DataBank SNA2: measure the return on incremental capacity
FJI qualification held or pending: the full four-document gate, including project-specific government evidence, has not yet been accepted. Qualification evidence and decisions →
Project status: Expansion completion announced April 2023; current utilization undisclosed. Capacity scope: 8 MW critical IT power after 2023 expansion; current utilization unknown. How we verify evidence.
← Back to project index- Location
- Irvine, California
- Readiness
- Operating
- Status
- Expansion completion announced April 2023; current utilization undisclosed
- Confirmed companies
- DataBank
- Next milestone
- Billable expansion capacity, renewal pricing and incremental capital needs
- Reviewed
- October 6, 2026
Expanded analysis · Original disclosures linked below · CAD and USD preserved as labeled · Company statements attributed; interpretations labeled.
The one-minute investment takeaway
Our analysis: SNA2 offers a concrete completed-expansion case. The question is whether incremental space and power generated profitable leasing, and whether further workload upgrades require new capital. Regional technology employers are potential sources of demand, not confirmed tenants.
Readiness basis: Classification of evidence in the reviewed profile; strongest documented phase, not full-campus completion. Expansion completion announced April 2023; current utilization undisclosed Readiness source →
What the sources establish
- Operator / company disclosure Completed addition. DataBank’s April 12, 2023 release says the expansion added 24,000 square feet of raised floor and 4 MW, bringing SNA2 to 57,700 square feet and 8 MW of critical IT power. Primary source →
- Operator / company disclosure Property and market. The release locates SNA2 at 17400 Von Karman Avenue in Irvine and describes carrier-neutral interconnection. Its combined Irvine figures include SNA1 and must not be attributed entirely to SNA2. Primary source →
- Operator / company disclosure Technical design. DataBank describes 2N power and N+1 cooling. Its discussion of nearby technology firms does not identify those firms as customers or establish AI-specific utilization. Primary source →
Who receives the money?
Our analysis of disclosed roles. Revenue routes are business-model interpretations, not estimates of booked project revenue.
| Company / exposure | Economic role | What investors need to establish |
|---|---|---|
| DataBank | Colocation rent, connectivity and service contribution | Incremental leased capacity and margin after operating and maintenance costs. |
| Carriers | Potential network services and cross-connect economics | Actual contracted connections; market presence is not facility-level receipts. |
| Equipment and retrofit providers | Potential upgrade orders | Documented award scope and who funds density modifications. |
How financially meaningful is it? Analyst interpretation
Our analysis: existing sites may reuse staff, land and some common systems, improving expansion economics. That advantage must be tested against the actual additional electrical and cooling investment. Separate new-customer growth from customers relocating within the operator’s portfolio. Revenue migration can fill a new hall without generating equal net corporate growth. An older completed expansion also invites a renewal analysis rather than continuous reliance on its opening announcement.
Incremental return = new net rental and service contribution minus added operating costs, divided by expansion and enabling capital. Deduct revenue displaced from other facilities when assessing portfolio growth.
Hypothetical illustration: 1 MW billed at USD 170 per kW-month yields USD 2.04 million annual rent before costs. A USD 5 million unplanned upgrade consumes about 2.45 years of that gross rent. Neither figure is disclosed SNA2 economics.
Milestones that would change the assessment
| Milestone | Evidence to watch |
|---|---|
| Lease-up evidence | Current billable capacity and renewal terms for the completed addition. |
| Upgrade economics | Customer-specific density approval and contractual responsibility for new equipment. |
| Portfolio growth | Evidence distinguishing new demand from internal customer transfers. |
What could break the investment case?
Our analysis: A completed hall can underperform if leasing takes longer than expected or service costs rise. Higher-density workloads may consume power faster than floor area, reducing usable cabinet inventory. Local employer growth should not be converted into imaginary tenant commitments.
What would change our view?
Our analysis: Stable billable utilization, renewals and low incremental maintenance spending would strengthen the case. Heavy retrofit capital, weak retention or concessions that offset lease-up would weaken it. Evidence of AI demand needs named workloads or contracts rather than a regional technology narrative.
What remains unknown Not established in this review
Current occupancy, AI workload share, rental rates, expansion budget, site margins, measured efficiency, tenant identities and incremental service receipts remain undisclosed in the completion release.
Project research for information, not a buy recommendation. Financial illustrations use assumptions, not disclosed site results or management guidance.
Company investor information & quarterly statements
DataBank principal operator is privately held in reviewed project evidence; public quarterly statements for that operator unavailable. No major publicly traded AI tenant established.
Corporate disclosures provide company-wide context. They do not establish this project’s revenue, spending, profit, ownership share or operating capacity. Disclosure verification records →