Tokyo-based NTT Data Group Corp. just closed on 173 acres of vacant land in east Mesa, paying a record $300 million for the parcel on which it plans to build a huge data center.

The land is at the northeast corner of Pecos and Crismon roads on the former GM Proving Grounds, which is owned by Mesa BA Land LLC and Pacific Proving LLC, which in turn are owned by Levine Investments and Andrew Cohn.

Mesa City Council approved a zoning case last August for the former GM Proving Grounds property to pave the way for a data center that could include seven data halls with 1.7 million square feet, a 100,000-square-foot warehouse and a 106,000-square-foot, two-story office building. The exact scope of NTT's project is not yet known.

This latest transaction follows the $46 million sale of 87 acres on the former GM Proving Grounds to Denmark-based DSV Air and Sea Inc. in January 2024.

In previous zoning cases, Cohn had commented that the quality and level of the buyers were selected because they create value for the area.

Nate Nathan and Courtney Buck of Scottsdale-based Nathan & Associates Inc. and JLL negotiated the $300 million deal. The land sold for nearly $40 a foot, setting a record sale price for vacant land in that area.

Nathan, president and designated broker of Nathan & Associates Inc., said the development of the former GM Proving Grounds follows the Cadence and Avalon master-planned communities and Arizona Athletic Grounds, the 280-acre sports complex in Mesa.

"Mesa BA Land LLC continues to create what is becoming a focal point of Mesa," Nathan said. "They have rejuvenated this area and now this is another quality product further enhancing this Mesa area."

Cohn and Levine's group bought 1,805 acres for $45 million in 2004, and now has about 580 acres remaining.

Also last August, they received rezoning approval on another 45 acres within the former GM Proving Grounds site for a separate data storage center, with power allocation already secured.

NTT Global already operates another Mesa data center

NTT Global is no stranger to Mesa. About four miles north of its newly acquired land, NTT Global already has a 126,000-square-foot data center, which is expected to be the first of seven data centers on its 102-acre, 240MW campus at 10256 Elliot Road in Mesa, according to NTT's web site.

This development comes at a time when Arizona is considered a data center hotbed, as data centers have been proliferating across the Valley.

The Phoenix metro's lack of natural disasters and lower cost of energy and land, along with attractive tax incentives, have made it ripe for data center development.

Demand for data center space in metro Phoenix has shown no sign of slowing down, with co-location leasing and pre-leasing activity increasing over the last three years, according to Cushman & Wakefield's latest Americas Data Centers Update report released March 6.

In 2022, the market saw a record 411MW in colocation data center leasing activity, which was topped by 643MW in 2023, and 669MW in 2024, according to the Americas Data Centers Update report for the second half of 2024.

Final Thoughts: Why Mesa is the Next Data Center Powerhouse

The $300 million land acquisition by Tokyo-based NTT Data Group underscores one clear trend—Mesa is emerging as a premier global data center hub. With its strategic location, pro-business environment, and infrastructure readiness, this East Valley hotspot is attracting some of the world’s largest tech firms.

For investors and businesses alike, the momentum is undeniable. The combination of affordable land, low energy costs, and tax incentives continues to drive explosive growth in Arizona’s data center market. NTT’s expansion, alongside major developments like DSV Air & Sea and other data storage projects, signals long-term confidence in Mesa’s future as a digital infrastructure powerhouse.

As demand for cloud storage and AI-driven computing rises, expect Mesa to remain at the forefront of high-tech real estate investments. Whether you’re in commercial real estate, tech development, or investment strategy, this is a region worth watching.

Global data center giant pays $300 million for land in East Valley

Final Thoughts: Why Mesa is the Next Data Center Powerhouse

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