Colocation and interconnection services provider Telx is planning to bring a large data center online in New York City by the end of 2012, the company’s CEO Eric Shepcaro said.
Not much retail colocation space is currently available on Manhattan –while the demand is high –and Telx is working not to miss the opportunity.
“We believe that there’s far more demand than there is supply, particularly on the island, so we will be adding space on Manhattan before the end of 2012,” Shepcaro said.
Telx has not decided how much space it will add exactly or where. Shepcaro expects the company to make this decision by the end of the first quarter.
The company is looking at a variety of options. Three major data center developments are underway in the city by companies planning to offer build-to-suit wholesale pods. Telx is examining these options, but the company is also looking at buildings it can build out on its own.
The company currently has two data centers in New York City, both in the city’s major carrier hotels. Telx recently brought online 40,000 sq ft of space at the Google-owned building at 111 8th Ave.
The colocation company is leasing this space from Digital Realty Trust in what was reportedly the last wholesale data center lease deal made in that building before Google bought it and took all available space off the market, according to Grubb & Ellis.
Telx also has a small amount of live space available at the carrier hotel at 60 Hudson St. This location is one of the few wholesale-lease options Telx is looking into.
A company called DataGryd is upgrading the building’s power infrastructure, including installation of a co-generation plant, and is selling build-to-suit options on the four floors it has in the building. DataGryd CEO Peter Feldman was one of Telx’s co-founders.
Telx also has a major capacity expansion underway in the neighboring state of New Jersey, where it is preparing to bring online Phase 1 of its 214,000 sq ft data center.