In Loudoun County, in recent months, $1 million an acre has become the standard — at least for land on data center alley. Investors that dropped in only a few years ago are cashing out in a big way.
It was notable when, in 2014, a D.C. office building — PNC Place — first traded for more than $1,000 per square foot.
So what can we say about $1 million an acre? In Loudoun County, in recent months, that’s become the standard — at least for land on data center alley. Investors that dropped in only a few years ago are cashing out in a big way.
The latest parcel to trade at that threshold is a 39-acre tract in Sterling, on the west side of state Route 606 across from the auto auction. An affiliate of Dallas-based developer Cyrus One paid $38.9 million in cash, according to a recent Securities and Exchange Commission filing. The land will be developed with an enterprise data center.
The seller was a partnership of D.C.-based DBT Development Group and Sterling-based JK Moving Services, which acquired the tract from Farah-Naples LP in 2016 for $12.5 million.
That’s a 211 percent profit. In two years.
Cyrus One formed a new entity, C1-Sterling IX LLC, in late August. The company…