US real estate firm Tishman Speyer is entering the data center market with plans for a campus in Frankfurt, Germany.
The company has acquired a 75,000 sqm site in the Osthafen area of Frankfurt am Main in order to develop a data center. Terms of the sale weren't shared.
The company reportedly aims to develop a 32MW data center, expandable to 70MW. Timelines for development weren't shared.
Tishman has signed an agreement with Mainova WebHouse, a subsidiary of the Frankfurt energy firm Mainova, to develop the site as a joint venture.
The property, located close to a number of Digital Realty facilities, was acquired from industrial automation firm Samson AG, which is relocating to Offenbach. The transfer of the land will take place gradually as Samson’s business units move to Offenbach am Main.
Dominic Deller, CFO of Samson, said: “The sale of this second major part of our historic site in Frankfurt is another important milestone in the transformation of our company. We are pleased that the site was sold to a long-established Frankfurt company that will be working closely with the city of Frankfurt to retain jobs in Frankfurt's East Harbor district by investing in future technologies that are essential for the digitalization of the German economy."
Founded in 1978, Manhatten-based Tishman has more than $50 billion in assets under management, largely focused on office developments, but investments also include retail and residential properties, as well as a small number of hotels. On the industrial side, the company has a limited number of life science and warehouse properties.
Florian Reiff, managing director of Tishman Speyer’s business in Germany, added: “The successful outcome of our discussions with Samson for the future of this exceptional site opens the way for this major new development of a highly sustainable data center and light industrial campus. I'd like to thank our partners at Samson for sharing our vision for this important project in a prime urban setting in support of Frankfurt’s continued vibrancy."
First established in January 2021, Mainova WebHouse GmbH is a wholly-owned subsidiary of local utility Mainova. The company is developing a 30MW data center campus in the Seckbach area of Frankfurt and a 20MW site south of Frankfurt in Langen.
The company broke ground on the second, 10MW building, at the first Frankfurt campus earlier this year.
“We look forward to the shared opportunity to bring sustainable data centers to a place where they are needed most,” said Oliver Schiebel, CEO of Mainova WebHouse. "Our sustainable data center concept already exceeds all current legal requirements. At this location, we want to go one step further by feeding a large part of the waste heat into the Mainova district heating network so that people and companies in the east of Frankfurt can benefit from climate-neutral district heating."
The project is part of the European project launched by Tishman Speyer Value-Add Fund TSEV IX.
Tishman Speyer was advised by Clifford Chance, Samson was advised by bhp Bögner Hensel &
Partne,r and Mainova WebHouse was advised by Latham Watkins LLP.
