Summary
This 8-K filing by Equinix Inc. (EQIX) reports on a recent financial obligation related to the development of a new data center. Specifically, on June 27 and June 30, 2008, a wholly-owned subsidiary, CHI 3, LLC, drew down the final portion of its development loan, borrowing an additional $2.7 million. This brings the total borrowings under the agreement to the full $110 million committed amount. These funds are designated for the construction of a significant new IBX data center facility located in Elk Grove Village, Illinois, which is expected to span approximately 250,000 square feet. The total loan, which carries a blended interest rate of 5.1875%, was secured through an agreement with SFT I, Inc. This action signifies progress in Equinix's expansion plans and its continued investment in building out new data center capacity to meet market demand.
Key Highlights
- 1Equinix subsidiary CHI 3, LLC borrowed an additional $2.7 million on June 27 and 30, 2008.
- 2This represents the final borrowing under the $110 million Development Loan and Security Agreement.
- 3The total borrowings under the loan now amount to approximately $110 million.
- 4The loan agreement is with SFT I, Inc.
- 5Funds are for the development of a ~250,000 square foot IBX data center in Elk Grove Village, Illinois.
- 6The current blended interest rate on the loan is 5.1875%.