News Summary
Arizona Land Consulting, with investors including Chamath Palihapitiya, has acquired Hassayampa Ranch, a 2,100-acre site, for $51 million. This site is set to be transformed into a major data center hub, with the potential for a remarkable worth of $25 billion. The strategic location provides 1,500 megawatts of power, essential for data center operations, amidst an industrial boom in Arizona. The firm is exploring options for the property, which could support 3.5 million square feet of data center space and drive significant economic development in the tech sector.
Arizona is witnessing a significant shift in land development as Arizona Land Consulting, alongside a group of investors including venture capitalist Chamath Palihapitiya, has successfully acquired a 2,100-acre site known as Hassayampa Ranch for $51 million. This site, located west of Phoenix, is poised to be transformed into a major data center hub, potentially reaching a remarkable worth of $25 billion once developed.
The collaboration with Palihapitiya, a former executive at Facebook, signifies a growing interest in Arizona’s industrial landscape. The property’s location provides access to approximately 1,500 megawatts of power, a crucial factor for powering the energy-intensive operations of data centers. Alongside CEO Anita Verma-Lallian of Arizona Land Consulting, Palihapitiya emphasizes the strategic advantages of this investment, aiming to meet the rising demand in the tech industry.
The acquisition fits into a broader context of Arizona’s industrial boom, which has seen numerous exciting projects emerge recently. Arizona Land Consulting has been actively expanding its portfolio, having recently purchased an additional 131 acres in Buckeye, Arizona, for $20 million. This Buckeye site is notably zoned for industrial use and includes a Certificate of Assured Water Supply, allowing for further subdivision and development of multiple industrial facilities.
With ongoing developments, the industrial boom in Arizona appears to be gathering momentum. The firm completed a remarkable closing of $138 million in August and secured 600 acres in Casa Grande for $40 million shortly thereafter. This rapid expansion reflects the firm’s commitment to providing strong returns for investors and facilitating new industrial development across the state.
Arizona Land Consulting is currently evaluating its next steps for the recently acquired Hassayampa Ranch site. The options include selling the land to a developer or leading the development themselves to diversify their business model. The site is projected to accommodate approximately 3.5 million square feet of data center space, with projected investment in the project estimated to range between $1 billion and $4 billion.
The strategic location of Hassayampa Ranch near the Buckeye Municipal Airport enhances its potential, especially amid the growth of aviation facilities in the region, making it an attractive site for tech companies that rely on substantial infrastructure.
Phoenix is rapidly establishing itself as a booming market for data centers, with many major companies, including Google, Microsoft, and Digital Realty, setting up operations in the area. This influx of tech giants will likely further drive demand for data center development, aligning perfectly with Palihapitiya’s and Verma-Lallian’s vision for the future of Arizona’s industrial landscape.
Overall, the collaboration between Arizona Land Consulting and prominent investors such as Chamath Palihapitiya marks a pivotal moment in the state’s economic development, particularly in the technology sector. With this major investment, Arizona is set to play a significant role in meeting the increasing demands of the digital age.
Deeper Dive: News & Info About This Topic
- Times of India
- Wikipedia: Arizona
- Bloomberg
- Google Search: Arizona Land Consulting
- AZ Big Media
- Encyclopedia Britannica: Data Centers
- Data Center Dynamics
- Bloomberg
