Register for the Data Centers forum - February 6th at The Union League Club, NYC

J. Todd Raymond, CEO & Managing Director, 1547 Critical Systems Realty (CSR)

What is your investment strategy for data centers?

We seek operating facilities with positive or neutral cash flows that are connectivity-rich where we can bring our “value add” approach to increase NOI and asset value for our investors.

Tell us about your last PE deal.

We recently acquired the AlohaNAP facility in Kapolei, Hawaii, which is one of the two major interconnection-focused data centers in Hawaii providing access to the undersea cable systems and 40+ satellite systems. We also announced a doubling of the facility’s capacity, which we expect to have completed in 1Q26.

Can you chronicle the last deal you didn’t do, and why?

We had multiple deals fall through in 2024 over valuation expectations of the seller. We are seeing more and more sellers looking to get paid for unbuilt and unleased capacity, which we think is unrealistic.

What is your exit strategy?

We will seek to exit the assets after we have completed the capacity upgrades and stabilized the assets. We have clusters of like assets that we could envision being sold as a portfolio but that is not the model. Each asset stands independently.

How do you expect the industry to change considering the new Presidential administration and current economy.

I do not expect the industry to experience any material changes from the new administration. Perhaps a more pro-power plant construction attitude will be helpful but those are long-term projects that will need at least two, if not, three like-minded administrations, to get up and running.

What were your Holiday break plans?

Staying at home and figuring out how to entertain my 3 college kids and one high school kid.

Ron Sacks, Group CEO, Provdotnet | Irontrust Networks | Alpha3 Cloud

What is your investment strategy for data centers?

Our strategy is centered on leveraging cutting-edge technology, such as Ampere Altra processors and Qualcomm AI accelerators, to build high-performance, AI-ready infrastructure. We prioritize scalable, energy-efficient solutions that support AI inferencing and HPC workloads, which are becoming increasingly critical for tenants. Rather than focusing solely on traditional metrics like EBITDA multiples, we aim to create long-term value by enabling modern workloads and reducing operational costs through advanced technology.

Can you chronicle the last deal you didn’t do and why?

We recently passed on an acquisition offer from a PE firm because their thesis didn’t align with our strategy. Their focus was on short-term cost efficiencies and consolidating operations for an EBITDA multiple play. However, our vision emphasizes long-term growth through innovation—particularly the adoption of cutting-edge technologies like Ampere and Qualcomm platforms. We believe this approach is better suited to address the demands of AI and HPC workloads, which are driving the next wave of data center growth.

Can you highlight the attributes you look for in a partner?

We value partners who share our focus on innovation and long-term growth. Specifically, we seek those who understand the value of energy-efficient, AI-ready infrastructure and who recognize the transformative potential of technologies like ARM-based processors and AI accelerators. Collaboration, alignment on strategy, and a willingness to invest in the future of data centers are key attributes we prioritize.

What is your exit strategy?

Our exit strategy is focused on building high-value, future-ready facilities that appeal to strategic buyers or investors looking for advanced AI and HPC infrastructure. By avoiding the traditional focus on cost consolidation, we differentiate ourselves with performance-optimized and energy-efficient platforms. Our aim is to create assets that attract buyers seeking cutting-edge solutions in AI and HPC markets, typically within a 5-7 year horizon.

How do you expect the industry to change considering the new Presidential administration and current economy?

The industry will likely see a stronger emphasis on sustainability and energy efficiency, driven by regulatory and economic pressures. We expect incentives for green technology and renewable energy to grow, aligning with our focus on energy-efficient solutions like those powered by Ampere and Qualcomm technologies. The rapid expansion of AI and edge computing will also favor operators like us who can adapt quickly and offer specialized infrastructure.

Chris Downie (he/him) | Chief Executive Officer | Flexential

What is your investment strategy for data centers?

We develop state of the art data centers for multi-tenant occupancy for technology and enterprise consumers, and we provide them critical network resources for global data federation.

Tell us about your last PE deal.

In November 2024, we closed on a co-control investment from Morgan Stanley Infrastructure Partners. https://www.flexential.com/resources/press-release/flexential-accelerate-expansion-and-growth-strategic-investment-morgan

Can you chronicle the last deal you didn’t do, and why?

We do not develop product for large hyperscale requirements. We are focused on diversity of tenancy within each of our data centers and they typically want the entire facility. We also are not comfortable with their contracting mechanisms.

Can you highlight the attributes you look for in a partner?

Flexibility, integrity and reliability.

What is your exit strategy?

Sale or IPO.

How do you expect the industry to change considering the new Presidential administration and current economy?

Tariffs may impact supply chain for key raw materials

What are your Holiday break plans?

Staying home with family and friends

Kamil Homsi, Founder/CEO, GRC Investment Group- Dubai (SFO

What is your investment strategy for data centers?

I have been allocating capital in Data Centers since 2015 in the country of Estonia, later in Belgium and the USA. Involved from site selection, construction, conduits, co-location etc....

Tell us about your last PE deal.

Took a senior position in mid Atlantic plant that deploy a new environment friendly technology to recycle used automobiles tires.

Can you chronicle the last deal you didn’t do, and why?

I avoid multifamily deals for many reasons that include overbuilt, crowded investor pool, volatility and more…

What is your exit strategy?

Generally flexible relying on the GP expertise and the market conditions.

What are your Holiday break plans?

Spending more time with my children and their children.

Register for the Data Centers forum - February 6th at The Union League Club, NYC