Westcore Properties has bought a property in Sunnyvale, California, that includes a three-story office building and a one-story CenturyLink data center. The telco and data center services company is the data center’s sole tenant.
The facility was one of 17 data centers CenturyLink added to its portfolio when it acquired Qwest Communications in 2010.
Westcore, a San Diego, California-based commercial real estate firm, bought the 165,000 square foot property from WTA Kifer, a real estate LLC based in Palo Alto, for $52.7 million.
A CenturyLink spokesman told us CenturyLink’s operations in the data center have not been affected by the acquisition. The data center tenant recently signed a five-year renewal on the lease, Victoria Grether, Westcore’s vice president of acquisitions and asset management, told Silicon Valley Business Journal.
Marc Brutten, Westcore chairman and founder, said the company now owns 3.5 million square feet of commercial space in the San Francisco Bay Area.
“We will be undertaking a major renovation of the office complex, which will help us to attract strong tenants,” he said in a statement. “We anticipate meaningful demand for space throughout the property once it is completed in the middle of this year.”
According to Business Journal, one of the highest-profile deals Westcore has done recently was an acquisition of a former printing plant of the San Francisco Chronicle. The real estate company tore the building down to replace it with a manufacturing and distribution building, which, once complete, will be sold to Terreno Realty Corp.