Curated News
By: NewsRamp Editorial Staff
October 31, 2025
Lincoln Acquires Chandler Data Center, Adds Critical Capacity to Phoenix Market
TLDR
- Lincoln Property Company's acquisition provides immediate competitive advantage with turnkey data center space and available utility power in Phoenix's low-vacancy market.
- Lincoln will build out three vacant data halls adding 16MW capacity, transition to air-cooled systems, and deliver initial 4.2MW by early 2026.
- The cooling system upgrade will save up to 3 million gallons of water monthly, benefiting Chandler's community and environment.
- Lincoln returns to manage the same Chandler data center it previously owned, now enhancing it with water-saving technology and expanded capacity.
Impact - Why it Matters
This acquisition addresses the critical shortage of data center capacity in one of America's fastest-growing tech markets at a time when digital transformation and AI workloads are driving unprecedented demand for computing infrastructure. Phoenix's sub-2% vacancy rate creates bottlenecks for businesses seeking to expand their digital operations, making Lincoln's addition of 16MW of turnkey capacity particularly significant. The water conservation improvements—potentially saving 3 million gallons monthly—also demonstrate how data center operators can balance growth with environmental responsibility in water-scarce regions like Arizona. For consumers and businesses alike, this expansion means more reliable digital services, faster cloud computing capabilities, and sustainable infrastructure development that supports the region's economic growth without straining precious water resources.
Summary
Lincoln Property Company, a full-service commercial real estate firm, has made a strategic acquisition of a 191,000-square-foot data center in Chandler, Arizona, marking a significant expansion in the booming Phoenix metro market. The facility at 2500 W. Frye Road sits within the prestigious Price Road technology corridor and features four data center halls, one already occupied by a Fortune 500 enterprise user. Lincoln plans to develop the remaining three vacant halls, adding 16MW of critical capacity with an initial 4.2MW targeted for delivery in early 2026. The property benefits from 28MW of confirmed utility power served by a dedicated Salt River Project substation, positioning it as rare turnkey inventory in a market experiencing unprecedented demand from hyperscale, enterprise and neocloud users.
The acquisition represents more than just expansion for Lincoln Property Company—it's a homecoming of sorts, as the firm previously owned this same facility from 2018 to 2019 before selling it. Executive leadership including Ryan Sullivan, Executive Vice President and National Data Center Group Leader, and David Krumwiede, Senior Executive Vice President, emphasized the strategic importance of this purchase at a time when Phoenix ranks as the nation's fourth largest data center market with vacancy rates below 2%. The transaction was facilitated by CBRE brokers Kristina Metzger, Ben Wobschall and Mark Krison, while Lincoln will handle both property management and leasing through their specialized data center team, with Rob Doretti serving as Director of Data Center Leasing.
Beyond the business implications, Lincoln is implementing significant environmental improvements by transitioning the facility from evaporative cooling to air-cooled mechanical systems, potentially saving up to 3 million gallons of water monthly for the City of Chandler. This sustainable approach aligns with growing industry demands for responsible data center operations while addressing Arizona's water conservation needs. The site also has approved development potential for future expansion, adding to Lincoln's substantial 23.2 million square foot metro Phoenix portfolio that includes prominent projects like Park303, Luke Field, and the Grand at Papago Park Center. This strategic move strengthens Lincoln's position in one of the nation's most dynamic data center markets while delivering much-needed capacity to meet escalating digital infrastructure demands.
Source Statement
This curated news summary relied on content disributed by citybiz. Read the original source here, Lincoln Acquires Chandler Data Center, Adds Critical Capacity to Phoenix Market
