$375M Nets Data Center Portfolio

BEDFORD, MA-Digital Realty Trust, Inc. is purchasing a portfolio of data centers in New England for $375 million. The portfolio spans two states and three properties, totaling 550,290 square feet. The publicly traded REIT will be paying all cash for the data centers, contingent on the closing of the deal.

The properties will “initially be funded with borrowing under [Digital's] revolving credit facility,” according to Digital’s SEC filing. The properties that comprise the acquisition are 55 Middlesex Tpke. in Bedford, MA; 128 First Ave. in Needham, MA; and 60-80 Merritt Blvd. in Trumbull, CT. The property at 55 Middlesex and a 100% condominium interest make up the majority of the portfolio, clocking 87.5% of the purchased space. The portfolio is up to date for data center standards and is at 98% occupancy, as of Sept. 30, 2009.

The sellers were Sentinel Properties – Needham, LLC, SP – Needham I, LLC; Sentinel Properties – Bedford LLC; and Sentinel Properties – Trumbull, LLC. There are no plans by the San Francisco-based company to renovate the property, as per Digital’s investor statement in the 8-K filing. Digital did not respond to GlobeSt.com inquiries by deadline.