Data center company Windstream Corporation has agreed to lease 11,000 square feet in Dave Sabey’s 375 Pearl Street.
The former Verizon tower, which Sabey bought two years ago and vowed to convert into the tallest data center in the world, is slowly settling into his vision. Little Rock-based Windstream, which contracts out data center space and then sublets to smaller users, has inked a 15-year lease in the 32-story building. The deal also reportedly includes expansion rights.
Asking rents in the building, which debuted in March, are in the $50s per square foot.
“In the data center business, we don’t measure deals by square feet, we measure by power,” Sabey told Crain’s.
To that end, Windstream has agreed to consume 664 kilowatts in the space, and is permitted to grow its power needs by as much as 50 percent, or up to 1 megawatt. In that instance, Sabey told Crain’s, the tenant would likely take up additional space.
Newmark Grubb Knight Frank’s Michael Morris led the team of brokers representing the landlord, while Michael Rareshide of Partners National represented the tenant.
The New York Genome Center was the first tenant at the building. [Crain’s] — Julie Strickland