The hard lob is backed by a recent $50 million in third-round funding for the one-year-old company. "We intend to be extremely aggressive in those two markets this year," Dov Hertz, Everest's vice president of real estate partnerships, tells GlobeSt.com. "Obviously we have a good start with the Crescent pact." The play doesn't stop in Texas, says Hertz. Everest is looking to expand its New York City portfolio, which represents 40% of the 300 million sf that is under contract, as well as beefing up portfolios in Washington, DC, Montreal, Toronto and Los Angeles.
The Crescent pact calls for Everest to join other broadband providers in 45 buildings in Dallas, Houston, Denver, San Francisco and Miami. Hertz says class-A office buildings will be wired "as soon as possible. We are anxious to get in there and start competing." Under the contract, Everest has until Dec. 1 to wire the buildings.
Everest, unlike other broadband providers, has selectively chosen the properties that will be wired. Hertz says that blueprint is key to Everest's success in the marketplace since it is not taking on structures that are cost-prohibitive to connect.
The higher-profile Crescent properties being connected are the 1.3-million sf Crescent Office Towers, located at 200 Crescent Court in Dallas; the two-million combined sf of Houston Center 1 and 2, situated at 1331 Lamar St.; and the 600,000-sf MCI Tower, positioned at 707 17th St. in Denver.
In line with the Dallas-Houston thrust, Everest will set up a point of presence in the Big D for its equipment and a Texas sales office. Hertz is not revealing as yet where the site will be, but did say that Everest will be sharing space with another telecom provider.
Everest is a rising star in the industry. Its 300 million sf under contract has given the firm a growth rate of one million sf per day. Company officials say they have surpassed their first-year goal to get links in 200 commercial buildings. Everest's portfolio includes such prestigious properties as the Crystal City complex in Washington, DC, New York City's Chrysler Center and the GM Building at Trump International Plaza.
Part of the $50 million that has just been raised, with Exelon Capital Partners as the lead investor, will be used to buy competitors, says Hertz. Everest shifted into the acquisition mode in August when it bought Metrocomm International Inc.
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