ATL Round-Table: “There’s a Lot More Money in the Private Equity World, Chasing Deals”

ATLANTA, GA -- Atlanta is hot, but it’s still heating up. That means there’s a lot to unpack, especially in the context of the larger U.S. market. And that was the crux of the discussion that kicked off CapRE’s 2018 Greater Atlanta Data Center Summit, “Greater Atlanta Data Center Market 360: The Rapid Growth of this Market, Impact of Hyperscale, Edge and Colocation's Rebranding to Compete.” Below is a snippet of that round-table discussion, starting with a wide view and zooming into the ATL. Moderator Michael Clark, Project Executive, DPR Construction: We’re going to talk about the national trends. But our initial question will go to Frank. You guys have a large national footprint and you’re pretty spread across the country, so what is T5 seeing as far as the current state of the lending and financing markets right now? Frank Lyles Chief Business Officer, T5 Data Centers: Okay so our experience in the lending markets is that the financial clients and lenders are still fairly conservative in their underwriting of data centers. That’s a good thing, right? The good news on our end is that the education process, to explain what our product is and why there is product there and who we are, has gotten a lot shorter. There is a larger pool of lenders and financial institutions willing to lend, but they’re still fairly conservative in their under-writing. What has changed is the private equity markets. There’s…