An aeronautics corporation and an Internet enterprise company currently occupy 167,000 sf. According to a statement by Michael Foust, CEO of Digital Realty Trust, the remaining 265,000 sf will be included in the company's value added inventory of space held for redevelopment, "which has the potential to support over 160,000 sf of highly improved datacenter space."
According to Chris Crosby, SVP of sales and technical services, the company is well under way with its redevelopment and master planning of the property and will implement the first phase later in 2007.
Digital Realty Trust now owns six properties consisting of 10 buildings that total approximately 770,000 sf in Northern Virginia with this acquisition. According to Foust, it is one of the top markets for data center space in the country.
Another company announced this week a similar investment in the Northern Virginia's data center market: Equinix Inc., a provider of network-neutral data centers and Internet exchange services, says it will build a new 85,000-sf Internet Business Exchange data center adjacent to the four other data centers it operates in the Dulles Corridor. It will invest $70 million in the construction, of which approximately $45 million is expected to be incurred this year.
By contrast, the Digital Realty Trust spokeswoman says that the company rarely builds data centers. "We only have one project that is a greenfield and that is in Europe. Our strategy is to acquire income producing properties so we don't have to go through the entitlement process."
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
