GI Partners has launched a new fund targeting data centers and life sciences facilities.

The private investment firm has launched the GI Real Estate Essential Tech + Science Fund (ETS Fund), which it says will seek to acquire data center properties, life sciences assets, and always-on R&D facilities within the office and industrial sectors.

The ETS Fund is led by John Sheputis, former president of Infomart.

“Data centers, life sciences assets, and always on facilities support essential functions of the 24x7 modern economy,” said Sheputis. “Our goal is to maximize risk-adjusted returns for our investors by identifying untapped segments of the market where our experience provides a critical competitive advantage.”

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3701 Market St. PA, which the fund acquired this year – Google Maps

Since launching, the fund has already invested in a number of assets:

- Walsh-Bowers Assemblage (207,534 sq. ft., Santa Clara, CA), a portfolio of three buildings in Silicon Valley;

- Mt. Eden Research Park (369,986 sq. ft., Hayward, CA), a six-building life sciences campus in the San Francisco Bay area;

- The Pointe (89,145 sq. ft., Redwood City, CA), two life sciences buildings in the Bay Area;

- 3701 Market St. (140,913 sq. ft., Philadelphia, PA), a purpose-built lab and R&D facility whose infrastructure supports high-quality wet lab, research, medical office, and data center space.

The fund has spent more than $300 million so far this year. The 8-story 3701 Market St, mostly leased to Penn Medicine, was put up for sale in January with a price tag of around $80 million. The Pointe sold for $30 million in April, while Mt. Eden Research Park was bought from BentallGreenOak for $155 million last month. Walsh-Bowers, located opposite a Vantage facility, was bought from Equus Capital Partners and KeyPoint Credit Union for a combined $79 million in March.

Founded in 2001, GI Partners invests in private equity, real estate, and data infrastructure. GI founded Digital Realty in 2004 and contributed 21 data centers it had acquired through bankruptcy auctions to the company. The firm had fully exited the investment by March 2007 through selling of shares.

“Since creating data center pioneer Digital Realty Trust in 2001, GI Partners has been a leader in technology and life sciences real estate. As we celebrate the 20th anniversary of our firm, we look forward to continuing to invest in this space with the launch of the ETS Fund,” added Rick Magnuson, Executive Managing Director and Founder of GI Partners.

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