Sila Realty Trust sold its data center portfolio for more than $370 million more than it paid to acquire the facilities.
In May Sila Realty Trust – previously known as Carter Validus – announced it was selling 29 data centers to Mapletree Investment Trust for $1.3 billion in order to focus on healthcare properties. The deal has since closed, leaving Sila as a pure-play healthcare REIT.
According to SEC filings, Sila acquired the portfolio of 29 properties across the US for $949.7 million over a number of years. The company sold the portfolio for $1.32 billion, suggesting a gain of just under $400 million.
Sila said the sale price generated net cash proceeds of $1.27 billion after transaction costs, loan payoff costs, and ‘other prorations’.
The properties totaled around 3.3 million rentable square feet and $75.5 million in rent. The properties had an occupancy rate of 88.8 percent and average reaming lease terms of 8 years.
While the value of each property hasn’t been publicly revealed, the facilities that have been reported have all shown increased valuations compared to what Sila originally paid. The company bought a Lumen-operated data center in Minnetonka, Ohio, for $19.9 million in 2015 was reportedly sold to Mapletree for $26 million.
A DataBank-operated facility in Eagan, Minnesota, bought by Sila for $5.8 million in 2015 was sold for $9 million.
BizJournal reports two facilities part of the Sila-Mapletree deal in the city Rancho Cordova, California, jumped by more than 50 percent in three years.
Mapletree bought the two data centers at 11085 Sun Center Drive and 3065 Gold Camp Drive last month for a combined $77 million. The 62,957 sq ft, 2.5MW Gold Camp colocation site sold for $32 million, while the 62,452 sq ft Sungard Availability Services-operated Sun Center Drive facility sold for $45 million.
Sila bought the two properties from Digital Realty in 2018 for a combined $51 million; Sun Center Drive for $36.8 million and Gold Camp Drive for $14.2 million.
Digital Realty previously acquired the Sun Center property from Telecom Real Estate Services for $30 million in 2011. It acquired the Gold Camp site in 2004.