CoreSite Realty reported Q4 2018 operating revenues of $139.1 million, up 10.5% year over year and in line sequentially. Q4 net income amounted $0.54 per diluted common share, up 22.7% year over year and 3.8% sequentially.
CoreSite said scale colocation leasing for the quarter was impacted by the fact that occupancies were high and therefore capacity was constrained for large blocks of contiguous space in certain markets.
“We delivered solid results in 2018, while expanding our customer ecosystem and building our new capacity pipeline,” said Paul Szurek, CoreSite’s Chief Executive Officer. “In 2019, our focus is to continue executing on high-value edge and hybrid cloud deployments requiring direct interconnection to networks and cloud on-ramps. This includes our goals of delivering significant new capacity and translating it into attractive sales growth, acquiring many new customers and continuing to deliver a strong customer experience.”
Some highlights:
- Commenced 116 new and expansion leases including 22,684 net rentable square feet (NRSF), representing $4.4 million of annualized GAAP rent at an average rate of $192 per square foot
- Signed 115 new and expansion leases including 16,125 NRSF, representing $4.2 million of annualized GAAP rent at an average rate of $259 per square foot
- Renewed 303 existing leases including 125,078 NRSF, representing $22.5 million of annualized GAAP rent, at an average rate of $180 per square foot, including churn of 1.9%, reflecting 3.0% cash rent growth and 7.0% GAAP rent growth
- In 2018, CoreSite achieved 99.99999% reliability, or “seven 9s,” exceeding its target of “six 9s.”
- CoreSite delivered approximately 7% improvement in Power Utilization Efficiency on a same-store basis compared to 2017
