Investors Will Pay Good Money For Phoenix Data Centers. Here's Why.

Phoenix wasn't always the first place people thought of when considering a data center. (Probably didn't even make the top 10.) So, why now? American Realty Advisors CEO Stanley Iezman explains.

A number of major data centers already here were attracted by the region's relatively skilled workers, fairly low-cost power, and a position in North America that isn't prone to floods, tornadoes or earthquakes. Recently, American sold an office building and data center totaling 513k SF in North Phoenix for $91.5M on behalf of the Detroit Police and Fire Retirement System to LA-based Griffin Capital Corp.

That property had the locational advantages of being in Phoenix and a long-term commitment by Amex, Stanley notes. The property is on a 28.5-acre site at 3151 and 3202 W Behrend Dr in a growing submarket, where demand for office and data center properties continues to rise, he adds. CBRE's Jim Fijan and Chad Freese brokered the deal.

Related: 10% off Bisnow National Data Center event with code TURING10

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