Newmark Advises on $5 Billion Joint Venture Partnership to Develop AI/High-Power Computer (HPC) Data Centers Across the U.S.
The Partnership is Between Blue Owl, Chirisa Technology Parks and PowerHouse Data Centers
NEW YORK, Sept. 9, 2024 /PRNewswire/ -- Newmark Group, Inc. (Nasdaq: NMRK) ("Newmark" or "the Company"), a leading commercial real estate advisor and service provider to large institutional investors, global corporations, and other owners and occupiers, announces it served as strategic advisor to Blue Owl Capital, Inc., Chirisa Technology Parks and PowerHouse Data Centers in a joint venture ("JV") worth up to $5 billion to develop large-scale AI/ HPC data centers across the U.S. Newmark's Co-President of Global Debt & Structured Finance Jordan Roeschlaub and Brent Mayo, who leads Newmark's Data Center & Digital Infrastructure Capital Markets team, acted as strategic advisor for the JV.
As the first stage of the partnership, the JV will provide capital to develop turnkey AI/HPC data center assets. The initial 120 megawatts of capacity under the program will be delivered for CoreWeave in 2025 and 2026 at Chirisa's 350-acre campus near Richmond, Virginia. Further deployments in the pipeline include brownfield and greenfield campuses in New Jersey, Pennsylvania, Texas, Kentucky and Nevada.
"This joint venture represents an innovative and flexible capital solution allowing for the rapid development of new AI/HPC capacity across the United States," said Roeschlaub. "As demand for data centers continues to grow, we anticipate that investors and developers will continue to show interest in similar projects."
Newmark Research reported in January that the data center industry is growing rapidly, fueled by expanding needs of hyperscalers, AI and HPC users and large enterprises. The increased demand has spurred a surge in new development and land banking for future development, with data center construction pipelines hitting new all-time highs in 2024.
About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries ("Newmark"), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark's comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform's global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the year ended December 31, 2023, Newmark generated revenues of approximately $2.5 billion. As of June 30, 2024, Newmark's company-owned offices, together with its business partners, operate from approximately 170 offices with 7,800 professionals around the world. To learn more, visit nmrk.com or follow @newmark.
About Ares Management Corporation
Ares Management Corporation is a leading global alternative investment manager offering clients complementary primary and secondary investment solutions across the credit, private equity, real estate and infrastructure asset classes. They provide flexible capital to support businesses and create value for their stakeholders and within our communities. By collaborating across our investment groups, Ares aims to deliver consistent and attractive investment returns throughout market cycles.
About Siemens
Siemens continues to enable new technology and solutions by investing in the future. With a portfolio spanning 17 countries, Siemens offers customized and flexible financing solutions based on client specific needs. Their forward-looking approach, innovative solutions, and strong team of over 80 dedicated experts help evaluate new market opportunities in conventional and renewable power and energy, healthcare, mobility and transportation, smart infrastructure and building technologies. They support sustainable causes by providing the equity capital needed for digitalization, urbanization, and smart applications, as well as as-a-service models.
About Macquarie Group
Macquarie Group is a globally recognized financial services company, renowned for its infrastructure investing, operating across 34 markets, offering diverse services including asset management, retail and business banking, and renewable energy development, among others. Macquarie's diversified operations, strong capital base, and rigorous risk management framework have been instrumental in achieving a 54-year record of unbroken profitability. The group's extensive geographic footprint and forward-looking approach enable them to meet the evolving financial needs of their clientele.
Discussion of Forward-Looking Statements about Newmark
Statements in this document regarding Newmark that are not historical facts are "forward-looking statements" that involve risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements. These include statements about the Company's business, results, financial position, liquidity, and outlook, which may constitute forward-looking statements and are subject to the risk that the actual impact may differ, possibly materially, from what is currently expected. Except as required by law, Newmark undertakes no obligation to update any forward-looking statements. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see Newmark's Securities and Exchange Commission filings, including, but not limited to, the risk factors and Special Note on Forward-Looking Information set forth in these filings and any updates to such risk factors and Special Note on Forward-Looking Information contained in subsequent reports on Form 10-K, Form 10-Q or Form 8-K.
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SOURCE Newmark Group, Inc.
