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High-Powered Joint Venture Paves the Way for the Future of Digital Infrastructure Establishing One of Texas’ Largest Connectivity Campuses for Hyperscalers.
DALLAS, Jan. 7, 2025 /PRNewswire/ — Provident Data Centers (“PDC”), a division of the Dallas-based real estate development firm Provident, has formed a joint venture with PowerHouse Data Centers (“PowerHouse”), a leading real estate developer for next-generation hyperscale data centers and a division of American Real Estate Partners (AREP), to develop an industry-leading hyperscale data center campus in the heart of the Dallas-Fort Worth Metroplex. The multi-phased project is set to become a hyperscale data center campus of staggering proportions across an expansive 768-acre site with significant power delivery. This news signals PowerHouse’s continued momentum in Texas and supports Provident Data Centers with its deep Dallas roots and strategic position in the red-hot Dallas-Fort Worth data center market.
When completed, the powered shell campus will offer ample power sourcing and unbeatable speed-to-market to meet the growing needs of data center operators and hyperscalers in the Dallas-Fort Worth Metroplex.
“The demands on digital infrastructure are accelerating like never before, driven by explosive growth in data, AI, and cloud services,” said Provident Founder and CEO Leon Backes. “This project is designed to meet those needs by creating spaces designed for rapid scalability, high-density power requirements, and seamless connectivity.”
“Our partnership with Provident is fortified by pioneering expertise, collaboration, and forward-thinking vision. This is more than just a data center; it’s the future of digital infrastructure; we’re building a new frontier in the heart of Texas,” said Doug Fleit, Co-founder & CEO of PowerHouse Data Centers.
The Dallas-Fort Worth area continues to cement its position as a national leader in the data center market, ranking second in the U.S. with 776 megawatts of leased critical IT power capacity as of November 2024, according to 451 Research’s Datacenter KnowledgeBase, 2024. The DFW area is rapidly emerging as a prime location for future development thanks to its robust fiber infrastructure connectivity, a talented workforce, and pro-business tax climate, making it well-positioned to meet the region’s growing demand for data center infrastructure.
“We’re not just bringing power to the grid; we’re powering the future,” said Leon Backes of Provident. “Texas is already a leader in technology, our goal for this campus is to make it the undisputed heavyweight champion of digital infrastructure.”
In planning the data center campus project, Provident and PowerHouse leaders emphasized that open communication with surrounding community officials and residents is central to the development. “We believe in building partnerships where every party can succeed,” said Backes. “We look forward to creating a long-lasting relationship that benefits both communities and our customers,” said Fleit of PowerHouse.
Data centers bring a host of community benefits, including significant tax revenue to schools, counties/cities, new jobs, and improved infrastructure. The campus will be constructed by a highly experienced design and construction team focused on sustainability, ensuring positive integration with the surrounding environment.
“We pride ourselves on being responsive to community concerns by listening to and addressing local needs,” said Backes. “That’s an essential factor when creating and developing complex projects. Our focus on transparent communication fosters strong government and citizen support, which helps to ensure success for all.”
About Provident Data Centers
Provident Data Centers, headquartered in Dallas, TX is a community-driven data center developer dedicated to building “win-win” partnerships with clients and communities. As a division of Provident, a privately held leading real estate and investment firm, Provident Data Centers brings over three decades of real estate development experience to create cutting-edge data centers for enterprise, hyperscale, and telecom clients. This expertise currently spans six states, with over 50 buildings delivering more than 3.8 GW of power. Provident Data Centers streamlines the development process by managing site selection, land acquisition, design and construction, infrastructure build-out, and full-fit-out delivery. This comprehensive approach ensures smooth project execution, minimizes risks, and delivers positive outcomes for all stakeholders. With vast industry knowledge, Provident Data Centers brings a transparent approach and continues to focus on innovative, efficient, and scalable solutions for an evolving digital landscape.
To learn more, visit www.providentdatacenters.net and follow us on LinkedIn.
About PowerHouse Data Centers
PowerHouse Data Centers, a wholly owned division of American Real Estate Partners (AREP), is a developer and owner of next-generation data centers and provides technical real estate solutions for hyperscalers across the country. Starting in Northern Virginia’s Data Center Alley, the world’s largest data center market, before strategically expanding to key markets across the United States, PowerHouse owns its land sites, offering unparalleled fast-track approvals and zoning approvals in its full suite of development services. As an industry disruptor, PowerHouse provides flexible next-generation data center models with the quickest speed to market of any data center while meeting hyperscalers’ growing market, data, utility, and space demands. The company has 87 buildings and 25.5M sqft currently in planning, underway or completed, representing over 5.9 GW of power in six major US markets. Operating as the data center division of AREP, PowerHouse is uniquely positioned as a leader in world-class data center development. With some of the industry’s deepest real estate relationships, PowerHouse leverages its strategic joint venture partnerships, proven leadership, and best-in-class technical expertise to deliver innovative real estate solutions nationwide. Visit our newsroom for more information, and follow us on LinkedIn, YouTube, and X.
SOURCE Provident Data Centers
