Data center developer Digital Realty Trust (DLR) has expanded its presence in the Sacramento market with the acquisition of 11085 Sun Center Drive, a 69,000 square foot data center facility located in Rancho Cordova, Calif. The property is fully-leased on a long term, triple net basis to a "leading business continuity and network services provider." Digital Realty paid $30 million for the property, continuing its initiative to buy additional income properties, which generate revenue through rent from existing tenants.
"This acquisition adds a newly renovated, high quality, and fully leased operating asset to our portfolio at an attractive going in cap rate," said Scott Peterson, Chief Acquisitions Officer for Digital Realty. "The property is located near our 3065 Gold Camp data center facility, expanding our presence in the Sacramento market and contributing to our revenue stream with a long term, stabilized lease."
The property delivers 2,740 kilowatts of critical load and was renovated in 2009 and 2010 by the seller, TRES (Telecom Real Estate Services). Improvements to the facility included a new roof, new UPS modules, an updated HVAC system, as well as new fuel, building management, security and fire-suppression systems.