Digital Realty Trust Reports Strong Second Quarter 2009 Leasing Activity
21 Juli 2009 - 2:00PM
PR Newswire (US)
SAN FRANCISCO, July 21 /PRNewswire-FirstCall/ -- Digital Realty
Trust, Inc. (NYSE:DLR), the world's largest wholesale datacenter
provider, today announced its second quarter 2009 leasing results
reflecting strong incremental revenue growth for the Company. For
the quarter ended June 30, 2009, the Company commenced leases
totaling approximately 115,000 square feet of space. This includes
approximately 93,000 square feet of Turn-Key Datacenter(SM) space
leased at an average annual GAAP rental rate of $166.00 per square
foot and approximately 22,000 square feet of non-technical space
leased at an average annual GAAP rental rate of $24.00 per square
foot. In addition, approximately $627,000 of additional incremental
annualized GAAP rental revenue commenced during the quarter for
rooftop infrastructure associated with existing Powered Base
Building(SM) leases. The Company signed leases during the second
quarter of 2009 totaling approximately 100,000 square feet of
space. This includes approximately 92,000 square feet of Turn-Key
Datacenter(SM) space leased at an average annual GAAP rental rate
of $167.00 per square foot and approximately 8,000 square feet of
non-technical space leased at an average annual GAAP rental rate of
$23.00 per square foot. "Our strong leasing results to date reflect
the continued demand for our Turn-Key Datacenter(SM) product. The
leases that have commenced will contribute approximately $46.8
million of incremental revenue recognized in 2009," commented
Michael Foust, Chief Executive Officer of Digital Realty Trust.
"The supply of fully fitted-out datacenter space for corporate IT
customers remains significantly constrained as a result of the
limited availability of capital to build out this highly
specialized space. We are encouraged by the level of new
requirements we are tracking in our top markets and remain
well-positioned to capture a disproportionate share of that
demand." About Digital Realty Trust, Inc. Digital Realty Trust
owns, acquires, redevelops, develops and manages technology-related
real estate. The Company is focused on providing Turn-Key
Datacenter(SM) and Powered Base Building(SM) 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 75 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 13.0 million square feet as of April 30,
2009, including 1.2 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
incremental revenue to be realized in 2009 from commenced leases.
These risks and uncertainties include the impact of a slowing
economy in the United States and Europe, including the turmoil in
the financial and credit markets; the downturn of local economic
conditions in our geographic markets; decreases in information
technology spending, including as a result of economic slowdowns or
recession; adverse economic or real estate developments in our
industry or the industry sectors that we sell to; decreases in real
estate valuations and resulting impairment charges; our dependence
upon significant tenants; bankruptcy or insolvency of one or more
major tenants or a significant number of smaller tenants; defaults
on or non-renewal of leases by tenants; our failure to obtain
necessary debt and equity financing for refinancing current debt
obligations, undertaking or completing redevelopment, completing
acquisitions or other purposes; increased interest rates and
operating costs; our failure to repay debt when due or our breach
of covenants or other terms contained in our loan documents;
financial market fluctuations; changes in foreign currency exchange
rates; our ability to manage our growth effectively; difficulty
acquiring or operating properties in foreign jurisdictions; our
failure to successfully operate acquired or redeveloped properties;
risks related to joint venture investments, including as a result
of our lack of control of certain of these investments; delays or
unexpected costs in development or redevelopment of properties;
decreased rental rates or increased vacancy rates; increased
competition or available supply of data center space; inability to
successfully redevelop and lease new properties and space held for
redevelopment; difficulties in identifying properties to acquire
and completing acquisitions; our inability to acquire off-market
properties; our inability to comply with the rules and regulations
applicable to public companies; our failure to maintain our status
as a REIT; possible adverse changes to tax laws; restrictions on
our ability to engage in certain business activities; environmental
uncertainties and risks related to natural disasters; changes in
foreign laws and regulations, including those related to taxation
and real estate ownership and operation; 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, including the Company's annual
report on Form 10-K for the year ended December 31, 2008 and the
Company's quarterly report on Form 10-Q for the quarter ended March
31, 2009. 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 Pamela A. Matthews Chris
Crosby Chief Financial Officer Investor/Analyst Sales & and
Information Technical Services Chief Investment Officer Digital
Realty Digital Realty Digital Realty Trust, Inc. Trust, Inc. Trust,
Inc. +1 415-738-6500 +1 214-231-1350 +1 415-738-6500 DATASOURCE:
Digital Realty Trust, Inc. CONTACT: A. William Stein, Chief
Financial Officer and Chief Investment Officer, +1-415-738-6500, or
Pamela A. Matthews, Investor/Analyst Information, +1-415-738-6500;
or Chris Crosby, Sales & Technical Services, +1-214-231-1350,
all of Digital Realty Trust, Inc. Web Site:
http://www.digitalrealtytrust.com/
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