Data Center View - January 20, 2025 - Prologis sells 176K SF Chicago data center development

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NEWS ROUNDUP

DISPOSITION: Prologis sells 176K SF Chicago data center development. Prologis has sold a data center development in Elk Grove Village, a suburb of Chicago, to Australia's HMC Capital. The property, formerly a 189,000-square-foot warehouse, is being transformed by Prologis and its partner, Skybox Datacenters, into a 176,000-square-foot, fully commissioned turnkey data center. David Di Pilla, CEO and Managing Director of HMC Capital, expressed enthusiasm for the purchase, stating, "We are proud to be acquiring this world-class turnkey data center, which is located in a tier one market and underpinned by long-term contracted cash flows.” Chris Curtis, Global Head of Data Centers at Prologis, highlighted the company's commitment to meeting the growing demand for data infrastructure.

DEVELOPMENT: EDGNEX announces expansion into the US. EDGNEX has announced a strategic expansion into the U.S. market. This initiative includes an initial investment of $20 billion, with plans to potentially double this amount based on future demand. The expansion aims to deliver data centers with a projected capacity of 2,000 megawatts over the next four years. The focus will be on Sunbelt states—particularly Texas, Arizona, Oklahoma, and Louisiana—as well as Midwest states including Ohio, Illinois, Michigan, and Indiana. "This is a very exciting time for us. Entering the U.S. data center market is a significant milestone in our journey to build a global digital infrastructure platform that will support current and future businesses” - Hussain Sajwani, EDGNEX.

DEVELOPMENT: AWS to spend $11 billion in Georgia. Amazon Web Services (AWS) has announced plans to invest approximately $11 billion to expand its data center infrastructure in Georgia, aiming to support the growing demand for cloud computing and artificial intelligence (AI) technologies. This significant investment will lead to the development of multiple data centers in Butts and Douglas counties, creating at least 550 high-skilled jobs, including positions such as data center engineers, network specialists, and security professionals. Roger Wehner, VP of Economic Development at AWS, expressed great enthusiasm for this development.

DEVELOPMENT: PowerHouse and Poe to build 400 MW center in Kentucky. PowerHouse and Poe Companies have announced a joint venture to develop a 400 MW data center campus in Louisville, Kentucky. The first phase, offering 130 MW, is scheduled for completion in October 2026. Steve Poe, CEO of Poe Companies, expressed pride in the collaboration, describing PowerHouse as a “world-class data center developer.” Doug Fleit, Co-founder and CEO of PowerHouse, highlighted Louisville’s strategic advantages, including reliable and affordable power, connectivity, and an environment conducive to hyperscale growth. John R. Crockett, President of LG&E and KU, lauded the project as a historic milestone for Kentucky.

FINANCING: JLL arranged $1.2 billion in construction financing for BlackChamber throughout 2024. JLL Capital Markets has successfully arranged over $1.2 billion in construction financing for The BlackChamber Group's data center projects in Northern Virginia throughout 2024. JLL's Capital Markets Debt Advisory team, led by Jamie Leachman and Drake Greer, facilitated the financing arrangements. Conley Patton, Managing Partner at BlackChamber, praised JLL's efforts, stating, "Against a dynamic and challenging market backdrop, JLL leveraged their relationships, creativity and expertise to drive seamless and unrelenting execution with a variety of different lenders, ultimately delivering value-accretive and strategically beneficial financing solutions."

READ: How data centers became a billion dollar investment.

DATA CENTER PROPERTY FOR SALE 

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6 Acres | 31,000 SF | 24/7 Security Monitoring with Card Reader System and Perimeter Security | One Loading Dock

DATA CENTER PROPERTY FOR LEASE 

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28 Acres | ~ 96,297 SF | 6th Thick Precast Concrete Wall | Integrated BMS | 570 Parking Spaces

ONE MORE THING

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