Telehouse, alongside parent company KDDI Corporation, have reached an agreement with Allied Properties REIT to acquire three data centres in Toronto, Canada.
The acquisition includes the freehold interests in 151 Front Street West and 905 King Street West, as well as a leasehold interest in 250 Front Street West. It does not include 20 York Street and Skywalk, the site for Union Centre.
According to a statement by KDDI, the acquisition signals an investment of CAD 1.35 billion and will be part of the company’s plans to establish a new legal entity, KDDI Canada, Inc.
Located in the city centre of Toronto, the new carrier-neutral data centres will provide over 30 MW of IT load when fully operational.
Yasuaki Kuwahara, Member of the Board, Senior Managing Executive Officer and Head of Business Solution at KDDI, said, “This is another milestone achievement for KDDI, and an exciting investment which will enhance connectivity capabilities for Canadian businesses. With many North American organisations accelerating their digital transformation and innovation initiatives, we’re delighted to be able to play a part in their success, offering reliable, scalable, flexible and secure services to modernise and future-proof IT environments.”
Michael Emory, Founder and Executive Chair, Allied Properties REIT, added, “With global data centre operating capability, KDDI is an ideal successor owner for our data centre assets. Canadian cities continue to grow dramatically and successfully. The growth is driven in large part by knowledge-based organisations that require sophisticated and wide-ranging connectivity solutions. KDDI is extremely well positioned to provide these solutions and, in doing so, contribute meaningfully to the many and varied businesses operating in our cities.”
Beginning with the first Telehouse data centre in New York in 1989, KDDI has since expanded Telehouse’s data centre presence to 12 countries.