I am trying to establish WALE (Weighted Average Lease Expiry)...

  1. 33 Posts.
    I am trying to establish WALE (Weighted Average Lease Expiry) for Nextdc major contracts (please note major datacentres in the USA report WALE to the market).  It came to my attention that two major contracts are coming up for renewal very soon.  Can anyone provide any insight whether those contracts would be renewed or we would expect major price erosion (could be detrimental to our company) given market rate is declining sharply for large contracts.

    June 2013: 5 year contract with a leading enterprise expiring June 2018.  Based on TCV reported, my gut feel its 5-7 megawatts contract
    https://www.nextdc.com/news/leading-corporation-awards-nextdc-five-year-contract

    December 2014: international enterprise 1 megawatt contract for 3 years expiring December 2017
    https://www.nextdc.com/storage/app/media/reports/1395266.pdf

    Both of those customers have taken up large capacities later years assuming similar terms that means major renewals are coming up.

    Nextdc should provide some guidance to market regarding those contracts.
 
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