Digital Realty Partners with Mitsubishi on Dallas Data Center Venture, Pre-Leased to S&P 100 Customer
Portfolio Pulse from Benzinga Newsdesk
Digital Realty (NYSE:DLR) and Mitsubishi Corporation have formed a joint venture for the development of two data centers in Dallas, pre-leased to an S&P 100 customer. Mitsubishi acquired a 65% equity interest with an initial $200 million contribution, while Digital Realty holds a 35% interest and will manage the venture. The project, with a first phase budget of $400 million, aims for a late 2024 completion, offering up to 48 MW of IT load.
March 04, 2024 | 11:06 am
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POSITIVE IMPACT
Digital Realty's joint venture with Mitsubishi for Dallas data centers, pre-leased to an S&P 100 customer, signifies a strategic expansion. Mitsubishi's 65% stake and the project's $400M budget highlight the venture's scale and potential revenue impact.
The partnership with Mitsubishi for the development of two major data centers, fully pre-leased to a high-profile customer, represents a significant expansion and revenue opportunity for Digital Realty. The substantial investment and the management role DLR will play in the venture suggest a positive outlook for the company's growth and financial performance in the short term. The project's scale and the commitment from a reputable partner like Mitsubishi further reinforce the positive impact on DLR's stock.
CONFIDENCE 90
IMPORTANCE 85
RELEVANCE 100