Archive for November 2nd, 2012

Telecom Real Estate Services Announces Plan for a New Data Center in North Las Vegas

Friday, November 2nd, 2012

North Las Vegas is set to become home for a new data center that will have a proposed 13.8 megawatt capacity.

Kevin Keating, CEO and Founder of Telecom Real Estate, said on Thursday that the company plans on starting its construction this spring. The project is expected to reach $40-$50 million. Its location will be inside an industrial building at 4527 Losee Road. Presently, the said building still houses JCH Enterprises, a manufacturer of fuel maintenance systems for diesel fuel storage tanks and a distributor of industrial electronic equipment.

The 50,000 square-foot building was purchased by H&R Real Estate Investment Trust from Canada. The purchase was made through a company known as the Block Data Center Las Vegas I LP for $2 million. The arrangement between H&R and Telecom is that H&R will hold ownership of the equipment inside the data center while Telecom Real Estate Services will conduct the operation. This agreement is not like Keating’s usual projects. It’s unique in the sense that Keating’s company usually constructs facilities with the future intention of selling them off.

Although Telecom has a total of eight data centers in Canada and the United States, this is the first project of Telecom in the Las Vegas area, since its founding in the late 1990s. The company is just one of the many companies bringing in new data centers to the valley.

Another data center, the Cobalt Data Center, also announced its improvement and renovation work on its Cobalt Cheyenne Data Center located at 7710 W. Cheyenne Ave. The property was once home to PurchasePro, a company that filed bankruptcy protection back in 2002. Cobalt Data is a Las Vegas grown company which plans to add three more data centers in the area. It already intends to open its first on the West Cheyenne by December.

A second facility is targeted to open on East Sahara Ave. on 2014. It’s a 64,000 square-foot facility. The third center of Cobalt Data, a 388,000-square-foot building located on St. Rose Parkway on Henderson, still has no timeline to report.