Invesco Real Estate, the $90 bn global real estate investment business of Invesco, has acquired its first data centre asset in Europe, a 22,300 m2 facility in Wissous, a few kilometres south of the Paris ring road.
The acquisition has been made on behalf of one of Invesco’s long-standing separate accounts. Financial details were not disclosed.
The site is being sold by Argan, a French real estate company specializing in the development and letting of prime logistical sites, warehouses and similar high-specification facilities for major companies. The firm has been listed on Euronext since 2007.
The facility, recently refurbished by Argan and CyrusOne, benefits from a long lease to CyrusOne, one of the largest data centre operators in the world. The facility will ultimately deliver a total IT capacity of 27 MW across six data halls.
Demand for data centre space in Europe outstripped supply in 2023. Imbalance was largely driven by FLAPD (Frankfurt, London, Amsterdam, Paris, and Dublin) markets. Industry forecasts predict rental rates to grow at double digit rates year-on-year for the next five years.
Alexandre Rochet, director – Investments, France at Invesco Real Estate said: 'This will be our first data centre investment in Europe. It combines long-term income with a captive tenant in a strongly undersupplied market. Data centres are one of our conviction investment themes with strong market fundamentals, high barriers to the development of new supply and continuously growing demand, driven by broad migration to the cloud, Artificial Intelligence and the transition to a fully digitized economy.'
