X
    Categories: news

GIC leads investor group for data center construction in North America

GIC Private Limited, a sovereign wealth fund set up by the Singapore Government to manage the country’s foreign reserves, is expected to be a major investor in EdgeCore Internet Real Estate, a full service advisory group based in the U.S., that wants to set up data centers in North America. For the record, GIC, Mount Elbert Limited, and OPTrust are expected to invest USD 800 million in EdgeCore to support its new data center construction. Apparently, the CEO of Mount Elbert will be the chairman & CEO of the new data center to be launched in North America.

Reliable sources cite that EdgeCore has made land acquisitions in Mesa, Arizona and plans to buy out lands in Nevada, Reno, and Dallas, Texas by March this year. As per the company sources, each location of EdgeCore will have the ability to provide power in the range of 100 MW to 200 MW and its first construction is likely to be completed by 2018.

According to The Business Times, in second quarter of 2018, the firm is planning to purchase land in three tier-one markets and will begin its  construction activities on each campus this year. EdgeCore is likely to explore new markets, including Chicago, Northern Virginia, and Silicon Valley for expanding its real estate business. Analyzing the current land acquisitions made by EdgeCore, analysts speculate that this strategic move of GIC, Mount Elbert, and OPTrust to invest in the full service advisory organization is expected to prove mutually beneficial.

Experts are of the view that data centers have become a center of attraction for global investors currently. The demand for data centers has gained momentum since 2015 and is projected to rise in the next few years. With tech giants such as Microsoft, Facebook, and Google making huge investments in hyper-scale cloud platforms, experts forecast this business sphere to gain major proceeds in the future.

Dhananjay Punekar: