CoreSite announced last week it will spend $60 million to acquire the 22-acre Sunrise Technology Park in the 12300 block of Sunrise Valley Drive, the Washington Business Journal reported.
Sunrise Technology Park, currently owned by Brookfield Office Properties, is a complex of four low-rise office buildings, totaling 315,000 square feet.
CoreSite says it could build more than 660,000 square feet of new data center capacity across the parcel. It currently has about 400,000 square feet of space in Reston.
CoreSite said in a release it expects to spend $90 million more on the first phase of the new development. Initial work will include the conversion of one 48,000-square-foot building into a data center, and the construction of two, 92,000-square-foot buildings — one data center shell, and one structure to house “centralized infrastructure.”
After the deal closes in December, CoreSite expects to start construction during summer 2017. It estimates it may spend as much as $500 million building out the site over many years and multiple phases.
“This planned expansion to our Reston campus is designed to meaningfully scale our colocation offering in the important Northern Virginia market, leveraging off of the installed network-and-cloud capabilities already deployed at the campus,” CoreSite president and CEO Tom Ray said in a statement.