Mitsubishi Estate subsidiary TA Realty is to lease the entirety of an upcoming data center campus in Leesburg, Virginia, to a cloud firm.
The real estate investment firm this week said it has signed a 430MW build-to-suit lease agreement for its entire data center campus in Loudoun County with a “premier global cloud services provider."
TA said the deal includes leases across five buildings, making up the entire 1.9 million-square-foot (176,515 sqm) project in Leesburg.
The site is located on the east side of Sycolin Road and is bound by Cochran Mill Road to the north and Energy Park Drive. Construction of the first building is set to begin later this year and see continued build-out until 2027.
"This project exhibits TA Realty’s ability to source outstanding opportunities in the data center industry, particularly in Tier 1, mature markets,” said Allison O’Rourke, partner at TA Realty.
“Our dedication to creating value through partnering with local authorities, utilities, and network partners led to this opportunity. We look forward to supporting this strategic customer and working alongside them to complete this world-class project.”
TA said the tenant selected the campus due to its scale, power, and location. The site is adjacent to a power plant (the 778MW natural gas Panda Stonewall Energy Center from Bechtel and Siemens Energy) and an existing substation that provides power to another data center facility. The nearby data center, located at 20491 Goose Landing Lane, is reportedly operated by Google.
Buddy Rizer, executive director of Loudoun Economic Development, added: “Loudoun County is excited to welcome TA Realty and to support the development of one of the largest new data center campuses approved and planned for our county.
"In addition to bringing more data center capacity to the region, TA Realty’s commitment to the community is illustrated through the company’s investment in bringing a new water pump station to the site, improving the quality and distribution of water to our entire community.”
TA Realty said the announcement marks the formation of a new group within the company dedicated to digital infrastructure, which will be formally announced in early 2024.
The company, which provides real estate investment management services to investors, is majority-owned by Mitsubishi Estate, the real estate arm of the former Mitsubishi Group.
The company was acquired by Mitsubishi Estate subsidiary Rockefeller Group in 2014. However, TA Realty has reached out to DCD to say it isn't owned by Rockefeller.
The company first announced plans for a 300MW, 1.5 million square feet (139,500 sqm) campus on the site in May 2021. The company originally said the first buildings were expected to come online in late 2021 and would invest $1.8 billion in the project.
At the time, Nikkei reported that Mitsubishi Estate was funding the campus through a joint investment with equipment leaser Tokyo Century.
