Sila Realty Trust pulls out of data centres in $1.3bn sell-off
News

Sila Realty Trust pulls out of data centres in $1.3bn sell-off

Michael Seton - Sila.png

US-based Sila Realty Trust is selling 29 data centres to Singapore's Mapletree Industrial Trust (MIT) for around $1.3 billion - pulling out of the data centre market at the same time.

The facilities offloaded constitute the entire portfolio of data centres owned by Sila, which was formerly known as Carter Validus.

The deal is expected to be completed in “one or more closings” during the third quarter of 2021, said Sila.

Sila Realty Trust is headquartered in Tampa, Florida, and previously invested in data centre properties that were leased to tenants.

As of 31 March, it owned 153 properties, consisting of the 29 data centres being sold and 124 healthcare properties, located in 70 markets across the US.

For Mapletree, its purchase is a continuing strategy of buying data centres with tenants already in them, and then benefiting from the rents and other cash generated.

It recently bought a number of facilities from Digital Realty, for instance. And in fact, it previously bought a number of data centres from Sila in 2017, when it was still known as Carter Validus.

Michael Seton (pictured), chief executive officer and president of Sila Realty Trust, said of the sale: “This action marks another key step in Sila's evolution to provide a clear path for the company to pursue a strategy as a pure-play healthcare REIT.”

Gift this article