Global data center provider QTS, a Blackstone portfolio company, is adding to its bandwidth in the Lone Star State with $780 million of new state work permits being issued in North Texas this month.
The Overland Park, Missouri-based developer outlined plans for two new data centers in Dallas County and the expansion of its existing data center campus in Fort Worth, Texas. QTS is building a $300 million, 470,000-square-foot data center hub on Mason Road in Wilmer, Texas, just outside of Dallas, beginning next month, according to one permit. A second new facility, a $350 million, 560,000-square-foot data center also in Wilmer, is expected to get underway in November, according to another permit.
Both new two-story data centers in Dallas County are expected to be completed by early 2027, according to the permits. QTS also plans to expand its existing data center campus at 14100 Park Vista Blvd. in Fort Worth, Texas, with an investment of $130 million that will expand the facility by nearly 169,000 square feet. This additional investment in North Texas comes after the firm unveiled plans in October to add to its Dallas-area bandwidth in Irving, Texas.
"We are in the initial stages of planning," a QTS spokesperson told CoStar News. "We look forward to expanding our footprint to meet growing demand from our customers in the market."
The move comes at a time when data center developers are racing to build new centers to meet an insatiable demand from users. Tariffs could also drive the cost of data center development even higher, as CoStar News reported, at a time when investors are already earmarking significant funds to these projects.
The company is invested in Texas with data center campuses in the Dallas-Fort Worth region and the San Antonio region, the spokesperson said, adding QTS will share updates as the projects progress.
QTS has been owned by Blackstone funds ever since a roughly $10 billion acquisition in August 2021. The data center provider has over two gigawatts of power in North America and Europe.
Last Friday, the company's CEO and Chairman stepped down from his leadership role after founding QTS two decades ago. QTS has appointed two co-CEOs to lead the company's growth, including Chief Operating Officer David Robey and Chief Growth Officer Tag Greason.
For the record
Highland Associates of New York is the project designer for the two Dallas County data center facilities, according to work permits.