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$330 Million for Lehman’s Two NJ Data Centers
September 22nd, 2008 : Rich MillerBarclays will pay $330 million for two Lehman Brothers data centers it is acquiring as part of a larger deal to purchase assets of the bankrupt investment bank. The two data centers are both located in New Jersey, in Piscataway and Cranford.
The valuation emerged from a bankruptcy court hearing in which the purchase price for the real estate components of the deal were adjusted to $1.29 billion, including $960 million for Lehman’s New York headquarters and $330 million for the data centers. Lehman’s original estimate valued its headquarters at $1.02 billion but an appraisal this week valued it at $900 million.
Last week we noted the critical role of real estate , which represented the majority of the value in Barclays bid for the Lehman assets, which originally bore a price tage of $1.75 million but was adjusted by the bankruptcy court. While the Lehman headquarters is the big-ticket asset in the deal, the $330 million valuation for the two data centers is also higher than the $250 million valuation of Lehman’s North American investment banking and trading unit.With more than $600 billion in pre-petition assets, the Lehman case dwarfs the second-largest U.S. bankruptcy, WorldCom, whose 2002 bankruptcy had assets over $100 billion.
Updates about data center value - Security and the Net
Posted September 22nd, 2008[...] space Barclays is buing from Lehman gives a total of $174 million. That is a lot closer to the $330 million that was paid by Barclays. The difference might be explained by the location of the centers, or the value of the computer [...]
data mine
Posted September 24th, 2008Anyone know exactly where the data centers are located? Google brings up 27 Commerce Drive, Cranford NJ for the Cranford site – but I cannot locate the Piscataway NJ location.
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