Transect Team
Data centers are in high demand, and finding the right place to build them is crucial. Let's look at a real-world example to see why location matters.
In Red Oak, Texas, a huge data center project is in the works. It's spread across 292 acres (that's about 221 football fields!) and will have eight two-story buildings. Together, these buildings will cover 3.4 million square feet. That's a lot of space for storing and processing data!
This Texas-sized project shows us just how massive modern data centers can be. It also highlights why choosing the right location is so important. A suitable site, particularly in fast-growing regions, needs to be capable of meeting substantial power requirements and accommodating future expansion needs.
The factors to consider when selecting a data center location:
1. Proximity to major internet hubs
When it comes to choosing a data center site, location is key. Being close to major internet hubs can make all the difference in speed and reliability. Sites near these hubs can reduce latency, meaning faster data transmission and better connectivity. For instance, Northern Virginia and Dallas-Fort Worth are among the biggest data center markets, with robust internet infrastructure. Setting up near these regions can give developers a real competitive edge, ensuring quicker data transmission and happier clients.
Currently, the top 10 data center markets in the U.S. are:
- Northern Virginia: 2,745 MW, over 150 data centers
- Dallas-Fort Worth: 665 MW, 80+ data centers
- Silicon Valley (Northern California): 620 MW, 70+ data centers
- Phoenix: 555 MW, 60+ data centers
- Chicago: 550 MW, 75+ data centers
- New York/New Jersey: 470 MW, 135+ data centers
- Atlanta: 420 MW, 50+ data centers
- Portland/Hillsboro: 405 MW, 55+ data centers
- Seattle (including Quincy): 315 MW, 35+ data centers
- Los Angeles: 310 MW, 35+ data centers
2. Evaluating natural disaster risks
Building a data center in a disaster-prone area can lead to big problems, from infrastructure damage to costly repairs. That’s why developers rely on tools like FEMA’s 500-year floodplain map to dodge flood zones and keep their projects safe for the long haul.
But it’s not just about floods. Earthquakes are a real concern, too, especially if you're near a fault line. Seismic activity can damage buildings and knock out power. And don’t forget about wildfires, particularly in drought-prone places like California, where the facility and the air quality can be at risk.
Developers use floodplain maps and hydrological models to assess potential sites thoroughly. This allows them to avoid disaster-prone areas and keep their data centers up and running without interruption.
3. Access to reliable power sources
Data centers consume a lot of energy, so access to reliable power is a must. Being close to power plants and substations is key to keeping up with those high energy demands. More and more, developers are turning to renewable energy sources like solar and wind power, helping them save on costs and shrink their carbon footprint.
But here's the catch: renewable energy must be consistent, so planning for issues ahead of time is crucial to avoid power hiccups.
4. Cooling infrastructure and water availability
Data centers get hot and need efficient cooling systems to keep running smoothly. Traditionally, water is used to help cool things down, but finding enough water can be challenging if you’re in a drought-prone area. Some developers are getting creative by using air cooling or hybrid systems that mix air and water for better efficiency. Ensuring you have access to sustainable water sources is key, both for keeping costs in check and staying eco-friendly.
5. Navigating environmental regulations
Environmental regulations might seem complicated, but they’re necessary to get your data center up and running without issues. Whether protecting ecosystems, keeping water and air clean, or safeguarding endangered species, following local, state, and federal laws is non-negotiable.
Skipping this step can result in hefty fines and project delays. Developers must obtain the correct permits for air emissions and water use while ensuring their plans comply with the Endangered Species Act and other regulations.
6. Avoiding endangered species and protected habitats
Building near habitats that house endangered species can lead to big roadblocks, from restrictions to mitigation efforts. A thorough environmental assessment can help developers spot these areas early, making it easier to pick the right site and avoid any legal headaches down the road. Plus, it ensures you’re doing your part to protect local wildlife and ecosystems.
7. Assessing proximity to fiber optic cables
Data centers run on high-speed connectivity, so being near fiber optic cables is a no-brainer. These networks make data transmission fast and efficient, connecting your data center to the broader digital world. Developers should also keep an eye out for Internet Exchange Peering opportunities, which help Internet service providers share data, cutting costs and improving performance. Being close to fiber optic networks means faster data transfer and better efficiency.
8. Ground stability and soil conditions
A strong foundation is just as important as a strong internet connection. If the ground or soil where you’re building isn’t stable, it could lead to structural problems and expensive fixes. Developers need to assess the ground's stability and the soil's quality to make sure the site can handle the weight of all the equipment without sinking or shifting.
9. Local climate and its impact on data center efficiency
The local climate can make or break your data center’s efficiency. Hotter regions increase cooling demands, which means more energy use and higher costs. Picking a location with a cooler climate can help save on these expenses. But if you’re set on a hotter area, you’ll need to invest in advanced cooling tech or consider renewable energy to offset the extra energy required to keep things cool.
10. Community support and public perception
Don’t forget about the locals! Big data center projects can sometimes shake things up in the community. Just look at what happened with a $1.3 billion data center project in Chesterton, Indiana—it got withdrawn after locals and town officials pushed back. They were worried about things like environmental impacts, property values, noise, and how it would affect their overall quality of life.
This shows how important it is to engage with the community early on and show that you’re committed to sustainability, and using green energy is a great start. Developers need to make local engagement a priority to tackle the growing Not-In-My-Backyard (NIMBY) sentiment. Building strong relationships with the community can help ease concerns, reduce opposition, and pave the way for a smoother project process.
Leverage Transect: Discover and assess optimal data center sites
Choosing the right data center site requires a careful balance of environmental, logistical, and community factors. Data center developers can select sites that meet their operational needs and sustainability goals by evaluating disaster risks, ensuring reliable power and cooling infrastructure, and navigating regulatory challenges. Tools like Transect streamline the process, ensuring success from the ground up.
Transect makes data center siting easier by helping to identify environmental risks, permitting requirements, and community sentiment early in the process. Developers can analyze factors such as floodplains, species, protected areas, and topography to ensure the chosen site is viable for data center development and long-term sustainability.
Streamlined land assessment for data center siting is just clicks away! Get a demo today.