) syndicated loan and will feature a 40MW critical power load, reinforcing Teraco’s role as a key provider of data centre services in Africa.

Scheduled for completion in 2026, JB7 is designed with advanced sustainable cooling and water management systems to meet increasing demand from enterprises and cloud providers for data centre space. The expansion will raise the Isando Campus’s critical power load capacity to 110MW, further supporting Teraco’s vision of facilitating digital transformation across Africa by providing secure, resilient colocation solutions.

Jan Hnizdo, CEO of Teraco, commented, “South Africa is a springboard for cloud provision into Africa and, as a result, has become the technology and data centre hub for sub-Saharan Africa. Massive global investments into undersea cables, like Equiano and 2Africa, further strengthen this position. This will enable global cloud providers to service not only the South African market but also the rest of the sub-Saharan African region.”

According to Hnizdo, Teraco is focused on expanding capacity at its core hubs, ensuring clients can scale efficiently and leverage digital transformation across sub-Saharan Africa. “We continue to invest significantly in the region’s ICT infrastructure and have built Africa’s largest data centre platform. We take pride in enabling open access interconnection and providing world-class data centre infrastructure for all our clients,” he added.

Innovative data hub

Located in Ekurhuleni’s Aerotropolis, JB7 is Teraco’s ninth data centre development and an expansion of the Isando Campus. This campus offers access to Platform Teraco, connecting enterprises with over 250 network providers, content delivery networks, subsea cable systems, and direct peering opportunities at regional IXPs like NAPAfrica, Africa’s largest internet exchange point.

The JB7 project is a critical step in supporting sub-Saharan enterprises’ digital strategies and aiding global cloud providers in expanding their reach, fostering innovation in the region. JB7 will feature cutting-edge cooling systems, including a closed-loop chilled water system and direct free-air cooling, designed to achieve optimal power and water efficiency while minimising environmental impact. The advanced systems provide liquid-to-air and liquid-to-liquid cooling to support high-density cloud and AI deployments.

The expansion increases Teraco’s critical power load capacity across all facilities to 228 MW, including the Isando Campus JB1/JB3/JB5/JB7 (110 MW), Bredell Campus JB2/JB4 (63 MW), Cape Town Campus CT1/CT2 (53 MW), and Durban (2 MW).

Funding for the JB7 facility and other projects is supported by an R8 billion syndicated loan from Absa and additional financial institutions, partly allocated to renewable energy initiatives. This financing also supports Teraco’s 120 MW solar PV plant, which will contribute power to Eskom’s network, benefiting multiple municipal grids in alignment with Teraco’s ESG goals.

Organisations accelerating digital transformation rely on Teraco for scalable IT infrastructure, hybrid multi-cloud solutions, and connections within the Platform Teraco ecosystem, aligning with their sustainability objectives. This sustainable strategy provides a distinct advantage in today’s connected world, where secure, efficient interconnection with essential business partners is paramount.