Largest Data Center In Texas Generates $3 Million Of Tax Incentives For CyrusOne Customers

Global colocation solutions provider CyrusOne (NASDAQ: CONE) today announced that as a result of tax grant incentive agreement between the City and CyrusOne, the company has generated $3 million in tax savings for customers operating in CyrusOne's Carrollton Texas data center. Passed in June 2013, the Carrollton tax incentive is an addition to the Texas state incentives, (H.B. No. 1223) which eliminated the state sales and use tax of 6.25 percent on data center utilities, infrastructure, and networks purchases. The Carrollton-specific incentive rebates up to another 0.5 percent in sales and use tax for the same customer purchases, or up to 50 percent of the taxes the city would normally receive.

"As the largest operating data center in Texas, CyrusOne's Carrollton facility has been a tremendous source of job growth and investment for the greater Dallas and Carrollton area. The tax incentives have thus far saved our customers $3 million since 2013 which we believe to be one of the highest incentives in the state," said Gary Wojtaszek, president and CEO. "This data center facility is approximately one-quarter-mile long, or large enough to house six 747 airplanes or two Washington Monuments. The data center offers up to 26 Megawatts of power, which is enough to power 20,000 homes. CyrusOne is the only data center provider in the greater Dallas area offering this type of return on investment. Bold leaders such as Carrollton City Manager Leonard Martin and Mayor Matthew Marchant epitomize what makes the DFW community such a vibrant business environment by helping to attract companies to locate their mission critical information technology in Carrollton."

"CyrusOne is a valued partner in Carrollton's business community," said City of Carrollton Mayor Matthew Marchant. "Having CyrusOne's Data Center in Carrollton provides a positive benefit to the local economy and nearby citizens."

Since moving its headquarters to Carrollton after its IPO, CyrusOne has generated a total shareholder return of more than 120%, compared to an increase in the RMZ of less than 5% over the same period, making it one of the best performing REITs in the country. The company has an enterprise value of approximately $5 billion and serves the needs of nine of the Fortune 20 and seven of the ten largest cloud companies in the world.

If you liked this article you might like

Cramer: This Rally Isn't Without Meaning

Stocks Eclipsed by Nothing: Cramer's 'Mad Money' Recap (Monday 8/21/17)

Get Your Head Into the Cloud: Cramer's 'Mad Money' Recap (Monday 5/22/17)

Analysts' Actions -- Amazon, C.R. Bard, CyrusOne, Dow and More

Valuation Is in the Eye of the Buyer: Cramer's 'Mad Money' Recap (Tuesday 4/4/17)