{"id":1004699074,"date":"2024-01-23T03:16:00","date_gmt":"2024-01-23T11:16:00","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004699074"},"modified":"2024-01-25T14:20:23","modified_gmt":"2024-01-25T22:20:23","slug":"powerhouse-secures-site-for-400m-data-center-campus","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/powerhouse-secures-site-for-400m-data-center-campus\/","title":{"rendered":"PowerHouse Secures Site for $400M Data Center Campus"},"content":{"rendered":"\n<p><strong>PowerHouse Data Centers<\/strong> has closed on the site of PowerHouse Reno, its planned three-building, 900,000-square-foot powered shell data center campus in Reno, Nev. It estimates the project\u2019s total value at about $400 million. PowerHouse will build the facility as part of a joint venture with <strong>Harrison Street<\/strong>.<\/p>\n\n\n\n<figure data-wp-context=\"{&quot;imageId&quot;:&quot;6a1571a54d43e&quot;}\" data-wp-interactive=\"core\/image\" class=\"wp-block-image size-large wp-lightbox-container\"><img loading=\"lazy\" decoding=\"async\" data-attachment-id=\"1004699095\" data-permalink=\"https:\/\/www.commercialsearch.com\/news\/powerhouse-secures-site-for-400m-data-center-campus\/powerhouse-data-centers\/\" data-orig-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg\" data-orig-size=\"1284,600\" data-comments-opened=\"0\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"PowerHouse-Data-Centers\" data-image-description=\"\" data-image-caption=\"\" data-large-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg?w=1024\" data-wp-class--hide=\"state.isContentHidden\" data-wp-class--show=\"state.isContentVisible\" data-wp-init=\"callbacks.setButtonStyles\" data-wp-on-async--click=\"actions.showLightbox\" data-wp-on-async--load=\"callbacks.setButtonStyles\" data-wp-on-async-window--resize=\"callbacks.setButtonStyles\" height=\"479\" width=\"1024\" src=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg?w=1024\" alt=\"\" class=\"wp-image-1004699095\" srcset=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg 1284w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg?resize=300,140 300w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg?resize=768,359 768w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2024\/01\/PowerHouse-Data-Centers.jpg?resize=1024,479 1024w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><button\n\t\t\tclass=\"lightbox-trigger\"\n\t\t\ttype=\"button\"\n\t\t\taria-haspopup=\"dialog\"\n\t\t\taria-label=\"Enlarge\"\n\t\t\tdata-wp-init=\"callbacks.initTriggerButton\"\n\t\t\tdata-wp-on-async--click=\"actions.showLightbox\"\n\t\t\tdata-wp-style--right=\"state.imageButtonRight\"\n\t\t\tdata-wp-style--top=\"state.imageButtonTop\"\n\t\t>\n\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"12\" height=\"12\" fill=\"none\" viewBox=\"0 0 12 12\">\n\t\t\t\t<path fill=\"#fff\" d=\"M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z\" \/>\n\t\t\t<\/svg>\n\t\t<\/button><figcaption class=\"wp-element-caption\">PowerHouse Data Centers has closed on the site of PowerHouse Reno, its first project outside Northern Virginia. <em>Rendering courtesy of PowerHouse Data Centers<\/em><\/figcaption><\/figure>\n\n\n\n<p>The Reno campus will be developed within the Tahoe Reno Industrial Center, in a region that\u2019s evolving into one of the nation\u2019s fastest-growing tech hubs as land and power have become challenging to secure in Northern California, according to PowerHouse.<\/p>\n\n\n\n<p>The developer adds that the Reno region offers access to low-cost renewable energy, a qualified workforce, competitive tax rates and abatements, and a business-friendly environment.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-cyan-bluish-gray-color has-alpha-channel-opacity has-cyan-bluish-gray-background-color has-background is-style-wide\"\/>\n\n\n\n<p><strong>READ ALSO<\/strong>: <a href=\"https:\/\/www.commercialsearch.com\/news\/will-the-data-center-industry-further-grow-in-2024\/\">Will the Data Center Industry Grow More in \u201924?<\/a><\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-cyan-bluish-gray-color has-alpha-channel-opacity has-cyan-bluish-gray-background-color has-background is-style-wide\"\/>\n\n\n\n<p>In a prepared statement, Doug Fleit, co-founder &amp; CEO of AREP and PowerHouse, cited the broad-based growth of AI as a driver of hyperscale demand.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-ai-behind-the-wheel\">AI behind the wheel<\/h2>\n\n\n\n<p>PowerHouse currently has four developments underway in Northern Virginia totaling more than 700 MW.<\/p>\n\n\n\n<p>Last March, the <a href=\"https:\/\/www.commercialsearch.com\/news\/powerhouse-tops-out-its-1st-northern-virginia-data-center\/\">developer topped out ABX-1<\/a>, its first data center project in this market. The powered shell totals 265,850 square feet and will initially provide 60 MW. The first occupants were expected in July, with final completion scheduled for this past October.<\/p>\n\n\n\n<p>Nationally, AI seems to be steadily transforming the data center sector, according to a 2024 outlook from <strong>CBRE<\/strong>.<\/p>\n\n\n\n<p>\u201cAs AI becomes more prevalent, there will be an increased need for high-bandwidth network connections to facilitate higher data transfer rates,\u201d CBRE reports. \u201cMajor cloud-service providers are becoming more interested in less-expensive rural areas to provide their clients with AI training solutions, although many of these sites require new fiber connectivity. Edge data centers will also play an important role in 2024 due to edge computing reducing latency and enabling AI systems to process data closer to end-users or applications.\u201d<\/p>\n\n\n\n<p>As a result of this, strong demand versus limited supply, and other factors in the sector, CBRE said, data center prices continue to rise.<\/p>\n\n\n\n<p>After projecting a 16 percent year-over-year pricing increase for 250kw to 500kw requirements in 2023, CBRE expects a further 10 percent to 15 percent pricing increase this year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The development marks the company\u2019s first project outside of Northern Virginia.<\/p>\n","protected":false},"author":882,"featured_media":1004699093,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21755,21782,21808,21783,21742,15],"tags":[33096,32789,44141,51906],"class_list":["post-1004699074","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-data-centers","category-development","category-featured","category-investment","category-latest","category-west","tag-american-real-estate-partners","tag-cbre","tag-harrison-street","tag-powerhouse-data-centers"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.4 (Yoast SEO v24.6) - 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