Enron Site Sold

"Headline risk" is nothing new in telecom. But some assets of scandal-plagued companies are faring better than others in bankruptcy sales. In recent weeks Enron has been unloading some of its remaining Enron Broadband Services data center assets and colo customers. This week Zipa LLC announced that it had purchased a former Enron data center in New Orleans, and its bound to be happy with the deal.

According to bankruptcy court documents, Zipa paid $250,000 to assume the lease to an 8,013 square foot facility on the 10th floor of 650 Poydras, which includes 6,600 square feet of finished data center space. Included in the sale are colo contracts for two customers, Infolink Communications and McLeod USA, as well as all the equipment installed in the space. All for about $31 a square foot.

Zipa is a web host and domain reseller (operating as Intercosmos Media Group) with existing operations on several floors at 650 Poydras. Zipa says it will invest in some upgrades, and "is seeking to make the facility one of the premier collocation and commercial hosting options in the South, while also building one of the largest private peering points in the region. Zipa foresees many opportunities in the high-end hosting industry in the years to come."