Digital Realty Trust's Relationships with Power Providers Lower Operating Costs for Datacenter Customers
SAN FRANCISCO, Sept 28, 2010 /PRNewswire via COMTEX/ --
Digital Realty Trust, Inc. (NYSE:DLR, news, filings), the world's largest wholesale datacenter provider, has completed new energy contracts in Massachusetts that will lower operating costs for customers in two of its Boston-area properties. The new energy contracts with GDF SUEZ Energy Resources will deliver electrical power to Digital Realty Trust's datacenter properties at 128 First Avenue in Needham and 55 Middlesex Turnpike in Bedford at a significantly lower cost than through the previous provider. The new contracts secured through Digital Realty Trust's power buying program are expected to save customers an estimated $3.6 million a year across both properties.
"Because of the volume of our power purchases and our global reach, Digital Realty Trust is able to negotiate competitive power rates and pass those savings on to our customers," said David Caron, Senior Vice President of Portfolio Management at Digital Realty Trust. "GDF SUEZ has been an energy supplier for multiple Digital Realty Trust properties since 2008. We have a great working relationship with them that directly benefits our customers. The GDF SUEZ team understands data centers and the unique requirements and load profiles of these facilities. GDF SUEZ also works directly with our customers to help them make informed energy decisions through educational electricity seminars. Their datacenter expertise and the cost savings delivered to our customers by these new energy contracts underscore how valuable this collaboration has become."
"We appreciate the opportunity to serve Digital Realty Trust and its datacenter customers," said Bob Wilson, President and CEO of GDF SUEZ Energy Resources. "These agreements will not only deliver the competitive price and risk-management options they were looking for in an electricity supplier, but also the confidence of knowing they're working with one of the energy industry's strongest, most financially stable companies. Our goal is to become a long-term energy partner with our customers, and our work with Digital Realty Trust and its datacenter customers are great examples of that philosophy in action."
In Digital Realty Trust's annual survey of the U.S. data center industry released in March, participating companies cited power as the most influential factor in decisions regarding new datacenters and datacenter expansions. Caron added, "The cost of power is clearly a concern for enterprises. Facilities that have lower electricity rates can save customers tens of thousands of dollars and even hundreds of thousands of dollars each year. That is why our contracts with energy providers such as GDF SUEZ Energy Resources are so valuable to firms with datacenters in our facilities. We will continue to work with electricity providers in markets where we have properties to secure the lowest energy costs for our customers."
About Digital Realty Trust, Inc.
Digital Realty Trust, Inc. (the Company) is the world's largest wholesale data center provider. The Company is focused on providing Turn-Key Datacenter(R) and Powered Base Building(R) datacenter solutions for domestic and international tenants across a variety of industry verticals ranging from information technology and Internet enterprises, to manufacturing and financial services. Digital Realty Trust's 95 properties, excluding one property held as an investment in an unconsolidated joint venture, contain applications and operations critical to the day-to-day operations of technology industry tenants and corporate enterprise datacenter tenants. Comprising approximately 16.7 million rentable square feet as of August 30, 2010, including 2.1 million square feet of space held for redevelopment, Digital Realty Trust's portfolio is located in 27 markets throughout North America and Europe. For additional information, please visit Digital Realty Trust's website at http://www.digitalrealtytrust.com.
Turn-Key Datacenter, Powered Base Building and POD Architecture are registered trademarks of Digital Realty Trust.
Safe Harbor Statement
This press release contains forward-looking statements which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially, including statements related to the new energy contracts in Massachusetts and expected savings for customers, and securing low energy costs for customers. These risks and uncertainties include, among others, the following: the impact of the recent deterioration in global economic, credit and market conditions; current local economic conditions in our geographic markets; decreases in information technology spending, including as a result of economic slowdowns or recession; adverse economic or real estate developments in our industry or the industry sectors that we sell to (including risks relating to decreasing real estate valuations and impairment charges); our dependence upon significant tenants; bankruptcy or insolvency of a major tenant or a significant number of smaller tenants; defaults on or non-renewal of leases by tenants; our failure to obtain necessary debt and equity financing; increased interest rates and operating costs; our failure to repay debt when due or our breach of covenants or other terms contained in our loan facilities and agreements; financial market fluctuations; changes in foreign currency exchange rates; our inability to manage our growth effectively; difficulty acquiring or operating properties in foreign jurisdictions; our failure to successfully operate acquired or redeveloped properties; risks related to joint venture investments, including as a result of our lack of control of such investments; delays or unexpected costs in development or redevelopment of properties; decreased rental rates or increased vacancy rates; increased competition or available supply of data center space; our inability to successfully develop and lease new properties and space held for redevelopment; difficulties in identifying properties to acquire and completing acquisitions; our inability to acquire off-market properties; our inability to comply with the rules and regulations applicable to reporting companies; our failure to maintain our status as a REIT; possible adverse changes to tax laws; restrictions on our ability to engage in certain business activities; environmental uncertainties and risks related to natural disasters; changes in foreign laws and regulations, including those related to taxation and real estate ownership and operation; and changes in real estate and zoning laws and increases in real property tax rates. For a further list and description of such risks and uncertainties, see the reports and other filings by the Company with the U.S. Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended December 31, 2009 and the Company's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2010 and June 30, 2010. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
|A. William Stein||Pamela A. Matthews|
|Chief Financial Officer and||Director of Investor Relations|
|Chief Investment Officer||Digital Realty Trust, Inc.|
|Digital Realty Trust, Inc.||+1 415-738-6500|
SOURCE Digital Realty Trust, Inc.