NEXTDC LOCKS DOWN LAND FOR NEW DATA CENTRES

NEXTDC (ASX:NXT) has charged ahead with its network expansion, after securing sites for second data centres in Brisbane and Melbourne.

The B2 facility will have an initial capacity of 1.5MW at opening and a target total capacity of about 6MW at full fit-out, delivering colocation space and connectivity to the city's business market.

The data centre is strategically located near a major electricity substation and telecommunications and public transport infrastructure in Fortitude Valley.

The $75 million investment includes land, base building and associated infrastructure over the next 12 months, as well as support up to 300 jobs.

While the M2 facility is expected to represent an $85 million investment into Victoria's digital economy over the next 12 to 18 months.

Located in Tullamarine, the facility will have an initial capacity of 2MW and eventually scale up to a target of 25MW.

NEXTDC CEO Craig Scroggie (pictured) says market support for in the industry has allowed the company to grow its national data centre network.

"With Australian businesses currently focused on growth and innovation through the application of the latest technologies, M2 will deliver significant new capacity for organisations to access world-class colocation facilities and the benefits of cloud computing," Scroggie says.

"Our new Fortitude Valley location is within close proximity to Brisbane's commercial centres and will allow us to address robust demand for a secure, powerful facility to host critical IT infrastructure and support a diverse ecosystem of carriers and cloud service providers.

"We're excited to be giving the opportunity for Australian and locally-based companies to deliver a majority of the project, including the data centre's pre-fabricated elements.

"We expect the initial construction phase will support up to 200 jobs on and off-site, with another 100 supported deeper in the supply chain during the data centre's lifetime."

NEXTDC conducted due diligence on several potential sites for each data centre, including analysing access to power, water and telecommunications infrastructure as well as resilience to potential security and environmental risks.

B2 and M2 are expected to be completed towards the end of FY17.