Stonepeak and American Tower's CoreSite Launch Major Denver Data Center Development Through Strategic Joint Venture

Stonepeak, an infrastructure-focused alternative investment manager overseeing approximately $71.2 billion in assets, has joined forces with CoreSite (a subsidiary of American Tower Corporation) to establish a substantial data center campus in Denver, Colorado. The partnership involves the creation of CoreSite DevCo JV, which will develop an 18-megawatt facility designated as DE3, representing a critical expansion of interconnection infrastructure in the region.

Investment Structure and Ownership Details

Under the terms of this collaboration, Stonepeak will acquire an 85% stake in the CoreSite DevCo JV, while CoreSite retains 15% ownership and operational control. The capital commitment flows primarily through Stonepeak’s Opportunities Fund, which specializes in control and structured investments across North America and European markets. This arrangement demonstrates the investor’s confidence in the data center sector’s growth trajectory and Denver’s strategic importance as a connectivity hub.

Project Specifications and Timeline

DE3 will be constructed as a modular 18 MW facility, developed across three consecutive phases of 6 MW each. The total project budget exceeds $250 million, with development occurring on company-owned land in downtown Denver, positioned just under 3.5 miles from CoreSite’s existing DE1 and DE2 operations. Upon completion, DE3 will become the third interconnection-focused asset within CoreSite’s Denver platform, leveraging existing infrastructure and established customer relationships.

Strategic Market Positioning

The Denver market represents a key growth opportunity for interconnection services, and CoreSite has cultivated this presence over the past decade by operating the area’s primary carrier hotel. The new facility will benefit from dedicated dark fiber connections to existing CoreSite properties, providing immediate access to an mature ecosystem of network and cloud service providers. This integration addresses accelerating digitalization demands and creates differentiated competitive advantages for day-one tenants.

Leadership Perspectives on the Venture

Andrew Thomas, Senior Managing Director at Stonepeak, emphasized the significance of this continued partnership: “This collaboration allows us to capitalize on essential infrastructure tailwinds while leveraging CoreSite’s established interconnection network. The platform’s existing relationships and ecosystem provide DE3 with unique positioning in Denver’s growing digital economy.”

Steven Vondran, President and Chief Executive Officer of American Tower, highlighted the strategic dimensions: “This joint venture represents an efficient pathway to expand our regional data center presence and respond to strong market demand dynamics. By structuring the development through this partnership model, we execute on growth opportunities while optimizing capital deployment in a high-opportunity market.”

About the Partners

Stonepeak operates as a premier alternative investment platform concentrating on infrastructure and hard-asset investments globally. The firm emphasizes downside protection alongside risk-adjusted returns, deploying capital across communications, energy transition, transport and logistics, and real estate sectors. Stonepeak maintains headquarters in New York with international offices spanning Hong Kong, Houston, London, Singapore, and Sydney.

American Tower Corporation ranks among the world’s largest real estate investment trusts, commanding a portfolio exceeding 224,000 communications sites and an extensive footprint of interconnected U.S. data center facilities. The company operates as a leading independent owner and developer of multitenant communications infrastructure.

CoreSite, operating under American Tower’s ownership, provides hybrid IT solutions enabling enterprises and service providers to optimize digital transformation strategies. With over two decades of operational expertise, CoreSite manages 28 interconnection-focused facilities spanning 11 U.S. metropolitan markets, specializing in native digital supply chains and cloud connectivity services.