UPDATE: Firm investing $23M in Eastgate project

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A locally based data storage company has agreed to buy the former Eastgate Consumer Mall on the far east side and plans to invest $23 million to turn the 370,000-square-foot building into a high-tech data hub.

This morning, executives with Lifeline Data Centers LLC joined Mayor Bart Peterson to announce the deal, which was first reported on IBJ.com.

The project is not expected to create jobs, but as many as 1,500 people working for Lifeline clients could have offices in the facility, said Jim Garrard, the city’s economic development director.

Lifeline will be eligible for a five-year tax abatement worth about $1.4 million, since the former mall property is located within the Eastside Revitalization District. The district was established in 2003 to spark redevelopment of vacant big box retail stores along East Washington Street.

Lifeline, which specializes in secure network hosting, has operations at 733 W. Henry St. just west of downtown and lists a Carmel post office box on its Web site.

To comment, visit IBJ‘s real estate blog, Property Lines.

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