3000 Skyline Dallas Completes Powered Shell

<img src="/sites/datacenterknowledge.com/files/wp-content/uploads/2009/06/3000skyline.jpg" width="470" height="237" /> The developers of 3000 Skyline Dallas said this week that they've completed construction on the enormous project in Mesquite, Texas, which offers 750,000 square feet of powered shell space.

An aerial view of 3000 Skyline, the CAPSTAR/Cambay project in Mesquite, Texas.

The market for "powered shell" space has slowed in recent years with the emergence of a vibrant market for wholesale data centers, in which the landlord delivers finished raised-floor space to the tenant. But the companies who remain interested in powered shell developments now have a large new player to consider in the Dallas market.

The developers of 3000 Skyline Dallas said this week that they have completed construction on the enormous project in Mesquite, Texas, which offers 750,000 square feet of powered shell space. The property, which is located about  nine miles from downtown Dallas, features an on-site substation with an initial capacity of 40 megawatts of power (expandable up to 100 megawatts) from Oncor Electric Delivery Company.

“3000 Skyline Dallas is one of the country’s five most powerful data centers, providing sufficient electrical power for any configuration today and for years to come,” according to John Patterson, a principal of Dallas-based CAPSTAR Commercial Real Estate Services, which developed the property along with The Cambay Group of  Walnut Creek, Calif.

Tenants Weigh Construction Costs
In the powered shell model, which was prevalent in the early years of the data center industry, the landlord provides undeveloped space with the power and fiber connectivity already in place,  and the tenant is responsible for the expense of building out the data center space. The shift towards wholesale plug-n-play space was accelerated by the economic crisis, as companies clung tightly to capital and were less willing to fund the construction cost for data center space, which can reach $1,000 a square foot.

That trend is best seen in the portfolio of Digital Realty Trust, the world's largest developer of data center space, which offers both powered shell and turn-key products. In the first nine months of 2010, Digital Realty signed leases for 430,000 square feet of turn-key space and 90,000 square feet of Powered Base Building.

Power May Differentiate Property
But the developers of 3000 Skyline Dallas believe the powered shell model is still attractive for large users who are building "Internet-scale" infrastructure and require a large physical footprint and vast amounts of power. The Mesquite campus has an abundance of both.

The 3000 Skyline  property offers data center footprints from 45,000 square feet to 753,000 square feet. The campus is divided into four quadrants, each equipped with a separate internal entrance for individual user security, individual electrical distribution with redundant feeder circuits and a new FM I-135 roof.

“CAPSTAR has been involved in a number of the nation’s most successful data center projects,” said Patterson. “From concept to completion, 3000 Skyline Dallas is truly a one-of-a-kind facility. The most compelling elements here are the electric power availability and reliability provided by the on-site substation and the economic incentives offered by the City of Mesquite.”

Mesquite has granted the developers a 10-year, 50 percent abatement on both real property improvements and business personal property.

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