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Corporation
sabey.com

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Investments

3

Portfolio Exits

1

Partners & Customers

7

About Sabey

Sabey operates as a real estate development and investment company that specializes in mission critical and other technical space for the data center, medical and life sciences, education, government and military sectors.

Sabey Headquarter Location

12201 Tukwila Int'l Blvd Fourth Floor

Seattle, Washington, 98168,

United States

206-281-8700

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Latest Sabey News

Sabey Lines Up $175 Million for Data Center Expansion

Jul 9, 2021

Building data centers is a capital-intensive business. The explosive growth of digital infrastructure has been enabled by driven by access to affordable capital. One of the enablers of this cheap capital has been strategies that use securitization to reduce both lender risk and interest rates for borrowers. Sabey Data Centers is among the developers that has used securitized borrowing to fund its growth. This week Sabey issued $175 million of securitized notes paying a fixed rate of just 1.88 percent. Last year Sabey used a similar approach to borrow $800 million, meaning the Seattle-based company has used secured financing to lined up nearly $1 billion for data center construction. “Efficient access to capital markets through this ABS platform will allow Sabey to continue to cost-effectively finance customer driven expansion for years to come,” said Patty Sewell, Chief Financial Officer for Sabey Corporation. Sabey Data Centers  is a joint venture between Sabey Corporation and National Real Estate Advisors (NREA). The company operates more than 3 million square feet of mission-critical space, making it one of the largest privately-held multi-tenant data center operators in the United States, with campuses in Northern Virginia (Ashburn), Manhattan and three sites across the Pacific Northwest. Sabey’s ABS loans are an example of how the growing maturity of data center finance matters. In the world of digital infrastructure, arcane lending strategies translate into the construction of   massive server farms that power the Internet. Robert Rockwood, the President of Sabey Data Centers, said the new financing “allows us to continue to grow as we bring the industry’s best and most sustainable data center solutions to the world’s most demanding data center customers.” How Securitization Works In a securitization financing, a company creates a security based on the creditworthiness of a specific pool of assets, rather than the entire company. Data center developers can issue debt notes backed by cash flow from operational data centers, which are leased by some of the world’s largest and most credit-worthy companies. That tenant credit quality enables the issuer to pay lower interest rates on its debt, which reduces its costs as it seeks to compete and build additional facilities. Sabey isn’t alone in using securitization to fund data center development, as Vantage Data Centers (Digital Bridge) and STACK Infrastructure have also used this strategy. Both of Sabey’s transactions have used an asset-backed securitization (ABS) platform from Guggenheim, and the notes earned an investment grade A+ rating from Standard & Poor’s. Rockwood said Sabey had “delivered results well ahead of projections since our initial transaction” in 2020. “We place high value on the partnership that we have developed with Guggenheim Securities who acted as sole structuring advisor and sole book-running manager on the transaction,” said Sewell, who added that the note were “extremely well received by the market representing the quickest marketing timeframe for the sector.” Free Resource from Data Center Frontier White Paper Library A new white paper from Aligned presents a case study of their multi-year colocation partnership with a global cloud-based gaming company. The report outlines the challenges presented by the client, the solutions provided by Aligned, and three of the key business results achieved by the partnership. We always respect your privacy and we never sell or rent our list to third parties. By downloading this White Paper you are agreeing to our terms of service . You can opt out at any time. Get this PDF emailed to you. Email* Email Me This PDF The Sabey funding is yet another example of the influx of fresh investment into the data center sector, which has become a favored destination from large global financial firms  as the growth of the digital economy attracts investment dollars. Sabey’s finance team has also been busy in refinancing one of its premier properties. Real estate news sources report that Sabey and National Real Estate Advisors have secured a $250 million refinancing deal for Intergate.Manhattan, the former Verizon office tower at 375 Pearl Street. Wells Fargo and JPMorgan reportedly provided CMBS refinancing for a 16-floor office condominium at the 32-story property, which incudes both office and data center space.

Sabey Investments

3 Investments

Sabey has made 3 investments. Their latest investment was in Indi Molecular as part of their Series A on June 6, 2017.

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Sabey Investments Activity

investments chart

Date

Round

Company

Amount

New?

Co-Investors

Sources

6/20/2017

Series A

Indi Molecular

$11.5M

Yes

3

2/11/2009

Series B

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$99M

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0

1/18/2006

Series A

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$99M

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0

Date

6/20/2017

2/11/2009

1/18/2006

Round

Series A

Series B

Series A

Company

Indi Molecular

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Amount

$11.5M

$99M

$99M

New?

Yes

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Co-Investors

Sources

3

0

0

Sabey Portfolio Exits

1 Portfolio Exit

Sabey has 1 portfolio exit. Their latest portfolio exit was Unium on February 25, 2018.

Date

Exit

Companies

Valuation
Valuations are submitted by companies, mined from state filings or news, provided by VentureSource, or based on a comparables valuation model.

Acquirer

Sources

2/25/2018

Acquired

4

Date

2/25/2018

Exit

Acquired

Companies

Valuation

Acquirer

Sources

4

Sabey Partners & Customers

7 Partners and customers

Sabey has 7 strategic partners and customers. Sabey recently partnered with Telia Carrier on April 4, 2018.

Date

Type

Business Partner

Country

News Snippet

Sources

4/11/2018

Vendor

Telia Carrier

Sweden

Sabey Data Centers Partners with Telia Carrier to Increase Network Capacity and Support Growth in Seattle.

Seattle and Stockholm -- 11 April , 2018 -- Sabey , serving Seattle 's data center market for more than 25 years and currently with over 285 MW of capacity in placeand in operation , today announced that it has tapped Telia Carrier 's 100G-enabled # 1 ranked IP backbone and transmission network to provide scalable capacity and dependable connectivity to the Seattle metro area .

1

1/18/2018

Partner

McKinstry

United States

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10

3/3/2016

Partner

Brooklyn Fiber

United States

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10

1/18/2016

Licensee

ZenFi Networks

United States

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10

1/13/2014

Vendor

MRV Communications

United States

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10

Date

4/11/2018

1/18/2018

3/3/2016

1/18/2016

1/13/2014

Type

Vendor

Partner

Partner

Licensee

Vendor

Business Partner

Telia Carrier

McKinstry

Brooklyn Fiber

ZenFi Networks

MRV Communications

Country

Sweden

United States

United States

United States

United States

News Snippet

Sabey Data Centers Partners with Telia Carrier to Increase Network Capacity and Support Growth in Seattle.

Seattle and Stockholm -- 11 April , 2018 -- Sabey , serving Seattle 's data center market for more than 25 years and currently with over 285 MW of capacity in placeand in operation , today announced that it has tapped Telia Carrier 's 100G-enabled # 1 ranked IP backbone and transmission network to provide scalable capacity and dependable connectivity to the Seattle metro area .

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Sources

1

10

10

10

10

Sabey Team

1 Team Member

Sabey has 1 team member, including former Senior Vice President, Jim Harmon.

Name

Work History

Title

Status

Jim Harmon

Senior Vice President

Former

Name

Jim Harmon

Work History

Title

Senior Vice President

Status

Former

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