If You Build It, They Will Come, But Capital Struggling to Find Right Assets | CushWake’s Kevin Imboden Previews CAPRE’s NorCal Digital Infrastructure Summit

CAPRE: Thanks for connecting with us today, Kevin. Let's talk digital infrastructure. How does investment sales volume this year compare to last year? Imboden: Investment sales volume throughout 2019 and into 2020 remained reasonably buoyant, but I think it is more a case of capital still trying to find a home. There are many private equity funds, sovereign wealth funds, and investment managers out looking for data centers to invest in but are struggling at times to find the assets to purchase. CAPRE: What are you seeing in rental rates this year compared to last year? Imboden: We’ve seen a continued slow compression of rental rates in primary markets, with secondary and certain tertiary markets still maintaining at roughly the same level. Deployments are growing ever-bigger for many large enterprises, providing these clients with negotiating power. CAPRE: How is the industry responding to the latest economic fundamentals -- interest rate decisions, the unemployment rate, overall growth, etc? Imboden: The data center industry is certainly affected by economic factors but also by technological factors as well. Bigger concerns surround edge deployments and fulfilling customer latency requirements as their needs change, with the thought that any economic decisions would have to be drastic changes to affect the greater data center industry. CAPRE: What are you looking forward to about CAPRE's upcoming 9th Annual Northern California Digital Infrastructure Summit? Imboden: As always, I look to CAPRE conferences to get me out of my…