Overview
- Digital Realty, which announced the close Monday, raised $3.25 billion from pensions, sovereign funds, endowments, insurers, asset managers, and family offices.
- The fund structure gives investors 80% ownership of stabilized data centers and preleased development sites, while Digital Realty keeps 20% and manages operations, leasing, and asset management.
- The portfolio targets major U.S. hubs including Northern Virginia, Santa Clara, Dallas, Atlanta, Charlotte, and New York.
- Company guidance says the fund supports more than $10 billion of new hyperscale development as part of a $15 billion private-capital pool used to secure land, power, and predevelopment needs.
- To build out this strategy, the REIT hired Michael Yang to lead fund management and Bradley Petersen to lead private capital fundraising.