Real estate investor Castleforge and data centre operator Galaxy Data Centers have received full planning consent for a new 15MW data centre at their Redhill campus in Surrey. The approval from Reigate & Banstead Borough Council’s Planning Committee marks a major expansion of the 3.1-hectare Foxboro Business Park site, representing a total project value of approximately £500 million.
The project follows an initial £100 million investment in the campus in late 2024. This next phase involves an additional £200 million injection to construct a two-storey facility housing four data halls and an accompanying office block.
A central feature of the development is its focus on low-carbon technology. The facility is designed to achieve a BREEAM ‘Very Good’ rating and includes infrastructure to capture and reuse waste heat generated by the servers. Beyond on-site use, the design allows for the future export of this heat to the neighbouring residential heat network, assisting the local community’s transition to lower-carbon energy sources.
The expansion is driven by a critical shortage of data centre capacity in the London market—currently the largest in Europe—where demand from AI, cloud computing, and hybrid workloads is significantly outstripping the available power supply.
Mike Adcock, Head of Investments at Castleforge, commented: “Demand for capacity in and around London continues to outpace supply, and this consent enables us to bring forward the additional power and scale required to serve enterprise, hyperscale and edge customers. We are particularly proud of the project’s sustainability credentials, including the potential to export waste heat to local homes.”
Paul Leong, CFO and Partner of Galaxy Data Centers, added: “The new facility will significantly expand the capacity available to our customers and ensure Redhill is positioned to meet the evolving needs of edge, hyperscale and enterprise users. We are proud to be delivering a development that combines operational excellence with meaningful sustainability outcomes.”
The existing Redhill campus already serves a range of Fortune 500 enterprises, particularly within the financial services and AI sectors. It is valued for its low-latency connectivity to major hubs in Slough and the Docklands, as well as its access to secured green energy. With planning now secured, the joint venture will move into the next phase of construction.
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