Onyx Equities has rebranded the 2 million-square-foot former Merck & Co. campus in Kenilworth as The Northeast Science and Technology Center, or NEST. — Courtesy: Onyx
By Joshua Burd
A new $1 billion data center is coming to the Northeast Science & Technology Center — the sprawling former Merck & Co. campus in Kenilworth — where cloud computing firm CoreWeave has signed a long-term lease with Onyx Equities and Machine Investment Group.
According to a news release, the startup plans to convert a 280,000-square-foot former lab and manufacturing building at the 2 million-square-foot complex on Galloping Hill Road. It’s part of a planned $1.2 billion investment by Roseland-based CoreWeave, a key player in artificial intelligence that is backed by the chip giant Nvidia, paving the way for the firm’s first data center in New Jersey.
The Onyx-led venture, which acquired the campus early last year, also expects to spend more than $50 million on the project.
“CoreWeave’s commitment to invest over a billion dollars at the NEST campus demonstrates New Jersey’s leading role in artificial intelligence, and our innovation strategies are working,” Gov. Phil Murphy said. “Through collaboration with utilities, government, investors and real estate developers, we’re committed to attracting businesses that will build an innovation economy for the future. Thanks to PSE&G, Mayor Linda Karlovitch, the development team at Onyx Equities, Machine Investment Group and CoreWeave, this new data center will further fuel our state’s leadership in innovation.”
JLL represented Onyx, while Cushman & Wakefield represented CoreWeave, which provides cloud infrastructure and rents out high-end chips like the kind that has fueled Nvidia’s meteoric rise. ROI-NJ was the first to report on the deal.
“This partnership positions the NEST campus as a major hub for data processing, AI and biopharma innovation,” said John Saraceno, a cofounder and managing principal of Onyx Equities. “CoreWeave will be a key cornerstone of NEST, as life science and biotechnology tenants at the campus will benefit from CoreWeave’s advanced cloud infrastructure to support their AI-driven projects and boost research and development capabilities.”
As part of the announcement Thursday, PSE&G said it would begin to ready the area’s electrical infrastructure to support the energy needs of the data center facility. The utility currently serves more than 30 large data centers.
“PSE&G is committed to providing safe, affordable and reliable energy to all of our customers, no matter their location or their energy requirements,” said Ralph LaRossa, chair, president and CEO of PSEG, PSE&G’s parent company. “This project is a good example of the work that Governor Murphy and the New Jersey Economic Development Authority are doing to foster a new wave of economic development for our state. We are excited to welcome and partner with Onyx and CoreWeave on this project.”
CoreWeave, meantime, said it more than quadrupled its data center footprint in 2023. It’s now on track to end the year with 28 data centers globally.
“We are incredibly excited to open a next-generation data center in CoreWeave’s home state of New Jersey,” CEO and cofounder Michael Intrator said. “Governor Phil Murphy’s efforts have helped spur the creation of an AI ecosystem in the state, and CoreWeave’s announcement today underscores that New Jersey is open for AI business.”
The facility’s future location, known as 11 NEST, will be part of the 108-acre NEST campus that Onyx has been marketing for more than a year since the venture acquired the former Merck headquarters property. The firm noted that the parcel is purpose-built and zoned for life science innovation and data centers, answering a need for immediately available, turnkey and customizable office, laboratory and biomanufacturing space in the tristate area.
Onyx, Machine Investment Group and Pivot Real Estate Partners group acquired the campus February 2023 as part of a deal arranged by JLL.
Onyx, Machine Investment Group buy 2 million sq. ft. Merck campus in Kenilworth
