HILLSBORO, OR-Fortune Data Centers, a San Jose, CA-based company that provides wholesale data center space for corporate customers, is expanding to this Portland suburb on a 15-acre site with a 240,000 square foot industrial building in an enterprise zone. Fortune bought the site in May and is already over 55,000 man hours into the phase one construction project, according to Matt Mochary, CEO of the company.
The new data center will produce 7.8 megawatts of critical load capacity, and at completion is expected to add 20 to 40 full time jobs in addition to tenant employees in a building that was vacant for five years. Phase one is expected to be completed and Level 5 commissioned by the second quarter of 2012.
“We chose Oregon because it has excellent energy and communications infrastructure as well as a favorable tax structure for capital investment," Mochary said in an announcement regarding the project. "For example, tenants who update and replace IT equipment pay no sales tax, which translates into as much as 30% yearly savings for their data center operations." By locating in an enterprise sone, he added, building tenants will reap the same cost benefits as those of the biggest Internet companies building their own data centers in Oregon, such as Facebook, Google and Amazon.
Oregon has no sales tax and, in the enterprise zones, no business property tax, noted Jill Miles, national recruitment officer for Business Oregon. “This constitutes a large savings for capital intensive businesses like data centers, which buy expensive IT equipment and then must replace it regularly," Miles pointed out.
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