Malaysia
Johor’s data centre surge unsettles Iskandar Puteri residents, some consider selling homes
Residential properties near data centre developments and high-voltage transmission towers in Iskandar Puteri, Johor, have reportedly raised concerns among homeowners over noise, environmental conditions and property values. — AFP file pic

JOHOR BAHRU, Nov 3 — Johor’s rapid expansion of data centres has reportedly raised concerns among residents in Iskandar Puteri over noise, environmental conditions and the potential impact of nearby infrastructure on property values.

According to Singapore’s The Straits Times, some homeowners are considering selling their properties following the construction of data centres and high-voltage transmission towers near residential neighbourhoods.

Among them is finance manager Lee Shi Qing, 38, who reportedly put her RM1 million terraced house in Eco Botanic up for sale after construction began on a nearby 64-megawatt data centre by TM Nxera, a joint venture involving Telekom Malaysia and Singtel’s Nxera.

“I do have some concerns about living close to high-voltage lines, which is part of why I’m selling,” she told the Singapore newspaper.

Johor-based property consultant Samuel Tan reportedly warned that the presence of transmission towers could discourage potential buyers, even where scientific evidence does not establish a health risk.

The concerns come as Johor recorded 4,222 unsold completed homes and 9,946 unsold serviced apartments in the first half of 2026, the highest figures nationwide, according to the National Property Information Centre.

The state currently has 65 data centre projects at various stages of approval, while its operational IT capacity has reached 1,110MW, making it the Asia-Pacific region’s third-largest data centre market after Tokyo and Singapore, according to figures cited by The Straits Times.

Residents in Nusantara Prima and Nusa Bayu have also reportedly complained about construction dust, persistent humming noises and higher temperatures, which they believe are linked to nearby data centre developments.

Nusantara Prima kindergarten operator Mohanambal Rethinam told the newspaper that enrolment had fallen from 50 children in 2025 to 20 this year, with some parents expressing concerns about the surrounding environment.

Another resident, Nooraini Jaafar, 68, reportedly expressed concern that proximity to a data centre could make her terraced home harder to sell, despite its estimated value rising from RM400,000 in 2014 to RM600,000.

However, Universiti Teknologi Malaysia professor Mohd Fadhil Md Din cautioned against assuming that transmission lines posed a health risk to residents living hundreds of metres away.

“Where residences are genuinely 200m to 300m away, the scientific evidence would not support a blanket conclusion that residents are experiencing dangerous EMF exposure or that relocation is required on health grounds alone,” he told The Straits Times.

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