SAN JOSE — A data center company from Colorado has bought multiple properties on a big block in north San Jose where the company is pushing ahead with the development of one of the sites.
In two separate transactions, Stack Infrastructure bought large parcels on a San Jose block bounded by Fortune Drive, Ringwood Avenue, Trade Zone Boulevard, and Lundy Avenue, according to documents filed with Santa Clara County officials.
These properties are near a big site that the company is developing as a modern data center, San Jose city planning records show.
Data centers have become increasingly more viable because of the heightened demand for information processing by millions of people forced to work remotely in the wake of coronavirus-linked business shutdowns and health concerns.
Among the recent San Jose property purchases by affiliates that Stack Infrastructure controls:
— On Jan. 15, Stack Infrastructure paid $15 million for a 3.7-acre site at 1849 Fortune Drive.
— On Feb. 24, the company paid $25 million for a 6.1-acre site at 2400 Ringwood Ave.
Stack Infrastructure has gained approval from city officials for an expansion of its data center operations at an adjacent site at 2001 Fortune Drive. The company launched the demolition of two buildings on the 9.3-acre site. The new data center would total about 232,700 square feet.
Coronavirus-linked health and safety concerns have forced millions of workers out of their offices and into remote workplaces such as their residences.
That, in turn, has dramatically intensified the need for more data — and facilities to process and store the information, Michael Rechtin, a partner and head of the data services group with law firm Seyfarth Shaw, stated in a blog post in 2020.
“The sudden and unforeseen COVID-19 crisis revealed what was becoming obvious: Technology has infiltrated almost all aspects of our lives and created more and more data that needs to be processed and stored, optimally in a data center,” Rechtin wrote in a post for the Area Development web site.
