Utah—  JLL Capital Markets announced today that it has closed the $38.5 million sale of a two-building campus comprising a Tier 3+ data center and industrial facility in Colorado Springs, Colorado.

JLL worked on behalf of the seller. Utah-based data Novva Data Centers acquired the asset, which is their introduction into the Colorado market.

The campus is in a premier Colorado Springs location surrounded by gold credit neighboring tenancy.

Colorado Springs offers some of the most reliable and inexpensive power in the US. The utility recently completed a new energy vision, which is shifting away from coal and moving toward a heavier concentration of solar energy. This has been a major factor for corporate data centers choosing Colorado Springs as a target market, as customers continue to demand green solutions to help achieve ESG and sustainability goals. According to JLL Research, the global green data center market is expected to grow by nearly $45 billion from 2020 to 2024.

Completed in 2005, the 122,000-square-foot data center building has 6 MW of total designed capacity. The sale included a 13,000-square-foot generator building, a 55,000-square-foot industrial building that could be used for future data center expansion, and 17 acres of land directly to the west of the property that could be used for additional development opportunities.

The JLL Capital  Markets Data Center team based in Phoenix that represented the seller was led by Senior Managing Director Mark Bauer, Director Carl Beardsley, and Analyst Zane Coffman, along with Managing Director Larry Thiel and EVP Carmon Hicks.

“Data center activity in the capital markets continues to be extremely active,” Beardsley says. “This asset class remains in high demand coming out of 2020. The pandemic has escalated how society is using technology and its dependence on application-based programming, e-commerce and virtual work environments, which is all contributing to extraordinary demand for more data center space.”

“We are excited for the opportunity for Novva to enter the Colorado Springs market and grow their existing customer base,” Bauer added. “This site offers an ability to use a combination of the existing buildings and infrastructure already on site as well as the excess acreage for future development.”

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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