Terremark said on Wednesday that it will move its data center from the Level 3 facility in Dallas it currently occupies into a newly leased turn-key space in a Digital Realty Trust data center in the city.

The move will expand Terremark's footprint in Dallas - a very active data center market, where prices are up due to demand for data center space outpacing the available supply. Sheila Bellinger, a Grubb & Ellis Data Center Group executive, said in December that about 1.5 million square feet of data center space had been absorbed by the Dallas-Fort Worth market over the past three years.

"When analyzing our options for expanding our presence in the Dallas area, we realized working with Digital Realty enabled our company to provide customers with our full suite of services from a robust facility in a timely and cost-effective manner," Terremark's GM of Hosting Services Randy Rowland said in a statement.

The move will expand the company's data center floor in the Dallas area from the current 7,000 square feet in the large Dallas Gateway carrier hotel at 3180 Irving Blvd. to 10,000 square feet at the DRT site. More space in Terremark's new facility is available for future expansion, if necessary.

The company will use its new data center to support its managed hosting, colocation and cloud-based services. It will begin moving its assets from the current facility in the second quarter of this year.