The Loudoun County Board of Supervisors has approved the sale of county-owned property to RagingWire Data Centers for $20 million. The Sacramento, Calif.-based company plans to develop the 75-acre parcel in Ashburn into a 750,000-square-foot data center complex.
The county said in a press release that it bought the land for $13.5 million in 2004. “A portion of this property will provide a much-needed school site,” Scott York, the board’s chairman said in the release. “Now with this sale to RagingWire, the rest of the property has been returned to the tax rolls and will be the location of a major economic development project that will yield up to $16 million in additional tax revenue per year.”
The purchase is subject to several provisions, including development timelines and county design standards, according to the Loudoun County Department of Economic Development. Under the terms of the agreement, RagingWire has 90 days to study the property before closing on it, with the option to extend an additional 90 days for another $50,000.
The company, which builds and designs data centers, already has a presence in what is known as “data center alley” in Ashburn, an area known for its high concentration of data centers. In July, RagingWire opened its first Loudoun center, a $40 million, 150,000 square-foot project.
“This new deal reaffirms our commitment to Loudoun County,” said RagingWire CEO George Macricostas. “We believe that Loudoun is the right location for us to expand our business operations, complementing our flagship 500,000-square-foot data center in Sacramento, Calif., and our newest facility in Ashburn.’’
The $20 million price tag for the land on the west side of Waxpool and Farmwell Roads is a few million more than the land’s taxable assessment, but less than an outside appraisal. Raging Wire’s unsolicited offer for the land drew one dissenting vote.
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