Serverfarm, a wholesale data center developer and operator, and NantWorks, an investment vehicle of billionaire Patrick Soon-Shiong, today announced they have acquired a data center located in the Los Angeles metro area, from T5 Data Centers for $71m. Specifically, the data center which Serverfarm is branding as LAX1 comprises 12 megawatts of power capacity and 118k sqft.
Serverfarm is financially backed by the Red Sea Group, an Israeli real estate investor, which formed the company in 2010. Overall, the Red Sea Group is an investor in the real estate sub-sectors of hotels, residential, and data centers.
LAX1 Data Center – Overview
Serverfarm’s new LAX1 Data Center is located in the Los Angeles metro area, in close proximity to movie production studios, aerospace & defense contractors, research & development organizations, and corporate campuses. Presently, the facility’s customers include hyperscale, transportation, healthcare, and government tenants. For example, key customers of Serverfarm include Amazon, Amdocs, AT&T, Google, Lumen Technologies, and Verizon.
Additionally, the LAX1 facility connects to Tier 1 network (i.e., Internet backbone) and dark fiber providers, offering global network on-ramps.
Strategy of Serverfarm
Serverfarm and NantWorks’ acquisition of the LAX1 data center from T5 Data Centers is a continuation of the company’s strategy to acquire existing data center assets that are under-utilized. Indeed, post-acquisition, the company typically seeks to enhance the efficiency of the data centers it acquires, as well as create additional power capacity. Therefore, the company’s strategy focuses more on brownfield (i.e., M&A) as opposed to greenfield data center developments.
Overall, Serverfarm states that it intends to grow the LAX1 data center’s power capacity beyond 12 megawatts. Specifically, the company’s development and construction engineering team determined that it could upgrade the facility’s mechanical & electrical equipment to increase its power capacity. Notably, the LAX1 data center has 22 megavolt amperes (MVA) of total power available.
Serverfarm – Data Center Portfolio
Serverfarm owns and operates 8 data centers, representing 135 megawatts of power capacity. Collectively, these data centers comprise 1.1 million sqft, in the United States, Canada, the United Kingdom, and the Netherlands.
United States and Canada – Data Centers
In the United States and Canada, Serverfarm operates 6 data centers, representing 104 megawatts of power capacity and 764k sqft. Explicitly, below is a breakdown of the key data center metrics in the United States and Canada by location:
- Atlanta, GA (ATL1): comprises 20 megawatts of power capacity across 153k sqft of space
- Chicago, IL (CH1): comprises 20 megawatts of power capacity across 134k sqft of space
- Oak Brook, IL (CH2): comprises 4 megawatts of power capacity across 194k sqft of space
- Los Angeles, CA (LAX1): comprises 12 megawatts of power capacity across 118k sqft of space
- Moses Lake, WA (TiTAN): comprises 34 megawatts of power capacity across 136k sqft of space
- Toronto, ON (TOR1): comprises 14 megawatts of power capacity across 30k sqft of space
Europe – Data Centers
In Europe, Serverfarm operates 2 data centers, representing 30.5 megawatts of power capacity and 314k sqft. Explicitly, below is a breakdown of the key data center metrics in Europe by location:
- Amsterdam, NL (AMS1): comprises 20 megawatts of power capacity across 194k sqft of space
- London, UK (LON1): comprises 10.5 megawatts of power capacity across 120k sqft of space