Summary
This 8-K filing by Equinix, Inc. (EQIX) announces a significant agreement for a new data center in Singapore. On March 27, 2013, Equinix Singapore Pte Ltd, a wholly-owned subsidiary, entered into an Agreement to Develop and Lease (ADL) with Mapletree Industrial Trust (MIT) for approximately 385,000 square feet of space. This development, designated as SG3, will become Equinix's third IBX data center in Singapore, underscoring the company's continued international expansion and commitment to key strategic markets. The agreement outlines a 20-year lease term with renewal options and a total rent obligation of approximately $159.6 million. Notably, Equinix Singapore holds an option to purchase the facility five years after its commencement. The new data center is anticipated to be operational in the second half of 2014, which will enhance Equinix's capacity and service offerings in the growing Asia-Pacific region.
Key Highlights
- 1Equinix to develop its third IBX data center in Singapore (SG3).
- 2Agreement to Develop and Lease (ADL) signed with Mapletree Industrial Trust (MIT).
- 3New data center will encompass approximately 385,000 square feet.
- 4Lease agreement for an initial fixed term of 20 years with renewal options.
- 5Total estimated rent obligation of $159.6 million over the initial lease term.
- 6Equinix Singapore has an option to purchase the facility after five years.
- 7SG3 is expected to be ready for service in the second half of 2014.