Digital Realty Trust, Inc. a leading owner and manager of corporate datacenters and Internet gateways, has announced the acquisition of a partial interest in the primary Internet gateway for the Pacific Northwest market located in downtown Seattle, Washington and fee simple interests in datacenter facilities located in Miami, Florida, Waltham, Massachusetts and Tempe, Arizona. The total purchase price paid for these four acquisitions was approximately US$79.1 million.
"The addition to our portfolio of the Seattle Internet gateway facility, locally known as the Westin Building, represents a very strategic initial acquisition for us in this tier one market. It not only expands our national footprint into the Pacific Northwest, it also adds to our existing portfolio of mission critical Internet gateway facilities in Chicago, Dallas, San Francisco, Los Angeles, Miami, Phoenix and Charlotte," said Michael F. Foust, Chief Executive Officer of Digital Realty Trust. The 2001 Sixth Avenue property serves as the primary hub for Internet traffic in the Pacific Northwest and is the premier facility for corporate datacenter applications in the Seattle market. The 34-story tower consists of 389,000 square feet and is 90% leased. Approximately 185,000 square feet is built out as technical space and supports a variety of telecom functions including colocation space and meet-me-rooms.
The second property, located at 2300 NW 89th Place in Miami, Florida, was acquired in a sale leaseback transaction, which included a new 10-year lease with Peer 1 Network Enterprises, Inc. for 100% of the property.
The third acquisition is a 30,400 square foot single-story building that was redeveloped as a mission critical datacenter in 1998. The property, located at 600 Winter Street in Waltham, Massachusetts, is 100% leased to Savvis.
The fourth acquisition consists of a vacant warehouse facility totaling approximately 55,000 square feet of shell space, which can accommodate approximately 30,000 square feet of raised floor. The property is located at 2055 East Technology Circle in Tempe, Arizona's ASU Research Park. Digital Realty Trust has begun the master planning process to redevelop the ground floor into highly-improved, turn-key datacenter space.
"2055 East Technology Circle in Tempe currently has space available to support mission critical corporate datacenters, offering corporate customers in the Southwest the choice of move-in ready Turn-Key Datacenter space or Build-to-Suit space for custom datacenter projects. We look forward to working with customers in that market where first-class technology real estate is increasingly hard to find," said Foust.