SAN FRANCISCO , Jan. 4, 2012 /PRNewswire/ — Digital Realty Trust, Inc. (NYSE: DLR – News), a leading global provider of data center solutions, has completed the acquisition of 360 Spear Street, a 155,000 square foot data center facility located adjacent to its 365 Main Street facility in San Francisco , California. The purchase price for the 100% leased, multi-tenant facility was $85 million .
The Company has also completed the acquisition of a three-story, 334,000 square foot data center facility located adjacent to the Hartsfield-Jackson Atlanta International Airport in Atlanta, Georgia , for a purchase price of approximately $63 million . The acquisition was structured as a sale leaseback transaction with the previous owner, a major US based airline, which will continue to occupy approximately 167,000 square feet under a new ten-year lease agreement with Digital Realty. The balance of the data center facility is leased on a long term basis to a leading provider of critical transaction processing solutions to companies operating in the global travel industry.
“These acquisitions continue our strategy of investing in institutional quality data center facilities at attractive, risk-adjusted returns for our shareholders,” said Scott Peterson , Chief Acquisitions Officer for Digital Realty. “The 360 Spear Street property adds a highly strategic asset, which abuts our 365 Main Street colocation facility in downtown San Francisco. While fully-leased today, this property has the potential to provide future expansion space for our colocation customers.
“The property in Atlanta adds a world-class facility with quality corporate customers to our global portfolio,” added Mr. Peterson. “We believe that our investment management approach to acquiring, developing and operating data center facilities will continue to provide both our customers and our shareholders a long-term platform for growth.”
About Digital Realty
Digital Realty Trust, Inc. focuses on delivering customer driven data center solutions by providing secure, reliable and cost effective facilities that meet each customer’s unique data center needs. Digital Realty’s customers include domestic and international companies across multiple industry verticals ranging from information technology and Internet enterprises, to manufacturing and financial services. Digital Realty’s 100 properties, excluding three properties held as investments in unconsolidated joint ventures, comprise approximately 17.9 million square feet as of December 31, 2011 , including 2.1 million square feet of space held for redevelopment. Digital Realty’s portfolio is located in 31 markets throughout Europe , North America , Singapore and Australia . Additional information about Digital Realty is included in the Company Overview, which is available on the Investors page of Digital Realty’s website at http://www.digitalrealty.com.
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 our acquisition of the 360 Spear Street and 760 Doug Davis Drive data center facilities, expected development plans and strategy. These risks and uncertainties include, among others, the following: the impact of the recent deterioration in global economic, credit and market conditions including the downgrading of the U.S. government’s credit rating; 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; risks associated with using debt to fund our business activities, including re-financing and interest rate risks, our failure to repay debt when due, adverse changes in our credit ratings 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 integrate and 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; losses in excess of our insurance coverage; changes in foreign laws and regulations, including those related to taxation and real estate ownership and operation; and changes in local, state and federal regulatory requirements, including 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, 2010 and Quarterly Reports on Form 10-Q for the quarters ended March 31, 2011 , June 30, 2011 and September 30 , 2011. 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.
|For Additional Information:|
|A. William Stein||Pamela M. Garibaldi|
|Chief Financial Officer and||Vice President, Investor Relations and|
|Chief Investment Officer||Corporate Marketing|
|Digital Realty Trust, Inc.||Digital Realty Trust, Inc.|
|+1 (415) 738-6500||+1 (415) 738-6500|