Data centre provider, NextDC (ASX:NXT), has acquired land for its first Sydney facility, and third in Australia, in North Ryde.
In-depth: Data centre migration guide.
Land for the “S2” data centre, first flagged in March by chief executive, Bevan Slattery, cost approximately $12 million, which was collected through a funding round to brokerage houses Moelis and RBS Morgans last month. It would provide long-term, high-density facility space for Sydney-based tenants.
While it is the only Sydney facility planned to date, Slattery has confirmed an additional site would be required in the city to address more immediate demand.
The company revealed the location of the Sydney data centre previously, and confirmed it would be part of one of the city’s major technological hubs in northern Sydney.
The confirmation of the location pits NextDC against Macquarie Telecom and a short distance from Fujitsu’s own centre in Homebush.
Recent data centre purchases by competitors in the space include Vocus netting Alexandria-based space from E3 Networks and plans from HP to build a data centre worth up to $200 million in western Sydney.
NextDC, established last year after Slattery sold fibre wholesale provider Pipe Networks to TPG, is expected to begin offering its first services in May when it begins occupation of the Brisbane-based “B1” data centre. The Sydney centre is expected to go live in the third quarter of next year.
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