EL SEGUNDO, CA-Data Center developer T5 Partners of Atlanta has acquired a 121,586-square-foot shell building at 444 Nash St. here from San Francisco-based Base Partners and plans to redevelop it as a data center. Terms of the sale were undisclosed, but industry sources said T5 paid $30 million for the property.
Base Partners was represented by Jones Lang LaSalle managing director Chris Strickfaden, along with managing director Steve Solomon and SVP Curt Holcolmb; the buyer was represented in-house.
Strickfaden, commenting on the sale in an announcement, said: “Jones Lang LaSalle was able to achieve a premium price for Base Partners by showing investors the potential of this property as a premier facility for data center users in Southern California.” He noted that the facility is near Los Angeles International Airport, which is already home to large data centers for Digital Realty Trust and Equinix.
El Segundo offers cheaper power rates then Downtown Los Angeles, a key consideration for data center operators. The property has an on-site 20MVA substation. T5 plans to further expand the facility with a second phase of the project to begin immediately. Upon completion, which is scheduled for the second quarter of 2012, the space will be configurable to client requirements ranging from 2,500 square feet to 72,000 square feet.
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