💸💼 KDDI Snaps Up Allied’s Urban Datacenter Treasure Chest for a Cool C$1.35 Billion 🏙️💻
TL;DR: Allied Properties Real Estate Investment Trust puts a whopping C$1.35 billion price tag on its urban datacenter portfolio and Japan’s telecom titan, KDDI Corporation, says “Arigato!” (Thanks!). Some prime Toronto real estate, including 151 Front Street West and 905 King Street West, along with 250 Front Street West’s leasehold interest, are now set to change hands. 💹🏢
Ever thought you’d see a real estate deal with more digits than your phone number? Well, buckle up, because the Allied Properties Real Estate Investment Trust just sold its urban datacenter portfolio to KDDI Corporation for a mind-boggling C$1.35 billion. 💰🤑
Wondering who the lucky recipients of this mountain of cash are? Take a bow, the properties at 151 Front Street West and 905 King Street West in the heart of Toronto, along with a leasehold interest in 250 Front Street West. All are now being upgraded from ‘Allied’ to ‘KDDI’. 🏦🔄
But what’s Allied going to do with this mammoth amount? The company has a plan, peeps! Around C$1 billion will be used to wave goodbye to debt 🙋♂️💸, while the remaining dough will fund their upgrades and development activities throughout 2023 and into 2024. 🏗️📆
Talk about a strategic move! Would you sell your precious assets to wipe out your debts and fund future projects? 🤔💡
Now, while KDDI Corp might be doing a happy dance 💃🕺, they didn’t go it alone. Some big names in the game, including Scotiabank, CBRE, and Aird & Berlis LLP, provided advice to Allied, while BofA Securities, Borden Ladner Gervais LLP, and Nishimura & Asahi played counsel for KDDI. 🧠🗂️
As a quick side note, for those of you doing the math at home and scratching your heads 🤷♂️, the reported value of the deal is in Canadian dollars, not U.S. dollars, with the current exchange rate standing at $1 = 1.3222 Canadian dollars. So yes, that’s still a gigantic pile of cash! 💰🔍
So, Turnt Up News peeps, what’s your take on this multi-billion-dollar real estate play? Would you have handled things differently if you were in Allied’s shoes? 🧐👞
And the million (or rather, billion) dollar question: With major investments like these, do you think KDDI Corp is on its way to becoming the next kingpin of urban datacenters? 🤴💼
Disclaimer: This story is based on reported facts and does not constitute investment advice. Always conduct your own research before making any investment decisions.
📚Sources:
https://www.usnews.com/news/technology/articles/2023-06-21/allied-to-sell-udc-portfolio-to-kddi-corp-for-1-35-billion
