Data centre solution provider Digital Realty Trust has entered into a joint venture with Savvis, a cloud infrastructure and IT solutions company, to provide next generation, large co-location and managed cloud services to Hong Kong. This is expected to make the city a more attractive destination for cloud services.
The two American companies are all set to acquire a 165,000 square foot property located in Tseung Kwan O Industrial Estate in Hong Kong for the purpose.
Shanghai-based Paul Hastings real estate partner David Blumenfeld led the team that advised Digital Realty Trust, with White & Case as co-counsel. Jones Walker, meanwhile, represented Savvis, and Chung & Kwan Solicitors advised the seller.
“Hong Kong is one of the most attractive, yet underserved, data centre markets in the world,” said Digital Realty CEO, Michael Foust, in a statement. “We look forward to working with Savvis to meet the significant demand for high quality data centre services from multinational companies looking to expand their IT operations in one of the world's most vibrant commercial centres.”
"Cloud computing and the trend towards outsourcing are continuing to drive significant demand for IT and data centre services in Hong Kong,” added Kris Kumar, the senior vice president and Asia-Pacific head of Digital Realty. ALB
Kanishk Verghese is North Asia journalist at ALB. Follow him on Twitter: @ALB_Magazine.
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