Server Farm Realty Adds Second Chicago Data Center
January 2nd, 2014 By: Jason Verge
Additional data center inventory is coming to the suburban Chicago area market. Server Farm Realty has acquired a second facility at 800 and 810 Jorie Boulevard in Oak Brook, Illinois, a southwest suburb of Chicago. This greatly strengthens Server Farm Realty’s position in the Chicagoland market, with the new facility serving as a complement to its downtown data center at 840 South Canal.
The Oak Brook facility is 66 percent leased, and it offers prospective customers direct access to numerous existing fiber carriers.
“In addition to being one of the best connected facilities in the Chicago market thanks to its expansive ecosystem of existing technology tenants, the Oak Brook data center features close proximity to robust underground telecoms fiber, as well as optimal power and electrical service,” said Avner Papouchado, President of Server Farm Realty. “Backed by SFR’s deep technical capabilities, the region’s dense fiber optic network, and solid infrastructure, the facility provides tenants with the expertise, connectivity and framework necessary to succeed in today’s saturated technology market.”
The buildings at 800 and 810 Jorie were formerly known as the Oak Brook Technology Center. It consists of two mid-rise office buildings totaling 193,688 square feet of rentable space and sits on 13.49 acres of land.
A Bridge to the Future
The complex was originally built as the corporate headquarters of the Chicago Bridge & Iron Company (CB&I). The 2-story (64,295 square feet) building at 810 and the 3-story (129,393 square feet) building at 800 Jorie Blvd were converted into multi-tenant office buildings after CB&I relocated to the southwest suburb of Plainfield, IL.
Server Farm Realty opened its first Chicago facility at 840 South Canal Street with anchor tenant Peerless Network in June of last Year. 840 South Canal is a 450,000 square foot facility that previously housed a General Electric factory and served as Northern Trust’s data center and operations hub. Server Farm Realty says it has has invested more than $220 million to redevelop and transform the building into a Tier III data center.
“Securing 800 and 810 Jorie Blvd. was strategic in enabling Server Farm Realty to expand its reach throughout the Chicagoland market from our downtown location at 840 South Canal,” adds Mitch Kralis, Vice President of Real Estate for Server Farm Realty. “The acquisition also allows our organization to simultaneously fortify its portfolio with in-demand, high-quality services to fulfill the growing technology needs of our existing and new customers alike.”
Server Farm owns and operates an expanding portfolio of data center properties spanning eight facilities with more than 1.5 million square feet.
The sale of the Oak Brook facility was brokered by Transwestern Managing Directors Gary Nussbaum and Thomas Gorman, as well as Senior Associate David Matheis.
The colocation market for Chicago appears to be strong going into the new year. This comes off the heels of a Digital Realty expansion. Digital Realty bought a campus in Franklin Park back in 2012. The suburban Chicago market is already home to a major data center for Microsoft, as well as facilities for Equinix (EQIX), DuPont Fabros Technology (DFT), Ascent Corp. and Latisys,
Other recent expansions in the Chicago market include NetSource, who is targeting proximity trading, and Continuum, who is planning a new data center. Telx also recently added capacity in 350 East Cermak.