A Hot Trend. This session is being recorded. Moderator: Jeffrey Hipschman, CBRE, Inc.

Transcription

1 Industrial Data Centers A Hot Trend Moderator: Jeffrey Hipschman, CBRE, Inc. Panelists: William Beck, Credit Suisse Michael Bucheit, FiberMedia Group Brian Doricko, Digital Realty Trust Edward Russo, Russo Development NAIOP. Do not distribute or reproduce without permission. This session is being recorded

2 Please Note: The Data Center Tour immediately following this session is a separate, ticketed event, and has a few seats left. NAIOP. Do not distribute or reproduce without permission. 2

3 Jeff Hipschman Senior Managing g Director, CBRE As Senior Managing Director at CBRE Inc., Jeff oversees all of CBRE's operations in New Jersey. He is also involved with major data center transactions for major DC users in the Tri-State Area. Jeff's combined real estate and IT background includes 10 years on Wall Street in IT and 20 years in local commercial real estate. NAIOP. Do not distribute or reproduce without permission. 3

4 Data Center Categories 1. Corporate Data Center Users 2. Data Center Providers 3. Data Center Developers NAIOP. Do not distribute or reproduce without permission. 4

5 Data Center Statistics 90% of the world s data was created in the last 2 years The greatest need for new data centers will occur within the healthcare, retail, technology and government sectors. 13 states now have incentives program just for data centers. 93% of companies who experience more than 10 days of data center downtime, file for bankruptcy. And some details on financial performance of data center players: Digital Realty Trust Stock up 24% over the past year Equinix up 62% Rackspace up 23% Zayo announced a $2B acquisition of AboveNet Corporations are evaluating multiple solutions for their data center strategy. Data center development is impacting all markets. NAIOP. Do not distribute or reproduce without permission. 5

6 William Beck Managing g Director, Credit Suisse William Beck is a Managing Director of Credit Suisse in the Corporate Real Estate and Services Department t (CRES), based in New York. He is the Global Head of Critical Engineering Systems and has the responsibility for the mechanical and electrical systems infrastructure for Credit Suisse. This includes critical systems design, project management and engineering operations within all regional CRES, Information Technology (IT) and Business Continuity Management (BCM) initiatives and projects. Mr. Beck served as a member on the Managing Director Evaluation Committee (MDEC) during 2009, 2010 and NAIOP. Do not distribute or reproduce without permission. 6

7 Michael Bucheit Chief Executive Officer, FiberMedia Group Michael Bucheit is the Chief Executive Officer of FiberMedia Group, a privately held datacenter company with six datacenters that comprise over 140,000 square feet of datacenter t space predominantly in the tri-state area. Michael Bucheit has over 15 years of executive experience in technology management and financing. NAIOP. Do not distribute or reproduce without permission. 7

8 Brian Doricko Vice President, Digital Realty Trust Brian Doricko is Digital Realty Trust s vice president of sales for the Eastern United States. He is responsible for successfully signing agreements with many Fortune 500 and leading Internet and technology services companies. He has worked in the data center and information technology outsourcing industry for more than 20 years. NAIOP. Do not distribute or reproduce without permission. 8

9 Panel Discussion NAIOP. Do not distribute or reproduce without permission. 9

10 What are the main drivers of the data center market in New Jersey and nationally? NAIOP. Do not distribute or reproduce without permission. 10

11 Collocation and Cloud Computing: What does this all mean and how does it impact the need for data center real estate? NAIOP. Do not distribute or reproduce without permission. 11

12 What are the challenges of developing a data center facility? NAIOP. Do not distribute or reproduce without permission. 12

13 What do the financials look like for a data center? NAIOP. Do not distribute or reproduce without permission. 13

14 What is the impact of the new economy constraints on data center needs and development? NAIOP. Do not distribute or reproduce without permission. 14

15 What will demand look like for the next 3-5 years in your sector and what other sectors will be driving demand for the next decade? NAIOP. Do not distribute or reproduce without permission. 15

16 What does supply look like for these same time periods? NAIOP. Do not distribute or reproduce without permission. 16

17 What new technologies are changing g the data center landscape? Modularity? Virtualization? Others? What will the impact be? NAIOP. Do not distribute or reproduce without permission. 17

18 How well do data centers age? NAIOP. Do not distribute or reproduce without permission. 18

19 How do I become a data center player? NAIOP. Do not distribute or reproduce without permission. 19

20 What is the importance of power, and what is needed for a successful data center? NAIOP. Do not distribute or reproduce without permission. 20

21 Where do we go from here? NAIOP. Do not distribute or reproduce without permission. 21

22 Please Note: The Data Center Tour immediately following this session is a separate, ticketed t event, and is sold out. Those holding tickets, please meet now in the hotel lobby to board the bus! NAIOP. Do not distribute or reproduce without permission. 22

23 Thank you! We ll see everyone at the Welcome Reception at 6pm in the Manhattan Ballroom Foyer and Terrace! NAIOP. Do not distribute or reproduce without permission. 23