In a strategic move set to reshape the landscape of data center operations in the heart of Texas, Hilco Streambank, a prominent intellectual property advisory firm, has placed CoreSpace—a Dallas-based data center—on the market.
This decision, announced on June 2, 2025, opens the door for potential buyers to acquire not just a well-established business but also a treasure trove of intangible assets, including IP addresses, trademarks, and real estate, in one of the nation’s most vibrant tech hubs.
CoreSpace, with its 30,000 square foot data center located on prime freeway frontage in Dallas, has been a reliable player in the competitive data services sector.
It caters to over 200 clients, many of whom have been loyal for more than a decade.
The company has demonstrated steady financial performance, generating over $1.3 million in revenue in 2024, which underscores its significance in the marketplace.
Notably, the company’s top ten customers each billed an average of more than $50,000 last year, a testament to its capacity to foster enduring client relationships.
Gabe Fried, CEO of Hilco Streambank, emphasized the unique opportunity presented by CoreSpace. “This is an operational business with a small but deeply knowledgeable team of employees,” he remarked.
“A buyer of all the assets not only has 200+ loyal customers it can continue to service, but can leverage the 70% of unused conditioned power to expand its client list with little extra resources needed.”
This insight hints at a significant upside for potential buyers, allowing them to capitalize on existing infrastructure while simultaneously exploring avenues for growth.
The allure of CoreSpace does not stop at its customer base.
CoreSpace’s data center is equipped with 1 megawatt of conditioned power, alongside the capability to access up to 1.5 megawatts of utility power, supported by an onsite generator.
Interestingly, CoreSpace is currently utilizing less than 30% of its power infrastructure, presenting a golden opportunity for expansion.
This surplus capacity could be a key selling point for prospective buyers, especially those looking to scale quickly in an increasingly data-driven economy.
As the demand for data services continues to surge, driven by trends like remote work, cloud computing, and the Internet of Things, potential investors may find this acquisition particularly appealing.
The data center industry is projected to expand significantly in the coming years, and CoreSpace’s strategic location in Dallas—a city known for its burgeoning tech scene—positions it well for future growth.
Hilco Streambank has set a deadline for non-binding indications of interest by June 17, 2025, creating a sense of urgency for interested parties.
This timeline reflects the fast-paced nature of the tech industry and the need for agile decision-making.
The firm, renowned for its successful transactions in intellectual property, has positioned itself as a leading intermediary in the consumer brand, internet, and telecom sectors, bringing a wealth of experience to this sale.
For potential buyers, this acquisition is not merely about taking over a business; it represents a gateway into a thriving sector with a solid foundation.
The opportunity to acquire CoreSpace’s assets—ranging from its extensive inventory of onsite equipment and infrastructure to its valuable IP addresses—could serve as a launching pad for a company looking to establish or expand its footprint in the data center market.
Furthermore, the decision to explore a private sale indicates a strategic move by Hilco Streambank to maximize the value of CoreSpace’s assets while ensuring the continuity of its operations.
The fact that CoreSpace has a dedicated staff of just six employees underscores the efficiency of its operations, suggesting that a buyer could step in with minimal disruption while benefiting from the existing expertise of the current team.
In conclusion, the announcement from Hilco Streambank regarding the sale of CoreSpace is not just a transactional moment; it’s a reflection of the evolving dynamics within the data center industry.
As companies increasingly rely on digital infrastructure, the demand for reliable data services will only intensify.
For potential investors, this could be an opportune moment to enter a growing market with a well-established brand, loyal customers, and substantial growth potential.
As the deadline for offers approaches, eyes in the tech community will be keenly watching to see who steps forward to seize this promising opportunity.
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