Corporate Office Properties Trust (COPT) has formed a new joint venture with funds affiliated with Blackstone Real Estate.
COPT said the new joint ventures are acquiring interests in eight single-tenant, data center shell properties totaling 1.3 million square feet and valued at $293 million.
In a recently closed transaction, Blackstone Real Estate acquired a 90% interest in two of COPT’s wholly owned data center shell properties valued at $90 million. Blackstone Real Estate has also signed an agreement to acquire a 90% interest in six other data center shell properties partially owned by COPT, and that transaction is expected to close before the end of the year.
“We are very pleased to expand our relationship with Blackstone. These transactions further confirm the value of our portfolio of strategically located data center shell properties and the value our development platform adds for shareholders,” stated Stephen E. Budorick, COPT’s President & Chief Executive Officer.
Tyler Henritze, Head of Acquisitions Americas for Blackstone Real Estate, said, “We believe data centers will continue to benefit from strong secular tailwinds, including immense demand growth as internet traffic and the use of cloud services continue to rise. These transactions are attractive opportunities to invest in high-quality powered shell warehouses in the premier market globally. We have an excellent partner in COPT and look forward to continuing to build our relationship over the long-term.”