Data Center Real Estate Selection
In order to provide quality service, Data Center Reality (DCR) is involved in the Data Center Real Estate Selection process. If you have ever dabbled into the real estate business you will know many agents’ motto is Location, Location, Location. Just as location is important in the world of buying and selling houses, so too is location critical when considering where to construct a data center. To ensure that the proper location is chosen, DCR assists its costumers with the questions that need to be asked.
There are a variety of factors that will affect the data center real estate selection process and determine whether or not a location is suitable for data center construction. DCR focuses on four basic criteria to narrow down the decision making process. The four criteria are as follows: what is the access to local utilities, what are the risks, costs, and benefits of the geographic location, how business-friendly is the location, and is the local workforce adequate? With these four questions in mind, data center real estate selection is simple.
The high demand on the utility grid generated by data centers causes access to utilities to be one of the main drivers for data center real estate selection. DCR is focused on the potential long-term costs that could arise if this point isn’t addressed correctly. In order to provide the best environment for a data center, there needs to be easy access to electricity, large sources of water for cooling, and back up power generation. On top of this, it is important that access to these utilities is reliable. Downtime is a major unforeseen cost for data centers that DCR is committed to helping its customers avoid. Lastly, it is important to consider expansion. Ensuring that the utilities be able to keep up with both projected and unexpected expansion opportunities is crucial to solidifying a healthy growth model.
There are also inherent risks and rewards to choosing a specific geographic location. The most apparent affect is the cost of the real estate you plan to build on. Both the surface price and property tax should be considered here. The plot of land chosen should also be able to accommodate both planned and unplanned future expansion. Other questions DCR has while searching for the perfect location concern the climate of the target area. Both man made and natural disasters, along with the emergency infrastructure in place to handle these situations, will have drastic affects on a project’s over all risk. When conducting data center real estate selection, DCR looks at all possible factors that might be related to geography that might affect a project in the long-term.
It is important that when constructing a high price facility like a data center, that the neighbourhood it is in is business-friendly. No matter where a facility is constructed, taxes are going to play a major role in its ongoing costs. With this in mind, DCR attempts to place projects for its costumers in areas where property and sales taxes are lower. DCR will also search for locations that might have incentives tied to them in order to attract businesses that are building data centers. Looking out for our clients and guaranteeing that the optimum location is selected requires that an analysis of business –friendliness take place.
Finally, there needs to actually be a workforce that is capable of constructing and operating the data center. The construction and operation of a data center are specialty tasks that require training and higher level education. In order to secure a qualified workforce, data center real estate selection needs to consider the location of these skilled workers. If there is no way to build the data center where the workers are, then DCR also considers whether the location is adequate enough to attract skilled workers. DCR leaves no stone unturned while finding its clients the perfect location to construct their data centers.
Data center real estate selection is a complicated process that DCR unravels, simplifies and presents back to its clients. DCR performs this task by considering the utilities present, the risks and benefits of the geography, the business-friendliness of the community, and the local workforce. By sticking to this tried and tested formula, DCR has been able to deliver excellent service to all of its clients data center real estate selection needs.