DataBank Continues Buying Spree, Acquires Stream's Dallas Data Center

DataBank, a part of Digital Bridge since July of last year, has kept its buying spree alive, announcing acquisition of a data center in Legacy Business Park in Dallas from Stream Data Centers, which becomes its largest site in the red-hot Dallas data center market.

Located on a 16-acre site, the initial 145,000-square foot facility can be expanded to 265,000 square feet, the company said.

The facility, DFW3, will leverage the area's high concentration of nearby fiber carriers and will also be interconnected with DataBank's two other data center locations near Dallas.

"This new flagship data center represents our largest and most advanced facility in the Dallas area," said Raul K. Martynek, CEO of DataBank. "The continued demand for quality data center space in North Texas by both our existing enterprise and content customers made the investment case quite compelling. We are excited to be bringing the facility on-line in October of this year."

Consistent with analyst forecasts earlier in the year, 2017 is shaping up to be a record year for data center acquisitions, and Digital Bridge has played a role in making it so. The latest deals were announced just this month: Digital Realty Trust has agreed to acquire DuPont Fabros Technology for $4.95 billion, and Peak 10 is buying ViaWest from the Canadian telco Shaw Communications in a $1.7 billion deal.

In January, DataBank gobbled up Salt Lake City-based C7 Data Centers, as well as two data centers located in Cleveland and Pittsburgh, considered “key interconnection assets,” from 365 Data Centers.

Keeping with Digital Bridge's goal of becoming a major force behind the current wave of industry consolidation, the Boca Raton-based company in March acquired Vantage Data Centers--the largest wholesale data center landlord in Silicon Valley—in March and its campuses in Northern California and Quincy, Washington.

DFW3 is the second data center in Legacy Business Park sold by Stream. The other, a 150,000-square foot facility, is now owned by Research in Motion, the Canadian tech firm best known for the Blackberry product line. Stream also sold its data center in Dallas-close Richardson to TD Ameritrade back in 2015.

The Dallas-Fort Worth market is the third-largest data center market in the US. Legacy Business Park and the Far North Dallas submarket make up one of the most active markets in the country for large corporate relocations and expansions, with recent announcements from Toyota, JP Morgan Chase, Liberty Mutual, FedEx, Fannie Mae, and others.