SAN FRANCISCO, Oct. 2 CA-DLR-ReportLeasing
SAN FRANCISCO, Oct. 2 /PRNewswire-FirstCall/ -- Digital Realty Trust, Inc.
(NYSE: DLR), a leading owner and manager of corporate and Internet gateway
datacenters, is reporting strong leasing activity for the third quarter of
2008. Lease signings for the quarter represent the highest volume of
quarterly activity to date for the Company in terms of square footage and
annualized GAAP rental revenues.
The Company commenced leases during the quarter totaling approximately
351,000 square feet of space. This includes 190,000 square feet of Turn-Key
Datacenter(TM) space leased at an average annual GAAP rental rate of
approximately $142 per square foot, 104,000 square feet of Powered Base
Building(TM) space at an average annual GAAP rental rate of $30 per square
foot and 58,000 square feet of non-technical space leased at an average annual
GAAP rental rate of approximately $23 per square foot.
In addition, the Company signed leases during the quarter totaling 478,000
square feet of space. This includes 262,000 square feet of Turn-Key
Datacenter(TM) space leased at an average annual GAAP rental rate of
approximately $155 per square foot, 171,000 square feet of Powered Base
Building(TM) space at an average annual GAAP rental rate of $47 per square
foot, and 45,000 square feet of non-technical space leased at an average
annual GAAP rental rate of approximately $13 per square foot.
"Consistent with our second quarter 2008 results, we continued to
experience robust leasing activity during the third quarter across our top
markets, including New York Metro, Northern Virginia, Chicago, Phoenix, San
Francisco, and Paris, France, which has shown particularly strong demand for
our product over the past several months," commented Michael F. Foust, Chief
Executive Officer of Digital Realty Trust. "The record volume of leases
signed during the quarter represents a wide range of industry sectors and
large, high credit quality tenants. Our success with these tenants is the
result of our ability to consistently deliver the high quality product
required by the Fortune 1000 corporate users, large Internet enterprises,
major financial firms, and international system integrators."
Chris Crosby, Senior Vice President of Sales and Technical Services for
Digital Realty Trust added, "Our Turn-Key Datacenter(TM) product has proven to
be a cost effective, highly reliable IT infrastructure solution for our
corporate and Internet enterprise customers as well as for the large system
integrators. Given the current economic environment, we are especially proud
of our strong leasing performance and believe it is indicative of the critical
nature of datacenter facilities."
Digital Realty Trust Turn-Key Datacenter(TM) facilities provide
state-of-the-art environments for supporting mission critical infrastructure,
with advanced cooling, power, redundancy, and sustainability features to
ensure that critical applications are available while optimizing energy
efficiency. Digital Realty Trust's Turn-Key Datacenters(TM) are scalable from
hundreds of kilowatts of IT Load to megawatts of IT load and are located in
markets throughout North America and Europe. Each Turn-Key Datacenter(TM)
facility is physically secure and features a state-of-the-art power and
cooling architecture that has been optimized for green operation. Every
Turn-Key Datacenter(TM) is built using the company's proprietary POD
Architecture(TM) and uses metered power to ensure that clients pay only for
the power that they use.
About Digital Realty Trust, Inc.
Digital Realty Trust, Inc. owns, acquires, redevelops, develops and
manages technology-related real estate. The Company is focused on providing
Turn-Key Datacenter(TM) and Powered Base Building(TM) datacenter solutions for
domestic and international tenants across a variety of industry verticals
ranging from information technology and internet enterprises, to manufacturing
and financial services. Digital Realty Trust's 74 properties, excluding one
property held as an investment in an unconsolidated joint venture, contain
applications and operations critical to the day-to-day operations of
technology industry tenants and corporate enterprise datacenter tenants.
Comprising approximately 12.9 million square feet as of August 6, 2008,
including 1.9 million square feet of space held for redevelopment, Digital
Realty Trust's portfolio is located in 27 markets throughout Europe and North
America. For additional information, please visit Digital Realty Trust's
website at http://www.digitalrealtytrust.com.
Safe Harbor Statement
This press release contains forward-looking statements which are based on
current expectations, forecasts and assumptions that involve risks and
uncertainties that could cause actual outcomes and results to differ
materially, including statements related to demand, future leasing activity
and our belief in the critical nature of datacenter facilities. These risks
and uncertainties include adverse economic or real estate developments in the
Company's markets or the technology industry; general economic slow-downs or
recessions; construction and development delays and failures of leases to
commence rental payments on time; tenant bankruptcies; defaults under leases
by tenants; increased interest rates; increased operating costs; failure to
obtain necessary outside financing; decreased rental rates or increased
vacancy rates; difficulties in identifying properties to acquire and
completing acquisitions at all or at acceptable return levels; failure to
successfully operate acquired properties and operations; failure of acquired
properties to perform as expected; reductions in property values; failure to
successfully redevelop properties acquired for such purposes or unexpected
costs related thereto; failure to maintain the Company's status as a REIT;
environmental uncertainties and risks related to natural disasters; financial
market fluctuations; changes in foreign currency exchange rates; risks of
operating in foreign markets; and changes in real estate and zoning laws and
increases in real property tax rates. For a further list and description of
such risks and uncertainties, see the reports and other filings by the Company
with the United States Securities and Exchange Commission, or SEC, including
the Company's annual report on Form 10-K for the year ended December 31, 2007
and the Company's quarterly reports on Form 10-Q for the quarters ended March
31, 2008 and June 30, 2008. The Company disclaims any intention or obligation
to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
For Additional Information:
A. William Stein
Chief Financial Officer and
Chief Investment Officer
Digital Realty Trust, Inc.
+1 415-738-6500
Pamela A. Matthews
Investor/Analyst Information
Digital Realty Trust, Inc.
+1 415-738-6500
Chris Crosby
Sales & Technical Services
Digital Realty Trust, Inc.
+1 214-231-1350
SOURCE Digital Realty Trust, Inc.
