Company instead completes “small renovation” at carrier hotel site
Digital Realty has reportedly downsized plans to upgrade one of its data centers in Dallas, Texas.
As reported by the Dallas Morning News and others, Digital recently filed to modify a 2021 tax agreement it had with the city for an expansion at its 2323 Bryan Street data center in Dallas.
A memo published by the city of Dallas notes Digital owns the building at 2323 Bryan Street and, in 2021, intended to make more than $100 million in capital improvements to expand both corporate staffing and data center capacity.
“However, due to unforeseen circumstances and technical challenges related to the expansion of the data center capacity, Digital no longer intends to move forward with more than $100 million in capital investment,” the memo said. “Instead, Digital has completed a small renovation of approximately $13 million.”
In March 2025, Digital submitted a formal request to the Texas Office of Economic Development seeking to amend the agreement in order to still qualify for previously approved Texas Enterprise Fund (TEF) funding. Digital received a $2 million TEF grant in financial year 2020-2021 from the State of Texas in support of the original project.
Located in the 26-story Univision Tower and used by more than 60 carriers, 2323 Bryan Street is a major carrier hotel in Dallas. Digital operates the site as its DFW10 facility, while the likes of Equinix and CyrusOne also operate in the building.
Built around 1983, GI Partners acquired the 42,180 sqm (454,000 sq ft) building in January 2002, with 2323 Bryan one of the seed facilities the investment firm used to form Digital Realty.