QTS Pre-leases 100% of Its Initial Development in Hillsboro OR

QTS has signed an anchor tenant for it's new Hillsboro campus. QTS has pre-leased the entire first phase (4.5 MW) to a global software-as-a-service provider. The Company expects to complete the first phase of development in Hillsboro by mid-2020 with additional power capacity available for customers in the second half of 2020.

QTS Press Release:

QTS Announces Development of Mega Data Center on 250+ Megawatt Hillsboro, Oregon Campus
Hyperscale customer signs approximately 4.5 megawatt commitment to anchor new data center development in Hillsboro

OVERLAND PARK, Kan., Feb. 18, 2020 /PRNewswire/ -- QTS Realty Trust (NYSE: QTS), a leading provider of hybrid colocation and mega scale data center solutions, today announced it has commenced development of a new mega data center campus in Hillsboro, Or. The initial development will feature construction of a 158,000 square foot data center encompassing 85,000 square feet of leasable capacity and 27 megawatts of gross power capacity. QTS believes the 92-acre site can ultimately support the construction of five mega data centers totaling approximately 1.5 million gross square feet encompassing more than 1 million square feet of leasable capacity and more than 250 megawatts of gross power capacity.

QTS has pre-leased 100% of the first phase of development at the site to a global software-as-a-service provider representing approximately 4.5 megawatts. The Company expects to formally open and commission the first phase of development in Hillsboro in mid-2020 with additional power capacity available for customers in the second half of 2020. Significant pre-leasing at the Company's new site is consistent with QTS' de-risked approach to development and capital allocation.

Consistent with its corporate commitment to provide 100% renewable power across all of its data centers by 2025, QTS anticipates having 100% renewable energy available for customers upon opening its Hillsboro facility in mid-2020.

Hillsboro is host to many high-tech companies. It has become an increasingly attractive alternative destination to Silicon Valley, earning it the nickname "Silicon Forest" as it grows into a trans-Pacific hub for data center connectivity and companies with business in Asia.

QTS' new mega data center is joining the Hillsboro Ring which includes several ultra-high count fiber optic rings that interconnect 14 data centers and provides the lowest-cost dark fiber access to cable landing stations of trans-Pacific subsea cable systems. Fiber destinations include China, Taiwan, Japan, Korea, Guam, Hawaii, New Zealand, Australia, American Samoa, the Philippines and Alaska, with New Caledonia being added in 2021.

"QTS is committed to be an early mover at scale providing both hyperscale and hybrid colocation solutions in the fastest growing west coast data center market in the country," said Chad Williams, Chief Executive Officer, QTS. "We believe the strategic importance of the Hillsboro market will continue to grow as customers focus their data center infrastructure strategies around low-cost markets with strong access to power and a multitude of connectivity options, like Hillsboro. We are pleased to add sellable capacity in a new strategic market to further support and expand our ecosystem of more than 1,200 customers across our footprint."