SAN FRANCISCO, August 3, 2017 – fifteenfortyseven Critical Systems Realty (“1547”), a leading owner and developer of data center space, together with their partner, Los Angeles-based CIM Group, announced today that they have acquired 7.34 acres at 400 Paul Avenue in San Francisco to develop into the premier data center property in urban San Francisco. The 240,000 square foot campus will consist of a newly constructed 187,000 square foot, purpose-built, state-of-the-art data center and the redevelopment of two historic buildings providing over 56,000 square feet of office and support/secure storage space. “We are thrilled to finally close this transaction and get this deal over the finish line. It is the culmination of over a year’s worth of hard work and effort by our development, legal and finance teams. We are also very excited to be working with the team at CIM, one of the premier urban infrastructure funds,” stated J. Todd Raymond, CEO of 1547, “we expect San Francisco to be a top market for 1547 in the coming years.”
The site is strategically situated in one of the most densely connected Internet Gateways in the country. When completed, the two-story, tilt-up construction, data center will provide a highly secure, scalable and robust site with 24 megawatts of power capacity, delivered from dual power feeds via underground ducts from separate PG&E transformers, over 15 fiber networks delivering over 40 service providers from diverse paths, and some of the most pristine space for tech support and office in the region.
According to Chris Sumter, Executive Managing Director of Newmark Knight Frank’s Data Center Consulting Group, “400 Paul provides a unique and rare data center development opportunity for 1547. There has been no ground up, data center builds in the previous 10 years in San Francisco, and there will likely not be another one in the next 10 years primarily due to constraints in both space and power in the market.” Sumter, who is based in the Bay Area, continued, “While the design is perfectly situated for a single user to take-down the entire site, the building is extremely flexible to accommodate the smaller spectrum of data center wholesale users who have shown a great deal of interest in this specific facility. It now provides a brand-new alternative to the dated, legacy data center space that currently exists in the market.”
About 1547 Critical Systems Realty
1547 is a leading developer and operator of custom-designed data centers with over 500,000 square feet of data center space under development in Orangeburg, NY, Chicago, IL, Cheyenne, WY and Kapolei, HI. Central to the firm’s strategy is the ability to uncover the true intrinsic value of properties, opportunistically developing world-class data center facilities with a focus on providing tenants with customized mission critical solutions from concept through completion. 1547 was formed in 2011 by a group of experienced executives from the financial and data center industries to leverage their combined expertise to produce market leading data center development projects. Together, the team has over 60 years of experience in developing, renovating and operating data center space. This wealth of experience allows 1547 to be uniquely positioned to acquire, develop, and operate strategically-located, custom built data center properties. For more information, please visit www.1547realty.com.
About CIM Group
Established in 1994, CIM is a leading partner for global institutional investors seeking to invest in real assets located in and serving urban communities with a principal focus on North America. CIM is a real assets manager offering investment strategies in opportunistic, stabilized, and value-add real estate, real estate debt, and infrastructure. CIM’s broad expertise includes in-house research, acquisition, investment, development, finance, leasing and property management capabilities. Headquartered in Los Angeles, CIM maintains regional offices in New York City, Oakland, CA, Bethesda, MD, and Dallas. For more information, please visit www.cimgroup.com.