ASB sells remaining data centres to IPI Partners
US-based ASB Real Estate Investments (ASB) has sold its three remaining data centres to IPI Data Center Partners Management.
Last month, ASB sold Infomart Dallas, a large data centre to internet firm Equinix for $800m (€649m).
ASB said today it has sold the remaining data centres and their operations to a subsidiary of IPI Partners for an undisclosed sum.
ASB sold the assets on behalf of its Allegiance Fund, a $7.4bn core real estate investment vehicle.
The three assets total 665,000sqft of space and are located in San Jose, California; Hillsboro, Oregon; and Ashburn, Virginia.
Robert Bellinger, ASB’s president and CEO, said: “Our data centre investments proved extremely timely and profitable for our fund clients.”
Bellinger said as the market for data centres has expanded and investor demand has increased, ASB strategically decided to capture a singular disposition opportunity to lock-in gains and have been able to negotiate two deals.
“Going forward, we will retain a stake in the data centre sector for the next three years through the Equinix debt securities and will have the opportunity to rebalance and further strengthen our diversified real estate portfolio.”
Equinix will be paying for the asset with a mix of cash and debt securities, which will be paid out to ASB over a 36-month period following closing.
ASB currently invests in major US urban markets, concentrating in office, multifamily, retail and industrial properties.