EdgeCore Buys 37 Acres in Sterling For Data Center Campus
Separately it has been reported that Corporate Office Properties Trust is under contract to acquire 78 acres in Sterling with plans to develop multiple data centers for Amazon Web Services.
STERLING, VA–Land in this submarket is in high demand for data center development as two recent transactions show. In one, the Denver-based company EdgeCore Internet Real Estate has acquired has acquired 36.8 acres of land on which it plans to build its Northern Virginia data center campus.
The second transaction is by Corporate Office Properties Trust, which, according to the Washington Business Journal, is under contract to buy 78 acres in Sterling where it will develop multiple data centers for Amazon Web Services.
Entering Northern Virginia
For EdgeCore this transaction represents its entry into the Northern Virginia market. Since closing its initial capital raise in February 2018, EdgeCore has acquired land to build data center campuses in the Dallas, Phoenix and Reno markets. “Our entry into Northern Virginia represents our fourth market over the past six months and we remain focused upon entering additional markets over the next year,” says Tom Ray, chairman and CEO of EdgeCore, in a prepared statement.
A Growing Market
Not surprisingly, considering the demand there is for data center operations, the global data center construction market is expected to post a CAGR of over 11% during 2018-2022, according to a research report by Technavio. That said, the report also finds that the growth momentum of the market is expected to decelerate due to a decline in the year-over-year growth. If found that the Americas led in 2017 with a market share of close to 49%, followed by EMEA and APAC respectively. However, during the forecast period, the EMEA region is expected to show the highest incremental growth followed by the APAC region.