Israeli real estate developer Azrieli Group has reported the expansion of its data center business, in a transaction for the sum of approx. £52 million.
Within the framework of the transaction, Azrieli Group has signed an agreement to acquire a company holding and operating a data center in London, which has lease agreements with customers for an average term of about 5 years, and a total capacity of 7.4 MW.
Concurrently, Azrieli is buying an adjacent plot of land. Both plots present future development and construction potential with available green electricity of about 40 MW. The transaction is subject to industry-standard closing conditions.
With the acquisition of Norwegian company Green Mountain, which is fully held by Azrieli Group, the group set a target of expanding its presence in the European data center market, and leveraging Green Mountain’s experienced management, professional know-how and business ties to establish a foothold and expand in this market, which is seeing high growth and rates of return.
This transaction is the next step in implementing this goal, by entering the London market which is the world’s second-largest Data Center market, and represents a significant foothold in this significant market.
Danna Azrieli, Chairwoman of Azrieli Group, said: ” Our vision is to continue developing gradually into several more international markets, and London is the ideal location from which to continue developing our data center platform”.
