TORONTO
CBRE Caledon Expands Digital Real Assets Portfolio with Investment in 12 Vantage Data Centers Stabilized Assets
23 Jul 2020
CBRE Caledon Capital Management Inc. has acquired a significant minority stake in a newly-formed platform that contains 12 North American stabilized operating assets of Vantage Data Centers, a leading global provider of hyperscale data center campuses.
CBRE Caledon completed the investment, alongside an investor group led by Colony Capital Inc., on behalf of a fund sponsored by CBRE Caledon as well as its separately managed accounts. Several institutional co-investors, including Hana Financial Investment and a fund sponsored by Rasmala Investment Bank, are also participating in the transaction alongside CBRE Caledon.
Vantage’s portfolio of stabilized assets includes 12 purpose-built high-quality data centers spanning more than 1.4 million gross square feet and over 150MW of IT capacity across key strategic markets in the U.S. and Canada. Vantage’s executive team, led by President and CEO Sureel Choksi, will continue to manage and operate these assets, which are expected to deliver stable and predictable cash flows supported by long-term contracts with leading technology, cloud, and hyperscale companies.
“Data centers are critical infrastructure assets that provide an essential service in our everyday lives. We are excited to complete this investment as we believe these data centers are located in prime markets with top-tier clients and are expected to provide our investors with long-term contracted cash flows that escalate annually,” said Jeffrey DeBlock, Partner at CBRE Caledon. “Through our prior investment in Vantage, we have forged a strong relationship with the management team and are pleased to acquire a significant minority interest in these operational assets, which meets our investors’ objectives.”
“CBRE Caledon is excited to complete this investment on behalf of our fund, separately managed accounts and co-investors as we continue to invest in infrastructure for the new economy,” said Stephen Dowd, Chief Investment Officer, Private Infrastructure Strategies, CBRE Caledon. “In addition to providing the resilient characteristics that our clients are looking for in today’s investment environment, we are impressed by Vantage’s commitment to its ESG-goals of reducing emissions and energy efficiency, which include its Washington and Quebec data center campuses that draw power from renewably sourced electricity.”
“Vantage is proud to partner with CBRE Caledon as we embark upon our next stage of growth,” said Choksi. “We appreciate their continued support and commitment to provide the necessary capital to fuel our expansion across existing and global markets. This investment positions us to capitalize on new opportunities to meet our customers’ requirements in locations that matter most to them.”
About CBRE Caledon
CBRE Caledon Capital Management Inc. is a leading infrastructure and private equity solutions provider. We create long-term value for clients by accessing and managing high-quality investment opportunities and building comprehensive infrastructure and private equity portfolios. Today, our dedicated team of 50 professionals represents $8 billion on behalf of institutional investors globally. CBRE Caledon is a separate business unit within CBRE’s independently operated investment management subsidiary, CBRE Global Investors. For more information about CBRE Caledon, please visit www.cbrecaledon.com.
About CBRE Global Investors
CBRE Global Investors is a global real assets investment management firm with $108.1 billion in assets under management* as of March 31, 2020. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE). It harnesses the research, investment sourcing and other resources of the world’s largest commercial real estate services and investment firm (based on 2019 revenue) for the benefit of its investors. CBRE Group, Inc. has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com
*Assets under management (AUM) refers to the fair market value of real assets-related investments with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real assets-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real assets market, and its calculation of AUM may differ from the calculations of other asset managers.
About Vantage Data Centers
Vantage Data Centers powers, cools, protects and connects the technology of the world’s well-known hyperscale's, cloud providers and large enterprises. Developing and operating across six markets in North America and five markets in Europe, Vantage has evolved data center design in innovative ways to deliver dramatic gains in reliability, efficiency and sustainability in flexible environments that can scale as quickly as the market demands. For more information, visit www.vantage-dc.com.
CBRE Caledon completed the investment, alongside an investor group led by Colony Capital Inc., on behalf of a fund sponsored by CBRE Caledon as well as its separately managed accounts. Several institutional co-investors, including Hana Financial Investment and a fund sponsored by Rasmala Investment Bank, are also participating in the transaction alongside CBRE Caledon.
Vantage’s portfolio of stabilized assets includes 12 purpose-built high-quality data centers spanning more than 1.4 million gross square feet and over 150MW of IT capacity across key strategic markets in the U.S. and Canada. Vantage’s executive team, led by President and CEO Sureel Choksi, will continue to manage and operate these assets, which are expected to deliver stable and predictable cash flows supported by long-term contracts with leading technology, cloud, and hyperscale companies.
“Data centers are critical infrastructure assets that provide an essential service in our everyday lives. We are excited to complete this investment as we believe these data centers are located in prime markets with top-tier clients and are expected to provide our investors with long-term contracted cash flows that escalate annually,” said Jeffrey DeBlock, Partner at CBRE Caledon. “Through our prior investment in Vantage, we have forged a strong relationship with the management team and are pleased to acquire a significant minority interest in these operational assets, which meets our investors’ objectives.”
“CBRE Caledon is excited to complete this investment on behalf of our fund, separately managed accounts and co-investors as we continue to invest in infrastructure for the new economy,” said Stephen Dowd, Chief Investment Officer, Private Infrastructure Strategies, CBRE Caledon. “In addition to providing the resilient characteristics that our clients are looking for in today’s investment environment, we are impressed by Vantage’s commitment to its ESG-goals of reducing emissions and energy efficiency, which include its Washington and Quebec data center campuses that draw power from renewably sourced electricity.”
“Vantage is proud to partner with CBRE Caledon as we embark upon our next stage of growth,” said Choksi. “We appreciate their continued support and commitment to provide the necessary capital to fuel our expansion across existing and global markets. This investment positions us to capitalize on new opportunities to meet our customers’ requirements in locations that matter most to them.”
About CBRE Caledon
CBRE Caledon Capital Management Inc. is a leading infrastructure and private equity solutions provider. We create long-term value for clients by accessing and managing high-quality investment opportunities and building comprehensive infrastructure and private equity portfolios. Today, our dedicated team of 50 professionals represents $8 billion on behalf of institutional investors globally. CBRE Caledon is a separate business unit within CBRE’s independently operated investment management subsidiary, CBRE Global Investors. For more information about CBRE Caledon, please visit www.cbrecaledon.com.
About CBRE Global Investors
CBRE Global Investors is a global real assets investment management firm with $108.1 billion in assets under management* as of March 31, 2020. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE). It harnesses the research, investment sourcing and other resources of the world’s largest commercial real estate services and investment firm (based on 2019 revenue) for the benefit of its investors. CBRE Group, Inc. has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com
*Assets under management (AUM) refers to the fair market value of real assets-related investments with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real assets-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real assets market, and its calculation of AUM may differ from the calculations of other asset managers.
About Vantage Data Centers
Vantage Data Centers powers, cools, protects and connects the technology of the world’s well-known hyperscale's, cloud providers and large enterprises. Developing and operating across six markets in North America and five markets in Europe, Vantage has evolved data center design in innovative ways to deliver dramatic gains in reliability, efficiency and sustainability in flexible environments that can scale as quickly as the market demands. For more information, visit www.vantage-dc.com.