• Stonepeak has formed a joint venture with American Tower subsidiary CoreSite to develop a new data center in Denver, Colorado. • The venture, named CoreSite DevCo JV, will create an 18 megawatt (MW) data center called DE3, with CoreSite managing its operations. • Stonepeak will own 85% equity in the joint venture, while CoreSite will hold the remaining 15%. • The investment is primarily drawn from the Stonepeak Opportunities Fund, which focuses on control and structured capital solutions in North America and Europe. • CoreSite operates an interconnection-focused data center platform across 28 facilities in 11 U.S. markets, including a prominent presence in Denver. • DE3 will be developed in three 6 MW phases with an estimated total development cost exceeding $250 million. • The new facility will be located on owned land less than 3.5 miles from CoreSite’s existing data centers DE1 and DE2 in downtown Denver. • Andrew Thomas from Stonepeak expressed excitement over the partnership, highlighting benefits from CoreSite’s interconnection platform and dark fiber access. • Steven Vondran, President and CEO of American Tower, noted the strategic growth potential this joint venture brings to their data center operations in the Denver market. • Legal advisors for Stonepeak include Sidley Austin LLP, while American Tower is advised by Cleary Gottlieb Steen & Hamilton LLP and Sullivan & Worcester LLP. • Stonepeak specializes in infrastructure and real assets, managing approximately $71.2 billion in assets. • American Tower is a leading independent developer of communication real estate with over 224,000 sites globally. • CoreSite provides hybrid IT solutions that support enterprises and service providers in digital transformation, enhancing operational performance and customer experience.

Stonepeak Forms Joint Venture with American Tower to Construct a New Data Center in Denver, Colorado:


July 31, 2024 11:41 AM Eastern Daylight Time

NEW YORK & BOSTON--(BUSINESS WIRE)--Stonepeak, a leading alternative investment firm specializing in infrastructure and real assets, today announced that it has executed definitive documentation with American Tower (NYSE:AMT) subsidiary CoreSite to form a new joint venture (“CoreSite DevCo JV”) to develop, construct, and operate an 18 megawatt (“MW”) data center in Denver, Colorado (“DE3”), with CoreSite operating DE3. Stonepeak is expected to hold 85% of the equity of the CoreSite DevCo JV, with CoreSite holding the remaining 15% ownership interest. The investment is being made primarily through the Stonepeak Opportunities Fund, which targets both control and structured capital solutions across North America and Europe.

American Tower operates a leading North American interconnection-focused data center platform through its investment in CoreSite, in which Stonepeak holds a minority interest having invested in the platform in 2022. CoreSite operates 28 facilities across 11 U.S. markets and has built an established presence in the growing Denver market over the past decade, operating the primary carrier hotel in this key interconnection hub. DE3 is a new, 18 MW purpose-built data center to be constructed on a modular basis over three 6 MW phases, for a total estimated development cost of over $250 million. The campus will be situated on owned land in downtown Denver, located less than 3.5 miles from CoreSite’s existing DE1 and DE2 facilities, and will be the third data center asset in CoreSite’s Denver platform once constructed.

Andrew Thomas, Senior Managing Director at Stonepeak, said, “We are excited to continue our long-term partnership with the American Tower and CoreSite teams to help accelerate investment behind key digitalization tailwinds. We believe the CoreSite DevCo JV will immediately benefit from CoreSite’s leading interconnection platform in the fast-growing Denver market through dedicated dark fiber to CoreSite’s existing facilities, which provides DE3 customers with differentiated access to an established ecosystem on Day 1.”

Steven Vondran, American Tower’s President and Chief Executive Officer, added, “We are pleased to continue our partnership with Stonepeak in our U.S. data center platform, with the formation of a new joint venture to construct a new data center in the growing Denver market. The CoreSite DevCo JV enables us to strategically execute on key growth opportunities by expanding our data center campus model in the region and create value by capitalizing on demand tailwinds as the primary interconnection hub in Denver.”

Sidley Austin LLP is serving as legal advisor to Stonepeak. Cleary Gottlieb Steen & Hamilton LLP is serving as legal advisor to American Tower, who is also being advised by Sullivan & Worcester LLP with respect to certain REIT and tax matters.

About Stonepeak

Stonepeak is a leading alternative investment firm specializing in infrastructure and real assets with approximately $71.2 billion of assets under management. Through its investment in defensive, hard-asset businesses globally, Stonepeak aims to create value for its investors and portfolio companies, with a focus on downside protection and strong risk-adjusted returns. Stonepeak, as sponsor of private equity and credit investment vehicles, provides capital, operational support, and committed partnership to grow investments in its target sectors, which include communications, energy and energy transition, transport and logistics, and real estate. Stonepeak is headquartered in New York with offices in Hong Kong, Houston, London, Singapore, and Sydney. For more information, please visit www.stonepeak.com.

About American Tower

American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of over 224,000 communications sites and a highly interconnected footprint of U.S. data center facilities. For more information about American Tower, please visit the “Earnings Materials” and “Investor Presentations” sections of our investor relations hub at www.americantower.com.

About CoreSite

CoreSite, an American Tower company (NYSE: AMT), provides hybrid IT solutions that empower enterprises, cloud, network, and IT service providers to monetize and future-proof their digital business. Its highly interconnected data center campuses offer a native digital supply chain featuring direct cloud onramps to enable its customers to build customized hybrid IT infrastructure and accelerate digital transformation. For more than 20 years, CoreSite’s team of technical experts has partnered with customers to optimize operations, elevate customer experience, dynamically scale, and leverage data to gain competitive edge. For more information, please visit www.coresite.com.

Contacts

Stonepeak
Kate Beers / Maya Brounstein
corporatecomms@stonepeak.com
+1 (646) 540-5225

American Tower
Adam Smith
Senior Vice President, Investor Relations and FP&A
investor.relations@americantower.com
+1 (617) 375-7500

CoreSite
Megan Ruszkowski
Vice President of Marketing and Sales Development
Megan.Ruszkowski@CoreSite.com
+1 (720) 446-2014