Virginia: Harrisonburg Data Facility Receives $44 Million Loan From Valley National Bank

Feb 13, 2023 | Posted by Abdul-Rahman Oladimeji

A Virginia facility has negotiated a $44 million loan for a data center owner. According to The Commercial Observer, AC DataCom Digital Infrastructure Investments has obtained permanent financing of $43.8 million to construct a data center in Harrisonburg, Virginia. The 100,000-square-foot data center owned by the sponsor and located at 1175 North Main Street was funded by a term loan from Valley National Bank. Since 2015, Anthem Health has held a full lease on the site. Although the Harrisonburg market is outside of Valley's geographic scope, Chris Coiley, provincial president of commercial property for the regions of New York, New Jersey, Pennsylvania, California, and Illinois, said that offering financing options for their long-term clients, even outside of the market, is crucial to preserving and fostering those essential relationships. The loan's goal was to recapitalize the asset, allowing their client to look for new assets in their markets. 

A comment was not given by AC DataCom. The company, founded last year, has ties to the Florida-based Carter group of real estate firms, including former significant data center investor Carter Validus, according to an SEC filing. The Carter group's contact information and directors are also listed there. It appears that Iroquois Capital Advisors has invested in the business as well. DBT-Data purchased the data center, known initially as the Tyco building, from Criticon in 2008 for an alleged $3.6 million while it was still being converted into a data center. The firm claimed to have secured up to 40MW for the location. Per a 2018 DCF article, Anthem runs four main data centers, with Richmond, Virginia, serving as the central location.