Northern Virginia, United States - January 5, 2026 - Digital Core REIT has secured a significant long-term tenant commitment for its data center facility in Northern Virginia, marking a major milestone in leasing momentum for the Singapore-listed real estate investment trust in the world’s largest data center market.
Under the newly executed agreement, an investment-grade global cloud service provider has signed a 10-year lease for the entire 8217 Linton Hall Road facility, a key asset in Digital Core’s U.S. portfolio. The lease is scheduled to commence on December 1, 2026, and is expected to substantially strengthen the REIT’s income profile and occupancy metrics.
The long-term deal is projected to generate approximately USD 14.8 million in annualized net property income, of which around USD 13.3 million is attributable to Digital Core REIT’s 90% ownership share of the property. This represents a roughly 35% increase in net rent compared with previous income levels at the facility, reflecting strong demand and improved market rents in the Northern Virginia data center market.
The Linton Hall Road site had been unoccupied after its prior tenant chose not to renew, prompting Digital Core to undertake refurbishment efforts and position the asset for re-lease at competitive market rates. The successful lease-up underscores continued appetite among hyperscalers and cloud operators for core data center space in the Northern Virginia market, which remains one of the most sought-after and tightest vacancy markets globally.
Analysts noted that the transaction not only restores full occupancy at the facility but also significantly enhances the REIT’s overall portfolio occupancy rate, lifting it closer to 98% from about 81% previously, and extends the weighted-average lease duration (WALD) across the portfolio. These improvements are viewed as positive developments for Digital Core’s 2026 financial outlook and investor confidence.
The unnamed tenant’s investment-grade credit profile adds a layer of stability to Digital Core’s revenue stream, an important factor for a REIT whose strategy centers on long-duration leases with quality operators. Independent market reports highlight the strategic importance of Northern Virginia, particularly Loudoun County and the surrounding data corridor, as a global hub for digital infrastructure, driven by hyperscale cloud demand and robust fiber connectivity.
Digital Core’s leadership team said the lease deal reflects the REIT’s ongoing efforts to monetize core assets and capture rising demand for data center capacity, even as supply chain and construction timelines remain tight in major U.S. markets. The company reiterated its confidence in the Northern Virginia market’s fundamentals and signaled that additional leasing progress would be central to its 2026 operating priorities.
The new lease is expected to materially contribute to Digital Core REIT’s earnings and support growth in distributable income for unitholders, aligning with the trust’s long-term strategy of securing stable, high-quality income streams from mission-critical digital infrastructure assets.
