Global investment company Ares Management has announced deals to develop a new data center complex in Spotsylvania County and purchase two data center buildings in Leesburg.
While Ares did not announce the terms of those deals, Bloomberg reported that it paid a total of around $700 million for the two projects.
In a news release, the company announced that it had secured a 314-acre site along I-95 South in Spotsylvania County. This site will be developed to include two data center buildings, with a total capacity of 200 megawatts. It will be “designed, delivered, and operated” by Ada Infrastructure, Ares’ data center development platform.
Separately, the company also purchased two existing data center buildings in Leesburg. The two buildings total 745,000 square feet and 165 megawatts of capacity. They’re fully leased for 15 years to a “leading, investment-grade hyperscale customer” that Ares did not name.
“Northern Virginia represents an attractive, rapidly growing and critical data center market, and these assets, in combination with their investment-grade tenant and triple-net-lease structure, provide predictable cash flows, portfolio diversification and strong upside potential,” David Roth, Global Head of Real Estate Strategy and Growth in Ares Real Estate, said in a release.
Feature image, stock.adobe.com