A Fresh Take on CRE

Space Invaders: The Take Up of Colocation in NYC & NJ - I'm Quoted

I'm excited to say that I've been quoted again. This time in a somewhat less mainstream publication, but exciting nonetheless. The article is in Datacenter Dynamics' magazine "Focus." You can find it here. Here are the quotes:


Take, for example, the 60,000-sq-ft data center at 85 10th Ave., recently leased by the retail provider Telehouse. Michael Mandel, member of the Grub & Ellis National Data Center practice group, says the former Lehman Brothers data center was so highly sought after that the price Telehouse agreed to pay on its 15-year lease was significantly higher than the landlord was expecting.

People may agree there is strong demand for data center space in NYC but their views differ on New Jersey's wholesale market. Grubb & Ellis's Mandel says he believes demand has been soft given the amount of space several developers have either recently brought to the market or are planning to bring to the market this year.

While characterizing current demand in the market as soft, Mandel does not believe it will remain that way. "Eventually, it'll get gobbled up," he says. "It’s a natural thing."
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