Digital Realty is expanding its Swiss campus with the 15MW ZUR4 data center facility.
Digital Realty Trust (DLR) has commenced construction on ZUR4, a new state-of-the-art data center in Glattbrugg, Switzerland, expanding the company’s digital infrastructure in one of Europe’s key financial and technology hubs. The facility is planned to deliver 15 megawatts of IT capacity across approximately 6,300 square meters and is scheduled for completion in 2028.
Designed specifically to support high-density deployments and artificial intelligence workloads, ZUR4 will be equipped with advanced cooling systems and energy-efficient architecture. These features are intended to meet the growing computational requirements of businesses developing AI and machine-learning applications.
The new facility will integrate into Digital Realty’s existing Swiss campus, joining ZUR1, ZUR2, and ZUR3. Digital Realty’s European portfolio, including its Swiss data centers, operates on 100% renewable energy. The Glattbrugg campus will provide direct cloud connectivity and access to PlatformDIGITAL, Digital Realty’s global data center platform spanning more than 300 facilities worldwide.
This expansion aims to increase locally operated, highly secure data center capacity for customers requiring strict data location controls, operational resilience, and reliable connectivity as foundational elements of their digital infrastructure strategies.
ZUR4 follows several recent capacity-expansion initiatives by Digital Realty. During the second quarter, the company acquired two Malaysian data centers with 16.5 MW of IT capacity, along with land supporting an additional 14 MW. It also acquired a 64% stake in three fully leased Northern Virginia data centers totaling 288 MW, while securing land in Kansas City capable of supporting up to 2 gigawatts of utility power.
For investors, these investments deepen Digital Realty’s presence in major cloud and AI markets while adding lease-ready capacity for future demand. The strategy is supported by strong market interest: DLR ended the second quarter with a record $1.9 billion rental backlog and raised its 2026 Core FFO-per-share outlook to $8.15–$8.20. Management believes its connectivity, hyperscale, and private-capital initiatives can extend its long-term growth runway.
Over the past six months, shares of this Zacks Rank #3 (Hold) company have gained 7.5%, outperforming the industry’s growth of 3%.
Among higher-ranked equities in the broader REIT sector, American Tower (AMT) and Host Hotels & Resorts (HST) each currently carry a Zacks Rank #2 (Buy). You can view the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for AMT’s 2026 FFO per share is pinned at $11.07, indicating year-over-year growth of 2.88%. The Zacks Consensus Estimate for HST’s 2026 FFO per share is pegged at $2.17, calling for a year-over-year increase of 4.83%. Note that anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.
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This article originally published on Zacks Investment Research (zacks.com).