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Data Center Construction Surges to Record 7,481 MW
Despite record construction activity, North American data center demand outpaced supply during the first half of the year, according to CBRE’s latest North American Data Center Trends Report.
Construction across the eight primary markets rose 24.8% to a record 7,481 megawatts (MW). More than 80% of that capacity was preleased.
Net absorption rose nearly 12% to 1,456 MW. At the same time, vacancy remained at 1.4%.
Atlanta led construction activity with nearly 2,900 MW underway, while Northern Virginia remained the largest market by inventory.
CBRE forecasts continued tight market conditions as power constraints, infrastructure bottlenecks and continued demand put pressure on deliveries.
“The next phase of growth will be defined less by demand and more by where new supply can realistically come online,” said Gordon Dolven, Director of Data Center Research for CBRE.
“With more than 80% of space under construction already spoken for, many occupiers are effectively competing for future inventory rather than existing availability.”
- ◦Lease
- ◦Development
