Phase 2 of SV7 100% pre-leased
DENVER--(BUSINESS WIRE)--Feb. 23, 2016-- CoreSite Realty Corporation (NYSE:COR), a premier provider of secure, reliable, high-performance data center and interconnection solutions across the U.S., announced today that it has executed a lease with a Fortune 500 Company at CoreSite’s 230,000 square-foot SV7 data center under construction on CoreSite’s Santa Clara Campus.
The new lease is for the entirety of the approximately 80,000 net rentable square feet associated with Phase 2 of SV7. CoreSite expects to commence construction on Phase 2 during the first quarter and substantially complete it by July 1, 2016, with the lease anticipated to commence upon substantial completion. This new lease and the 80,000 square-foot Phase 2 capacity is in addition to the 80,000 square-foot Phase 1 at SV7, of which 38,000 square feet is preleased as previously announced, with that lease expected to commence upon substantial completion of the Phase 1 capacity, also scheduled by July 1, 2016.
CoreSite’s development of SV7 reflects the company’s strategy of operating a national platform of network-dense, cloud-enabled data centers, hosting enterprises, networks and cloud service providers to enable high-performance applications among CoreSite’s customers. SV7 will offer a scalable, high-performance, enterprise-class colocation and interconnection solution with close proximity to the heart of the high-tech Silicon Valley market. SV7 will be the largest among CoreSite’s five-building, 619,000-square foot Santa Clara Campus (including buildings currently under construction), emerging as one of the leading hubs of interconnection and cloud services on the West Coast and the largest campus among CoreSite’s seven-building, 780,000-square foot Bay Area portfolio.
Beyond CoreSite’s highly regarded track record for security, reliability, compliance support, and customer service, CoreSite’s Bay Area portfolio serves as an important foundation for key network and cloud providers. From this foundation, CoreSite’s local, regional and global customers are able to obtain direct, scalable access to best-in-class technology service partners and accelerate performance and reduce cost and complexity. Important among the technology partners and services on CoreSite’s Bay Area platform are the following:
“We are pleased to add a new strategic anchor customer to SV7, while providing our customer with a scalable, high-performance data center solution,” said Tom Ray, CEO of CoreSite. “We are also pleased to bring valuable new technology and cloud services onto our Bay Area platform, with our new customer joining the large and growing group of international and national carriers, social media companies, cloud computing providers, media and entertainment firms, and enterprise customers accessible within our Silicon Valley portfolio.”
CoreSite’s 2016 guidance related to total operating revenue, adjusted EBITDA, FFO per share, and capital expenditures does not reflect this lease transaction. CoreSite will provide an update to annual guidance in connection with its first-quarter earnings release.
CoreSite Realty Corporation (NYSE:COR) delivers secure, reliable, high-performance data center and interconnection solutions to a growing customer ecosystem across eight key North American markets. More than 900 of the world’s leading enterprises, network operators, cloud providers, and supporting service providers choose CoreSite to connect, protect and optimize their performance-sensitive data, applications and computing workloads. Our scalable, flexible solutions and 350+ dedicated employees consistently deliver unmatched data center options — all of which leads to a best-in-class customer experience and lasting relationships. For more information, visit www.CoreSite.com.
Forward Looking Statements
This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "believes," "expects," "may," "will," "should," "seeks," "approximately," "intends," "plans," "pro forma," "estimates" or "anticipates" or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond CoreSite's control, which may cause actual results to differ significantly from those expressed in any forward-looking statement. These risks include, without limitation: any adverse developments in local economic conditions or the demand for data center space; operational difficulties, including difficulties relating to information systems, internal processes and information security; significant industry competition; financial market fluctuations; and other factors affecting the real estate industry generally. All forward-looking statements reflect CoreSite's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, CoreSite disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause CoreSite's future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in CoreSite's most recent annual report on Form 10-K, and other risks described in documents subsequently filed by CoreSite from time to time with