CBRE Caledon Capital Management has invested an undisclosed sum to buy a minority stake in a $3.5bn (€3bn) partnership which holds US data centre assets.
Earlier this month, Vantage Data Centers, and an investor group led by Colony Capital, announced the formation of the partnership to expand Vantage’s data centres throughout North America and Europe.
As part of the agreement, the Colony-led investor group will invest $1.2bn in Vantage’s diversified portfolio, including 12 stabilised North American data centres.
Vantage’s portfolio of data centre assets comprises more than 1.4m gross sqft and over 150MW of capacity across key strategic markets in the US and Canada.
CBRE Caledon said, on behalf of its fund and its separately managed accounts, it has bought a “significant” minority stake in the newly-formed platform.
Several institutional co-investors, including Hana Financial Investment and a fund sponsored by Rasmala Investment Bank, are also participating in the transaction alongside CBRE Caledon, it said.
Jeffrey DeBlock, partner at CBRE Caledon, said: “We are excited to complete this investment as we believe these data centres are located in prime markets with top-tier clients and are expected to provide our investors with long-term contracted cash flows that escalate annually.
“Through our prior investment in Vantage, we have forged a strong relationship with the management team and are pleased to acquire a significant minority interest in these operational assets, which meets our investors’ objectives.”
Stephen Dowd, CIO, private infrastructure strategies, CBRE Caledon, said: “In addition to providing the resilient characteristics that our clients are looking for in today’s investment environment, we are impressed by Vantage’s commitment to its ESG-goals of reducing emissions and energy efficiency, which include its Washington and Quebec data centre campuses that draw power from renewable sourced electricity.”
Sureel Choksi, Vantage’s president and CEO, said: “We appreciate their continued support and commitment to provide the necessary capital to fuel our expansion across existing and global markets.
“This investment positions us to capitalise on new opportunities to meet our customers’requirements in locations that matter most to them.”
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