PORTLAND, OR and CHICAGO, IL –January 6, 2021 – Harrison Street, pursuing its digital infrastructure strategy, and 1547 Data Center Real Estate Fund II, LP, an affiliate of fifteenfortyseven Critical Systems Realty, LLC (“1547”), announced today the acquisition of the historic Pittock Block building, a vital carrier hotel, colocation data center and office building located in downtown Portland, Oregon.
The 302,200 square foot building is one of the most connected buildings in the United States, serving 179 service providers, and is one of only two primary Internet Exchanges in the entire Northwest. Additionally, Hillsboro, located 18 miles to the west of the property and home to Intel, is one of the fastest growing data center submarkets in the world, further fueling growth within Pittock Block.
“Strategically located with direct access to seven subsea telecommunications cables, Pittock Block is a premier telecommunications Internet Exchange for the West Coast and represents the type of asset we are seeking to add to our connectivity-focused platform with Harrison Street,” said J. Todd Raymond, CEO of 1547. “We believe there is significant opportunity at Pittock as data center requirements continue to grow exponentially in the region. Our plan is to leverage the strong foundation built by the Pittock Block team and immediately expand data center and co-location capacity while simultaneously investing further into the building’s security and world-class meet-me-room.”
Michael Hochanadel, Managing Director and Head of Digital Real Estate at Harrison Street, said, “Pittock Block represents a rare opportunity to acquire an established interconnection building with significant opportunity for growth. The Pacific Northwest continues to be a top destination for end users seeking highly connected data center capacity given its robust telecommunication infrastructure that provides low latency to key high growth markets including Asia. We are excited to expand our partnership with 1547 and acquire a highly strategic facility that will enhance our ability to deliver robust connectivity solutions. We look forward to continuing to identify and invest in critical digital assets.”
Pittock Block is the second investment for Harrison Street and 1547 following the acquisition of the historic Wells Building, a carrier hotel and data center located in Milwaukee, Wisconsin. The acquisition is Harrison Street’s second carrier dense data center investment. Harrison Street has committed approximately $1 billion in digital infrastructure projects since 2018.
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About Harrison Street
Harrison Street is one of the leading investment management firms exclusively focused on alternative real assets. Since inception in 2005, the firm has created a series of differentiated investment solutions focused on demographic-driven, needs-based assets. The firm has invested across senior housing, student housing, healthcare delivery, life sciences and storage real estate as well as social and utility infrastructure. Headquartered in Chicago with an office in London, the firm has more than 185-employees and approximately $30 billion in assets under management. Clients of the firm include a global institutional investor base domiciled in North America, Europe, Middle East, Asia and Latin America. Harrison Street has been awarded Best Places to Work by Pensions & Investments for the last seven consecutive years and was named 2019 North American Alternatives Investor of the Year by PERE. For more information, please visit www.harrisonst.com
About fifteenfortyseven Critical Systems Realty, LLC
fifteenfortyseven Critical Systems Realty (“1547”) is a leading developer and operator of custom-designed data centers with over 1,300,000 SF of data center space in Orangeburg, NY | Toronto, ON | Chicago, IL (2) | Cheyenne, WY | San Francisco, CA | Kapolei, HI | Milwaukee, WI and Portland, OR. Central to the Company’s strategy is its ability to uncover the true intrinsic value of properties and opportunistically develop world-class data center facilities. 1547’s focus is on providing tenants with strategic, customized mission critical solutions from concept through completion. For more information, please visit www.1547Realty.com
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