QTS Realty Trust, a leading provider of mega-scale datacenter solutions, announced that it has extended lease agreement with two hyperscale anchor tenants who hold significant space in its Atlanta-Metro data center.
The Atlanta-Metro data center of QTS is one of the largest data centers in the world, with 970,000 sq. ft. of total space. This data center provides growth opportunities to clients across all QTS products portfolio, including Custom Data Center, Colocation and Cloud Services.
The Atlanta data center supports more than 235 customers including network and cloud service providers. It delivers 120 megawatts of transformer utility power. The hyperscale anchor tenants who extended leases, represent 19 megawatts (MW) of capacity. QTS said that they were signed at pricing levels above pre-renewal rates.
QTS aims at developing hyperscale data centers in the market, and address the growing demand of the Hyperscale Data Center market which is expected to reach $359.7 billion in 2023, from just $86.97 million in 2016.
The rise in use of IoT, cloud computing, social media platforms, mega-scale online retailing, and artificial intelligence applications are the key factors to drive the hyperscale datacenter growth.
Last month, the company announced its plan to redefine the organization by creating digital communities that can enable enterprises to directly interact with cloud, digital media and e-commerce companies.
“We are pleased to continue to support the data center requirements of two of the world’s leading technology companies,” said Tag Greason, EVP – Hyperscale. “The Atlanta market remains a key destination for hyperscale customers. We expect the combination of our significant power cost advantage in Atlanta and future growth capacity enabled by our mega scale data centers will continue to provide strategic growth opportunities within the hyperscale vertical.”
These renewals of leases begin from 14th March 2018, and expire after 48 months.
“This lease represents the expectation of a full 24 megawatts of incremental demand from a long-term, existing QTS customer. The hyperscale vertical has been and will continue to be a growth opportunity for QTS given the Company’s focus on developing mega scale data centers in strategic markets,” wrote QTS.