Coldwell Banker Commercial Advisors DFW’s Data Center Group has completed its first transaction in the Dallas-Fort Worth market, securing a 136,000-square-foot, Tier IV-designed facility for a new investor in the field, SkyWalker Property Partners.
The property is located at 6001 Campus Circle W. in Irving, the longtime data center and back-office hub for a multinational financial services firm. Ryan Crabtree, vice president of CBC Advisors’ growing data center group, represented the buyer of record, Tech the Halls LLC, and is now leasing the facility for the locally based investment group.
“I’ve been watching that property for a couple years after hearing the occupant might move its data center operation to Omaha,” Crabtree said. “It’s a rare opportunity because of the existing infrastructure of power and fiber.”
In the mid-1980s, the two-story structure was expanded to 136,000 square feet from 40,000 square feet and outfitted with five back-up generators totaling 8,100 kilowatts of power, 8,500 kilowatts of transformer power from two substations and fiber networks for 20 suppliers, including five long-haul providers. The transaction included all electrical, mechanical and information technology equipment plus a two-acre ground lease with Dallas Fort Worth International Airport to provide additional parking. The seller was represented by Steve Berger of CBRE.
Dallas-Fort Worth is a leading market for the data center industry, ranked second only to Northern Virginia for demand, absorption and specialized construction. Strong demand this year is attributed to an influx of hyper-scale cloud providers and data center/back office technology expansions by Fortune 500 companies, many of which are headquartered in Irving. Crabtree’s prospective tenant list also includes digital or crypto currency firms, which are gaining acceptance as values soar on U.S. and foreign stock exchanges.
“This is a Tier IV facility, the highest possible ranking. The space could be re-commissioned in a short time. Ideally, we’d like a single tenant, but we could accommodate two or three,”
Crabtree said. “The existing power and connectivity at the property builds in a competitive rental rate.”
The make-ready to date includes exterior enhancements and an updated security system. The interior will be altered as needed. It presently is configured with a 74,500-square-foot data raised floor, 34,0000 square feet of office space and 27,500 square feet of infrastructure space, including a generator plant, and loading dock.
SkyWalker Property Partners’ new asset, situated on 4.7 acres, is adjacent to a Dallas Area Rapid Transit station. Close by are high-tech campuses for telecom giant Verizon and QTS, a provider of collocation, cloud and IT services in North America, Europe and Asia Pacific.
“This transaction represents a strong start for CBC Advisors DFW’s data center group in Texas and SkyWalker Property Partners’ investment in the industry,” said Crabtree.