CIM GROUP ACQUIRES PROPERTY IN CHICAGO’S SOUTH SIDE FOR DATACENTER CONVERSION
CHICAGO– July 31, 2018 – CIM Group and fifteenfortyseven Critical Systems Realty (“1547”) today announced the acquisition of Midway Technology Centre, an approximately 220,000-square-foot vacant industrial campus consisting of a 5-story building and surface parking lots. Located at 40 East Garfield Boulevard between S. State Street and S. Wabash Avenue in Chicago’s Washington Park neighborhood, the property sits on 4.69 acres of an entire city block and was the former bread factory of the Schulze Baking Company that opened over a hundred years ago. The property is expected to be converted into a 26 MW Tier III+ datacenter with tech office space designed to address wholesale users’ increasing data and connectivity demands.
Midway Technology Centre is located in a fiber-rich area adjacent to multiple fiber-optic paths for metro and long-haul fiber into 350 E Cermak, the most interconnected datacenter in the central U.S. The historic industrial building will be rehabilitated and adaptively reused to accommodate a range of datacenter users seeking a presence in the greater Chicago metro area.
Chicago is one of the top datacenter markets in the United States and is a major hub for content delivery services due to its central U.S. location. Additionally, Chicago is an attractive datacenter environment due to its relatively low power costs, access to cross-continental fiber networks, large and growing colocation/cloud ecosystem, favorable business climate, international financial exchanges, and low risk of natural disasters.
“Midway Technology Centre’s connectivity directly to the primary interconnection facilities will appeal to providers of low latency applications and cloud services to the greater Chicago community. Additionally, with its location in both an Enterprise Zone and an Opportunity Zone, Midway Technology Centre is positioned to be a highly desirable option for all users of datacenter services. The acquisition of Midway Technology Centre further expands the partnership’s portfolio of premier datacenter assets in or adjacent to population centers to serve the growing data needs of businesses,” stated J. Todd Raymond, CEO of 1547.
Including Midway Technology Center, within the last year CIM and 1547 have acquired four properties for data center operations. Last summer the partnership acquired 400 Paul Avenue in San Francisco, a 7.3 acre property planned for a 240,000-square-foot data center campus located at one of the nation’s most important data center hubs in the San Francisco Bay Area. Construction is underway on the two existing buildings totaling approximately 54,000 square feet, which will be used to serve as datacenter, office and support/secure storage space for the fully-entitled development of a 187,000-square-foot, two-story, data center with 24 MW of power capacity from dual power feeds via underground ducts from separate PG&E transformers. The partnership also owns an operating datacenter in Markham, Ontario, 20 miles outside of downtown Toronto, Canada, and an operating data center in Cheyenne, Wyoming.
CIM Group’s growing portfolio of diverse infrastructure assets include renewable energy, water, transportation, waste management and communications infrastructure that support urban communities in North America.
ABOUT CIM GROUP
CIM is a community-focused real estate and infrastructure owner, operator and lender. Since 1994, CIM has led more than $56 billion of projects in communities across the Americas on behalf of its own account and its partners, co-investors and shareholders. CIM’s broad in-house expertise includes decades of research, acquisition, credit analysis, development, finance, leasing and asset management experience in urban real assets, net-lease assets and other associated credit strategies. CIM’s disciplined approach and extensive in-house expertise creates value in projects, which ultimately enhances communities. For more information, visit www.cimgroup.com.
About fifteenfortyseven Critical Systems Realty
fifteenfortyseven Critical Systems Realty (1547) is a leading developer and operator of custom-designed data centers with over 800,000 square feet of data center space under development and management in Orangeburg, NY, Chicago, IL, Cheyenne, WY, San Francisco, CA, Markham, ON and Kapolei, HI. Central to the firm’s strategy is the ability to uncover the true intrinsic value of properties, opportunistically developing world-class data center facilities with a focus on providing tenants with customized mission critical solutions from concept through completion. 1547 was formed in 2011 by a group of experienced executives from the financial and data center industries to leverage their combined expertise to produce market leading data center development projects. Together, the team has over 60 years of experience in developing, renovating and operating data center space. This wealth of experience allows 1547 to be uniquely positioned to acquire, develop, and operate strategically-located, custom built data center properties.