Digital Core REIT is looking for a new tenant for one of its data centers in Northern Virginia, as the current occupant of the data center, located at 8217 Linton Hall Road in Bristow, Prince William County, has decided to not exercise its option to extend its lease on the property, the property trust said.
“The current customer occupies the entire building, which contributed approximately 11 percent of annualized rent as of 30 September 2024,” a Digital Core statement said. “The current lease expires on 30 June 2025, and following expiration of the renewal option, the customer is now expected to move out upon expiration of the current lease agreement.”
Every month the data center remains vacant will see Digital Core take a hit of 0.06 cents of distribution per unit (DPU), the company said, meaning its investors will receive a smaller return until a new tenant is found. However, the statement added that Digital Core is confident “any potential short-term DPU disruption is far outweighed by the opportunity for long-term value creation” through relisting the data center at current market rates and potentially further developing the site, which totals 32 acres, to house new data centers.
