PowerHouse announces acquisition of new Texas site

Author: Simon Rowley

Harrison Street, one of the leading investment management firms focused on alternative real assets, and PowerHouse Data Centers, a leading real estate partner for next-generation hyperscale data centres, have announced the completed land purchase of 50 acres in Irving-Las Colinas, a thriving community located within the Dallas-Fort Worth area – the second largest data centre market in the country.

The site, located at 111 Customer Way, will be home to PowerHouse Irving, a nearly one million square foot data centre campus that will deliver 200 MW of power when completed. Demonstrating the company’s continued expansion into key markets, PowerHouse Irving is the third multi-phased data centre development to be announced this year, following PowerHouse Reno in Nevada and PowerHouse 95 in Spotsylvania County, Virginia.

The campus includes three powered shell data centres totalling over 946,000 square feet, with a total power load of 67 MW per building. The site has immediate access to permanent power from an existing adjacent substation, serviced by Oncor, the largest energy delivery company in Texas. Construction is scheduled to begin in early 2025, with the first powered shell set to be delivered by late 2025.

“I want to welcome PowerHouse and its partners to Irving. As we continue to demonstrate, our city is a prime destination for vital data infrastructure projects,” says Irving Mayor, Rick Stopfer. “Our skilled workforce, transportation links, central location, and ease of doing business attract companies ready to build the base for future high technology applications.”

PowerHouse CEO & Founder Doug Fleit, comments, “Location, speed to market, and power performance are critical to everything we do. Irving-Las Colinas has developed into a hugely important connectivity hub with major financial influence, and is an integral part of the Dallas market which has the fourth-largest concentration of Fortune 500 companies in the nation and the 20th largest economy in the world. We are excited to deliver the first of several planned projects to serve one of the most dynamic data centre markets in the world – and provide first-rate connectivity solutions for hyperscale customers.”

Centrally located in the heart of the Dallas-Fort Worth Metroplex, Irving-Las Colinas is known as Texas’ ‘Headquarters of Headquarters’, with more Fortune 500 corporate headquarters per capita than any city in Texas. The city boasts unmatched transportation links, with access to multiple highways and public transportation. Irving-Las Colinas companies have access to 4.4 million skilled workers, all within a 30-minute commute of the city.

“Dallas is an established data centre market that is seeing significant growth and serves as a major hyperscale compute cluster for the central region,” explains Michael Hochanadel, Managing Director & Head of Digital at Harrison Street. “We are leveraging our valued partnership with PowerHouse to deliver much-needed capacity to this high growth area, meeting escalating demand-driven cloud, AI, and other use cases.”

“On behalf of our member-investors and board of directors, we are excited to welcome PowerHouse home to our community,” notes Beth A. Bowman, President & CEO of the Irving-Las Colinas Chamber of Commerce and Irving Economic Development Partnership. “CBRE recently confirmed Dallas-Fort Worth as the second largest market for data centres in the US. This is no surprise, as Irving continues to attract world-class data infrastructure projects, the backbone of the digital economy. Our unmatched local and global connectivity, central geographic location, quality of life, and pro-business mindset offer data centre companies the opportunity to grow their presence right here in Irving-Las Colinas.”

PowerHouse says that the development of PowerHouse Irving is a pivotal step in its strategic expansion across key data centre markets and its entrance into the country’s second-largest data centre market. The North Texas region is also one of the country’s key tech hubs, hosting more than 40% of the advanced technology workers in Texas. The PowerHouse Harrison Street joint venture currently has three campus developments completed or underway in Northern Virginia, with an executed lease, pre-lease, or LOI for 100% of the buildable square feet.

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