Real estate investment trust company Griffin Capital has acquired a three-building, 155,830-square-foot office and data center fully occupied by AT&T Wireless Services located in Redmond, Washington, according to a report by GlobeSt.com.
AT&T Wireless was previously using the data center as its National Network Operations Center for research and development. The property is subject to a long term triple-net lease.
Both parties could not disclose further terms, but according to the report, an unidentified source said the data center fetched a $40 million purchase price.
AT&T Wireless has occupied the data center and office space since it was developed in 1995. Over the past three years, the company has invested over $50 million in upgrade and plans to make more upgrades in the near future.
The data centeris located about four miles northwest of AT&T Wireless’ corporate headquarters in the Redmond Town Center development, and within two miles of both Interstate 405 and State Route 520. Home to many tech and Internet companies like Microsoft, Redmond has become a second Silicon Valley.
“The acquisition of the AT&T Wireless National Network Operations Center represents the REIT’s first major acquisition in the Pacific Northwest,” said Michael Escalante, Griffin Capital’s chief investment officer. “The Puget Sound region, buoyed by such corporate stalwarts as Boeing, Costco and Microsoft, has shown tremendous resilience since 2008 and remains one of the fastest growing MSA’s in the country, fueled by the success of a number of technology-oriented companies including Amazon and Expedia.”
The purchase is just one of the handful of data center acquisitions made by a REIT company in the past month. In January, two different subsidiaries of Carter Validus Mission Critical REIT acquired 33,000-square-foot data center in Norcross, Georgia for $5.3 million, and a $94.75 million, multi-tenant, wholesale data center in downtown Atlanta.