ORONOCO — An Oronoco data center sold for $5.5 million at the end of June.
The four-year-old data center at 1788 3rd Ave. SW was purchased by Landmark Dividend of El Segundo, Calif., under the name LD Acquisition Co. 19 LLC on June 30. It stands just west of the People's Energy Cooperative headquarters.
Eden Prairie, Minn.-based C. H. Robinson, which built the 32,000-square-foot center in 2016, sold the property.
However, the logistics firm signed a deal to lease the building back for 60 months, or five years, according to the state real estate documents.
Landmark makes acquisitions and lease-back agreements like this as part of its digital infrastructure strategy for the “monetization of the real estate component of a data center,” according to its website. The firm purchased a similar data center in Minneapolis in 2019.
Olmsted County estimated the total market value of the data center as $6.1 million for 2020-21.
Despite the stifling heat, business deals are popping all around Med City.
Look for a hotel to sport an old, familiar name again. I’m checking this out and should have the details soon.
Meanwhile, a downtown eatery looks to the south for a second location. I hope to serve up the information on this one in the very near future.
Jeff Kiger tracks business action in Rochester and southeastern Minnesota every day in Heard on the Street. Send tips to firstname.lastname@example.org or via Twitter to @whereskiger. You can call him at 507-285-7798.