GAINS 300,000 SQF OF GROSS DATA CENTER SPACE
Colocation, interconnection, and managed cloud services provider DataBank, has just announced the completion of its acquisition of four operational data centers in Houston, Texas.
As announced in January, the four data centers belonged to CyrusOne which collectively feature over 300,000 square feet of raised-floor data center capacity, and 42.5MW of power. At the close of this acquisition deal, the total consideration for the transaction is approximately $670 million.
“DataBank has deep roots in Texas, and we are excited to strengthen our partnership in the state even further with this expansion into the Houston market. We look forward to bringing our digital infrastructure to the fourth largest metro in the U.S. This acquisition underscores our commitment to this market and our belief in its continued prosperity,” said Raul K. Martynek, CEO of DataBank.
Under the terms of the agreement, DataBank has now acquired the data center located at 4201 Southwest Freeway formerly known as the CyrusOne Galleria, and the Houston West Campus which houses West I, West II, and West III facilities. However, CyrusOne will lease the Houston West III shell to support a lease signed with a hyperscale customer.
“We are excited to close this transaction as we execute on our capital recycling initiative to fund our continued growth. We are pleased to partner with the DataBank team, and this divestiture further optimizes our portfolio as we redeploy capital into accretive developments across core markets,” said David Ferdman, Interim President & Chief Executive Officer of CyrusOne.
This transaction makes Houston the 28th metro market in DataBank’s U.S. portfolio, bringing the company’s total data center footprint to 65+ facilities and 2 million square feet of raised-floor data center capacity.
For this transaction, Jones Day served as legal advisor to DataBank while DH Capital, LLC and DLA Piper LLP served as CyrusOne’s financial and legal advisors.